Chapter-1 Introduction to Bajaj

Chapter1:Introduction to the Organisation

Bajaj Auto limited is one of the largest two wheeler manufacturing company in India apart from producing two wheelers they also manufacture three wheelers. The company had started way back in 1945. Initially it used to import the two wheelers from outside, but from 1959 it started manufacturing of two wheelers in the country. By the year 1970 Bajaj Auto had rolled out their 100,000th vehicle. Bajaj scooters and motor cycles have become an integral part of the Indian milieu and over the years have come to represent the aspirations of modern India. Bajaj Auto also has a technical tie up with Kawasaki heavy industries of Japan to produce the latest motorcycles in India which are of world class quality The Bajaj Kawasaki eliminator has emerged straight out of the drawing board of Kawasaki heavy industries. The core brand values of Bajaj Auto limited includes Learning, Innovation, Perfection, Speed and Transparency.Bajaj Auto has three manufacturing units in the country at Akurdi, Waluj and Chakan in Maharashtra, western India, which produced 2,314,787 vehicles in 2005-06. The sales are backed by a network of after sales service and maintenance workshopsalloverthecountry.Bajaj Auto has products which cater to every segment of the Indian two wheeler market Bajaj CT 100 Dlx offers a great value for money at the entry level. Similarly Bajaj Discover 125 offers the consumer a great performance without making a big hole in the pocket.PROFILE:

Founder

Year of Establishment

Industry

Business Group

Listings & its codes

Presence

Jamnalal Bajaj

1926

Automotive - Two & Three Wheelers

The Bajaj Group

BSE Code: 500490; NSE - Code: BAJAJAUTO

Distributionnetworkcovers50countries.Dominant presence in Sri Lanka, Bangladesh, Columbia, Guatemala, Peru, Egypt, Iran and Indonesia.

Joint Venture

Registered & Head Office

Kawasaki Heavy Industries of Japan

AkurdiPune - 411035IndiaTel.: +(91)-(20)-27472851Fax: +(91)-(20)-27473398

Works Akurdi, Pune 411035

Bajaj Nagar, Waluj Aurangabad 431136

Chakan Industrial Area, Chakan, Pune

411501

E-mailrahulbajaj@bajajauto.co.in

Websitewww.bajajauto.com

KEY PERSONS:

Board of Directors

Rahul BajajChairman

Madhur BajajVice Chairman & Whole-Time Director

Rajiv BajajManaging Director

Sanjiv BajajExecutive Director

D.S. MehtaWhole-Time Director

Kantikumar R. PodarDirector

Shekhar BajajDirector

D.J. Balaji RaoDirector

J.N. GodrejDirector

S.H. KhanDirector

Mrs. Suman KirloskarDirector

Naresh ChandraDirector

Nanoo PamnaniDirector

Manish KejriwalDirector

P MurariDirector

Niraj BajajDirector

Committees of the Board

Audit CommitteeS.H. KhanChairman

D.J. Balaji Rao

J.N. Godrej

Naresh Chandra

Nanoo Pamnani

Shareholders & Investors Grievance committee

D.J. Balaji RaoChairman

J.N. Godrej

Naresh Chandra

S. H. Khan

Remuneration committee

D.J. Balaji RaoChairman

S.H. Khan

Naresh Chandra

Registered under the Indian Companies Act, VII of 1913

REGISTERED OFFICEAkurdi, Pune 411 035

WORKSAkurdi, Pune 411 035

Bajaj Nagar, Waluj Aurangabad 431 136

Chakan Industrial Area, Chakan, Pune 411 501

Bajaj Autos Ltd.

Bajaj Auto Limited

TypePublic

Founded1945

HeadquartersPune, India

Key peopleRahul Bajaj (Chairman)

RevenueRs. 1,01,063 billion (2006) or USD 1.87 billion

Net incomeRs. 17,016 billion

Employees???

