A PROJECT REPORT

OF
Study on
Customer satisfaction towards Product and after sale services offered
by Ford

Submitted for the fulfillment of the requirement of the award of

Degree of Master Of Business Administration
Under the Guidance of:

Submitted by:

MR

Bharat Singla
Roll. No: 1211016
MBA 3rd sem

Maharishi Markandeshwar Institute of Management

Maharishi Markandeshwar University
1

ACKNOWLEDGEMENT

First of all, I would like to express my thanks to Mrs. Jyoti Breja for giving me such a wonderful
opportunity to widen the horizons of my knowledge.
In no small measures, I would also like to gratefully thank to all those who gave me constructive
suggestions for the improvement of all the aspect related to this project.
In particular, I would like to thank Mr , my research guide for her valuable suggestions and
guidance.
I also owe a deep sense of gratitude to other faculty members for their continuous encouragement.
Despite all efforts, I have no doubt that error and obscurities remain that seen to afflict all research
project and for which I am culpable.

STUDENTS DECLARATION

This is to certify that I have completed this Project titled Customer statisfaction towards Product
and after sale services offered by Ford under the guidance of MR in partial fulfillment of the
requirement of the award of degree of Master of Business Administration at MAHARISHI
MARKANDESHWAR UNIVERSITY MULLANA AMBALA.

Bharat Singla
1211016

CERTIFICATE

EXECUTIVE SUMMARY
The Automobile Industry was came in age of Henry Ford in 1914 for the bulk production of
cars. This lead to the development of the industry and it first begun in the assembly lines of his car
factory. The several methods adopted by Ford, made the new invention (that is, the car) popular
amongst the rich as well as the masses. The Indian passenger car market which ranks amongst the
largest in the world, is poised to become even larger and enter the top five passenger car markets in
the world in the next decade.
The objective of this research is to know the level of customer satisfaction with the services provided
by Pearl Ford and to study the opinion of the owners of cars regarding its features like mileage, price
etc.
Customer Satisfaction is a phrase used to describe a new found magic for industrial success.
With the increase in customers demands and competition it has become a lot more important to base
the entire company on customer service. When doing this one must first realize that every member
of an organization plays an active role in customer service.
Ford Motor Company designs, develops, manufactures, and services cars and trucks worldwide.
Pearl Ford has started its operations in year 2002 under the dynamic leadership & management.

INDEX
S.NO

PARTICULAR

PAGE NO.

1.

INTRODUCTION

1.1

MILESTONE OF FORD

14

1.2

PRODUCT OF FORD

17

1.3

DEALER PROFILE

18

2.

LITERATURE REVIEW

21

3.

RESEARCH METHODOLOGY

23

3.1

OBJECTIVE OF STUDY

24

4.

DATA ANALYSIS

27

5.

FINDINGS

44

5.1

SUGGESTIONS

46

5.2

CONCLUSION

47

6.

BIBLIOGRAPHY

48-49

7.

ANNEXURE

50-54

QUESTIONNAIRE

CHAPTER- 1
INTRODUCTION

1 INTRODUCTION ABOUT THE INDUSTRY

Automobile Industry History

In the year 1769, a French engineer by the name of Nicolas J. Cugnot invented the first
automobile to run on roads. This automobile, in fact, was a self-powered, three-wheeled, military
tractor that made the use of a steam engine. The range of the automobile, however, was very brief
and at the most, it could only run at a stretch for fifteen minutes. In addition, these automobiles were
not fit for the roads as the steam engines made them very heavy and large, and required ample
starting time. Oliver Evans was the first to design a steam engine driven automobile

in

U.S.
A Scotsman, Robert Anderson, was the first to invent an electric carriage between 1832 and
1839. However, Thomas Davenport of the U.S.A. and Scotsman Robert Davidson were amongst the
first to invent more applicable automobiles, making use of non-rechargeable electric batteries in
1842. Development of roads made travelling comfortable and as a result, the short ranged, electric
battery driven automobiles were no more the best option for travelling over longer

distances.

The Automobile Industry finally came of age with Henry Ford in 1914 for the bulk
production of cars. This lead to the development of the industry and it first begun in the assembly
lines of his car factory. The several methods adopted by Ford, made the new invention (that is, the
car) popular amongst the rich as well as the masses.

According the History of Automobile Industry US, dominated the automobile markets around
the globe with no notable competitors. However, after the end of the Second World War in 1945, the
Automobile Industry of other technologically advanced nations such as Japan and certain European
nations gained momentum and within a very short period, beginning in the early 1980s, the U.S
Automobile Industry was flooded with foreign automobile companies, especially those of Japan and
Germany.
The current trends of the Global Automobile Industry reveal that in the developed countries
the Automobile Industries are stagnating as a result of the drooping car markets, whereas the
Automobile Industry in the developing nations, such as, India and Brazil, have been consistently
registering higher growth rates every passing year for their flourishing domestic automobile
markets.

The World Automobile Industry is turned to the developing markets.

With the developed markets almost saturated, the World Automobile Industry is now
focused on the developing markets of South America and Asia, and Eastern Europe with special
emphasis on BRIC (Brazil, Russia, India, and China).
As per the reports of the International Organization of Motor Vehicle Manufacturers or OICA(the
association of the companies involved in World Automobile Industry), for the fiscal end in 2010, the
automobile manufacturers in the U.S. have been overtaken by those in Japan, in terms of the total
volume of automobile units manufactured worldwide.
However, the struggling General Motors of the U.S. still remain the worldwide leaders of the
World Automobile Industry, ahead of the rapidly growing Toyota Motor Corporation of Japan, by a
substantial margin.
Measures to be adopted by global leaders of the World Automobile Industry.

