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CONSUMER SATISFACTION TOWARDS TATA NANO CAR: A

CASE STUDY ADI SHAKTHI CARS (P) LTD, SHIVAMOGGA

CONTENTS
CHAPTER-1

CONSUMER SATISFACTION

 Definition
 satisfaction
 Types of buying-decision satisfaction
 Factors influencing consumer satisfaction
Chapter 2
INTRODUCTION
 General Introduction
 Scope of the Study
 Objective of the Study
 Methodology
 Limitation

Chapter 3
COMPANY PROFILE
 TATA Motors Profile
 Management
 Manufacturing
 Research & Development
 Awards
Chapter 4
DATA ANALYSIS AND INTERPRETATION

Chapter 5
SUGGESTIONS AND CONCLUSION
Annexure

 Questionnaire
 Bibliography

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CHAPTER-1
CONSUMER SATISFACTION
 Definition
 satisfaction
 Types of buying-decision satisfaction
 Factors influencing consumer satisfaction

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INTRODUTION - Consumer satisfaction

Definition:
According to the American Marketing Association, Consumer
satisfaction is defined as "the dynamic interaction of affect and cognition,
satisfaction, and environmental events by which human beings conduct the
exchange aspects of their lives."
More generally, Consumer satisfaction is the psychology behind
Marketing and the behavior of consumers in the Marketing environment.
Cognitive Psychology and Social Psychology are the two major
psychological disciplines of consumer satisfaction Cognitive
Psychology is the study of mental behaviors. The Attention, Perception,
Comprehension, and Decision Making are the various aspects of cognitive
psychology that play an important role in Consumer satisfaction.
Social Psychology is the study of the manner in which the personality,
attitudes, motivations, and behaviors of the individual influence are influences
by social groups.
Today, many brand marketers and advertisement agencies believe that
one-to-one marketing is a key ingredient in the marketing mix. They share the
opinion that adding a large dose of up close and personal interaction sparks
consumer satisfaction.
Consumer satisfaction Study of how people behave when obtaining,
using, and disposing of products and services. Consumer jury test a method of
testing advertisements that involves asking consumers to compare, rank, and
otherwise evaluate the advertisement

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TYPES OF BUYING-DECISION SATISFACTION
Consumer decision making varies with the type of buying decision. The
decisions to buy shampoo, a cricket bat, a digital television, a new car are all
very different. Complex and expensive purchases are likely to involve more
buyer deliberation and more participants.
It consist of four different buying satisfaction, i.e. Complex buying
satisfaction Dissonance-Reducing buying satisfaction, Habitual buying
satisfaction, and Variety-Seeking buying behavior.

High involvement Low involement

Complex Variety-Seeking
Buying Buying
Behaviour Behaviour

Dissonnance- Habitual
Reducing Buying
Buying Behaviour Behaviour

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Significant differences Between brands
Few differences between brands
Complex Buying Behavior:
Complex buying be satisfaction involves three steps. First, the buyer
develops beliefs about the product. Second, he or she develops attitudes about
the product. Third, he or she makes a thoughtful choice. Consumers engage in
complex buying satisfaction when they are highly involved in purchases and
aware of significant differences among brands. This is usually the case when
the product is expensive, bought infrequently, risky, and highly self-
expensive.
Dissonance-Reducing Buying satisfaction:
Sometimes the consumer is highly involved in a purchase but sees little
difference in brand. The high involvement is based on the fact that the
purchase is very expensive, infrequent, and risky. If the consumer finds
quality differences in the brands, he or she might go for the higher price. If
the consumer finds little difference, he or she might simply buy on price or
convenience.
Habitual Buying satisfaction:
It occurs under the conditions of low consumer involvement and little
significant brand difference. They simply go to store and reach for a brand. If
they keep reaching for the same brand, it is out of habit rather than strong
brand loyalty. Consumers appear to have low involvement most low-cost,
frequently purchased products.
Variety-Seeking Buying satisfaction:
Consumer undertakes variety-seeking buying behavior in situations
characterized by low involvement but significant brand differences. Here,

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consumers often do a lot of brand switching. Brand switching occurs for the
sake of variety rather than dissatisfaction.

The buyer decision process


The buyer decision process consists of five stages: need recognition,
information search, and evaluation of alternatives, purchase decision,
and post-purchase satisfaction. Clearly, the buying process starts long
before actual purchase and continues long after. Marketers need to focus on
the entire buying process rather than on just the purchase decision.

Need Recognition

Information Search

Evaluation Of Alternatives

Purchase Decision

Postpurchase Behaviour

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The figure implies that consumers pass through all five stages with every
purchase. But in more routine purchases, consumers often skip or reverse
some of these stages.

Need Recognition:
The buying process starts with need recognition–the buyer recognizes
a problem or need. The need can be triggered by internal stimuli when one of
the person’s normal need–hunger, thirst, sex–rises to a level high enough to
become a drive. A need can also be triggered by external stimuli.
Information Search:
An interested consumer may or may not search for more information. If
the consumer’s drive is strong and satisfying product is near at hand, the
consumer is likely to buy it then. If not, the consumer may store the need is
memory or undertake an information search related to the need.
Evaluation of Alternatives:
The marketer needs to know about alternative evaluation–that is, how
the consumer processes information to arrive at brand choices. Unfortunately,
consumers do not use a simple and single evaluation process in all buying
situations.
Purchase Decision:
In the evaluation stage, the consumer ranks brands and forms purchase
intentions. Generally, the consumer’s purchase decision will be to buy the
most preferred brand, but two factors can come between the purchase
intention and purchase decision. The first factor is attitudes of others; the
second factor is unexpected situational factor.
Post-Purchase satisfaction:

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The marketer’s job does not end when the product bought. After
purchasing the product, the consumer will be satisfied or dissatisfied and will
engage in post purchase behavior of interest to the marketer. If the product
falls short of expectations, the customer is disappointed; if it meets
expectations, the consumer is satisfied; if it exceeds expectations, the
consumer is delighted.
Factors influencing consumer satisfaction
Consumers do not make their decisions in a vacuum. Their purchases are
highly influenced by cultural, social, personal, and psychological factors. For
the most part, they are “non controllable” by the marketer but must be taken
in to account. We want to examine the influence of each factor on a buyer’s
behavior.
Personal Factors:
The buyer’s decisions are influenced by personal factors such as the buyer’s
age, life-cycle stage, occupation, economic circumstances, life style, and
personality.
Age: people change the goods and services they buy over their life times.
Tastes in food, clothes, furniture, and recreation are often age related.
Life cycle: the stage through which families might pass as they mature over a
time. Marketers often define their target market in terms of life cycle stage
and develop appropriate products and marketing plan for each stage.
Traditional family life cycle stages include young singles and married couple
with children. Non traditional stages such as unmarried couples, singles,
marring later in life, childless couple, same sex couples, single parents,
extended parents and others.
Occupation: A person’s occupation affects the goods and services bought.
Marketers try to identify the occupational groups that have an above average

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interest in their products and services. A company can even specialize in
marking products needed by a given occupational group.
Economic circumstances: A person’s economic circumstances will affect
economic choice. Marketers of income-sensitive goods watch trends in
personal income, savings, and interest rates. If economic indicators point to a
recession, marketers can take steps to redesign, reposition, and reprise their
products closely.

Lifestyle: People coming from the same subculture, social class, and
occupation may have quite different lifestyles. Lifestyle is a person’s pattern
of living as expressed in his or her psychographics. Lifestyle captures
something more than the person’s social class or personality.

Psychological factors:
A person’s buying choices are influenced by for major psychological
factors-motivation, perception, learning, beliefs and attitudes.
Motivation: A person has many needs at any given time. Some needs are
biogenic; they arise from psychological states of tension such as hunger,
thirst, or discomfort. Others are psychogenic; they arise from psychological
states of tension such as need of recognition, esteem, or belonging. A need
becomes a motive when it is aroused to a sufficient level of intensity. A
motive is a need that is sufficiently pressing to drive the person to act.
Perception: A motivated person is ready to act. Perception is the process of
selecting, organizing and interpreting information inputs to produce meaning.
Perception depends not only on the physical stimuli, but also on the stimuli’s
relation to the surrounding field and on conditions within the individual. The

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key point is that Perception can vary widely among individuals exposed to the
same reality.
Learning: When person act, they learn. Learning involves changes in an
individual’s behavior arising from experience. Most human behavior is
learned. Learning theorists believe that Learning is produced through the inter
play of derives, stimuli, cues, responses, and reinforcement.

Beliefs and Attitudes: Through doing and learning, people acquire beliefs
and attitudes. This in turn influences buying behavior. A belief is a
descriptive though that a person holds about something. People’s beliefs
about a product their buying decisions.
Individual learns attitudes through experience and interaction with other
people. Consumer attitudes toward a firm and its products greatly influence
the success or failure of the firm's marketing strategy.

Social Factors:
Consumer wants, learning, motives etc. are influenced by opinion leaders,
person's family, reference groups, and social class.
Opinion leaders: An opinion leader is the person in informal, product-related
communication who offers advice or information about a specific product,
suchas which of several brands is best or how a particular product may be
used.
Roles and Family Influences: Role...things you should do based on the
expectations of you from your position within a group. People have many
roles. Husband, father, employer, etc. Individuals role are continuing to
change therefore marketers must continue to update information.

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Family is the most basic group a person belongs to. Marketers must
understand:
o that many family decisions are made by the family unit
o consumer behavior starts in the family unit
o family roles and preferences are the model for children's future
family
o family buying decisions are a mixture of family interactions and
individual decision making
o Family acts an interpreter of social and cultural values for the
individual.
Reference Groups: Individual identifies with the group to the extent that he
takes on many of the values, attitudes or behaviors of the group members.
Families, friends, sororities, civic and professional organizations. Any group
that has a positive or negative influence on a person’s attitude and behavior.
The degree to which a reference group will affect a purchase decision
depends on an individual’s susceptibility to reference group influence and the
strength of his/her involvement with the group.
Social Class: An open group of individuals who have similar social rank.
Social class influences many aspects of our lives. Social class determines to
some extent, the types, quality, and quantity of products that a person buys or
uses. Lower class people tend to stay close to home when shopping; do not
engage in much pre-purchase information gathering. Family, reference groups
and social classes are all social influences on consumer behavior. All operate
within a larger culture

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Cultural factors:
Cultural factors exert a broad and deep influence on consumer behavior. The
marketer needs to understand the role played by the buyer’s culture and
subculture.
Culture: Culture is the set of basic values, perceptions, wants, and behaviors
learned by a member of society from family and other important institutions.
Every group or society has a culture, and Cultural influences on buying
behavior may vary greatly from country to country. International marketers
must understand the culture in each International market and adapt their
marketing strategies accordingly.
Sub-culture: Culture refers to the set of values, ideas, and attitudes that are
accepted by a homogenous group of people and transmitted to the next
generation. Culture also determines what is acceptable with product
advertising. Culture determines what people wear, eat, reside and travel.
Cultural values in our country good health, education, individualism and
freedo

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CHAPTER-2
INTRODUCTION
 General Introduction
 Scope of the Study
 Objective of the Study
 Methodology
 Limitation

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Research Methodology
It is true fact that if you are satisfied you recommended to others.
Word of mouth and customer satisfaction play a very important role in
determining market perception about an automobile. It is the market
satisfaction that determines the success of a company and so it is very
important for the car manufacturers to measure the “willingness of existing
users of a product to recommend it to others”. The same is a lot of interest
to customers as well for it helps them make the purchase decision.

A car is one of the most significant purchases that an Indian household


makes and this project addresses the most important question that
perplexes car manufacturers:

“What makes the perfect car that influence will willfully purchase and
satisfaction level?”

The project highlights the factors that influence the buying decision of a
consumer.

The factor under consideration would be:

 Price
 Income of the consumer
 Features in the car
 Safety standard
 Warranty scheme
 Finance facility

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Is an Indian consumer ready for more? Which is the driving motive behind
the effective demand of the car? How the coming of new models like swift
does is going to effect the buying decision of consumer and especially the
Tata 1 lakh car.

In other words, from the spread of choices offered by various manufacturers


under various segments, of which one the customer will finally turn the
ignition on and drive.

Customer satisfaction index: some of the most advance thinking in the


business world recognizes that customer relationships are best treated as
assets, and that methodical analysis of these relationships can provide a
road map for improving them

“If you cannot measure it, you cannot improve it.” – Lord William Thomson
Kelvin (1824-1907)

“The fact that word of mouth sales are a big deal in this industry has also
helped. Industry players and market surveys reveal that 20-30 percent of
sales are through word of mouth”.

