Final Report on Manickbag Auto

Manickbag Automobiles Pvt. Ltd. Hubli

A Nasabi

Executive Summary

Automobile industry in India is an emerging sector and has a potential to

improve it. The key players have framed the strategies to tap the sector as per their features of

the automotives. The increasing GDP and economical resources have boost up during the last

decade which has increased purchasing power of the Indian peoples. The car segment in India

has emerged as one of the promising sector and has shown growth trends in tremendous sales.

The project undertaken was at Manickbag automobiles, Manickbag was

founded in the year 1920 by two families of SHAH and MIRJI with Mr. Manickchand Shah

& Dharmappa Mirji as the Visionaries.

With this success they ventured into Automobile industry in 1950 and took

dealership of Simpons, Mico, Sundaram Clayton, Ashok Leyland and TVS. Presently with

Tata Motors Dealership for both commercial Vehicles and Passenger cars (including Fiat

cars) it is one of the largest dealership selling around 400 vehicles on an average month in

both commercial and passenger cars. The dealership covers entire North Karnataka with

Belgaum as Head Office and Hubli as main Branch and have other branches at Gadag,

Haveri, Bijapur, Gulbarga, Bidar, Ankola, Bagalkot, Sirsi, Gajendragad, Shaapur,

basavkalyan, Gokak, Athni and Bailhongal.

The efforts of all these years never went without rewards. Manickbag is

honored with many awards including the coveted one “India’s Best CSI (Customer

Satisfaction Index) at the Hands of Honorable Chairman of TATA Group Shri Ratan Tata.

Tata Motors has emerged as key player in Indian automobile industry and its

share in Commercial Vehicles has 63.94%, Passenger Vehicles 16.45%. Tata Motors Limited

is India’s largest automobile company, with consolidated revenues of USD 14 billion in

2008-09. It is the leader in commercial vehicles and among the top three in passenger

vehicles. Other key players in automobile segment of India have contributed significantly and

their existence in market has made others players to act actively in India.

Key Players:

Ford motors

Honda City

Hyundai motors

|


A Nasabi

Skoda Auto

Mitsubishi

Toyota motors

Maruti Suzuki

Chevrolet

Volkswagen

Force one

Mahindra and Mahindra

Renault.

Premium cars falls within the price range of Rs 10 to 20 lakhs. They have the

capacity to carry 4 to 5 passengers. These cars mainly target higher income group.

The term Premium suggests a vehicle with quality equipment, better

performance, more precise construction, comfort, higher design, technologically innovative

modern, or features that convey an image, brand, status, or prestige, or any other

'discretionary' feature or combination of them. Premium is relative, "what may be luxury for

one may be premium for another."

There are different categories of cars depending features, capacities and price

points. Manickbag Auto Hubli, a dealer of cars of Tata Motors wants to know the customer

perception of Premium cars of Tata Motors and also of other brands market in Hubli city.

Keeping this background in mind the area chosen for study is

“A study on Customer Perceptions of Premium Cars of Tata Motors in Hubli City”

Need For The study:

The passenger cars market is full of brands from leading car manufacturers

like Tata Motors, Maruti Suzuki, Toyota, Chevrolet, Volkswagen, Ford and Mahindra. There

are different categories of cars depending features, capacities and price points. Manickbag

Auto Hubli, a dealer of cars of Tata Motors wants to know the customer perception of

|

http://en.wikipedia.org/wiki/Social_status


A Nasabi

Premium cars of Tata Motors and also of other brands market in Hubli city and hence this

study is being undertaken.

Objectives:

To know the customer perception for Premium cars.

To know the satisfaction level of premium car users

To ascertain the perception of premium car owners towards dealer’s competencies in

providing services to them

To identify the factors influencing consumer’s choice to specific Premium cars.

To understand the consumer behavior towards all premium car brands

To understand the impact of social status on purchase of a premium car.

Sampling Method:

Since the study is restricted to Premium car segment, all the functional

departments of Manickbag automobile and the respondents are found at the service

department and in nearby shopping mall and other places so according to the convenience

randomly they are being picked so sampling method is used in this study is Random

Convenient Sampling.

Sampling:-

Sample size : 75 respondents

Sampling Method : Random Convenience sampling

Sample Plan : Personal Interview through questionnaire

Sample Unit : Respondents in Hubli city owning premium cars

Population : All premium car owners in Hubli city

Data Collection Methods:

Primary data: The Data collected for a specific purpose for the first time is Original known

as Primary Data. The primary data was basically collected in two different ways, they are: -

|


A Nasabi

1) Questionnaire Method

The Questionnaire method is a powerful tool to collect the information

a structured Questionnaire involves in asking the questions in a prearranged order. This

research contained a questionnaire that had structured (prearranged order), close ended

(limited answer can be given) questions. Some were also dichotomous questions i.e. having only

two options to answer and some likert scale.

Secondary data:

The data that is collected from the published sources i.e. not originally collected for

the first time is called secondary data. During the research the secondary data was collected

from Company website, Customer data base, Company report, publications, related

information from net Tata Motors records.

Area of research: Hubli city

Research approach: Questionnaire method

Analysis:-

By Using SPSS (Statistical Package for Social Sciences)

Graphical representation using data code sheet

Conclusion

The premium car market is expected to witness strong growth with rising

number of foreign players planning expansions in the market. Growing number of young

entrepreneurs in India inclined to drive premium cars is bringing about healthy demand for

such cars.

An analysis of drivers reveals that growth in high income households,

premium car manufacturers entering pre-owned/used car market, increasing investments in

|


A Nasabi

automotive sector and preferred choice of the young and affluent are helping the market

grow. The key challenges identified are the affordability of premium cars and that it pollutes

the environment. The report discusses the current market trends as increase in the number of

distributors across India, global companies eyeing India as manufacturing base and players

diversifying offerings.

The premium car market in India has registered a fair amount of growth in the

last few years and is growing at the rate of 27% per year, and a CAGR of 7% annually.

Suggestions

As per the analysis the premium car owners are very satisfied with their current premium

car and the dealer Manickbag automobile must to get in touch with the existing car

owners if there is launch of new car model.

Sales force need to be more good in their communication as they need to be presented to

premium customers and they should try to employee or try to have special sales force

exclusively for sale of premium cars.

As per the study the dealers competencies are as follows:

Responsiveness:

As per the study the dealer’s responsiveness is ranked as

“GOOD” and must give or serve an answer or response to the owner’s problems regarding

the premium car. The survey says that the dealer is not that responsive to premium customers

and hence the dealer must improve on its Responsiveness.

Reliability:

As per the study the dealer’s Reliability is ranked as “GOOD”. The

premium car owners feel that the dealer is trustworthy and hence it is rated as good and hence

the dealer must improve on its Reliability.

|


A Nasabi

Promptness:

As per the study the dealer’s Promptness is ranked as “EXCELLENT”. The

Dealer is quick to act or to do what is required and is ready and punctual to the service it

provides to the premium customers.

Helpfulness:

As per the study the dealer’s Helpfulness is ranked as “GOOD”. The service

provided to the premium car owners is Good and useful to the premium car owners and hence

the dealer must improve on its Helpfulness.

Technical Competency:

As per the study the dealer’s Technical Competence is ranked as

“EXCELLENT”. The premium car owners are happy with the technical service provided that

are necessary in order to perform a particular type or level of work activity . And hence the dealer’s

service is excellent.

Quality of work done:

As per the study the dealer’s Quality of work done is ranked as “GOOD”. The

premium car owners are happy with the quality of work done the dealer must improve on its

service department and improve on its work quality.

Cleanliness of premises:

As per the study the dealer’s Cleanliness of premises is ranked as “FAIR”. The

dealer must improve its premises.

Appearance of Staff:

As per the study the dealer’s Appearance of staff is ranked as “GOOD”. The

dealer can improve its staff by training.

Appearance of Premises:

As per the study the dealer’s Appearance of premises is ranked as “GOOD”.

The dealer must improve on its infrastructure.

|


A Nasabi

Courtesy of Staff:

As per the study the dealer’s Courtesy of Staff is ranked as “EXCELLENT”.

Manickbag Automobiles to be competitively ahead can try to look into all the above

mentioned. Therefore the dealer can to improve on all Responsiveness and Promptness to

gain the customers in Hubli city.

As per the study the Premium car owners would definitely recommend the dealer of

their current premium car to anyone else.

As per the study customers of premium cars would like to buy their next premium

cars of Toyota and Volkswagen.

Other suggestion includes:

On the basis of personal interaction with the premium car owners of TATA

Motors I would recommend that the Manickbag automobiles can try to bring

in more awareness especially with TATA SAFARI car as the potential for this

car is more in Hubli city.

The purchase usually lies between age group 25-44 but having said that the

age group less than 24 is very much attracted towards premium car model

because of technology and appearance therefore the study reveals that age

group less than 24 is a potential age group to influence during the purchase of

premium car.

These are the features that are looked for in a premium cars looks, styling and

higher performance.

As per the study the respondents claimed that the waiting period is too long so

steps need to be taken in order to minimize the waiting period as it might lead

to switching over of brand.

Rigorous follow up needs to be done for the potential buyer, this can be done

by personal interview, remainder mail, test drives.

|


A Nasabi

Industry Profile

Automobile Industry Introduction

|


A Nasabi

Automobile industry in India is an emerging sector and has a potential to

improve it. The key players have framed the strategies to tap the sector as per their features of

the automotives. The increasing GDP and economical resources have boost up during the last

decade which has increased purchasing power of the Indian peoples. The car segment in India

has emerged as one of the promising sector and has shown growth trends in tremendous sales.

Tata Motors has emerged as key player in Indian automobile industry and its share in

Commercial Vehicles has 63.94%, Passenger Vehicles 16.45%. Tata Motors Limited is

India’s largest automobile company, with consolidated revenues of USD 14 billion in 2008-

09. It is the leader in commercial vehicles and among the top three in passenger vehicles.

Maruti Suzuki India Limited, a subsidiary of Suzuki Motor Corporation of Japan, one of the

India's largest passenger car companies has grabbed a share for over 45% of the domestic car

market. Other key players in automobile segment of India have contributed significantly and

their existence in market has made others players to act actively in India.

Despite economic slowdown, the Indian automobile sector has shown high

growth. The passenger vehicle market, which constitutes around 80% of automobile sales,

has immense growth potential as passenger car stock stood at around 11 per 1,000 people in

2008. Anticipating the future market potential, the production of passenger vehicle is

forecasted to grow at a CAGR (Compound Annual Growth Rate) of around 10% from 2009-10

to 2012-13.

Despite economic slowdown, the Indian automobile sector has shown high

growth. The passenger vehicle market, which constitutes around 80% of automobile sales,

has immense growth potential as passenger car stock stood at around 11 per 1,000 people in

2008. Anticipating the future market potential, the production of passenger vehicle is

forecasted to grow at a CAGR (Compound Annual Growth Rate) of around 10% from 2009-10

to 2012-13.