Several significant economic measures are being considered by the major players of the
World Automobile Industry in order to make a smooth entry into the markets of the developing
countries, and to make a name for themselves. The effective measures include:

Reducing the selling prices of the automobiles manufactured in their factories

Improving the levels of after-sales services to keep customers satisfied

Opening manufacturing factories in the developing nations, to reduce effective costs of

production as well as saving shipping charges, and enhancing prompt delivery of automobile
units.

Automobile Industry
In keeping with the Automobile Industry Trends, the leading automobile manufacturers are
turning to the Asian markets that appear set to grow immensely over the next decade. The
automobile markets in the U.S., Europe and the Japan have almost matured as a result of saturation
and appear set to decline through the next decade. In contrast, the automobile markets spread over
the entire Asian continent (with the exception of Japan), are constantly increasing in size and will be
the destination for most of the globally leading automobile manufacturers.
The Automobile Industry Trends reveal that the emerging markets of the developing
nations of Asia especially China, and India are backed by their huge population growth rate, to add
to the growing national economy of these two nations.
The rapid growth of the national economy of the BRIC countries (including Brazil, Russia, India,
and China) has enabled a growing section of the population of these countries to purchase
automobiles. Global surveys conducted recently reveal that within the next ten years, these emerging
automobile markets will account for nearly a whooping 90 percent of the global automobile sales
10

growth. As a result of this, leading Automobile manufacturers of the world are setting up factories in
the emerging markets, in order to serve the potential consumers better as well as reduce
manufacturing and shipping costs. In addition, these arrangements are enabling the leading global
automobile manufacturers to compete with the local automobile manufacturers, which were
flourishing in the absence of quality competition.
The prosperity of the national economy is reflected in the rising per capita income of the developing
nations. Therefore, increasing Gross Domestic Product and per capita income have raised the
purchasing ability of the population that constitutes these emerging markets.
As a growing percentage of the population in the developed nations age rapidly, in comparison to
the rest of the world, these aging numbers necessitate automobiles to fit the physiological change of
the world population.
The Emerging India Automobile Market.
The India Automobile Market is a promising industrial sector that is growing immensely every
passing year. The passenger cars are referred to, through the use of the word "automobile." The
whooping growth experienced by the Indian Automobile Market in the last financial year itself that
is the financial year end in February, 2011 was very close to a 38 percent over the previous fiscal.
This statistical fact is a glittering example of the potential of the growing Automobile Industry in
India.
As per the survey conducted by the Society of Indian Automobile Manufacturers, the total
number of automobiles manufactured by the Automobile Industry in India, throughout the financial
year 2010-11, was very close to the 35.5 lakh (3.5 million) margin. The huge of number of
automobiles manufactured by the Automobile Industry in India was an enormous growth upon the
number of automobiles manufactured during the previous fiscal that ended in 2010.

11

The total number of cars that were exported from India was very close to the 5.0 lakh (5.0
hundred thousand) margin, an encouraging sign for the Automobile Industry in India. The export of
cars manufactured in India comprised nearly 33 percent of the total number of cars manufactured
domestically

by

the

Automobile

Industry

in

India.

The India Automobile Market looks set to prosper, largely due to the growing market for
automobiles that is developing in India. In the financial year that ended in February, 2009, the Indian
automobile markets were the fastest growing in the world, with the registered growth rate touching
nearly 20 percent.
The Automobile Industry in India mainly comprises of the small car section, which enjoys
nearly a 2/3rd market share of the entire market for automobiles in India. In this respect, the Indian
markets

are

the

largest

in

the

world

for

small

cars,

behind

Japan.

The Indian passenger car market which ranks amongst the largest in the world, is poised to
become even larger and enter the top five passenger car markets in the world in the next decade.
2.2 COMPANY PROFILE
Ford Motor Company designs, develops, manufactures, and services cars and trucks
worldwide. It operates in two sectors, Automotive and Financial Services. The Automotive sector
sells vehicles under Ford, Mercury, Lincoln, and Volvo brand names. This sector markets cars,
trucks, and parts through retail dealers in North America, and through distributors and dealers
outside of North America. It also sells cars and trucks to dealers for sale to fleet customers, including
daily rental car companies, commercial fleet customers, leasing companies, and governments. In
addition, this sector provides retail customers with a range of after-the-sale vehicle services and
products in areas, such as maintenance and light repair, heavy repair, collision, vehicle accessories,
and extended service warranty under the Genuine Ford, Lincoln-Mercury Parts and Service, Ford
Custom Accessories, Ford Extended Service Plan, and Motor craft brand names. The Financial
Services sector offers various automotive financing products to and through automotive dealers. It
12

offers retail financing, which includes purchasing retail installment sale contracts and retail lease
contracts from dealers, and financing to commercial customers to purchase or lease vehicle fleets;
wholesale financing that comprises making loans to dealers to finance the purchase of vehicle
inventory; and other financing, which consists of making loans to dealers for working capital,
improvements to dealership facilities, and to purchase or finance dealership real estate. This sector
also services the finance receivables and leases that it originates and purchases, makes loans to its
affiliates, purchases receivables, and provides insurance services related to its financing programs.
Ford Motor Company was founded in 1903 and is based in Dearborn, Michigan.
Henry Ford and Family
The story of Henry Ford is not of a prodigy entrepreneur or an overnight success. Ford grew
up on a farm and might have easily have remained in agriculture. But something stronger pulled at
Fords imagination, mechanics, and machinery, understanding how things worked and what new
possibilities lay in store. As a young boy, he took apart everything he got his hands on. He quickly
became known around the neighborhood for fixing peoples watches.
In 1896, Ford invented the Quadricycle . It was the first horseless carriage that he actually
built. Its a far cry from todays cars and even from what he produced a few years later, but in a way it
was the starting point of Fords career as a businessman. Until the Quadricycle,

