A STUDY ON CONSUMER PREFERENCE TOWARDS

HONDA CARS IN TAMBARAM

RA1631204010036
IIIB.COM (ISM)
K LEENA SAJYA
LIST OF CONTENTS

CHAPTER TITLE PAGENO

List of Tables
List of chart
I Introduction

1.1 Introduction
1.2 Industrial profile
1.3 Company profile
1.4 Review of literature
CHAPTER – 1

INTRODUCTION AND DESIGN OF THE STUDY

INTRODUCTION

Customer satisfaction is a must in business. Satisfaction is a person's

feelings of pleasure or disappointment resulting from comparing a product's
perceived performance in relation to his or her expectations.

Satisfaction is a function of perceived performance and expectations. If

the performance falls short of expectations, the customer is dissatisfied. If the
performance matches the expectations, the customer is satisfied. If the
performance exceeds expectations, the customer is highly satisfied or
delighted. Many companies are aiming for high satisfaction because
customers who are just satisfied still find it easy to switch when a better offer
comes along.

The producer's attempts to find out people who will pay for his product
and buy them for his own satisfaction from the products while manufactures
make decision of the scope for the products, they satisfy consumer wants and
needs. Advertisers try to understand basic forces that cost human behavior
with in the market. They get such knowledge from psychology and sociology
for their desires. This is called consumer behavior, which is used to construct
models by which marketing people plan strategies, later on, these are used in
advertising campaign.

This study on this topic will help the organization to satisfy the
customer need and there wants and tells “Love the customers, not the
product"
The Automobile industry has undergone a dramatic transformation over the
past decade, both in size and technological sophistication. Until the mid –
1990s it consisted of just a handful of local companies with small capacities
and outdated technologies. However, after the sector was thrown open to
foreign direct investment in 1996, some of the global majors moved in and by
2002, Hyundai, Honda, Toyota, general Motors, Ford and Mitsubishi set up
their manufacturing bases.

The sector is known to hold as much promise for the country as the
much touted IT and ITes industry. And much like its IT counterpart, the auto
industry is being driven by India’s advantage of a vast availability of low cost –
high skilled manpower.

The year 2003 – 2004 was a landmark one for the auto sector. For the
first time, the total sales (domestic plus exports) of passenger vehicle – cars,
utility vehicles and MUVs – crossed the one million mark with sales growing
30.2 per cent during the year. Of this, domestic sales accounted for 9,00,752
units and exports 1,29,316 units.

With total investment exceeding Rs.50,000 crore, the turnover of the

automobile industry exceeded Rs.59.518 crore in 2002 - 03. Including the
turnover of the auto component sector, the industry’s total turnover was above
Rs.84,000 crore in 2002 – 03. According to estimates in 2003 – 04 , the total
turnover of the industry was more than Rs.100,000 crore ($22.74 billion).

The total production of all types of vehicles in India rose from 4.2
million units in 1998 – 99 to 7.3 million units in 2003 – 04. Over this period,
commercial vehicles output grew 2.8 times compared to 2.2 times for
passenger cars. However, it is the two – wheeler output, which continues to
dominate the sector.

In 2003-04, for instance, for every passenger car produce in the

country, several two wheelers were turned out. In 2003 – 04, the country
produced 842,437 passenger cars, 146,103 MUVs, 275,224 commercial
vehicles, 5,624,950 two – wheelers and 340,729 three – wheelers.

In addition to the growing domestic demand, automobile exports have

also registered a healthy growth in recent years, thanks to the improvement in
the quality of products and their competitive prices. For instance, export of
passenger cars rose from 28,122 in 1998 -99 to 166,413 units in 2004-05.
Exports of commercial vehicles increased to 30,000 units in 2004-05
from12,255 in 2002-03 and those of two – wheelers to 336,724 units in 2004 –
05 from 179,982 in 2002- 03.

While the output levels of domestic industry are no doubt still small in
comparison with international auto giants, India has now emerged as the
fastest growing car market in the world. The country’s two wheeler industry is
already the largest in the world and is expected to continue to maintain robust
growth in the coming years. The growth rate of all commercial vehicles in
2003 -04 was 36.5 percent; the LCV segment logged a growth of 32 percent.

Thanks to the all pervading optimism in the air, car makers have drawn
up plans to increase their production capacities by as much as 44 per cent
over the next two – three years. While the country’s largest car producer,
Maruti Udyog Ltd (MUL), will increase its capacity by setting up a new plant,
Tata Motors, Hyundai, Ford and Toyota are planning to expand their
capacities.

