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A Research Project Report
ON
“SERVICE QUALITY AND CONSUMER SATISFACTION FOR MARUTI SERVICE
CENTER IN NOIDA”
A report submitted to U.P. Technical University for the partial fulfillment of MBA Degree
Submitted to: - Submitted by: -Prof. A.K. SINGH KAPIL KUMAR SINGHDIRECTOR MBA- IVth Sem.Greater Noida Institute of Technology Roll no. (0513270020)
Greater Noida Institute of Technology7, Knowledge Park –II, Greater Noida (U.P.)
(2006-2007)
1
CERTIFICATE
This is to certify that the Research Report entitled “SERVICE QUALITY AND CONSUMER SATISFACTION FOR MARUTI SERVICE CENTER IN NOIDA” Being submitted by “KAPIL KUMAR SINGH” in fulfillment of the requirement of U.P. TECHNICAL UNIVERSITY is a record of an independent work done by his under my guidance and supervision.
Prof. Randhir Azad Concerned FacultyFacultyGreater Noida Institute of Technology GNIT, Greater Noida
2
DECLARATION
I KAPIL KUMAR SINGH do Declare that the Research Report entitled “SERVICE QUALITY AND CONSUMER SATISFACTION FOR MARUTI SERVICE CENTER IN NOIDA” Being submitted to the U.P. TECHNICAL UNIVERSITY for the partial fulfillment of the requirement for the degree of Master of Business Administration is my own endeavors band it has not been submitted earlier to any institution / university for any degree.
Place: -
Date: - (KAPIL KUMAR SINGH)
3
ACKNOWLEDGEMENT
During the entire covering of research project work I have
received endless help from my all teachers who encouraging me
for developing ideas and supporting me in each and every step
for completing the whole project.
I am greatly thankful to my research project guide A.
Sharma for assigning an innovative project that developed a
feeling of fully practical work.
In fact no project could be completed without meaningful
suggestions and guidance of A. Sharma who helped me during
my task and shared his precious time with me.
I grateful Thanks to my respected teachers Mr. Randhir Azad.
I owe my humble gratitude to all those treasures of knowledge
that are equally responsible for the successful completion of this task.
(Kapil Kumar Singh)
4
INDEX
Introduction
Objectives of the Study
Company Profile
o Milestones
o Awards
o ISO 9001:2000 certificate
Maruti Products
Research Methodology
Market Research
o Customer Satisfaction
o Market Segmentation
o Positioning
o Suppliers
o Advertising & Communication
o Values & Vision
Maruti Authorized Service Network
o Wider Area Coverage
o Better service quality
5
Survey
o SWOT Analysis
o SCM Strategies
Recommendation
Limitation of Study
Findings & Interpretation
Summary & Conclusion
Bibliography
Questionnaire
6
INTRODUCTION
India is one of the most important emerging car economies
in the world today. Premier Automobile Ltd. (PAL) earned the
distinction of manufacturing the first car in the country.
Hindustan Motors (HM), which started as a manufacturer of
auto components graduated to manufacture cars in 1949.
Thanks to the Licence Raj which restricted foreign competitors
to enter the Indian car market, Indian roads were ruled by
Ambassador Car from Hindustan Motors and the Fiat from
Premier Auto Ltd. for many of the initial years.
The control imposed on car makers related to production
capacity and distribution. The GOI control even extended to
fixation of prices for cars and dealer commissions. The three
decades of the passenger car industry in India up to the early
1980s, proved to be the 'dark ages' for the consumer, as his
choice throughout this period was limited to two models
Ambassador and Padmini. It was only in 1981, after the entry of
Maruti Udyog, that the car makers were given a free hand to fix
the prices of cars, thus, effectively abolishing all controls relating
to the pricing of the end product.
7
In the early 80's, a series of liberal policy changes were
announced marking another turning point for the automobile
industry. The very face of the industry was changed for ever in
1983 with the entry of public sector Maruti Udyog in a joint
venture with the Suzuki Corporation of Japan.
Maruti Udyog Ltd introduced 'Maruti 800' in 1983
providing a complete face lift to the Indian car industry. The car
was launched as a "Peoples car" with a price tag of Rs 40,000.
This changed the industry's profile dramatically. Maruti 800 was
well accepted by middle income families in the country. Many
companies have entered the car manufacturing sector, to tap the
middle and premium end of car industry. The new entrants are
Daewoo (Matiz), Tata (Indica) and Hyundai (Santro) in upper
end of economy car market. GM, Ford, Peugeot, Mitsubishi,
Honda and Fiat has entered the mid-sized car segment and
Mercedes-Benz is in the premium end of market.
8
OBJECTIVE OF THE STUDY
• To know the current and future standing of the Maruti
Udyog Ltd.
• To know the visions and values of the company.
• To calculate the market of different brands of Maruti.
• To find out the main factor affecting the buying behavior or
buying decision of the consumers.
• To know the effectiveness of advertisement of Maruti cars
in buying decision of the customer.
• To know the position and segments in which the whole
market is divided.
• To know the level of consumer satisfaction and the factors
affects it.
• To know the level of service quality for maruti service
center.
9
COMPANY PROFILE
Maruti Udyog Limited (MUL) was established in Feb 1981
through an Act of Parliament, to meet the growing demand of a
personal mode of transport caused by the lack of an efficient
public transport system.
Suzuki Motor Company was chosen from seven prospective
partners worldwide. This was due not only to their undisputed
leadership in small cars but also to their commitment to actively
bring to Maruti Udyog Limited contemporary technology and
Japanese management practices (which had catapulted Japan
over USA to the status of the top auto manufacturing country in
the world).
A license and a Joint Venture agreement was signed
between Government of India and Suzuki Motor Company (now
Suzuki Motor Corporation of Japan) in Oct 1982.
The objectives of MUL then were:
• Modernization of the Indian Automobile Industry.
• Production of fuel-efficient vehicles to conserve scarce
resources.
• Production of large number of motor vehicles which was
necessary for economic growth.
• SMC and MUL have drawn up an investment plan of Rs
9000 crore in India upto 2010.
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Vision
"The Leader in the Indian Automobile Industry,
Creating Customer Delight and Shareholder's Wealth; A
pride of India"
Core Values
Customer Obsession
Fast, Flexible and First Mover
Innovation and Creativity
Networking and Partnership
Openness and Learning
Technological Advantage
We have introduced the superior 16 * 4 Hypertech engines
across the entire Maruti Suzuki range. This new technology
harnesses the power of a brainy 16-bit computer to a fuel-
efficient 4-valve engine to create optimum engine delivery. This
means every Maruti Suzuki owner gets the ideal combination of
power and performance from his car.
Our other innovation has been the introduction of
Electronic Power Steering (EPS) in select models. This results in
better and greater maneuverability. In other words, our cars
have become even more pleasurable to drive.
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Production/R & D
Spread over a sprawling 297 acres with 3 fully-integrated
production facilities, the Maruti Udyog Plant has already rolled
out over 6.3 million vehicles. In fact, on an average, two vehicles
roll out of the factory every minute. And it takes on an average,
just 14 hours to make a car. More importantly, with an
incredible range of 11 models available in 50 variants, there's a
Maruti Suzuki made here to fit every car-buyer's budget, and
dream. SMC and MUL have drawn up an investment plan of Rs
9000 corer in India up to 2010.
