Consumer buying behavior of wagonR car of maruti Suzuki.

Index page

Chapter no.

TOPIC Page no.

College certificate

Declaration

Acknowledgement

1. Industry profile1.1 HISTORY OF THE AUTOMOBILE1.2 AUTOMOTIVE INDUSTRY IN INDIA1.3 HISTORY1.4 INDUSTRY DEFINITION1.5 SUPPLY CHAIN OF AUTOMOBILE INDUSTRY1.6 EXPORT

231618191920

2. Company profile2.1 PROFILE2.2 INDUSTRIAL RELATIONS2.3 SERVICES OFFERED2.4 ANNOUNCEMANT FOR MARUTI SUZUKI2.5 LATEST KEY DEVELOPMENT

232529303738

3. Theoretical framework3.1.CONSUMER BUYING BEHAVIOR3.2 THE IMPORTANCE OF CONSUMER BEHAVIOR3.3 FACTORS AFFECTINF CONSUMER BUYING BEHAVIOR

I. CULTURAL FACTORII. SOCIAL FACTORS

III. PERSONAL FACTORSIV. PSYCHOLOGICAL FACTORS3.4 BUYING BEHAVIOUR PROCESS

I. 1.STEP:NEED RECOGNITIONII. 2.STEP INFORMATION SEARCH

III. 3.STEP EVALUATION OF ALTERNATIVESIV. 4PURCHASE BEHAVIOR

39404142

424344454646464747

4. Research methodology4.1 RESEARCH DEFINITION4.2 OBJECTVE OF STUDY

I. PRIMARY OBJECTIVEII. SECONDARY OBJECTIVE

4.3 IMPORTANCE OF STUDY4.4 RESEARCH DESIGN4.5 TYPES OF RESEARCH DESIGN

5253535353545455

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I. EXPLORATORY RESEARCHII. DESCRIPTIVE RESEARCH

III. CAUSAL RESEARCH4.6 COLLECTION OF DATA

I. PRIMARY DATEII. SECONDARY DATA

4.7 DATE COLLECTION TECHNIQUESI. SAMPLE SIZE

II. SAMPLE METHODIII. SAMPLE FRAMEIV. SURVEY TOOL

IV.8 ANALYSIS OF THE DATAIV.9 LIMITATION OF STUDY4.10 SCOPE OF STUDY

5555565657575757575757 575858

5. Analysis & Finding5.1 ANALAYSIS

5.2 FINDINGS

59

73

6. Conclusion & recommendation.I. CONCLUSION

II. RECOMMENDATION

757576

7. BibliographyAnnexure

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CHAPTER-1 INDUSTRY

PROFILE

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Automobile Industry

1 .1H i s to ry o f t he au tomob i l e

The design of the Cugnot Steam Trolley (Jonathan Holgunisburg) (1769)

The history of the automobile begins as early as 1769, with the creation of steam engine automobiles capable of human transport. In 1806, the first cars powered by an internal combustion engine running on fuel gas appeared, which led to the introduction in 1885 of the ubiquitous modern gasoline- or petrol-fueled internal combustion engine. Cars powered by power briefly appeared at the turn of the 20th century, but largely disappeared from use until the turn of the 21st century. The early history of the automobile can be divided into a number of eras, based on the prevalent means of propulsion during that time. Later periods were defined by trends in exterior styling, and size and utility preferences.

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17th century:Ferdinand Verbiest, a member of a Jesuit mission in China, built the first steam-powered vehicle around 1672, designed as a toy for the Chinese Emperor, it being of small scale and unable to carry a driver or passenger but, quite possibly, the first working steam-powered vehicle ('auto-mobile').

18th century:

Steam-powered self-propelled vehicles large enough to transport people and cargo were first devised in the late 18th century. Nicolas-Joseph Cugnotdemonstrated his fardier à vapeur ("steam dray"), an experimental steam-driven artillery tractor, in 1770 and 1771. As Cugnot's design proved to be impractical, his invention was not developed in his native France. The centre of innovation shifted to Great Britain. By 1784, William Murdoch had built a working model of a steam carriage in Redruth, and in 1801 Richard Trevithick was running a full-sized vehicle on the road in Camborne.[4] Such vehicles were in vogue for a time, and over the next decades such innovations as hand brakes, multi-speed transmissions, and better steering developed. Some were commercially successful in providing mass transit, until a backlash against these large speedy vehicles resulted in the passage of the Locomotive Act(1865), which required self-propelled vehicles on public roads in the United Kingdom to be preceded by a man on foot waving a red flag and blowing a horn. This effectively killed road auto development in the UK for most of the rest of the 19th century; inventors and engineers shifted their efforts to improvements in railway locomotives. (The law was not repealed until 1896, although the need for the red flag was removed in 1878.)

The first automobile patent in the United States was granted to Oliver Evans in 1789.

19th century:Among other efforts, in 1815, a professor at Prague Polytechnic, Josef Bozek, built an oil-fired steam car. Walter Hancock, builder and operator of London steam buses, in 1838 built a four-seat steam phaeton.

What some people define as the first "real" automobile was produced by Amédée Bollée in 1873, who built self-propelled steam road vehicles to transport groups of passengers.

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The American George B. Selden filed for a patent on May 8, 1879. His application included not only the engine but its use in a 4-wheeled car. Selden filed a series of amendments to his application which stretched out the legal process, resulting in a delay of 16 years before the US 549160was granted on November 5, 1895.

Karl Benz, the inventor of numerous car-related technologies, received a German patent in 1886.

The four-stroke petrol (gasoline) internal combustion engine that constitutes the most prevalent form of modern automotive propulsion is a creation of Nikolaus Otto. The similar four-stroke diesel engine was invented by Rudolf Diesel. The hydrogen fuel cell, one of the technologies hailed as a replacement for gasoline as an energy source for cars, was discovered in principle by Christian Friedrich Schonbein in 1838. The battery electric car owes its beginnings to Ányos Jedlik, one of the inventors of the electric motor, and Gaston Plant, who invented the lead-acid battery in 1859.

The first carriage sized automobile suitable for use on existing wagon roads in the United States was a steam powered vehicle invented in 1871, by Dr. J.W. Car hart, a minister of the Methodist Episcopal Church, in Racine, Wisconsin. It induced the State of Wisconsin in 1875, to offer a $10,000 award to the first to produce a practical substitute for the use of horses and other animals. They stipulated that the vehicle would have to maintain an average speed of more than five miles per hour over a 200 mile course. The offer led to the first city to city automobile race in the United States, starting on July 16, 1878, in Green Bay, Wisconsin, and ending in Madison, via Appleton, Oshkosh, Waupun, Watertown, Fort Atkinson, and Janesville. While seven vehicles were registered, only two started to compete: the entries from Green Bay and Oshkosh. The vehicle from Green Bay was faster, but broke down before

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completing the race. The Oshkosh finished the 201 mile course in 33 hours and 27 minutes, and posted an average speed of six miles per hour. In 1879, the legislature awarded half the prize.

Steam-powered automobiles continued development all the way into the early 20th century, but the dissemination of petrol engines as the motive power of choice in the late 19th century marked the end of steam automobiles except as curiosities. Whether they will ever be reborn in later technological eras remains to be seen. The 1950s saw interest in steam-turbine cars powered by small nuclear reactors (this was also true of aircraft), but the dangers inherent in nuclear fission technology soon killed these ideas. The need for global changes in energy sources and consumption to bring about  sustainability  and energy independence has led 21st century engineers to think once more about possibilities for steam use, if powered by modern energy sources controlled with computerized controls, such as advanced electric batteries, fuel cells, photovoltaic, biofuels, or others.

Electric automobiles:

IN 1828, Ányos Jedlik, a Hungarian who invented an early type of electric motor, created a tiny model car powered by his new motor.[] In 1834,  Vermont blacksmith Thomas Davenport, the inventor of the first American  DC electrical motor, installed his motor in a small model car, which he operated on a short circular electrified track. In 1835, Professor Sibrandus Starting of Groningen, the Netherlands and his assistant Christopher Becker created a small-scale electrical car, powered by non-rechargeable primary cells.[11] In 1838, Scotsman Robert Davidson built an electric locomotive that attained a speed of 4 miles per hour (6 km/h). In England, a patent was granted in 1840 for the use of rail tracks as conductors of electric current, and similar American patents were issued to Lilley and Colton in 1847. Between 1832 and 1839 (the exact year is uncertain), Robert Anderson of Scotland invented the first crude electric carriage, powered by non-rechargeable primary cells.

Internal combustion engines

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1885-built Benz Patent Motorwagen, the first car to go into production with an

internal combustion engine

Early attempts at making and using internal combustion engines were hampered by the lack of suitable fuels, particularly liquids, and the earliest engines used gas mixtures.

Early experimenters using gases. In 1806, Swiss engineer François Isaac de Rivaz who built an engine powered by internal combustion of a hydrogen  and oxygen mixture. In 1826, Englishman Samuel Brown who tested his hydrogen-fuelled internal combustion engine by using it to propel a vehicle up Shooter's Hill in south-east London. Belgian-born Etienne Lenoir's Hippo mobile with a hydrogen-gas-fuelled one-cylinder internal combustion engine made a test drive from Paris to Joinville-le-Pont in 1860, covering some nine kilometers in about three hours A later version was propelled by coal gas. A Delamare-Deboutteville vehicle was patented and trialed in 1884.

About 1870, in Vienna, Austria (then the Austro-Hungarian Empire), inventor Siegfried Marcus put a liquid-fuelled internal combustion engine on a simple handcart which made him the first man to propel a vehicle by means of gasoline. Today, this car is known as "the first Marcus car". In 1883, Marcus secured a German patent for a low-voltage ignition system of the magneto  type; this was his only automotive patent. This design was used for all further engines, and the four-seat "second Marcus car" of 1888/89. This ignition, in conjunction with the "rotating-brush carburetor", made the second car's design very innovative.

It is generally acknowledged that the first really practical automobiles with petrol/gasoline-powered internal combustion engines were completed almost simultaneously by several German inventors working independently: Karl Benz built his first automobile in 1885 in Mannheim. Benz was granted a patent for his automobile on 29 January 1886, and began the first production of automobiles in 1888, after Bertha Benz, his wife, had proved - with the first long-distance trip in August 1888, from Mannheim to Pforzheim and back -

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that the horseless coach was absolutely suitable for daily use. Since 2008 a Bertha Benz Memorial Route commemorates this event.

Soon after, Gottlieb Daimler and Wilhelm Maybach in Stuttgart in 1889 designed a vehicle from scratch to be an automobile, rather than a horse-drawn carriage fitted with an engine. They also are usually credited with invention of the first motorcycle in 1886, but Italy's Enrico Bernardi of the University of Padua, in 1882, patented a 0.024 horsepower (17.9 W) 122 cc (7.4 cu in) one-cylinder petrol motor, fitting it into his son's tricycle, making it at least a candidate for the first automobile, and first motorcycle, Bernardi enlarged the tricycle in 1892 to carry two adults.

