RESEARCH METHODOLOGY

ON

The buying behaviour of consumer regarding cars in Ludhiana

SUBMITTED TO:Mr. GAUTAM BANSAL (FACULTY PCTE) SUBMITTED BY:PRABHDEEP KAUR MBA 1B

Punjab College of Technical Education, Baddowal, Ludhiana

ACKNOWLEDGEMENT
It is my immense pleasure to express my sincere gratitude to Mr. Gautam Bansal, Faculty Member, Punjab College of Technical Education, Ludhiana for his ever willing and constant encouragement in the preparation of the project. My thanks are due to Dr. K.N.S. Kang, Director, Punjab College of Technical Education for providing help related to provision of necessary infrastructure, failing which the project could not have been completed. I will fail in my duty if I would not acknowledge the blessings of almighty God and efforts of my friends whose tremendous support and inspiration I cannot explain in words. I am equally thankful to my respondents and all those who made the completion of the study possible.

Prabhdeep Kaur MBA I (B) 1106606

CERTIFICATE

This is to certify that the project report title Study on buying behaviour of consumer regarding cars in Ludhiana is submitted to Punjab College of Technical Education, Baddowal in the partial fulfillment of the degree of Masters of Business Administration of session (2006-2008) affiliated to Punjab Technical University, Jalandhar is a bonafide research work carried on by Prabhdeep Kaur, roll no 1106606 under my supervision. The assistance and help received during the course of investigation has been fully acknowledged.

________________ Major Advisor Mr.Gautam Bansal Senior lecturer Department of Business Management PCTE, Ludhiana

TABLE OF CONTENTS
SERIAL NO. 1 2 3 4 5 6 7 CONTENTS Chapter 1 : Introduction Chapter 2 : Objectives Chapter 3 : Research Methodology Chapter 4 : Analysis and Interpretation Chapter 5 : Results and Findings Bibliography Appendix PAGE NO. 1 13 14 16 24 25 26

LIST OF TABLES
SERIAL NO. 1 2 3 4 5 6 7 8 TABLE NO. 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 TABLE NAME Showing the awareness regarding cars Showing the people influencing the purchase decision of car Showing exterior features affecting purchase behavior Showing interior features affecting purchase behavior Showing the factors for buying the cars Showing ranking attributes affecting the purchase behavior Showing the satisfaction level of car Showing overall satisfaction from the car PAGE NO. 16 17 18 19 20 21 22 23

LIST OF FIGURES
SERIAL NO. 1 2 3 4 5 6 7 8 FIGURE NO. 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 FIGURE NAME Showing the awareness regarding cars Showing the people influencing purchase decision of car Showing the exterior features affecting purchase behavior Showing the interior features affecting purchase behavior Showing the factors for buying the cars Showing ranking attributes affecting the purchase behavior Showing the satisfaction level of car Showing overall satisfaction from the car PAGE NO. 16 17 18 19 20 21 22 23

Chapter 1
The history of the automobile industry in India actually began about 4,000 years ago when the first wheel was used for transportation. In the early 15th century, the Portuguese arrived in China and the interaction of the two cultures led to a variety of new technologies, including the creation of a wheel that turned under its own power. By the 1600s, small steam-powered engine models were developed, but it was another century before a full-sized engine-powered automobile was created. The dream a carriage that moved on its own was realized only in the 18th century when the first car rolled on the streets. Steam, petroleum gas, electricity and petrol started to be used in these cars. The automobile, as it progressed, was a product of many hands, of revolutionary concepts, and of simple, almost unnoticed upgrading. India's transport network is developing at a fast pace and the automobile industry is growing too. The automobile industry also provides employment to a large section of the population. Thus the role of automobile industry cannot be overlooked in Indian Economy. All kinds of vehicles are produced by the automobile industry. It includes the manufacture of trucks, buses, passenger cars, defense vehicles, two-wheelers, etc. The industry can be broadly divided into the car manufacturing, two-wheeler manufacturing and heavy vehicle-manufacturing units. The major car manufacturers in India are Hindustan Motors, Maruti Udyog, Fiat India Private Ltd., Ford India Ltd., General Motors India Pvt. Ltd., Honda Siel Cars India Ltd., Hyundai Motors India Ltd., Skoda India Private Ltd., Toyota Kirloskar Motor Ltd., to name just a few. The two-wheeler manufacturing is dominated by companies like TVS, Honda Motorcycle & Scooter India (Pvt.) Ltd., Hero Honda, Yamaha, Bajaj, etc. The heavy motors like buses, trucks, defense vehicles, auto rickshaws and other multi-utility vehicles are manufactured by Tata-Telco, Ashok Leyland, Eicher Motors, Bajaj, Mahindra and Mahindra, etc.