Scope of the Study:

 This study would be useful for companies to know what people perceive
and thinking about “Small Fight” that is NANO.
 This study would be useful to other students as a secondary data.
 This study would be useful to form strategies according to perception of
people about NANO.

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Objective of the Study:

 To know the consumer satisfaction “NANO” car.


 To find out the Acceptance level of people.
 To find out the awareness level about “NANO” car.
 To know about factors affecting purchase decision of “NANO”.
 To know how purchase decision of “NANO”.varies from different Income
group.

Methodology
Sources Of Data Collection

Primary: For my survey primary data have been used as a questionnaire to


collect the data.

Secondary: The secondary date has been collected from the following
modes:

● Magazines

● Data through internet sources

Research Design

Research Design is the arrangement for conditioned for data collection


& analysis of data in a manner that aims to combined relevance to research
purpose with economy in procedure.

A research design is a master plan or model for the conduct of formal


investigation. It is blue print that is followed in completing study.

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The research conducted by me is a descriptive research. This is
descriptive in nature because study is focused on fact finding investigation in
a well structured form and is based on primary data.

Research Plan

 Type of study: For completing my study I have gone for sample study
because looking at the size of population & the time limitation it was
not convenient for me to cover entire population. Hence I have gone
for sample study rather than census study.
Sampling Plan

A sample design is a definite plan for obtaining a sample from a given


population. It refers to the technique or the procedure that researcher
would adopt in selecting items from sample. Sampling plan may as well lay
down the member of items to be inched in the sample i.e. the size of sample.
Sampling plan is determined before data are collected.

Steps in Sampling Plan

Sampling frame:

The list of sampling units from which sample is taken is called sampling
frame. SHIVAMOGGA city map was studied thoroughly and samples were
selected from the places in a scattered manner to get effective result.

Sampling size:

Total sample size is 100.

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Sampling procedure:

The selection of respondents were accordingly to be in a right place at


a right time and so the sampling were quite easy to measure, evaluate and
co-operative. It was a randomly area sampling method that attempts to
obtain the sample of convenient elements.

Limitation of the study:

 I will have to rely upon the information given by respondents, which may
not be fully true
 This study will be limited to only some areas of Shivamogga City
 It is only for short period of time.
 Lack of professional approach since researcher is a student.

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Chapter 3
COMPANY PROFILE
 TATA Motors Profile
 Management
 Manufacturing
 Research & Development
 Awards

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COMPANY PROFILE
TATA MOTORS PROFILE

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


Rs. 32,426 crores (USD 7.2 billion) in 2006-07. It is the leader by far in
commercial vehicles in each segment, and the second largest in the
passenger vehicles market with winning products in the compact, midsize
car and utility vehicle segments. The company is the world's fifth largest
medium and heavy commercial vehicle manufacturer, and the world's second
largest medium and heavy bus manufacturer.
The company's 22,000 employees are guided by the vision to be "best
in the manner in which we operate best in the products we deliver and best
in our value system and ethics." Tata Motors helps its employees realize
their potential through innovative HR practices. The company's goal is to
empower and provide employees with dynamic career paths in congruence
with corporate objectives. All-round potential development and
performance improvement is ensured by regular in-house and external
training.
The company has won several awards recognizing its training
programs. Established in 1945, Tata Motors' presence indeed cuts across the
length and breadth of India. Over 4 million Tata vehicles ply on Indian
roads, since the first rolled out in 1954. The company's manufacturing base
is spread across India - Jamshedpur (Jharkhand) in the east, Pune
(Maharashtra) in the west, and in the north in Lucknow (Uttar Pradesh) and
Pantnagar (Uttarakhand). A new plant is being set up in Singur (close to
Kolkata in West Bengal) to manufacture the company's small car. The
nation-wide dealership, sales, services and spare parts network comprises

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over 2,000 touch points. The company also has a strong auto finance
operation, TML Financial Services
Limited, supporting customers to purchase Tata Motors vehicles. Tata
Motors, the first company from India's engineering sector to be listed in the
New York Stock Exchange (September 2004), has also emerged as an
international automobile company. In 2004, it acquired the Daewoo
Commercial Vehicles Company, Korea's second largest truck maker. The
rechristened Tata Daewoo Commercial Vehicles Company has launched
several new products in the Korean market, while also exporting these
products to several international markets. Today two-thirds of heavy
commercial vehicle exports out of South Korea are from Tata Daewoo. In
2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a reputed
Spanish bus and coach manufacturer, with an option to acquire the
remaining stake as well. Hispanic’s presence is being expanded in other
markets.
In 2006, it formed a joint venture with the Brazil-based Marco polo, a
global leader in Body-building for buses and coaches to manufacture fully-
built buses and coaches for India and select international markets. Tata
Motors also entered into a joint venture in 2006 with Thonburi Automotive
Assembly Plant Company of Thailand to manufacture and market the
company's pickup vehicles in Thailand. In 2006, Tata Motors and Fiat Auto
formed an industrial joint venture at Ranjangaon (near Pune in Maharashtra,
India) to produce both Fiat and Tata cars and Fiat power trains for the
Indian and overseas markets; Tata Motors already distributes and markets
Fiat branded cars in India. In 2007, Tata Motors and Fiat Auto entered into
an agreement for a Tata license to build a pick-up vehicle bearing the Fiat
nameplate at Fiat Group Automobiles' Plant at Cordoba, Argentina. The

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pick-up will be sold in South and Central America and select European
markets.
These linkages will further extend Tata Motors' international footprint,
established through exports since 1961. While currently about 18% of its
revenues are from international business, the company's objective is to
expand its international business, both through organic and inorganic
growth routes. The company's commercial and passenger vehicles are
already being marketed in several countries in Europe, Africa, the Middle
East, Australia, South East Asia and South Asia. It has assembly operations
In Malaysia, Kenya, Bangladesh, Ukraine, Russia and Senegal. The
foundation of the company’s growth is a deep understanding of economic
stimuli and customer needs, and the ability to translate them into customer-
desired offerings through leading edge R&D. The R&D establishment
includes a team of 1400 scientists and engineers. The company's
Engineering Research Centre was established in 1966, and has facilities in
Pune, Jamshedpur and Lucknow. The ERC has enabled pioneering
technologies and products. It was Tata Motors, which developed the first
indigenously developed Light Commercial Vehicle, India's first Sports
Utility Vehicle and, in 1998, the Tata Indica, India's first fully indigenous
passenger car. Within two years of launch, Tata Indica became India's
largest selling car in its segment. The ERC in Pune, among whose facilities
are India's only certified crash-test facility and hemi-anechoic chamber for
testing of noise and vibration, has received several awards from the
Government of India. Some of the more prominent amongst them are the
National Award for Research and Development Efforts in Industry in the
Mechanical Engineering Industries sector in 1999, the National Award for
Successful Commercialization of Indigenous Technology by an Industrial