Websitewww.bajajauto.com

Bajaj Auto is a major Indian automobile manufacturer. It is India's largest and the world's 4th largest two- and three-wheeler maker. It is based in Pune, Maharashtra, with plants in Waluj near Aurangabad, Akurdi and Chakan, near Pune. Bajaj Auto makes motorscooters, motorcycles and the auto rickshaw.COMPANY'S HISTORYBajaj Auto came into existence on November 29, 1945 as M/s Bachraj Trading Corporation Private Limited. It started off by selling imported two- and three-wheelers in India. In 1959, it obtained license from the Government of India to manufacture two- and three-wheelers and it went public in 1960. In 1970, it rolled out its 100,000th vehicle. In 1977, it managed to produce and sell 100,000 vehicles in a single financial year. In 1985, it started producing at Waluj in Aurangabad. In 1986, it managed to produce and sell 500,000 vehicles in a single financial year. In 1995, it rolled out its ten millionth vehicle and produced and sold 1 million vehicles in a year.Timeline of new releases 1971 - three-wheeler goods carrier 1972 - Bajaj Chetak 1976 - Bajaj Super 1977 - Rear engine Autorickshaw 1981 - Bajaj M-50 1986 - Bajaj M-80, Kawasaki Bajaj KB100 1990 - Bajaj Sunny 1994 - Bajaj Classic 1995 - Bajaj Super Excel 1997 - Kawasaki Bajaj Boxer, Rear Engine Diesel Autorickshaw 1998 - Kawasaki Bajaj Caliber, Legend(India's first four-stroke scooter) 2000 - Bajaj Saffire 2001 - Eliminator, Pulsar 2003 - Caliber115, Bajaj Wind 125, Bajaj Pulsar 2004 - Bajaj CT 100, New Bajaj Chetak 4-stroke with Wonder Gear, Bajaj Discover DTS-i 2005 - Bajaj Wave, Bajaj Avenger, Bajaj Discover 2006 - Bajaj Platina 2007 - Bajaj Pulsar-200 Scooters Bajaj Sunny Bajaj Chetak Bajaj Cub Bajaj Super Bajaj Wave Bajaj Legend Motorcycles Kawasaki Eliminator Bajaj Pulsar Bajaj Kawasaki Wind 125 Bajaj Boxer Bajaj CT 100 Bajaj Platina Bajaj Caliber Bajaj Discover Bajaj Avenger Bajaj Pulsar 220 DTS-Fi Upcoming Models Bajaj Krystal Bajaj Blade Bajaj Sonic Bajaj XCD String New ImageThe company, over the last decade has successfully changed its image from a scooter manufacturer to a two wheeler manufacturer, product range ranging from Scooterettes to Scooters to Motorcycle. Its real growth in numbers has come in the last 4 years after successful introduction of a few models in the motorcycle segment.The companyis headed by Rahul Bajaj who is worth more than US$1.5 billio

1.2 Introduction to Hero Honda

India has the largest number of two wheelers in the world with 41.6 million vehicles. India has a mix of 30 percent automobiles and 70 percent two wheelers in the country. India was the second largest two wheeler manufacturer in the world starting in the 1950s with the birth of Automobile Products of India (API) that manufactured scooters. API manufactured the Lambrettas but, another company, Bajaj Auto Ltd. surpassed API and remained through the turn of the century from its association with Piaggio of Italy (manufacturer of Vespa).

The license raj that existed between the1940s to1980s in India, did not allow foreign companies to enter the market and imports were tightly controlled. This regulatory maze, before the economic liberalization, made business easier for local players to have a sellers market. Customers in India were forced to wait 12 years to buy a scooter from Bajaj. The CEO of Bajaj commented that he did not need a marketing department, only a dispatch department. By the year 1990, Bajaj had a waiting list that was twenty-six times its annual output for scooters.

The motorcycle segment had the same long wait times with three manufacturers; Royal Enfield, Ideal Jawa, and Escorts. Royal Enfield made a 350cc Bullet with the only four-stroke engine at that time and took the higher end of the market but, there was little competition for their customers. Ideal Jawa and Escorts took the middle and lower end of the market respectively.In the mid-1980s, the Indian government regulations changed and permitted foreign companies to enter the Indian market through minority joint ventures. The two-wheeler market changed with four Indo-Japanese joint ventures: Hero Honda, TVS Suzuki, Bajaj Kawasaki and Kinetic Honda. The entry of these foreign companies changed the Indian market dynamics from the supply side to the demand side. With a larger selection of two-wheelers on the Indian market, consumers started to gain influence over the products they bought and raised higher customer expectations. The industry produced more models, styling options, prices, and different fuel efficiencies. The foreign companies new technologies helped make the products more reliable and with better quality. Indian companies had to change to keep up with their global counterparts.

BOARD OF DIRECTORS

No.Name of the DirectorsDesignation

1Mr. Brijmohan Lall MunjalChairman & Whole-time Director

2Mr. Pawan MunjalManaging Director

3Mr. Toshiaki NakagawaJt. Managing Director

4Mr. Takao EguchiWhole-time Director

5Mr. Satyanand MunjalNon-executive Director

6Mr. Om Prakash MunjalNon-executive Director

7Mr. Tatsuhiro OyamaNon-executive Director

8Mr. Masahiro TakedagawaNon-executive Director

9Mr. Narinder Nath VohraNon-executive & Independent Director

10Mr. Pradeep DinodiaNon-executive & Independent Director

11Gen.(Retd.) Ved Prakash MalikNon-executive & Independent Director

12Mr. Analjit SinghNon-executive & Independent Director

13Dr. Pritam SinghNon-executive & Independent Director

14Ms. Shobhana BhartiaNon-executive & Independent Director

Hero Honda Motorcycle Ltd.

