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Project report
On
UNDERTAKEN IN
( 2007 – 09)
Roll No- 22
1
CERTIFICATE
This is to certify that Km. Krishna Jaiswal, Roll No. 22 of MBA is a Bonafide regular
student of Seth Padam Chand Jain Institute of Commerce Business Management &
She has completed the summer training project report entitled “PROCESS OF HOME
fulfillment for the award of MBA degree under B.R. Ambedkar Agra University Agra
U.P.
Executive Director
2
CERTIFICATE
This is to certify that Km. Krishna Jaiswal, Roll No. 22 of MBA is a Bonafide regular
student of Seth Padam Chand Jain Institute of Commerce Business Management &
She has completed the summer training project report entitled “PROCESS OF HOME
fulfillment for the award of MBA degree under B.R. Ambedkar Agra University Agra
U.P.
Project Supervisor
3
DECLARATION
I hereby declare that I have carried out Summer Training Project on the topic
entitled “Process of Home Loan Financing by Bank” at Seth Padam Chand Jain
I further declare that this project work is based on my original work and no part of
Krishna Jaiswal
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CONTENTS
Acknowledgement
Executive Summary
Theoretical Concepts
Research Methodology
Recommendations
Bibliography
Appendix
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ACKNOWLEDGEMENT
Management & Economics, Agra is highly greatful to all those who guided me in
First of all, I would like to pay my heartiest thanks to especially Mr. Naveen
Last but not the least, I would like to thanks all faculties of SPCJ Institute of
Commerce Business Management & Economics, Agra, who gave me the useful tips
and suggestions regarding project. I would like to thanks my project supervisor, Mr.
Words can never express the deep sense of gratitude, I feel for our MBA
Coordinator, Mr. Neeraj Gupta, who has been a constant source of inspiration and
KRISHNA JAISWAL
MBA-3rd SEM.
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EXECUTIVE SUMMARY
7
EXECUTIVE SUMMARY
Summer training is an integral part of MBA program it helps the student to understand
choose HDFC Bank Ltd. Gorakhpur For my training, which is hard core financing
company.
In the summer training my project topic was “Customer Profiling and Purchase
Parameters”. My project aim to know the factors which influences the purchase decision
Maruti udyog limited (MUL) was established in feb.1981 through an act of the
parliament to meet the growing demands of personal modes of transport caused by the
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
practices.
A license and and a joint venture agreement was signed between Govt.of India
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My objective in this two months summer training is to study the factors which
vehicles.
to find out the general impression of customer towards maruti Suzuki and
analyze its problems and find out possible solutions to rectify their problems
Purpose
India. This report also aims aligning the MARUTI SUZUKI practices, with the best
Methods
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THEORETICAL CONCEPTS
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THEORETICAL CONCEPTS
MARKETING MIX
Marketing Mix means to collect and mix the resources of marketing in the manner that
objects of the enterprise may be achieved and maximum satisfaction may be provided to
the consumers. The term marketing mix is used to describe a combination of four
elements – the product, price, physical distribution and promotion. These are popularly
known as “Four P’s”. A brief description of the four elements of marketing mix (Four
P’s) is.
Product : The product itself is the first element. Products most satisfy
consumer needs. the management must, first decide the products to be
Price : The second element to affect the volume of sales is the price. The
market or announced amount of money asked from a buyer is known as basic
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Place : Physical distribution is the delivery of products at the rights time and
at the right place. The distribution mix is the combination of decisions relating
Marketing Mix
Place
Product Price Promotion Channels
Product variety List price Sales promotion Coverage
Quality Discounts Advertising Assortments
Design Allowances Sales force Locations
Features Payment period Public relations Inventory
Brand Name Credit cards Direct marketing Transport
Packaging
Sizes
Services
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Consumer Behaviors
Buying Behaviour is the decision processes and acts of people involved in buying and
using products.
Need to understand:
Consumer Buying Behaviour refers to the buying behaviour of the ultimate consumer. A
Buyers' reactions to a firms marketing strategy has a great impact on the firm's
success.
The marketing concept stresses that a firm should create a marketing mix(MM)
that satisfies (gives utility to) customers, therefore need to analyze the what,
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Marketers can better predict how consumers will respond to marketing strategies.
CONSUMER BEHAVIOR
Consumer behavior is the study of the behavior of consumers, when they go to purchase
Buying Motives
A motive can be defined as a drive or an urge for which an individual seeks satisfaction.
It becomes a buying motive when the individual seeks satisfaction through the purchase
of something.
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Cultural Factors : Culture, subculture, and social class are important in buying behavior.
behavior through his or her family and other key insinuations. A child growing
Stratification sometimes takes the form of a caste system where the members
of different castes are reared for certain roles and cannot change their caste
membership.
influenced by such social factors as reference groups, family, and social roles
and statuses.
1. Reference Groups : A person’s reference groups consist of all the groups that have
society, and it has been researched extensively. Family members constitute the
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most influential primary reference group. We can distinguish between two
organizations. The person’s position in each group can be defined in terms of role
and status.
A buyer’s decisions are also influenced by personal characteristics. These include the
buyer’s age and stage in the life cycle, occupation, economic circumstances, lifestyle
Age and stage in the cycle : People buy different goods and services over a
lifetime. They ear baby food in the early years, most foods in the growing and
mature years, and special diets in the later years. Taste in clothes, furniture
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Lifestyle : People from the same subculture, social class and occupation may
lead quite different lifestyles. A lifestyle is the person’s pattern of living in the
Personality and self – concept : Each person has a distinct personality that
attitudes.
(i) Motivation : A person has many needs at any given time. Some needs
situation.
(iii) Learning : When people act, they learn. Learning involves changes in
reinforcements.
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Beliefs and Attitudes : Through doing and acquire beliefs and attitudes. These in turn
influence buying behavior. A belief is a descriptive thought that the person holds
about something.
Six Stages to the Consumer Buying Decision Process (For complex decisions). Actual
purchasing is only one stage of the process. Not all decision processes lead to a purchase.