De-licensing in 1991 has put the Indian automobile industry on a new growth

track, attracting foreign auto giants to set up their production facilities in the country to take

advantage of various benefits it offers. This took the Indian automobile production from 5.3

Million Units in 2001-02 to 10.8 Million Units in 2007-08. The other reasons attracting

global auto manufacturers to India are the country’s large middle class population, growing

earning power, strong technological capability and availability of trained manpower at

competitive prices. The Indian automotive industry provided direct employment to more than

300,000 people, exported auto component worth around US$ 2.87 Billion, and contributed

|


A Nasabi

5% to the GDP. Due to this large contribution of the industry in the national economy, the

Indian government lifted the requirement of forging joint ventures for foreign companies,

which attracted global to the Indian market to establish their plants, resulting in heightened

automobile production. The Indian automobile market is currently dominated by two-wheeler

segment but in future, the demand for passenger cars and commercial vehicles will increase

with industrial development. Also, as India has low vehicle presence it possesses substantial

potential for growth.

Evolution of the Indian Automotive Industry

Review:

Every major shift in policies made by the Indian government, the automotive

industry has come out stronger and better. While the shift in policies seems to have mostly

been brought by chance events, the Indian government has at least to be credited for making

the right decisions and implementing them correctly. It is paradoxical that the Indian middle

class, the most attractive feature for foreign investment in the liberalization phase, was an

outcome of the statist ideologies in the regulatory phase. The product innovations of domestic

firms like Tata Motors and Bajaj Auto today are the fruits of indigenization and protection

|


A Nasabi

policies of the regulatory phases. Buyer decision processes are the decision making processes

undertaken by consumers in regard to a potential market transaction before, during, and after

the purchase of a product or service. Consumers have to make different kinds of decisions

everyday according to their different needs. Some of the decisions are playing critical roles in

consumers’ daily life, for example, purchasing a new home or purchasing a car, whereas

sometimes the decisions are made on a virtually automatic basis.

Indian Automobile Market Scenario:

De-licensing in 1991 put the Indian automobile industry on a new growth

trajectory, which attracted foreign auto giants to set up their production facilities in the

country to take advantage of the various benefits it offers. Large middle class population,

growing earning power and strong technological capability have been boosting automobile

demand for the past few years. Despite economic slowdown, the Indian automobile sector has

recorded phenomenal growth, especially in passenger cars segment. The passenger vehicle

market, which constitutes around 80% of automobile sales, has immense growth potential.

Anticipating the future market potential, the production of passenger vehicle is forecasted to

grow around 10% till 2012-13. Tata Nano has brought about a new revolution in the

country’s small car segment. Seeing the good initial response from consumers, many other

players in the industry are chalking out their plans to launch cars in this segment in the next

few years. A CAGR (Compound Annual Growth Rate) analysis shows growth of around 14.5%

in domestic volume sales of passenger vehicles during the coming years. Other segments,

such as two-wheelers, multi-purpose vehicle and light commercial vehicle, are also expected

to witness fast growth in coming years.

Each section concisely explains the current and future market trends, and

developments in the Indian automobile market. There are immense opportunities for various

industry players including automobile manufacturers and players of automobile components.

According to new research report “Indian Passenger Car Market Analysis”,

the passenger car market, which constitutes around 78.5% of passenger vehicle sales (in FY

2010), has immense growth potential as passenger car stock stood at around 11.6 per 1,000

people in 2009. Realizing booming passenger car demand in the country, many domestic and

foreign automobile giants are formulating capacity expansion strategies, and billions of dollar

worth of investments is already in pipeline. Considering huge market potential, production of

|


A Nasabi

passenger cars is projected to grow at a CAGR (Compound Annual Growth Rate) of around

11% between 2010-11 and 2013-14.

Market Share of Passenger Vehicles Industry:

Percentage Market Share of Passenger Vehicles

The increasing scenario of passenger car segment has shown positive effect on

the sales of the segment because of the tourist industry growth. Passenger car production in

|


A Nasabi

India is projected to cross three million units in 2014-15. Sales of passenger cars during the

period 2015-16 are expected to grow around 10%. Export of passenger cars is anticipated to

raise more than the domestic sales 2015-16.Passanger car segment is dominated by the share

of Maruti Suzuki India and it has recorded a percentage of 46 percent, second position has

grabbed by the Tata Motors which has a share of 16.45 percent. Third position is of Hyundai

Motors of India. The rest of the companies have not recorded a significant sales increase

during the period and their sales are less than 10 percent.

Tata motors is the local manufacture of the vehicles but still the sales has not

increased because of it after sales services and the quality of the cars they produce. Other car

manufacturer have not shown significant impact on customers because they are lacking

somewhere in attracting customers, hence they have to have a strategy to attract customers

and make some impact on the minds of the customers.

Key Players Performance:

Tata Motors:

Market Share: Commercial Vehicles 63.94%, Passenger Vehicles 16.45%.

Tata Motors Limited is India’s largest automobile company, with consolidated revenues of

USD 14 billion in 2008-09. It is the leader in commercial vehicles and among the top three in

passenger vehicles. Tata Motors has winning products in the compact, midsize car and utility

vehicle segments. The company is the world's fourth largest truck manufacturer, and the

world's second largest bus manufacturer with over 24,000 employees. Since first rolled out in

1954, Tata Motors as has produced and sold over 4 million vehicles in India.

Tata Motors is the first company from India's engineering sector to be listed in

the New York Stock Exchange (September 2004), has also emerged as an international

automobile company. Through subsidiaries and associate companies, Tata Motors has

operations in the United Kingdom, South Korea, Thailand and Spain. Among them is Jaguar

Land Rover, a business comprising the two British brands which was acquired in 2008. In

2004, it acquired the Daewoo Commercial Vehicles Company, South Korea's second largest

truck maker. The rechristened Tata Daewoo Commercial Vehicles Company has launched

several new products in the Korean market, while also exporting these products to several

|


A Nasabi

international markets. Today two-thirds of heavy commercial vehicle exports out of South

Korea are from Tata Daewoo. In 2005, Tata Motors acquired a 21% stake in Hispano

Carrocera, a reputed Spanish bus and coach manufacturer, and subsequently the remaining

stake in 2009.

In 2006, Tata Motors formed a joint venture with the Brazil-based Marcopolo,

a global leader in body-building for buses and coaches to manufacture fully-built buses and

coaches for India and select international markets. In 2006, Tata Motors entered into joint

venture with Thonburi Automotive Assembly Plant Company of Thailand to manufacture and

market the company's pickup vehicles in Thailand. The new plant of Tata Motors (Thailand)

has begun production of the Xenon pickup truck, with the Xenon having been launched in

Thailand in 2008. Tata Motors is also expanding its international footprint by franchises and

joint ventures assembly operations in Kenya, Bangladesh, Ukraine, Russia, Senegal and

South Africa. With over 3,000 engineers and scientists, the company's Engineering Research

Centre, established in 1966, has enabled pioneering technologies and products. The company

today has R&D centers in Pune, Jamshedpur, Lucknow, Dharwad in India, and in South

Korea, Spain, and the UK. It was Tata Motors, which developed the first indigenously

developed Light Commercial Vehicle, India's first Sports Utility Vehicle and, in 1998, the

Tata Indica, India's first fully indigenous passenger car. Within two years of launch, Tata

Indica became India's largest selling car in its segment. In 2005, Tata Motors created a new

segment by launching the Tata Ace, India's first indigenously developed mini-truck.

Maruti Suzuki India:

Market Share: Passenger Vehicles 46.07%. Maruti Suzuki India Limited, a

subsidiary of Suzuki Motor Corporation of Japan, is India's largest passenger car company,

accounting for over 45% of the domestic car market. The company offers a complete range of

cars from entry level Maruti-800 and Alto, to stylish hatchback Ritz, A star, Swift, Wagon-R,

Estillo and sedans DZire, SX4 and Sports Utility vehicle Grand Vitara.

Since inception in 1983, Maruti Suzuki India has produced and sold over 7.5

million vehicles in India and exported over 500,000 units to Europe and other countries. The

company’s revenue for the fiscal 2008-2009 stood over USD 4 billion and Profits After Tax

at over USD 243 million.

|


A Nasabi

Hyundai Motor India:

Market Share: Passenger Vehicles 14.15%. Hyundai Motor India Limited is a

wholly owned subsidiary of world’s fifth largest automobile company, Hyundai Motor

Company, South Korea, and is the largest passenger car exporter. Hyundai Motor presently

markets 49 variants of passenger cars across segments. These includes the Santro in the B

segment, the i10, the premium hatchback i20 in the B+ segment, the Accent and the Verna in

the C segment, the Sonata Transform in the E segment.

Hyundai Motor, continuing its tradition of being the fastest growing passenger

car manufacturer, registered total sales of 559,880 vehicles in the year 2009, an increase of

14.4% over 2008. In the domestic market it clocked a growth of 18.1% as compared to 2008

with 289,863 units, while overseas sales grew by 10.7%, with export of 270,017 units.

Hyundai Motor currently exports cars to more than 110 countries across European Union,

Africa, Middle East, Latin America and Asia. It has been the number one exporter of

passenger car of the country for the sixth year in a row.

In a little over a decade since Hyundai has been present in India, it has become

the leading exporter of passenger cars with a market share of 66% of the total exports of

passenger cars from India, making it a significant contributor to the Indian automobile

industry. In 2009, in spite of a global slowdown, Hyundai Motor India’s exports grew by

10.7%. In 2010 Hyundai plans to add 10 new markets with Australia being the latest entrant

to the list. The first shipment to Australia is of 500 units of the i20 and the total i20 exports to

Australia are expected to be in the region of 15,000 per annum.

Mahindra & Mahindra:

Market Share: Commercial Vehicles 10.01%, Passenger Vehicles 6.50%,

Three Wheelers 1.31% Mahindra & Mahindra is mainly engaged in the Multi Utility Vehicle

and Three Wheeler segments directly. The company competes in the Light Commercial

Vehicle segment through its joint venture subsidiary Mahindra Navistar Automotives Limited

and in the passenger car segment through another joint venture subsidiary Mahindra Renault.

|


A Nasabi

In the year 2009, on the domestic sales front, the Company along with its subsidiaries sold a

total of 220,213 vehicles (including 44,533 three wheelers, 8,603 Light Commercial Vehicles

through Mahindra Navistar Automotives and 13,423 cars through Mahindra Renault),

recording a growth of 0.6% over the previous year.

The company’s domestic Multi Utility Vehicle sales volumes increased by

3.3%, as against a decline of 7.4% for industry Multi Utility Vehicle sales. A record number

of 153,653 Multi Utility Vehicles were sold in the domestic market in 2009 compared to

148,761 MUVs in the previous year. Hence, Mahindra & Mahindra further strengthened its

domination of the domestic Multi Utility Vehicle sub-segment during the year, increasing its

market share to 57.2% over the previous year’s market share of 51.3%. Mahindra &

Mahindra is expanding its footprint in the overseas market. In 2009 the Xylo was launched in

South Africa. The company formed a new joint venture Mahindra Automotive Australia Pty.

