cb- project report maruti
TRANSCRIPT
PROJECT REPORT
ON
“The study of consumer buying behavior towards Maruti Suzuki India Ltd.”
Submitted in partial fulfillment for the
PGP 09-11, IILM Institute for Higher Education,Gurgaon
Submitted to:
Supriya Kale
Submitted By:-
Koushan Das
Divyabhan Singh
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Table of Contents
Executive Summary............................3
Car Purchasing Preferences.................3
Objective of Study...............................5
Research...............................................6
Introduction of Automobile Industry...8
Maruti Suzuki.......................................9
Research Methodology......................10
Analyisis and Interpretation...............26
Facts and Findings..............................32
Conclusion and Recommendation......33
Questionnaire......................................34
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Executive Summary
Title
The Study of Consumer buying behavior towards small & medium car segment
with special reference to Maruti Suzuki India ltd.
Issue
Consumer behaviour is ‘the mental and emotional processes and the observable
behaviour of consumers during searching purchasing and post consumption of a
product and service. People buy different products from different brands to satisfy
their needs. Consumer purchases are influenced strongly by cultural, social,
personal and psychological characteristic. Although marketers cannot control such
factors, they must give attention to them. Boston Analytics, a customized
knowledge services company, has announced the release of its “Automotive
Industry in India” report as a part of the series of monthly reports that analyze
consumer observations and sentiments regarding a automotive sector. According to
this report consumer think about the following aspect while making decision of
purchase a car:
CAR PURCHASING PREFERENCES
Primary factors of preference
Price and fuel efficiency are the primary features that consumers expect
today.
There will be an increase in the importance of fuel efficiency in
approximately three to five years from now for consumers.
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Sales service, brand image/prestige, and resale value are secondary factors
of choice today and will remain so for the coming three to five years.
Environmental issues have yet to take root in India and do not show signs of
becoming a major factor for coming three to five years.
Car size
Affluence and aspiration are growing in parallel—The Indian consumer
prefers a mid-size car.
Our survey reveals that approximately one in two Indian consumers prefer a
roomy mid-size family car.
Indian versus foreign brand
There is evidence of “buy-Indian” mindset across the metros
Approximately three in four respondents prefer an Indian brand over a
foreign one recently launched versus established model
Indian consumers are divided in their preference for recently launched
versus established models of cars.
According to the results of the survey, 58% of respondents nationwide
prefer a recently launched model by a slight plurality.
Color preference
The color pie in the Indian car market shows that White is the most
preferred color, closely followed by Black and Silver
Approximately 29% of respondents preferred White, followed by 27%
and 21% of respondents opting for Black and Silver/Grey respectively
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Thus the main issue in this project is to analyzing consumer buying pattern while
they make decision regarding purchase of car especially in small car segment.
PROBLEM
Thus problem of this project report is studying the consumer buying pattern
regarding small & medium car segment with special reference to Maruti Suzuki
India ltd and study about the consumer perception and attitude toward the same.
OBJECTIVE OF THE STUDY
The basic objective of the project during the research and study will be focused on
the following parameters:
To know consume preference regarding small cars
To know what features and services attract the customers
Effect of brand image in buying behavior
Impact of advertisement in buying behavior
Impact of celebrity endorsement in buying behavior
Effect of family &friends in buying behavior (Focus group)
RESEARCH is a scientific and systematic search for pertinent information on a
specific topic. It is also said to be the pursuit of truth with the help of study,
observation, comparison and experiment.
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RESEARCH METHODOLOGY is a way to systematically solve the research
problem.
RESEARCH DESIGN
Research Design is the overall description of all the steps though which the
projects have preceded from the setting of objectives to the writing of the project
report. The success of the project depends on the soundness of the research design,
which includes problem definition, specific method of data collection and analysis
and time required for the project.
The research that is undertaken is “Descriptive & exploratory” in nature. The
research is to find out the customers’ preference and attitude towards decision
making of selecting appropriate small & medium car which suits to their need.
DATA COLLECTION METHOD
Two methods of collecting data used for this research are as follows: -
PRIMARY DATA
Data is collected primarily through personal contact, meeting, interview and
questionnaire with the concerned authority of the organization and investors’.
SECONDARY DATA
Data are collected through secondary modes such as various published data,
reports, related books and websites.