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Concern in 2000, and the CSIR Diamond Jubilee Technology Award in
2004.
The company set up the Tata Motors European Technical Centre
(TMETC) in 2005 in the UK. TMETC is engaged in design engineering and
development of products, supporting Tata Motors' skill sets. Tata Daewoo
Commercial Vehicle Company and Hispano Carrocera also have R&D
establishments at Gunsan in South Korea and Zaragoza in Spain. The pace
of new product development has quickened through an organization-wide
structured New Product Introduction (NPI) process. The process with its
formal structure for introducing new vehicles in the market brings in greater
discipline in project execution.
The NPI process helped Tata Motors create a new segment, in 2005,
by launching the Tata Ace, India’s first indigenously developed mini-truck.
The years to come will see the introduction of several other innovative
vehicles, all rooted in emerging customer needs. Besides product
development, R&D is also focusing on environment-friendly technologies
in emissions and alternative fuels.

Through its subsidiaries, the company is engaged in engineering and


automotive solutions, construction equipment manufacturing, automotive
vehicle components manufacturing and supply chain activities, machine
tools and factory automation solutions, high-precision tooling and plastic
and electronic components for automotive and computer applications, and
automotive retailing and service operations.

True to the tradition of the Tata Group, Tata Motors is committed in


letter and spirit to Corporate Social Responsibility. It is a signatory to the
United Nations Global Compact, and is engaged in community and social

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initiatives on labor and environment standards in compliance with the
principles of the Global Compact. In accordance with this, it plays an active
role in community development, serving rural communities adjacent to its
manufacturing locations.

With the foundation of its rich heritage, Tata Motors today is etching a
refulgent future.

Management:
Board of Directors:

 Mr. Ratan N Tata (Chairman)


 Mr. N A Soonawala
 Dr. J JIrani
 Mr. V R Mehta
 Mr. R Gopalakrishnan
 Mr. Nusli N Wadia
 Mr. S M Palia
 Dr. R A Mashelkar
 Mr. Ravi Kant
 Mr. P M Telang

Senior Management:

 Mr. Ravi Kant : Managing Director


 Mr. P M Telang : Executive Director
 Mr. RajiveDube : President (Passenger Cars)
 Mr. C Ramkrishnan : Chief Financial Officer

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 Mr. P Y Gurav : Vice President (Corporate Finance-Accounts
and Taxation)
 Dr. S J Tambe : Vice President (Human Resource)
 Mr. ZackriaSait : Vice President (Technical Services)
 Mr. A M Mankad : Head (Car Plant)
 Mr. S B Borwankar : Head (Jamshedpur Plant)
 Mr. S Krishnan : Vice President (Commercial-PCBU)
 Mr. Ravi Pisharody : Vice President (Sales & Marketing)
 Mr. H K Sethna : Company Secretary

Corporate Communications

 Mr. Debasis Ray


Tel: 022 – 66657613 : Head - Corporate Communications

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CHAIRMAN’S PROFILE
Mr. Ratan N Tata (Chairman)

Heading the Tata Group since 1991, Ratan N Tata is the Chairman of
Tata Sons, holding company of the Tata Group, and major Group companies
including, Tata Motors, Tata Steel, Tata Consultancy Services, Tata Power,
Tata Tea, Tata Chemicals, Indian Hotels, Tata Teleservices and Tata Auto
Comp. He is also Chairman of two of the largest private sector promoted
philanthropic trusts in India. During his tenure, the Group has further
expanded its global reach, with its revenues growing over six fold to Rs
97,000 crore ($21.9 billion).
Mr. Tata joined the Tata Group in December 1962. After serving in
various companies, he was appointed the Director-in-Charge of The National
Radio & Heading the Tata Group since 1991, Ratan N Tata is the Chairman
of Tata Sons, holding company of the Tata Group, and major Group
companies including, Tata Motors, Tata Steel, Tata Consultancy Services,
Tata Power, Tata Tea, Tata Chemicals, Indian Hotels, Tata Teleservices and
Tata Auto Comp.
He is also Chairman of two of the largest private sector promoted
philanthropic trusts in India. During his tenure, the Group has further
expanded its global reach, with its revenues growing over six fold to Rs.
97,000 crore ($21.9 billion).
Mr. Tata joined the Tata Group in December 1962. After serving in
various companies, he was appointed the Director-in-Charge of the National
Radio & Electronics Company Limited (Nelco) in 1971. In 1981, he was
named Chairman of Tata Industries; the Group's other holding company,

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where he was responsible for transforming it into the Group's strategy think-
tank and a promoter of new ventures in high-technology businesses.
He is associated with various organizations in India and abroad in
varying capacities, some of which are:
 Chairman, government of India's Investment Commission
 Member, Prime Minister's Council on Trade and Industry
 Member, National Hydrogen Energy BoardMember, National
Manufacturing Competitiveness
 Competitiveness Council
 Serving on the International Investment Council set up by the president
of the Republic of South Africa
 Serving the International Business Advisory Council of the British
government to advise the chancellor of the exchequer
 Member, International Advisory Council of Singapore's Economic
Development Board
 Member, Asia-Pacific Advisory Committee to the board of directors of
the New York Stock Exchange Member, international advisory boards
of the Mitsubishi Corporation, the American International
 Group and JP Morgan Chase
 President, court of the Indian Institute of Science, Bangalore
 Chairman, council of management, Tata Institute of Fundamental
Research, Mumbai
 Member, board of trustees of the Rand Corporation, Cornell University
and University of Southern California, and the Foundation Board of the
Ohio State University
 Chair, advisory board of RAND's Center for Asia Pacific Policy