Limited, to focus on the Australian Market. (Source: Mahindra & Mahindra Annual Report)

Toyota Motor Corporation

Toyota Motor Corporation (TMC) is a

Japanese multinational automaker headquartered in Toyota, Aichi, Japan. In 2010, Toyota

employed 300,734 people worldwide, and was the second largest automobile manufacturer in

2010 by production. Toyota is the ninth largest company in the world by revenue. In July

2012 the company reported that it had manufactured its 200 millionth vehicle.

The company was founded by Kiichiro Toyoda in 1937 as a spinoff from his

father's company Toyota Industries to create automobiles. Three years earlier, in 1934, while

still a department of Toyota Industries, it created its first product, the Type A engine, and, in

1936, its first passenger car, the Toyota AA. Toyota Motor Corporation group companies are

Toyota (including the Scion brand), Lexus, Daihatsu and Hino Motors, along with several

"non-automotive" companies. TMC is part of the Toyota Group, one of the largest

conglomerates in the world.

Chevrolet

|


A Nasabi

Chevrolet also known as Chevy is an American brand of vehicle produced

by General Motors (GM). Chevrolet was founded by Louis Chevrolet and ousted GM founder

William C. Durant on November 3, 1911 and later acquired by General Motors in 1918.

Chevrolet was positioned by Alfred Sloan to sell a lineup of mainstream vehicles to directly

compete against Henry Ford's Model T in the 1920s, with "Chevrolet" or "Chevy" being at

times synonymous with GM. In North America, Chevrolet sells and produces a wide variety

of automobiles, from subcompact cars to medium-duty commercial trucks, whereas

in Europe, the brand name is used on automobiles produced in Korea by General Motors.

Launched by GM's India operations, Chevrolet is among the more recent auto brands. Until

2003, GM India—originally a joint venture with Hindustan Motors) sold the Opel

Corsa, Opel Astra and the Opel Vectra. Chevrolet officially began business in India on June

6, 2003. The Corsa and Astra were built at a plant in Halol, Gujarat.

Chevrolet currently sells the Chevrolet Cruze, Chevrolet Spark, Chevrolet Optra, Chevrolet

Aveo, Chevrolet Tavera, Chevrolet Captiva, Chevrolet CRV, Chevrolet Beat and Chevrolet

Aveo U-VA. The Chevrolet Forester, a rebadged Subaru, was imported directly from Fuji

Heavy Industries in Japan until 2005. The Cruze and Tavera are built at the Halol plant.

Chevrolet also is the sole Engine supplier for the Formula Rolon single seater series in India.

Volkswagen India Private Limited

Volkswagen India Private Limited is a subsidiary of Volkswagen Group Sales

India Private Limited that assembles, manufactures and distributes Volkswagen vehicles in

India. It was established in 2007.

In the year 2010, VIPL recorded sales of 32,627 vehicles against 3,039

vehicles sold during the year 2009 and registered a sales growth of over 1,000%. Volkswagen

|


A Nasabi

India Private Limited currently has more than 70 dealerships in 56 cities across 18 states and

2 union territories of India.

Ford India Private Limited

Ford India Private Limited is a wholly owned subsidiary of the Ford Motor

Company in India. Ford India Private Limited's head quarters are located

in Chengalpattu, Chennai, Tamil Nadu. It currently is the 6th largest car maker

in India after Maruti Suzuki Hyundai, Tata, Mahindra and Chevrolet.

The modern Ford India Private Limited began production in 1996, although

the roots trace back to 1907 when the Model A was launched. Its manufacturing facilities are

in Maraimalai Nagar near Chennai. Ford India Private Limited began production in 1926, but

was shut down in 1954 as the company was in loss. Production began again with the joint

venture Mahindra Ford India Limited (MFIL) in October 1995, a 50-50 venture

with Mahindra & Mahindra Limited. Ford Motor Company increased its interest to 72% in

March 1998 and renamed the company Ford India Private Limited.

Renault India Private Limited

Renault India Private Limited is the Indian subsidiary of Renault

S.A. of France, with its headquarters in Mumbai. The company has production facilities

in Chennai and Tamil Nadu.

In 2005, Renault established a 51:49 joint venture with Mahindra & Mahindra Limited to

form Mahindra Renault Limited. In May 2007, the joint-venture launched the Renault Logan,

produced at a manufacturing plant in Nashik, Maharashtra. Initially, the Logan met with

considerable success but sales slipped with competition against newer models from Maruti

|

http://en.wikipedia.org/wiki/Maruti_Suzuki

http://en.wikipedia.org/wiki/Maharashtra

http://en.wikipedia.org/wiki/Nashik

http://en.wikipedia.org/wiki/Renault_Logan

http://en.wikipedia.org/wiki/Mahindra_Renault_Limited

http://en.wikipedia.org/wiki/Mahindra_%26_Mahindra_Limited


A Nasabi

Suzuki, Tata Motorsand Toyota. The Logan was criticised for its boxy looks and awkward

ergonomics. Although built as a Right Hand drive vehicle for the Indian market, the Logan's

ergonomics were configured for a Left Hand drive vehicle.

In February 2010, Mahindra and Renault announced the dissolution of their joint-venture,

with Mahindra buying out Renault's shares. Renault agreed to provide support to M&M

through a license agreement as well as to supply key components and the Renault Logan

became the Mahindra Verito. Following its exit from the joint-venture, Renault entered the

Indian market on its own.

Nissan Motors India Private Limited

NMIPL's manufacturing plant in Chennai can manufacture 200,000 vehicles

per annum. The Chennai Plant has an additional 200,000 vehicles per annum capacity

exclusively for French car maker Renault's Indian arm Renault India Private Limited. The

plant's combined capacity is 400,000 vehicles per annum.

The plant in Oragadam with an investment of 4,500 crore (US$814.5

million) covers an area of 650 acres (2.6 km2). It will manufacture the Nissan Micra for

the Indian and European market, besides various other models for the Indian market.

Tata Motor’s Portfolio

|

http://en.wikipedia.org/wiki/Europe

http://en.wikipedia.org/wiki/Automobile_Industry_in_India

http://en.wikipedia.org/wiki/Nissan_Micra

http://en.wikipedia.org/wiki/United_States_dollar

http://en.wikipedia.org/wiki/Crore

http://en.wikipedia.org/wiki/Oragadam

http://en.wikipedia.org/wiki/Renault_India_Private_Limited

http://en.wikipedia.org/wiki/Renault

http://en.wikipedia.org/wiki/France

http://en.wikipedia.org/wiki/Chennai

http://en.wikipedia.org/wiki/Dacia_Logan#Mahindra_Verito

http://en.wikipedia.org/wiki/Toyota_Kirloskar_Motor_Private_Limited

http://en.wikipedia.org/wiki/Tata_Motors

http://en.wikipedia.org/wiki/Maruti_Suzuki


A Nasabi

Tata entered the commercial vehicle sector in 1954 after forming a joint

venture with Daimler-Benz of Germany. After years of dominating the commercial vehicle

market in India, Tata Motors entered the passenger vehicle market in 1991 by launching

the Tata Sierra, a multi utility vehicle. After the launch of three more vehicles, Tata Estate

(1992, a stationwagon design based on the earlier 'TataMobile' (1989), a light commercial

vehicle), Tata Sumo (LCV, 1994) and Tata Safari (1998, India's first sports utility vehicle).

Tata launched the Indica in 1998, the first fully indigenous Indian passenger

car. Although initially criticised by auto-analysts, its excellent fuel economy, powerful engine

and an aggressive marketing strategy made it one of the best selling cars in the history of the

Indian automobile industry. A newer version of the car, named Indica V2, was a major

improvement over the previous version and quickly became a mass-favorite. Tata Motors

also successfully exported large quantities of the car to South Africa. The success of Indica

played a key role in the growth of Tata Motors.

In 2004 Tata Motors acquired Daewoo's South Korea-based truck

manufacturing unit, Daewoo Commercial Vehicles Company, later renamed Tata Daewoo.

In 2005, Tata Motors acquired a 21% controlling stake in the Spanish bus and

coach manufacturer Hispano Carrocera. Tata Motors continued its market area expansion

through the introduction of new products such as buses (Starbus & Globus, jointly developed

with subsidiary Hispano Carrocera) and trucks (Novus, jointly developed with subsidiary

Tata Daewoo).

In 2008, Tata Motors acquired the British car maker Jaguar Land Rover,

manufacturer of the Jaguar, Land Rover and Daimler luxury car brands, from Ford Motor

Company.

In May 2009 Tata unveiled the Tata World Truck range jointly developed with

Tata Daewoo. Debuting in South Korea, South Africa, the SAARC countries and the Middle-

East by the end of 2009.Tata acquired full ownership of Hispano Carrocera in 2009.

In 2010, Tata Motors acquired an 80% stake in the Italy-based design and

engineering company Trilix for a consideration of €1.85 million. The acquisition formed part

of the company's plan to enhance its styling and design capabilities.

Company Profile

|


A Nasabi

Manickbag was founded in the year 1920 by two families of SHAH and MIRJI with

Mr. Manickchand Shah & Dharmappa Mirji as the Visionaries.

With this success they ventured into Automobile industry in 1950 and took dealership

of Simpons, Mico, Sundaram Clayton, Ashok Leyland and TVS. Presently with Tata Motors

Dealership for both commercial Vehicles and Passenger cars (including Fiat cars) it is one of

the largest dealership selling around 400 vehicles on an average month in both commercial

and passenger cars. The dealership covers entire North Karnataka with Belgaum as Head

Office and Hubli as main Branch and have other branches at Gadag, Haveri, Bijapur,

Gulbarga, Bidar, Ankola, Bagalkot, Sirsi, Gajendragad, Shaapur, basavkalyan, Gokak, Athni

and Bailhongal.

The efforts of all these years never went without rewards. Manickbag is honored with

many awards including the coveted one “India’s Best CSI (Customer Satisfaction Index) at

the Hands of Honorable Chairman of TATA Group Shri Ratan Tata.

Today the ‘Manickbag Group’ has not only earned the best customer car, but also

equally looking after their 500 and more employees.

Organizational Structure

Manickbag has 4 main departments:

Sales

Service & Spares

Accounts

Human Resources

Director for Commercial Vehicle Division is Mr. Sarang Shah and Director for Passenger

Vehicle Division is Mr. Sanjot Shah.

Note: PCD= Passenger Vehicle Division

CVD= Commercial Vehicle Division

|


A Nasabi

HCV/ MCV= Heavy/ Medium Commercial Vehicles

LCV/ICV= Light/Intermediate Commercial Vehicles

ACE & 204= Small Commercial Vehicles.

Departments at Manickbag

Reporting of Sales Department

Direct Sales (CVD or PVD)

Assistant General Manager Sales (AGMS)

Dealer Sales Manager

Assistant Sales Manager

Team Leaders

Sales Executives

Tasks of Sales Manager for both PVD & CVD

Sales Manager is headed by both Sarang Shah and Sanjot Shah.

Plan and set target for sale of vehicle

Monitoring Daily Targets of Dealer Sales Executives (DSE)

Conducting Regular Sales Meeting

Achievements of Sales Target

Coordinating with Customer Relations Management (CRM) department.