TypePublic company BSE:HEROHONDA M

FoundedJanuary 19, 1984 in Gurgaon, Haryana, India

HeadquartersHaryana, India

Om Prakash Munjal, Founder

Key peopleMr.BrijmohanLallMunjal,Chairman

Mr. Toshiaki Nakagawa, Joint Managing Director

Mr. Pawan Munjal, Managing Director

IndustryAutomotive

ProductsMotorcycles, Scooters

RevenueU$ 2.8 billion

Websitehttp://www.herohonda.com/site/home/home.asp

HERO HONDA HEADQUARTERSHero Honda Motorcycles Limited is an Indian manufacturer of motorcycles and scooters. Hero Honda is a joint venture that began in 1984 between the Hero group of India and Honda from Japan. It has been the world's biggest manufacturer of 2-wheeled motorized vehicles since 2001, when it produced 1.3 million motorbikes in a single year. Hero Honda's Splendor is the world's largest selling motorcycle. Its 2 plants are in Dharuhera and Gurgaon, both in Haryana, India. It specializes in dual use motorcycles that are low powered but very fuel efficient.

[ Models ]Bikes Hero Honda Splendor Plus Hero Honda Passion Plus Hero Honda Karizma Hero Honda CBZ Hero Honda Super Splendor Hero Honda CD Dawn Hero Honda CD Deluxe Hero Honda Achiever Hero Honda Glamour Hero Honda Ambition

Hero Honda "Splendor" Model1.3 COMPANY PROFILEHero, is the brand name used by the Munjal brothers in the year 1956 with the flagship company Hero Cycles. The two-wheeler manufacturing business of bicycle components had originally started in the 1940s and turned into the worlds largest bicycle manufacturer today. Hero, is a name synonymous with two-wheelers in India today. The Munjals roll their own steel, make free wheel bicycle critical components and have diversified into different ventures like product design. The Hero Group philosophy is: To provide excellent transportation to the common man at easily affordable prices and to provide total satisfaction in all its spheres of activity. The Hero group vision is to build long lasting relationships with everyone (customers, workers, dealers and vendors). The Hero Group has a passion for setting higher standards and Engineering Satisfaction is the prime motivation, way of life and work culture of the Group.

In the year 1984, Mr. Brijmohan Lal Munjal, the Chairman and Managing Director of Hero Honda Motors (HHM), headed an alliance between the Munjal family and

Honda Motor Company Ltd. (HMC). HHM Mission Statement is: We, at Hero

Honda, are continuously striving for synergy between technology, systems, and human resources to provide products and services that meet the quality, performance, and price aspirations of our customers. While doing so, we maintain the highest standards of ethics and societal responsibilities, constantly innovate products and processes, and develop teams that keep the momentum going to take the company to excellence in the new millennium. This alliance became one of the most successful joint ventures in India, until the year 1999 when HMC had announced a 100% subsidiary, Honda Motorcycle & Scooter India (HMSI). This announcement caused the HHM stock price to decrease by 30 percent that same day. Munjal had to come up with some new strategic decisions as, HMSI and other foreign new entry companies were causing increased intensity of rivalry for HHM.

GROWTHThe business growth of Hero Honda has been phenomenal throughout its early days. The Munjal family started a modest business of bicycle components. Hero Group expanded so big that by 2002 they had sold 86 million bicycles producing 16000 bicycles a day. Today Hero Honda has an assembly line of 9 different models of motorcycles available. It holds the record for most popular bike in the world by sales for Its Splendor model. Hero Honda Motors Limited was established in joint venture with Honda Motors of Japan in 1984, to manufacture motorcycles. It is

currently the largest producer of Two Wheelers in the world. It sold 3 million bikes in the year 2005-2006. Recently it has also entered in scooter manufacturing, with its model PLEASURE mainly aimed at girls. The Hero Group has done business differently right from the start and that is what has helped them to achieve break-through in the competitive two-wheeler market. The Group's low key, but focused, style of management has earned the company plaudits amidst investors, employees, vendors and dealers, as also worldwide recognition.The growth of the Group through the years has been influenced by a number of factors:

Just-in-TimeThe Hero Group through the Hero Cycles Division was the first to introduce the concept of just-in-time inventory. The Group boasts of superb operational efficiencies. Every assembly line worker operates two machines simultaneously to save time and improve productivity. The fact that most of the machines are either developed or fabricated in-house, has resulted in low inventory levels. In Hero Cycles Limited, the just-in-time inventory principle has been working since the beginning of production in the unit and is functional even till date.. This is the Japanese style of production and in India; Hero is probably the only company to have mastered the art of the just-in-time inventory principle.