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 Member, Global Business Council on HIV / AIDS and the programme
board of the Bill & Melinda Gates Foundation's India AIDS initiative

Mr. Tata received a Bachelor of Science degree in architecture from


Cornell University in 1962. He worked briefly with Jones and Emmons in Los
Angeles, California, before returning to India in late 1962. He completed the
Advanced Management Program at Harvard Business School in 1975.
The government of India honored Mr. Tata with one of its highest
civilian awards, the Padma Bhushan, on Republic Day, January 26, 2000. He
has also been conferred an honorary doctorate in business administration by
the Ohio State University, an honorary doctorate in technology by the Asian
Institute of Technology, Bangkok, and and honorary doctorate in science by
the University of Warwick.
Manufacturing:
Tata Motors owes its leading position in the Indian automobile
industry to its strong focus on indigenization. This focus has driven the
Company to set up world-class manufacturing units with state-of-the-art
technology. Every stage of product evolution-design, development,
manufacturing, assembly and quality control, is carried out meticulously. Our
manufacturing plants are situated at Jamshedpur in the East, Pune in the
West and Lucknow in the North.

Jamshedpur:

Established in1945, the Jamshedpur unit was the company's first unit
and is spread over an area of 822 acres. It consists of 4 major divisions -
Truck Factory, Engine Factory, Cab & Cowl Factories, and the Novus.

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Engineering Division, which has one of the most versatile tool making
facilities in the Indian sub-continent.

Lucknow:

Tata Motors Lucknow is one of the youngest production facilities


among all the Tata Motors locations and was established in 1992 to meet the
demand for Commercial Vehicles in the Indian market.

Uttarakhand

The company has set up a plant for its mini-truck, Ace, at Pant Nagar
in Uttarakhand. The plant will begin commercial production during the
course of the year.

Research:
Research & Development:

Research provides the much-needed inspiration for the birth of new


ideas, which in turn breathes new life into products. World-class automotive
research and development are key factors that contribute to the leadership of
the Company.
Engineering Research Centre (ERC):
The Research Centre at Jamshedpur regularly upgrades components
and aggregates. A well-equipped torture track enables rigorous and
exhaustive testing of modifications before they are used as regular fitments.

Safety (CRASH TEST FACILITY):

GFGC, Shivamogga 29
For Tata Motors, safety is of paramount importance. This avenue
provides no room for the slightest margin of error.

Tata Motors ERC is the only high-tech facility in India to evaluate the
degree of passenger safety in the event of any high-speed impact. Through a
special crash test facility. Different types of accidents are simulated; the
results analyzed, and put to use in the development of a vehicle that satisfies
stringent international safety norms.

Special high-speed cameras record test crashes at the rate of 1000


frames per second. An accident, for instance, at the speed of 50 kilometers
per hour, lasts one eighth of a second. Thus, 125 frames recorded by these
cameras are available for study with the completion of each individual test.

Minimizing Noise (ANECHOIC CHAMBER):

Anechoic chamber is a highly sophisticated noise and vibration


laboratory, the nerve centre of which is a vast chamber lined with 88,000
cones projecting at various angles from the walls and ceiling. It is one of its
kinds in India and is developed completely with in-house facilities.

Designing and Styling (CAD CENTRE):

The CAD centre is equipped with 53 state-of-the-art CAD stations and


the latest software. The CAD centre is a vital organ of ERC's Cab Design
Section. CAD designing involves development of vehicle specifications,
styling interiors and exteriors, reviewing the styling from the engineering and
aesthetic points of view, virtual prototyping to check for design acceptability

GFGC, Shivamogga 30
and feasibility of manufacture.
AWARDS:

 PCBU bags Handa Golden Key Award…


 Tata Motors receives Uptime Champion Award 2007.
 Aggregates Business, CVBU, bags ‘Best Supplier Award’ from ECEL.
 'NDTV Profit' Business Leadership Award...
 Tata Motors bags National Award for Excellence in Cost
Management...
 Tata Motors' TRAKIT bags silver award for 'Excellence in Design'...
 Tata Motors Pune - CVBU has bagged the "Golden Peacock National
Quality Aw...
 Tata Motors was awarded four prestigious honors, at the 'CNBC TV18-
Auto car.
 Tata Motors chosen as India's Most Trusted Brand in Cars...
 Business today selects Mr. P.P. Kadle as India's Best CFO in 2005...
 Pune Foundry Division bags prestigious Green Foundry Award...
 Tata Motors is 'Commercial Vehicle Manufacturer of the Year'...
 ACE bags 'Best Commercial Vehicle Design' at the BBC-Top Gear
Awards....
 Tata Motors bags the prestigious' CII-EXIM Bank award' for business
excellence...
 'Car Maker of the Year' Award for Tata Motors.
 Tata Motors is 'Commercial Vehicle Manufacturer of the Year'
 'CFO of the Year Award 2004' awarded to Mr. Praveen P Kadle,
Executive Director

GFGC, Shivamogga 31
 Tata Motors wins 'Golden Peacock Award' for Corporate Social
Responsibility.
 Tata Motors CVBU Pune wins National Energy Award.
 Tata Motors - Jamshedpur wins 'Energy Efficient Unit Award'.
 Tata Motors wins the first CSIR Diamond Jubilee Technology Award.
 Tata Motors Jamshedpur &Lucknow win awards...

GFGC, Shivamogga 32
Chapter 4
DATA ANALYSIS AND INTERPRETATION

GFGC, Shivamogga 33
DATA ANALYSIS AND INTERPRETATION

Table: 1 AGE

Age Frequency Percentage

18-30 15 50.00

30-50 10 33.33

Above 50 5 16.67

INTERPRETATION:
There are more customers in the age group of 30-50 and 18-30 covered
under this study. Percentage wise graph has given here.

60

50

40
Age
30
Frequency
20
Percentage
10

0
1 2 3 4

GFGC, Shivamogga 34
Table: 2 INCOME PER MONTH:

Income. Frequency Percentage

5,000 – 10,000 08 26.67%

10,000 – 15,000 10 33.33%

15,000 – 20,000 06 20.00%

Above 20,000 06 20.00%

TOTAL 30 100%

ITERPRETATION:
Belong to 5000 income group, 26.67% of user are belong to 10000 to 15000
income group and 33.33% of user are belong to 20000 and above income
group.