Fords

tinkering was experimental, theoretical-like the gas engine he built on his kitchen table in the 1890s,
which was just an engine with nothing to power. The Quadricycle showed enough potential that it
launched the beginning of Fords business ventures.
Ideas into Business
Ford Motor Company was founded on June 16, 1903.The first Ford, the model A, was being
sold in Detroit a few months later. When founded the Ford Motor Company was just one of 15 car
manufacturers in Michgan and 88 in the US. But as it began to turn a profit within its first few
months,it became clear that Henry Fords vision for the automotive industry was going to work and
work in a big way. During the first five years of Ford Motor Companys existence, Henry Ford, as
13

chief engineer and later as president, directed a development and production program that started in
a converted wagon shop.
Henry Fords insistence that the companys future lay in the production of affordable cars
for a mass market caused increasing friction between him and the other investors. As some left, Ford
acquired enough stock to increase its own holdings to 58.5 percent. Henry Ford became president in
1906, replacing John.S.Gray,a Detroit banker who had served as the companys first president.
Ford Family through the Years
The years between the world wars were a period of hectic expansion. In 1917, Ford
Motor Company began producing trucks and tractors. In 1919,a conflict with stockholders over the
millions to be spent building the giant Rouge manufacturing complex in Dearborn, Michigan led to
the company becoming wholly owned by Henry Ford and his son, Edsel, who then succeeded his
father as president. After Edsel Ford passed away in 1943,a saddened Henry Ford resumed the
presidency.
Henry Ford resigned for the second time at the end of World War II. His eldest
grandson, Henry Ford II, became president on Sept 21,1945.Even as Henry Ford II drove the
industrys first postwar car off the assembly line, he was making plans to reorganize and decentralize
the company to resume its prewar position as a major force in a fiercely competitive auto industry.
Henry Ford II provided strong leadership for Ford Motor Company from the postwar era
into the 1980s.He was president from 1945 until 1960 and chief executive officer from 1945 until
1979.He was chairman of the board of directors from 1960 until 1980 and removed as chairman of
the finance committee from 1980 until his death in 1987.Now,at the beginning of its second
century,another Ford family member has been named CEO of Ford Motor Company, the first family
member to hold the position in more than 20 years. Like his uncle, Henry Ford I, William Clay Ford
Jr.(great grandson of Henry Ford) leads a company where family has a much broader meaning,
referring to far more than just those with the last name Ford. Today, the Ford family comprises of
employees, dealers, suppliers, shareholders, customers and more-all those who help fulfill the vision
14

Bill Ford has defined for the company: to create great products that benefit customers, shareholders
and society.

HISTORY
The Dream Becomes A Business
Ford Motor Company entered the business world on June 16,1903, when Henry Ford and
11 business associates signed the signed the companys articles of incorporation. With $28,000 in
cash, the pioneering industrialists gave birth to what was to become one of the worlds largest
corporations. Few companies are as closely identified with the history and development of industry
and society throughout the 20th century as Ford Motor Company.
As with most great enterprises, Ford Motor Companys beginnings were modest. The
company had anxious moments in its infancy. The earliest record of a shipment is July 20, 1903,
approximately one month after incorporation, to a Detroit physician. With the companys first sale
came hope a young Ford Motor Company had taken its first steps.
Mass Production On The Line
Perhaps Ford Motor Companys single greatest contribution to automotive manufacturing
was the moving assembly line. First implemented at the Highland Part plant (in Michigan, US) in
1913, the new technique allowed individual workers to stay in one place and perform the same tasks
repeatedly on multiple vehicles that passed them. The proved tremendously efficient, helping the
company far surpass the production levels of their competitors-and making the vehicles more
affordable.
The First Vehicles
Henry Ford insisted that the companys future lay in the production of affordable cars for a
mass market. Beginning in 1903, the company began using the first 19 letters of the alphabet to
15

name new cars. In 1908, the Model T was born.19 years and 15 million Model Ts later, Ford Motor
Company was a giant industrial complex that spanned the globe. In 1925, Ford Motor Company
acquired the Lincoln Motor Company, thus branching out into luxury cars, and in the 1930s, the
Mercury division was created to establish a division centered on mid-priced cars. Ford Motor
Company was growing.
Becoming a Global Company
In the 50s came the Thunderbird and the chance to own a part of Ford Motor Company.
The company went public and, on Feb 24, 1959, had about 350,000 new stockholders. Henry Ford
IIs keen perception of political and economic trends in the 50s led to the global expansion of FMC
in the 60s, and the establishment of Ford of Europe in 1967, 20 years ahead of the European
Economic Communitys arrival. The company established its North American Automotive
Operations in 1971, consolidating U.S, Canadian and Mexican operations more than two decades
ahead of the North American Free Trade Agreement.
Ford Motor Company started the last century with a single man envisioning products that
would meet the needs of people in a world on the verge of high gear industrialization. Today, Ford
Motor Company is a family of automotive brands consisting of: Ford, Lincoln, Mercury, Mazda,
Jaguar, Land Rover, Aston Martin and Volvo. The company is beginning its second century of
existence with a worldwide organization that retains and expands Henry Fords heritage by
developing products that serve the varying and ever changing needs of people in the global
community.

Significant milestones
1896: Henry Ford builds his first vehicle- the Quadra cycle- on a buggy frame with 4 bicycle wheels.
1901 : Henry Ford wins high-profile car race in Grosse Pointe, Michigan USA.
1903: Henry Ford & 11 invertors sign articles of incorporation for Ford Motor Company in
Michigan, USA. The original Model A "Ford mobile" is introduced- 1,708 cars are produced.
16

1907: The Ford oval trademark was first introduced.