The Indian automobile industry is now striding inroads into the rural middle class after its inroads into the urban markets and rural rich. It is trying to bring in varying products to suit requirements of different class segments of customers . In this section we will provide you with an in-depth reading and understanding of the various aspects of the automobile industry - the history of automobiles, information about various automobile companies in India, automobile service stations in India, petrol stations, car finance and insurance, the scope of second hand car market in India, car accessories, automobile component and spares, lubricants and some other useful information which you may like to have.

1.1 HISTORY
The birth of the car as we know it today occurred over a period of years. It was only in 1885 that the first real car rolled down on to the streets. The earlier attempts, though successful, were steam powered road-vehicles. The first self-propelled car was built by Nicolas Cugnot in 1769 which could attain speeds of up to 6kms/hour. In 1771 he again designed another steam-driven engine which ran so fast that it rammed into a wall, recording the worlds first accident. In 1807 Francois Isaac de Rivaz designed the first internal combustion engine. This was subsequently used by him to develop the worlds first vehicle to run on such an engine, one that used a mixture of hydrogen and oxygen to generate energy. This spawned the birth of a number of designs based on the internal combustion engine in the early nineteenth century with little or no degree of commercial success. In 1860 there after, Jean Joseph Etienne Lenoir built the first successful two-stroke gas driven engine. In 1862 he again built an experimental vehicle driven by his gas-engine, which ran at a speed of 3 kms/hour. These cars became popular and by 1865 could be frequently espied on the roads. The next major leap forward occurred in 1885 when the four stroke engine was devised. Gottileb Damlier and Nicolas Otto worked together on the mission till they fell apart. Daimler created his own engines which he used both for cars and for the first four wheel horseless carriage. In the meanwhile, unknown to them, Karl Benz, was in the process of creating his own advanced tri-cycle which proved to be the first true car. This car first saw the light of the day in 1886.

The season of experiments continued across the seas in the United States where Henry Ford began work on a horseless carriage in 1890. He went several steps forward and in 1896, completed his first car, the Quadricycle in 1896. This was an automobile powered by a two cylinder gasoline engine. The Ford Motor Company was launched in 1903 and in 1908 he catapulted his vehicle, Model T Ford to the pinnacle of fame. Continuing with his innovations, he produced this model on a moving assembly line, thus introducing the modern mass production techniques of the automobile industry. The modern car therefore comes from a long list of venerated ancestors, and its lineage will, hopefully grow longer as we progress!

1.2 Events in history of car

A behind- the- scenes look into the making of one of India's most vibrant industries. The landmarks along the way... 1928- The first imported car was seen on Indian roads 1942- Hindustan Motors incorporated 1944- Premier automobiles started 1948- First car manufactured in India 1953- The Government of India decreed that only those firms which have a manufacturing program should be allowed to operate 1955- Only seven firms, namely, HM, API, ALL, SMPIL, PAL, M& M and TELCO Received approval. 1960 - 1970 - The two, three wheeler industry established a foothold in the Indian scenario. 1970 - 1980 - Not much change was witnessed during this period. The major factors affecting the industry were the implementation of the MRTP Act (Monopolies and Trade Restrictive Practices Act), FERA (Foreign Exchange Regulation Act) and the Oil Shock of 1973 and 1979. 1980 - 1990 - The first phase of liberalization was announced by the Govt. -With the liberalization of the Government's protectionist policies, the advantages hitherto enjoyed by the Indian car manufacturers like monopoly, oligopoly, slowly began to disappear.