All consumer decisions do not always include all 6 stages, determined by the de2ree of
marketer through product information-- I.E., see a commercial for a new pair of shoes,
2. Information search-
External search if you need more information. Friends and relatives (word of
buyer wants or does not want. Rank/weight alternatives or resume search. May decide
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that you want to eat something spicy. If not satisfied with your choices then return to
the search phase. Can you think of another alternative? Look in the yellow pages etc.
5. Purchase May differ from decision, time lapse between 4 & 5, product availability.
Dissonance, have you made the right decision. This can be reduced by warranties,
information about a certain products and brands but virtually ignores others.
others, and the higher the risk the higher the involvement. Types of risk:
Personal risk
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Social risk
Economic risk
frequently purchased low cost items; need very little search and decision effort;
purchased almost automatically. Examples include soft drinks, snack foods, milk
etc.
computers, and education. Spend a lot of time seeking information and deciding.
Information from the companies MM; friends and relatives, store personnel etc.
In order to produce successful ads, you must give people exactly what they want.
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This article will teach you why people buy the things they do so you can design
Marketing
Stimuli Other Stimuli
Product
Price Economy
Place Political
Promotion Cultural
Technological
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STAGES OF CONSUMER BUYING PROCES
Problem
recognition
Information
search
Evaluation of
alternatives Purchase
decisions
Post purchase
behaviour
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CONSUMER BUYING BEHAVIOR
Few differences
between brands
Dissonance-reducing Habitual buying
buying behaviour behaviour
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INTRODUCTION OF
THE PROBLEM
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Introduction of the problem
Its needs to be emphasized at the very outset that there is no unified, tested, and universally
established theory of buyer behaviour.what we have today are certain ideas on buyer behaviour
.some of these ideas have taken their cue from economics,others from psychology,and yet
others have drawn simultaneously from several of social sciences. Thus it is an attempt to study
the consumer behaviour with the helps of some marketing concept. Under the two month
summer training on the project,” customers profiling and purchase parameter” I have to analyse
all the factors which influences the purchase pattern of a customer and all the factors that are
In maruti szuki,I have to notice all the factors which attract the customers and also have a close
eye on the maketing strategy of the rival.though the span of two month is not a long time to
covers all the areas of Gorakhpur,however best effort have been made to make the report a
original one. Thus study has been undertaken to know what are purchase parameters of
customers or what are the main criteria, which a customer takes into considerations before
making any purchase decisions. No doubt automobiles industry has been increasing rapidly, but
the main fact is that how these industry are satisfying customers in case of personal mode of
transport,in these category maruti Suzuki is a leading name not nly in India but also all over
the world.
I face certain problems while completion of my project work which affected my report to a
extent but even then I made my full effort to prepare and present effective report.
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Problems are :
Prickly heat season affected my working capacity, and restricted me to cover distant
area entirely.
Few Customer did not exhibit any interest to fulfill the questionnaires and
interviews.
It was not simply a questionnaires rather it also involves direct communication with
the Customer as interviewing them, which was tedious as well as time consuming.
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Scope And Importance
Of The Study
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Scope And Importance Of The Study
The project aims to get the student out of the classroom and into the real world of companies/
competitors, markets, managers and customers. The project aims to get the student out of the
passive mode of heavy lectures, hearing about other people last experience and into the active
mode of theories for themselves in solving real problems in real and live companies. Describing
the scope of particular project has different dimensions as it reveals different crisis situation and
its solution; it is both way beneficial for researcher and for the manufacturer, service provider or
the company.
Doing a good research involves collecting data from the genuine resource with proper
implication that leads to the company for future orientation. Experience is a child of Thought
and the Thought is a child of Action. An experience is a name every one gives to their mistakes.
For a researcher, it opens the way for walking into experiences. The ultimate goal of a research
is enormous with its true sense. Physically and practically, it shows the potential for the
Scope:
1. The scope of project was to collect data from the selected area of
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2. The scope of the project help in analyzing the factors, which influence the buying
behaviour of consumers.
3. The scope is such that the study has been conducted by taking samples
4. The result obtained can give an overview regarding the choice and
and service.
6. The study can be help full in portray the role played at each levels in
different areas.
7. The study can also provide the idea about the market strategy adopted by
company.
Importance of Study:
The main purpose of study is to know the purchase parameters of consumer regarding
MARUTI SUZUKI cars. The survey was conducted in GORAKHPUR area not all but only
some parts have included for survey. Due to shortage of time it was not possible to cover the
whole areas. The customers of these areas were targeted to get the full information about the
products. The interaction with the customers was through direct meeting, Phone calls were used
for appointments with customers. Thus the scope of the study was completed with the time and
resources available.
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OBJECTIVE OF
THE STUDY
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OBJECTIVE OF THE STUDY
To know the factors which influences a customers to make their purchase decision.
To examine the factors which forces a customer to purchase other company cars.
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RESEARCH
METHODOLOGY
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RESEARCH METHODOLOGY
The nature of my research is exploratory research. It’s goals to shed light on the real
nature of the problem and to suggest possible selection and its involves number of steps.
Management must define a problem in broader way. Because it is said that defining the
problem is half solved and the objective of my research is to study the consumer
The second stage of marketing research calls for developing the most efficient plan for
gathering the needed information. Designing the research plan calls for decision on the
data sources, Research Approaches, Research Instrumental, Sampling Plans & Contact
Methods.
I have collected my research data from secondary as well as primary sources from
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Primary Data
primary data are those data which are collected for the first time and are fresh and thus these
Mostly in marketing research involves some primary data collection by the questionnaire
Secondary Data
Secondary data are those which have already been collected by some one else and which have
already been passed through statistical process. Secondary data was collected by the books and
websites.
(b) Research approaches Primary data can be collected into five ways – observations,
focus groups, survey, behavioural data & experiments and here I have used survey
research.
TARGET MARKET
The target market of our study was mainly concentrated to the recent car buyer's and the survey
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METHODOLOGY
The tool used for this research is questionnaire, administered and filled by interviewees. The
questionnaire was typed and presented to respondents in an arranged manner. In this process the
personal interview came very handy in explaining the respondents the exact list of questions or
if they face any problem while answering the questionnaire or in clarifying any confusion they
had. Personal interviews provided flexibility in the sense that the researcher was able to provide
2. Maximum questions are of multiple choice questions and there can be more than one
3. The comments and suggestions were open-ended questions so that the respondent could
4. The size of the questionnaire is not too long. This is to make the job feasible both for the
THE RESEARCH
Aim: The aim of the research was to study the factors, which a customer perceives in a car and
the sources as well as the knowledge, which the consumer employs in gathering information for
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Universe: The universe means the set of objects or population among which the research is to
be conducted. The universes of this task constitute all the people who have recently purchased
their cars.