SAMPLE SIZE
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The procedure adopted to select the sample was simple random sampling. The
sample consists of 50 respondents’ and was restricted to people residing in Delhi.
Introduction to the Automobile Industry
7
The automobile industry is one of the core industries in India economy, whose
prospect is reflective of the economic resilience of the economy. Indian automobile
industry has come a long way to from the era of the Ambassador car to Maruti 800
to latest M&M Xylo. An industry is highly competitive with a number of global
and Indian companies present today. It is growing at a pace of around 18% per
annum for the last five years and is projected to be the third largest auto industry
by 2030 and just behind to US & China, according to a report. The industry is
estimated to be a US$ 34 billion industry. With the liberalization of the economy,
India has become the playground of major global automobile majors.
Indian Automobile industry can be divided into three segments i.e. two wheeler,
three wheeler & four wheeler segment. Two wheeler segments enjoys 75% market
share of automobile industry, followed by passenger vehicles with the 16% share
of market. Three wheeler segments have merely 4% share in domestic market. The
domestic two-wheeler market is dominated by Indian as well as foreign players
such as Hero Honda, Bajaj Auto, Honda Motors, TVS Motors, and Suzuki etc.
Maruti Udyog and Tata Motors are the leading passenger car manufacturers in the
country. And India is considered as strategic market by Suzuki, Yamaha, etc.
The major players have not left any stone unturned to be global. Major of the
players have got into the merger activities with their foreign counterparts. Like
Maruti with Suzuki, Hero with Honda, Tata with Fiat and latest Mahindra with
Renault.
In two-wheeler segment, motorcycles have the major share, Hero Honda, the
leading bike manufacturer has more than 50% share in two-wheeler segment,
followed by Bajaj Auto. In passenger car segment, Maruti Suzuki contributes the
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52% market share, with complete monopoly over the small car segments. M&M
enjoy the 42% market share in Multi Utility Vehicle in domestic market.
Maruti Suzuki India Ltd.
Established in December 1983, Maruti Suzuki India Ltd. has ushered a revolution
in the Indian car industry. This car is meant for an average Indian individual which
is affordable as well as has elegant appeal. Maruti Suzuki India Ltd. is the result of
collaboration of Maruti with Suzuki of Japan. At this time, the Indian car market
had stagnated at a volume of 30,000 to 40,000 cars for the decade ending 1983.
This was from where Maruti took over.
The company has crossed the milestone of becoming the first Indian company in
March 1994, by manufacturing in totalit y one million vehicles. It is known for its
mass-production and selling of more than a million cars. Maruti Suzuki India Ltd.
is the India's largest automobile company which entered in the market with
affirmed aim to render high quality fuel – efficient and low - cost vehicles.
Sales figure in the year 1993 has reached up to 1,96,820. Maruti comes in a variety
of models in the 800 segment. Its cars operate on Japanese technology, pliable to
Indian conditions and Indian car users. By the year 1998-99, the company has
modernize the existing facilities and expand its capacity by 1,00,000 units.
Recently to ward off the growing competition, Maruti has completed Rs. 4 billion
expansion project at the current site, which has raised the total production capacity
to over 3,20,000 vehicles per annum. With the coming of each and every year, the
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total production of the company exceed by 4,00,000 vehicles.
In the small car segment it produces the Maruti 800 and the Zen. The big car
segment includes the Maruti Esteem and the Maruti 1000. Along with them, the
company also manufactures Maruti Omni. Other models includes Wagon R and the
Baleno.
Headquarter in Gurgaon, on 17 September 2007, Maruti Udyog was renamed to
Maruti Suzuki India Limited. Both in terms of volume of vehicles sold and revenue
earned, the company is India's leading automobile manufacturers and the market
leader in the car segment. Sales recorded in June 2008, is Rs. 4,753.58 crores
Small & medium car segment in india
Small cars are classified according to the price range which varies from 1 to 3
lakhs. It has the capacity to carry 4 passengers- 2 adults, 2 children. These are
basically entry level cars which are preferred by service group and middle income
group.
These cars are basically manufactured by - Maruti Udyog and Reva. While
companies like Volkswagon and Reva are yet to launch their models in the market.