One of the first four-wheeled petrol-driven automobiles in Britain was built in Birmingham in 1895 by Frederick William Lanchester, who also patented the disc brake; and the first electric starter was installed on an Arnold, an adaptation of the Benz Velo, built between 1895 and 1898.

In all the turmoil, many early pioneers are nearly forgotten. In 1891, John William Lambert built a three-wheeler in Ohio City, Ohio, which was destroyed in a fire the same year, while Henry Nadigconstructed a four-wheeler in Allentown, Pennsylvania. It is likely they were not the only one

Brass Era car :

:

Named for the wide spread use of  brass in the United States,the Brass (or Edwardian) Era lasted from roughly 1905 through to the beginning of World War I in 1914.

Within the 15 years that make up this era, the various experimental designs and alternate power systems would be marginalized. Although the modern touring had been invented earlier, it was not until Leaser’s Systems Pan hard was widely licensed and adopted that recognizable and standardized automobiles were created. This system specified front-engine, rear-wheel drive internal combustion engine cars with a sliding gear transmission. Traditional coach-style vehicles were rapidly abandoned, and buckboard  runabouts  lost favor with the introduction of tonneaus and other less-expensive touring bodies.

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By 1906, steam car development had advanced, and they were among the fastest road vehicles in that period

By 1906, steam car development had advanced, and they were among the fastest road vehicles in that period. Throughout this era, development of automotive technology was rapid, due in part to hundreds of small manufacturers competing to gain the world's attention. Key developments included the electric ignition system (by dynamotor on the Arnold in 1898, though Robert Bosch, 1903, tends to get the credit),independent suspension (actually conceived by Bollée in 1873), and four-wheel brakes (by the Arrol-Johnston Company of Scotland in 1909) Leaf springs were widely used for suspension, though many other systems were still in use, with angle steel taking over from armored wood as the frame material of choice. Transmissions and throttle controls were widely adopted, allowing a variety of cruising speeds, though vehicles generally still had discrete speed settings, rather than the infinitely variable system familiar in cars of later eras. Safety glass also made its debut, patented by John Wood in England in 1905.] (It would not become standard equipment until 1926, on a Rickenbacker.)

Between 1907 and 1912 in the United States, the high-wheel motor buggy (resembling the horse buggy of before 1900) was in its heyday, with over seventy-five makers including Holsman (Chicago), IHC (Chicago), and Sears (which sold via catalog); the high-wheeler would be killed by the Model  In 1912,Hupp (in the U.S., supplied by Hale & Irwin) and BSA (in the UK) pioneered the use of all-steel bodies, joined in 1914 by Dodge (who produced Model T bodies).[While it would be another two decades before all-steel bodies would be standard, the change would mean improved supplies of superior-quality wood for furniture makers.

Some examples of cars of the period included:

1908–1927 Ford Model T — the most widely produced and available car of the era. It used a planetary transmission, and had a pedal-based control system. Ford T was proclaimed as the most influential car of the 20th century in the international Car of the Century awards.

1910 Mercer Race about — regarded as one of the first sports cars, the Race about expressed the exuberance of the driving public, as did the similarly conceived American Under slung and Hispano-Suiza Alphorns.

1910–1920 Bugatti Type 13 — a notable racing and touring model with advanced engineering and design. Similar models were the Types 15, 17, 22, and 23.

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Vintage era

The vintage era lasted from the end of World War I (1919), through the Wall Street Crash at the end of 1929. During this period, the front-engine car came to dominate, with closed bodies and standardized controls becoming the norm. In 1919, 90% of cars sold were open; by 1929, 90% were closed. Development of the internal combustion engine continued at a rapid pace, with multi-valve and overhead camshaft engines produced at the high end, and V8,V12, and even V16 engines conceived for the ultra-rich. Also in 1919, hydraulic brakes were invented by Malcolm Longhead (co-founder of Lockheed); they were adopted by Duisenberg for their 1921 Model A. Three years later, Hermann Rieseler of Vulcan Motor invented the first automatic transmission, which had two-speed planetary gearbox, torque converter, and lockup clutch; it never entered production. (Its like would only become an available option in 1940.) Just at the end of the vintage era, tempered glass (now standard equipment in side windows) was invented in France. In this era the revolutionary pontoon design of cars without fully articulated fenders, running boards and other non-compact ledge elements was introduced in small series but a mass production of such cars was started much late

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Pre-WWII era

The pre-war part of the classic era began with the Great Depression in 1930, and ended with the recovery after World War II, commonly placed at 1948. It was in this period that integrated fenders and fully closed bodies began to dominate sales, with the new saloon/sedan body style even incorporating a trunk or boot at the rear for storage. The old open-top runabouts, phaetons, and touring cars were phased out by the end of the classic era as wings, running boards, and headlights were gradually integrated with the body of the car.By the 1930s, most of the mechanical technology used in today's automobiles had been invented, although some things were later "re-invented", and credited to someone else. For example, front-wheel drive was re-introduced by André Citroën with the launch of the Traction Avant in 1934, though it had appeared several years earlier in road cars made by Avis and Cord, and in racing cars by Miller (and may have appeared as early as 1897). In the same vein, independent suspension was originally conceived by Amédée Bollée in 1873, but not put in production until appearing on the low-volume Mercedes-Benz 380 in 1933, which prodded American makers to use it more widely. In 1930, the number of auto manufacturers declined sharply as the industry consolidated and matured, thanks in part to the effects of the Great Depression.

Exemplary pre-war automobiles:

1932–1939 Alvis Speed 20 and Speed 25 — the first cars with all-synchromesh gearbox.

1932–1948 Ford V-8 (Model B) — introduction of the powerful flathead V8 in mainstream vehicles, setting new performance and efficiency standards.

1934–1940 Bugatti Type 57 — a singular refined automobile for the wealthy. 1934–1956 Citroën Traction Avant — the first mass-produced front-wheel

drive car, built with monocoque chassis. 1936–1955 MG T series — sports cars with youth appeal at an affordable

price. 1938–2003 Volkswagen Beetle — a design for efficiency and low price,

which was produced for over 60 years with minimal basic change; it has the

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largest production in history with over 20 million units produced in several counties. The car was awarded the fourth place in the international Century competition. A new car echoing the styling of the original has been produced in the 21st century.

1936–1939 Rolls-Royce Phantom III — V12 engine pinnacle of pre-war engineering, with technological advances not seen in most other manufacturers until the 1960s. Superior performance and quality.

1946–1958 GAZ-M20 Pobeda — Soviet mass car with full ponton design.1947–1958 Standard Vanguard — British mass car with full ponton design some and

1948–1971 Morris Minor – a popular and typical early post-war car exported around the world

1953–1971 Chevrolet Bel Air and 1953–2002 Cadillac Eldorado Brougham – in its first generations were a bright representatives of golden epoch of American tailfin car design

1955–1976 Citroën DS — bright and non-often representative of unusual bogie (hydro pneumatic) и design (one of the most mind), due to what became a movie star; car was awarded the third place on international Car of the XX Century competition.

1959–2000 Mini — this quintessential small car lasted for four decades, and is one of the most famous cars of all time; car was awarded the second place on international Car of the XX Century competition; car has a re-styled new variant in XXI century.

1961–1975 Jaguar E-type — the E-type saved Jaguar on the track and in the showroom, and was a standard for design and innovation in the 1960s.

1963–1989 Porsche 911 – wanted non-cheap but mass sport car, famous its company; car was awarded the fifth place on international Car of the XX Century competition; car has a successors with similar design.

1964–present Ford Mustang — the pony car that became one of the best-selling and most-collected cars of the era.

1966–end of 20th century FIAT 124 — an Italian car that was license produced in many other counties including the Soviet Union where as the VAZ-2101 it launched mass automobilisation.

1967 NSU Ro 80 — the basic wedge profile of this design was much emulated in subsequent decades. unlike that its other technical innovation - rotor engine.

1967–2002 Chevrolet Camaro – The pony car that General Motors introduced to compete with Ford's mustang which featured the relatively new Coke bottle styling.

1969 Datsun 240Z — one of the first Japanese sports cars to be a smash hit with the North American public, it paved the way for future decades of Japanese strength in the automotive industry. It was affordable and well built] and had great success both on the track and in the showroom.

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Modern era

The modern era is normally defined as the 25 years preceding the current year. However, there are some technical and design aspects that differentiate modern cars from antiques. Without considering the future of the car, the modern era has been one of increasing standardization, platform sharing, and computer-aided design.

Some particularly notable advances in modern times are the widespread of front-wheel drive and all-wheel drive, the adoption of the diesel engine, and the ubiquity of fuel injection. While all of these advances were first attempted in earlier eras, they so dominate the market today that it is easy to overlook their significance. Nearly all modern passenger cars are front-wheel drivemonocoque/unibody designs, with transversely mounted engines, but this design was considered radical as late as the 1960s.

Body styles have changed as well in the modern era. Three types, the hatchback, sedan, and sport utility vehicle, dominate today's market, yet are relatively recent concepts. All originally emphasised practicality, but have mutated into today's high-powered luxury crossover SUV, sports wagon, two-volume Large MPV. The rise of pickup trucks in the United States, and SUVs worldwide has changed the face of motoring, with these "trucks" coming to command more than half of the world automobile market. There was also the appearance of new one-volumeMPV class (smaller non-commercial passenger minivans), among the first of which were the French Renault Espace and US Pontiac Trans Sport.

The modern era has also seen rapidly rising fuel efficiency and engine output. Once the automobile emissions concerns of the 1970s were conquered with computerised engine management systems, power began to rise rapidly. In the 1980s, a powerful sports car might

have produced 200 horsepower (150 kW) – just 20 years later, average passenger cars have engines that powerful, and some performance models offer three times as much power.

Since 2009 China becamed the new world's absolute car manufacturer leader with production more than US, Japan or all Europe. Besides of large growth of car production in Asian and other countries, the junctions (and breaks) of producents into transnational corporate groups and the transnational "platforms" of a cars becamed as wide practice.

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Since the end of the 20th century, several award competitions of cars and trucks have become widely known, such as European Car of the Year Car of the Year Japan, Year, World, Truck of the Year, and International Car of the Year, so that vehicles of different classes, producers, and countries win alternately. Also, Car of the Century awards were held, in which in the US the Ford Model T was named as most influential car of the 20th century.

Exemplary modern cars:

1966–present Toyota Corolla — a simple small Japanese saloon/sedan that has come to be the best-selling car of all time.

1970–present Range Rover — the first take on the combination of luxury and four-wheel drive utility, the original 'SUV'. Such was the popularity of the original Range Rover Classic that a new model was not brought out until 1994.

1973–present Mercedes-Benz S-Class — electronic Anti-lock Braking System, supplemental restraint airbags, seat belt pretensioners, and electronic traction control systems all made their debut on the S-Class. These features would later become standard throughout the car industry.

1975–present BMW 3 Series — the 3 Series has been on Car and Driver magazine's annual Ten Best list 17 times, making it the longest running entry in the list.

1977–present Honda Accord saloon/sedan — this Japanese sedan became the most popular car in the United States in the 1990s, pushing the Ford Taurus aside, and setting the stage for today's upscale Asian sedans.