Sampling Procedure: The sample design adopted was questioning buyers at the point of
purchase.
RESEARCH
Research in common parlance refers to a search for knowledge. One can also define research as
a scientific and systematic search for pertinent information on a specific topic. In fact research is
an art of scientific investigation. The advance learner’s dictionary of current English lays down
the meaning of research as “a careful investigation or inquiry especially through search for new
OBJECTIVE OF RESEARCH---
The purpose of research is to discover answers to questions through the application of scientific
procedures. The main aim of research is to find out the truth which is hidden or which has not
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The main objectives of research are as follows
To determine the frequency with which something occurs or with which it is associated
RESEARCH PROCESS—
Research process consists of series of actions or steps necessary to effectively carry out research
and desired sequencing of these steps. And the process of research can be defined by following
steps-
Collection of data
Execution of project
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Analysis of data
Testing of hypothesis
Interpretation
Preparation of report
Research problem can be formulated on the basis of nature and variables. Initially the problem
may be stated in a broad way and than the ambiguities, if any, relating to the problem be
resolved. Then the feasibility of a particular solution has to be considered before a working
formulation of the problem can be setup. Essentially two steps are involved in formulating the
research problem, viz, understanding the problem thoroughly, and rephrasing the same in to
The best way of understanding of problem is to discus it with once on colleagues or with
those having some expertise in matters. In the academic institution the researcher can seek the
help from a guide who is usually an experienced man and has several research problems in
Once the problem is formulated, it becomes compulsory for a research worker writing a
thesis for a Ph.D. degree to write a synopsis of the topic and submit it to the necessary
committee of the research board for approval. The researcher should undertake extensive
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literature survey connected with the problem. For this journals and published bibliographies are
the fist place to go to. A good library will be a great help to the researcher at this stage.
After literature survey researcher should state in clear terms the working hypothesis or
hypothesis. As such the manner in which research hypothesis are developed is particularly
important since they provide the focal point for research. The development of working
hypothesis plays an important role; it should be very specific and limited to the piece of research
in hand because it has to be tested. It also indicates the type of data required and the type of
How does one go about developing working hypothesis? The answer is by using the
following approaches.
I. Discussion with colleagues and experts about the problem, its origin and objectives in
seeking a solution.
II. Examination of data and records, if available, concerning the problem for possible trends,
III. Exploratory personal investigation which involves original field interview on a limited
scale with interested parties and individuals with a view to secure greater insight in to the
The research problem having been formulated in clear cut terms, the researcher will be
efficient as possible yielding maximal information. The purpose of research may be grouped
in to four categories.
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I. Exploration
II. Description
III. Diagnosis
IV. Experimentation
The preparation of research design, appropriate for a particular research problem, involves
II. The availability and skills of the researcher and his staff.
III. Explanation of the way in which selected means of obtaining information will be
V. The cost factor relating to research, i.e. the finance available for the purpose.
For determination of sample design ,it can be presumed that in such an enquiry when all the
items are covered no element of chance is left and highest accuracy is obtained even the
slightest element of bias in such an enquiry will get larger and larger as the number of
observation increases. Hence, quite often be selecting only a few items from the universe for our
study purpose. The items so selected constitute what is technically called a sample.
The researchers must decide the way of selecting a sample or what is popularly known as
the sample design .a sample design is a definite plan determined before any data are actually
collected for obtaining a sample from a given population. Sample can be either probability
sample or non probability sample. Probability sample are those based on simple random
sampling , systematic sampling, cluster sampling where as non probability sampling are those
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based on convenience sampling, judgment sampling and quota sampling technique. A brief
I. Deliberate sampling---
sampling method involves purposive or deliberate selection of particular units of the universe
for constituting a sample which represents the universe. When population or elements are
selected for inclusion in the sample based on the ease of access, it can be called convenience
sampling. If a researcher whishes to ensure data from, say, Gasoline, buyers, he may select a
fixed number of petrol stations and may conduct interview at these stations. This would be an
example of convenience sample of Gasoline buyers. On the other hand, in judgment sampling
the researcher’s judgment is used for selecting items which he considers as representative of the
population.
This type of sampling is also known as chance sampling or probability sampling where
each and every item in the population has an equal chance of inclusion in the sample and each
one of the possible samples. For example, if we have to select sample of 300 items from a
universe of 15000 items, than we can put the names or numbers of all the 15000 items on slips
In some instances the most practical way of sampling is to select every 15 th name on a
list, every ten hose on one side of street and so on. Sampling of this type is known as systematic
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sampling. In such a design the selection process starts by picking some random point in the list
and then every nth element is selected until the desired number is secured.
If the population from which a sample is to be drown does not constitute a homogeneous group,
then stratified sampling is applied. If the item selected from each stratum is based on simple
random sampling the entire procedure, first stratification and then simple random sampling, is
V. Quota sampling—
In stratified sampling the cost of taking random sample from individual strata is often so
expansive that interviewers or simply given quota to filled from different strata. Quota samples
Cluster sampling involves grouping the population and then selecting the groups or the clusters
rather than individual elements for inclusion in the sample, suppose some departmental stores
wishes to sample its credit card holders. It has a suit its cards to 15000 customers. The sample
size is to be kept say 450. For cluster sampling this list of 15000 holders could be formed in to
This is further development of idea of cluster sampling. Under multi stage sampling the
first stage may be to select large primary sampling units such as states, then districts, then towns
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VIII. Sequential sampling—
This is some what a complex sample design where the ultimate size of the sample is not fixed in
yielded as survey progress. This design is usually adopted under acceptance sampling plan in
Once the sample design is decided then it becomes necessary to collect data that are appropriate.
There are several ways of collecting the appropriate data which is differ considerably in context
of money cost, time and other resources at the disposal of the researcher.