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This period is also marked by the entry of a large number of firms in the market. 4 Japanese manufacturers entered the Commercial Vehicle and Two- Wheeler market. The Government agreed to the demand for allowing foreign collaboration in the automobile sector. The industry witnessed resurgence due to major policy changes like relaxation in MRTP and FERA, delicensing of some ancillary products, broad banding of the products and modification in the licensing policy. Also, the concessions it gave to the private sector and the new foreign collaboration policy, all resulted in higher growth and better performance of the industry than in the earlier decades. The Government of India tied up with Suzuki Inc. of Japan which produced India's most successful car- the Maruti. 1991 - Under the Govt.'s new National Industrial Policy, the license raj was dispensed with, and the automobile industries were allowed to expand freely. 1993 - With the winds of liberalization sweeping the Indian car market, many multinationals like Daewoo, Peugeot, general Motors, Mercedes-Benz and Fiat came into the Indian car market. 1997 - The National Highway Policy was announced which will hopefully have a positive impact on the automobile industry. The Government also laid down the emission standards to be met by car manufacturers in India in the coming millennium. There were two successively stringent emission levels to be met by April 2000 and April 2005, respectively. These norms were benchmarked on the basis of those already adopted in Europe, hence the names Euro I (equivalent to India 2000) and the Indian equivalent of Euro II 1999 - The Honble Supreme Court passed an order directing all car manufacturers to comply with Euro I emission norms (India 2000 norms) by the 1st of May, 1999 in National Capital Region (NCR) of Delhi. The deadline was later extended to 1st June, 1999.

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1.3 Advent of car in Indian market

From the singsong rhythm of the bullock cart to the jet-age, India has traveled a long way. An average Indians dream car may not be the design-savvy Honda or the stately limousine, but he sure can dream, and afford, the Maruti now. It was in 1898 that the first motorcar rode down Indias roads. From then till the First World War, about 4,000 cars were directly imported to India from foreign manufacturers. The growing demand for these cars established the inherent requirements of the Indian market that these merchants were quick to pounce upon. The Hindustan Motors (HM) was set up in 1942 and in 1944, Premier Auto back mobile (PAL) was established to manufacture automobiles in India. However, it was PAL who produced the first car in India in 1946, as HM concentrated on auto components and could produce their first car only in 1949. It was left to another company, Mahindra and Mahindra (M&M) to manufacture sturdier utility vehicles, namely the American Jeep.

It the 50s, the Government of India granted approval to only 7 car dealers to operate in India - HM, API, ALL, SMPIL, PAL, M&M and Telco. The protectionist policies continued to remain in place. The 60s witnessed the establishment of the two-three wheeler industry in India and in the 70s, things remained much the same. Since the 80s, the Indian car Industry has seen a major resurgence with the opening up of Indian shores to foreign manufacturers and collaborators. The 90s have become the melting point for the car industry in India. The consumer is king. He is being constantly wooed by both the Indian and foreign manufacturers. Though sales had taken a dip in the first few months of 1999, it is back to boom time. New models like Marutis Classic, Alto, Station Wagon, Fords Ikon, the new look

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Mitsubishi Lancer are all being launched with an eye on the emerging market. In these last years of the millennium, suffice it is to say that Indian cars will only grow from strength to strength.