Ancillarisation

An integral part of the Group strategy of doing business differently was providing support to ancillary units. There are over 300 ancillary units today, whose production is dedicated to Hero's requirements and also a large number of other vendors, which include some of the better known companies in the automotive segment. Employee Policy:

Another Striking feature within the Hero Group is the commitment and dedication of its workers. There is no organized labor union and family members of employees find ready employment within Hero. The philosophy with regard to labor management is "Hero is growing, grow with Hero." When it comes to workers' benefits, the Hero Group is known for providing facilities, further ahead of the industry norms. Long before other companies did so, Hero was giving its employees a uniform allowance, as well as House Rent Allowance (HRA) and Leave Travel Allowance (LTA). Extra

benefits took the form of medical check-ups, not just for workers, but also for the immediate family members.

Dealer NetworkThe relationship of Hero Group with their dealers is unique in its closeness. The dealers are considered a part of the Hero family. A nation-wide dealer network comprising of over 5,000 outlets, and have a formidable distribution system in place. Sales agents from Hero travels to all the corners of the country, visiting dealers and send back daily postcards with information on the stock position that day, turnover, fresh purchases, anticipated demand and also competitor action in the region. The manufacturing units have a separate department to handle dealer complaints and problems and the first response is always given in 24 hours.

Financial PlanningThe Hero Group benefits from the Group Chairman's financial acumen and his grasp on technology, manufacturing and marketing. Group Company, Hero Cycles Limited has one of the highest labor productivity rates in the world. In Hero Honda Motors Limited, the focus is on financial and raw material management and a low employee turnover.

QualityQuality at Hero is attained not just by modern plants and equipment and through latest technology, but by enforcing a strict discipline. At the Group factories, attaining quality standards is an everyday practice - a strictly pursued discipline. It comes from an amalgamation of the latest technology with deep-rooted experience derived from nearly four decades of hard labor. It is an attitude that masters the challenge of growth and change - change in consumers' perceptions about products and new aspirations arising from a new generation of buyers. Constant technology up gradation ensures that the Group stays in the global mainstream and maintains its competitive edge. With each of its foreign collaborations, the Group goes onto strengthen its quality measures as per the book. The Group also employs the services of independent experts from around the world to assist in new design and production processes.

DiversificationThroughout the years of enormous growth, the Group Chairman, Mr. Lall has actively looked at diversification. A considerable level of backward integration in its manufacturing activities has been ample in the Group's growth and led to the establishment of the Hero Cycles Cold Rolling Division, Munjal and Sunbeam Castings, Munjal Auto Components and Munjal Showa Limited amongst other component-manufacturing units.

Then there were the expansion into the automotive segment with the setting up of Majestic Auto Limited, where the first indigenously designed moped, Hero Majestic, went into commercial production in 1978. Then came Hero Motors which introduced Hero Puch, in collaboration with global technology leader Steyr Daimler Puch of Austria. Hero Honda Motors was established in 1984 to manufacture 100 cc motorcycles.

The Hero Group also took a venture into other segments like exports, financial services, information technology, which includes customer response services and software development. Further expansion is expected in the areas of Insurance and Telecommunication.

The Hero Group's phenomenal growth is the result of constant innovations, a close watch on costs and the dynamic leadership of the Group Chairman, characterized by a culture of entrepreneurship, of right attitudes and building stronger relationships with investors, partners, vendors and dealers and customers

1.3 TVS MOTOR COMPANYThe TVS group was established in 1911 by Shri. T. V. Sundaram Iyengar. As one of Indias largest industrial entities it epitomizes Trust, Value and Service. It all began way back in 1984 when Sundaram Clayton Limited (A TVS Group company) introduced its 50 CC mopeds in the arena of road racing, notching up unbelievable speeds of 105 kmph. Since then, there has been no looking back for TVS Motor Company. TVS Racing was established in 1987 with the objective of improving the performance of its bikes. Over the years it has provided valuable data, design inputs, development of reliable motorcycle models, excellent vehicle dynamics & handling etc. The true evidence of it is seen in today's TVS Victor and TVS Fiero. Today, there are over thirty companies in the TVS Group, employing more than 40,000 people worldwide and with a turnover in excess of USD 2.2 billion.

With steady growth, expansion and diversification, TVS commands a strong presence in manufacturing of two-wheelers, auto components and computer peripherals. We also have vibrant businesses in the distribution of heavy commercial vehicles passenger cars, finance and insurance.

TVS Motor Company Limited, the flagship company of the USD 2.2 billion TVS Group, is the third largest two-wheeler manufacturer in India and among the top ten in the world, with an annual turnover of over USD 650 million.