Primary data can be collected either through experiment or survey. If the researcher
conducts and experiments, he observes some qualitative measurements, or the data, with the
help of which he examines the truth contain in the hypothesis. But in the case of survey, data can
investigators own observation, relates to what is currently happening and is not complicated by
Through personal interview: - This method of collecting data is usually carried out in a
structured way where output depends upon the ability of the interviewers to a large extent.
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Through telephone interviews: - This method of collecting information involves
contacting the respondent on telephone itself, when the survey has to be accomplished in a very
limited time.
request to return after completing the same. It is the most extensively used method in various
economic and business surveys. Before applying the method, usually a pilot study for testing the
Through Schedules: - Under this method the enumerators are appointed and given
training. These enumerators go to respondents with these schedules. Data are collected by filling
up the schedules by enumerators on the basis of replies given by respondents. Some occasional
field checks on the work of the enumerators may ensure social work.
Execution of the project is a very important step in the research process. If the execution of the
project proceeds on correct line, the data to be collected would be adequate and dependable. The
researcher should see that the project executed in a systematic manner and in time. If the survey
processed. In such a situation, questions as well as possible answers may be coded. The training
may be given with the help of instruction manuals which explain clearly the job of the
interviewers at each step. A careful watch should be kept for unanticipated factors in order to
If some of the respondents do not co-operate, some suitable method should be design to
tackle this problem. One method of dealing with a non response problem is to make a list of the
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non respondents and take a small sub sample of them, and then with the help of experts vigorous
8. Analysis of data:-
After the data has been collected, the researcher turns to the task of analyzing them. The
analysis of data requires a no. of closely related operation such as establishment of categories,
the application of these categories of raw data through coding, tabulation and then drawing
statistical inferences. Thus, researcher should classify the raw data in to some purposeful and
usable categories.
Coding operation is usually done at this stage through which the categories of data are
Editing is the procedure that improves the quality of the data for coding. Whit coding the
Tabulation is a part of the technical procedure where in the classified data are put in the
form of tables.
Analysis work after tabulation is generally based on the computation of various percentage
coefficients etc. by applying various well defined statistical formulae. In the process of
hypothesis should be subjected to taste of significance to determine with what validity data
9. Hypothesis testing:-
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After analyzing the data as stated above the researcher is in a position to test the hypothesis,
if any he had formulated earlier. Do the facts support the hypothesis or they happen to be
contrary? This is the usual question which should be answered while testing hypothesis. Various
tests such as Chi-square test, t-test, and f-test have been developed for the purpose. The
If a hypothesis is tested and upheld several times, it may be possible for the researcher to
arrive at generalization. i.e. to build a theory. As a matter of fact the real value of research
lies in the ability to arrive at certain generalizations. If the researcher had no hypothesis to
start with he might seek to explain his findings on the basis of some theory. It is known as
interpretation.
Finally the researcher has to prepare the report of what has been done by him. Writing of
report must be done with great care keeping in view the following.
1. The layout of report should be as follows—(1) the preliminary pages; (2) the main text ;(
In its preliminary pages the report should carry time and date followed by the
acknowledgements and foreward. Then there should be a table of contents followed by a list of
tables and list of graphs and charts, if any, given in the report.
The main text of the report should have the following parts.
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(a) Introduction: - It should contain a clear statement of the objective of the research
The scope of the study along with various limitations should as well be stated in
this part.
(c) Main report: The main body of the report should be presented in logical
(d) Conclusion: Toward the end of the main text, researcher should again put down
the results of his research clearly and precisely. In fact it is the final summing up.
At the end of the report, appendices should be enlisted in respect of all technical data.
Bibliography, i.e. list of books, journals reports etc., consulted, should also be given in
the end. Index should also be given specially in a published research report.
2. Report should be written in a concise and objective style in simple language avoiding
vague expressions such as ‘it seems’, ‘there may be’, and the like.
3. Charts and illustrations in the main report should be used only if they present the more
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INTRODUCTION
OF THE ORGANISATION
48
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 not only due to their undisputed leadership in small cars but also to their
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 were signed between Govt 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
The Revolution
Maruti created history by going into production in a record 13 months. On 14 December 1983,
the then Prime Minister of India, Mrs Indira Gandhi, handed over the keys of the first car to Mr.
Harpal Singh of Delhi. Volume targets were routinely exceeded, and in March 1994, it became
the first Indian company to produce over one million vehicles, a landmark yet to be achieved by
any other car company in India. Maruti is the highest volume car manufacturer in Asia, outside
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Japan and Korea, having produced over 3.5 million vehicles by December 2001. Maruti is one
of the most successful automobile joint ventures, and has made profits every year since
92.5 billion, high depreciation on new model launches resulted in a book loss. We are again on
track for profits in 2001-02, with a profit of Rs 300 million in the first half. In this period, sales
were increased by 5.3%, against an industrv decline of 6.1 %. We revolutionized the wav
Indians looked at cars. "No other car company so completely dominates its home market" - (The
Economist). Despite there being 11 companies now in the passenger car market, Maruti holds
about 60 % of the total market share. MUL is also the first and only car company in the world to
lead its home market in terms of both market share and in the JD Power Customer Satisfaction
study (JD Power Asia Pacific 2000 India Customer Satisfaction studies).
Transfer of Technology
Every minute two vehicles roll out of the Maruti Plant. It is therefore imperative that the transfer
of contemporary technology from our partner Suzuki is a smooth process. Great stress is laid on
training and motivating the people who maintain the equipment, since the best equipment alone
cannot guarantee high quality and productivity. From the beginning it was a conscious decision
to send people to Suzuki Motor Corporation for on-the-job training for line technicians,
supervisors and engineers. This helps them to imbibe the culture in a way that merely
Our Ethos
Our employees are our greatest strength and asset. It is this underlying philosophy that has
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molded our workforce into a team with common goals and objectives. Our Employee-
Kaizen, Communication, Information sharing, and an open office culture for easy accessibility
to implement this philosophy. We have taken several measures like a flat organizational
structure i.e. there are only three levels of responsibilities ranging from the Board Of Directors,
Division Heads to Department Heads. Other visible features of this philosophy are common
uniforms (at all levels), and a common canteen for all. This structure ensures better
communication and speedy decision making processes. It also creates an environment that
New Delhi: With the enhanced backing of Suzuki, Maruti Udyog is gearing up to become a
global scale player and will be a R&D centre for Suzuki cars outside Japan. Becoming a global
player is the resurgent theme of Maruti's future strategy in the post-privatization phase as listed
In terms of manufacturing processes or quality systems or even R&D, the flavor is global.