1981–1989 Dodge Aries and Plymouth Reliant — the "K-cars" that saved Chrysler as a major manufacturer. These models were some of the first successful American front-wheel drive, fuel-efficient compact.

1983–present Chrysler minivans — the two-box minivan design nearly pushed the station wagon out of the market, and presaged today's crossover SUVs.

1984–present Renault Escape — first mass one-volume car of non-commercial MPV class.

1986–present Ford Taurus — this mid-sized front-wheel drive sedan with modern computer-assisted design dominated the American market in the late 1980s, and created a design revolution in North America.

1989–1999 Pontiac Trans Sport — was one the first of the one box cars. 1997–present Toyota Prius — launched in the Japanese market, in September 2010

reached worldwide cumulative sales of 2.0 million units, becoming the most iconic hybrid electric vehicle in the world.

1998–present Ford Focus — one of the most popular hatchbacks across the globe, that is also one of Ford's best selling world cars.

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2008–present Tata Nano — The Tata Nano is an inexpensive( 100,000 ~ $2200), rear-engined, four-passenger city car built by the Indian company Tata Motors and is aimed primarily at the Indian domestic market.

2010–present, Nissan Leaf and Chevrolet Volt — an all-electric car and a plug-in hybrid correspondingly, were launched in the U.S. and Japanese markets in December 2010, becoming the first mass vehicles of their kind.

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1.2 AUTOMOTIVE INDUSTRY IN INDIA

Overview:

The Indian Automobile Industry manufactures over 11 million vehicles and exports about 1.5 million each year. The dominant products of the industry are two-wheelers with a market share of over 75% and passenger cars with a market share of about 16%.Commercial vehicles and three-wheelers share about 9% of the market between them. About 91% of the vehicles sold are used by households and only about 9% for commercial purposes. The industry has a turnover of more than USD $35 billion and provides direct and indirect employment to over 13 million people.

The supply chain is similar to the supply chain of the automotive industry in Europe and America.

Interestingly, the level of trade exports in this sector in India has been medium and imports have been low. However, this is rapidly changing and both exports and imports are increasing. The demand determinants of the industry are factors like affordability, product innovation, infrastructure and price of fuel. Also, the basis of competition in the sector is high and increasing, and its life cycle stage is growth. With a rapidly growing middle class, all the advantages of this sector in India are yet to be leveraged.

With a high cost of developing production facilities, limited accessibility to new technology, and increasing competition, the barriers to enter the Indian Automotive sector are high. On the other hand, India has a well-developed tax structure. The power to levy taxes and duties is distributed among the three tiers of Government. The cost structure of the industry is fairly traditional, but the profitability of motor vehicle manufacturers has been rising over the past five years. Major players, like Tata Motors and Maruti Suzuki have material cost of about 80% but are recording profits after tax of about 6% to 11%.

The level of technology change in the Motor vehicle Industry has been high but, the rate of change in technology has been medium. Investment in the technology by the producers has been high. System-suppliers of integrated components and sub-systems have become the order of the day. However, further investment in new technologies will help the industry be more

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competitive. Over the past few years, the industry has been volatile. Currently, India's increasing per capita disposable income which is expected to rise by 106% by 2015 and growth in exports is playing a major role in the rise and competitiveness of the industry.

Tata Motors is leading the commercial vehicle segment with a market share of about 64%.Maruti Suzuki is leading the passenger vehicle segment with a market share of 46%. Hyundai Motor India and Mahindra and Mahindra are focusing expanding their footprint in the overseas market. Hero Honda Motors is occupying over 41% and sharing 26% of the two-wheeler market in India with Bajaj. Bajaj Auto in itself is occupying about 58% of the three-wheeler market.

Consumers are very important of the survival of the Motor Vehicle manufacturing industry. In 2008-09, customer sentiment dropped, which burned on the augmentation in demand of cars. Steel is the major input used by manufacturers and the rise in price of steel is putting a cost pressure on manufacturers and cost is getting transferred to the end consumer. The price of oil and petrol affect the driving habits of consumers and the type of car they buy.

The key to success in the industry is to improve labour productivity, labour flexibility, and capital efficiency. Having quality manpower, infrastructure improvements, and raw material availability also play a major role. Access to latest and most efficient technology and techniques will bring competitive advantage to the major players. Utilising manufacturing plants to optimum level and understanding implications from the government policies are the essentials in the Automotive Industry of India.

Both, Industry and Indian Government are obligated to intervene the Indian Automotive industry. The Indian government should facilitate infrastructure creation, create favorable and predictable business environment, attract investment and promote research and development. The role of Industry will primarily be in designing and manufacturing products of world-class quality establishing cost competitiveness and improving productivity in labour and in capital. With a combined effort, the Indian Automotive industry will emerge as the destination of choice in the world for design and manufacturing of automobiles.

1.3 History:

The first car ran on India's roads in 1897. Until the 1930s, cars were imported directly, but in very small numbers.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Embryonic automotive industry emerged in India in the 1940s. Mahindra & Mahindra was established by two brothers as a trading company in 1945, and began assembly of Jeep CJ-3A utility vehicles under license from Willys. The company soon branched out into the manufacture of light commercial vehicles (LCVs) and agricultural tractors.

Following the independence, in 1947, the Government of India and the private sector launched efforts to create an automotive component manufacturing industry to supply to the automobile industry. However, the growth was relatively slow in the 1950s and 1960s due to nationalisation and the license raj which hampered the Indian private sector. After 1970, the automotive industry started to grow, but the growth was mainly driven by tractors, commercial vehicles and scooters. Cars were still a major luxury. Japanese manufacturers entered the Indian market ultimately leading to the establishment of Maruti Udyog. A number of foreign firms initiated joint ventures with Indian companies.

In the 1980s, a number of Japanese manufacturers launched joint-ventures for building motorcycles and light commercial-vehicles. It was at this time that the Indian government chose Suzuki for its joint-venture to manufacture small cars. Following the economic liberalization in 1991 and the gradual weakening of the license raj, a number of Indian and multi-national car companies launched operations. Since then, automotive component and automobile manufacturing growth has accelerated to meet domestic and export demands.

Following economic liberalization in India in 1991, the Indian automotive industry has demonstrated sustained growth as a result of increased competitiveness and relaxed restrictions. Several Indian automobile manufacturers such as Tata Motors, Maruti Suzuki and Mahindra and Mahindra, expanded their domestic and international operations. India's robust economic growth led to the further expansion of its domestic automobile market which has attracted significant India-specific investment by multinational automobile manufacturers. In February 2009, monthly sales of passenger cars in India exceeded 100,000 units and has since grown rapidly to a record monthly high of 182,992 units in October 2009.[ From 2003 to 2010, car sales in India have progressed at a CAGR of 13.7%, and with only 10% of Indian households owning a car in 2009 (whereas this figure reaches 80% in Switzerland for example)[this progression is unlikely to stop in the coming decade.Congestion of Indian roads, more than market demand, will likely be the limiting factor.

SIAM is the apex industry body representing all the vehicle manufacturers, home-grown and international, in India

1.4 Industry Definition

This class consists of units mainly engaged in manufacturing motor vehicles or motor vehicle engines.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Products and Services

The primary activities of this industry are:

Motor cars manufacturing Motor vehicle engine manufacturing

The major products and services in this industry are:

Passenger motor vehicle manufacturing segment (Passenger Cars, Utility Vehicles & Multi Purpose Vehicles) Commercial Vehicles (Medium & Heavy and Light Commercial Vehicles) Two Wheelers Three Wheelers.

1.5 Supply Chain of Automobile Industry:

The supply chain of automotive industry in India is very similar to the supply chain of the automotive industry in Europe and America. The orders of the industry arise from the bottom of the supply chain i. e., from the consumers and go through the automakers and climbs up until the third tier suppliers. However the products, as channeled in every traditional automotive industry, flow from the top of the supply chain to reach the consumers. Automakers in India are the key to the supply chain and are responsible for the products and innovation in the industry.

The description and the role of each of the contributors to the supply chain are discussed below.

Third Tier Suppliers: These companies provide basic products like rubber, glass, steel, plastic and aluminum to the second tier suppliers.

Second Tier Suppliers: These companies design vehicle systems or bodies for First Tier Suppliers and OEMs. They work on designs provided by the first tier suppliers or OEMs. They also provide engineering resources for detailed designs. Some of their services may include welding, fabrication, shearing, bending etc.

First Tier Suppliers: These companies provide major systems directly to assemblers. These companies have global coverage to follow their customers to various locations around the world. They design and innovate to provide "black-box" solutions for the requirements of their customers. Black-box solutions are solutions created by suppliers using their own technology to meet the performance and interface requirements set by assemblers.

First tier suppliers are responsible not only for the assembly of parts into complete units like dashboard, breaks-axle-suspension, seats, or cockpit but also for the management of second-tier suppliers.

Automakers/Vehicle Manufacturers/Original Equipment Manufacturers (OEMs): After researching consumers' wants and needs, automakers begin designing models which are tailored to consumers' demands. The design process normally takes five years. These companies have manufacturing units where engines are manufactured and parts supplied by first tier suppliers and second tier suppliers are assembled. Automakers are the key to the supply

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Consumer buying behavior of wagonR car of maruti Suzuki.

chain of the automotive industry. Examples of these companies are Tata Motors, Maruti Suzuki, Toyota, and Honda. Innovation, capability and branding are the main focus of these companies.

Dealers: Once the vehicles are ready they are shipped to the regional branch and from there, to the authorized dealers of the companies. The dealers then sell the vehicles to the end customers.

Parts and Accessory: These companies provide products like tires, windshields, and air bags etc. to automakers and dealers or directly to customers.

Service Providers: Some of the services to the customers include servicing of vehicles, repairing parts, or financing of vehicles. Many dealers provide these services but, customers can also choose to go to independent service providers.

1.6 Exports:

Mahindra Scorpio Jeep in service with the Italy's CNSAS.

India's automobile exports have grown consistently and reached $4.5 billion in 2009, with United Kingdom being India's largest export market followed byItaly, Germany, Netherlands and South Africa. India's automobile exports are expected to cross $12 billion by 2014.

According to New York Times, India's strong engineering base and expertise in the manufacturing of low-cost, fuel-efficient cars has resulted in the expansion of manufacturing facilities of several automobile companies like Hyundai Motors, Nissan, Toyota, Volkswagen and Suzuki.

In 2008, Hyundai Motors alone exported 240,000 cars made in India. Nissan Motors plans to export 250,000 vehicles manufactured in its India plant by 2011. Similarly, General Motors announced its plans to export about 50,000 cars manufactured in India by 2011.

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Consumer buying behavior of wagonR car of maruti Suzuki.

In September 2009, Ford Motors announced its plans to set up a plant in India with an annual capacity of 250,000 cars for US$500 million. The cars will be manufactured both for the Indian market and for export. The company said that the plant was a part of its plan to make India the hub for its global production business. Fiat Motors also announced that it would source more than US$1 billion worth auto components from India.

In July 2010, The Economic Times reported that PSA Peugeot Citroën was planning to re-enter the Indian market and open a production plant in Andhra Pradesh with an annual capacity of 100,000 vehicles, investing EUR 700M in the operation. PSA's intention to utilise this production facility for export purposes however remains unclear as of December 2010.