The year 1980 is one to be remembered for the Indian two-wheeler industry, with the roll out of TVS 50, India's first two-seater moped that ushered in an era of affordable personal transportation. For the Indian Automobile sector, it was a breakthrough to be etched in history. TVS Motor Company is the first two-wheeler manufacturer in the world to be honoured with the hallmark of Japanese Quality The Deming Prize for Total Quality Management It is the only automotive manufacturer in India to get the prestigious Deming Prize. One of its subsidiaries Sundaram Clayton was the first company in India to receive the Deming allowed by Sundaram Brake Linings also getting the Deming Prize. This prize is "given to organizations or divisions of organizations that have achieved distinctive performance improvement through the application of TQM in a designated year." Sundaram Clayton went on to be awarded the Japan Quality Medal.

The TVS group of companies is mainly situated in Padi, Tamil Nadu, in the outskirts of Chennai (formerly Madras).

1.3.1 TVS MOTORSTVS Motor Company has its origin in SUndaram CLayton Limited, Moped Division, started in 1980. The factory was started in Hosur, Tamilnadu in southern India. The first product launched was a 50 cc moped, which appealed to the masses because of its capability to carry two people. In the same location, the same promotors started another company in 1984, in collaboration with Suzuki Motor Corporation of Japan, for the manufacture of 100 cc motorcycles under the brand name of Ind-Suzuki Motorcycles. Subsequently in the moped division was bought by Ind Suzuki Motorcycles in 1987 and the company changed its name to TVS Suzuki Ltd. Even though the company started producing all kinds of two wheelers like mopeds, scooters and motorcycles, the collaboration with Suzuki continued for the motorcycles only. The collaboration with Suzuki Motor Corporation ended in 2001 and since then the name of the company changed to TVS Motor Company. The company now develops all types of two-wheelers through its own in house R&D facility and manufactures in three locations in India, Hosur in Tamlnadu, Mysore in Karnataka and Baddi in Himachal Pradesh. It has recently started a new manufacturing plant in Indonesia to cater to the South east Asian market. The Chairman and Managing Director of the Company is Mr. Venu Srinivasan who is the grandson of TV Sundaram Iyengar.

TVS Group Companies Sundaram Brake Linings Sundaram Fastners Southern Roadways Sundaram Finance Sundharams Private Limited Brakes India Limited THE MAJOR PRODUCTSMotorcycles TVS Ind Suzuki AX 100 TVS MAX 100 TVS MAX R 100 TVS Supra TVS Suzuki Samurai TVS Suzuki Shogun TVS Suzuki Shaolin TVS Suzuki Fiero TVS Fiero TVS Star TVS Star City TVS Star city deluxe TVS Star Sport TVS Fiero F2 TVS Fiero FX TVS Centra TVS Victor (110 cc) TVS Victor GLX (125 cc) TVS Victor EDGE (125 cc) TVS Flame (125 cc,ccvti technology) TVS Apache (150 cc,13.7 Ps @8500rpm) TVS Apache RTR 160 TVS Apache RTR 160 EFI (Electronic Fuel Injection) Scooters TVS Scooty ES (60 cc) TVS Scooty KS (60 cc) TVS Scooty Pep (75 cc) TVS Scooty Pep + (90 cc) TVS Teenz Mopeds TVS XL 50(50 cc) TVS XL (60 cc TVS Eco TVS Astra TVS XL Super (60 cc) TVS XL Super Heavy Duty TVS Champ (60 cc) TVS Super Champ (60 cc) BAJAJ PULSAR 150

Price (ex-showroom, Mumbai)Rs 49,400-53,000Top speed 107kph0-60kph 6.25sec

Kpl 59.6 (overall)HERO HONDA CBZ X-TREMEPrice Rs 56000Displacement 150 ccWeight: 141 Kgs (Kick Start) / 143 Kgs(Electric Start)4-stroke single cylinderIdle engine speed 1400 rpmTVS APACHE

Price: Rs.58,600/- (Pune)Displacement 150 cc Good Balance, Good brakes 4-stroke single cylinderElectric start & kick start option Six-spoke black alloy wheels Chapter 2.

Reviewof Literature

2.1.1: STUDIES RELATED TO GROWTH AND DEVELOPMENTS IN INDIAN TELECOM SECTORStern (1999) projected a target 75 million bikes by the year 2005 and s by 2010 has been set. Indian two wheelers sector has already achieved. With over 100 million telephone connections and an annual turnover of Rs. 61,000 crores, our present teledensity is around 9.1%.

Wellenius (2001) analysed that information is regarded today as a fundamental factor of production, alongside capital and labor. The information economy accounted for one-third to one-half of gross domestic product (GDP) and of employment in Organization for Economic Cooperation and Development (OECD) countries in the 1980s and is expected to reach 60 percent for the European Community in the year 2000. Information also accounts for a substantial proportion of GDP in the newly industrialized economies and the modern sectors of developing countries.