Clearly, the company wants to build on its leadership in the domestic market and make a place
After sharp gains in productivity and quality in the past two years, the company wants to further
improve its operating efficiencies by cutting costs by 30% and enhancing productivity by 50%
and align itself with Suzuki's Kosai plant in Japan by year '04-05. On the quality front, while
Maruti was amongst the first automobile manufacturers in the world to receive the ISO
901:2000 certification, it wants to go further and adopt Suzuki's global customer audit index.
But the biggest shift is in the area of R&D. Although Maruti has gained from its expertise in
localization of components, it now wants to take R&D to another plane where it can become
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Suzuki's centre for cars in Asia, outside Japan.
In fact, it has recently acquired the capability to conduct minor and major face lifts to its
products and upgrade products in terms of technology or features. To reduce initial investment
on models, Maruti may outsource dye from other than Japan, such as Taiwan, which are often
less expensive.
Maruti's initiatives are based also on its recent success in the export market. It sold nearly
24,000 units of the Alto in Europe last fiscal and its overall exports were up by a whopping
Its global ambitions are also now nurtured by the backing of Suzuki Motor
Corporation. The prospectus makes this point by Sayin2 that as a subsidiary of Suzuki, Maruti
has "access to globally respected technology in the small car segment. "
Even while maintaining the overall global theme, Maruti wants to leverage its local advantage.
Its promise of providing customers a "wide range of Maruti branded services at different stages
of ownership" is at par with other global manufacturers. It lays great emphasis on these Maruti
branded services like insurance, finance and pre-owned cars, and believes that this "360 degree
customer experience" will secure repeat purchase and increase revenue of the sales network. In
supply chain initiatives as well, Maruti's reference is to the world wide purchase system fostered
by General Motors. Through this, it could make a select few of its vendors the sole suppliers
From a loss of Rs 269 crore in 2000-01, after being written off by many analysts, Maruti has
bounced back: its 800 model is as popular as ever, new launches are picking up. Jagdish Khattar,
managing director Maruti, spoke to Vinay Pandey on Maruti's transformation. Excerpts: Maruti's
52
turn around: To understand Maruti today, you need to go back to 1993 when liberalization took
Maruti should have taken proactive measures then. But between 1995 and 1998 our
shareholders (the government and Suzuki) had differences. Decisions that should have been
In June 1998, we decided to increase our capacity by one lakh vehicles and to introduce four or
five new models, which arrived a year and a half after our competitors', who gained from this.
Two, investments that should have been done over five years were done in 24 months in a hurry
to launch new models. So, localization was low, the yen was strong, prices were market-
determined, depreciation increased, and we ran into losses. That's when you got the feeling
But internally, it was a very good wake up call, which did a lot of good to us. We brought out
So even when everyone thought we were in trouble, we were confident that we'd bounce back.
Our market share went down to 61%, but we've now stabilized around 58-59%. We took off a
Role of M800: People say 800 is old and so on. But go on the road and see someone on a two-
wheeler, wife and two children, in rain, in winter, in summer. Is he going to be bothered about
53
power windows and steering, or does he wish to be in a car and be comfortable? Today we're
selling air-conditioned 800s at Rs 2.2 lakh. Many people buying AC 800s may not have an AC
India's car penetration is six per 1,000; Pakistan and Sri Lanka are at 12. Thailand is at 200,
Japan and America are over 500-600. What I'm saying is that there's still a huge gap. If our
motorization has to increase, we can't do that by selling expensive cars. We need to make cars
more affordable. Therefore, a narrower gap between two-wheelers and entry-level cars is what's
required. It should also have good performance, no compromise on quality, fuel-efficient and
The Alto can't replace the 800 today because the volume and price at which 800 is selling, we
can't sell Alto at that. Yes, once we get costs under control, we'll position the Alto between
segments A and B. We'd like to have a car from the entry level to Rs 3-3.5 lakh at every Rs
Success of new models: Historically, Maruti's new models never start with a bang. I joined
Maruti in 1993 when Zen was introduced and we found it hard to sell initially. We had to reduce
our production plan drastically, but then after a year or two it caught on. And look what it is
today.
So, initially there's skepticism, then some people buy and share their experience. About 60-70%
of our sales take place by referral. I'm not saying marketing is unimportant, but there's nothing
more effective than a present owner giving a good chit to prospective buyer. We're seeing the
54
Versa is slightly different. When we decided on Versa, in 1998, the government had announced
that in April 2002 the administered price mechanism (APM) for oil would be abolished. The gap
between petrol and diesel prices would have then been negligible. Versa came, but APM
remained.
Now there is no hell of a chance of anyone buying a petrol version when a diesel alternative is
available for the same purpose. For the Versa we've carried out a lot of localization, the pricing
has been reworked and things are looking up. But some amount of disadvantage between petrol
Those who bought the Baleno are very happy. Also, view it from our perspective. We launched
five models in a space of 12 months. We had to prioritize. Because of low localization, we were
So it made no sense to just gain numbers. Now some localization has taken place and the
product is getting its due. The Vitara is different, it's not manufactured here. We'll import what is
required.
Anyway, our core competence and focus would be the small car because that is what the county
needs and that is where the volumes are. Let us look at it in another way. There are only four
major players in the small car segment - Telco, Fiat, Hyundai and Maruti and 80 % of the
market is the small car segment. In the remaining market, there are a dozen players. It is a very
55
PRODUCT PROFILE
MARUTI 800
Economy
Great technology enables the Maruti 800 to deliver great fuel efficiency. The Maruti 800
shas topped every fuel efficiency survey that has been conducted in the past. The Maruti
800 has the lowest fuel cost per kilometer of any petrol car in the country with a cost of
Rs 1.94 per kilometer.This confirms the position of the Maruti 800 as the most fuel
56
MARUTI OMNI
This car position itself in the mind of consumer as afamily car. The punch line of the car
Features are:
• MPFI Engine
The multi-point fuel injected engine helps to lower emissions and achieve greater fuel
efficiency. With 37 bhp @ 5000 rpm, you have greater pulling power. A torque of 6.32
kgm @ 3000 rpm ensures better climbing power and lesser gear changes. In other words,
less fatigue.