Coordinating with Training Programmes

Monitoring Sales Team, their performance and periodic appraisal.

To attend management review meeting and indicating corrective and preventive

actions.

Tasks of Services & Spares Manager for both PVD & CVD

General Manager heads the service and spares department.

He must plan, head, organize and control the service department as well as spares.

He has to analyze and ensure and control the services and spares department.

He must direct staff towards customer focused organization.

Coordinating with all the subordinates and team for better results.

|


A Nasabi

Works of Service Department

Starts with entry of customers in the front office in workshop.

The service advisor has to analyze and find vehicle problem list for opening up of job

cards.

Details are entered and the vehicles are booked for service depending upon work load.

Then vehicles will be inspected and servicing there after repairs are carried out.

After completing the repairs the service department must prepare gate-pass which

means that the vehicle is serviced and is ready for the customer to use it.

Accounts Department

Headed by Director Mr. Ramesh Shah.

Working of Accounts Department

Day to day transactions is done related to purchase of vehicle from TATA Motors and

from other suppliers.

Human Resources Department.

HR manager will be looking after the recruitment training employee’s welfare etc.

|

Director

Senior Accounts Manager

PVD

Accounts Assistant

Senior Accounts Manager

CVD

Accounts Assistant


A Nasabi

Training is conducted twice a year and there are meetings conducted every month.

Training for workshop employees is conducted in Pune or Bangalore on a monthly

basis.

Staff and employees’ training is conducted in-house.

Dress code from Monday to Friday.

Refreshments for all the employees every day.

Recruitment process

1 week training is given to new recruit at a training office near Kundgol cross.

Thereafter assigned to different branches.

Employee Welfare

ESI (Employee State Insurance)

Provident Fund.

Bonus

Incentives

Gratuity

Group Insurance (Office and Sales staff)

Medical Checkups (once or twice a year)

Vision

To be the best automobile in India in terms of satisfaction profession and growth.

To treat employees as an asset

Man power storage

Focuses on customer satisfaction

Team work among our people

Profits for the growth

Mission

Retain and attract talented by improving brand.

Create earn and implement best in all department practice and process.

|


A Nasabi

Sources develop and maintain human capital which will drive culture of customer

focus and high performance.

Objectives

Profit Maximization

Sales Maximization

To beat competition.

To maintain customer goodwill

To render better quality service

Satisfaction of customer

Achieving leadership in market.

Employee or worker satisfaction.

Achievements

Best dealership awarded from TELCO

Best dealership awarded from MICO

Best dealership awarded from TVS

Stood 3rd in Sales all over India

Stood 10th in Sales and Customer Satisfaction.

Competition

Maruti Suzuki

Toyota

Chevrolet

Volkswagen

Ford

Mahindra

Nissan

Renault

Manickbag Automobile CVD

|


A Nasabi

Luxury Car Industry

|

Manickbag Automobile CVD

Belgaum Head office

Chickodi

Bagalkot

Bailhongal

Athani

Hubli Main Branch

Gadag

Gajendragad

Sirsi

Haveri

Shapur

Basavakaly

an


A Nasabi

While not referring to the phrase "personal luxury car", the antecedents of the

concept are the highly expensive, often custom-bodied sporting luxury cars of the 1920s and

1930s. Typically made by Alfa Romeo, Bugatti, Delage, Delahaye, Duesenberg, Mercedes-

Benz, Lincoln, Cadillac, and others, these extremely stylish prestige cars were favored by

film stars, aristocrats, playboys, and gangsters for projecting dashing and extravagant images.

Two extreme examples were the Duesenberg Model SJ and Mercedes-Benz SSK, extremely

fast and expensive automobiles which eschewed both pure luxury and absolute sports

performance in favor of a distinctive combination of style, craftsmanship, and power: these

combined to produce cars that became status symbols.

On the other, performance oriented GTs, relatively comfortable low-slung cars

intended for high-speed, long-distance travel. Italian marques such

as Ferrari and Maserati took the GT lead, offering distinctive, often custom-bodied two-seat

and 2+2 coupes powered by exotic alloy-lightened engines straight off the race track. In

between could be found such combinations of luxury and performance as the Mercedes-

Benz 300SL and 190SL, BMW 507, Alfa Romeo 1900 Sprint, and DKW 1000Sp.

What is Luxury car?

Luxury vehicle is a marketing term for a vehicle that provides luxury —

pleasant or desirable features beyond strict necessity — at increased expense.

The term suggests a vehicle with higher quality equipment, better

performance, more precise construction, comfort, higher design, technologically innovative

modern, or features that convey an image, brand, status, or prestige, or any other

'discretionary' feature or combination of them. Luxury is relative, "what may be luxury for

one may be premium for another."

In contemporary usage, the term may be applied to any vehicle type—

including sedan, coupe, hatchback, station wagon, and convertible body styles, as well as

to minivans, crossovers, or sport utility vehicles and to any size vehicle, from small to large

—in any price range. Moreover, there is a convergence in the markets and a resulting

confusion of luxury with high price: where there may have been a clear difference in price

between luxury and others, there is no longer an absolute separation between premium and

luxury, with what may be premium brands now more expensive than the equivalent so-called

luxury ones.

|

http://en.wikipedia.org/wiki/Sport_utility_vehicle

http://en.wikipedia.org/wiki/Crossover_(automobile)

http://en.wikipedia.org/wiki/Minivan

http://en.wikipedia.org/wiki/Convertible

http://en.wikipedia.org/wiki/Station_wagon

http://en.wikipedia.org/wiki/Hatchback

http://en.wikipedia.org/wiki/Coup%C3%A9

http://en.wikipedia.org/wiki/Sedan_(automobile)

http://en.wikipedia.org/wiki/Social_status

http://en.wikipedia.org/wiki/Marketing


A Nasabi

Automobile manufacturers market specific makes and models that are targeted

at particular socio-economic classes, and thus "social status came to be associated more with

a particular vehicle than ownership of a car per se." Therefore, automakers differentiate

among their product lines in "collusion" with the car-buying public. While a high price is the

most frequent factor, it is "styling, engineering, and even public opinion which cars had the

highest and lowest status associated with them."

Though widely used, the term luxury is broad and highly variable. It is a

perceptual, conditional and subjective attribute and may be understood differently by

different people: "What is a luxury car to some... may be 'ordinary' to others."

What is Premium Car?

Premium cars falls within the price range of Rs 10 to 20 lakhs. They have the

capacity to carry 4 to 5 passengers. These cars mainly target higher income group.

Premium cars have been launched by the companies like- Audi India, Ford

motors, General Motors, Honda City, Hyundai motors, Skoda Auto, Mitsubishi and Toyota

motors , Tata Motors, Maruti Suzuki, Chevrolet, Volkswagen, Force one, Mahindra an

Mahindra, Renault.

India has emerged as one of the huge potential markets for cars of varied

segments. Although the small cars dominate the market but the market for premium cars in

India has been growing slowly and steadily. Due to the liberalization policies implemented by

the Indian government during the 1990s, a number of automobile manufacturers started

selling their newer model of cars in the country. Possessing a premium auto vehicle was a

very costly affair in the earlier years. But due to various manufacturing and assembly plants

set by the auto majors, their prices have come down significantly. It is believed that the

emergence of the several financiers in the country also helped in the popularity of the

premium cars in India.

In the premium car segment, the leading manufacturers in India include the

likes of Audi, Toyota, Nissan, Skoda, Hyundai, Honda Tata Motors, Maruti Suzuki,

Chevrolet, Volkswagen, Force one, Mahindra an Mahindra, Renault who have come up with

cars having some exciting features. Most of the premium car models are equipped with power

steering, power window, central locking system, seat belts, air bags, fog lights, 5 speed

|


A Nasabi

manual transmission system, tubeless tires, rear spoiler, chrome kit and many more. The

engine of the premium cars are known to deliver huge amount of power. Premium cars are

available in India in different colors and shades. And they are available in attractive car

insurance premium.

Difference between Luxury and Premium

Luxury Premium

Uniqueness less ostentatious

Timelessness more accessible

Excellence more modern

Iconic Communication more rational

Sensual Aesthetic best in class

Brand Soul sleeker in design

luxury in some respects they are seen as superior Premium as an inferior version of luxury

COMPETITORS PRODUCTS

List of competitor’s Products for “TATA Motors Premium Cars” ranging 10lacks rupees to 20 lacks rupees.

TOYOTA

Toyota Innova 2.5G Diesel 7 seater

Toyota Innova 2.5G Diesel 8 seater BS IV

Toyota Corolla Altis 1.8 J

Toyota Corolla Altis Diesel D4DJ

Toyota Corolla Altis VL

FORD Ford Fiesta Diesel Titanium Plus Ford Endeavour 4x2 XLT Ford Endeavour 3.0L AT 4x2

CHEVROLET Chevrolet Tavera Neo 3 LT 7 C BSIII Chevrolet Cruz LT

|


A Nasabi

Chevrolet Cruz LTZ Chevrolet Cruz LTZ AT Chevrolet Captiva 2.0 MT Chevrolet Captiva 2.0 Xtreme

TATA MOTORS

Tata New Safari Dicor 2.2 EX 4x4 Tata New Safari Dicor 2.2 GX, VX 4x4 BS IV Tata Xenon XT EX 4x4 Tata Aria 4x2 Fabric BSIII Tata Aria Prestige 4x2 Tata Aria Pride

VOLKSWAGEN Volkswagen Vento Diesel Highline Volkswagen Jetta 1.4 TSI Volkswagen Jetta 2.0L TDI comfortline Volkswagen Jetta 2.0L TDI Highline AT

HONDA Honda City V AT Exclusive Honda Civic 1.8 S MT Honda Civic 1.8 V AT Sunroof

MAHINDRA SCORPIO Mahindra Scorpio VLX Mahindra Scorpio VIX AT 4WD Airbag BS-IV Mahindra Xylo E9 Mahindra XUV500 Mahindra XUV500 W8 4WD

HYUNDAI VERNA

Hyundai Verna 1.6 SX CRDi (o) Hyundai Verna 1.6 SX CRDi AT Hyundai Elantra CRDi Base Hyundai Elantra CRDi SX AT Hyundai Sonata Transfromer 2.4 GDi MT

RENAULT DUSTER

|


A Nasabi

Renault Duster 110PS Diesel RxZ Renault Duster 110PS Diesel RxZ Pack Renault Fluence 1.5 Renault Fluence E4 D Renault Fluence 2.0

FORCE ONE

Force One 4x2 Force One 4x2 6 seating

SKODA

Skoda New Laura 1.8 TSI Active Skoda New Laura Ambiente Skoda New Laura Elegance 2.0 TDI CR AT Skoda New Laura LandK 2.0 TDI CR AT Skoda Yeti Active 4x2 Skoda Yeti Ambition 4x2 Skoda Yeti Elegance Skoda Superb Petrol Ambition

MARUTI KIZASHI

Maruti Kizashi MT Maruti Kizashi CVT Maruti Grand Vitara 2.4 MT Maruti Grand Vitara 2.4 AT