World Telecommunication Development Report (2002) explains that network expression in India was accompanied by an increase in productivity of two wheeler staff measured in terms of ratio of number of main lines in operation to total number of staff.

Shyamal Ghosh (2003) mentions that the most significant development since 1999 has been the progressive reduction in tariffs which has been facilitated by competition through multi operator environment. The most dramatic reduction in tariff has been from very high Rs. 16 per minute to Rs. 2 per minute.

Arindham Mukherjee 2006 studied that takes out various case studies like TVS HERO HONDA BAJAJ . to study the rising interest of foreigners for investment in Indian industry. Various reasons of stemming growth can be rising subscriber base, rising teledensity, rising handset requirements, saturated telecom markets of other countries, stiff competition, requirement of huge capital, high growth curve on telecom, changing regulatory environment, conducive FDI limits in telecom sector.

Nagasimha Kanagal 2006 analyzed that relationships as a focus on marketing aids in the understanding of consumer needs and wants, which is useful to implement profitable exchanges. Relationship marketing helps customising solutions to important customers, more efficiently than otherwise, knowledge and application of relationship marketing helps in achieving customer satisfaction, customer retention and customer acquisition. Relationship marketing a tool of furthering the customer

Walker (2007) agreed that the traditional marketing mix has been defined as a set of controllable instruments to manage the uncontrollable and dynamic marketing environment and consist of four major element price, product, promotion or marketing communication and place.

Hutchinson, 2007 concluded that Consumer decision making process is usually guided by already formed preferences for a particular alternative. This means that consumers are likely to make the choice between alternatives based on limited information search activity and without detailed evaluation of the other alternatives (Nowlis (2007). found that many decision strategies used by consumers can change due to person, context and task specific factor It is widely accepted that the traditional problem solving approach involving, rational decision making to the study of consumer choice may not be suitable for all situations, or is at least incomplete understand choice behavior. Limited information search and evaluation of alternatives led to a situation in which consumer choice is also driven by hedonic considerationsKalavani (2006) in their study analyzed that majority of the respondentshave given favorable opinion towards the services but some problems exist that deserve the attention of the service providers. They need to bridge the gap between the services promised and services offered. The overall customers attitude towards cell phone services is that they are satisfied with the existing services but still they want more services to be provided.

Chapter 3:

Need , Objective &

Scope of study

3.1 NEED OF THE STUDY1. To analyze the customer satisfaction.

2. To analyze the customer preference.

3. To know which manufacturer is providing better services.

4. To analyze after sales services of bikes.

5. To study the behavioral factors of consumers in motor bikes.

6. To suggest various factors to improve sales. 3.2 Objective Of study

Consumer satisfaction procedure has a great importance in every organization. The objectives are set up in the start of the study, because on the basis of these objectives we have to do the research work, these are summarized as under :-

To study the customer perception regarding the Two Wheelers of the Company To study the customer satisfaction level regarding two Wheeler of Bajaj,TVS, Hero Honda

To know the factors which influence the customers in availing the service providers

To study the category of Services Provided to the customer To study the level of customer satisfaction in Bajaj, TVS & Hero Honda3.3 Scope of study

My project was based on the A COMPARATIVE STUDY OF CUSTOMERSATISFACTION TOWARD PERFORMANCE OF HERO HONDA, TVS ANDBAJAJ BIKES and data was taken in the City Bareilly onlyChapter-4:RESEARCH METHODOLOGY4.1RESEARCH METHODOLOGYIt is well known fact that the most important step in marketing research process is to define the problem. Choose for investigation because a problem well defined is half solved. That was the reason that at most care was taken while defining various parameters of the problem. After giving through brain storming session, objectives were selected and the set on the base of these objectives. A questionnaire was designed major emphasis of which was gathering new ideas or insight so as to determine and bind out solution to the problems.

4.1.1 DATA SOURCEResearch included gathering both Primary and Secondary data. Primary data is the first hand data, which are selected a fresh and thus happen to be original in character. Primary Data was crucial to know various customers and past consumer views about bikes and to calculate the market share of this brand in regards to other brands.

Secondary data are those which has been collected by some one else and which already have been passed through statistical process. Secondary data has been taken from internet, newspaper, magazines and companies web sites.

4.2 RESEARCH APPROACHThe research approach was used survey method which is a widely used method for data collection and best suited for descriptive type of research survey includes research instrument like questionnaire which can be structured and unstructured. Target population is well identified and various methods like personal interviews and telephone interviews are employed.

4.2.1 SAMPLING UNITIt gives the target population that will be sampled. This research was carried in Bareilly (Distt Bareilly).