57
Space
Stretch out. Open up. Enjoy the luxury of space inside the Omni. The ample headroom
and legroom make long rides comfortable and enjoyable. Reclining front seats with
adjustable head restraints let you relax completely. With its ample luggage space, the
Omni is equipped for anything. Pack in your family, your group of friends, your luggage,
your golfing gear, and your picnic hamper all can fit in snugly.
58
MARUTI ALTO
Features are:
MPFI Engine
Plenty of power, great mileage and low emission make the Alto the perfect choice for
Indian roads. The fuel efficiency of the Alto is better than any other vehicles in its class.
The 16x4 hypothec MPFI engine delivers unadulterated power, begging for fun. The 4-
valves per cylinder MPFI engine mated with a 5-speed gearshift and a 16-bit on-board
computer allows the Alto to effectively combine power with optimal fuel efficiency
59
Reliability
Here's another first by ALTO, which has been setting records since its introduction
in India!
Alto becomes the first Indian car to undergo a 24 hours endurance test and sets 13
national records in the process !!! The test was conducted on 2nd & 3rd August on the
high-speed track of the National Centre for Automotive Testing (NCAT) at the Vehicle
60
WAGON R
Comforts
The smarter race knows exactly how to take the stress out of driving and push driving
comfort to the max. Full flat folding front seats and reclining rear seats allow you to
stretch yourself during long drives. This ensures that you travel in maximum comfort as
The McPherson strut suspension in the front and coil springs at the rear ensures a smooth
comfortable drive. It's not just comfort; Wagon R also has a 1061cc MPFI low friction
engine
61
Space
Nothing cramps the style of the smarter race. That’s why it prefers the Wagon R. Tall
body, high seats and wide opening doors make it easy to get in and get out. Seven cm
taller than the Santro, the Wagon R offers more headroom, amazing spaciousness and
a commanding driving position. The split rear seating arrangement along with fully
reclining front and the reclining rear seats gives a first class airline seating comfort.
The Wagon R comes with an extra large boot space, which is possible because of its
unique design that maximizes space on a compact platform. Caution, safety and
protection are integral to a smarter mindset. And the Wagon R is designed to satisfy
Dual side-impact beams in the front and rear doors protect you from lateral collisions.
A long crumple zone shields you in the unlikely event of a frontal collision.
A Roll Control device in the front suspension imparts greater stability and helps the
Wagon R to negotiate sharp curves at high speeds. The 8 inch booster-assisted brakes
equip you well to handle any emergency High seating position gives you a bigger
field of view, allowing you to better anticipate traffic problems before they occur.
62
MARUTI VERSA
The Versa is one of the safest cars on the road. It has safety features to guard your
loved ones from road disasters. Side impact absorbing beams in all 4 doors protect the
passengers from side crashes. Front impact beams between the front pillars and the
collapsible steering column shield you from head on collisions. A steel pipe frame in
ELR seat belts allow free movement, but hold you securely during sudden stoppages.
Height adjustable head restraints, brake boosters and a collapsible steering column
further ensure your safety. When you step out of the house and into your Versa, rest
assured
63
Sink in. Stretch out. Lie back. Indulge
Versa's the ideal car for long journeys. Now stretch your legs on those long rides. All
seats* have recliners. In SDX, the 2nd row bucket seats can be slid forward or
The high seat position makes it easy to get in and out and gives superior road
visibility. The front row seats have thick insulation between seat and the engine. Two
layers of PUF and aluminum sheets act as a buffer, protecting the driver from engine
heat. The rear seat also has a steel pipe frame for protection in the event of a rear
impact.
* Except for the folding seat in 2nd row (DX, DX2) and last row seats.
64
MARUTI GYPSY
Gypsy Advantage
Hills
Diaphragm Spring Clutch designed to with stand higher rotational speeds requiring
Snow
65
The Engine that’s high on thermal conductivity, and heats up quickly even under
extremely cold conditions. Thus, there are no starting problems even in the midst of
snow.
1300 cc petrol engine — lighter than a diesel engine, resulting in a higher power to
weight ratio. This ensures better control, more power and greater responsiveness.
Desert
The Engine avoids overheating because its high thermal conductivity enables it to
Streams
4-Wheel drive for better control and more power at the wheel.
DIRT TRACKS
Dirt tracks
Steering Damper ensures that shocks encountered from bumps and potholes are not
passed on to the steering wheel. Thus, any loss of control owing to unexpected obstacles
is avoided.
66
The Gypsy is a lighter vehicle weighing in at 1020 kg (hard top) and 985 kg (soft
top). This is a major advantage on sandy or muddy tracts — a heavier vehicle will get
67
MARUTI ESTEEM
Safety
8 inch vacuum booster assisted brakes ensure precise, stable and safe stopping.
Side impact beams on all four doors provide safety during side impacts
Comfort
A refreshed cabin, ergonomically designed low fatigue seats, a super cool AC and
tubeless tyres promise to pamper you with an unexpected level of comfort and driving
68
Precise power steering for total control
Performance
At the heart of this beauty lies a state-of-the-art Japanese engine that will give you the
power you've always craved for and performance that has already won accolades
per ton
69
GRAND VITARA
Comforts
The smarter race knows exactly how to take the stress out of driving and push driving
comfort to the max. Full flat folding front seats and reclining rear seats allow you to
stretch yourself during long drives. This ensures that you travel in maximum comfort as
The McPherson strut suspension in the front and coil springs at the rear ensures a smooth
comfortable drive. It's not just comfort; Wagon R also has a 1061cc MPFI low friction
engine
70
DATA PRESENTATION
&
DATA ANALYSIS
71
DATA PRESENTATION
1. A detailed analysis has been done for all the segments in Maruti.
2. Santro, which is the major competitor of Maruti, has been analyzed in a simile
way so as to determine the factors that are taken into consideration by the
Maruti
Cars purchased Omni Zen Alto WagonR Versa Esteem Baleno
800
33 6 20 9 30 2 13 1
72
CARS PURCHASED
35
30
25
20
15
10
0
lt o
00
sa
m
n
ni
ed
o
Ze
en
on
ee
m
A
i8
er
as
al
ut
ag
st
V
h
B
ar
E
rc
W
M
pu
s
ar
C
Interpretation:
The above figure shows that the 800 model of Maruti still commands a good share in the
market, followed by WagonR and hot selling Zen. Maruti 800 is the undisputed king of
the roads.