In 2009 India (0.23m) surpassed China (0.16m) as Asia's fourth largest exporter of cars after Japan (1.77m), Korea (1.12m) and Thailand (0.26m) by allowing foreign carmakers 100% ownership of factories in India, which China does not allow.

In recent years, India has emerged as a leading center for the manufacture of small cars. Hyundai, the biggest exporter from the country, now ships more than 250,000 cars annually from India. Apart from shipments to its parent Suzuki, Maruti Suzuki also manufactures small cars for Nissan, which sells them in Europe. Nissan will also export small cars from its new Indian assembly line. Tata Motors exports its passenger vehicles to Asian and African markets, and is in preparation to launch electric vehicles in Europe in 2010. The firm is also planning to launch an electric version of its low-cost car Nano in Europe and the U.S. Mahindra & Mahindra is preparing to introduce its pickup trucks and small SUV models in the U.S. market. Bajaj Auto is designing a low-cost car for the Renault Nissan Automotive India, which will market the product worldwide. Renault Nissan may also join domestic commercial vehicle manufacturer Ashok Leyland in another small car project While the possibilities are impressive, there are challenges that could thwart future growth of the Indian automobile industry. Since the demand for automobiles in recent years is directly linked to overall economic expansion and rising personal incomes, industry growth will slow if the economy weakens.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Passenger vehicles in India

This list is of cars that are officially available and serviced in India. While other cars can be imported to the country at a steep 105% import duty, car makers such as AlfaRomeo, McLaren,Pagani,] Cadillac, Chrysler, SSC Zenvo ,  SEAT Smart, Daihatsu, Lexus, Infiniti, Acura, Saab-Spyker, Lotus, Ariel Cater ham,]Peugeot-Citroën, Mazda Jeep, SsangYong, Kia,[

GAZ and Proton are in varying stages of official introduction to the Indian automobile market.

Indian automotive companies

Chinkara Motors: Beachster, Hammer, Roadster 1.8S, Rockster, Jeepster, Sailster Hindustan Motors:] Ambassador ICML: Rhino Rx Mahindra: Major, Xylo, Scorpio, Bolero, Thar, Verito,  Genio, XUV500. Premier Automobiles Limited: Sigma, RiO San Motors: Storm TataMotors: Nano, Indica, Vista, Indigo, Manza, Indigo

CS, Sumo, Grande, Venture, Safari, Xenon, Aria

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Consumer buying behavior of wagonR car of maruti Suzuki.

COMPANY

PROFILE

Type Public

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Consumer buying behavior of wagonR car of maruti Suzuki.

Traded as BSE: 532500

NSE: MARUTI

BSE SENSEX Constituent

Industry Automotive

Predecessor(s) Maruti Udyog Limited

Founded 1981

Headquarters New Delhi, India[1]

Key people Shinzo Nakanishi

(CEO & MD)

Products Automobiles

Revenue 37,522 crore (US$8.25 billion)

(2010-11)[2]

Net income 2,288 crore (US$503.36

million)(2010-11)[2]

Employees 6,903 (2011)[3]

Parent Suzuki Motor Corporation

2.1 Profile:

The old logo of Maruti Suzuki India Limited. Later the logo of Suzuki Motor

Corp. was also added to it

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Consumer buying behavior of wagonR car of maruti Suzuki.

Joint venture related issues

Maruti Suzuki's A-Star vehicle during its unveiling in Pragati Maidan,

Delhi. A-Star, Suzuki's fifth global car model, was designed and is made only

in India. Maruti Suzuki is also Suzuki's leading research and development arm

outside Japan

Relationship between the Government of India, under the United Front (India) coalition and Suzuki Motor Corporation over the joint venture was a point of heated debate in the Indian media till Suzuki Motor Corporation gained the controlling stake. This highly profitable joint venture that had a near monopolistic trade in the Indian automobile market and the nature of the partnership built up till then was the underlying reason for most issues. The success of the joint venture led Suzuki to increase its equity from 26% to 40% in 1987, and further to 50% in 1992. In 1982 both the venture partners had entered into an agreement to nominate their candidate for the post of Managing Director and every Managing Director will have a tenure of five years

R.C. Bhargava was the initial managing director of the company since the inception of the joint venture. Till today he is regarded as instrumental for the success of Maruti Suzuki. Joining in 1982 he held several key positions in the company before heading the company as Managing Director. Currently he is

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Consumer buying behavior of wagonR car of maruti Suzuki.

on the Board of Directors. After completing his five year tenure, Mr. Bhargava later assumed the office of Part-Time Chairman. The Government nominated Mr. S.S.L.N. Bhaskarudu as the Managing Director on 27 August 1997. Mr. Bhaskarudu had joined Maruti Suzuki in 1983 after spending 21 years in the Public sector undertaking Bharat Heavy Electricals Limited as General Manager. In 1987 he was promoted as Chief General Manager. In 1988 he was named Director, Productions and Projects. The next year (1989) he was named Director of Materials, and in 1993 he became Joint Managing Director.

Suzuki Motor Corporation didn't attend the Annual General Meeting of the Board with the reason of it being called on a short notice. Later Suzuki Motor Corporation went on record to state that Bhaskarudu was "incompetent" and wanted someone else. However, the Ministry of Industries, Government of India refuted the charges. Media stated from the Maruti Suzuki sources that Bhaskarudu was interested to indigenise most of components for the models including gear boxes especially for Maruti 800. Suzuki also felt that Bhaskarudu was a proxy for the Government and would not let it increase its stake in the venture. If Maruti Suzuki would have been able to indigenise gear boxes then Maruti Suzuki would have been able to manufacture all the models without the technical assistance from Suzuki. Till today the issue of localization of gear boxes is highlighted in the press.

The relations strained when Suzuki Motor Corporation moved to Delhi High Court to bring a stay order against Bhaskarudu's appointment. The issue was resolved in an out-of-court settlement and both the parties agreed that R S S L N Bhaskarudu would serve up to 31 December 1999, and from 1 January 2000, Jagdish Khattar, Executive Director of Maruti Udyog Limited would assume charges as the Managing Director. Many politicians stated in parliament that the Suzuki Motor Corporation is unwilling to localize manufacturing and reduce imports. As of 2011 Gear boxes are still imported from Japan and are assembled at the Gurgaon facility

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Consumer buying behavior of wagonR car of maruti Suzuki.

Maruti Suzuki is India and Nepal's number one leading automobile manufacturer and the market leader in the car segment, both in terms of volume of vehicles sold and revenue earned. Until recently, 18.28% of the company was owned by the Indian government, and 54.2% by Suzuki of Japan. The BJP-led government held an initial public offering of 25% of the company in June 2003. As of 10 May 2007, the government of India sold its complete share to Indian financial institutions and no longer has any stake in Maruti Udyog

Maruti Udyog Limited (MUL) :

was established in February 1981, though the actual production commenced in 1983 with the Maruti 800, based on the Suzuki Alto kei car which at the time was the only modern car available in India, its only competitors- the Hindustan Ambassador and Premier Padmini were both around 25 years out of date at that point. Through 2004, Maruti Suzuki has produced over 5 Million vehicles. Maruti Suzuki’s are sold in India and various several other countries, depending upon export orders. Models similar to Maruti Suzuki’s (but not manufactured by Maruti Udyog) are sold by Suzuki Motor Corporation and manufactured in Pakistan and other Asian countries.

The company exports more than 50,000 cars annually and has an extremely large domestic market in India selling over 730,000 cars annually. Maruti 800, till 2004, was the India's largest selling compact car ever since it was launched in 1983. More than a million units of this car have been sold worldwide so far. Currently, Maruti Suzuki Alto tops the sales charts.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Due to the large number of Maruti 800s sold in the Indian market, the term "Maruti" is commonly used to refer to this compact car model. Its manufacturing facilities are located at two facilities Gurgaon and Manesar south of Delhi. Maruti Suzuki’s Gurgaon facility has an installed capacity of 350,000 units per annum. The Manesar facilities, launched in February 2007 comprise a vehicle assembly plant with a capacity of 100,000 units per year and a Diesel Engine plant with an annual capacity of 100,000 engines and transmissions. Manesar and Gurgaon facilities have a combined capability to produce over 700,000 units annually. More than half the cars sold in India are Maruti Suzuki cars. The company is a subsidiary of Suzuki Motor Corporation, Japan, which owns 54.2 per cent of Maruti Suzuki. The rest is owned by public and financial institutions. It is listed on the Bombay Stock Exchange and National Stock Exchange in India.

During 2007-08, Maruti Suzuki sold 764,842 cars, of which 53,024 were exported. In all, over six million Maruti Suzuki cars are on Indian roads since the first car was rolled out on 14 December 1983. Maruti Suzuki offers 14 models, Maruti 800, Alto, WagonR, Estilo, A-star, Ritz, Swift, Swift DZire, SX4, Omni,Eeco, Gypsy, Grand Vitara, Kizashi. Swift, Swift DZire, A-star and SX4 are manufactured in Manesar, Grand Vitara and Kizashi are imported from Japan as completely built units(CBU), remaining all models are manufactured in Maruti Suzuki's Gurgaon Plant.

Suzuki Motor Corporation, the parent company, is a global leader in mini and compact cars for three decades. Suzuki’s technical superiority lies in its ability to pack power and performance into a compact, lightweight engine that is clean and fuel efficient. Nearly 75,000 people are employed directly by Maruti Suzuki and its partners. It has been rated first in customer satisfaction among all car makers in India from 1999 to 2009 by J D Power Asia Pacific.

2.2 Industrial relations:

For most of its history, Maruti Udyog Limited had relatively few problems with its labour force. Its emphasis of a Japanese work culture and the modern manufacturing process, first instituted in Japan in the 1970s, was accepted by the workforce of the company without any difficulty. But with the change in management in 1997, when it became predominantly government controlled for a while, and the conflict between the United Front Government and Suzuki may have been the cause of unrest among employees. A major row broke out in September 2000 when employees of Maruti Udyog Ltd (MUL) went on an indefinite strike, demanding among other things, revision of the incentive scheme offered and implementation of a pension scheme.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Employees struck work for six hours in October 2000, irked over the suspension of nine employees, going on a six-hour tools-down strike at its Gurgaon plant, demanding revision of the incentive-linked pay and threatened to fast to death if the suspended employees were not reinstated. About this time, the NDA government, following a disinvestments policy, proposed to sell part of its stake in Maruti Suzuki in a public offering. The Staff union opposed this sell-off plan on the grounds that the company will lose a major business advantage of being subsidized by the Government.

The standoff with the management continued to December with a proposal by the management to end the two-month long agitation rejected with a demand for reinstatement of 92 dismissed workers, with four MUL employees going on a fast-unto-death. In December the company's shareholders met in New Delhi in an AGM that lasted 30 minutes. At the same time around 1500 plant workers from the MUL's Gurgaon facility were agitating outside the company's corporate office demanding commencement of production linked incentives, a better pension scheme and other benefits. The management has refused to pass on the benefits citing increased competition and lower margins

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Consumer buying behavior of wagonR car of maruti Suzuki.