These were 90 respondents

4.3 LIMITATIONS OF STUDY1. Research work was carried out in one Distt of U.P. (BAREILLY) only the finding may not be applicable to the other parts of the country because of social and cultural differences. 2. The sample was collected using connivance-sampling techniques. As such result may not give an exact representation of the population.

3. Shortage of time is also reason for incomprehensiveness.

The views of the people are biased therefore it doesnt reflect true picture.

Chapter 5:

Data Presentation, Analysis and Interpretation

. Q1) Which bike do you have?Hero Honda30

Bajaj30

Any other30

INTERPRETATION: - Out of the sample size of 90 customers, 30 customers are of Hero Honda, 30 are of Bajaj and 30 customers of TVS bikes are taken into consideration.

Q2) Which Model do you Have?Hero HondaBajajTVS

Splender13CT 1005Flame4

Passion5Discover11Star City9

Karizma2Pulsar10Apache7

Any other10Any other4Any other10

HERO HONDA

INTERPRETATION: - In Hero Honda mostly the customers are having splendor while the ratio of the customers using Passion, Karizma and other bikes are comparatively low.

BAJAJ

INTERPRETATION: - In Bajaj the customers are giving more preference to Discover and Pulsar models.

TVS

INTERPRETATION:- In TVS Bikes the customers are givig more preference to the other models rather than Flame,Starcityand Apache.

Q3) In which family Income level do you Fall?100000-20000022

200000-30000045

300000-40000023

above 40000010

INTERPRETATION: - The maximum numbers of customers that are using these bikes fall in the income group of 200000-300000. While this ratio is minimum in case of customers whose income level fall between 300000-400000.

Q4) For how long do you own a bike?0-1 year34

1-2 year29

2-3 year26

above 3 year11

INTERPRETATION: - It is observed that mostly the customers are having new bikes.

Q5) For what purpose do you use your Motor Bike?Hero HondaBajajTVS

Office Purpose134238

Personal purpose171527

Joy Purpose101810

Other401515

INTERPRETATION:- The customers are using their bikes mostly for official and

personal purpose.

Q6) How do you come to know about this Motor Bike?Hero HondaBajajTVS

Newspaper283322

Television222818

Magazine81628

Friends & Relative371322

INTERPRETATION: - It is observed that the awareness of Hero Honda bikes mostly comes from friends while of Bajaj and TVS the awareness comes from newspapers and televisions.

Q7) Does Advertisement Influence your decision in choosing a Motor Bike?Yes65

No15

Cant say10

INTERPRETATION: - Out of the sample size of 90 customers, 65 customers agrees with the fact that advertisements play a very significant role in influencing their behavior to choose the bike. On the other hand 15 customers do not agree to this fact. While remaining 10 customers are not sure about it.

Q8 Are you satisfied with the performance of the bike that you are currently havin?Yes55

No28

Cant say7

INTERPRETATION:- Out of the sample size of 90 customers, 55 customers says that they are satisfied with the performance of their bikes. On the other hand 28 customers are not satisfied with the performance of the bikes that they are having. While the remaining 10 customers are unable to say anything.

Q9) Do you have full knowledge about Bikes before buying?Hero HondaBajajTVS

Yes423437

No372722

Cant Say112931

INTERPRETATION:- It is observed that most of the customers are having

full knowledge of the bike before purchasing.

Q10) Which Factor below Influence your decision?Hero HondaBajajTVS

Price172228

Mileage281515

Quality112016

Resale Value121417

Status symbol321914

HERO HONDA

INTERPRETATION:- In Hero Honda bikes the mileage of the bike and the value that it adds to the status symbol of the customers influences the decision criteria of most of the customers.

BAJAJ

INTERPRETATION:- In Bajaj bikes customers gets more influenced by the price and quality of the bike and also they think that it adds value to their prestige.

TVS

INTERPRETATION: - In TVS bike the economic price of the bikes influences the buying behavior of the customers.

Q11) How would you rate the following factors of Bikes with respect to differentcompany?

Hero HondaBajajTVS

Mileage74%72%68%

Price68%65%47%

Pick up70%80%62%

Maintenance58%62%74%

Look & Shape85%80%72%

Brand Image53%55%69%

INTERPRETATION: - It is observed that in rating of different features of different bikes people give maximum rating to the look and shape of the bike. At the second level they give their rating to the pick up. At the third level they rate mileage. And at the fourth level they give points to maintenance. At last they rate price and brand image.

Q12) If new Bike with good features comes in, then would you like to change your bike?Hero HondaBajajTVS

Yes101614

No161111

Cant say435

INTERPRETATION:- It is observed that the customers of Hero Honda bikes are not ready to change their bikes even if a new bike comes in with good features. While majority of the customers of Bajaj and TVS are ready to change their bikes if new bike provides some good features to them.