1908: Ford introduces the Model T, which became one of the most popular cars in the world.
Production officially ended in May 1927 after total world production of 15,458,781
1913: The moving Assembly line is introduced at Highland Park assembly plant, Dearborn, making
Model T production 8 times faster
1914: Ford begins offering $5 per day for eight- hour work days & 15,000 job seekers clamor for
3,000 jobs at the Model T Plant in Highland Park. The previous pay rate was $2.34 per day for nine
hours.
1928: The 1928 Model A was the first vehicle to sport an early version of the Ford script in the oval
badge.
1949: The '49 Ford introduces all- new post- war era cars.
1954: Thunderbird introduced as a personal luxury car with a V8. Ford begins crash testing, & opens
Arizona Proving Grounds.
1956: Ford common stock goes on sale, with 10.2 million shares sold in the first day, representing
22% of the company.
1959: Ford Credit Corporation formed to provide automotive financing.
1960: Falcon introduced.
1964: Mustang introduced.
1985: Ford Taurus introduced with dramatic "aero design styling, along with Ford aero star minivan

1987: Ford acquires 75% of Aston Martin ltd.

1992: Ford Taurus becomes America's top selling car, displaying the Honda Accord.
2004: The Ford escaped Hybrid, the first gasoline- electric Hybrid SUV, is introduced.
2007: The Ford Fusion is rated higher in quality then its chief rivals ( the Toyoto Camry & Honda
Accord ), and is selling better than expected.
2007: Ford Mustang 2009 & Ford Ka 2009 were introduced to the worlds markets.
17

Ford In India
1926: Ford India is established by Ford Of Canada.
1935: Indian govt officials ask Henry Ford to consider building a car manufacturing plant in
Bombay.
1941 : Mahatma Gandhi sends spinning wheels, the symbol of India's economic independence, to
Henry Ford.
1954: Ford India operations cease.
1969: Ford reenters India in a joint venture with Escords Ltd to produce Tractors.
1991: Ford ceases Tractor operations. Ford establishes climate systems India, a joint venture with
Maruti & Sumitomo Corporation.
1995 (Nov): Ford & M&M received govt approval on joint venture called Mahindra Ford India Ltd
(MFIL).
1996 (Sept): Ford Escort receives more than 70,000 sales booking.
1996 (Oct): Mahindra Ford makes history in India by simultaneously handing over the first cars in 7
cities just 1 month after close of bookings.
1997 (Nov): Ford Escort chosen best quality cars in JD Power's India Initial Quality Surveyt (IIQS).
1997 (Dec): MFIL tops JD Power's customers satisfaction index (CSI).
1998: The company was remanded Ford India. With a steady increase of Fords investments, the
equity levels stands presently at 85:15.
1999: Ford India inaugurated the fully integrated manufacturing facility in Maraimalai Nagar and
launched Ikon.
1999 (July): Ford India lays the Foundation stone for an export plant. The export plant will source
auto components locally and assemble kits to export to oversee market.

18

2001 (Nov): Ford India Launched the Ford Mondeo.

2003 (Sept): Ford Endeavor debuts in India.

2004: Ford Fusion debuts in India.

2005: Fiesta Launched with fan fare in India.
2006: Ford India marks 87% growth in sales.
2008: Ford commits itself to India with an investment of $375 million.
2008: Ford India starts assembly of its diesel DV 4 engine from a new plant at Maraimalai Nagar.
2008: Ford launches the New Fusion+, Endeavour and Endeavour Thunder+, New Fiesta and
recently Ikon.
2010: Ford launches its first Hatchback car Figo. With Figo, Ford launched the first in class
Bluetooth technology.
2011: Classic was launched.
2012: Ford launched the first global car New Fiesta.
2012: Ford introduced the Automatic Variant of new Fiesta POWERSHIFT.
2013: Ford launches its new car Eco Sport.
2015: ford Figo Aspire coming soon.

PRODUCT OF FORD MOTORS

Ford Fiesta
Ford Figo

19

 Ford Endeavour
Ford Ecosport
Ford Fiesta classic

20

DEALER PROFILE
PEARL FORD
Pearl Ford has started its operations in year 2002 under the dynamic leadership & management
of Mr. Pawn Gupta.
The group has dealerships of Ford in four locations -;

Karnal,

Ambala

Yamunanagar

Kurukshetra .

Functioning Of Different Departments

H.R Department:- To appoint right person at right place at right time.

Accounts Department:- To provide actual position of the company to the manager with
prepared
P&L a/c, Balance Sheet & Financial statement.
Sales Department:- To study the Need & Budget of the customers and deliver the Product
accordingly.
Finance Department:- To provide insurance/finance/loan /credit facilities to the potential
customers.
Service Department:- To provide proper Service in an effective and efficient manner.
Customer Care:- To increase the customer satisfaction level.

SOURCE OF FINANCING
21

 HDFC Bank
SBI Bank
ICICI Bank
Axis Bank

SWOT Analysis

STRENGTHS: Pearl Ford Motors recorded the strongest as well as effective operation performance in 2010
It has strong brand portfolio.
Has wide network of distributors and dealers.
High employee productivity.

WEAKNESSES: It has a very small share of market which results in a great loss to the company.
Due to Product recalls, Fords brand image was also harmed and thus the company suffered a
lot.
Declining operating efficiency and weak returns.
It have a very small share market

OPPORTUNITIES:22

 It termed as environment friendly.

Various products were predicted to switch towards the hybrid electric engines.
Well researched programs are under consideration in order to gain more popularity.
Restructuring plan was launched in order to improve the performance.

THREATS: Rising oil prises are one of the major contributors towards the loss of the company.
Rise in competition is one of the major threats towards the productivity of the company.
Working with different techniques is one of the major threats.
Rising raw material prices.