Production Milestones
• 1st vehicle produced, December 1983
• 1,00,000 vehicles produced by August, 1986
• 5,00,000 vehicles produced by June, 1990
• 10,00,000 vehicles produced by March, 1994
• 15,00,000 vehicles produced by April, 1996
• 20,00,000 vehicles produced by October, 1997
• 25,00,000 vehicles produced by March, 1999
• 30,00,000 vehicles produced by June, 2000
• 35,00,000 vehicles produced by December 2001
• 40,00,000 vehicles produced by April, 2003
• 45,00,000 vehicles produced by April, 2004
• 50,00,000 vehicles produced by April, 2005
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Milestones
2005 The fiftieth lakh car rolls out in April, 2005
Growth in overall sales by 15.8%2004 New (non A/C) variant of Alto
Alto becomes India's new best selling car
LPG variant of 'Omni Cargo'
Versa 5-seater, a new variant
Baleno LXi, a new variant
Maruti closed the financial year 2003-04 with an
annual sale of 472122 units, the highest ever since the
company began operations 20 years ago 2003 New Suzuki Grand Vitara XL-7
Redesigned and all-new Zen
New upgraded WagonR
Enters into partnership with State Bank of India
Production of 4 millionth vehicle. Listed on BSE and
NSE after a public issue oversubscribed 10 times2002 WagonR Pride
Esteem Diesel. All other variants upgraded
Maruti Insurance. Two new subsidiaries started:
Maruti Insurance Distributor Services and Maruti
Insurance Brokers Limited
Alto Spin LXi, with electronic power steering
Special edition of Maruti 800, India’s first colour-
coordinated car
Maruti True value in Mumbai
Maruti Finance in Mumbai with 10 finance companies
Suzuki Motor Corporation (SMC) increases its stake in
Maruti to 54.2 percent2001 Zen LXi
Maruti True Value launched in Bangalore and Delhi
Maruti Versa, India’s first luxury MPV
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Alto Spin LXi, with electronic power steering
Alto Vxi
Customer information centers launched in Hyderabad,
Bangalore and Chennai
Launch of versa 2000 First car company in India to launch a Call Center
New Alto
Altura, a luxury estate car
IDTR (Institute of Driving Training and Research)
launched jointly with the Delhi government to promote
safe driving habits 1999 Maruti 800 EX ( 796cc, hatchback car)
Zen LX (993cc, hatchback car)
Zen VXi (993cc, hatchback car with power steering)
Omni XL (796cc, MUV, high roof)
Baleno (1600cc, 3 Box Car)
Wagon R
Launch of Maruti - Suzuki innovative traffic beat in
Delhi and Chennai as social initiatives1998 Maruti launches website as part of CRM initiatives
Zen D (1527 cc diesel, hatchback car)
Zen VX & Zen VX Automatic
New (Omni & Omni E) (796cc, MUV)
Launch of website as part of CRM initiatives
1997 1998 Esteem (1299cc, 3 box car) LX, VX and AX
New Maruti 800 (796cc,hatchback Car) Standard and
Deluxe
Produced the 2 millionth vehicle since the
commencement of production1996 Gypsy (E) (970cc, 4WD 8 seater)
Omni (E) (796cc, MUV, 8 seater)
Gypsy King (1298cc, 4WD, off road vehicle)
Zen Automatic (993cc, hatchback car)
Esteem 1.3L (1298 cc, 3 box Car)AX
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Launch of 24-hour emergency on-road vehicle service 1995 Esteem 1.3L (1298 cc, 3 box car)VX
With the launch of second plant, installed capacity
reached 200,000 units
1994 Esteem1.3L (1298cc, 3 box car)LX
Produced the 1 millionth vehicle since the
commencement of production
1993 Zen(993cc, hatchback Car), which was later exported
in Europe and elsewhere as the Alto1992 SMC increases its stake in Maruti to 50 percent1991 Reaches cumulative indigenisation of 65 percent for all
vehicles produced1990 Maruti 1,000(970cc, 3 box), India’s first contemporary
sedan
1988 Installed capacity increased to 1,00,000 units1987 Exported first lot of 500 cars to Hungary1986 Maruti 800 (New Model-796cc, hatchback Car)
Produced 1,00,000 vehicles (cumulative production)1985 Launch of Maruti Gypsy (970cc, 4WD off-road vehicle)1984 Omni, a 796cc MUV
Installed capacity reached 40,000 units1983 Maruti 800, a 796 cc hatchback, India’s first affordable
car.
Production was started under JVA1982 License and JV agreement signed between Maruti
Udyog Ltd. and SMC of Japan1981 Maruti Udyog Ltd was incorporated under the
provisions of the Indian Companies Act, 1956
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16
Awards
2005
Number one in JD Power SSI for the second consecutive
year.
Number one in JD Power CSI for the sixth time in a row -
the only car to win.
it so many times.
M800, WagonR and Swift topped their segments in the TNS
Total.
Customer Satisfaction Study.
Leadership in the JD Power Initial Quality Study - Alto
number one in its segment for the 2nd time in a row,
Esteem number one in its segment for the 3rd year in a
row, Swift number one in the premium compact segment.
WagonR and Esteem top their segments in the JD Power
APEAL study
TNS ranks Maruti 4th in the Corporate Reputation
Strength (CSR) study (#1 in Auto sector)-Feb 05
Maruti bagged the "Manufacturer of the year" award from
Autocar-CNBC (2nd time in a row)-Feb 05
First Indian car manufacturer to reach 5 million vehicles
sales
Business World ranks Maruti among top five most
respected companies in India-Oct 04
Maruti ranked among top ten (Rank7) greenest companies
in India by Business Today - Sep '04
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2004
Maruti Suzuki was No. 1 in Customer satisfaction, No. 1 in
Sales Satisfaction No.1 in Product Quality (Esteem and
Alto) and No. 1 in Product Appeal (Esteem and Wagon R)
No. 1 in Total Customer Satisfaction (Maruti 800, Zen and
Alto)
Business World ranked us among the country's five most
respected companies
Business World ranked us the country's most respected
automobile company
Voted Manufacturer of the year by CNBC
Voted one of India's Greenest Companies by Business
Today-AC Nielson ORG-MARG
2003
Maruti 800, Maruti Zen and Maruti Esteem make it to the
top 10 automotive brands in "Most Trusted Brand survey
2003"
J D Power ranked 3 models of Maruti on top: Wagonr, Zen
and Esteem
Maruti 800 and Wagonr top in NFO Total Customer
Satisfaction Study 2003.
MUL tops in J D Power CSI (2001) for 4th time in a row
2001
MUL tops in J D Power CSI (2001) for 2nd time in a row:
another international first
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2000
Maruti bags JD Power CSI - 1st rank; unique achievement
by market leader anywhere in the world
1999
MSM launched as model workshop in India; achieves
highest CSI rating.
Central Board of Excise & Customs awards Maruti with
"Samman Patra", for contribution to exchequer and being
an ideal tax assessee
1998
CII's Business Excellence Award
1996
Maruti wins INSSAN award for "Excellence in Suggestion
Scheme"
Awarded the Star Trading House status by Ministry of
Commerce
1994-95
Engineering Exports Promotion Council's award for export
performance
1994
Best Canteen award among Haryana Industries as part of
employee welfare
19
1992-93
Engineering Exports Promotion Council's award for export
performance
1991-92
Engineering Exports Promotion Council's award for export
performance
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ISO 9001:2000
At Maruti, our approach to quality is in keeping with the Japanese practice--"build it into the product". Technicians themselves inspect the quality of work. Supervisors educate and instruct technicians to continually improve productivity and quality. The movement of quality indicators is reviewed in weekly meetings by the top management. In 2001, Maruti Udyog Ltd became one of the first automobile companies anywhere in the world to get an ISO 9000:2000 certification. AV Belgium, global auditors for International Organization for Standardization(ISO), certified Maruti after a four day long audit, covering varied parameters like Customer Focused organization, Leadership, Involvement of people, Process approach, System approach to Management, Continual improvement, etc.In May 1995, Maruti got ISO 9002 certification. The audit for this covered quality assurance in production, installation, marketing and sales as well as after sales services. We were also one of the first companies in the world to pioneer ISO 9000 certification for our dealers.
In October 1993, MUL passed the Conformity Of
Production (COP) Audit, which is based on a European
Union Directive. This authenticated our quality systems
and testing facilities for export to Europe.