Frequency

5,000 – 10,000
10,000 – 15,000
15,000 – 20,000
Above 20,000
TOTAL

GFGC, Shivamogga 35
Table: 3 OCCUPATIONS

Occupation Frequency Percentage


Govt. Employee 05 16.67
Pvt. Employee 08 26.67
Business man 03 10.00
Professional 05 16.67
House Wife 02 06.66
Student 04 13.33
Retired 03 10.00
TOTAL 30 100%

INTERPRETATION:
Have tried to cover all the people from different sectors. Here in my study
there are more no of Govt. and Pvt. sector Employee covered than other
sector.

TOTAL

Retired

Student

House Wife
Percentage
Professional Frequency

Business man

Pvt. Employee

Govt. Employee

0 5 10 15 20 25 30

GFGC, Shivamogga 36
Table: 4 Showing Ratio of Respondents having Two Wheeler.

No. Frequency Percentage

Yes 24 80.00

No 6 20.00

TOTAL 30 100%

INTERPRETATION:
The above I analyze the No. of people having vehicle. There are about 80% of
people having vehicle and only 20.00% of respondents do not having any
vehicle

TOTAL

No Percentage
Frequency

Yes

0 20 40 60 80

GFGC, Shivamogga 37
Table 5: If yes than specify………

Type of Vehicle FREQUENCY PERCENTAGE

Two Wheeler 21 70.00

Four Wheeler 05 16.67

Any other 04 13.33

TOTAL 30 100.00%

INTERPRETATION:
The above graph shows that mostly respondents who covers under my study
having Two Wheeler with 70.00% and it is followed by respondents who’re
having Four Wheeler with 16.67% and lastly with 13.33% of respondents
who are having vehicle other than two wheeler or Four Wheeler.

FREQUENCY

Two Wheeler
Four Wheeler
Any other
TOTAL

GFGC, Shivamogga 38
Table: 6 Showing Awareness level of “NANO”.

Awareness Frequency Percentage

Yes 30 100.00%

No 00 00.00%

TOTAL 30 100.00%

INTERPRETATION:
The above graph shows that out of 30 respondents all the respondents are
aware about the “NANO”.

TOTAL

30
25
20
15
10 TOTAL
5
0
0 -
30 100
Frequency Percentage

GFGC, Shivamogga 39
Table: 7 showing the satisfaction of respondents about “NANO”

SATISFACTION Frequency Percentage

Yes 27 90.00

No 3 10.00

TOTAL 30 100%

INTERPRETATION:
From the above graph we can see that there are 90.00% respondents like
Tata’s “NANO” car. in that respondents who do not want to go for “NANO”
but even they like “NANO” are also covered, very few respondents with
10.00% has given negative response to the “NANO” and it is very less
compare to overall sample size.

100%
90%
80%
70%
60% Percentage
50%
Frequency
40%
30%
20%
10%
0%
Yes No TOTAL

GFGC, Shivamogga 40
Table: 8 satisfaction of Respondents about model of “NANO”.
MODEL FREQUENCY PERCENTAGE

Standard (Without AC) 18 60.00

Deluxe (With AC) 12 40.00

TOTAL 30 100.00%

INTERPRETATION:
The above graph shows the preference of the respondents regarding
two different model of “NANO” car while purchasing. Here from the above
graph we can see that the No. of respondents who’s given their preference
for car model are equally for each model. Respondents who are like to go
with Standard Model are 18 with 60.00% and respondents who prefers
Deluxe Model are 12 out of 30 with 40.00

TOTAL

PERCENTAGE
Deluxe (With AC)
FREQUENCY

Standard (Without AC)

0 10 20 30 40 50 60

GFGC, Shivamogga 41
Table: 9 satisfaction of respondents regarding mileage of “NANO”

MILEAGE FREQUENCY PERCENTAGE


Very good reason to buy 18 60.00
Good Enough for Small Town 9 30.00
Not Enough 3 10.00
TOTAL 30 100%

INTERPRETATION:

The above graph shows that the out of 30 respondents mostly respondents
like the mileage of “NANO” car. Here, out of 30 respondents 18 select
Mileage as a “Very Good Reason” with 60.00% , 09 respondents think that
this mileage of the car is “Good Enough” for small town with 30.00% and at
last very few respondents believe that this mileage is “Not Enough” with
10.00%

FREQUENCY
Very good reason to
buy
Good Enough for Small
Town
Not Enough

TOTAL

GFGC, Shivamogga 42
Table: 10Showing how purchase decision of “NANO” affect on Status of
respondents
RESPONDS FREQUENCY PERCENTAGE
Yes 18 60.00
No 12 40.00
TOTAL 30 100.00%

INTERPRETATION:
Here the above graph shows that out of 30 respondents 18 respondents with
60.00% think that Purchase decision of NANO would be affect to their status.
Here respondents were thinking in both the sense positively as well as
negatively. It’s followed by the respondents who were thinking that
purchasing decision on NANO will not affect to their status, there are 12
respondents with 40.00% falls in this category.

FREQUENCY

Very good reason to buy

Good Enough for Small


Town
Not Enough

TOTAL

GFGC, Shivamogga 43
Table: 11 showing level of respondents belief about

RESPOND FREQUENCY PERCENTAGE


Yes 18 60.00
No 12 40.00
TOTAL 30 100%
INTERPRETATION:
The above graph shows that out of 30 respondents 18 respondent
with 60.00% believe that Tata’s “NANO” is there Dream car, while 12
respondents with 40.00% do not think that “NANO” is their Dream car.

60
50
40
30 FREQUENCY
20 PERCENTAGE
10
PERCENTAGE
0
FREQUENCY
Yes
No
TOTAL

GFGC, Shivamogga 44
Table: 12 rank following attributes of in order to preference given by you,
while buying “Nano”

PRFERENCE FREQUENC PERCENTAGE

BRAND NAME 15 50.00%

SAFETY 06 20.00%

SHAPE / DESINGN 04 13.33%

AFFORDABILITY 05 16.67

TOTAL 30 100.00%

INTERPRETATION:
 50% of the responded are attracted by mileage to TATA NANO car and
 20% of them safety
 13.33% of them attracted shape
 16.67% of responded or attracted for affordability

FREQUENCY

BRAND NAME
SAFETY
SHAPE / DESINGN
AFFORDABILITY
TOTAL

GFGC, Shivamogga 45
Table: 13 why did you prefer a NANO to a second hand car?