Alto is an upcoming model and has the largest share in the export category, and is
marketed in Europe. V _rsa's sale has got to pick up because costumers have an unclear
picture in their mind regarding the car being high priced which is actually a myth.
73
Q.What was the purchase mode of Vehicle?
Mode of
Cash ICIC Stan chart HDFC CITIBANK ABN-AMRO
Purchase
16 36 9 12 8 33
MODE OF PURCHASE
40
35
30
25
20
15
10
0
Mode of
Cash ICIC Stan chart HDFC CITIBANK ABN-AMRO
Purchase
Series1 16 36 9 12 8 33
Interpretation:
As can be seen in the figure above the availability of easy loan has attracted the
consumers to much so that the out of the cars purchased only 13.5 % of the vehicles are
paid for in cash. With the mushrooming of finance companies the rate of interests has
The two rivals in car financing are ICICI and ABN-AMRO bank with ICICI leading the
Easy availability of finance have up surged the demand for higher segment cars with
74
more and more people who have the capability of paying cash opting for finance due to
The brand-recalling test showing the brand that has the picture in consumer's mind
BRAND RECALLED
120
100
80
60
40
20
0
Brand Maruti Hyundai Tata Honda Fiat Ford
Recalling
As seen in the figure above somewhere down the line people do recall Maruti when they
are asked to name a brand that comes to their mind at the first instance. Followed by
Maruti is a close competitor Santro which relies on aggressive marketing tools, followed
It can be seen that the more the people recall the brand the more likely are the chances of
Maruti
Advertisement WagonR Versa Alto Maruti800 service Zen Santro
21 14 18 17 19 8 74
ADVERTISEMENT RECALLED
80
70
60
50
40
30
20
10
0
WagonR Versa Alto Maruti800 Maruti service Zen Santro
Interpretation:
As said earlier in the above brand recalling analysis Santro commands a higher recalling
power when it comes to Media advertisements because of its high advertisement budget.
Also the hot favorite in Maruti ads is the Bachhan father and son ad with the highest
76
Q.Which Sports Channel is mostly watched by customer?
60
50
40
30 Series1
20
10
0
STAR Zee SONY
77
ENTERTAINMENT CHANNEL MOSTLY
WATCHED
60
50
40
30
20
10
0
STAR Zee SONY
78
NEWSPRINT MOSTLY READ
60
50
40
30
20
10
0
TOI HT ET DAINIK NAV
TIMES
Auto Business
India
Magazines read India Outlook Overdrive world
Today
14 9 4 8 34
79
MAGAZINE MOSTLY READ
40
30
20
10
0
Auto India Outlook Overdrive Business India
world Today
Interpretation:
Summarizing the above figures we can say that the people watch Star Sports the most
followed by ESPN and Ten sports therefore we can say that it would be better for Maruti
to advertise on Star rather than Ten sports. But one has to look at the target audience and
then make a feasible decision; it is possible that a media is good for a certain class of
target audience. For e.g. the Grand Vitara which is the latest offering from Maruti has to
be marketed through a totally different channel due to a different class of society being
Similarly most people prefer watching Aaj tak to NDTV therefore it would be wise to
choose this channel amongst the news channels for reaching the audience. Likewise Star
has a much wider coverage than other entertainment channels followed by Zee and Sony
India.
Print media is perhaps the most effective and the most widely circulated media and a
80
good medium for advertising but one has to be sure about its target audience and then
resort to division of the same into different segments. Such as people reading English
newsprints or Hindi or for that matter any other language but it is important that to make
the ad effective it should be positioned right. TOI is the most widely circulated as well as
Similarly the magazine India Today is quite a source of good information for the elite
class.
There is a saying that "Advertising is a social waste" but it is advertising that makes the
customer aware and the right kind of expenditure is definitely a necessity in today's
competitive environment.
Now the most important question that comes to the consumers mind when he plans to
purchase a car of at the time of purchasing the car. Whether he wants economy or style,
Purchase Parameters
We asked the customers to rank the factor, which lured him to purchase the car, the
2. Discount
3. Mileage
4. Resale
5. Looks
7. References
8. Advertising Features
The interviewees were asked to rank the top 6 factors, which helped him to choose the
For this we have done a model-based study wherein we have taken those models, which
For the ease of understanding we took ranking in percentage form, also because of
unequal sample sizes it became necessary to take figures in percentages so that the study
is not biased.
1. Calculating how many people gave what ranks to the factors, which were taken under
82
Maruti800 sample size=33
In the figure above 21 people gave price as its first preference followed by 3 people each
who gave 2nd and 3rd rank to price. Similarly for mileage 2 people had ranked it 1st and
so on
83
3. Taking weights for the ranks so that all the figures come on a common platform
Ranks Weights
1 30%
2 25%
. 3 20%
4 12.50%
5 7.50%
6 5%
Rank 1st have been given a 30 percentage weigh because this is driving factor i.e. it is the
first and foremost thing that comes to a consumers mind when he goes for a purchase,
likewise rank 6th which is somewhere in the mind of customers but doesn't make an
4. Multiplying the percentages found in step 2 with their respective ranks to get a
cumulative score.
0.25
0.2
0.15
0.1
0.05
e
e
e
nt
s
e
ce
es
se
g
s
ag
ic
ag
ok
lu
in
ale
ou
en
ur
Pr
ha
va
Im
is
Lo
ile
isc
at
rs
gt
er
rc
M
Fe
-n
D
ef
pu
al
te
si
R
es
Af
rti
R
ve
ad
The above figure clearly depicts that the customer base of Maruti 800 is much more price
cautious and mileage is the next best thing that they want. But they do give importance to
the looks, after sales service and resale value of the car. These people are also inclined
That is probably the most important reason that 800 is called the bread and butter
car and still the highest selling car in its segment. Similarly we can do it for the
other segment:
85
86
WagonR
0.2
0.18
0.16
0.14
0.12
0.1
0.08
0.06
0.04
0.02
0
As seen in the figure above this segment of buyer are much more conscious about
mileage and looks of the car, they seem to like the TALLboy look of the Wagon R.