The emphasis on total quality has meant that today it is in
a position to guide vendors and dealers in establishing and
consolidating their individual quality systems. This commitment
to quality has ensured a consistently satisfying product and
world-class sales and after-sales services.
21
Employee Quality Measures
Kaizen is based on the concept of making incremental
improvements in its products. It incorporates a series of
continuous small and simple improvements, which aim at
involving employees at all levels.
The Suggestion Scheme is based on the same principle.
Under this scheme, employees are encouraged to make
suggestions for improvement in any area of our operation. Over
50,000 suggestions are received from employees every year.
Maruti has won the First place in "Excellence in
Suggestion Scheme Contest 2003", which is the 6th
consecutive award won in as many years. This contest is
organized by Indian National Suggestion Schemes Association
(INSSAN). Since 1998 Maruti has won this award 10 times.
"Quality Circles" are groups of five to eight members from a
particular work area who work as a team to identify priorities
and solve work related problems in the area.
It believe that it is this unwavering commitment to quality
that will lead to the further growth of the organization as
competition increases
22
WHAT’S NEW
Maruti Leads March with Stellar Performance
Your favourite car company, Maruti Udyog Limited has
closed the financial year 2005-06 with an annual sale of
6,72,122 units, the highest ever since the company began
operations 20 years ago. This annual sale figure includes exports
of 71175 units, the highest ever since Maruti began exporting
cars in 1988, a growth of 59% over 2004-05. Maruti's annual
sale in 2005-06 represents a growth of 30 per cent over 2004-05.
During March 2006, the company sold 52700 units, including
8282 exports. This is the highest ever sale in the domestic
market in a month by Maruti. This is also the highest ever export
in a month by the company.
The record sale performance was a fitting end to an
eventful year during which the company's Public Issue was
oversubscribed 10 times and became a landmark for the Indian
stock markets and the Government's Divestment programme.
During the year, Maruti earned further customer
appreciation, being ranked FIRST in J D Power Customer
Satisfaction Survey for a record fourth year in a row.
The company's WagonR, Zen and Esteem models topped
their categories in the J D Power Initial Quality Study 2005.
Quality improvements along the chain, notably by the company's
component suppliers, contributed to this achievement.
Besides, WagonR was ranked FIRST in its category in
Total Customer Satisfaction Survey conducted by NFO
Automotive.
23
The year also saw Maruti make major strides towards its
goal of becoming Suzuki Motor Corporation's R and D hub for
Asia outside Japan. It introduced upgraded versions of WagonR
and Zen, the latter completely designed and styled inhouse.
India's most popular car, Maruti 800, strengthened its
leadership with a 17 per cent growth even as Maruti's
partnership with State Bank of India and its Associate Banks
enabled it to reach car finance to smaller towns and cities across
the country.
During the year, Maruti consolidated its leadership in the
A 2 (premium compact) segment, with Alto growing by over 130
per cent and finishing as the country's fastest growing A2
Segment model for the year.
With the launch of Grand Vitara XL-7 during the year,
Maruti marked its entry into the top-end Luxury SUV segment of
the Indian car market.
The record sales performance was ably supported by
Maruti's dealerships. During the year, the company ended its
relationship with several non-performing dealerships and
enhanced it with the good performers. The new car sales network
grew from 243 outlets to 280, with coverage expanding from 160
cities to 182.
The dealerships also participated in the expansion of
Maruti's new businesses, including Maruti Insurance, Maruti
Finance, Maruti True Value (Pre Owned cars) and N2N
(Corporate Lease and Fleet Management Services). These
services made Maruti vehicles even more attractive for
customers.
“Maruti's service network, known for its size and
quality, expanded to a landmark 1000 cities and towns
during the year”.
24
The Maruti-managed Institute of Driving Training and
Research in Delhi made major contribution to safe drivinq which
was widely recoqnised. notably by the Hon'ble Delhi High Court.
25
MARUTI PRODUCTS
Maruti Vitara
The Grand Vitara is
handsome and a very
capable off-road vehicle, it
is above average at this end
of the market with good
quality fabrics and plastics.
It is equipped with an
ergonomic dashboard and is superbly backlit with great heating
controls. The car has excellent headroom and rear legroom.
However, front passenger foot well has limited legroom. The
headrests are difficult to adjust, especially to get them at the
correct height for our heads or necks. It is also difficult to adjust
driver’s seat with the door shut. Don't get me wrong the Suzuki
Grand Vitara has true off road performance, car-like ease to
drive and is excellent value for money. It would go where many a
so-called four-wheel drive would falter without lacking comfort or
refinement. The Grand Vitara comes with a security conscious
integrated radio single slot CD player, which is capable and very
easy to use. This machine is a joy to drive and an excellent
alternative to the family car.
26
Maruti Wagon R
The 1061cc MPFI
low friction engine delivers
an awesome
64bhp@6200rpm power
for smoother pick-up and
faster acceleration than
other car engines in this
category.
A 16 bit on-board computer with diagnostic capability
monitors engine performance continuously. It checks the
condition of the engine as soon as you turn it on and monitors
the air-fuel ratio for optimum fuel efficiency.
The 4 valves per cylinder engine configuration gives better
fuel economy than other cars. As per Autocar (May'04) WagonR
gives a mileage of 14.15 kmpl as against 13.3 kmpl by Santro
Xing. This has been made possible due to the superior WagonR
engine.
Dual Distributor-less Digital Ignition (DDLI) means an
instant, hassle-free start every time and more efficient power
distribution. A flat torque curve ensures quick pick-up at higher
gears and lower rpm. You won't need to change the gears often.
Its not just performance, WagonR also has numerous innovative
features.
27
accordingly, including a new engine. Wagon R is Japan’s top
selling model, and it is to be seen if it’s success can be emulated
in India.
Maruti Alto
The hottest little thing
is really a hot cake among
the car lovers. Just get inside
and try this cool car. You will
definitely fall in love with it.
Finally your fantasy compact
car is now a reality.
It's unique features make it distinct from the other cars.
The electronic tachometer helps improve unmatched fuel
efficiency. It is also equipped with a remote controlled fuel lid
and trunk opener. A digital trip meter indicated the miles you
have enjoyed riding on this cool car.
It is a highly safe car to drive on Indian roads. High tensile steel
side door beams guard against front, rear and side collision
impact. It has room for almost everything making it a real family
car. Put all you want into a low roomy luggage compartment. It
also has more boot space than other cars.
Its seductive lines and stylish curves complement the muscular
look. Two pressed lines on either side give it a distinct character
and an unique halogen head lamp make it a beauty. The cool
interiors of the car include a powerful AC, which is ideal for
India's climate.
28
Maruti Esteem
Looked at against other cars
in the Indian market in the mid-
size segment, the Esteem seems a
bit ordinary. For one, it definitely
needs a new look as it is the
replica of the earlier Maruti 1000
introduced in the mid-eighties. The Maruti 1000 was withdrawn
as it was an extremely underpowered vehicle, and no one can
deny that the Esteem has a great engine under its hood.
The fact remains, though, that the design has been around
for close to two decades and a new look could do wonders for the
car. This is because the Esteem's main asset is its engine, which
leaves no doubt in anyone's mind that the Japanese make the
best petrol motors on this planet. The all-aluminium engine with
its hollow camshaft, which cuts down rotational inertia, is
extremely light and responsive.
The Esteem typifies Suzuki's expertise in using the four-
valve-per cylinder, multi-point fuel-injection combination to
create a power machine. The mid-size Esteem can reach 100
kmph speed from standstill in just 11.4 seconds — quicker than
the Lancer and the Astra.
The power-to-weight ratio of the Esteem is also the most
favourable for a mid-size car. The power steering in the variants
is quick and direct with a certain degree of feel. This is a boon in
tight city driving conditions. The gearbox is slick and shifting a
real joy.