23

CHAPTER-2
LITERATURE REVIEW

LITERATURE REVIEW
Concept Identification24

As organizations become increasingly customer focused and driven by demand, the need to
gain customer loyalty and retain their loyalty is critical. Customer satisfaction is the most effective
way to achieve customer loyalty. Customer satisfaction and customer loyalty share many similar
traits. Customer value is the customers perception of the ratio of benefits to what he or she gives to
obtain those benefits. The customer Value Triad is a framework used to understand what it is that
customers want. The framework consists of three parts: (1) perceived product quality, (2) valuebased pricing, and (3) perceived service quality.
Customers are satisfied, when value meets or exceeds expectations. If their expectations of
value are not met, there is no chance of satisfying them. Figuring out what the customers want,
however, is a difficult and complex process. To be able to create and deliver customer value is
important to understand its components. On the most basic level, value from a customers
perspective is the ratio of benefits to the risks being taken while buying the product.

CUSTOMER SATISFACTION
AN INSIGHT
According to Harold E Edmondson Customer Satisfaction seems to appear in print more
frequently than any other catch phrase used to describe a new found magic for industrial
success. Before we proceed in to the study of the dynamics of Customer Satisfaction it is important
to know about, who a customer is and what satisfaction really means.
Who really is a Customer?
The question of defining who your customers are seems fairly easy particularly if you have
segmented your market properly and understand who you are trying to satisfy. However subtlety that
frequently goes undetected by many firms is that is that customer set can be divided into two parts,
the apparent customer and the user. The apparent customer is the person or group of people who

25

decide what product to buy and basically have control over the purse strings. The user is a person or
group who physically uses the product or is the direct recipient of a service.

What does satisfaction really mean?

As in defining customer above, defining satisfaction also appears simple. However as
with customer there is a subtlety that needs addressing. Satisfaction by most definitions simply
means meeting the customers requirement.
Customer satisfaction is a concept that more and more companies are putting at the
heart of their strategy, but for this to be successful theyre needs to be clarity about, what customer
satisfaction means and what needs to happen to drive improvement. Without this, there is a risk that
customer satisfaction becomes little more than a good intention, with confused objectives failing to
address the real issues for customers, one helpful way to look at the problem is to rephrase the
objectives: set the sights on helping the customers meet their goals.
Customer satisfaction can be defined in many different ways. Finding the right way
for a company depends on understanding your customer and on having a clear vision of the role that
customer satisfaction is to play in the strategy. For example, a focus on customer satisfaction can
work alongside existing segmentations to support revenue generation from high value customers or
it can be a company-wide objective rooted in the brand values. For the former, it may be sufficient to
focus on improving customer service, but for the latter a broader definition of customer satisfaction
is necessary, closer akin to corporate reputation.
Whatever the strategy for customer satisfaction, it must at least include getting the
basics right. Failing to achieve this can destroy the reputation as well as losing valuable
customers. Every customer, regardless of their economic worth to the business, has the power to
influence positively or negatively a companys reputation. Once the objectives for the customer

26

satisfaction strategy are defined there are a number of steps we can take to make sure the focus on
customer satisfaction is effective.

Building a company around Customer Satisfaction With the increase in customers demands and competition it has become a lot more
important to base the entire company on customer service. When doing this one must first realize
that every member of an organization plays an active role in customer service. This includes both
external customers and internal customers within a company.
Customer focused organizations focus both on customer satisfaction and
profit. Achieving customer satisfaction generates the profit. In these organizations top management
has frequent contacts with external customers. The top management uses consultative, participative,
and supportive management styles to get through to the customer. The staff focuses all of its
attention on satisfying the customers needs. However, the managements job is to provide the staff
with support necessary to achieve these goals. The other department and staff in the organization that
do not have direct contact with the external customers deal exclusively with internal customer
satisfaction.
The Influence of the salesperson in Customer SatisfactionIn an article titled, The influence of salesperson selling behavior on customer
satisfaction with products, Brent G.Goff and James S. Boles examine the effects of non-product
related construct on customer satisfaction with major retail purchases such as automobiles. The
article states that salespersons selling orientation- customer orientation (SOCO) will affect not only
consumer satisfaction with the salesperson and dealer, but also indirectly, satisfaction with the
product or manufacturer.
In the perspectives of both the retailer and the manufacturer, customer satisfaction
represents an important issue because it relates to several desirable outcomes. Customer satisfaction
27

leads to future purchases, and repeated purchases of the same product from the same source. In other
words, it helps a firm retain its present customers and build loyalty. By helping a buyer obtain
product information and providing guidelines about what should be expected during the buying
process and use of a product, a salesperson may influence customer expectations concerning the
product. Thereby this may reduce the likelihood of dissatisfaction (Grewal and Sharma, 1991). A
successful salesperson tailors to the needs of each individual customer. By being customer-oriented,
a salesperson is likely to identify with needs of the customer, enabling the salesperson to match his
or her presentation to those requirements of the customer.

Internal marketing how it affects Customer Satisfaction

Successful companies make every effort to ensure satisfaction to their customer
by focusing all organizational efforts of the company on providing superior customer service. By
doing this these companies hope to retain their existing customers and attract new ones. Only angle
of customer satisfaction commonly overlooked is the internal aspect.
The internal customer or employee plays a vital role in achieving customer
satisfaction and loyalty. Some firms do not understand that the treatment of internal customers
becomes the external customers perception of the company. A firms employees or other
departments within the organization make up its internal customers. Their job performance affects
the firms ability to deliver superior product and customer service (Boone and Kurtz, 1999). When a
firms employees are happy at work, their overall attitude and performance towards the customer
enhances tremendously. Internal marketing helps members or employees of an organization
understand and fulfill their roles in implementing its marketing strategy. Internal marketing not only
keeps employees happy, it also shows them how their actions affect the firms ability to achieve
customer satisfaction.