SECOND HAND CAR FREQUENCY PERCENTAGE

IT`S NEW 08 26.66%

RUNNING COST 04 13.34%

MILEAGE 10 33.34%

GOOD LOOKS 08 26.66%

TOTAL 30 100.00%

INTERPRETATION:
 Out of the 30 responded 26.66% responded are influenced it`s new
 13.33% responded are influenced it`s running cost.
 33.34% responded are influenced it`s mileage.
 26.66% responded are influenced it`s good looks

30
25
20
15
10 FREQUENCY

5 PERCENTAGE

GFGC, Shivamogga 46
Table: 14 which company`s car do you prefer while buying a car

FREQUENCY PERCENTAGE
COMPANY
TATA MOTORS 15 50.00%

HYUNDAI 06 20.00%

TOYOTA 03 10.00%

MUL 03 10.00%

FIAT 03 10.00%

TOTAL 30 100.00%
INTERPRETATION:
50% of the responded prefer to buy a car from TATA motor and
20% them from HYUNDI
10% responded prefer to buy a car from Toyota 10% of MUL
While 10% them ford and 10% of them for FIA

FORT

FIAT

MUL
FREQUENCY

TOYOTA PERCENTAGE

HYUNDAI

TATA MOTORS

95% 96% 97% 98% 99% 100%

GFGC, Shivamogga 47
Table: 15 how did you come to know about this car?

ABOUT THIS CAR FREQUENCY PERCENTAGE


FRIENDS 20 66.67%
NEWS PAPER 4 13.33%
TELEVISION 2 06.67%
MAGAZINE 4 13.33%
TOTAL 30 100.00%
INTERPRETATION:
Out of the 30 of responded 66.67% of the responded or influ7nced by friend
13.33% responded or influenced news paper. 06.67% of the responded are
influenced by TV.
13.33% of the responded or influenced magazine.

30
25
20
15
10
FREQUENCY
5
0 PERCENTAGE
FREQUENCY

GFGC, Shivamogga 48
Table: 16 Do you recommend others to buy this car?
RECOMNDED FREQUENCY PERCENTAGE
YES 20 66.67%
NO 10 33.33%
TOTAL 30 100.00%

INTERPRETATION:
From the survey it was found that 66.67% of recommend to buy No this Nano
car 33.33% may go for future purchase.

35

30

25

20
PERCENTAGE
15 FREQUENCY

10

0
YES NO TOTAL

GFGC, Shivamogga 49
Table: 17 Do you agree that Tata Nano is comfortable while driving.

COMFORTABLE FREQUENCY PERCENTAGE


STRONGLY AGREE 06 20.00%
AGREE 15 50.00%
DIS- AGREE 09 30.00%
TOTAL 30 100.00%

INTERPRETATION:
20% of the responded have strongly agree that TATA NANO have lived up to
their expectation 50% agree of them have agreed and from the analyses 30%
of them have neither disagree

FREQUENCY
35

30

25

20

15 FREQUENCY

10

0
0 1 2 3 4 5 6

GFGC, Shivamogga 50
Table: 18 what do you feel about the price of Tata Nano?

PRICE FREQUENCY PERCENTAGE


VERY HIGH 06 20.00%
COMPITETIVE 16 53.34%
HIGH 04 13.33%
LOW 04 13.33%
TOTAL 30 100.00%

INTERPRETATION:
 20% of the responded or in favor of ve3ry high price of TATA NANO
car and 53.34% of them favor of competitive
 Nearly 13.33% of them or in favor of high price of TATA NANO
 While 33.33% of them are in favor of low price TATA NANO

FREQUENCY

VERY HIGH
COMPITETIVE
HIGH
LOW
TOTAL

GFGC, Shivamogga 51
Table: 19. Tata Nano car is fit for rough roads.
ROUGH ROADS FREQUENCY PERCENTAGE
STRONGLY AGREE 15 50.00%
AGREE 10 33.33%
DIS-AGREE 05 16.67%
TOTAL 30 100.00%

INTERPRETATION:
50% of the responded have strongly agree that TATA NANO have lived up to
their expectation 33.33% agree of them have agreed and from the analyses
16.67% of them have neither disagree

4
ROUGH ROADS
3 FREQUENCY
PERCENTAGE
2

0 10 20 30 40

GFGC, Shivamogga 52
Table: 20 Source of finance for purchase of Tata Nano.

PURCHASE OF NANO FREQUENCY PERCENTAGE


CASH 15 50.00%
PRIVATE FINANCE 04 13.33%
EMPLOYEE FINANCE 04 13.33%
BANK FINANCE 07 23.34%
TOTAL 30 100.00%

INTERPRETATION:

 50% of the responded of purchased TATA NANO car through cash and
13.33% of them private finance
 While 13.33% of them purchased2 car through employee finance and
23.34% of them bank finance

FREQUENCY

CASH
PRIVATE FINANCE
EMPLOYEE FINANCE
BANK FINANCE
TOTAL

GFGC, Shivamogga 53
CHAPTER: 6

SUGGESTIONS AND CONCLUSION

GFGC, Shivamogga 54
SUGGESTIONS AND CONCLUSION
Findings
 I have found in my study that most of the respondents who like to go for
TATA’s “NANO” belong to income group of 5000 to 15000, so it can be said
that “NANO” will be most welcome by this income group of people.
 Most of the respondents who belongs to the Private Sector or Govt. Sector
having greater acceptance level for “NANO” in SHIVAMOGGA city and they
would also like to go for “NANO”.
 I have found that all the respondents of SHIVAMOGGA City which covered
under my study are well aware about TATAs “NANO”.
 In my study I have found that above 90% of respondents like the TATA”s
“NANO” car. Those respondents who would not like to go for “NANO” , they
are also like the TATA”s “NANO” for various reason like affordability, brand
name, shape/design this shows the preference of the respondents in
SHIVAMOGGA city.
 More than half of the respondents would like to buy “NANO” in next 1 to 2
year. Respondents who like to buy “NANO” are curiously waiting for its
launching, respondents like to go for “NANO” as it’s most affordable cost and
of course due to its Brand Name that is TATA.
 Respondents also prefer “NANO” due to its promise of good mileage about
21KM/Liter so, if TATA will fulfill the promise and if continuously maintain
the mileage of its car the “NANO” than it’ll surely helpful to attract more
customer.
 Respondents who are preferring the second hand car , after the launching of
TATA’s Rs. 1lakh car the “NANO”, they would also like to go for “NANO” due
to its low cost and of course due to its attractive shape and design , its
newness as compare to second hand car.
 More than half of the respondents believe that “NANO” is their Dream Car,
so it shows TATA’s “NANO” car will be warmly welcome by the people of
SHIVAMOGGA City.