A heartening feature of the changing automobile scene in India over

the past five years is the newfound success and confidence of domestic
manufacturers. They are no longer afraid of competition from the international
auto majors.

Evidently, Indian players have learnt from past mistakes and developed
the skills to build cheaper automobiles using ‘appropriate’ technologies. True,
Indian Players are still lacking in scale of operation. While economies of scale
play a vital role in the auto sector, a few Indian manufacturers relied on
innovation rather than scale of operation for competitive advantage.
 As the automobile industry has matured over the past decade, the auto
components industry has also grown at a rapid pace and is fast achieving
global competitiveness both in terms of cost and quality.

In fact, industry observers believe that while the automobile market will
grow at a measured pace, the components industry is poised for a takeoff. It
is among the handful of industries where India has a distinct competitive
advantage. International automobile majors, such as Hyundai, Ford, Toyota
and General Motors which set up their bases in India in the 1990s, persuaded
some of their overseas component suppliers to set up manufacturing facilities
in India.

Consequently, the value of cumulative output of the auto components

industry rose rapidly to Rs.30,640 crore at end of 2003 -04 for just Rs.11,475
crore in 1996 -97. Foreign companies such as Delphi, which followed General
Motors in 1995, and Visteon, that followed Ford Motors in 1998, soon realized
the substantial cost advantage of manufacturing components in India.

Finding the cost of lower by about 30 per cent, they began exploring
the possibility of exporting back these low – cost, high quality components to
their global factories and thus reducing their overall costs. Not surprisingly,
the industry’s exports registered a more than four – fold jump to Rs.4, 800
crore in 2003 -04 from just Rs.1,033 crore in 1996 -97.

Automobile majors such as Maruti Udyog, Toyota, and Hyundai have

now finalized their plans to invest in some of the critical auto components.
According to the Automotive Manufacturers Association of India (ACMA)
officials, auto component manufacturers are expected to invest about
Rs.10,000 crore over the next five years at the rate of Rs.2,000 crore per
annum.

According to analysts, the auto component industry could merge as the

next success story after software, pharmaceuticals, BPO and textiles. The
size of the global auto component industry is estimated at $ 1 trillion and is set
to grow further. Against this backdrop, Mc Kinsey’s latest report has estimated
that the sector has the potential of increasing its exports to $25 billion by 2015
from $1.1 billion in 2004.

The growth curve of India Auto Ind. has been on as upswing for the
past few years. India became the fastest growing car market in the world in
2004, with a growth rate of 20 per cent. Continuing the upswing, the sector
posted an impressive 8.9 per cent growth in 2005 - 06, says the Economic
Survey 2005 – 06.The latest announcement by the government to cut excise
duty of small cars will soon see India emerging as the world’s largest
manufacturing hub for small or compact cars.

The automobile is one of the most complex consumer products in

existence. And although, worldwide the auto industry is known to have one of
the most mature manufacturing processes, there are dramatic changes in
product development and technology occurring even today.

Two of the most critical issues that have emerged in the recent past
are competitiveness in cost, quality and product offerings and shorter lead
times to market. This in turn has encouraged auto companies to adopt world
car concepts that transcend diverse geographies. No wonder then that the
automotive business is being played out on a worldwide stage, with India
emerging as one of the key players.

Auto components, engineering services are ready to export passenger

vehicles most global auto majors have deepened their commitment and ties
with the country, projecting India as one of the world’s auto hubs. The Indian
automobile industry is likely to attract an investment of US$6.7 billion by 2007.
Domestic auto sales grew 12.9 per cent during the April – November ’05
period, compared to the same period last year, according to Society of Indian
Automobile Manufacturers (SIAM).

Car Sales in April – January, the first ten months of the fiscal year to
March 2006, rose to 707,901 units from 668,382 a year earlier.
 A sale of commercial vehicles – trucks and buses increases 15%
(34,037) from previous year sale. While sales in April 2005 - January 2006
were 271,979 units against 252,919 year on year. Within the industry light
commercial vehicles led with a 21 per cent growth, touching 89,843 units.
Taking the second spot as a growth category were three vehicles which grew
14.5 per cent to 2, 25,714 units.

Exports of automobiles as a proportion of total production have

increased from 2.9 per cent in 1999 – 2000 to 8.9 per cent in 2005 – 06,
according to the Economic survey. For passenger cars and three wheelers,
exports in 2005 – 06 accounted for 18 – 19 per cent of total production. Indian
Automobile sector is increasing its sales volume and is expected to touch 10
million marks of which commercial vehicle segment will contribute maximum.
According to industry experts Indian Automobile sales will grow at a CAGR of
9.55 to 13008 million by 2010 from current 8.45 million units in Financial Year
05.