Car Specifications, Colors and Prices (10-20 lakhs)T

|

http://compare2cars.com/car-Chevrolet-Captiva-Diesel.html

http://compare2cars.com/car-Chevrolet-Cruze-Diesel.html

http://compare2cars.com/car-Force-One-Diesel.html


A Nasabi

Chevrolet Captiva Diesel Chevrolet Cruze Diesel Force One Diesel

Price Range: 18.7-19.5 lakhs Price Range: 12.5-15.3 lakhs Price Range: 11.2-11.4 lakhs

Ford Endeavour Diesel Honda Civic Petrol Hyundai Fluidic Verna Diesel


Hyundai Sonata Petrol Mahindra Scorpio New 2012 Mahindra XUV500

Diesel


Mahindra Xylo New 2012 Maruti Grand Vitara Maruti Kizashi Petrol


Renault Fluence Petrol & Diesel Skoda Laura Diesel Skoda Laura Petrol


Skoda Superb Petrol Skoda Yeti Diesel Tata Aria Diesel

|

http://compare2cars.com/car-Ford-Endeavour-Diesel.html

http://compare2cars.com/car-Honda-Civic-Petrol.html

http://compare2cars.com/car-Hyundai-Fluidic-Verna-Diesel.html

http://compare2cars.com/car-Hyundai-Sonata-Petrol.html

http://compare2cars.com/car-Mahindra-Scorpio-New.html

http://compare2cars.com/car-Mahindra-XUV500-Diesel.html

http://compare2cars.com/car-Mahindra-Xylo-New-2012.html

http://compare2cars.com/car-Maruti-Grand-Vitara-Petrol.html

http://compare2cars.com/car-Maruti-Kizashi-Petrol.html

http://compare2cars.com/car-Renault-Fluence-Diesel.html

http://compare2cars.com/car-Skoda-Laura-Diesel.html

http://compare2cars.com/car-Skoda-Laura-Petrol.html

http://compare2cars.com/car-Skoda-Superb-Petrol.html

http://compare2cars.com/car-Skoda-Yeti-Diesel.html

http://compare2cars.com/car-Tata-Aria-Diesel.html


A Nasabi


Tata Safari Diesel Tata Xenon XT Diesel Toyotal Corolla Altis Diesel


Toyotal Corolla Altis Petrol Toyota Innova Diesel Volkswagen Jetta

Diesel


Tata Motors June sales at 64,341 nos. For the year 2012

Tata Motors' total sales (including exports) of Tata commercial and passenger vehicles in

June 2012 were 64,341 vehicles, lower by 3%, over June 2011. The company's domestic

sales of Tata commercial and passenger vehicles for June 2012 were 58,270 nos., lower by

5%, over 61,266 nos., sold in June last year.

Cumulative sales (including exports) for the company for the fiscal are 188,774 nos., lower

by 2%, over 193,039 nos., sold last year.

Passenger Vehicles

Sales of passenger vehicles for June 2012 are at 17,244 nos., lower by 22%

over 21,994 nos., sold in June last year. Sales of the Tata Nano were 5,605 nos., higher by

3%, compared to 5,452 nos., sold in June, last year. The Indica range sales were 5,332 nos.,

lower by 35%, over 8,188 nos., sold in June, last year. The Indigo range recorded sales of

2,658 nos., lower by 46%, over 4,882 nos., sold in June, last year. The Sumo/ Safari/ Aria/

Venture range sales were 3,649 nos., higher by 5%, over 3,472 nos., sold in June 2011.

Cumulative sales of passenger vehicles were 60,405 nos., lower by 7%,

compared to 65,108 nos., till June last year. Cumulative sales of the Nano are flat at 22,140

|

http://compare2cars.com/car-Tata-Safari-Diesel.html

http://compare2cars.com/car-Tata-Xenon-XT-Diesel.html

http://compare2cars.com/car-Toyota-Corolla-Altis-Diesel.html

http://compare2cars.com/car-Toyota-Corolla-Altis-Petrol.html

http://compare2cars.com/car-Toyota-Innova-Diesel.html

http://compare2cars.com/car-volkswagen-Jetta-Diesel.html


A Nasabi

nos. Cumulative sales of the Indica range are flat at 17,712 nos. Cumulative sales of the

Indigo family are 9,724 nos., lower by 33%. Cumulative sales of the Sumo/Safari/ Aria/

Venture range are flat at 10,829 nos.

Jaguar, Land Rover sales in India continued their upward trend.

Sales Figures Tata Motors at Manickbag Automobile

2011-2012 2010-2011

Nano 277 303

Cars 1140 1080

Fiat 170 136

MUV’s 131 127

Safari 15 10

Aria 45 30

Keeping this background in mind the area chosen for study is

Project Title:

“A study on Customer Perceptions of Premium Cars of Tata Motors in Hubli City”

|


A Nasabi

Need For The study:

The passenger cars market is full of brands from leading car manufacturers

like Tata Motors, Maruti Suzuki, Toyota, Chevrolet, Volkswagen, Ford and Mahindra. There

are different categories of cars depending features, capacities and price points. Manickbag

Auto Hubli, a dealer of cars of Tata Motors wants to know the customer perception of

Premium cars of Tata Motors and also of other brands market in Hubli city and hence this

study is being undertaken.

Objectives:



To ascertain the perception of premium customers towards dealer’s competencies in





My learning from the project:

The project helped me to have an insight of the consumer perception towards

premium cars of all brands in Hubli city particularly towards premium car segment. I came to

know, the concept of consumer thinking process towards buying of premium cars & what are

the expectation of customers towards Premium car. And what are the different attributes

which influence purchasing of premium cars during my project. And it was more about live

project and, I am able to understand different aspects with regards premium cars.

Utility of the project:

The project will be helpful to the organization as it helps in increasing the sales

through knowing the perception and buying behavior.

|


A Nasabi

1 It will facilitate the dealer to know about the drawbacks by the other

dealer and also the satisfaction level of customers owning premium car.

2 This project will give me a great exposure regarding analysis and good

knowledge of customer perception and also buying behavior. I will come

to know different parameters influencing the purchase decision and also

whether the customers buy premium cars for their social status.

3 This project will also helps in

Understanding non technical attributes influenced customers’

while purchasing their current car.

Understanding the important features the company must keep up

with.

The customers’ preference for their next purchase of premium

cars.

Limitations of the project

The customers were covered in and around the above areas only and cannot be treated as the survey and the responses of the Hubli as a whole.

As the study was conducted as a part of the curriculum, the time available to procure data restrained the sample to 75 customers.

As customers were reluctant and scared to provide actual information, response is likely to be biased in some cases.

Some of the customers responded very well to the questionnaires and were grateful to the premium car what they have purchased but some of them were reluctant to share information about their car.

|


A Nasabi

Research

Methodology

Research design:

|


A Nasabi

Since the study is on premium sector first the detail study of the dealer is been

conducted about its Management team its organizational structure the number of departments which

all premium cars does the dealer has, who are its competition about its sales.

Objectives:



To ascertain the perception of premium car owners towards dealer’s competencies in





Sampling Method:

Since the study is restricted to Premium car segment, all the functional

departments of Manickbag automobile and the respondents are found at the service

department and in nearby shopping mall and other places so according to the convenience

randomly they are being picked so sampling method is used in this study is Random

Convenient Sampling.

Sampling:-

Sample size : 75 respondents

Sampling Method : Random Convenience sampling

Sample Plan : Personal Interview through questionnaire

Sample Unit : Respondents in Hubli city owning premium cars

Population : All premium car owners in Hubli city

Data Collection Methods:

|


A Nasabi

Primary data: The Data collected for a specific purpose for the first time is Original known

as Primary Data. The primary data was basically collected in two different ways, they are : -

2) Questionnaire Method

The Questionnaire method is a powerful tool to collect the information

a structured Questionnaire involves in asking the questions in a prearranged order. This

research contained a questionnaire that had structured (prearranged order), close ended

(limited answer can be given) questions. Some were also dichotomous questions i.e. having only

two options to answer and some likert scale.

Secondary data:

The data that is collected from the published sources i.e. not originally collected for

the first time is called secondary data. During the research the secondary data was collected

from Company website, Customer data base, Company report, publications, related

information from net Tata Motors records.

Area of research: Hubli city

Research approach: Questionnaire method

Analysis:-

By Using SPSS (Statistical Package for Social Sciences)

Graphical representation using data code sheet

Analyze the collected information :

|


A Nasabi

This involves converting raw data into useful information. It involves tabulation of

data and using statistical measures on them for developing frequency distribution and calculating

the averages and mean.

Report research findings :

This phase will mark the conclusion to the research effort. The report with the research

finding is a formal written document. The research findings and personal experience will be used to

propose recommendation and prepare dummy.

DURATION OF THE PROJECT: 2 MONTHS

|


A Nasabi

Analysis and Findings

1. Car owner’s respondents profile

Car owner’s gender:

|


A Nasabi

GENDER

Frequency Percent Valid Percent Cumulative Percent

Valid male 73 97.3 97.3 97.3

female 2 2.7 2.7 100.0

Total 75 100.0 100.0

From the above analysis the frequency value is higher for male and thus we can say that

owners of premium car are male.

2. Car owner’s age

|


A Nasabi

AGE

Frequency Percent Valid Percent

Cumulative

Percent

Valid <24 18 24.0 24.7 24.7

25-44 47 63.0 64.4 89.0

45-64 10 13.0 11.0 100.0

Total 75 100 100.0

From the above analysis the frequency value is higher for age group 25-44 and thus we can

say that owners of premium car are in the age group 25-44 of with frequency of 47 and 62.7

approx 63%.

3. Car owner’s Marital Status

|


A Nasabi

MARITAL STATUS


Cumulative

Percent

Valid single 25 33.3 33.3 33.3

married 50 66.7 66.7 100.0

Total 75 100.0 100.0

From the above analysis the frequency value is higher for married respondents and thus we

can say that owners of premium car are married with frequency of 50 and 67%.

4. Car owner’s having children

|


A Nasabi

CHILDREN


Valid yes 42 56.0 56.0 56.0

no 33 44.0 44.0 100.0

Total 75 100.0 100.0

From the above analysis the frequency value is higher for respondents having children and thus we can say that owners of premium car are having children with frequency value of 45 and 56%.

5. Car owner’s income level

|


A Nasabi

INCOME


Cumulative

Percent

Valid 5lakhs-7.5lakhs 25 33.3 33.3 33.3

7.5lakhs-10lakhs 43 57.3 57.3 90.7

>10 lakhs 7 9.3 9.3 100.0

Total 75 100.0 100.0

From the above analysis the frequency value is higher for the income group of 7.5lacks-

10lakhs and thus we can say that owners of premium car fall in the income slab of 7.5lacks-

10lakhs with frequency value of 43 and 57%.