28

CHAPTER-3
RESEARCH METHODOLOGY

OBJECTIVES OF THE STUDY

29

The study has been undertaken with the main objective to know the satisfaction level of the
consumer with the products and after sale services of the vehicles.
The other specific objectives are:

To know the level of customer satisfaction with the services provided by Pearl Ford, kernal.

To study the opinion of the owners of cars regarding its features like mileage, price etc.

To study the effect of advertisement on the customers to promote the produc

To give suggestions to improve customer satisfaction

30

RESEARCH METHODOLOGY
Research is a careful investigation or inquiry especially through search for new facts in branch of
knowledge: market research specifies the information. Required to address these issues: designs the
method for collecting information: manage and implements the data collection process analyses the
results and communicates the finding and their implications. Research problem is the one which
requires a researcher to find out the best solution for the given problem that is to find out the course
of action, the action the objectives can be obtained optimally in the context of a given environment.
This chapter aims to understand research methodology establishing a framework of evaluation and
re-evaluation of primary and secondary research. The techniques and concepts used during primary
research in order to arrive at findings,which are also dealt with and lead to a logical deduction
towards the analysis and results.

TYPE OF RESEARCH DESIGN:

EXPLORATORY CUM DESCRIPTIVE RESEARCH
The research I conducted is exploratory as well as descriptive.
Exploratory research involved collection of data from primary and secondary sources.

Data Collection: - The objectives of the project are such that both primary and secondary data is
required to achieve them. So both primary and secondary data was used for the project. The mode of
collecting primary data is personal interview and sources of secondary data are various magazines,
books, newspapers, & websites etc.
1. Primary Data: The primary data was collected to measure the vehicles coming for repair in
workshop and their frequency of coming. The primary data was collected by means of personal
interview and analysis was done on the basis of response received from the customers. The interview
has been conducted in such a manner that the consumers satisfaction level can be measured and
consumer can enter his responses easily.

31

2. Secondary Data: The purpose of collecting secondary data was to achieve the objective of
studying the recent trends and developments taking place in cargo vehicles.

SAMPLE SIZE
I have targeted 100 people in the age group of above 21 years for the purpose of the
research. The target population influences the sample size. The target population represents karnal
region.

Analysis and Interpretation

After the data collection, it was compiled, classified and tabulated manually and with help of
computer. .

LIMITATIONS OF THE STUDY

1. Limited scope
The survey was conducted in karnal thus the respondents belonged to only this region of the country.
This could have brought bias into the study.
2. Assumption for the purpose of analysis
Some assumptions were made while doing analysis and interpretation; there could be few limitations
in regard to these.
3. Limited Time and Resources
Limited time and the resources resulted in many discrepancies

32

CHAPTER- 4
DATA ANALYSIS AND INTERPRETATION

33

1). Which of the following Ford car you own?

a) Fiesta

Name of the car

% of customers

figo

35

fiesta

22

Endeavour

18

Ecosport

25

b) Figo
c) Endeavour
d) EcoSport
Data analysis:

35
30
25
20 figo

Fiesta

Endeavour

Ecosport

15
10
5
0

% of customers

Interpretation: This question is meant for taking the information regarding the most preferred car in
the Ford cars. From the above graph it is found that most preferred vehicle of Ford cars is Figo

34

2). What do you like most about your Ford car?

a) Style/design

Customers preference

% of customers

Style/design
Comfort
Ford brand
Service

18
46
26
10

b) Comfort
c) Ford brand
d) Service
Data analysis:

Interpretation:

This question is meant to know the customers preferences and likes towards the

cars. From the data we can position our product to the comfort seeking group of people.

35

3).What do you feel great about your car when compared to other cars in the market?
a) Fuel efficiency

Customers perspective
Fuel efficiency
Durability
Low maintenance
Sound quality
Brand name

b) Durability
c) Low maintenance
d) Sound quality
e) Brand name

% of customers
4
14
18
24
40

Data analysis:

40
35
Fuel efficiency

30

Durability

25

Low maintenance

Sound quality

% of customers 20
15
Brand name

10
5
0
customer prespective

Interpretation:

From this question we can position the cars according to the customers

perspectives. Many of the Ford customers are buying the cars by seeing its Brand Name only. The
no. of customers satisfied with the fuel efficiency are very low.

36

4). How did you come to know about this car before purchasing?
a) From friends, relatives (buzz)

Source of awareness

No. of

Friends, relatives
Advertisements
Car experts
Sales persons visit
Auto magazines

customers
18
50
6
16
10

b) Advertisements
c) Car experts
d) Sales persons visit
e) Auto magazines
Data analysis:

Interpretation:

Most of the Ford customers came to know about their vehicle through

advertisements only. The major media that attracted the customers is television.

37

5).Can you share your experience with after sale service support.
a) Very much satisfied
b) Satisfied
c) Ok
d) Not satisfied

Post service

No. of

experience
Very much satisfied
Satisfied
Ok
Not satisfied

customers
12
30
50
8

Data analysis:
60

50

40

No. of customers

30

Very much satisfied

Satisfied

Ok

Not satisfied

20

10

0
After sale service experience

Interpretation: This question is prepared to know the service levels of the authorized dealer. Most
of the customers are just telling ok about the service. Only a very few customers are very much
satisfied with the service. Even some of the customers are not satisfied with the service given by the
authorized service men.

38

6). Where do you get your car serviced regularly?

a) At authorized

Place of service

No. of

At authorized service centre

At a local workshop near

customers
82
18

b) At a local
home

service centre
workshop near my

home

Data analysis:

customers preference for service centres

82%

at authorised service centre

At a local workshop near home

18%

Interpretation: Most of the Fortune Ford customers are interested to service their vehicles only at
the authorized dealers. From this we come to know what the importance of authorized service
centers for car is.