1.4 Major Players

Daewoo Motors Daewoo Motors India Limited is a part of the Korean multinational Daewoo Group with an annual turnover of 65 billion US dollars and with a diversified presence in 123 countries. Its annual production capacity, worldwide, is over 1.7 million units. Its produces an entire range of automotive products including sedans, buses and trucks. Despite the single largest investment in the Indian auto industry, Daewoo has not achieved the kind of success it had hoped to. The price slash boomeranged on it. It had an adverse affect on sales, raising questions regarding quality of the reduced price model.
General Motors

General Motors is the worldwide leader in car manufacture, with a 17% share in the world auto market. Its products are sold in over 170 countries, and its manufacturing base is spread across 43 countries and its annual production is roughly 83 lakh vehicles. It manufactures a variety of vehicles: the Chevrolet, Pontaic, Cadillac, Oldsmobile, Opel, Saturn, Geo, Vauxhall, Holden and many more. At the forefront of technological innovations in the automotive sector, General Motors, since its inception in 1908, has always stood a shade above the rest. In 1911, it introduced the electric self-starter, in 1933, developed the front wheel suspension, and called the Knee - Action. It initiated the installation of the industry's first catalytic converters in all cars sold in the US in 1975 and in 1996 delivered the first electric vehicle, the GM EV1, to consumers. The latest is the production of the EVJ, an electric passenger vehicle. Its tryst with India began in 1928, with the assemblage of Chevrolets in 1928. Till its closure in 1954, it assembled trucks, buses and batteries both for the Indian and export market. It has since then been in the Indian market as part of tie-ups with the Hindustan Motors to produce Bedford trucks, Vauxhall cars, Allison transmission and off-highway equipment

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General Motors India was formed in 1994 as a result of collaboration between General Motors Corporation and C.K. Birla Group of Companies. Its total investment is to the tune of Rs. 300 crores, roughly equal to 100 million dollars and its Manufacturing Plant is located at Halol, 40 km north of Vadodara in Gujarat. GM India has brought the latest manufacturing processes and human factor practices to its Halol Plant and therefore is the benchmark for advanced technologies in the Indian automotive industry. GM's operations in India combine Indian ingenuity, American management know-how and German engineering to produce premium automobiles in a world class manufacturing environment. The Opel Astra that GM India is producing is Opel's best selling model worldwide and the third best selling car ever produced. GM India's Dealer network and after sales support system are fully functional and provide solid backing for their customers after they purchase the product and help assure total customer satisfaction and enthusiasm. Maruti Udyog Limited Maruti Udyog Limited is the premier car company in India. Maruti Udyog Limited (MUL) was established in Feb 1981. The company entered into collaboration with Suzuki Motor Corporation of Japan to manufacture cars. Maruti is the highest volume car manufacturer in Asia, outside Japan and Korea. Despite there being 11 companies now in the passenger car market in India, Maruti holds about 60% of the total market share. Maruti Udyog Limited, the largest Car selling company in India, has many unique Service advantages for the customers. It has bagged the First Position in JD Power Customer Satisfaction Index for the consecutive two years. The company has also ranked highest in the India Sales Satisfaction Study. Tata Motors Limited Tata Motors Limited is India's largest automobile company, with revenues of Rs. 24,000 crores in 2005-06. Its name comes first in the category of commercial vehicles and the second largest in the passenger vehicles, mid size car and utility vehicle segments. The company is the world's fifth largest medium and heavy commercial vehicle manufacturer

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Over 3.5 million Tata vehicles are moving on Indian roads, since 1954. Its manufacturing plant is located at Jamshedpur, Pune and Lucknow. Ford Motor Company Ford Motor Company is the world's second largest automaker. The company's world headquarters is in Dearborn, Michigan. Its automotive brands include Aston Martin, Ford, Jaguar, Land Rover, Lincoln, Mazda, Mercury and Volvo. Ford entered the Indian market and since then Ford India Limited has registered an impressive growth. The company's plant is located in Maraimalai Nagar near Chennai and has the capacity to produce 1, 00,000 vehicles per annum. Mercedes Benz With the aim to serve the customers in India with the latest products and technological excellence from the Mercedes-Benz, Daimler Chrysler entered the Indian market and set up Mercedes-Benz India Ltd. way back in 1994. In January 2000, Mercedes-Benz EClass (W 210), 'Top of the line' E 240 Petrol and E 220 CDI Diesel versions were launched with several advanced technology and mentionable, high end features. It has a long-term commitment to the Indian market and has full support of its parent company for its future plans in India. Toyota Motors With the full devotion and round the clock services, Toyota Company has dragged the attention of Indian customers to its products. Toyota tied up with Kirloskar Group by forming Toyota Kirloskar Motor Private Limited. Establishment of Toyota Kirloskar Motor Private Limited or TKM took place ceremonially on 6th October, 1997. Percentage of shares between two shareholders is -Toyota Motor Corporation holding share of 89% while Kirloskar group is having the share of 11%. Honda Siel Cars Honda Siel Cars India Ltd., (HSCI) was set up in December 1995 as a joint venture between Honda Motor Co. Ltd., Japan and Siel Limited to manufacture passenger cars in