RESEARCH METHODOLOGY
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Title of the study:- “The study of consumer buying behavior towards small &
medium car segment” The study showing the consumer buying behavior in small
& medium car segment. with special reference to Maruti Suzuki India ltd It
describe the attitude behind the purchasing of car by any middle income level
segment. This research is done at Delhi
Duration of the study:- Approx 30 days
Objective of the study:- The basic objective of the project during the research and
study will be focused on the following parameters:
To know consume preference regarding small & medium cars
To know what features and services attract the customers
Effect of brand image (Maruti Suzuki)in buying behavior
Impact of advertisement in buying behavior
Impact of celebrity endorsement in buying behavior
Effect of family &friends in buying behavior (Focus group)
Type of research: - It refers to the search for knowledge. It can be defined as
scientific and systematic search for pertinent information on a specific topic. It is
careful investigation or inquiry through search for new facts of any branch of
knowledge.
Research plays an important role in the project work. The results of
the project are completely based upon the research of the facts and figures
collected through the different ways of research.
That is why it is also called a movement from known to unknown.
Research is the original contribution to the existing stock of knowledge. This
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section includes the overall research design, the sampling procedure, the data
collection method, the field method, and analysis and procedure.
RESEARCH is a scientific and systematic search for pertinent
information on a specific topic. It is also said to be the pursuit of truth with the
help of study, observation, comparison and experiment. research methodology is a
way to systematically solve the research problem.
Research design;- A research design is a framework or blueprint for conducting
the marketing research project. It details the procedures necessary for obtaining the
required information, and its purpose is to design a study that will test the
hypotheses of interest, determine possible answers to the research questions, and
provide the information needed for decision making. Conducting exploratory
research, precisely defining the variables, and designing appropriate scales to
measure them are also a part of the research design. The issue of how the data
should be obtained from the respondents (for example, by conducting a survey or
an experiment) must be addressed. It is also necessary to design a questionnaire
and a sampling plan to select respondents for the study.
Research can classified in one of three categories:
Exploratory research
Descriptive research
Causal research
These classifications are made according to the objective of the research. In some
cases the research will fall into one of these categories, but in other cases different
phases of the same research project will fall into different categories.
Exploratory research has the goal of formulating problems more precisely,
clarifying concepts, gathering explanations, gaining insight, eliminating
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impractical ideas, and forming hypotheses. Exploratory research can be
performed using a literature search, surveying certain people about their
experiences, focus groups, and case studies. When surveying people,
exploratory research studies would not try to acquire a representative
sample, but rather, seek to interview those who are knowledgeable and who
might be able to provide insight concerning the relationship among
variables. Case studies can include contrasting situations or benchmarking
against an organization known for its excellence. Exploratory research may
develop hypotheses, but it does not seek to test them. Exploratory research is
characterized by its flexibility.
Descriptive research is more rigid than exploratory research and seeks to
describe users of a product, determine the proportion of the population that
uses a product, or predict future demand for a product. As opposed to
exploratory research, descriptive research should define questions, people
surveyed, and the method of analysis prior to beginning data collection. In
other words, the who, what, where, when, why, and how aspects of the
research should be defined. Such preparation allows one the opportunity to
make any required changes before the costly process of data collection has
begun.
There are two basic types of descriptive research: longitudinal studies and cross-
sectional studies. Longitudinal studies are time series analyses that make repeated
measurements of the same individuals, thus allowing one to monitor behavior such
as brand-switching. However, longitudinal studies are not necessarily
representative since many people may refuse to participate because of the
commitment required. Cross-sectional studies sample the population to make
measurements at a specific point in time. A special type of cross-sectional analysis
is a cohort analysis, which tracks an aggregate of individuals who experience the
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same event within the same time interval over time. Cohort analyses are useful for
long-term forecasting of product demand.
Causal research seeks to find cause and effect relationships between
variables. It accomplishes this goal through laboratory and field
experiments.
Here I use descriptive type of research design
Sample size and method of selecting sample
Sample size:- Sampling is simply the process of learning about population
on the basis of learning about population on the basis of a sample drawn from it.
The primary objective of the sampling survey is to obtain accurate and reliable
information about universe with minimum cost, time and energy and to set out the
limits of accuracy of such estimates.
For sampling I have chosen non-probability sampling technique.
Non probability sampling is based on the personal judgment. Under this method a
desired number of sample units are selected deliberately depending upon the
object of the enquiry so that only the important items representing the true
characteristics of the population are included in the sample.