39

7. From where did you heard about this workshop?

(1) Magazines.
(2) Newspapers.
(3) Television.
(4) Local advertisement.
(5) Others.
Response

% of customers

Magazines

10

Newspapers

33

Television

Local advertisement

46

Others

DATA ANALYSIS:

40

% of customers
50
40
30
20
10
0

% of customers

INTERPRETATION: Most of the people got information about this workshop through local
advertisement, followed by newspapers and magazines.

8. How long you are coming to this workshop?

(1) Less than six months.
(2) Six month to one year.
(3) One year to two years.
(4) More than two years.
Duration of visiting the workshop

Response

Less than six months

10

Six month to one year

45

One year to two years

32

More than two years

13
41

DATA ANALYSIS:

Response
Less than six months
Six month to one year
One year to two years
More than two years

INTERPRETATION: Majority of the customers (45%) are visiting the workshop from six
months to one year, this is followed by one to two year old customers of Ford.

9.

Are

with

you
the

companys

satisfied
Satisfaction with free service plans

% of customers

free

plans?

service
Very dissatisfied

Somewhat dissatisfied

Neither satisfied nor dissatisfied

Very satisfied

30

(1) Very
dissatisfied
(2)Somewhat
dissatisfied

Somewhat satisfied

42

55

(3)Neither satisfied nor dissatisfied

(4) Very satisfied
(5)Somewhat satisfied
DATA ANALYSIS:

% of customers
Very dissatisfied
Somewhat dissatisfied
Neither satisfied nor
dissatisfied
Very satisfied
Somewhat satisfied

INTERPRETATION: Majority of the customers are moderately satisfied with free service plans
offered by company and notably this is more than half of the respondents. This is followed by
extremely satisfied customers which forms a significant 30%.

10. Do you agree that the services are done on time?

(1) Very much disagree
(2) Somewhat disagree
43

(3) Neither agree nor disagree

(4) Very much agree
(5) Somewhat agree
Response regarding timely service

% of customers

Very much disagree

Somewhat disagree

35

Neither agree nor disagree

Very much agree

20

Somewhat agree

39

DATA ANALYSIS:

% of customers
50
40
30
20
10
0

% of customers

44

INTERPRETATION: 39% of the customers moderately agree on timely service issue. There are
35% of customers who moderately disagree, customers who very much agree are 20% while very
much disagreeing customers are only 3%.
11. Which problem you face when you come for the service?
(1) Timeliness
(2) Customer relationship
(3) Infrastructure
(4) Others
Problems faced

% of customers

Timeliness

62

Customer relationship

23

Infrastructure

10

Others

DATA ANALYSIS:

45

% of customers
timeliness
customer relationship
infrastructure
others

INTERPRETATION: The timeliness issue is complained by 62% of customers during the servicing
of the vehicles, followed by 23% customers who have customer relationship issues. The
workshop must address these issues seriously.
12. How will you rate the Company in maintaining good customer relationship?
(1) Good
(2) Average
(3) Poor

Maintaining good customer relationship

% of customers

Good

35

Average

58

46

Poor

DATA ANALYSIS:

% of customers
60
50
40
% of customers

30
20
10
0
Good

Average

Poor

INTERPRETATION: In maintaining good customer relationships, the majority (58%) rated the
company as average. Only 7% rated the company poor in this case.

13. Are you satisfied with the service charges?

(1) Yes
(2) No
(3) Neither yes nor no

Response regarding service charges

% of customers

47

Yes

32

No

55

Neither yes nor no

13

DATA ANALYSIS:

% of customers

Yes
No
Neither yes nor no

INTERPRETATION: More than half of the respondents were not satisfied with the service charges.
Only 32% find these charges reasonable.
14. Will you want to come for service next time?
(1) Yes
(2) No
48

(3) Cant say

Response

% of customers

Yes

63

No

17

Cant say

20

DATA ANALYSIS:

% of customers

Yes
No
Cant say

INTERPRETATION: 63% customers told that they would come again for getting their vehicle
serviced the next time, followed by 20% who were unsure whether they would come or not.
15. If you dont come again, then what is the reason behind this?
(1) Poor timing.
49

(2) Infrastructure
(3) Poor dealing of Employees
(4) Others

Reason for not visiting again

% of customers

Poor timing.

64

Infrastructure

10

Poor dealing of Employees

13

Others

13

DATA ANALYSIS:

% of customers
Poor timing.
Infrastructure
Poor dealing of
Employees
Others

50

INTERPRETATION: Again, poor timing remains the biggest reason for annoyed customers, who
wont come for service the next time. This is followed by poor dealing of employees and other
reason.

51

CHAPTER- 5
FINDINGS, SUGGESTIONS AND CONCLUSION

FINDINGS
52

1. The proportion of customers who like service factor in their Ford vehicle the most is extremely
low (only 10%). This clearly indicates the dissatisfaction level of customers with the service of Ford
vehicles.
2. However among other variables, the brand name is liked the most, followed by the comfort
factor. Many of the Ford customers buy the cars because of the trusted brand name. This gives us an
insight of the relationship between the company and the customers.
3. The after sale services dont please the customers much. The extremely satisfied customers were
as low as 12%. The highest proportion of customers consisted of moderately satisfied customers
constituting 50%
4. Interestingly 82% of customers prefer only authorized Ford dealers for getting their Ford vehicle
serviced which is inspiring.
5. Regarding the preference of customers relating to vehicle they want to buy, Ford Figo tops the list
among other cars.
6. Notably, a significant proportion of people attach comfort feature with the Companys cars. So the
Company can advantageously position its products to the confort seeking group of people.
7. Extensive advertisement has helped the Company to popularize its brand name among the people.
8. Majority of the customers (45%) are visiting Pearl Ford from six months to one year, this is
followed by one to two year old customers of Ford.
9. But unfortunately, the proportion of customers who have been visiting this agency from more than
two years is very low (only 13%). This shows that majority of customers sell their Ford vehicle and
shift their preference to other brands after around 2 years.
10. Majority of the customers are satisfied with the procedure of the service, but still the proportion
of customers who want change in the procedure is as high as 43%. This calls for better strategic
planning.
11. The timeliness issue is complained by 62% of customers during the servicing of the vehicles,
followed by 23% customers who have customer relationship issues.
12. In maintaining good customer relationships, the majority (58%) rated the company as average.