COMPANY PROFILE

HCIL's first manufacturing unit was set up at Greater Noida, U.P in 1997. The
green field project is spread across 150 acres and has an annual production
capacity of 120,000 units. HCIL's second plant in Tapukara is the first car
manufacturing plant in the state of Rajasthan. The state-of the art Power train
and Press shop in Tapukara plant have been operational since September
2008. This facility is spread over 450 acres and has an annual production
capacity of 120,000 units. HCIL started the production of cars from its
Tapukara Plant from February 2014. This plant is the culmination of the best
manufacturing know-how and practices gathered from Honda's global
operations.

Sales Network
Honda Cars India Ltd.,(HCIL) has a strong sales and distribution network
spread across the country. The network includes 295 authorised dealership
 facilities in 188 cities. HCIL dealerships are based on the "3S Facility" format,
offering complete range of Sales, Service and Spares services to its
customers.

Environment and Safety

The Honda Group is globally recognized for its concern towards environment,
safety and conservation of the society in which it operates. HCIL follows the
same in India for achieving high standards in environmental safety in the
various processes of car manufacturing.
Honda Assure
'Honda Assure' is an Insurance initiative introduced by HCIL to enhance
ownership experience for Honda car customers. Under the Honda Assure
program, all Honda car customers get the benefit of a more transparent,
hassle-free transaction and a quick turnaround time on their insurance claims.
The entire transaction is routed through an on-line central server which
enables HCIL to monitor the overall operations more effectively. Some of the
direct benefits to the customers include Cashless Insurance across India,
instant policy issuance, and improved turnaround time.
Auto Terrace
Honda's Exchange and Pre-Owned car division Auto Terrace has been in
existence ever since the inception of HCIL in India. Present in all major Honda
dealers across the country, Auto Terrace presents itself as the one-stop
solution for catering to the needs of customers wanting to exchange their
existing cars for a New Honda car.

Vision
Basic Principles
 Respect for the individual.
 The Three Joys (buying, selling and creating).
We at Honda believe that each person working in or coming in touch with our
Company, directly or through our products, should share a sense of joy
through that experience. This feeling is expressed in what we call "The Three
Joys"
 Our Goal is to provide joy through our Business:
The Joy of Buying: For those who buy our Products
The Joy of Selling: Engage in selling our products and services
The Joy of Creating: Involved in business of creating our Products
Company Principle (Mission Statement)
Maintaining a global viewpoint, we are dedicated to supplying products of the
highest quality, yet at a reasonable price for worldwide customer satisfaction.
Management Policies
 Proceed always with ambition and youthfulness.
 Respect sound theory, develop fresh ideas, and make the most effective use
of time.
 Enjoy work and encourage open communication.
 Strive constantly for a harmonious flow of work.
 Be ever mindful of the value of research and endeavor.
Dreams inspire us to create innovative products that enhance mobility and
benefit society. To meet the particular needs of customers in different regions
around the world, we base our sales networks, research and development
centers and manufacturing facilities in each region. Furthermore, as a socially
responsible corporate citizen, we strive to address important environmental
and safety issues.

BUSINESS ETHICS PROPOSAL LINE (BEPL) - VIGIL MECHANISM

POLICY
Honda Cars India Limited (HCIL’s) stated vision and goal is to become a
company that society wants to exist. In order to meet the expectation of the
stakeholders and the society, Honda Corporate Governance (HCG) System
has been set up.

As part of Corporate Governance system, the BEPL – VIGIL MECHANISM

Policy has been established, with the aim to enable Directors and
employees to report any instance of unethical behavior, actual or suspected
fraud or violation of Honda Conduct Guidelines, internal policies and statutory
laws in the Company.
 Legacy
 Foundation (1960's)

 1980's
Honda has always believed in giving more excitement and more joy. Be it
designing high performance sports cars that are a pleasure to behold and a
joy to drive or creating the world's first humanoid robot to walk on two legs or
countless other technologies that astonish and delight, Honda's spirit of
exploration frequently invents the future.

Not surprisingly, millions of people worldwide often respond to Honda's spirit

of innovation with a sense of delight and amazement. Honda's obsession for
technology that continuously improves upon the performance and safety of all
Honda vehicles is what sets it apart from other names in the car industry.

i-VTEC
Honda engine technology delivers environmental responsibility and driving
pleasure...