29
The Esteem is available in a large number of variants. New
Euro 2 variants of the Esteem LX, VX and AX are the biggest
attraction now. As for the diesel variants there is the Esteem Di
and the base Esteem D version. Then there is the Esteem Vxi
and the Esteem LX Euro 1 version.
The Euro 2 versions are a definite upgrade on the earlier
versions as they come with 85 bhp against the earlier weaker 57
bhp variants. Among the two diesel variants, the Di is the top-of-
the-line version with power steering, windows, rear defogger and
halogen lamps, to name a few features.
The Vxi version and the Euro 2, VX and AX come well
equipped with power steering and power everything. But the VXI
version is a step ahead as it has a rear defogger, a laminated
windshield and a number of extra add-on features such as
protective mouldings on the side.
Maruti Baleno
The Baleno has the looks
and feel of a winner. This was
Maruti Udyog's first D-segment
car launched in India to
compete with the Mitsubishi
Lancer and the Honda City.
This is also Suzuki's biggest passenger car and in Japan and
other markets. The Baleno is called the Cultus in Japan.
The Baleno is probably the best-equipped car in the market
today. It is available in two variants — one the base version and
the top-end Baleno Altura. Both are identical in almost every
30
aspect except that the Altura version is bigger and heavier and is
equipped with some standout features like grip assist, which is
there both in the front and the rear, electrically operated A/C
louvre switches, a rear windshield wiper and washer, roof rails,
foot rest and luggage hooks.
Other features present in both the models include a rear
defogger, third brake light, trunk lighting, rear safety belts and
the very useful 'key-not-removed buzzer.' By any standards, the
car is very spacious and here at last is one car that provides
ample legroom for the rear passengers.
The Baleno's 1.6-litre engine with 16 valves, multi-point-
fuel-injection, a hollow camshaft and distributor-less electronic
ignition is a gem. It is a SOHC unit where all four valves are
operated via rockers driven by a single camshaft. It gives 94bhp
at 6,000 rpm and a torque of 13.4kgm at 3,000rpm. The spirit of
the car is bottled in a highly responsive and fuel-efficient 1590cc
SOHC engine.
The Baleno is identical to the Honda City in length and
width though it is smaller than the Lancer and the Astra. The
Baleno's rectangular, meshed grille stands out from the
bodywork with its chrome border. The bonnet flows smoothly
around the grille area and blends into the bumper.
The Baleno is suspended on a fully-independent set-up,
with MacPherson struts, both front and rear. An anti-roll bar is
standard in the front. The suspension is mounted on a sub-
frame, which reduces noise, vibration and harshness levels.
The Baleno reaches 0-100 kmph in 11.13 seconds and a
top speed of 180 kmph and gives a mileage of 11.1 kmpl in
31
towns and 15.9 kmpl on highways. The Baleno is Maruti's first
upper-end model to compete with the Opel Astra, the Mitsubishi
Lancer and the Honda City. The Baleno is Suzuki's biggest and
most important passenger car.
Maruti 800
The Maruti 800 is the largest-selling car in India — and
with good reason. This car offers
the best value for money among
all Indian cars — combining ease
of driving, good fuel economy and
reliability.
Historically, it has the blessings of the government behind
it also. But the car's low-cost structure remains unmatched. No
manufacturer today, maybe not even Maruti Udyog itself, would
be able to make a car like the 800 today, at the same price.
Hence, the cost advantage of the indomitable 800 is the reason
behind its phenomenal success.
The Maruti 800, which enabled millions of urban middle-
class families to become first-generation owners of a four-
wheeler because of its affordable price, has seen several
improvements over the years — the main reason why it has
stuck around for so long.
The latest improvement in the Maruti 800 is the
introduction of a multi-point fuel-injection (MPFI) system to
meet new emission norms. The MPFI system is complemented by
a four-valve per-cylinder head and five-speed gearbox giving it a
level of performance very few cars in this segment can match. It
32
is also the most manoeuvrable car around. It's compact, nimble
and the easiest thing to drive in urban surroundings. Parking is
also not a problem for this baby.
For those wanting to save on fuel the Maruti 800 is the answer.
The increased power hasn't changed its fuel efficiency. It gives a
highway run of 21.9 kmpl, while in the city it gives 13.9 kmpl.
Maruti Gypsy
The Maruti Gypsy is
India's version of the Suzuki
Jimny, which was at one time
one of the best-selling four-
wheel drives in the world. The
Gypsy can go nearly anywhere,
though is not as solid a
workhorse as the Mahindra Jeeps.
But considering its size and weight, it is tough and can
take a lot of battering. As a personal four-wheel-drive car, it does
well as it is refined, better finished and is much easier to drive
than any Jeep. And it is also extremely reliable and, to a large
extent, trouble-free.
In India it is available in two Euro 2 variants — the HT and
the ST version. The HT version has features like fabric
upholstery and a fibre reinforced plastic top, while the ST
version has a foldable windscreen and a removable canvas top.
Apart from this the two are nearly the same as they both
give 80 bhp power @ 6000 rpm and come with a 1300cc engine
pulled by a torque of 103 Nm @ 4500 rpm.
33
Maruti Omni
The Maruti Omni Van is
basically a Japanese
commercial van that has been
converted with some
modifications into a passenger
vehicle. This is basically an
underpowered vehicle mainly
due to its excessive weight.
It is heavier than a car because its body is not
aerodynamic. Also due to its high stance it appears to be slightly
unstable. In high-speed crosswinds, the Omni becomes unstable
and shaky because its wheels are small and the centre of gravity
high.
The Omni also has a tendency to pitch and bounce on an
uneven terrain. The ride quality is also not up to regular
standards due to the suspension, which appears to be of leaf
spring lineage. However, manoeuvrability is very good for a car
of such dimensions and is far superior to that of the 800. Its
turning cycle, too, is better than the 800s.
In terms of space efficiency, the Omni beats the higher-
priced breed of small cars. The vehicle can accommodate five
passengers and stack their luggage easily. The rear sides offer
greater comfort with plenty of legroom and door-to-door carpets.
The sliding doors help in easy entry and exit when in a crowded
parking lot.
Maruti Versa
34
If you are looking out for a station wagon that you can
drive to work and also take out your
family and friends for a picnic, you can
safely reach out for the Maruti Versa, a
mini-van with the looks of a car.
The Maruti Versa, unlike the
Omni, has a fairly well-defined snout
with a three -groove grille. The bonnet, the headlights, the black
chin spoiler and the bumper with a huge air-intake capacity give
it a sporty look. It is an incredibly light car. Decked in a
conventional van layout, the Versa's engine is located under the
front seats.
Its bonnet houses the radiator and electric fan as well as
the AC condenser and reservoirs for the coolant, washer fluid
and brake fluid. The Versa uses disc brakes for the front and
also has a pressure-regulating valve.
The side panels are tastefully delineated with snazzy
graphics, which extend from the tail lamp to the front door. The
car employs the proven and ultra reliable 1298cc four-cylinder
SOHC of the Esteem. Maruti engineers have taken special care
to reduce noise, vibrations and harshness levels to acceptable
limits. They have also made appreciable efforts to improve safety
features in the car, and the monocque construction provides a
rigid safety cell with side impact bars to protect against frontal
impacts. Firm suspension settings ensure comfort and control.
The Versa's interiors have a familiar Maruti ring. The
interiors are tastefully done with brushed aluminium look,
though a substantial borrowing has been made from the Maruti
35
family parts bin to bring down costs. With a similar dashboard,
steering wheel and instrument panel, there is very little
difference between a Versa, the Alto or a WagonR. But the new
SDX version of the Versa has a leather-wrapped steering wheel
and metallic finished dashboard.
The SDX version is a seven-seater, while the base Versa
DX and the middle variant DX2 is an eight-seater. One can slide
and recline the front row seats to adjust space between the first
and middle rows. The SDX and DX2 versions of the Versa are
equipped with twin air conditioners — one in front and one at
the rear. The rear AC has independent controls and overhead
ducts.