Non-probability sampling is of two types:-
purposive sampling quota
convenience sampling
I have chosen convenience sampling under non-probability sampling technique
keeping all constrains in mind a sample size of 50 people is selected from Delhi.
This sample contains a mix type of customer (Servicemen, student and
businessmen) so as to remove any type be biased results. Research for the
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Importance of the Brand image of the company’s which is kept in mind by
customers while buying any product. As two-wheeler is a durable thing, the
customer interacts with the company only for little time. Therefore it becomes very
difficult to get the actual feedback from the customer. That’s why I have designed a
Questionnaire for the customers. As customer is king of the market. Today every
product is made according to desire or need of the company. And customers have
varied taste. Only consumers’ satisfaction can predict the actual scenario of the
market.
Method of selecting sample :- Two methods of collecting data used for this
research are as follows: -
PRIMARY DATA – Data is collected primarily through personal
contact, meeting, interview and questionnaire with the concerned
authority of the organization and respondents’.
SECONDARY DATA – Data are collected through secondary modes
such as various published data, reports, related books and websites.
Scope of study:- The scope of the project during the research and study will be
focused on the following parameters:
To know consume preference regarding small & medium cars
To know what features and services attract the customers
Effect of brand image (Maruti Suzuki)in buying behavior
Impact of advertisement in buying behavior
Impact of celebrity endorsement in buying behavior
Effect of family &friends in buying behavior (Focus group)
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Limitation of study:-Every research study has its limitations likewise this research
has some limitation .These are
The sample consists of 50 customers and was restricted to people residing in
Delhi
Sample of the population (universe)might be not the representative of whole
Customer perception is not always static.They frequently change their
attitude
Selection of car is also depends on income level of respondents
This research is based on current economic condition which is not seem to
be good
Theoretical framework
Consumer behavior:- It is the study of when, why, how, where and what people do
or do not buy products. It blends elements from psychology, sociology, social,
anthropology and economics. It attempts to understand the buyer decision making
process, both individually and in groups. It studies characteristics of individual
consumers such as demographics and behavioral variables in an attempt to
understand people's wants. It also tries to assess influences on the consumer from
groups such as family, friends, reference groups, and society in general. Customer
behavior study is based on consumer buying behavior, with the customer playing
the three distinct roles of user, payer and buyer. Relationship marketing is an
influential asset for customer behavior analysis as it has a keen interest in the re-
discovery of the true meaning of marketing through the re-affirmation of the
importance of the customer or buyer. A greater importance is also placed on
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consumer retention, customer relationship management, personalization,
customization and one-to-one marketing. Social functions can be categorized into
social choice and welfare functions. Each method for vote counting is assumed as a
social function but if Arrow’s possibility theorem is used for a social function,
social welfare function is achieved. Some specifications of the social functions are
decisiveness, neutrality, anonymity, monotonocity, unanimity, homogeneity and
weak and strong Paretooptimality. No social choice function meets these
requirements in an ordinal scale simultaneously. The most important characteristic
of a social function is identification of the interactive effect of alternatives and
creating a logical relation with the ranks. Marketing provides services in order to
satisfy customers. With that in mind, the productive system is considered from its
beginning at the production level, to the end of the cycle, the consumer
Belch and Belch define consumer behavior as 'the process and activities people
engage in when searching for, selecting, purchasing, using, evaluating, and
disposing of products and services so as to satisfy their needs and desires'
The study of consumers helps firms and organizations improve their marketing
strategies by understanding issues such as how
The psychology of how consumers think, feel, reason, and select between
different alternatives (e.g., brands, products);
The psychology of how the consumer is influenced by his or her
environment (e.g., culture, family, signs, media);
The behavior of consumers while shopping or making other marketing
decisions;
Limitations in consumer knowledge or information processing abilities
influence decisions and marketing outcome;
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How consumer motivation and decision strategies differ between products
that differ in their level of importance or interest that they entail for the
consumer; and
How marketers can adapt and improve their marketing campaigns and
marketing strategies to more effectively reach the consumer.
One "official" definition of consumer behavior is "The study of individuals,
groups, or organizations and the processes they use to select, secure, use, and
dispose of products, services, experiences, or ideas to satisfy needs and the impacts
that these processes have on the consumer and society."