VCM
With its flexible use of cylinders, the unique VCM (Variable Cylinder
Management)...

VSA
The VSA (Vehicle Stability Assist) technology, which during an...

IMA
With an electric motor assisting the engine, Honda hybrid vehicles realize
both superior
Environment

Honda has established a global environmental slogan as an expression of the

company’s proactive commitment to make progress in its environmental
efforts on a global basis. With this slogan, Honda will strive to become the
leader in the area of environmental and energy technologies.

The new global environmental slogan and symbol will be used with Honda’s
internal and external environmental activities and communications around the
world. - "Blue Skies for Our Children."

Honda Environmental Vision:

Realizing “the Joy and Freedom of Mobility” and “a Sustainable Society where
People Can Enjoy Life”

Global Environmental Slogan:

Blue Skies for Our Children

Honda engineers who took on the challenge to meet the stringent new
emissions standards of the 1970s U.S. Clean Air Act, used the phrase “blue
skies for our children” as a passionate rallying cry to devote themselves to this
effort. Honda wants to pass on the “joy and freedom of mobility to the next
generation” (for our children), therefore, we want to realize a sustainable
society where people can enjoy life (blue skies). This slogan continues to
represent Honda’s passion toward its environmental commitment which has
not wavered and will remain resolute in the future.

Global Environmental Symbol

The circular graphic represents the earth and sun with blue skies (clean air),
clean water, and lush green land expressing the bounty of nature that is
necessary for us to realize a sustainable society where people can enjoy life.
The white line through the middle represents a road where freedom of mobility
is realized, while the heart represents Honda’s thinking and passion toward
our environmental commitment.

Realization of safe coexistence of people and mobility

Honda’s quest for safety is not limited to the needs of car drivers and
motorcycle riders. Honda’s total commitment to “Safety for Everyone” extends
to passengers, pedestrians, occupants of other vehicles, and everyone on the
road. Honda will continue to develop and refine its innovative technologies to
realize a safer society.

Striving to achieve “Safety for Everyone”

Seeking to manufacture cars that enhance safety, Honda has been working to
enhance active safety and collision safety to help reduce human injuries. In
the area of collision safety, in 1998 Honda announced proprietary G-force
Control technology (G-CON), which controls impact (G) forces in collisions to
help reduce injuries to people. In 2000, Honda opened the world’s first indoor
omni-directional crash test safety facility. Through testing and analysis of real-
world accident scenarios, Honda invented Advanced Compatibility
EngineeringTM (ACETM) body technology, providing enhanced G-CON
safeguards and improved self-protective capabilities to better shield
occupants of both vehicles in car-to-car collisions. Honda also created
technology to raise the vehicle hood in car-to-pedestrian collisions, helping to
lessen the potential for pedestrian head injuries. In the area of active safety, in
2003 Honda devised the Collision Mitigation Braking SystemTM (CMBSTM),
which can anticipate and help reduce the likelihood of a collision with the rear
of another vehicle, as well as seatbelt E-pretensioners. In 2004, Honda
developed the world’s first Intelligent Night Vision System, which uses a far-
infrared camera to detect pedestrians on nighttime roads and then alerts the
driver. Honda will continue its efforts to create technology and equipment for
both active and collision safety measures, helping to ensure the wellbeing of
all people on roadways.

World’s first driver-side i-SRS airbag system with continuously staged

inflation

In September 2008, Honda developed the world’s first driver-side i-SRS

airbag system with a continuously-staged inflation function that
accommodates a wider range of driver seating positions and types of
collisions.* It features spiral-shaped seams and a gas release control valve
designed for optimal control of an airbag’s internal pressure to achieve prompt
and low-impact deployment with continuously-staged inflation, making it
possible to sustain protection for a longer period of time.

REVIEW OF LITERATURE

Author: Ina Landua; [2008]: Due to environmental legislation, economic

influences and increasing concern about the environment among the general
public, today’s businesses are becoming more committed to environmental
issues. Some enterprises yet have implemented a green strategy. This thesis
aims at identifying issues that determine the long-term efficiency of green
marketing and how confidence and trust plays a role in order to gain
competitive advantage through customer satisfaction and customer retention.
The common denominator of both, CRM and green marketing is the creation
of confidence, trust and value for customers. So, focus is laid on measures
that lend credibility to companies’ green marketing by interviewing experts
and observing their opinions about green marketing and eco-labeling.