FINDINGSDuring this research project I came in to contact with many customers who are having bikes. It has been found that in Hero Honda mostly the customers are having splendor while the ratio of the customers using Passion, Karizma and other bikes are comparatively low. In Bajaj the customers are giving more preference to Discover and Pulsar models and in case of TVS Bikes the customers are givig more preference to the other models rather than Flame,Starcityand Apache. The maximum numbers of customers that are using these bikes fall in the income group of 200000-300000.

It has been observed that the customers are using their bikes mostly for official and personal purpose. It is observed that the awareness of Hero Honda bikes mostly comes from friends while of Bajaj and TVS the awareness comes from newspapers and televisions. Out of the sample size of 90 customers, 65 customers agree with the fact that advertisements play a very significant role in influencing their behavior to choose the bike. On the other hand 15 customers do not agree to this fact. While remaining 10 customers are not sure about it.

When the customers are asked that are they satisfied with the performance of their bikes then most of them agrees to the fact. Out of the sample size of 90 customers, 55 customers says that they are satisfied with the performance of their bikes. On the other hand 28 customers are not satisfied with the performance of the bikes that they are having. While the remaining 10 customers are unable to say anything. It is observed that most of the customers are having full knowledge of the bike before purchasing

It has been seen that In Hero Honda bikes the mileage of the bike and the value that it adds to the status symbol of the customers influences the decision criteria of most of the customers. In Bajaj bikes customers gets more influenced by the price and quality of the bike and also they think that it adds value to their prestige. While in case of TVS bike the economic price of the bikes influences the buying behavior of the customers.

It is observed that in rating of different features of different bikes people give maximum rating to the look and shape of the bike. At the second level they give their rating to the pick up. At the third level they rate mileage. And at the fourth level they give points to maintenance. At last they rate price and brand image.

It is observed that the customers of Hero Honda bikes are not ready to change their bikes even if a new bike comes in with good features. While majority of the customers of Bajaj and TVS are ready to change their bikes if new bike provides some good features to them.

Conclusion1. Most of the Flame, Apache, Pulsar, CBZ & Karizma are purchased by young generation 18 to 30 years because they prefer stylish looks and rest of the models of Hero Honda, TVS and Bajaj are purchased more by daily users who needs more average of bikes than looks.

2. Hero Honda is considered to be most fuel-efficient bike on Indian roads.

3. Service & Spare parts are available throughout India in local markets also.

4. While buying a motorcycle, economy is the main consideration in form of maintenance cost, fuel efficiency.

5. Majority of the respondent had bought their motorcycle more than 3 years.

RECOMMENDATIONS1. Bajaj should introduce some more models having more engine power.

2. Hero Honda should think about fuel efficiency in case of upper segment bikes.

3. More service centers should be opened.

4. Maintenance cost and the availability of the spare parts should also be given due importance.

5. They also introduce some good finance/discount schemes for students.

6. The price should be economic.

BIBLIOGRAPHY1. www.herohonda.com

2. www.google.com 3. www.bajaj.com 4. www.twowheeler.com 5. www.extrememachines.com QUESTIONNAIRENAME: -

CONTACT NO .

AGE:-15-2020-25

25-30Above 30

OCCUPATION:-BusinessmanEmployee

StudentOther

Q1)Which Bike do you have?

Hero HondaBajajTVS

Q2)Which Model do you have?

Hero Honda: -SplendorPassion

KarizmaOther

Bajaj: -CT 100Discover

PulsarOther

TVS:-FlameApache

Star cityOther

Q3)In which Family Income do you Fall?

100000-200000

200000-300000

300000-400000Above 400000

Q4)For how long do you own a Bike?

0-1 year1-2 year

2-3 yearabove 3 years

Q5)For what purpose do you use your Motor Bike?

Office PurposePersonal Purpose

Joy PurposeOther

Q6)How do you come to know about this Motor Bike?

NewspaperTelevision

MagazinesFriends/Relatives

Q7)Are you satisfied with the performance of the bike that you are currently having?

YesNoCant say

Q8)Does Advertisement Influence your decision in choosing a Motor Bike?

YesNoCant say

Q9)Do you have full knowledge about Bikes before buying?

YesNoCant say

Q10). Which factor below influence your decision?

PriceMileageQuality

Resale ValueStatus Symbol

Q11) How would you rate the following factors of bikes with respect to different companies?Hero HondaBajajTVS

Mileage

Price

Pick up

Maintenance

Look/Shape

Brand ImageQ12) If new bike with good feature comes in, then would you like to change your bikes?

YesNoCant say

Q13) Any Suggestions for CompanyDate:(Signature)