Information Search and Decision Making
Problem Recognition. One model of consumer decision making involves several
steps. The first one is problem recognition—you realize that something is not as it
should be. Perhaps, for example, your car is getting more difficult to start and is
not accelerating well. The second step is information search—what are some
alternative ways of solving the problem? You might buy a new car, buy a used
car, take your car in for repair, ride the bus, ride a taxi, or ride a skateboard to
work. The third step involves evaluation of alternatives. A skateboard is
inexpensive, but may be ill-suited for long distances and for rainy days. Finally,
we have the purchase stage, and sometimes a post-purchase stage (e.g., you return
a product to the store because you did not find it satisfactory). In reality, people
may go back and forth between the stages. For example, a person may resume
alternative identification during while evaluating already known alternatives.
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Consumer involvement will tend to vary dramatically depending on the type of
product. In general, consumer involvement will be higher for products that are
very expensive (e.g., a home, a car) or are highly significant in the consumer’s life
in some other way (e.g., a word processing program or acne medication).
It is important to consider the consumer’s motivation for buying products. To
achieve this goal, we can use the Means-End chain, wherein we consider a logical
progression of consequences of product use that eventually lead to desired end
benefit. Thus, for example, a consumer may see that a car has a large engine,
leading to fast acceleration, leading to a feeling of performance, leading to a
feeling of power, which ultimately improves the consumer’s self-esteem. A
handgun may aim bullets with precision, which enables the user to kill an intruder,
which means that the intruder will not be able to harm the consumer’s family,
which achieves the desired end-state of security. In advertising, it is important to
portray the desired end-states. Focusing on the large motor will do less good than
portraying a successful person driving the car.
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Information search and decision making. Consumers engage in both internal and
external information search.
Internal search involves the consumer identifying alternatives from his or her
memory. For certain low involvement products, it is very important that marketing
programs achieve “top of mind” awareness. For example, few people will search
the Yellow Pages for fast food restaurants; thus, the consumer must be able to
retrieve one’s restaurant from memory before it will be considered. For high
involvement products, consumers are more likely to use an external search. Before
buying a car, for example, the consumer may ask friends’ opinions, read reviews in
Consumer Reports, consult several web sites, and visit several dealerships. Thus,
firms that make products that are selected predominantly through external search
must invest in having information available to the consumer in need—e.g., through
brochures, web sites, or news coverage.
A compensatory decision involves the consumer “trading off” good and bad
attributes of a product. For example, a car may have a low price and good gas
mileage but slow acceleration. If the price is sufficiently inexpensive and gas
efficient, the consumer may then select it over a car with better acceleration that
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costs more and uses more gas. Occasionally, a decision will involve a non-
compensatory strategy. For example, a parent may reject all soft drinks that
contain artificial sweeteners. Here, other good features such as taste and low
calories cannot overcome this one “non-negotiable” attribute.
The amount of effort a consumer puts into searching depends on a number of
factors such as the market (how many competitors are there, and how great are
differences between brands expected to be?), product characteristics (how
important is this product? How complex is the product? How obvious are
indications of quality?), consumer characteristics (how interested is a consumer,
generally, in analyzing product characteristics and making the best possible deal?),
and situational characteristics (as previously discussed).
Two interesting issues in decisions are:
Variety seeking (where consumers seek to try new brands not because these
brands are expected to be “better” in any way, but rather because the
consumer wants a “change of pace,” and
“Impulse” purchases —unplanned buys. This represents a somewhat “fuzzy”
group. For example, a shopper may plan to buy vegetables but only decide
in the store to actually buy broccoli and corn. Alternatively, a person may
buy an item which is currently on sale, or one that he or she remembers that
is needed only once inside the store.
A number of factors involve consumer choices. In some cases, consumers will be
more motivated. For example, one may be more careful choosing a gift for an in-
law than when buying the same thing for one self. Some consumers are also more
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motivated to comparison shop for the best prices, while others are more
convenience oriented. Personality impacts decisions. Some like variety more than
others, and some are more receptive to stimulation and excitement in trying new
stores. Perception influences decisions. Some people, for example, can taste the
difference between generic and name brand foods while many cannot. Selective
perception occurs when a person is paying attention only to information of
interest. For example, when looking for a new car, the consumer may pay more
attention to car ads than when this is not in the horizon. Some consumers are put
off by perceived risk. Thus, many marketers offer a money back guarantee.