Author: Parmita Saha; Yanni Zhao; [2005]

: In the last few years we have witnessed a substantial growth of internet-

based services, both from pure Internet businesses and from traditional
companies that are developing online services. One of the key challenges of
the Internet as a service delivery channel is how they manage service quality,
which holds a significant importance to customer satisfaction. The purpose of
this research was to gain a better understanding of the service quality
dimensions that affect customer satisfaction in the Internet banking sector
from a consumer perspective. Based on a detailed literature review, a frame
of reference was developed. Five service quality dimensions were selected to
be tested in the Internet banking sector in order to explore the relationship
between service quality and customer satisfaction. A qualitative research
approach was used to get a better understanding of this issue. However, a
small quantitative survey was also conducted to support the results obtained
from the qualitative study. The empirical data were gathered through in-depth
interviews with four people by using a semi-structured questionnaire and a
survey were conducted with 25 people. Data presentation and analysis were
done in accordance with the research questions and the frame of reference.
Finally, in the last chapter findings and conclusions were drawn by answering
the research questions. Nine service quality dimensions in Internet banking
were identified in this study (i.e., efficiency, reliability, responsiveness,
fulfillment, privacy, communication, personalization, technology update, and
logistic/technical support). The quality performance of all the nine dimensions
was shown to have a strong impact on customer satisfaction. Efficiency,
reliability, responsiveness, fulfillment, privacy was found to be the core service
quality dimensions in Internet banking. Finally, technology update and
logistical or technical support was two new dimensions found in this study.
Author: Laleh Nosrati; [2008]: The daily growth of the internet and e-
commerce has changed the way of marketing and selling products and
services. As a result of development in electronic information resources and
the evolution of the "digital age" product sellers and information service
providers face many new challenges. Internet is changing the way
corporations conduct business with their consumers who are increasingly
expecting higher services, becoming time saved, and wanting more
convenience. In addition e-service quality is an essential strategy to gain
success, according to the results of previous literatures, probably more
important than a low price for online companies. Since one of the main duties
of the internet as a communication channel is how to manage service quality,
which holds a significant importance to customer satisfaction, the purpose of
this research is to gain a better understanding of the impact of web site quality
factors on customer satisfaction. Also, through literature it is clear that there is
a relation between e-trust, satisfaction and quality. For this reason based on a
detailed literature review, and in order to find the impact of website quality
factors on customer satisfaction, a model with four website quality factors was
selected to be tested in online bookstores in Iran, and also e-trust item is
added to this model in order to examine the relation of this factor with
satisfaction and quality. Then a quantitative research was conducted and data
were gathered through an online survey. The results in our research suggest
that quality has a strong impact on satisfaction and also e-trust has a
reasonable impact on quality and through quality affects satisfaction. Our
findings indicate that reliability is the most important indicator of quality from
the Iranian online book shoppers' perspective. In addition, since customer
service is the only factor that directly affects satisfaction: it is a key strategy to
increase the level of satisfaction straightaway. The results presented in this
research will help companies to locate their position against competitors, pin
point their weak points and determine which website characteristics will
improve their performance and also it can provide an evaluation of the extent
to which information and services comprehensible for all users and to extent
to which the features and functions are necessary to provide an effective and
efficient web site to meet the needs of a divers population of users.

Oladayo Odujobi; [2011]: Customer satisfaction is an increasing challenge for

telecommunication companies. In the last few years, the mobile telecom
market has witnessed a substantial growth and rapid changes globally, as
well as domestically in Nigeria. Customer satisfaction is a critical issue in the
success of any business system. The purpose of this research is to evaluate
“whether” and “how” ZAIN customers are satisfied or dissatisfied with the
customer service provided at ZAIN outlets in Port Harcourt region with the
help of service quality by the customers of the outlets. The research would be
based mainly on quantitative method; i.e. questionnaire method using service
quality and satisfaction attributes, along with literature review and personal
interview results to develop the questionnaire. The Service Quality Gap which
aims at measuring the customer satisfaction, by comparing their expectation
and perception of service after experiencing the service, serves as the
theoretical framework for the research. Moreover, SERVQUAL dimensions
covering Reliability, Assurance, Empathy, Responsiveness and Tangibles are
used in the further development of theory and modeling of the questionnaire
for this research.