The Versa is probably among the safest cars to drive.
Safety features include side-impact absorbing beams, front-
impact beams and a steel pipe frame in the rear seat. Height
adjustable head restraints, brake boosters and a collapsible
steering column are the other safety features.
The Versa boasts of a powerful 16-valve, 1298cc engine
generating 82 bhp at 6000 rpm, and controlled by a 16-bit
engine management system. The car also possesses higher
power to weight ratio not present in any other MUV. The Versa
can reach 100 kmph from standstill position in just 13.5
seconds.
Maruti Zen
The Zen is based on the
1991 Suzuki Cervo Mode, a
Japanese-market-only model.
36
The Maruti Zen was the first car by Maruti designed for the
worldwide market, with India being the only production hub.
The car's design and specifications are contemporary with world
standards.
In essence, the Zen, (sold as Suzuki Alto abroad) which
looks like an extremely well-fed Maruti 800, drives like a dream.
It offers more than adequate performance and is delightful to
handle.
The Zen was also the first Indian car to win accolades
abroad, being voted the best car in its category in Belgium and
the Netherlands in 1997 in addition to being the top car in the
UK in terms of operating costs in the same year.
Zen was the first car to have all-aluminium engine,
electronic distributor pump, electric fuel pump in the fuel tank,
suction resonator and a dash panel of sandwich construction.
Starting from the 993cc engine, developing 50bhp in carburetted
form and 58.5bhp in fuel-injected form, most of the power of the
Zen comes in at the higher reaches of the power band.
The five-speed ultra-slick gearbox in the Zen continues to
be one of best boxes in an Indian car. A collapsible steering
column is another safety feature present in all the variants of
the car. The Zen is available in four variants — the LX, VX, VXi
and D. A deluxe model has also just been launched; it boasts of
central wood finish console and suede leather upholstery.
Accessories in the car include, music system, sun visors
on both sides, front and rear assist grip, fabric upholstery,
power window and power steering is available in the VX and Vxi
variants.
37
Safety features in all the variants include: energy
absorbing collapsible steering column, side-impact door beams
in front and rear, child-proof locks on rear doors, rear
windshield wiper and washer, central locking and protective
mouldings on side.
Maruti Swift
Maruti Udyog, flush with
bookings for the new Swift, will
ramp up its production from 200
to 250-260 units per day,
starting 19 June. The plant will be shut for a week prior to that
for annual maintenance work.
Launched on May 25 in New Delhi, the Swift has also been
launched in several other cities since then, including Mumbai,
Ahmedabad, Hyderabad and Chennai. With an estimated 20,000
bookings, the car is booked for the coming three months or so.
Meanwhile, the company has already announced an increase in
prices for the car, marking the end of 'introductory pricing'
which Maruti's MD, Jagdish Khattar had alluded to at the
launch. As a result, all bookings effective 9 June will be made at
the new retail tags. While the base model LXi's price has been
increased by Rs 8,000, those of the VXi and ZXi have been raised
by Rs 10,000 each. Maruti has said the prices are for fresh
bookings and will not impact the estimated 20,000 bookings
already received.
38
The increases in retail price tags, barely two weeks after
the launch, will bring the Swift's price closer to that of its closest
competitor, the Hyundai Getz, prices of which start at around Rs
4.5 lakh. Sources said that while Maruti had indicated that
prices would change, the timing has come as a bit of a surprise,
as one would have expected the introductory pricing to be in
force for at least a month. According to other sources, Maruti
had not expected so many bookings, and the company wouldn't
mind the little extra breathing space if some potential customers
cancelled their bookings.
Maruti's sales in the first two months of this fiscal have
been down by about four percent, at an estimated 80,476 units
as against 84,050 units in the year-earlier period. Exports have
also fallen by 61 percent in this period. The company's volume in
the domestic A2 segment grew by 23 percent which is inclusive
of 2,981 units of the Swift, dispatched during May 2005. In the
A3 segment, Maruti's sales grew 48 percent during the month
compared to sales in the year-earlier period.
The company has laid the foundation stone of its new plant
at Manesar. The new plant will involve an investment of over Rs
3,200 crore, of which Rs 1,500 crore will be spent to build a new
car assembly plant and Rs 1,748 crore for a diesel engine
manufacturing facility for local consumption and exports.
Maruti 800 Days Are Numbered If…………….
1. The used or second-hand car
market in India is likely to become
more organized in future. The car
dealers will themselves deal with used
cars. It is expected that a used second
39
hand Indica, Santo, Astra or Cielo will be priced close to a
new Maruti 800. This could put a question mark on the
prevalent assumption that a large number of current two-
wheeler users in India will graduate to a Maruti 800 in
future with higher incomes.
2. An analysis of the world car market shows that no car
company in the world, with the expectation of the Japanese,
has a car in its range, which is directly comparable to the
Maruti 800. Contrary to popular belief, the Ford Fiesta, Opel
Corsa and the VW Golf would compete with Maruti Esteem or
Maruti Zen, and not with Maruti 800. All these cars, though
small by Western standards, are high-power cars which would
be priced in India in the luxury range. Given that only 30% of
the market is estimated for cars above 1000cc and with so
many companies already in the Indian market, the industry
seems to be heading for a shake out. The firms that would be
able to design and properly implement sound marketing
strategies are likely to be the winners.
3. The easy financing schemes are also posing threat to the
Maruti because customers can directly graduate to SEGMENT
B without having first time purchase at Maruti 800. Since car
purchase is India is a one time decision and people will prefer
to have one investment that will differ not very highly for
better features.
4. Diesel engine cars are also posing a big threat due to their
fuel cost differential since in India people do give a lot of
emphasis on fuel efficiency and price do play an important
role in this category. Huge success of INDICA in the sub
40
urban and rural areas is just an Indicator of the future so
Maruti 800 beware India is slipping out of your hands.
41
Research Methodology
The type decision and specification of a work or taste is as
important as its target and achievement.
The study of aimed to provide the comparative account
regarding the Total models of Maruti cars in the market. I found
out the position and condition of selected models and various
things. For this project survey, I made the questionnaire and
collected data from the journals, internet, and magazines.
Research:
Research can also be defined as scientific and systematic
search to time information for specific topic.
Problem Identification:
Define the problem chosen for investigation such as-:
(a) Analysis of after sales- services
(b) Analysis the level of customer – satisfaction.
(c) Market share of different brands etc.
Research design
“Research design is the basic framework which provides
guidelines for data collection and data analysis” the researcher
especially pin point that to carryout research properly.
1) How the data would be collected.
2) Which instrument for data collection would be used?
3) What sampling plan would be used?
42
The data collection methods are basically of these types-
observation, experimentation and survey. I used the survey
method of data collection because in the Market Research
method I can gather a wide range of valuable information on over
behavior of consumer for product.
Sources of information: through Primary & secondary Data.
Primary data: Primary data is that which data collect in new by
primary sources.
• Questionnaire
I used the survey method frank questionnaire with general
face-to-face interaction of consumers.
Secondary data: these data already exist in the companies
magazines.
I collect the secondary data from:-
• Magazines
• Journals
• Internet
• Annual Reports
Sample size: Sampling plan is to decide the population for
study. My total sampling for research is 100 for different areas of
Agra.
43
Customer Satisfaction
The Quality Advantage
Maruti Suzuki owners experience fewer problems with their
vehicles than any other car manufacturer in India (J.D. Power
IQS Study 2005). The M800 was chosen No.1 in the premium
compact car segment and the Esteem and Swift in the entry level
mid - size car segment across 9 parameters.
The J.D. Power APEAL Study 2005 proclaimed the Wagon
R no. 1 in the premium compact car segment and the Esteem
No.1 in the entry level mid - size car segment. This study
measures owner in terms of design, content, layout and
performance of vehicles across 8 parameters.