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India. The company has brought about three models in India - Honda City, Honda Accord, and Honda CR-V. Its first model was launched in 1997. Very recently Honda Siel Cars has launched one more market friendly model, Honda Civic on 9th July 2006 in India. Honda Siel Cars India Ltd. is ISO 9002 & ISO 14001 certified.

1.5 Contribution to Indian economy

India holds huge potential in the automobile sector including the automobile component sector owing to its technological, cost and manpower advantage. Further, India has a well-developed, globally competitive Auto Ancillary Industry and established automobile testing and R&D centres. The country enjoys natural advantage and is among the lowest cost producers of steel in the world. The Indian automobile industry today boasts of being the Second largest two Wheelers manufacturers in the world, World largest Motorcycle manufacturer is in India, Second Largest tractor manufacturer in the world, fifth largest commercial vehicle manufacturer in the world and Fourth largest Car market in Asia. Investment opportunities Establishing Research and Development Centres Establishing Engineering Centres Passenger Car Segment Two Wheeler Segment Heavy truck Segment

Production One of the largest industries in India, automotive industry has been witnessing impressive growth during the last two decades. Abolition of licensing in 1991, permitting automatic

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approval and successive liberalization of the sector over the years have led to overall development of the automobile industry. The freeing of the industry from restrictive environment, on the one hand, helped it to restructure, absorb new technologies, align itself to global developments and realize its potential and on the other hand, this has significantly increased industry's contribution to overall industrial growth in the country. The automobile industry witnessed a growth of 19.35 percent in April- July 2006 when compared to April- July 2005.
Automobile Production Trends

Category M&HCVs LCVs Total CVs Passenger Cars Utility Vehicles MPVs Total Passenger vehicles Scooters Motorcycles Mopeds Total Two Wheelers Three Wheelers Grand Total

2004-05 214807 138896 353703 960487 182018 67371 1209876 987498 5193894 348437 6529829 374445 8467853

2005-06 (In Nos) 219297 171781 391078 1045881 196371 66661 1308913 1020013 6201214 379574 7600801 434424 9735216

Source: Society of Indian Automobile Manufacturers (SIAM)

Domestic sales The Passenger Car sales rose by 22.94 percent during April-August 06 compared with same months last year. Utility Vehicles (UVs) sales grew at 11.95 percent during the same period. The cumulative growth of overall Passenger Vehicles during April-August 2006 was 20.58 percent. Overall Two Wheeler market grew by 14.66 percent during April-August 2006 over the same period last year. Motorcycles grew by 16.96 percent;

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Scooters grew by about 4.24 percent and Mopeds Grew by 4.55 percent. Three Wheelers sales grew at 20.64 percent. Goods carriers grew by 24.23 percent and Passenger Carrier grew at 18.26 percent during the April-August 06, over the same period last year. Overall Commercial Vehicles segment grew at 37.90 percent. Growth of Medium & Heavy Commercial Vehicle's was 41.49 percent. Light Commercial Vehicles also performed well with a growth of 32.95 percent.
Automobile Domestic Sales Trend

Category M&HCVs LCVs Total CVs Passenger Cars Utility Vehicles MPVs Total Passenger Vehicles Scooters Motorcycles Mopeds Total Two Wheelers Three Wheelers Grand Total