Breaking the Customer Code: A model to Translate Customer

Expectations into Specification Limits

Author: Ruben Gregorio; [2010]: Today, firms compete with services rather
than goods. Large service organizations are beginning to use Six Sigma as
continuous improvement tool. An important part of the Six Sigma methodology
is the calculation of number of defects in the process, i.e. points outside the
specification limits. Unlike goods quality, which can be measured objectively
by number of defects, in service goods the setting up of specification limits is
a complicated issue because it is marked by the use and expectations among
the different customers. As Six Sigma was originally created for
manufacturing, this crucial fact is not contemplated in the Six-Sigma roadmap
Define- Measure-Analyze-Improve-Control (DMAIC).

The aim of this thesis is to develop a new model to help the Service
Division, Siemens Industrial Turbo machinery AB to set the specification limits
according to the customer expectations.

A review of relevant literature is used to develop a new integrated

model with ideas from the Kano model, SERVQUAL, Taguchi loss function,
Importance Performance Analysis (IPA) and a new model, the ”Trade-Off
Importance”. A survey was carried out for 18 external customers and internal
stakeholders.

The model has demonstrated its robustness and credibility to set the
specification limits. Additionally it is a very powerful tool to set the strategic
directions and for service quality measurement. As far as we know, this thesis
is the first attempt to create a roadmap to set the specification limits in
services. Researchers should find a proposed model to fill the research gap.
From a managerial standpoint, the practical benefits in Siemens Industrial
Turbo machinery AB, suggest a new way of communicating to customers.

A group of researchers of the Center for the Study of Social

Policy (2007)13 conceptualize that satisfaction is based on the customer’s
experience of both contact with the organization (the moment of truth) and
personal outcomes. According to these researchers, satisfaction can be
experienced in a variety of situations and connected to both goods and
services. To another extent, these researchers defined satisfactions as a
“highly personal assessment” that is greatly influenced by “individual
expectations”. This definition views “individual” element as powerful force to
create satisfaction. Likewise, many researchers (Oliver, 1981; Brady and
Robertson, 200114) conceptualize customer satisfaction as an individual’s
feeling of pleasure or disappointment resulting from comparing a product’s
perceived performance (or outcome) in relation to his or her expectations.
 Yi and La (2004)17 conclude satisfaction into two general
conceptualizations: transaction-specific satisfaction and cumulative
satisfaction. Transaction-specific satisfaction is a customer’s evaluation of his
or her experience and reactions to a particular service encounter (Cronin and
Taylor, 1992; Boshoff and Gray, 2004). Cumulative satisfaction refers to the
customer’s overall evaluation of the consumption experience to date.

Kan (1995) A dissatisfied customer will tell seven to 20 people about

their negative experience. A satisfied customer will only tell three to five
people about their positive experience.

Iacobucci (2001). Customers may explain their satisfaction with a

product or
service in terms of specific aspects such as the product attributes, price,
customer service, or a combination of these various features.

Boselie, Hesselink, and Wiele (2002) defined satisfaction as a

positive, affective state resulting from the appraisal of all aspects of a firm’s
working relationship with another firm.
This definition purported that satisfaction (understood as affective) can
be contrasted with an objective summary assessment of outcomes – thereby
forming a target-performance comparison mechanism. Therefore, the
appropriate definition of customer satisfaction for this study would be the one
by Boselie et al. (2002).

Edelman (2006) emphasizes that customer service failures can create

conflicts and sabotage business. In fact, Terrence J.Levesque and Gordon
H.G. McDougall, professors of Business and Economics at Wilfred Laurier
University, warned in their study (as cited in Keaveney, 1995) that service
failures cause customers to change service provider. Levesque and
McDougall (2000) describe such service failures as situations where the
customer dose not gain the expected service guaranteed by the provider
(2000). The authors (Levesque & McDougall, 2000).
Zeithaml & Bitner states that:

"Service quality is a focused evaluation that reflects the customer's perception

of specific dimensions of service: reliability, responsiveness, assurance,
Empathy, tangibles. Satisfaction, on other hand, is more inclusive: it is
influenced by perceptions of service quality, product quality, and price as well
as situational factors and personal factors.

1. The external customer is someone who signs a check, pays our

employer, and ultimately makes our paycheck possible. External customers
have choice, and if they don't like your product or service can take their
business elsewhere.

2. An internal customer or internal service provider can be anyone in the

organization. An internal customer can be a co-worker, another department,
or a distributor who depends upon us to provide products or services which in
turn are utilized to create a deliverable for the external customer. In general,
internal customers don't have a choice. For example, if the sales department
doesn't like accounting's credit policies, they can't fire that department and
hire another.

Great (external) customer service creates customer satisfaction, customer

loyalty, and customer retention. So why all the fuss about internal customers,
especially when retention isn't an issue?