A Buying Experience like No Other
Maruti Suzuki has a sales network of 307 state-of -the-art
showrooms across 189 cities, with a workforce of over 6000
trained sales personnel to guide our customers in finding the
right car. Our high sales and customer care standards led us to
achieve the No.1 nameplate in the J.D. Power SSI Study 2005.
Quality Service across 1036 Cities
In the J.D. Power CSI Study 2005, Maruti Suzuki scored
the highest across all 7 parameters: least problems experienced
with vehicle serviced, highest service quality, best in-service
experience, best service delivery, best service advisor experience,
most user-friendly service and best service initiation experience.
44
92% of Maruti Suzuki owners feel that work gets done right
the first time during service. The J.D. Power CSI study 2005 also
reveals that 97% of Maruti Suzuki owners would probably
recommend the same make of vehicle, while 90% owners would
probably repurchase the same make of vehicle.
One Stop Shop
At Maruti Suzuki, you will find all your car related needs
met under one roof. Whether it is easy finance, insurance, fleet
management services, exchange- Maruti Suzuki is set to provide
a single-window solution for all your car related needs.
The Low Cost Maintenance Advantage
The acquisition cost is unfortunately not the only cost you
face when buying a car. Although a car may be affordable to buy,
it may not necessarily be affordable to maintain, as some of its
regularly used spare parts may be priced quite steeply. Not so in
the case of a Maruit Suzuki. It is in the economy segment that
the affordability of spares is most competitive, and it is here
where Maruti Suzuki shines.
Lowest Cost of Ownership
The highest satisfaction ratings with regard to cost of
ownership among all models are all Maruti Suzuki vehicles: Zen,
Wagon R, Esteem, Maruti 800, Alto and Omni.
We are proud to have the lowest cost of operation/km (among
petrol vehicles) - the top 6 models are all Maruti Suzuki models:
Maruti 800, Alto, Swift ,Zen, Omni and Wagon R.
45
Marketing Research
Marketing managers often commission formal marketing
studies of specific problems & opportunities. They may request a
market survey a product preference that a sales forecast by
region or an advertising evaluation.
Marketing research is the systematic design, collection
analysis and reporting of data and findings relevant to a specific
marketing situation facing company.
Marketing research as a systematic gathering recording
and analyzing of data about problems relating to marketing of
goods and service.
Generally, in India, accuracy and reliability is lacking in
most marketing research investigation. Let us take the example
of advertising media like newspaper, TV. Etc., giving
advertisements. Without a clear methodology and objectives
(research design), the researcher cannot adopt a particular track
for conducting research.
Zaltman & Burger (1975) define marketing research as the
field which involves the diagnosis of information needs and the
selection of relevant interrelated variables about which valid and
reliable information is gathered, recorded and analyzed.
The nature of marketing research can better be understood
if we explain it from seven points of view, viz.
46
1. As an economic resource
2. As a system of authority
3. As an activity of marketing management
4. As team effort
5. As an art or science
6. As a profession
7. As an interdisciplinary
A wide range of research activities is covered by the mktg.
Research. For our convenience, we can put these activities in to
seven categories viz.
1. Product and service research.
2. Market research.
3. Promotion research
4. Distribution research
5. Pricing research
6. Corporate responsibilities research
7. Miscellaneous research
Business executives are becoming increasingly dependent
upon marketing research. The increasing importance of
marketing research is based on the following three trends: -
1. Shift from the local to national and international market.
2. Transition from consumer needs to consumer wants.
3. Shift from price competition to non-price competition.
47
MARKET SEGMENTATION
The Indian automobile market is still in its evolutionary or
early growth stage. Therefore, no fixed or widely accepted
method of segmenting the market has evolved as yet.
Segmentation has mostly been done on product types or price
ranges. There has hardly been any kind of segmentation on
psychographic or behavioral parameters as seen in developed car
markets. The segmentation provided in this paper is based on an
understanding of the current state of the industry. These
segments are quite different from the segments known in the US,
European or Japanese markets. The following segments based
on price and type of car has been identified:
Segment A:
Economy segment, comprising cars priced less than RS
250,000 and in this category Maruti 800, Maruti Omni and
Alto are major players with Maruti 800 as undisputed market
leader.
Segment B:
Mid-size segment, comprising cars in the RS 250,000 and
Rs. 450,000 price bracket, e.g., Maruti Zen, Maruti Alto, Swift,
Tata Indica, Matiz, Hyundai Santro and Fiat Palio are major
players.
Segment C:
Premium segment, comprising cars priced at higher than
Rs. 450,000-1,000,000 e.g., Maruti Esteem, Tata Sierra,
48
Peugeot 309, Opel Astra, Cielo, Ford Escort, Mitsubishi
Lancer.
Segment D:
Luxury segment, comprising cars priced at higher than RS. 10,00,000 e.g., Mercedes-Benz, BMW, and Audi.
POSITIONING
Since the Indian car market is in a state of flux, the
positioning of most companies in the consumer's mind appears
to be confused. However, the companies have developed image-
based positioning strategies for their brands.
Some of them are
•Maruti: Small Complete Car with Value for money concept.
•General Motors Opel (GM) – German engineering
•Daewoo - Family car
•Honda - superior engine performance.
•Peugeot - sound-free diesel engine
•Ford - smooth drive
•Indica - more car per car
SUPPLIER
There are about 6,350 small and large component
manufacturers in India, out of which about 350 are in the
organized sector and are registered with the Automotive
Components Manufacturers Association. There is a sizeable
replacement market for parts and components, but this market
is heavily dominated by manufacturers who sell unbranded
products at very low prices.
49
ADVERTISING & COMMUNICATION
Advertising in the Indian passenger car industry hardly
existed till the onset of competition. Today however, the industry
is one of the highest spenders on advertising among consumer
durables. Advertising has been concentrated to the print media.
The company also recognizes that effective PR exercises would be
a critical component of its marketing efforts in future.
Recognizing this now companies are focusing on lot of
competitive advertising in which the features essential or new
value adds are compared extensively. Maruti is on its drive for
the big time LEADERSHIP FACT advertisement campaign
working on ten core strengths of Maruti. This campaign has
been extensively launched through out India with Print Media.
50
VISION AND VALUES
VISION
“The leader in the Indian Automobile Industry,
creating customer delight and shareholders’ wealth; A pride
of India.”
VALUES
• CUSTOMER OBSESSION
• FAST, FLEXIBLE & FAST MOVER
• INNOVATION AND CREATIVITY
• NETWORKING AND PARTNERSHIP
• OPENNESS AND LEARNING
HR VISION
Lead and Facilitate continuous change towards
organizational excellence; create a learning and vibrant
organization with high sense of pride amongst its members.
CULTURE BUILDING INITIATIVES SINCE INCEPTION
Japanese Management philosophy of Team Spirit
•Common uniform
•Open office
•Common Canteen
•Open Office – Easy accessibility, Speedy
•Communication and decision making
•Morning Meetings
•Morning Exercises
51
TRAINING & DEVELOPMENT
• Annual Training Plan - All Levels
• Topics selected based on Vision, Values & Departmental
Feedback of Company-wide Managers
• Technical Training on latest Technologies abroad at SMC, Japan
52
Maruti Dealer Network
Maruti dealer network is one of
its greatest strengths and it
score over many manufacturers
due to this strength only. It also
form part of its communication
strategy by giving advertisement
related it its service centre
coverage. “Maruti service
station Hai Kya” This
network give it a give advantage
over companies like FIAT that are ailing from poor service centre
coverage and has to bear huge losses due to lost sales. The
company has set up a committee of directors to negotiate with
the 375-odd vendors on a regular basis in order to reduce costs
and improve productivity, both within and outside the company.