GFGC, Shivamogga 55
CONCLUSION
During my study I have done a project on perception of people on
“NANO” car in SHIVAMOGGA city. I had learn a lot and get opportunity to
know what consumer actually thinks and what they perceive about TATA’s
“NANO” because I had done field work and I was in between the people
only. I gain a practical knowledge, which I haven’t got anywhere.

I had used a Questionnaire as a tool through which I had gathered a


lot of information. I fill up 300 questionnaires from the 5 areas of
SHIVAMOGGA city; under my study I have covered different class of people
to know their perception and acceptance level for “NANO”. I analyze from
my questionnaire those 100% respondents aware from the TATA’s upcoming
“NANO” car, and out of 300 respondents 90% respondents like the “NANO”.
I also found that 71% of respondents would like to buy “NANO” in next 1 to 2
year, It shows the acceptance level of the people of SHIVAMOGGA city and
it’s good sign TATA. Respondents who like the “NANO” or want to buy prefer
the “NANO” due to its Affordability and Brand Name.

All this information will be benefited to know the Perception and


Acceptance level of people in SHIVAMOGGA City. It can be also benefited to
the TATA MOTERS as I had mentioned all the likes and dislikes of the
respondents in my Study.

GFGC, Shivamogga 56
ANNEXURES

 Questionnaire
 Bibliography

GFGC, Shivamogga 57
QUESTIONNAIRE

Dear Sir/Madam,

I am the student of Govt, First Grade College, Shivamogga and I am


conducting “CONSUMER SATISFACTION TOWARDS TATA NANO CAR: A
CASE STUDY ADISHAKTHI CARS (P) LTD, SHIVAMOGGA,”The following
questionnaire has been drafted to make me understand the needs and
expectations of the customers. Therefore I request you to kindly spare some
time and give me the following information. I assure you that this data will
not be misused and will only be used in the study.

Your’s

Girisha C.S

Personal Details

NAME……………...
Address: …………………………
1. AGE
18-30 [ ] 30-50 [ ]
2. Above 50 [ ]
Gender
Male [ ] Female [ ]
3. INCOME PER MONTH
5,000 – 10,000 [ ] 10,000 – 15,000 [ ]
15,000 – 20,000 [ ] Above 20,000 [ ]
4. 4.OCCUPATION
Govt. Employee [ ] Pvt. Employee [ ]
Business man [ ] Business man [ ]
House Wife [ ] Student [ ]
Retired [ ]

GFGC, Shivamogga 58
5. Showing Ratio of Respondents having Two Wheeler.
Yes [ ] No [ ]
6. If yes than specify………
Two Wheeler [ ] Four wheeler [ ]
7. Any other [ ]
8. Are you aware of Tata’s “NANO” car?
Yes [ ] No [ ]

9. Which model would you go for?


Deluxe (with AC) [ ] Standard (without AC) [ ]

10.What do you think of it’s mileage of 21KM/Liter?


Very Good & reason to buy [ ]
Not enough [ ]
Good enough for small town [ ]

11.Rank following attributes of in order to preference given by you, while


buying “NANO”
Brand Name [ ] Shape/Design [ ]
Safety [ ] Affordability [ ]
Comfort [ ]

12.Why do you prefer a NANO to a second hand car?


It’s new [ ] Mileage [ ]
Running Costs [ ] Good looks [ ]

13.Do you think that Purchase decision of NANO will affects your status?
Yes [ ] No [ ]

14.Which company’s car do you prefer while buying a car?


Tata Motors [ ] MUL [ ]
Hyundai [ ] Fiat [ ]
Toyota [ ] Ford [ ]

15.How did you come to know about this car?


Friends [ ] Newspaper [ ]
Television [ ] Magazine [ ]

GFGC, Shivamogga 59
16.Do you recommend others to buy this car?
Yes [ ] No [ ]

17.Do you agree that Tata NANO is comfortable while driving.


Strongly Agree [ ] Agree [ ] Dis-Agree [ ]

18.What do you feel about the price of Tata NANO?


Very High [ ] High [ ]
Competitive [ ] Low [ ]

19.Tata NANO car is fit for rough roads.


Strongly Agree [ ] Agree [ ] Dis-Agree [ ]
20.Source of finance for purchase of Tata Nano.
Cash [ ] Employee finance [ ]
Private finance [ ] Bank finance [ ]

21.What do you feel great about your car when compared to other cars in
the market?
Fuel efficiency [ ] Low maintenance [ ]
Brand quality [ ] any other specify ……….

22.Which bank do you prefer in getting financial help while purchasing a


car?
ICICI [ ] HDFC [ ]
SBI [ ] Others

23.What kinds of offers do you like or expect from NANO?


Free insurance [ ]
Special discount on sale of cars [ ]
Extending the service period [ ]
Finance availability with 0% interest [ ]

24.Please provide suggestions to improve the quality and performance of


Tata NANO car?
_______________________________________________

SIGNETURE

GFGC, Shivamogga 60
BIBLIOGRAPHY

BOOKS:

1) Philip kotler & hiller, Marketing Management 8th edition: Pearson

2) Berman, Berry and Joel r Evans, Retail management: A strategic approach


8th edition Englewood cliffs NJ printicehall

3) Art kleiner George Roth,” How to Make experience your company’s best
teacher” Hardwar business review,

4) Boris Grasberg, Hashish Nanda, and Nitin Nuhria “the risky business of
hiring stars “, Hardwar business review.

5) Country analysis 1997 “A framework to identify and evaluate the national


business environment “Hardware business review.

MAGAZINES

A) OUTLOOK BUSINESS (9TH FEB, 2011)


B) BUSINESS STANDART (18TH FEB, 2011)
C) 4P’S OF BUSINESS AND MARKETING (28TH MARCH, 2010)
INTERNET:

http://www.tatamotors.com

GFGC, Shivamogga 61