6. The company of respondent’s current car

|


A Nasabi

current car company

Frequency Percent Valid PercentCumulative

Percent

Valid Skoda 3 4.0 4.0 4.0

Ford 4 5.3 5.3 9.3

Range Rover 1 1.3 1.3 10.7

Toyota 11 14.7 14.7 25.3

Volkswagen 1 1.3 1.3 26.7

Maruti 11 14.7 14.7 41.3

Mitsubishi 1 1.3 1.3 42.7

Tata 15 20.0 20.0 62.7

Honda 8 10.7 10.7 73.3

Chevrolet 7 9.3 9.3 82.7

Mahindra 10 13.3 13.3 96.0

Hyundai 3 4.0 4.0 100.0

Total 75 100.0 100.0

|


A Nasabi

The analysis says that the highest frequency for current car company is 15 and 20% which is

TATA Motor’s the next highest is Toyota and Maruti with frequency of 11 and 14.7. This

means that the highest respondents for this research are TATA Motor’s cars.

7. The dealer of respondent’s current Car

Dealer of respondent’s current car


Cumulative

Percent

Valid Not Aware 1 1.3 1.3 1.3

Sutaria Auto 10 13.3 13.3 14.7

RNS Motors 8 10.7 10.7 25.3

Rr Blore 1 1.3 1.3 26.7

Manickbag 15 20.0 20.0 46.7

Lakeview Honda 8 10.7 10.7 57.3

Shodha Toyota 11 14.7 14.7 72.0

Preeti Motors 3 4.0 4.0 76.0

Bellad Motors 13 17.3 17.3 93.3

Desai Motors 1 1.3 1.3 94.7

Metro Ford 4 5.3 5.3 100.0

Total 75 100.0 100.0

|


A Nasabi

The analysis says that the highest frequency for dealer of current car is 15 and 20% which is

TATA’s the next highest is Bellad Motors and Shodha Toyota with frequency of 13 and 11

and 17% and 15%. This means that the highest respondents for this research are TATA

Motor’s cars.

8. Satisfaction of the owners with their current car

DESCRIPTIVE STATISTICS

N Minimum Maximum Mean Std. Deviation

satisfaction level75 2 4 3.68 .549

Valid N (list wise)75

|


A Nasabi

Satisfaction level


Valid 2 1 1.3 1.3 1.3

3 2 2.7 2.7 4.0

4 72 96.0 96.0 100.0

Total 5 100.0 100.0

From the above analysis the mean value is higher and thus we can say that owners of

premium car are satisfied with the car which they already own.

9. Whether respondents would recommend the Brand of their current car to

anyone else

Respondents would recommend their current car to anyone else


Cumulative

Percent

Valid Probably Not 4 5.3 5.3 5.3

Probably Yes 16 21.3 21.3 26.7

Definitely Yes 55 73.3 73.3 100.0

Total 75 100.0 100.0

|


A Nasabi

From the above analysis the frequency value is higher for “Definitely YES” and thus we can

say that owners of premium car will recommend the Brand of their current car to anyone else.

This means that the premium car owners are happy with the Brand of their current car and

they will surely recommend to others about the Company Brand.

10. Whether respondents would recommend the Dealer of their current car

to anyone else

Respondents would recommend the dealer of their current car to anyone else


Cumulative

Percent

Valid probably not 6 8.0 8.0 8.0

probably yes 31 41.3 41.3 49.3

definitely yes 38 50.7 50.7 100.0

Total 75 100.0 100.0

|


A Nasabi


say that owners of premium car will recommend the Dealer of their current car to anyone

else. This means that the premium car owners are happy with the dealers of their current car

and they will surely recommend to others about the dealer.

11. Whether respondents would recommend the same car Model they

have to anyone else

|


A Nasabi

Respondents would recommend the same car they have to anyone else


Percent

Valid Definitely Not 1 1.3 1.3 1.3

Probably Not 2 2.7 2.7 4.0

Probably Yes 22 29.3 29.3 33.3

Definitely Yes 50 66.7 66.7 100.0

Total 75 100.0 100.0


say that owners of premium car will recommend the same car model of their current car to

anyone else. This means that the premium car owners are happy with the their current car and

they will surely recommend to others about the Current car model.

12. Dealer’s Competency regarding

|


A Nasabi

Responsiveness


Valid Fair 5 6.7 6.7 6.7

Good 36 48.0 48.0 54.7

Excellent 34 45.3 45.3 100.0

Total 75 100.0 100.0

The frequency is 36 and therefore 48% of respondents say that responsiveness is good. This

means that the dealer’s responsiveness is “GOOD”.

Reliability


Cumulative

Percent

Valid Fair 10 13.3 13.3 13.3

Good 33 44.0 44.0 57.3

Excellent 32 42.7 42.7 100.0

Total 75 100.0 100.0

The frequency is 33 and therefore 44% of respondents say that Reliability is good. This

means that the dealer’s Reliability is “GOOD”.

|


A Nasabi

Promptness


Valid Fair 5 6.7 6.7 6.7

Good 34 45.3 45.3 52.0

Excellent 36 48.0 48.0 100.0

Total 75 100.0 100.0

The frequency is 36 and therefore 48% of respondents say that Promptness is excellent. This

means that the dealer’s Promptness is “EXCELLENT”.

Helpfulness


Valid Fair 9 12.0 12.0 12.0

Good 39 52.0 52.0 64.0

Excellent 27 36.0 36.0 100.0

Total 75 100.0 100.0

The frequency is 39 and therefore 52% of respondents say that Helpfulness is good. This

means that the dealer’s Helpfulness is “GOOD”.

|


A Nasabi

Technical Competence


Valid Fair 12 16.0 16.0 16.0

Good 28 37.3 37.3 53.3

Excellent 35 46.7 46.7 100.0

Total 75 100.0 100.0

The frequency is 35 and therefore 47% of respondents say that Technical Competence is

Excellent. This means that the dealer’s Technical Competence is “EXCELLENT”.

Quality of work done


Valid Fair 6 8.0 8.0 8.0

Good 45 60.0 60.0 68.0

Excellent 24 32.0 32.0 100.0

Total 75 100.0 100.0

The frequency is 45 and therefore 60% of respondents say that Quality of work done is good.

This means that the dealer’s Quality of work done is “GOOD”.

|


A Nasabi

Cleanliness of premises


Valid Poor 2 2.7 2.7 2.7

Fair 6 8.0 8.0 10.7

Good 39 52.0 52.0 62.7

Excellent 28 37.3 37.3 100.0

Total 75 100.0 100.0

The frequency is 39 and therefore 52% of respondents say that Cleanliness of premises is

good. This means that the dealer’s Cleanliness of premises is “GOOD”.

Appearance of Staff


Valid Poor 2 2.7 2.7 2.7

Fair 9 12.0 12.0 14.7

Good 36 48.0 48.0 62.7

Excellent 28 37.3 37.3 100.0

Total 75 100.0 100.0

The frequency is 36 and therefore 48% of respondents say that Appearance of Staff is good.

This means that the dealer’s Appearance of Staff is “GOOD”.

|


A Nasabi

Appearance of premises


Cumulative

Percent

Valid Poor 3 4.0 4.0 4.0

Fair 11 14.7 14.7 18.7

Good 47 62.7 62.7 81.3

Excellent 14 18.7 18.7 100.0

Total 75 100.0 100.0

The frequency is 47 and therefore 63% of respondents say that Appearance of premises is

good. This means that the dealer’s Appearance of premises is “GOOD”.

Courtesy of staff


Cumulative

Percent

Valid Poor 2 2.7 2.7 2.7

Fair 6 8.0 8.0 10.7

Good 58 77.3 77.3 88.0

Excellent 9 12.0 12.0 100.0

Total 75 100.0 100.0

The frequency is 58 and therefore 77% of respondents say that Courtesy of staff is good.

This means that the dealer’s Courtesy of staff is “GOOD”.

13. Items that Determine choice of the current premium car

|


A Nasabi

14. The technical features that influenced while purchasing the

premium car by the owners.

|


A Nasabi

Proximity Matrix

Euclidean Distance

Safety Security Performance Efficiency Technology Space

Useful

Electronics

V51 .000 33.030 22.694 36.946 22.091 31.906 34.957

V52 33.030 .000 35.242 34.900 35.426 29.883 33.571

V53 22.694 35.242 .000 37.656 25.826 35.313 37.855

V54 36.946 34.900 37.656 .000 35.454 26.173 28.965

V55 22.091 35.426 25.826 35.454 .000 34.029 33.106

V56 31.906 29.883 35.313 26.173 34.029 .000 26.721

V57 34.957 33.571 37.855 28.965 33.106 26.721 .000

Performance the technical feature which influenced while purchasing premium car

is ranked highest in the proximity matrix the Euclidean distance is 38% which is

highest.

Useful Electronics the technical feature which influenced while purchasing

premium car is ranked second highest in the proximity matrix the Euclidean

distance is 38% which is highest.

Efficiency the technical feature which influenced while purchasing premium car is

ranked third highest in the proximity matrix the Euclidean distance is 37% which is

highest.

Safety the technical feature which influenced while purchasing premium car is

ranked fourth highest in the proximity matrix the Euclidean distance is 36% which

is highest.

Security the technical feature which influenced while purchasing premium car is

ranked fifth highest in the proximity matrix the Euclidean distance is 35% which is

highest.

|


A Nasabi

Technology the technical feature which influenced while purchasing premium car is

ranked sixth highest in the proximity matrix the Euclidean distance is 35% which is

highest.

Space the technical feature which influenced while purchasing premium car is

ranked last in the proximity matrix the Euclidean distance is 31% which is highest.

15. The Non-technical features that influenced while purchasing the

premium car by the owners.

Prestige


Percent

Valid 0 10 13.3 13.3 13.3

1 35 46.7 46.7 60.0

2 14 18.7 18.7 78.7

3 9 12.0 12.0 90.7

4 3 4.0 4.0 94.7

5 3 4.0 4.0 98.7

6 1 1.3 1.3 100.0

Total 75 100.0 100.0

Prestige the non technical attribute that influenced while purchasing premium car by owners

is ranked 12th with frequency of 35 and 46.7% which does not get any significant rating in

order of importance, though we see that 10 respondents did not select prestige as their option.

Status


Cumulative

Percent

0 29 38.7 38.7 38.7

|


A Nasabi

4 1 1.3 1.3 40.0

5 1 1.3 1.3 41.3

6 5 6.7 6.7 48.0

7 3 4.0 4.0 52.0

8 3 4.0 4.0 56.0

9 6 8.0 8.0 64.0

10 1 1.3 1.3 65.3

11 4 5.3 5.3 70.7

12 22 29.3 29.3 100.0

Total 75 100.0 100.0

Status the non technical attribute that influenced while purchasing premium car by owners is

ranked 1st with frequency of 22 and 29% which does not get any significant rating in order of

importance, though we see that 29 respondents did not select status as their option.