53

13. Around 55% of the respondents were not satisfied with the service charges.

SUGGESTIONS
1. Pearl Ford must address the timeliness issue during servicing the vehicles.
2. Strategies on Customer Relationship Management need to be framed and implemented.
3. Pearl Ford should reduce the service charges, as more than half of the respondents find them to be
unreasonable.
4. The after sale services need to be improved.
5. Since majority of customers sell their Ford vehicle and shift their preference to other brands after
around 2 years, the company should seriously take this fact into consideration.
6. Changes need to be incorporated in the procedure of the service.

CONCLUSION
In the nutshell, it can be concluded that the brand name rules the heart of the customers. Ford Fiesta
is the most favorite car among other Ford vehicles. Unfortunately, majority of customers sell their
Ford vehicle and shift their preference to other brands after around 2 years. This indicates poor
strategic planning. The after sale services of the dealer also need improvements. The dealer should
seriously take this into consideration for its long run survival and success. Strategies need to be
formulated to have an edge over the competitors.
Ford is one of the top car brands in the world and customers attach expectations with it. However,
not most of the customers are pleased with its services. The company needs to keep in mind that the
customer is the king, and his satisfaction should be the topmost priority of the company. But the
revelations of the research dont present a very good picture. I hope the company draws benefits
54

from this report and understands the value of perception of its esteemed customers and make the
required improvements.
Finally, I would like to mention that this project has given me an idea of handling real situations. I
have made my sincerest efforts to complete this work with as much perfection as possible

55

CHAPTER -6
BIBLIOGRAPHY

56

1)

www.Fordmotors.com

2)

www.autocar.com

3)

www.overdrive.in

4)

http://bhagatgroup.com/Ford-index.htm

5)

Magazines- Autocar India, Topgear, WhatCar, Car n

Style

6)

Newspapers- Economic Times Zigwheels

7)

Journals- India Overdrive, Fastrack

57

CHAPTER-7
ANNEXURE

58

A. QUESTIONNAIRE

CUSTOMER SATISFACTION INDEX

Details:
Vehicle No: _______________________________________________________
Model: ___________________________________________________________
Customer Name: __________________________________________________
Telephone No: ______________________Mobile:________________________
Date: __________________Customer signature: ________________________

1. Which of the following ford car you own ?

a) figo

b) fiesta

c) endavour

d) Ecosport

2. What do you like most about the car?

a) Style/design

b) Comfort

c) Ford brand

d) Service

3. What do you feel great about your car when compared to other cars in the market ?

59

a) Fuel efficiency

( )

b) Durability

( )

c) Low maintenance

( )

d) Sound quality

( )

e) Brand name

( )

4. How did you come to know about this car before purchasing ?

a) Friends , relatives ( )

5.

b) Advertisements

( )

c) Car experts

( )

d) Sale person visit

( )

e) Auto magazines

( )

Can you share your experience with after sale services support.
a) Very much satisfied

b) Satisfied

c) Ok

d) Not satisfied

60

6. Where do you get your car serviced regularly ?

a) At authorized service centre
b) At a local workshop by home

7.

From where did you heard about Pearl Ford?

Magazines.

( )

Newspapers.

( )

Television.

( )

Local advertisement.

( )

Others.

( )

8. How long you are coming to Pearl Ford?

Less then six months.

( )

Six month to one year.

( )

One year to two years.

( )

More then two years.

( )

9. Are you satisfied with the companys free service plans?

(1) Very dissatisfied

( )

(2) Somewhat dissatisfied

( )

(3) Nether satisfied nor dissatisfied

( )

(4) Very satisfied

( )

61

(5) Somewhat satisfied

( )

(5) Somewhat agree

( )

10. Do you agree that the services are done on time?

(1) Very disagree

( )

(2) Somewhat disagree

( )

(3) Nether agree nor disagree

( )

(4) Very agree

( )

(5) Somewhat agree

( )

11. Which problem you face when you come for the service?
1) timeliness

( )

2) customer relationship

( )

3) infrastructure

( )

4) others

( )

12. How will you rate the company in maintaining good customer relationship?
(1) Good

( )

(2) Average

(3) Poor

( )

13. Are you satisfied with the service charges?

(1) Very dissatisfied

( )

(2) Somewhat dissatisfied

( )
62

(3) Nether satisfied nor dissatisfied

( )

(4) Very satisfied

( )

(5) Somewhat satisfied

( )

Q14. Will you want to come for service next time?

(1) Yes

( )

(2) No

( )

(3) Cant say

( )

15. If you dont come again, then what is the reason behind this?
(1) Poor timing.

( )

(2) Infrastructure

( )

(3) Poor dealing of Employees

( )

16.Please give your comments/suggestions to enable us to improve satisfaction of customers at

this Ford authorized showroom.
63

_______________________________________________________________

_______________________________________________________________

THANK YOU FOR YOUR VALUABLE OPINIONS

64