Outstanding internal customer service is simply good business. Internal

customer service can flourish only in high communication environment. To
create positive internal customer service, all departments work together
cooperatively, agree on processes and procedures, and negotiate
expectations. Like gears meshing in sync, interdependent business units meet
each others' needs, work productively together to meet common goals, and
deliver high quality products and service to the external customer.
The focus on developing effective internal customer service helps
organizations cut costs, increase productivity, improve interdepartmental
communication and cooperation, boost employee morale, align goals,
harmonize processes and procedures, replace interdepartmental competition
with interdepartmental cooperation and deliver better service to the external
customer. Excellent service to the external customer is dependent upon
healthy internal customer service practices.

Service quality:

Service quality involves a comparison of expectations with performance.

According to Lewis and Booms (1983) service quality is a measure of how
well a delivered service matches the customer’s expectations.

Generally the customer is requesting a service at the service interface where

the service encounter is being realized, and then the service is being provided
by the provider and in the same time delivered to or consumed by the
customer.

The main reason to focus on quality is to meet customer needs while

remaining economically competitive in the same time. This means satisfying
customer needs is very important for the enterprises to survive. The outcome
of using quality practices is:

 Understanding and improving of operational processes

 Identifying problems quickly and systematically
 Establishing valid and reliable service performance measures
 Measuring customer satisfaction and other performance outcomes

“Service quality is a business administration's term and describes the degree

of achievement of an ordered service”.
In this connection, objective and subjective service quality can be
distinguished.

 Objective service quality is the concrete measurable conformity of a

working result with the previous defined benefit; since the measurability
is remarkable dependent on the definition's accuracy, a measurable
quality criterion easily can turn out as a subjective one.

 Subjective service quality is the customers perceived conformity of the

working result with the expected benefit; this perception is overlayed
with the customer’s original imagination of the service and the service
provider’s talent to present his performance as a good one.

Moreover, a defined result can turn out as unreachable. Then the best
possible achievable result would be the objective ideal result, but subjective
still be an unsatisfactory result of a service.

Service quality can be related to service potential, service process or service

result.
In this way for example, potential quality can be understood as the co-workers
qualification, process quality as the speed of the generated service and result
quality as how much the performance matched the customer’s wishes.
CHAPTER-3

OBJECTIVES AND RESEARCH METHODOLOGY

STATEMENT OF THE PROBLEM

The problem selected for present study is to identify the customer expectation of
Honda cars among the customers at Chennai city.
Since it is said “A problem well defined is half solved”. The problem is
specified clearly with which aspect it should be carried out. The main purpose of the
study is to know the customer expectation and their perception towards the Honda
cars owners in Chennai. To know the satisfaction level of the product dealt and thus
improve distribution pattern. Also to know reason for purchasing more of specified
company brand and thus improve in that aspect. To know the level of awareness
about choice brand of the equipment and also the awareness about the different brand
in the market, this would help to attain the company to take appropriate steps.

The title of this project clearly states that the purpose of the study is to know
the customer perception of Honda cars owners. Also the study is an attempt to know
the exact expectation of customers in Chennai region for the company to do good
business.
 SCOPE OF THE STUDY

The study is mainly intended to ascertain customer satisfaction and factors

influencing product selection. It is believed that such a study will throw light on the
strength and weakness of the dealer on one hand, its opportunity and threats on the
other hand. The scope is mainly focused on giving information to the company about
what to do or what are the pitfalls or weakness that the company is presently having.
These weaknesses can be studied in detail or in depth and good remedies can be taken
to improve the company's well being.

The scope also extents about to know what are people's opinion about the
company's service and product, their awareness, likes and dislikes and the company
can take into consideration the suggestion made by them if they compensate with
company's view and policies. And thus findings and other study may help the service
provider to analyze the needs of the people and bring before them what they needed
and moreover to attain a competitive edge over its rival.

OBJECTIVES OF THE STUDY

Primary objective

To study the customer preference towards the Honda cars from the
customers.

Secondary Objective

1. To find out the factors influencing the customer preference while selecting
the product.
2. To study the customer satisfaction level towards Honda cars
3. To know about the customer opinion on after sales
4. To offer suitable suggestions to improve customer satisfaction.

LIMITATIONS OF THE STUDY

1. A major limitation of the study was the time factor. Due to which sample size
had to be restricted.
2. The study was restricted to the customers in Chennai City. So the findings
can’t be generalized to the entire market.
 3 Information gathered from the respondents may be biased.
4. Sample size has been limited to 110 Honda car owners.