2.3 Services offered

Current sales of automobiles

Red Bull Maruti Suzuki Swift

Maruti Omni

India's Corps of Military Police personnel patrolling the Wagah border crossing in

thePunjab in a Maruti Gypsy.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Maruti Alto

Maruti Suzuki Swift

Maruti Suzuki Zen Estilo

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Consumer buying behavior of wagonR car of maruti Suzuki.

Suzuki SX4

7th Generation Suzuki Alto is sold as Maruti

Suzuki A-Star in India.

Maruti Suzuki Swift DZire

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Consumer buying behavior of wagonR car of maruti Suzuki.

Suzuki Splash is sold as Maruti Suzuki Ritz in India.

1. 800 (Launched 1983)

2. Omni (Launched 1984)

3. Gypsy (launched 1985)

4. Zen (launched 1995)

5. WagonR (Launched 1999)

6. Alto (Launched 2000)

7. Swift (Launched 2005)

8. Estilo (Launched 2009)

9. SX4 (Launched 2007)

10. Swift DZire (Launched 2008)

11. A-star (Launched 2008)

12. Ritz (Launched 2009)

13. Eeco (Launched 2010)

14. Alto K10 (Launched 2010)

15. Maruti Ertiga, seven seater MPV R3 designed and developed in India, will compete

with Toyota Innova, Mahindra Xylo, and Tata Sumo Grande.In early 2012, Suzuki

Ertiga will be exported first to Indonesia in Completely Knock Down car.

16. Maruti XA Alpha will be launched in the year 2014.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Manufacturing facilities

Maruti Suzuki has two state-of-the-art manufacturing facilities in India.[18] Both manufacturing facilities have a combined production capacity of 1,250,000 vehicles annually.

Gurgaon Manufacturing Facility

The Gurgaon Manufacturing Facility has three fully integrated manufacturing plants and is spread over 300 acres (1.2 km2). All three plants have an installed capacity of 350,000 vehicles annually but productivity improvements have enabled it to manufacture 700,000 vehicles annually. The Gurgaon facilities also manufacture 240,000 K-Series engines annually. The entire facility is equipped with more than 150 robots, out of which 71 have been developed in-house. The Gurgaon Facilities manufactures the 800, Alto, WagonR, Estilo, Omni, Gypsy and Eeco.

Manesar Manufacturing Facility

The Manesar Manufacturing Plant was inaugurated in February 2007 and is spread over 600 acres (2.4 km2). Initially it had a production capacity of 100,000 vehicles annually but this was increased to 300,000 vehicles annually in October 2008. The production capacity was further increased by 250,000 vehicles taking total production capacity to 550,000 vehicles annually. The Manesar Plant produces the A-star, Swift, Swift DZire and SX4.diuyiyiui8u

Sales and service networkAs of 31 March 2011 Maruti Suzuki has 933 dealerships across 666 towns and cities in all states and union territories of India. It has 2,946 service stations (inclusive of dealer workshops and Maruti Authorised Service Stations) in 1,395 towns and cities throughout India. It has 30 Express Service Stations on 30 National Highways across 1,314 cities in India.

Service is a major revenue generator of the company. Most of the service stations are managed on franchise basis, where Maruti Suzuki trains the local staff. Other automobile companies have not been able to match this benchmark set by Maruti Suzuki. The Express Service stations help many stranded vehicles on the highways by sending across their repair man to the vehicle.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Maruti InsuranceLaunched in 2002 Maruti Suzuki provides vehicle insurance to its customers with the help of the National Insurance Company, Bajaj Allianz, New India Assurance and Royal Sundaram. The service was set up the company with the inception of two subsidiaries Maruti Insurance Distributors Services Pvt. Ltd and Maruti Insurance Brokers Pvt. Limited

This service started as a benefit or value addition to customers and was able to ramp up easily. By December 2005 they were able to sell more than two million insurance policies since its inception.

Maruti Finance

To promote its bottom line growth, Maruti Suzuki launched Maruti Finance in January 2002. Prior to the start of this service Maruti Suzuki had started two joint ventures Citicorp Maruti and Maruti Countrywide with Citi Group and GE Countrywide respectively to assist its client in securing loan.[23] Maruti Suzuki tied up with ABN Amro Bank, HDFC Bank, ICICI Limited, Kotak Mahindra, Standard Chartered Bank, and Sundaram to start this venture including its strategic partners in car finance. Again the company entered into a strategic partnership with SBI in March 2003 Since March 2003, Maruti has sold over 12,000 vehicles through SBI-Maruti Finance. SBI-Maruti Finance is currently available in 166 cities across India.

Maruti TrueValueMaruti True service offered by Maruti Suzuki to its customers. It is a market place for used Maruti Suzuki Vehicles. One can buy, sell or exchange used Maruti Suzuki vehicles with the help of this service in India. As of 31 March 2010 there are 341 Maruti True Value outlets.

N2N Fleet ManagementN2N is the short form of End to End Fleet Management and provides lease and fleet management solution to corporates. Clients who have signed up of this service include Gas Authority of India Ltd, DuPont, Reckitt Benckiser, Sona Steering, Doordarshan, Singer India, National Stock Exchange and Transworld. This fleet management service include end-to-end solutions across the vehicle's life, which includes Leasing, Maintenance, Convenience services and Re-marketing.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Accessories

Many of the auto component companies other than Maruti Suzuki started to offer components and accessories that were compatible. This caused a serious threat and loss of revenue to Maruti Suzuki. Maruti Suzuki started a new initiative under the brand name Maruti Genuine Accessories to offer accessories like alloy wheels, body cover, carpets, door visors, fog lamps, stereo systems, seat covers and other car care products. These products are sold through dealer outlets and authorized service stations throughout India

Maruti Driving School

As part of its corporate social responsibility Maruti Suzuki launched the Maruti Driving School in Delhi. Later the services were extended to other cities of India as well. These schools are modelled on international standards, where learners go through classroom and practical sessions. Many international practices like road behaviour and attitudes are also taught in these schools. Before driving actual vehicles participants are trained on simulators

Issues and problems

On 24 February 2010, Maruti Suzuki India announced recalling of 100,000 A-Star hatchbacks to fix a fuel leakage problem. the company will replace the gaskets for all 100,000 A-Star cars.

Exports

Maruti Exports Limited is the subsidiary of Maruti Suzuki with its major focus on exports and it does not operate in the domestic Indian market. The first commercial consignment of 480 cars were sent to Hungary. By sending a consignment of 571 cars to the same

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Consumer buying behavior of wagonR car of maruti Suzuki.

country Maruti Suzuki crossed the benchmark of 300,000 cars. Since its inception export was one of the aspects government was keen to encourage.[ Every political party expected Maruti Suzuki to earn foreign currency. Angola, Benin, Djibouti, Ethiopia, Europe, Kenya, Morocco, Nepal, Sri Lanka, Uganda, Chile, Guatemala, Costa Rica and El Salvador are some of the markets served by Maruti Exports.

01 Feb

Maruti Suzuki unveils the all new compact, powerful, highly fuel efficient Swift DZire

01 Feb Maruti Suzuki Sales in January 2012

31 Jan Notices published in newspapers

23 Jan Notice of Postal Ballot

23 Jan

Announces Q3 results with Results Press Release and Limited Review for Dec 31, 2011

05 Jan Press Release - Concept XA Alpha unveiled

01 Dec 2011 Maruti Suzuki Sales in November 2011

03 Nov 2011

Maruti Suzuki clarities its stand on Gujarat expansion plans

01 Nov 2011 Maruti Suzuki Sales in October 2011

29 Oct 2011

Maruti Suzuki Board approves land purchase for new facility in Gujarat

2 . 4 A n n o u n c e m e n t s   f o r   M a r u t i S u z u k i I n d i a L t d .

Maruti Suzuki India Limited (MSIL), the once upon a time publicly listed company in India, is the largest automobile manufacturer in South Asia. Earlier known as Maruti Udyog Limited till 2007, the company was responsible for the automobile revolution in India. Though the company was formed in 1981, the production of its first car the Maruti 800 started off in 1983. The company spread its wings throughout the country so much so that they had Maruti service stations across the country.

Maruti''s manufacturing units are located in gurgaon and Manesar, south of Delhi. Maruti Suzuki’s Gurgaon facility has an installed capacity of 350,000

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Consumer buying behavior of wagonR car of maruti Suzuki.

units per annum. The Manesar facilities, launched in February 2007, comprise a vehicle assembly plant with a capacity of 100,000 units per annum. There also is a diesel engine plant which has an annual capacity of 100,000 engines and transmissions. The Manesar and Gurgaon facilities have a combined capacity to produce over 700,000 units annually.

The company has competitors but it has made its place in the hearts of the Indian crowd by offering some excellent services and has firmly grounded its feet in the Indian Car Market. Maruti Suzuki now offers 15 models, Maruti 800, Alto, WagonR, Estilo, A-star, Ritz, Swift, Swift DZire, SX4, Omni, Eeco, Gypsy, Grand Vitara. Swift, Swift DZire, A-star and SX4 are manufactured in Manesar, Grand Vitara is imported from Japan as a completely built unit (CBU), remaining all models are manufactured in Maruti Suzuki’s Gurgaon Plant The company is on its way to bring the K series engine by first introducing the Alto K-10 and then Kizashi does look to be in the pipeline.

2.5 LATEST KEY DEVELOPMENTS:

Maruti Suzuki India Ltd To Develop Own SUV, Display Concept At Auto Expo-Mint

Maruti Suzuki India Ltd Says Resolves Labour Unrest-Reuters

Maruti Suzuki India Ltd Says Limited Production Starts At Manesar-Reuters 

Maruti Suzuki India Ltd Shuts Gurgaon Plant For Two Days; Manesar Strike On-The Economic Times

Maruti Suzuki India Ltd's Plant Still Occupied By Striking Workers-WSJ 

Workers Protest At Maruti Suzuki India Ltd's Manesar Plant Again-Hindustan Times

Maruti Suzuki India Ltd To Close Factories On Friday Due To Labour Unrest-Reuters 

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Consumer buying behavior of wagonR car of maruti Suzuki.

Chapter-3THEORETICAL FRAMEWORK

THEORITICAL FRAMEWORK

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Consumer buying behavior of wagonR car of maruti Suzuki.

3.1CONSUMER BUYING BEHAVIOUR OF WAGONR CAR:

Maruti Suzuki India is in the news again, this time for the launch of its hatchback car Maruti Wagon R LXi with CNG kit. The company has launched the new Wagon R and is all set to take the design, looks, prices, technology, comfort features, safety features etc to the new next level. Maruti Wagon R is also known as “the Blue eyed boy”. The all new Maruti Wagon R has an eye catching design with dynamic exteriors and very impressive interiors.