2004-05 198506 119924 318430 820179 176360 65033 1061572 922428 4964753 322584 6209765 307862 7897629

2005-06 (In Nos.) 207446 143237 350683 882094 194577 66366 1143037 908159 5815417 332741 7056317 360187 8910224

Source: Society of Indian Automobile Manufacturers (SIAM)

Export Overall automobile Exports registered 28.13 percent growth rate in April-August 2006 over the same period last year. Passenger Vehicles Exports grew at 14 percent. Two Wheelers Exports grew by 28.80 percent and Commercial Vehicles by 28.36 percent.
Automobile Export Trends

Category M&HCVs

2004-05 2005-06 (In Nos.) 13474 14096

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LCVs Total CVs Passenger Cars Utility Vehicles MPVs

16466 29940 160670 4505 1227 166402

26485 40581 170193 4486 1093 175772 83873 386202 43181 513256 76885 806494

Scooters Motorcycles Mopeds Total Two Wheelers Three Wheelers Grand Total

60699 277123 28585 366407 66795 629544

Chapter 2 Objectives:
To study the different brands of the cars available in the Ludhiana market To study the exterior and interior features of the cars To study the most preferred brand of the car available in the Ludhiana market To study the factors influencing the decision to purchase a car To study the satisfaction level of customers regarding the cars

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Chapter 3 RESEARCH METHODOLOGY

The purpose of research methodology is to describe the process involved in the research work. This includes the overall research design, data collection method, sampling procedure, analysis and interpretation of understanding the objective of the project and what has to find out so that the research process goes on smoothly. It helps researcher in distinguishing the relevant data from the irrelevant data. 3.1: Research Design: Research design is planning a strategy of conducting research. The present research is based on a descriptive model of research methodology. This type

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of research describes social situations, social events, social systems, social structures etc. In my research the object is to study the factors which affect the consumers buying decision while purchasing car. So the research design is descriptive in nature. Keeping in view the objective of the study, the questionnaire was constructed. 3.2: Data Collection: In this research, In the present study, the data is collected from primary as well as secondary sources. Primary data has been collected through a structured questionnaire filled by the respondents. The secondary data has been collected from various magazines, journals and books. 3.3: Sampling Design: A sample is a portion of people selected from a large population, which is studied in order to make inferences about the whole population. The sampling design includes the following steps: 1. Target Population: The sum total of all units/cases that conform to some Designated set of specifications is called the universe or population the universe in my study is those people who are using the car. Element: Each entity from the population about which information is collected is called a sampling element. Elements in this study are the individuals having car. Sampling Unit: It is a single member subject to data analysis in the sample. Every single consumer of cars in Ludhiana is a sampling unit in this study. Extent: The extent of the study is limited to Ludhiana city only. Time : The time duration is 6 months 2. Sampling Frame: It is the complete list of all units/elements from which the sample is drawn. It is of two type: Proportional sampling when all the people from the frame are too studied. Disproportional sampling when few of people are included for study.

3. Selecting Sampling Technique: It is a method of deciding a sample from a given population. The study is carried on by convenience sampling technique keeping in mind the time and financial constraints for the research.

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4. Sampling Size: The sample size of 100 respondents has been selected from Ludhiana.

Chapter 4 Analysis and Interpretation

Table 4.1 Showing the awareness regarding cars: Brands Maruti 800 Wagonr Alto Zen Mishtubishi Lancer No. of responses 82 69 80 84 62 Average 0.11 0.09 0.11 0.11 0.08

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Accord Honda Civic Audi Accent Baleno Indigo Corrola Total Fig 4.1

52 50 29 70 52 72 56 758

0.07 0.07 0.04 0.09 0.07 0.09 0.07

Brand Awareness
Maruti 800 7% 9% 9% 7% 11% 9% 11% Wagonr Alto Zen Mishtubishi Lancer Accord Honda Civic Audi Accent 4% 7% 7% 8% Baleno 11% Indigo Corrola

Interpretation: From the table it is clear that people in Ludhiana are aware of Maruti 800, Zen and alto the most, followed by Wagnor, Indigo etc.