Consumers will tend to change their behavior through learning—e.g., they will
avoid restaurants they have found to be crowded and will settle on brands that best
meet their tastes. Consumers differ in the values they hold (e.g., some people are
more committed to recycling than others who will not want to go through the
hassle). We will consider the issue of lifestyle under segmentation.
Family Decision Making.
Individual members of families often serve different roles in decisions that
ultimately draw on shared family resources. Some individuals are information
gatherers/holders, who seek out information about products of relevance. These
individuals often have a great deal of power because they may selectively pass on
information that favors their chosen alternatives. Influencers do not ultimately have
the power decide between alternatives, but they may make their wishes known by
asking for specific products or causing embarrassing situations if their demands are
not met. The decision maker(s) have the power to determine issues such as:
Whether to buy;
Which product to buy (pick-up or passenger car?);
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Which brand to buy;
Where to buy it; and
When to buy.
Note, however, that the role of the decision maker is separate from that of the
purchaser. From the point of view of the marketer, this introduces some problems
since the purchaser can be targeted by point-of-purchase (POP) marketing efforts
that cannot be aimed at the decision maker. Also note that the distinction between
the purchaser and decision maker may be somewhat blurred:
The decision maker may specify what kind of product to buy, but not which
brand;
The purchaser may have to make a substitution if the desired brand is not in
stock;
The purchaser may disregard instructions (by error or deliberately).
It should be noted that family decisions are often subject to a great deal of conflict.
The reality is that few families are wealthy enough to avoid a strong tension
between demands on the family’s resources. Conflicting pressures are especially
likely in families with children and/or when only one spouse works outside the
home. Note that many decisions inherently come down to values, and that there is
frequently no "objective" way to arbitrate differences. One spouse may believe that
it is important to save for the children’s future; the other may value spending now
(on private schools and computer equipment) to help prepare the children for the
future. Who is right? There is no clear answer here. The situation becomes even
more complex when more parties—such as children or other relatives—are
involved.
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Some family members may resort to various strategies to get their way. One is
bargaining—one member will give up something in return for someone else. For
example, the wife says that her husband can take an expensive course in gourmet
cooking if she can buy a new pickup truck. Alternatively, a child may promise to
walk it every day if he or she can have a hippopotamus. Another strategy is
reasoning—trying to get the other person(s) to accept one’s view through logical
argumentation. Note that even when this is done with a sincere intent, its potential
is limited by legitimate differences in values illustrated above. Also note that
individuals may simply try to "wear down" the other party by endless talking in the
guise of reasoning (this is a case of negative reinforcement as we will see
subsequently). Various manipulative strategies may also be used. One is
impression management, where one tries to make one’s side look good (e.g., argue
that a new TV will help the children see educational TV when it is really mostly
wanted to see sports programming, or argue that all "decent families make a
contribution to the church"). Authority involves asserting one’s "right" to make a
decision (as the "man of the house," the mother of the children, or the one who
makes the most money). Emotion involves making an emotional display to get
one’s way (e.g., a man cries if his wife will not let him buy a new rap album).
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AANALYSISNALYSIS & & INTERPRETATIONINTERPRETATION
Interpretation
Objective of the study : Consumer buying behavior towards small & medium car segment
For this research project ,I choose the questionnaire as research tool and take 50 participants who either willing to buy a car or having a car in small and middle segment. So the findings are as follows
Q. 1 Do you use cars?
84%
16%
Respondants status regarding car
Yes No
Interpretation;-Among 50 participants,84% respondents are currently having car .Through we can find out the potential market for car manufacturing companies
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Q.2 Which car do you use?
43%
2%7%
19%
29%
No of respondants
MarutiHondaGMTataHyundai
Interpretation:-Among 84% respondents who having his own car 43% participants are having Maruti, 29% are owning Hyundai, 19% are having Tata, 7% are owing Gm and rest are the customer of Honda Motors
Q.3 Is the present car up to your expectations?