Design


Percent

Valid 0 15 20.0 20.0 20.0

2 4 5.3 5.3 25.3

5 1 1.3 1.3 26.7

6 1 1.3 1.3 28.0

7 1 1.3 1.3 29.3

9 2 2.7 2.7 32.0

10 3 4.0 4.0 36.0

11 32 42.7 42.7 78.7

12 16 21.3 21.3 100.0

Total 75 100.0 100.0

Design the non technical attribute that influenced while purchasing premium car by owners is

ranked 2nd with frequency of 32 and 43% which does not get any significant rating in order of

importance, though we see that 15 respondents did not select design as their option.

|


A Nasabi

Style


Percent

Valid 0 8 10.7 10.7 10.7

7 5 6.7 6.7 17.3

8 9 12.0 12.0 29.3

9 8 10.7 10.7 40.0

10 24 32.0 32.0 72.0

11 9 12.0 12.0 84.0

12 12 16.0 16.0 100.0

Total 75 100.0 100.0

Style the non technical attribute that influenced while purchasing premium car by owners is

ranked 3rd with frequency of 24 and 32% which does not get any significant rating in order of

importance, though we see that 8 respondents did not select style as their option.

Handling


Percent

Valid 0 8 10.7 10.7 10.7

3 8 10.7 10.7 21.3

4 2 2.7 2.7 24.0

5 2 2.7 2.7 26.7

6 10 13.3 13.3 40.0

7 5 6.7 6.7 46.7

8 9 12.0 12.0 58.7

9 11 14.7 14.7 73.3

10 3 4.0 4.0 77.3

11 7 9.3 9.3 86.7

12 10 13.3 13.3 100.0

Total 75 100.0 100.0

|


A Nasabi

Handling the non technical attribute that influenced while purchasing premium car by owners

is ranked 4th with frequency of 11 and 15% which does not get any significant rating in order

of importance, though we see that 8 respondents did not select handling as their option.

Comfort


Valid 0 15 20.0 20.0 20.0

1 4 5.3 5.3 25.3

6 1 1.3 1.3 26.7

7 3 4.0 4.0 30.7

8 6 8.0 8.0 38.7

9 22 29.3 29.3 68.0

10 14 18.7 18.7 86.7

11 8 10.7 10.7 97.3

12 2 2.7 2.7 100.0

Total 75 100.0 100.0

Comfort the non technical attribute that influenced while purchasing premium car by owners


of importance, though we see that 15 respondents did not select comfort as their option.

Quality


Valid 0 7 9.3 9.3 9.3

3 4 5.3 5.3 14.7

4 2 2.7 2.7 17.3

5 1 1.3 1.3 18.7

6 1 1.3 1.3 20.0

7 2 2.7 2.7 22.7

8 20 26.7 26.7 49.3

9 4 5.3 5.3 54.7

10 15 20.0 20.0 74.7

11 9 12.0 12.0 86.7

12 10 13.3 13.3 100.0

Total 75 100.0 100.0

|


A Nasabi

Quality the non technical attribute that influenced while purchasing premium car by owners


of importance, though we see that 7 respondents did not select Quality as their option.

Reliability


Percent

Valid 0 23 30.7 30.7 30.7

3 1 1.3 1.3 32.0

4 2 2.7 2.7 34.7

5 6 8.0 8.0 42.7

6 4 5.3 5.3 48.0

7 23 30.7 30.7 78.7

8 2 2.7 2.7 81.3

9 7 9.3 9.3 90.7

10 7 9.3 9.3 100.0

Total 75 100.0 100.0

Reliability the non technical attribute that influenced while purchasing premium car by

owners is ranked 6th with frequency of 23 and 31% which does not get any significant rating

in order of importance, though we see that 23 respondents did not select reliability as their

option.

Value


Valid 0 28 37.3 37.3 37.3

2 10 13.3 13.3 50.7

3 4 5.3 5.3 56.0

4 5 6.7 6.7 62.7

5 12 16.0 16.0 78.7

7 1 1.3 1.3 80.0

8 9 12.0 12.0 92.0

9 5 6.7 6.7 98.7

10 1 1.3 1.3 100.0

Total 75 100.0 100.0

|


A Nasabi

Value the non technical attribute that influenced while purchasing premium car by owners is

ranked 8th with frequency of 12 and 16% which does not get any significant rating in order of

importance, though we see that 28 respondents did not select value as their option.

Image


Percent

Valid 0 27 36.0 36.0 36.0

2 1 1.3 1.3 37.3

3 1 1.3 1.3 38.7

4 13 17.3 17.3 56.0

5 2 2.7 2.7 58.7

6 11 14.7 14.7 73.3

7 6 8.0 8.0 81.3

8 10 13.3 13.3 94.7

10 4 5.3 5.3 100.0

Total 75 100.0 100.0

Image the non technical attribute that influenced while purchasing premium car by owners is

ranked 9th with frequency of 13 and 17% which does not get any significant rating in order of

importance.

Exclusivity


Percent

Valid 0 34 45.3 45.3 45.3

2 1 1.3 1.3 46.7

3 14 18.7 18.7 65.3

4 3 4.0 4.0 69.3

5 9 12.0 12.0 81.3

6 1 1.3 1.3 82.7

7 5 6.7 6.7 89.3

8 2 2.7 2.7 92.0

9 6 8.0 8.0 100.0

Total 75 100.0 100.0

|


A Nasabi

Exclusivity the non technical attribute that influenced while purchasing premium car by

owners is ranked 10th with frequency of 14 and 19% which does not get any significant rating

in order of importance

Modem


Percent

Valid 0 23 30.7 30.7 30.7

1 1 1.3 1.3 32.0

2 15 20.0 20.0 52.0

3 5 6.7 6.7 58.7

4 6 8.0 8.0 66.7

5 5 6.7 6.7 73.3

6 7 9.3 9.3 82.7

7 4 5.3 5.3 88.0

8 1 1.3 1.3 89.3

9 1 1.3 1.3 90.7

11 4 5.3 5.3 96.0

12 3 4.0 4.0 100.0

Total 75 100.0 100.0

Modem the non technical attribute that influenced while purchasing premium car by owners

is ranked last with frequency of 15 and 20% which does not get any significant rating in order

of importance.

16. Importance of driving the same car as their peer grou p

Descriptive Statistics


Driving same car as per

peer group75 1 4 2.23 1.047

Valid N (list wise) 75

|


A Nasabi

From the above analysis we can say that owners of premium cars are really bothered and

think of driving same car of their peer group which means they do not like driving same car

as their peer group drives.

17. Importance of purchasing a premium car to their social status



Importance of purchasing

car for social status 75 1 4 3.32 .791



premium cars do purchase car to their social status.

18. How important is for premium car company to keep up with

changes in style



Changes In Style 75 1 4 3.47 .577

Valid N

(list wise)75


premium cars feel it is really important for the company to keep up changes in style.

19. How important is for premium car company to keep up to date

|


A Nasabi



Updation 75 2 4 3.24 .633

Valid N (list wise)75


premium cars feel that it is really important to for the company to keep up to date with

technology, innovation and other attributes which influence purchasing cars.

20. How important is it for premium Car Company to keep classic and

traditional



Classic and Traditional 75 1 4 3.09 .574



premium cars feel that it is really important to for the company to keep classic and traditional.

21. How important is for premium car company to keep with technical

innovation



Technical Innovation 75 1 4 3.44 .620



premium cars feel that it is really important for the company to keep with technical

innovation which could revolutionize driving experience.

|


A Nasabi

22. Respondents next premium Car Company

Respondents next premium car company


Cumulative

Percent

Valid NO IDEA 22 29.3 29.3 29.3

Skoda 5 6.7 6.7 36.0

ford 3 4.0 4.0 40.0

Ferrari 1 1.3 1.3 41.3

range rover 1 1.3 1.3 42.7

Renault 2 2.7 2.7 45.3

Toyota 11 14.7 14.7 60.0

Volkswagen 11 14.7 14.7 74.7

Maruti 1 1.3 1.3 76.0

Audi 1 1.3 1.3 77.3

Mitsubishi 1 1.3 1.3 78.7

Tata 3 4.0 4.0 82.7

Honda 5 6.7 6.7 89.3

Chevrolet 1 1.3 1.3 90.7

Mahindra 5 6.7 6.7 97.3

fiat 1 1.3 1.3 98.7

BMW 1 1.3 1.3 100.0

Total 75 100.0 100.0

|


A Nasabi

From the above analysis the frequency is highest for Toyota and Volkswagen i.e. 11 and

14.7%. This means that the premium car customers would like to buy cars of Toyota and

Volkswagen. The future demand for Toyota and Volkswagen is more in Hubli city as per this

analysis. And there are large respondents who have no idea of their next premium car.

|


A Nasabi

Findings and

Suggestions

|


A Nasabi

FINDINGS

Car owner’s respondents’ profile: The analysis the frequency value is higher for male i.e. 73 are male and 2 are female respondents.

Car owner’s age: The frequency value for <24 age group is 18 and 24% and for

age group 25-44 the frequency value is 47 and 63% and for age group 45-64 the

frequency value is 10 and 13%.

Car owner’s Marital Status: The frequency value is higher for married

respondents and thus we can say that owners of premium car are married with

frequency of 50 and 67%.

Car owner’s having children: The frequency value is higher for respondents

having children and thus we can say that owners of premium car are having children

with frequency value of 45 and 56%.

Car owner’s income level: The frequency value is higher for the income

group of 7.5lacks- 10lakhs and thus we can say that owners of premium car fall in

the income slab of 7.5lacks- 10lakhs with frequency value of 43 and 57%.

The company of respondent’s current car: The analysis says that the

highest frequency for current car company is 15 and 20% which is TATA Motor’s

the next highest is Toyota and Maruti with frequency of 11 and 14.7. This means

that the highest respondents for this research are TATA Motor’s cars.

The dealer of respondent’s current Car: The analysis says that the highest

frequency for dealer of current car is 15 and 20% which is TATA’s the next highest

is Bellad Motors and Shodha Toyota with frequency of 13 and 11 and 17% and

15%. This means that the highest respondents for this research are TATA Motor’s

cars.

|


A Nasabi

Satisfaction of the owners with their current car: The frequency value

72 and 96% is higher and thus we can say that owners of premium car are satisfied

with the car which they already own.

Whether respondents would recommend the Brand of their current

car to anyone else: The frequency value 55 and 73% is higher for “Definitely

YES” and thus we can say that owners of premium car will recommend the Brand

of their current car to anyone else.

Whether respondents would recommend the Dealer of their current

car to anyone else: The frequency value 38 and 50% is higher for “Definitely

YES” and thus we can say that owners of premium car will recommend the Dealer

of their current car to anyone else.

Whether respondents would recommend the same car Model they

have to anyone else: The frequency value 50 and 66% is higher for “Definitely

YES” and thus we can say that owners of premium car will recommend the same

car model of their current car to anyone else.

Dealer’s Competency regarding: The frequency is 36 and therefore 48% of

respondents say that is good. The dealer’s overall competency is “GOOD”.

Items that Determine choice of the current premium car: Reputation/

Reliability ranked first, Icon of Social Status ranked second, handling ranked third,

Icon of Technology ranked fourth

The technical features that influenced while purchasing the

premium car by the owners: Performance the technical feature which

influenced while purchasing premium car is ranked highest in the proximity matrix

the Euclidean distance is 38% which is highest.

|


A Nasabi

Useful Electronics the technical feature which influenced while purchasing

premium car is ranked second highest in the proximity matrix the Euclidean

distance is 38% which is highest.