Table 4.2 Option Friend Family Relatives Total

Showing the people influencing purchase decision of cars: No. of Responses 31 60 9 100 Percentage (%) 31 60 9

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Fig 4.2

People influencing purchase decision

70 No. of responses 60 50 40 30 20 10 0 Friend Family Options Relatives 9 31 Series1 60

Interpretation: From the table it is clear that people are largly influence by their family member to buy the car which is further followed by the friends and relatives.

Table 4.3

Showing exterior features affecting purchase behavior:

No. of responses 45 80 8 17 10 32

Features color model front grill bumqualty Fog light Alloy wheel

average 0.23 0.42 0.04 0.09 0.05 0.17

Fig 4.3

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Exterior features affecting purchase behaviour

0.17 0.05 0.09 0.04

0.23 colour model front grill bumqualty foglight alloyw heel 0.42

Interpretation: The above table shows that out the various exterior features of cars, the most affective features to buy the car is model which is further followed by the colour, alloy wheel etc.

Table 4.4

Showing interior features affecting purchase behavior:

Features Sterio mobile hanger Seat cover Sterring cover

No. of responses 88 20 30 25

Average 0.48 0.11 0.16 0.14

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car perfume

20

0.11

Fig 4.4

Interior features affecting purchase behaviour

0.11 0.14 0.48 Sterio mob hanger Seat cover Sterng cover 0.16 0.11 car perfume

Interpretation: The above table shows that out the various interior features of cars, the most affective features to buy the car is sterio system which is further followed by the mobile hanger, car perfume etc.

Table 4.5

Showing the factors for buying the cars:

No. of Responses 43 47 41 22 41

Features Efficiency Brand Price Resale value Mileague

Average 0.22 0.24 0.21 0.11 0.21

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Fig 4.5
Factors considered for buying a car

0.21

0.22 efficiency brand price resalevalue 0.24 Mileague

0.11

0.21

Interpretation: The above table shows that out of the various factors influencing the purchase, Brand is ranked the first followed by efficiency, price and mileage whereas the resale value have been ranked as the least important factor.

Table 4.6

Showing ranking attributes affecting the purchase behavior:

Total Score 250 459 322 290 262 500

Attributes Mileage After sale service Features Efficiency Price Service station

Ranking 1st 5th 4th 3rd 2nd 6th

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Fig 4.6
Ranking the attributes affecting the purchase behaviour
600 500 400 300 200 100 0 459 250 322 290 262 500

Total score

Total Score

M ile ag e

se rv ic e Fe at ur es Ef fic ie nc y

e Pr ic Se rv ic e

Af te r

sa

le

Attributes

Interpretation: The above table shows that out of the various attributes affecting the purchase, mileage is ranked the first followed by the price, efficiency, various other features and after sale service where as service station ranked the least important factor.

Table 4.7 Statement Mileage Features Efficiency Price Service station

Showing the satisfaction level of car: Highly dissatisfy (-2) -2 -2 0 -10 -6 dissatisfy Neutral (-1) (0) -2 -7 -4 -8 -8 0 0 0 0 0 satisfy (1) 70 55 46 42 37 Highly satisfy (2) 18 26 32 36 26 Mean 0.84 0.72 0.1 0.6 0.49

st at

io n

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Fig 4.7

Satisfaction level

0.49 0.84 Mileage Features Efficiency 0.6 Price Service station 0.1 0.72

Interpretation: The satisfaction level of the consumers regarding various factors has been indicated in the above table. A majority of the people are satisfied by the mileage of the car having mean value as 84. There is also a good amount of respondents who are satisfied with the price and features of car whereas a few are satisfied with the service station and very few are satisfied with the efficiency of car.