The new Wagon R is here with classy exteriors that make the look of the car more robust and attractive. The overall looks of the new Wagon R has been twisted and turned to give it a very modern look. The Maruti Wagon R now looks very stylish with the curvier body. The chrome finish in the front and the rear body of the car gives it a very amazing look. The moon rock silver roof rails give that extra bit to the overall look of the car.  The all Maruti Wagon R has very impressive interiors too with dual tone finishing. The Chrome accentuated instrument panel makes the look of the interior more stunning; the silver finish inside door handles add a finishing touch. The dual tone 3 D effect plush upholstery merges very well and complements the overall interiors of the car. 

 The all new Maruti Wagon R is powered by the 1.0L, 998cc, KB-series petrol engine with five speed manual transmission gearbox. This all aluminium, light weight KB series engine has cable type gearshift which is of great help at the time of shifting of gear. This powerful engine can produce the maximum

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Consumer buying behavior of wagonR car of maruti Suzuki.

power of power of 68 PS at 6200 rpm with the maximum torque of 90 Nm at 3500rpm. If you drive the Maruti Wagon R Vxi variant with CNG mode it produces 59.3 PS of peak power at 6,200 rpm and churns a top torque of 77 Nm at 3,500 rpm with the same KB series engine. Even if the powertrain output is lower than its petrol mode, the CNG mode still emerges as the winner in terms of mileage delivery and running cost per km.  The all new Maruti Wagon R has not only paid attention to its looks but safety of their passengers too, with highly advanced safety features like ABS (Anti Lock Braking System), Dual Airbags, Intelligent Computerized Anti theft system. Collapsible Steering Wheel etcThe blue eyed boy i.e. new Maruti Wagon R is the personification of the modern premium compact hatchback with unmatched style and luxurious exteriors and versatile and spacious interiors. Maruti brings all this alongwith comfort, safety and reliability at an affordable price range.

3.2 THE IMPORTANCE OF UNDERSTANDING CONSUMER BEHAVIOUR:

“consumer behavior is the dynamic interaction of affect and cognition,behavior and environmental event by which human conduct the exchange aspect of their lives”campanies are interested in consumer behavior because they can devlop marketing strategies to influence consumer to purchase their product based on consumer analysis.the success of a company`s marketing strategywill depend on how buyer react to it.to find out what satisfied customers buy goods and servies.by understanding these factorsbetter,marketers are better able to predict how consumer will respond to marketing strategies.

3.3 Factors affecting consumer buying behavior

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Consumer buying behavior of wagonR car of maruti Suzuki.

Why do we need to learn about consumer buying behavior? The simple

answer is that no longer can we take the customers  for granted. Consumer

buying behavior determines  how our consumers decide to buy our product

and what are the various factors responsible for this decision?

Out of 11000 new products introduced by 77 companies, only 56% are present

after 5 years. Only 8% of new product concepts offered by 112 leading

companies reached the market. Out of that 83% failed to meet marketing

objectives. What we need to understand here is why consumers make the

purchases that they make, what factors influence consumer purchases and

changing factors in our society…

The central focus of marketing is the consumer. To devise good marketing

plans, it is necessary to examine consumer behavioral attributes and needs,

lifestyles, and purchase processes and then make proper marketing-mix

decisions. The study of Consumer behavior includes the study of what they

buy, why they buy, how they buy, when they buy, from where they buy, and

how often they buy. An open-minded consumer-oriented approach is

imperative in today’s diverse global marketplace so a firm can identify and

serve its target market, minimize dissatisfaction, and stay ahead of

competitors. Final consumers purchase for personal, family, or household use.

1.CULTURAL FACTORS:

Consumer behavior is deeply influenced by cultural factors such as:buyer

culture subculture and social class.

Culture:-

Basically ,culture is the part of every society and is the important cause

of person wants and behavior.the influence of cultureon buying

behavior varies from country to country therefore marketers have to be

very careful in analyzing the culture of different groups,regions or

even countries

Subculture:-

Each culture contains different subculture such as

religions,nationalities,geographic region,racial groups etc,marketers

can use these groups by segmenting the market into various small

portions.for example marketers can design products according to the

needs of a particular geographic group.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Social class:-

Every society possesses some from of social class which is important

to the marketers because the buying behavior of people in a given

social class is similar.In this way marketing activities could be tailored

according to different social classes.here we should note that social

class is not only determined by income but there are various other

factors as well such as:weath,education,occupation etc.

2.SOCIAL FACTORS:Social factors also impact the buying behavior of consumers .the important

social factors are: reference groups,family,role and status.

Reference groups:-

Reference groups have potential in forming a person attitude or

behavior.the impact of reference groups varies across products and

brands.for example if the product is visible such as dress,shoes,car ect

then the influence of reference groups will be high.

Family:-

Buyer behavior is strongly influenced by the member of a

family.therfore marketers are trying to find the roles and influence of

the husband,wife and children.If the buying decision of a particular

product is influenced by wife then the marketers will try to target the

woman in their advertisement.here we should note that buying roles

changes with change in consumer lifestyles.

Roles and status:-

Each person possesses different roles and status in the society

depending upon the groups,clubs,family,organization etc.to which he

belongs.For example a woman is working in an organization as finance

manager .now she is playing two roles one of finance manager and

other of mother.therefore her buying decision will be influenced by her

role and status.

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3.Personal Factors:-personal factors can also affect the consumer behavior.some of the important

personal factors that influence the buying behavior are:lifestyle,economic

situation,occupation,age,personality and self concept.

Age:-

Age and lfe-cycle have potential impact on the consumer buying

behavior.it is obvious that the consumers changes the purchase of

goods and services with the passage of time. Family life-cycle consists

of different stages such young singles,married,unmarried etc which

help marketers to develop appropriate products for each stage.

Occupation:-

The occupation of a person has significant impact on his buying

behavior.for example a marketing manager of an organization will try

to purchase business suits,where as a low level worker in the same

organization will purchase rugged work clothes.

Economic situation:-

Consumer economic situation has great influence on his buying

behavior.if the income and saving of a customer is high then he will

purchase more expensive product.on the other hand ,a person with low

income and saving will purchase inexpensive products.

Lifestyle:-

Lifestyle of customers is another import factor affecting the consumer

buying behavior.lifestyle refers to the way a person lives in a society

and is expressed by the things in his/her surrounding.It is determind by

customer interests,opinions,activities ect and shapes his whole pattern

tf acting and interacting in the world.

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Consumer buying behavior of wagonR car of maruti Suzuki.

4.PSYCHOLOGICAL FACTORS:

There are four important psychological factors affecting the consumer buying

behavior .these are:perception,motivation,learning,beliefs and attitudes

o Motivation:-

The level of motivation also affects the buying behavior of

customers.every person has different needs such as physiological

needs,biological needs,social needs ect.The nature of the needs is

that,some of them are most pressing while other are least

pressing .Therefore a needs becomes a motive when it is more pressing

to direct the person to seek satisfaction.

o Perception:-

Selecting ,organzing and interpreting information in a way to produce

a meaningful experience of the world is called perception.there are

three different perceptual processes which are selective

attention,selective distortion and selective retention.in case of selective

distortion,customer try to interpret the information in a way that will

support what the customer already belive.similary,in case of selective

retention marketers try to retain information that support their beliefs.

o Beliefs and Attitudes:-

Customer possesses specific belief and attitude toward various

products.since such beliefs and attitudes make up brand image and

affect consumer buying behavior therefore marketers are interested in

them.marketers can change the beliefs and attitude of customer by

launching special campaigngs in this regard.

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Consumer buying behavior of wagonR car of maruti Suzuki.

3.4 BUYING BEHAVIOUR PROCESS : The buyer decision process

I.Step 1.Need Recognition:

External stimuli Tv advertising

Magazine ad

Radio slogan

Stimuli in the environment

Internal stimuli Hunger

Thirst

A person`s normal needs

Need recognition difference between an actual state and a desired state.

II.Step-2 INFORMATION SEARCH:

Family,friends,neighbors

Most influential source of information-advertising salespeople

Rececives most information from these sources mass media

Consumer-rating groups Handling the product

Examining the product

Using the product

Personal sources

Commercial sources

Public sources

Experiential sources

III.Step-3 EVALUATION OF ALTERNATIVES:

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Consumer buying behavior of wagonR car of maruti Suzuki.

Product attributes evaluation of quality,price,& features degree of importance

which attributes matter most to me?brand beliefs what do I belive about each

available brand?total product satisfaction based on what I m looking for,how

satisfied would I be with each product?evalution procedures choosing a

product based on one or more attributes

IV.Step-4 PURCHASE DECISION:

Purchase intention desire to buy the most preferred brand purchase decision

attitudes of other unexpected situational factors

V.Step-5 POSTPURCHASE BEHAVIOR:

Consumer`s expectations of product`s performance

Dissatisfied customer

Satisfied customer

Product`s perceived

Performance

IN TABLE FORM-FACTORS AFFECTING CONSUMER BUYING

BEHAVIOUR

3.5 Factors affecting consumer behavior:culture

Most basic cause of a person-want and behavior.

Values

Perceptions

Social class

People wirhin a social class tend to exhibit similar buying behavior.

Occupation

Income

Education

Weath

Subculture

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Consumer buying behavior of wagonR car of maruti Suzuki.

Groups of people with shared value systems based on common life

experiences

North Indian consumers

African American consumers

Asian American consumers

Mature consumers

3.6 FACTORS AFFECTING CONSUMER BEHAVIOR:SOCIAL

Groups

Membership

Reference

Family

Husband,wife,kids

Influencer,buyer,user

Roles and status social factor

3.7 FACTORS AFFECTING CONSUMER BEHAVIOR:PERSONAL

Age and family life cycle stage

Occupation

Economic situation

Lifestyle

Identification activities

Opinions

Interests

Personality &self-concept

III.8 FACTORS AFFECTING CONSUMER BEHAVIOR:

PSYCHOLOGICAL

Motivation

Perception

Learning

Belief and attitudes

3.9 Major Factors affecting consumer buying behavior

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Consumer buying behavior of wagonR car of maruti Suzuki.

Cultural factors affecting consumer buying behaviour:

 Cultural factors have a significant impact on customer behavior.Culture is the

most basic cause of a person’s wants and behavior. Growing up, children learn

basic values, perception and wants from the family and other important

groups. Marketers are always trying to spot “cultural shifts” which might point

to new products that might be wanted by customers or to increased demand.

Social factors affecting consumer buying behaviour:

 A customer’s buying behavior is also influenced by social

factors, such as the groups to which the customer belongs

and social status.

Each culture contains “sub-cultures” – groups of people with

share values. Sub-cultures can include nationalities, religions,

racial groups, or groups of people sharing the same

geographical location. Sometimes a sub-culture will create a

substantial and distinctive market segment of its own. For

example, the “youth culture” or “club culture” has quite

distinct values and buying characteristics from the much

older “gray generation”

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Consumer buying behavior of wagonR car of maruti Suzuki.

Similarly, differences in social class can create customer

groups. In fact, the official six social classes in the UK are

widely used to profile and predict different customer

behavior. In the UK’s socioeconomic classification scheme,

social class is not just determined by income. It is measured

as a combination of occupation, income, education, wealth

and other variables.

Information search

Once the consumer has recognised a problem, they search for information on products and services that can solve that problem. Belch and Belch (2007) explain that consumers undertake both an internal (memory) and an external search.