Next in line comes the after sales service, features and brand image. Maruti which has the
widest network of sales and service enjoys the trust of people and with a car with a true
international look i.e. the WagonR consumer are sure to make the neighbors envy.
It can be seen that the price has taken the back seat in this segment because the people
87
This category witnesses the second most repeat purchases due to the trust that these
Zen
0.35
0.3
0.25
0.2
0.15
0.1
0.05
Interpretation :
Zen is ultimately a world-class car with international looks. It has been rated next to
Mercedes for the most image conscious people, and probably that's the reason why
Zen which the one of the most reliable car in its class has a good features list and to top
The quote "ADD ZEN TO YOUR LIFE" is truly a world class similar to the car.
88
Esteem
0.2
0.18
0.16
0.14
0.12
0.1
0.08
0.06
0.04
0.02
0
Esteem is one of the best cars in its segment with a very good value for money and the
highest repeat purchases; this shows the worth of the car. With the introduction of a mpi
engine it has become an amazing car to drive with a good fuel economy as seen in the
figure above this is one of the top most reasons that the customers look in this car. It is
priced very wen as compared to its rivals giving it an upper edge also it is the car with the
89
2ood resale value and engine life.
90
Santro
RANKING ANALYSISSANTRO
0.16
0.14
0.12
0.1
0.08
0.06
0.04
0.02
0
Now comes the rival and the closest competitor of Maruti Le. Santro. As seen in the
figure it is clear that the customers opt for the Xing thing because of its mileage which
they perceives is more in this car, looks does leave an impression this can be seen from
Also it is clear from the above graph that Santro is offering its customers lots of discount,
discounts that are the favorite of the Indian market. Xing is more popular amongst kids.
91
FINDINGS OF THE STUDY
92
Findings
The company is making proper balance between all the marketing mix factors viz
product,price,promotion and place unto some extent. Hence the marketing mix decision
and strategies of the company should be made according to customer expectations, as the
modern concept of marketing is customer oriented. The firm should modify its products
quality and placement procedure to get optimum customer satisfaction. The company
orientation towards the market place and target consumers is on the right way considering
the mileage, which is emerging as a prime factor to compete the market. This concept
satisfaction is not sufficient. So the company should consider the external quality of the
product. The company should provide proper supply of the product to their authorized
dealers so they may fulfill the requirement of their sub-dealers located in small centers.
The company should make SWOT analysis time to time to know about it
company can equip itself to tackle and type of challenges .On the basis of analysis we
found that some consumers want some change in product. These changes are like having
spacious seats, good looking & comfortable as it is found in case of Santro. The research
according to customer’s demand. According to our analysis we found that the most of the
consumers are complaining about the fading of colour.They also want some more
93
CONCLUSION
It can be seen that the Indian car industry is a flourishing one, and a driving force behind
any economy therefore it is necessary that this sector is given proper importance. Maruti
which has now been divested has to compete in an environment with more than a dozen
player and no government support, hence it is necessary that the company retains it own
customer and attract more and more so as to produce in the large scale and attain
economies of scale.
Santro which is a major player in the market has swiped away maruti's share and in the
future would continue to do so, hence our study should be made handy so as to choose
the right marketing mix i.e. the product, price, place, promotion.
One has to see all the factors from the consumer's perspective to stay and reap the
benefits in the current market otherwise face the crisis just like Fiat India did.
For this it is necessary for the company to do a SWOT analysis, which would be helpful
in determining what are its strength, its weakness, the opportunities, and threats from its
rivals. Here is a very small SWOT analysis that has been made after listening to the
customer's perspective.
94
SWOT ANALYSIS
opportunities and threats. While a port unities and threats can be identified by
STRENGTH
95
16-Bit ECM As Compared to 8-Bit in other cars.
WEAKNESSES
Outdated looks.
OPPORTUNITY
Maruti insurance.
THREATS
Other car companies have also started offering variants in almost all the segment
96
RECOMMENDATIONS
97
RECOMMENDATIONS
Maruti should come out with cars that are attractive and appeals to the masses.
The Maruti 800 with a 5-speed transmission was a very impressive car in
terms of economy as well as drive comfort, customers feel that the 800 model
The back seat divider should not be there due to uncomfortable sitting position
due to it.
Supply should meet demand of the car; this is due to long waiting period in
The boot space of the car can be increased, especially in the Zen.
Dealers should deliver the vehicle on the day it has been promised.
Maruti must focus on retaining its customers and the True Value is a good step
In the end one can say that a good marketing mix is all that is needed to sell the Maruti
vehicles because they are still the best on the Indian road and definitely Maruti has got
98
some advantages over its rival which are hard to beat.
BIBLIOGRAPHY
99
BIBLIOGRAPHY
WEBSITE
www.maruti.com
www.marutiudyog.com
www.google.com
BOOKS:
SOURCES:
• Auto India
• Top Gear
100
• Advertising and Marketing
APPENDIX
101
QUESTIONNAIRE
a) Cash
ICICI STANDCHART
3. This is your:
c) Replacement car (if yes, please specify the previous car and the model)
____________
d) Additional car
102
Price [ ]
Schemes [ ]
Mileage [ ]
Resale value [ ]
Looks [ ]
Reference [ ]
Advertisement [ ]
Features [ ]
Brand image [ ]
Repeat purchase [ ]
6. Which are the three brand (companies) that come to your mind when you think
of a car?
a) __________________
b) __________________
c) __________________
7. Which two TV car commercials (Ads) can you recall right now?
a) _______________________________________
b) _______________________________________
8. What were the sources of information when you purchase the car?
Sports channels
103
Star sports ESPN
Ten sports
News channels
Aaj Tak
Zee news
Star News
Entertainment channels
Star
Zee
News papers
Magazines
104
Any other _________________________
9. Are there any suggestions that you want the company to implement?
Name ___________________________________
Profession ___________________________________
Age ___________________________________
105