Table 4.8

Showing overall satisfaction from the car:

Statement

Highly Dissatisfy (-2) -8

Dissatisfy (-1) -2

Neutral (0) 0

Satisfy (1) 56

Highly satisfy (2) 44

Mean 0.9

Fig 4.8

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Overall satisfaction from car

-2 0 44 H dissatisfy(-2) Dissatisfy(-1) Neutral(0) Satisfy(1) 56 H satisfy(2)

-8

Interpretation: The overall satisfaction level of the consumers regarding the car which they have been indicated in the above table. From the table majority of the people are satisfy by their car and fewer are dissatisfy also. And very fewer are those people who are highly dissatisfied and highly satisfied.

Chapter 5 Results and Findings

Maruti 800, Wag nor and Zen is the most preferred car in ludhiana. Most of the people influence to buy a car from their family member. Greater number of people wants to buy a diesel car. The most important factor to buy the car from exterior features is model and from interior features it is sterio system. People want the brand name for their car. The car having greater mileage is most preferred car.

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The income level also affects the purchase of car.

Bibiliography
Singh Parampal et al,Use of E-supply chins: the case of Indian Automobile Industry M-World ,vol-4,Issue-1,2005, pg(22-25) Tech Specs, Auto India vol-14, Issue-9,2007, pg(91-97) http://in.biz.yahoo.com/prebudget_automobile1.html http://in.biz.yahoo.com/prebudget_automobile.html http://www.businessworld.in/content/view/502/553/ http://auto.indiamart.com/cars/birth-car.html

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http://auto.indiamart.com/cars/events.html http://www.indiainbusiness.nic.in/india-profile/automobile.htm http://www.siamindia.com/scripts/auto-policy.aspx http://www.siamindia.com/scripts/auto-policy.aspx Ahuja Ram, Research Methods, 2005, Rawat publications New Delhi, Edition 2, pg 103-120 Malhotra Naresh, Marketing Research, 2001, Pearson Education Pte.Ltd. Delhi, Edition 3, pg 292-319.

QUESTIONNAIRE Q1. Do you have a car? (A) Yes (B) No ____ ____ ____ ____ ____ ____ ____ Q2.Tick the brands you aware of: Maruti 800 Wagonr Alto Zen Mishtubishi Lancer Accord Honda Civic

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Audi Accent Baleno Indigo Corrola

____ ____ ____ ____ ____

Q3.Which brand do you prefer the most? ____________________ Q4. Who all influence your decision to purchase a car? Friend Family Relatives Others Petrol_________ Diesel__________

Q5.Which type of car does you like? Q6. Please tick the exterior features which determine your preference for a car? Colour Model Front grill Bumpers Quality Fog Light Alloy wheels Q7. Please tick the interior features which you prefer for buying a car? Stereo system Mobile Hanger Sheet Cover Starring Cover Car perfume Q8.Which of the following factors you consider for buying a car? (a) Efficiency (b) Brand (c) Price (d) Resale value (e) Mileage (f) Any other___________________

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Q9.Does the income level influences the purchase of a car? (A) Yes (B) No Q10. Please rank the factors influencing the purchase from 1-5 where 1 is the most important and 5 is the least important: Mileage After sales services Features Efficiency Price Service Station __ __ __ __ __ __

Q11.Please rate the satisfaction regarding the following factors: Highly Dissatisfied Dissatisfied Mileage Features Efficiency Price Neutral Satisfied Highly Satisfied

I-----------------I-----------------I--------------I---------------I I-----------------I-----------------I--------------I---------------I I-----------------I-----------------I--------------I---------------I I-----------------I-----------------I--------------I---------------I

Service Station I-----------------I-----------------I--------------I---------------I

Q12. Please rate the overall satisfaction level from your car --------I-----------I-----------I-----------I-----------I-------Highly Dissatisfy Personal Information: Name : Dissatisfy cant say satisfy highly Satisfy

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Age Occupation

: : 10000-20000 Above 30000

Income group (per month): Below 10000 20000-30000 Address Contact No. : :