Sources of information include:

Personal sources Commercial sources Public sources Personal experience

The relevant internal psychological process that is associated with information search is perception. Perception is defined as "the process by which an individual receives, selects, organises, and interprets information to create a meaningful picture of the world". Consumers' tendency to search for information on goods and services makes it possible for researchers to forecast the purchasing plans of consumers using brief descriptions of the products of interest.[4]

The selective perception process

Stage Description

Selective exposure consumers select which promotional messages they will expose themselves to.

Selective attention consumers select which promotional messages they will pay attention to.

Selective comprehension consumer interpret messages in line with their beliefs, attitudes, motives and experiences.

Selective retention consumers remember messages that are more meaningful or important to them.

The implications of this process help develop an effective promotional strategy, and select which sources of information are more effective for the brand.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Information evaluation

At this time the consumer compares the brands and products that are in their evoked set. How can the marketing organization increase the likelihood that their brand is part of the consumer's evoked (consideration) set? Consumers evaluate alternatives in terms of the functional and psychological benefits that they offer. The marketing organization needs to understand what benefits consumers are seeking and therefore which attributes are most important in terms of making a decision. It also needs to check other brands of the customer’s consideration set to prepare the right plan for its own brand.

Purchase decision

Once the alternatives have been evaluated, the consumer is ready to make a purchase decision. Sometimes purchase intention does not result in an actual purchase. The marketing organization must facilitate the consumer to act on their purchase intention. The organization can use a variety of techniques to achieve this. The provision of credit or payment terms may encourage purchase, or a sales promotion such as the opportunity to receive a premium or enter a competition may provide an incentive to buy now. The relevant internal psychological process that is associated with purchase decision is integration. Once the integration is achieved, the organization can influence the purchase decisions much more easily.

Postpurchase evaluation

The EKB model was further developed by Rice (1993) which suggested there should be a feedback loop, Foxall (2005) further suggests the importance of the post purchase evaluation and that the post purchase evaluation is key due to its influences on future purchase patterns.

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Consumer buying behavior of wagonR car of maruti Suzuki.

CHAPTER-4

RESEARCHMETHODOLOGY

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4.1RESEARCH METHOLOGY

MARKETING RESEARCH of consumer buying behavior  t owa rds sma l l & med ium  ca r s egmen t ”The s t udy   showing t he consumer  buy ing  behav io r   i n   sma l l&  med ium ca r   s egmen t .  Wi th special reference to Maruti Suzuki India ltd It describe the attitude behind the purchasing of car by any middle income level segment.

RESEARCH DEFINITION:

“Research is careful inquiry or examination to discover new information and relationship and to expand and to verify existing knowledge.

4 . 2 O b j e c t i v e o f t h e s t u d y : -

The basic objective of the project During the research and study will be focused on the following parameters:

PRIMARY OBJECTIVE:

My main object is “To identify the factor affecting consumer buying behavior of wagonR car of maaruti Suzuki”

SECONDARY OBJECTIVE:

To know consume preference regarding small & medium cars To know what features and services attract the customers Effect of brand image (Maruti Suzuki)in buying behavior  Impact of advertisement in buying behavior  Impact of celebrity endorsement in buying behavior  Effect of family &friends in buying behavior (Focus group)

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Consumer buying behavior of wagonR car of maruti Suzuki.

4.3 IMPORTANCE OF STUDY

This project report and survey is quite necessary as well as important in the Current market situation, many multinational companies come into the market with wide rang of verities in Automobile industry, it is tough for any company to hold the market share, so this study helps to know about the Automobile Industries

It provides the required information about the consumer buying behavior for Automobiles

It will inform the management about the purchasing criteria of consumer towards buying behavior.

It gives information to the company as which is the most selling brand in the market.

4 . 4 R e s e a r c h d e s i g n ; -

A research design is a framework or blueprint for conducting the marketing research project. It details the procedures necessary for obtaining the required information, and its purpose is to de s ign a s t udy t ha t w i l l t e s t t he hypo the se s o f i n t e r e s t , de t e rmine possible answers to the research questions, and provide thein fo rma t ion  needed   fo r   dec i s i on  mak ing .  Conduc t i ng  exp lo ra to ry research, precisely defining the variables, and designing appropriatescals to measure them are also a part of the research design. The issue of how the data should be obtained from the respondents (for example, by conducting a survey or an experiment) must be a d d r e s s e d . I t i s a l s o n e c e s s a r y t o d e s i g n a q u e s t i o n n a i r e a n d a sampling plan to select respondents for the study.

4.5 TYPE OF RESEARCH DESIGN

It refers to the search for knowledge. Itc a n   b e   d e f i n e d   a s   s c i e n t i f i c   a n d   s y s t e m a t i c   s e a r c h   f o rp e r t i n e n t information on a specific topic. It is careful investigation or in quiry through search for new facts of any branch of knowledge.Resea rch p l ays an impor t an t r o l e i n t he p ro j ec t work . The results of the project are completely based upon the research of the facts and figures collected through the different ways of research.

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That is why it is also called a movement from known to unknown. Research is the original contribution to the existing stock of knowledge . Th i s s ec t i on i nc ludes t he ove ra l l r e s ea r ch de s ign , t he sampling procedure, the data collection method, the field method ,and analysis and procedure. R E S E A R C H   i s   a   s c i e n t i f i c   a n d   s y s t e m a t i c   s e a r c h   f o r  p e r t i n e n t information on a specific topic. It is also said to be the pursuit of truthwi th   t he  he lp  o f   s t udy ,   obse rva t i on ,   compa r i son   and  expe r imen t . research methodology is a way to systematically solve the research problem.

Research can classified in one of three categories:

Exploratory researchDescriptive researchCausal research

These classifications are made according to the objective of the r e s e a r c h . I n s o m e c a s e s t h e r e s e a r c h w i l l f a l l i n t o o n e o f t h e s e categories, but in other cases different phases of  the same research project will fall into different categories.

Explora tory   re search   h a s   t he  goa l   o f   f o rmu la t i ng  p rob l ems more precisely, clarifying concepts, gathering explanations,ga in ing   i n s igh t ,   e l im ina t i ng   imprac t i c a l   i dea s ,   and   fo rming hypotheses. Exploratory research can be performed using a literature search, surveying certain people about their experiences, focus groups, and case studies. When surveying people, exploratory research studies would not try to acquirearepre sentative sample, but rather, seek to interview those who are knowledgeable and who might be able to provide in sight concerning the relationship among variables. Case studies caninc lude   con t r a s t i ng   s i t ua t i ons  o r   benchmark ing   aga in s t  an organization known for its excellence. Exploratory research may deve lop hypo the se s , bu t i t doe s no t s eek t o t e s t t hem . Exploratory research is characterized by its flexibility.

Descriptive research is more rigid than exploratory researchand seeks to describe users of a product, determine thep ropo r t i on o f t he popu l a t i on t ha t u se s a p roduc t , o r p r ed i c t future demand for a product. As opposed to exploratoryresearch, descriptive research should define questions, people surveyed, and the

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Consumer buying behavior of wagonR car of maruti Suzuki.

method of analysis prior to beginning data collection. In other words, the who, what, where, when, why ,and how a spec t s o f t he r e sea r ch shou ld be de f i ned . Such preparation allows one the opportunity to make any requiredchanges before the costly process of data collection hasbegun.There are two basic types of descriptive research: longitudinals t ud i e s   and   c ro s s -s ec t i ona l   s t ud i e s .  Long i t ud ina l   s t ud i e s   a r e   t imese r i e s  ana ly se s   t ha t  make   r epea t ed  measu remen t s   o f   t he   s ame ind iv idua l s , t hus a l l owing one t o mon i to r behav io r such a s b r and -switching. However, longitudinal studies are not necessary presentative since many people may refuse to participate becauseo f   t he   commi tmen t   r equ i r ed .  C ros s -s ec t i ona l   s t ud i e s   s amp le   t he population to make measurements at a specific point in time. Aspecial type of cross-sectional analysis is a cohort analysis, which tracks an aggregate of individuals who experience the same event with in the same time interval over time. Cohort analyses are use fulfor long-term forecasting of product demand.

Causal research seeks to find cause and effect relationships between variables. It accomplishes this goal through laboratory and field experiments .Here I use descriptive type of research design

4.6 COLLECTION OF DATA:- The data for this study will be collected through the primary method of collecting. According to this method field surveys are conducted where we are to approach various types of people and try to collect information from them. It would be a structured from of surveys in the form of questionnaire-the list of all probable question which the respondent will be asked and he can answer them according to his will.

M e t h o d o f s e l e c t i n g s a m p l e : - Two methods of collecting data used for this research are as follows: -

PRIMARY DATA –

Data is collected primarily through personal contact, meeting, interview and questionnaire with the concerned authority of the organization and respondents’ .

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Consumer buying behavior of wagonR car of maruti Suzuki.

S E C O N D A R Y D A T A– Data are collected through secondary modes such as various published data, reports, related books and websites.

4.7 COLLECTION OF DATA TECHNIQUES:

S a m p l e   s i z e : - The s amp le s i z e o f t h i s su rvey wou ld be o f 100 . i t means t ha t t he r e a r e 100 d i f f e r en t peop l e who have been s e l ec t ed and have been i n t e rv i ewed on t he s ame sub j ec t .

S A M P L I N G F R A M E : The sampling frame of this study is the surat city.

SURVEY TOOL:

The sampling tool used for this study is the structured questionnaire

ANALYSIS OF THE DATA:

The analysis of the data would be done by using the statistical tools like mean, median and mode. Also the tables, charts and pictorial representations would be used.

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Consumer buying behavior of wagonR car of maruti Suzuki.

4 . 8 L i m i t a t i o n o f s t u d y : -

Every research study has its limitationslikewise this research has some limitation .These are

The sample consists of 50 customers and was restricted topeople residing in Jaipur.as study is restricted to the Jaipur

Sample of the population (universe)might be nkot therepresentative of whole This study is conducted before the launching of TATA Nano Customer perception is not always static.They frequentlychange their attitude Selection of car is also depends on income level of respondents This research is based on current economic condition which isnot seem to be

good.

4 . 9 S c o p e o f s t u d y :

The scope of the project during the research and study will be focused on the following parameters:

To know consume preference regarding small & medium cars To know what features and services attract the customers Effect of brand image (Maruti Suzuki)in buying behavior Impact of advertisement in buying behavior Impact of celebrity endorsement in buying behavior Effect of family &friends in buying behavior (Focus group)

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Consumer buying behavior of wagonR car of maruti Suzuki.

CHAPTER-5 ANALYSIS &

FINDINGS

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Consumer buying behavior of wagonR car of maruti Suzuki.

ANALAYSIS & FINDING

Q-1 DO YOU HAVE YOUR OWN CAR?

TABLE:

RESPONSE RESPONDENT PERSENTAGEYES 83 83%NO 17 17%TOTAL 100 100%

YES NO0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

0.8300000000000

01

0.17

Series1

Interpretaion:

this chart shows that mostly people have ther own car,and 17% people done have there own car.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Q-2 .which brand company car do you use recently?