Yes79%
No21%
Present car expectation
Yes
No
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Interpretation:- Approx 79% participants are satisfied with their current car i.e. their
expectation are fulfilled by the car and rest are unsatisfied with their car performance
Some factor like mileage ,performance and easy servicing fulfill their expectation
Q. 4 Are you planning to buy a new car in the near future?
Yes 74%
No26%
Future planning for new car
Yes No
Interpretation:-Every person wants to buy a car for himself or for his family. My research is focus on middle income prospects and thus
74% respondents are planning to buy a new car 26% respondents are not willing to buy new car in near future
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Q. 5 Which brand would you prefer?
Maruti45%
Hyundai25%
TATA17%
GM10%
Honda3%
Most prefer Brand
MarutiHyundaiTATAGMHonda
Interpretation:- Among 50 participants 54%of respondents prefer to buy a car of Maruti 30% participants like to purchase a car of Hyundai 20% respondants prefer TATA brand (Research is conducted before the
launching of nano ) 12% and 4 % are preferring ratio for respectively GM cars and Honda cars
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Q. 6 Why would you prefer the above mentioned car?
Interpretation:-The reason for the preference, among 50 respondents 38% preferred mileage follow by looks and style as 26% Comfort is taking third place by 24% followed by service and spares
Q.8. How frequently do you change your car? Why?
Interpretation:-Generally middle class respondents never echange their car so frequently so far. They will change their car after more then two year or above but the reason behind the changing the car are as follows
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Almost 54% participants said tat they fed up with their car Near 36% respondents wants to change their car due to advance technology Approx 8% change their car due to fashion & trend \
Q.9 What does affects your buying behavior generally while selecting any car in small & medium segment?
Interpretation:-Middle class segment generally influenced by family &friends followed by brand as
58% respondents influenced by family and friends 26 % participants chane their decision due to brand because they are brand
conscious Style & features are influenced only 6%
Facts & finding
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Findings :-
In present Maruti is leading in small & medium car segment followed by Hyundai
Existing customer are satisfied with their present car performance like mileage ,servicing etc
In current scenario Maruti will be market leader followed by Hyundai
Middle class segment like to buy any brand due to mileage followed by looks & style
They change their cars after two years or more, due to fed up with car and for new advance technology
They highly influenced by family and friends while making purchase
CONLUSIONCONLUSION & & RECOMMENDATIONRECOMMENDATION
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From the analysis of the responses received from the customers in Delhi,
overall findings show that Maruti Suzuki is the most prefered brand
among the participants.
Maruti Suzuki and Hyundai,Tata Motors are the biggest competitor in the small & madium car market..
Among the five attributes ( which we considered important for customers’ purchasing decision ) customers gave highest consideration to mileage followed by the looks and style. Other attributes like comfort, service and spares were considered later.
Most middle class person prefer Maruti Suzuki in this segment and
usually they use car for their transport.
Servicemen still would like to go for small & medium car but with
mileage with the first considerable thing followed by looks and style and
power.
Study shows that middle class segment highly influenced by family &
friends while purchasing the car. So companies should advertise their
product targeted to families
Gradually Hyundai & TATA captured the market of Maruti due to their
new launching in small cars like TATA nanoetc and Maruti should come
up with more cheaper cars with the regular Maruti Advantages like
mileage.
Questionnaire
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Objective: Consumer buying behavior towards small & medium car segmentQ. 1 Do you use cars?
o Yeso No
Q.2 Which car do you use? ………………………………………………
Company
Maruti
Honda GM TATA Hyundai
Model
Q.3 Is the present car up to your expectations? o Yeso No
Elaborate (Why Yes / Why No) __________________________________________________________________________________________________________________________________________Q. 4 Are you planning to buy a new car in the near future?
o Yeso No
Q. 5 Which brand would you prefer?
o Marutio Hondao GMo TATAo Hyundai
If other, then please specify…………………………..
Q. 6 Why would you prefer the above mentioned car?o Mileage
o Looks and style
o Comfort
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o Service and spares
o Other
If other, then please specify…………………………..
Q.8. How frequently do you change your car? Why?o 6-12 Monthso Up to 2 years o More than 2 yearo Till the life of the bike
Reasons
Status Fashion & Trend
Advance Technology
Fed up & Reseal
Other
If other, then please specify…………………………..
o Family or Friendso Advertisemento Brand o Style & Featureso Technical Advancement o Other Issue
If other, then please specify…………………………..
Personal Information:
Name :
Occupation :
Age : 1. 26-35 2. 36-45 3. Above 45
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Date : SignaturePlace :
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