Efficiency the technical feature which influenced while purchasing premium car is

ranked third highest in the proximity matrix the Euclidean distance is 37% which is

highest.

Safety the technical feature which influenced while purchasing premium car is

ranked fourth highest in the proximity matrix the Euclidean distance is 36% which

is highest.

Security the technical feature which influenced while purchasing premium car is

ranked fifth highest in the proximity matrix the Euclidean distance is 35% which is

highest.

Technology the technical feature which influenced while purchasing premium car is

ranked sixth highest in the proximity matrix the Euclidean distance is 35% which is

highest.

Space the technical feature which influenced while purchasing premium car is

ranked last in the proximity matrix the Euclidean distance is 31% which is highest.

The Non-technical features that influenced while purchasing the

premium car by the owners: Status the non technical attribute that influenced

while purchasing premium car by owners is ranked 1st with frequency of 22 and

29% which does not get any significant rating in order of importance, though we see

that 29 respondents did not select status as their option. And followed by others.

Findings Specific to TATA Motors

Importance of driving the same car as their peer group: The owners of

premium cars are really bothered and think of driving same car of their peer group

which means they do not like driving same car as their peer group drives.

|


A Nasabi

Importance of purchasing a premium car to their social status: The

mean value is higher and thus we can say that owners of premium cars do purchase

car to their social status.

How important is for premium car company to keep up with

changes in style: The mean value is higher and thus we can say that owners of

premium cars feel it is really important for the company to keep up changes in style.

How important is for premium car company to keep up to date: The

mean value is higher and thus we can say that owners of premium cars feel that it is

really important to for the company to keep up to date with technology, innovation

and other attributes which influence purchasing cars

How important is it for premium Car Company to keep classic and

traditional: The mean value is higher and thus we can say that owners of

premium cars feel that it is really important to for the company to keep classic and

traditional

How important is for premium car company to keep with technical

innovation: The mean value is higher and thus we can say that owners of

premium cars feel that it is really important for the company to keep with technical

innovation which could revolutionize driving experience.

Respondents next premium Car Company: The frequency is highest for

Toyota and Volkswagen i.e. 11 and 14.7%. This means that the premium car

customers would like to buy cars of Toyota and Volkswagen. The future demand for

Toyota and Volkswagen is more as per this analysis. And there are large

respondents who have no idea of their next premium car.

|


A Nasabi

Conclusion

|


A Nasabi

Conclusion

The premium car market is expected to witness strong growth with rising number of foreign

players planning expansions in the market. Growing number of young entrepreneurs in India

inclined to drive premium cars is bringing about healthy demand for such cars.

An analysis of drivers reveals that growth in high income households, premium car

manufacturers entering pre-owned/used car market, increasing investments in automotive

sector and preferred choice of the young and affluent are helping the market grow. The key

challenges identified are the affordability of premium cars and that it pollutes the

environment. The report discusses the current market trends as increase in the number of

distributors across India, global companies eyeing India as manufacturing base and players

diversifying offerings.

Premium market in India is gradually gaining attention. Though the 'buzz', this sector is

generating is disproportionately high in comparison to the size of the market, but it shows

that the global premium brands do recognize the high potential of the Indian premium

markets.

Till a decade back, premium retail was only meant for the with just a few premium brands

available and that too in five star consumption of elites hotels. Over the years, India's

increasing urbanization rate has monetarily empowered the consumer which has further

helped premium market to set a firm foot for itself.

|


A Nasabi

The premium market is growing at a rapid pace in India with a compounded annual growth of

25%. At US$4.76 billion, the premium market in India is set to touch three times its current

size at US$14.72 billion by 2015. The country has become the prime destination for top-

notch global brands, while many high-end premium brands have quickly set up their shops

here.

Out of the all premium segments in India, the Premium Car segment acquires the major

share.

Trends in the Industry

- Global companies are eyeing India as a manufacturing base

- Players diversifying offerings

- Increase in number of dealerships across India

India has proven to be a frugal hub for Automobile OEMs due to its location and skill

advantage. India is a now a part of the global strategy for all major automobile companies;

every company is planning to set up their manufacturing base in the country and are also

exploiting its option as an export hub.

The premium car market in India has registered a fair amount of growth in the last few years

and is growing at the rate of 27% per year, and a CAGR of 7% annually.

Suggestions

|


A Nasabi

Suggestions

As per the analysis the premium car owners are very satisfied with their current premium

car and the dealer Manickbag automobile must to get in touch with the existing car

owners if there is launch of new car model.

Sales force need to be more good in their communication as they need to be presented to

premium customers and they should try to employee or try to have special sales force

exclusively for sale of premium cars.

As per the study the dealers competencies are as follows:

Responsiveness:

As per the study the dealer’s responsiveness is ranked as

“GOOD” and must give or serve an answer or response to the owner’s problems regarding

the premium car. The survey says that the dealer is not that responsive to premium customers

and hence the dealer must improve on its Responsiveness.

Reliability:

As per the study the dealer’s Reliability is ranked as “GOOD”. The

premium car owners feel that the dealer is trustworthy and hence it is rated as good and hence

the dealer must improve on its Reliability.

Promptness:

As per the study the dealer’s Promptness is ranked as “EXCELLENT”. The

Dealer is quick to act or to do what is required and is ready and punctual to the service it

provides to the premium customers.

Helpfulness:

|


A Nasabi

As per the study the dealer’s Helpfulness is ranked as “GOOD”. The service

provided to the premium car owners is Good and useful to the premium car owners and hence

the dealer must improve on its Helpfulness.

Technical Competency:

As per the study the dealer’s Technical Competence is ranked as

“EXCELLENT”. The premium car owners are happy with the technical service provided that

are necessary in order to perform a particular type or level of work activity . And hence the dealer’s

service is excellent.

Quality of work done:

As per the study the dealer’s Quality of work done is ranked as “GOOD”. The

premium car owners are happy with the quality of work done the dealer must improve on its

service department and improve on its work quality.

Cleanliness of premises:

As per the study the dealer’s Cleanliness of premises is ranked as “FAIR”. The

dealer must improve its premises.

Appearance of Staff:

As per the study the dealer’s Appearance of staff is ranked as “GOOD”. The

dealer can improve its staff by training.

Appearance of Premises:

As per the study the dealer’s Appearance of premises is ranked as “GOOD”.

The dealer must improve on its infrastructure.

Courtesy of Staff:

As per the study the dealer’s Courtesy of Staff is ranked as “EXCELLENT”.

Manickbag Automobiles to be competitively ahead can try to look into all the above

mentioned. Therefore the dealer can to improve on all Responsiveness and Promptness to

gain the customers in Hubli city.

|


A Nasabi

As per the study the Premium car owners would definitely recommend the dealer of

their current premium car to anyone else.

As per the study customers of premium cars would like to buy their next premium

cars of Toyota and Volkswagen.

Other suggestion includes:

On the basis of personal interaction with the premium car owners of TATA

Motors I would recommend that the Manickbag automobiles can try to bring

in more awareness especially with TATA SAFARI car as the potential for this

car is more in Hubli city.

The purchase usually lies between age group 25-44 but having said that the

age group less than 24 is very much attracted towards premium car model

because of technology and appearance therefore the study reveals that age

group less than 24 is a potential age group to influence during the purchase of

premium car.

These are the features that are looked for in a premium cars looks, styling and

higher performance.

As per the study the respondents claimed that the waiting period is too long so

steps need to be taken in order to minimize the waiting period as it might lead

to switching over of brand.

Rigorous follow up needs to be done for the potential buyer, this can be done

by personal interview, remainder mail, test drives.

|


A Nasabi

QUESTIONNAIRE ON CUSTOMER PERCEPTIONS OF PREMIUM CARS BY ITS OWNERS

Your Personal Details1. Name: ____________________________________________2. Male Female

3. Your age (Years): 24 or under 25-44 45-64 65 or more

4. Marital Status: Single Married

5. Do you have any children? YES NO

6. Occupation:

7. What is your annual gross income?

5,00,000-7,50,000 7,50,001-10,00,000 10,00,000+

About Your Vehicle

8. What is the make and model of your current car?

Company: Model:

9. Name the dealer of your car ____________________________________________________________

10.How satisfied are you with your current car? (Please tick)

Very Satisfied Satisfied Dissatisfied Very Dissatisfied

11.Rank the following reasons which have influenced your choice of buying your premium car:

Technology

Status symbol

Brand of the car

Dealer And services

Influence of peer group

|


A Nasabi

12. Would you recommend to anyone else:

DefinitelyYES

ProbablyYES

ProbablyNOT

DefinitelyNOT

a. The brand of your current car?

b. The dealer of your current car?

c. The same car model or itsReplacement next time?

13.Rate the dealer's competency regarding the following

Excellent Good Fair Poor

a. Responsiveness

b. Reliability

c. Promptness

d. Helpfulness

e. Technical Competence

f. Quality of work done

g. Cleanliness of premises

h. Appearance of staff

i. Appearance of premises

j. Courtesy of staff

|


A Nasabi

14. Please rank in order of importance four of the following items that determine choice of your current car:

Most important 1, second most important 2

Purchase price Reputation for quality / reliabilityCost to run and maintain Performance

Recommendation from friends / relatives Handling

Icon of high technology Image of sportiness and exclusivity

Icon of social Status Image of prestige and status

Resale value Level of equipment for the price

Previous experience with this make Roominess

Previous experience with the dealer Safety

Advertising It is a Company car & policy

Dealer Service Other (please specify)

Styling / Design

15.Rank the technical features in order of importance that influenced you while purchasing your Premium car?

Durability Safety Security Performance

Efficiency Technology Space Useful Electronics

16.Rank these non-technical attributes in order of importance that influenced you while purchasing your Premium car?

Prestige Status Design Style

Handling Comfort Quality Reliability

Value Image / Icon Exclusivity Modem

|


A Nasabi

17. How important is it to you to drive the same car as your peer group?Very Important Rather Important Rather Unimportant Not at all

18. How important is the purchase of a premium car to your social status?Very Important Rather Important Rather Unimportant Not at all

19.How important is it for your company to:

Very Important

Rather Important

Rather Unimportant

Not at all

a. keep up with changes in style?

b. keep up to date?

c. keep classic and traditional?

d. keep up with technical innovation?

20.Next time you buy a Premium car, what would be your company and model?Company: Model:

THANK YOU FOR YOUR CO-OPERATION

|


A Nasabi

Annexure

|


A Nasabi

BIBLOGRAPHY

Primary sources:

The primary data is collected from the sources like:

Personal interaction with Manickbag owner, human resource manager, and Sales manager at

the showroom,

Manickbag records

Questionnaire

Observation

Secondary sources:

The secondary data is collected from the sources like company’s web sites

Tata Motor’s website

www.wikipedia.com

Tata Motors Press release: http://www.tatamotors.com/media/press-releases.php?id=664

|

http://www.tatamotors.com/media/press-releases.php?id=664

http://www.wikipedia.com/

Documents

Final Report on Manickbag Auto