The latest Leadership Fact campaign launched by the Maruti
as part of promotion strategy (copies attached at the end of
report) is also laying a lot of stress upon the service
dependability of Maruti supply chain and its service network.
53
MARUTI AUTHORIZED SERVICE STATIONS (MASS)
54
MARUTI AUTHORIZED SERVICE STATIONS (MASS)
• A. NICOBAR • ANDHRA PRADESH• ARUNACHAL PRADESH• ASSAM • BHUTAN• BIHAR • CHANDIGARH• CHATTISGARH• DADRA & NAGAR
HAVELI• DELHI• GOA• GUJRAT• HARYANA• HIMACHAL PRADESH• JAMMU & KASHMIR
• JHARKHAND• KARNATAKA• KERALA• MADHYA PRADESH• MAHARASHTRA• MIZORAM• MEGHALAYA• NAGALAND• ORISSA• PUNJAB• RAJASTHAN• TAMIL NADU• UTTAR PRADESH
o NOIDA
CITY MOTORSC-2 SECTOR 63
AUTO POINTC-107 SECTOR-2
NODIA CAR SCANA-58 SECTOR -16
55
Better Service Quality
Your Maruti is an automotive marvel and the pride of millions of owners. Every component is specially designed to deliver unmatched Performance, safety & Comfort. Be it Maruti Genuine Parts or any part. But no part, no matter how stringently engineered, is designed to last forever. So should the need for replacement ever arise, beware of spurious spares.
These cheap imitations lead to expensive consequences, both to previous lives and machine. Frequently burden your pocket with sleep fuel and maintenance bills. Reduce your prized possession to a piece of junk. You bought stallion. Why get saddled with a mule?
You are guaranteed outstanding performance with Maruti Genuine Parts. Performance that comes from genuine parts, made to the standards of the originals fitted in every new Maruti. These are authenticated by Suzuki Motor Corporation & Maruti Udyog Ltd. Moreover, MPFI vehicles which give you better performance require even better care, especially in terms of usage of Maruti Genuine Parts.
There are two type of service process 1. Directly2. External
56
Post service follow up process
After 3 days information given by
service adviser
After 6 days handle by customer care
executive
Till 60 days the information given to the customer
Dissatisfied register handle by c.c.m follow up pick up or on spot repairing
Customer docket file*Customer complaint *Vehicle history *Job card copy *Letter communication*Customer complaint report *Satisfaction note
If Satisfied, thank you letter is to be send
57
Format -1
INSTANT FEEDBACK CARD PROCESS
58
Format -2
MARUTI SERVICE QUALITY STANDARD CARD
59
60
MARUTI SERVICE QUALITY STANDARD
Maruti
Honda
Genral Motor
Fort
61
Format-3
CUSTOMER SATISFACTION CARD PROCESS
Thank You for getting your car servicedat out workshop. We would lie to know how we performed. Please spare a few moments to give us your valuable feedback on the following as it will help us in improving our services.
Please put a tick mark(√ ) in the appropriate box.
Excellent Good Average Unacceptable
1. Delivery of vehicle on time.
2. Availability of spare part for the service.
3. How much time is taken to repair the vehicle by our.
4. Behaviors of staff during servicing of vehicle.
5. Ability of staff to understand problem with vehicle.
6. Work done at delivery and details of expenses.
7. Getup of vehicle and its clearness
8. Mode of payment.
9. All the necessary repairs done.
10. What kind of feedback is asked form u after service.
11. Facility of service and maintenance.
12. After service whether the information has been collected form you.
13. What did they informed you after service.
14. Rule of service change.
15. Please described the whole mode of the service center work.
As per your satisfaction would you like to suggest any one about our workshop for the service. Yes No Maybe Never
62
CUSTOMER SATISFACTION SURVEY
In customer satisfaction Maruti Udyog Ltd. is No. 1 from last 7 yrs. Their current customer satisfaction index is 96.4%. they were trying hard to raise customer satisfaction index up to 100%.
0
20
40
60
80
100
120
Maruti GeneralMotor
Honda Ford Tata
63
SURVEY
One of the most common and widely used primary data
collection methods is survey. With use of survey, we can gather a
wide range of valuable information on overt behavior of the
consumer, viz, attitudes motive, and opinions. The earlier two
methods (observation and experiment) are not capable to yield
such information. The primary data, using any of these three
above mentioned method can be collected from any population
comprised any type of respondent group like customers,
middlemen, competitors, salesmen, company employees, etc.
Surveys are best suited for descriptive research.
Companies undertake survey to learn about the people’s
knowledge, belief, preferences, and satisfaction and to measure
there magnitudes in the general population.
64
MARUTI SWOT ANALYSIS
STRENGTH
•Early mover Advantage
•Established supply chains and dealer networks.
•Strong brand names
•Good reputation among customers
•Cost advantages from Economies of scale.
•Muscle power in government policies.
•Wider service network.
•Better service quality.
WEAKNESS
•Lack of in house R&D spending.
•Reactive in launching new models
•Cost advantage in Maruti 800 segment going down.
•No presence in diesel engine segment which is gives post
purchase fuel economy.
•Disinvestment policy ambiguity is playing on future strategies.
65
THREAT
•Shifts in consumer tastes away from the firm's products.
•Emergence of substitute new models by competitors.
•Disinvestment process getting slower and decreasing efficiency.
•Maruti 800 sales going down which is star performer of company till
now.
•Government decreasing custom duties on second hand and imported
cars.
•Tata Indica and Hyundai getting hold in medium size segment.
OPPORTUNITY
• New car can be launched.
• Battery Cars with low price.
• Disinvestment and Suzuki gaining full control.
• Diesel variants of new cars.
• Huge installed capacity can be used for exports from India.
• Rural customers can be graduated from scooter to entry level
Maruti 800.
• Rising middle class income.
• Financing options
• Second hand car sales market
• Auto parts market
66
SCM STRATEGIES
SCM strategies:
It encompasses all processes from `Mother earth to point of sale'. Seamless flow of material and information is the key for supply chain. This helps in reducing inventory which in turn leads to low costs and increases flexibility, improving price-value offerings. This resulted in reducing the indigenous inventory level at MUL to 2.9 days in1998-99 from nine days in 1995-96.
Material handling and storage:
This is being effectively managed by using recyclable packaging with plastic bins and metal trolleys. This has done away the job of unpacking the supplies at the factory unit. It also aids decentralized unloading near the assembly line and uses gravity conveyors using no electric power or manpower.
Extended enterprise:
MUL developed a long-term relationship with the vendors by looking at them as extended enterprises. It trusted its vendors to the extent of asking them to do self-inspection of parts supplied by them and by not going in for a second quality check at the factory point. This has resulted in minimizing duplication of work and thus avoiding performance of non-value adding activities.
Vendor selection:
Much attention has been paid by MUL in the selection of its vendors as most of them have been identified as OEMs avoiding Tier-I category. This has led to an effective percolation of all SCM practices across the organisation.
Modularization:
67
This has been the key area of focus for MUL. It encouraged proximity warehousing by locating most vendors near by the factory unit at Gurgaon. Modularization of vendors has helped MUL in addressing the specific problems of a particular set of vendors.
Material transportation:
This is the most tangible form of logistic cost and this has been achieved by a milk-run system. This unique method of pooling supplies of various vendors of one area in a truck has resulted in a drastic cut in this cost. MUL identified the vendors located in a particular area, classified their production pattern and achieved transportation of supplies from them at one go.
Delight customers:
By providing better price-value offering. This can be achieved by re-engineering and re-configuring processes that reduce costs. At Maruti, this has been successfully achieved by adhering to kaizen principles diligently.
E-solution:
The maker of the little car that marked the beginning of a new revolution in the auto sector, this homegrown system was extended to its sales and dealer network through an email-based ordering system with about 250 outlets. For instance, if a dealer has to place an order, he generates it in his own machine with all the specifications (e.g. color, model etc) and sends it through an email to Maruti. The system there automatically checks the order, classifies it accordingly and sends it to the respective database.