TABLE:

RESPONES RESPONDER %AUDI 6 6%BMW 1 1%

MARUTI SUZUKI 60 60%HONDA 3 3%HYUNDAI 6 6%OTHER 7 7%

0.06

0.01

0.60000000000000

1

0.03

0.060.07

AUDIBMWMARUTI SUZUKIHONDAHYUNDAIOTHER

Interpretation:

this chart shows that 60% of people are using maruti Suzuki brand company car then other car company.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Q-3 WHICH CAR MODEL OF MARUTI SUZUKI DO U USE?

TABLE:

RESPONSE RESPONDER

%

OMNI 2 2% ZEN ESTITO 0 0%

SX4 4 4%ALTO 1 1%SWIFT 5 5%RITZ 3 3%WAGONR 45 45%A-STAR 0 0%OTHER 0 0%

INTERPRETATION:

This chart shows that most of people who have maruti Suzuki brand car are using wagonR model.

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OMNI

ZEN ES

TITO SX

4ALTO

SWIFT RITZ

WAGONR

A-STAR

OTHER

0%5%

10%15%20%25%30%35%40%45%

2% 0%4% 1%

5% 3%

45%

0% 0%

Chart Title

Series1

Consumer buying behavior of wagonR car of maruti Suzuki.

Q-4 IF WAGONR car then ,how many family member are using this car?

TABLE:

RESPONSE RESPONDER %1MEMBER 24.44 24.44%

2MEMBER 22.22 22.22%

3MEMBER 28.89 28.89%

4MEMBER 8.89 8.89%

5MEMBER 6.66 6.66%

6MEMBER 4.44 4.44%

7MEMBER 4.22 4.22%

1 MEM

BER

2 MEM

BER

3 MEM

BER

4 MEM

BER

5 MEM

BER

6 MEM

BER

7 MEM

BER0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%

24.44%

22.22%

28.89%

8.89%6.66%

4.44%

4.22%

Series2Series1

INTERPRETATION:

This chart shows that in single family mostly 2 or 3 member are using wagonR car

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Consumer buying behavior of wagonR car of maruti Suzuki.

Q-5 FROM WHERE DID YOU GET THE IDEA ABOUT WAGON R CAR?

TABLE:

RESPONSE RESPONDER %FRIEND 12 12%

INTERNET 5 5%

HODING 3 3%

ADVERTISHMENT 9 9%

SHOWROOM 9 9%

OTHER 7 7%

0%2%4%6%8%

10%12% 12%

5% 3%

9% 9% 7%

Chart Title

Series1

INTERPRETATION:

THIS chart shows that people are getting information mostly from friends,advertishment,showroom.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Q-6 WHY DO YOU PREFER ONLY WAGONR CAR?

TABLE:

RESPONSE RESPONDER %PRESTIGE OR VALUE

10 10%

PERSONAL YOU LIKE

9 9%

FAMILY& FRIENDS SUGGEST

22 22%

ECONOMICALLY GOOD

4 4%

10%

9%22%

4%

Chart Title

TABLE:PRESTIGE OR VALUEPERSONAL YOU LIKEFAMILY& FRIENDS SUGGESTECONOMICALLY GOOD

INTERPRETATION:This chart shows thatpeople are preferring wagonR car because they family& friends suggest & value of car is also average.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Q-7. DOES ANY AGE FACTER AFFECT YOU WHILE PURCHING WAGONR CAR.

TABLA

RESPONSE RESPONDENT %

YES 12 12%

NO 33 33%

1 20

5

10

15

20

25

30

35

40

45

50

3300%NOYES

INTERPRETATION:This chart shows that while purchasing wagonR car,age factor some how affect.and mostly family are preferring wagonR because of ecomomically comfort.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Q-8. DOES ADVERTISHMENT AFFECT YOUR BUYING BEHAVIOUR? TABLE:

RESPONSE RESPONDENT %YES 23 23%

NO 24 24%

I INTERPRETATION: This chart shows that people are affected by advertisement,advertisement affect their purchasing

Q-9 FOR WHAT PURSOSE YOU ARE USING WAGONR CAR?

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Consumer buying behavior of wagonR car of maruti Suzuki.

TABLE:

RESPONSE RESPONDENT %

OCCUPATION 8 8%

COMFORT LEVEL 19 19%

LUXURY 1 1%

LESS PRICE 9 9%

OTHER 8 8%

INTERPRETATION:

This chart shows that people are preferring wagonR car for their comfort level & less price and occupation purposes

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OCCUPATION COMFORT LEVEL

LUXURY LESS PRICE OTHER0%2%4%6%8%

10%12%14%16%18%20%

8%19% 1%

9%

8%

Chart Title

Series1

Consumer buying behavior of wagonR car of maruti Suzuki.

Q-10. OUT OF FOLLOWING WHAT PERSONALY MOTIVATES YOU TO BUY WAGONR CAR?

TABLE:

RESPONSE RESPONDENT %

LOOK 10 10%SMOTHNESS 11 11%AFTERSALES SERVIECES

4 4%

AVRAGE 13 13%OTHER 7 7%

INTERPRETATION: This chart shows that mostly to average and smoothness of wagonR car are the significant feature of wagonR car to motivatr people to buy wagonR.

Q-12.HOW MUCH ARE YOU SATISFIED WITH WAGONR CAR?

TABLE:

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TABLE:

LOOK

SMOTH

NESS

AFTER

SALES

SERVIEC

ES

AVRAGE

OTHER

0

0.02

0.04

0.06

0.08

0.1

0.12

0.1410% 11%

4%

13%

7%

Series1

Consumer buying behavior of wagonR car of maruti Suzuki.

RESPONSE RESPONDENT

%

HIGHLY SATISFIED

2 2%

SATISFIED 25 25%

NEUTRAL 17 17%

DISSATISFIED

11 11%

HIGHLY DISSATISFIED

0 0%

HIGHLY SA

TISFIE

D

SATIS

FIED

NEUTR

AL

DIS-SA

TISFIE

D

HIGHLY DIS-

SATIS

FIED

0%

5%

10%

15%

20%

25%

30%

2%

25%

17%11%

0%Series1

INTERPRETATION:

This chart shows that mostly customer are satisfied &17% are neutral.

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Consumer buying behavior of wagonR car of maruti Suzuki.

Q-13 IN FUTURE WILL YOU MOVE TOWARD OTHER COMPANY CAR?

TABLE:

INTERPRETATION:This chart shows that in future they will not move other brand in future as they are satisfied &some people will move due to some reasone.

Q-14. HOW DO YOU RATE THE SERVVICE CHARGE?

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YES NO19%

20%

21%

22%

23%

24%

21%

24%

Series1

RESPONSE RESPONDENT %

YES 21 21%

NO 24 24%

Consumer buying behavior of wagonR car of maruti Suzuki.

TABLE:

HIGH 9% 45

MODERATE 25% 45

LOW 11% 45

INTERPRETATION:This chart shows that after sales service chare are moderate.

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TABLE: HIGH MODERATE LOW0

0.05

0.1

0.15

0.2

0.25

9%

25%

11%Series1

RESPONSE RESPONDENT %

Consumer buying behavior of wagonR car of maruti Suzuki.

FINDINGS

1. chart shows that mostly people have ther own car,and 17% people done have there own car

2. chart shows that 60% of people are using maruti Suzuki brand company car then other car company.

3. chart shows that most of people who have maruti Suzuki brand car are using wagonR model.

4. This chart shows that in single family mostly 2 or 3 member are using wagonR car.

5. customer are getting information mostly from advertishment and showroom.

6.customers are mostly preferring wagonR car because they family& friend like& value for higher middle class.

7.while purchasing wagonR,age factor does not affect family.

8. people are affected by advertishment and mostly by average of car.

9. customers are preferring wagonR for their comfort level& less price.10. avrage& smoothness of car are the significant feature of wagonR to motive people to buy car.

11. mostly customer are satisfied &17% are neutral.

12.customers will not move toward other brand in future as they are satisfied &some people will move due some reason.

13.mostly customers will recommend wagonR to other as thet are satisfied but some will not recommend as due to high after sales service charges or some other reason..

Chapter-6 concusion &

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Consumer buying behavior of wagonR car of maruti Suzuki.

recommendation

Conclusion:

From analyasis project I concluded that people don`t know much about the brand of the company,even their names so to remain into competitive world.i said that more number of customer is aware by the same source of advertisement.

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Consumer buying behavior of wagonR car of maruti Suzuki.

I have concluded that in the present competitive world it is necessary for every company to attract the customer in price and quality.

The main rival is Hyundai so the company should implement new strategies to survive in the market.

From analyzing project customer need some changes like mackwheels,spoilers,heavy tyres,sport version,some modification in look,reduction in price,back bump,more colour,changes in interior design.

RECOMMENDATIONS

WHILE PURCHASING AGE FACTOR AFFECT THE CUSTOMER SO COPANY HAS TO MAKE THEIR CARS MORE PROFESSIONAL OR MAKE SOME NEW EDITIONS.

MOSTLY CUSTOMERS ARE GETTING INFORMATION FROM THEIR FRIEND&RELATIVES

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Consumer buying behavior of wagonR car of maruti Suzuki.

SO COMPANY HAS TO ADVERTISE THEIR PRODUCT MORE&ALSO THROUGH DIFFERENT MODES TO INCREASE THEIR SALES.

COMPANY HAS TO MAKE THEIR AFTER SALES SERVICE CHARGES LOW BECAYSE CUSTOMER CONSIDERING THAT AFTER SALES SERVICE CHARGES ARE HIGH SO IN FUTURE THEY WILL NOT RECOMMEND TO OTHER OR MOVE TOWARDS OTHER BRAND .

IT IS QUITE COSTLY PRODUCT,SO THE PRICE SHOULD BE REDUCE A LITTLE.

LOOK &SMOOTHNESS ARE THE IMPORTANT FEATURES SO THE COMPANY HAS TO FOCUS ON OTHER FEATURES TO ATTRACT MORE CUSTOMERS.

CUSTOMERS ARE GIVING LOW RANK TO PRICE&AFTER SALES SERVICES SO THE COMPANY HAS TO FOCUS ON AFTER SALES SERVICES& PRICES AND MAKE THEM MORE EFFECTIVE.

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Consumer buying behavior of wagonR car of maruti Suzuki.

BIBLOGRAPHY

BOOK: 1. D.L. Carney, J.I. Cochran, “The 5ESS Switching System: Architectural Overview,” PHILIP KOTLER

KEVIN LANE,KELLER,ABRAHAM KOSHY,”MARKETINGMANAGEMENT”,13 TH EDITION,DORLING KINDERSLEY

AT&T Technical Journal, vol. 64, no. 6, July-August 1985, pp. 1339-1356.

WEBSITES:

HTTP://WWW.QUIKR.COM/AUTOMOBILE_INDUSTRY_IN_INDIA/Z149?ADWO

HTTP://EN.WIKIPEDIA.ORG/WIKI/AUTOMOBILE_INDUSTRY_OF_INDIA. HTTP://EN.WIKIPEDIA.ORG/WIKI/FILE:MARUTI_SUZUKI_WAGONR

CAR.JPG.

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