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RECOMMENDATION
1. Baleno which has been ranked first should launch some upper
grade variants of this car because it is not being widely endorsed
by upper income group.
2. Esteem and Baleno should taken corrective measures for
technological up gradation, to improve their performance such
as- fuel efficiency, low maintenance and quality standard up to
customer expectation.
3. Non personal tools have an impact in buying criteria of the
customer where luxury car market as whole should take correct
measure to improve their advertisements so that they may seem
nubile, bairy and fun crazy to influence the decision process of
buyers.
4. M800 and Omni are required to take some steps to improve their
looks.
5. Discount scheme has no effect in buying decision in case of Alto
and Esteem hence they should make their discount scheme
attractive survey and customer.
6. Maruti should broaden their sales services, network and spare
parts availability because it is prime criterion of buying process.
7. Baleno although has been ranked no 1 car it as luxury car, has
unsuccessful to rated customer mind and perception as far as
lack of the car are concerned, hence it should take measures to
give its size and shape new look.
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LIMITATION OF THE STUDY
1. The educational & awareness level of the respondents with
respect to the questionnaires is low. Hence they respond
one question in affirmative, but same interrelated question
has been responded in negative.
2. The sample – plan is too small to give the research a wide
coverage with reference to their opinion.
3. Sample–plan is Noida specific. Hence it may show
imbalances of urban elite perceptions.
4. The respondent include those people who has car (but not
a specifically a luxury car) and hence, their opinion could
be based with the lower income group.
5. The respondents are not interested to reveal their income
level. Causing a hurdle in finding out the price as a buying
decision.
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FINDING & INTERPRETATION
1. When I surveyed the consumer, then I found that people
below 1,00,000 income group is preferred 32.50% Maruti800,
3.84% Omni and 02.66% Maruti Zen. Esteem is not preferred
by the below income group.
2. 1,00,000-3,00,000 income group preferred 25.84% MZen,
40.52% WagonR and 11.52% Alto. in the above 300000
income group preferred 3.84%baleno, 50.84% Swift, 11.52%
WagonR and 7.68% MZen.
3. Newspaper are most affective advertisement mode. The baleno
got 26.88%, city 15.36%, safari 11.52% and Siena 3.84%. In
the TV section, only city got 7.68%. in the magazine
effectiveness the baleno got 3.84%, city in nil, safari 15.36%
and siena 11.52%. only safari got the 3.84 of the survey
report mode of advertisement.
4. In the rate of effectiveness of different sale promotional
activities, in the warranty section, baleno has 11.52%, city
3.84%, safari 7.68% and 3.84%. in price scheme section,
5. 68% baleno, 3.84%, city, 3.84%safari and 11.52% Siena. In
guarantee section11.52 % baleno, 7.68% city, 15.36 % safari
and 3.84% Siena. In discount scheme section safari and city
got the response. The percentage is 3.84% city, 3.84% safari.
6. The most satisfying after sale services is Maruti baleno , after
this safari than the city and Siena
7. In the suggestion of other section, I found out that the Maruti
baleno take the lead to his competitors.
8. On the basis of these finding we concluded that the baleno got
the first ranking among its competitors. The reasons behind
that the baleno is the Maruti’s product, after sales services
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are more satisfying, easy availability of spare parts, price and
looks.
9. The most satisfying better services quality provided in Maruti
service centers.
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SUMMARY AND CONCLUSION
After analyzing the questionnaire and studying the facts
available in the magazines. I can conclude that there is no
controversy to tell that Maruti Udyog Ltd is still the undisputed
king in cars market to have a market share of 55%. But the
times are now coming, consumers perceptions are also changing
at a great pace.
In the market share of 56% of Maruti, there is a great
contribution of Suzuki, when Maruti have no strong competitor.
But trends have changed now.
After coming of Honda and Tata, people have a good choice
due to changing needs and demands of general people. They
bring new concept in cars regularly. It provides good quality in
various aspects.
Age Factor: As being the oldest company Maruti have 56%
market share in cars, but if we consider the age factor we find
that other companies improved their position in four wheeler
market.
Class : Maruti have a good market share in lower income group.
Because, the people of this income group have no choice
Maruti800, Maruti Zen, and Alto are the popular brand in this
segment. Because the four wheeler is a success while the higher
income group is considers four wheeler is a necessary thing to
these people but it also maintain their nature.
The highest income group’s need is different. Small cars
are not a necessity to them. These people prefer, generally costly,
good things according to there prestige.
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After sales service:
We all know that the productive and endorsements of the
four wheeler is quite high, so it is difficult to maintain their
quality of after sale services thus it becomes much more
important for the company to have a step head of its competitor
by providing better after sales services. This can help the
company to increase it sales and also to make a customers
brand loyalty.
In four wheeler market after sales services works as a
advertising tool.
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BIBLIOGRAPHY
In order to prepare my research project report, I have gone
through these books & magazines:
• Philip Kotler : Marketing Management
• Ramanuj Mazoomdar : Product Management in India
• A & M
• News Papers
• Business Today.
• www.marutiindia.com
• www.marutisuzuki.com
• www.autocarindia.com
• www.marutiudyog.com
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QUESTIONAIRE
NAME:-……………………………………………………………..
ADDRESS:-………………………………………………………….
CONTECT NO…………………………………………………….
Q - 1:- Do you have a four wheeler?
(A) YES [ ]
(B) NO [ ]
Q – 2:- If yes, which company do you have?
(A) Maruti [ ]
(B) Tata [ ]
(C) Hyundai [ ]
[D] Honda [ ]
Q – 3:- Specify the print media which influenced you most in
buying it?
(A) NEWSPAPER [ ]
(B) TV ADS & MOVIES [ ]
(C) OTHERS [ ]
Q – 4:- Which features of four wheeler affected your buying
decision?
(A) LOOKS/STYLE [ ]
(B) MAINTENANCE/MILAGE [ ]
(C) PICKUP/POWER [ ]
(D) RE-SALE VALUE [ ]
(E) PRICE [ ]
(F) AFTER SALES SERVICE [ ]
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Q –5:- To which income group you belong?
(A) BELOW Rs. 1, 00,000 [ ]
(B) Rs. 1,00,000- 3,00,000 [ ]
(C) Rs. 3,00,000- 700,000 [ ]
(E) Rs. 700,000 - ABOVE [ ]
Q –6:- Are you satisfied with the price of your four wheeler?
(A) YES [ ]
(B) NO [ ]
Q –7:- Are you satisfied with its performance?
(A) FULLY SATISFIED [ ]
(B) PARTIALLY SATISFIED [ ]
(C) UNSATISFIED [ ]
Q –8:- Are you satisfied with its after sales services?
(A) YES [ ]
(B) NO [ ]
Q –9:- How will your rank your car features? Please use the
following rating scale.
(A) MILAGE [ ]
(B)POWER/PICKUP [ ]
(C)PERFORMANCE [ ]
(D)LOOKS/STYLE [ ]
(E) MONEY VALUE [ ]
(F) GOOD WILL [ ]
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Q -10:- What major problems (Demerits) do you face with your
car?
(A) LOOKS/STYLE [ ]
(B) HEADLIGHTS [ ]
(C) HORN [ ]
(D) SEAT [ ]
(E) BREAKING [ ]
(F) SUSPENSION [ ]
Q –11:- Will you advice other to buy a particular brand of four
wheeler?
(A) YES [ ]
(B) NO [ ]
Q –12:- Are you willing to buy another brand four wheeler?
(A) YES [ ]
(B) NO [ ]
Q –13:-Are you satisfied with its services quality?
(A) YES [ ]
(B) NO [ ]
Q –14:-Lastly, do you need any improvement in your car? Please
give your suggestion.
…………………………………………………………………………….
…………………………………………………………………………….
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