METHODOLOGY OF THE STUDY

RESEARCH DESIGN

Descriptive research design was used to conduct this study. The main
characteristics of this method is that the researcher as no control over the variable.
Description study is adapted as the research design. description study is designed to
description the characterized of user of a given product, the degree to which product
use, varies with age, sex, income level, family size or other characteristics.

SAMPLE DESIGN

Sample design refers to the technique or the procedure the research would
adopt in selecting item for the sample.

SAMPLING UNIT

Sampling unit is the basic unit containing the elements of a target population.
The sampling unit of the study is Chennai city.

SAMPLE SIZE

The study contains a sample size of 110 customers.

SAMPLING TECHNIQUES

In this study non-probability sampling has been adopted. Under the non-
probability sampling convenience sampling has taken for the purpose of study.

The sampling units are chosen primarily on basis of convenience sampling.

DATA COLLECTION METHOD

The data was collected from the both primary and secondary sources.

PRIMARY DATA
 The researcher had collected primary data, which had obtained by a study
specifically designed to fulfill data needs of the problem at hand such data are original
as character. They are also follows,

QUESTIONNAIRE TYPE

The structured questionnaire was used for collecting the data. The
questionnaire include two type,

1. Multiple choice questions

It is very easy and convenient for the respondents answer. It offers three or
more answer choices.

SECONDARY DATA

The researcher uses different sources to collect the data’s, such as company
publications, business journals, magazines, project reports etc.

TOOLS USED FOR ANALYSIS DATA

PERCENTAGE ANALYSIS
Percentage refers to special kind of ratio. Percentage are used to make a
comparison between two or more serious of data. The percentage method is
sometimes used for describing relationship. Since the percentage reduce everything to
a common bases and there allows meaningful comparison to be made. The researcher
had used the following charts for representing a data,

1. Bar chart
2. Pie chart

Bar Chart

Bar chart consists of two axis, X-axis and Y-axis. In these two axis we give
the number of respondent and their percentage respectively.

Pie Chart
 It is in a round manner which shows different values in different colors or
shades, inside a round diagram or in separate pieces of a circle.

A marketer is someone seeking a response (attention, a purchase, a vote, a

donation) from another party, called the prospect. If two parties are seeking to sell
something to each other, we call them both marketers.

CHAPTER 4

DATA ANALYSIS AND INTERPRETATION

PERCENTAGE ANALYSIS

Percentage analysis is used for the factors like age, gender, marital status,
family composition etc., and each factor is represented in the form of table here under.
Table 1

Gender of the respondents

S.No Gender No. of respondents Percentage

1 Male 92 83.6

2 Female 18 16.4

Total 110 100.0

Interpretation

The table above shows that 83.6% of the respondents are male and 16.4% of
them are female.
Chart 1

Gender of the respondents

Female
16%

Male
84%
 Table 2

Age wise classification of the respondents

S.No Age group No. of respondents Percentage

1 18 – 24 32 29.1

2 25-31 50 45.4

3 32-38 26 23.6

4 39 & above 2 1.9

Total 110 100.0

Interpretation

From the above table it is inferred that 45.4% of the respondents come under
the age group of 18-24 years, 29.1% come under age group 18 - 24 years, 23.6%
come under the age group 31-38 years and only 1.9% are come under the age group of
above 50 years.
Thus the majority of the respondents are in the age group of 25-31 years.
Chart 2

Age wise classification of the respondents

50 45.4

45

40

35
29.1
30
Percentage

23.6
25

20

15

10
1.9
5

0
18 - 24 25-31 32-38 39 & above
Age group
Table 3

Marital status of the respondents

S.No Marital status No. of respondents Percentage

1 Married 76 69.1

2 Unmarried 34 30.9

3 Total 110 100.0

Interpretation

The table above shows that 69.1% of the respondents are married and 30.9%
of them are unmarried.

Chart 3

Marital status of the respondents

31%

Married
Unmarried

69%
Table 4

Family Composition

S.No Family members No. of respondents Percentage

1 Up to 3 members 32 29.1

2 4 - 6 members 71 64.5

3 Above 6 members 7 6.4

Total 110 100.0

Interpretation

The above table shows that, out of 110 respondents, 64.5% fall in the family
group of 4 to 6 members, 29.1% fall in the family group of up to 3 members and 6.4%
fall in the family group of more than 6 members.

Chart 4

Family Composition

Percent

64.5
70

60

50
Percentage

40 29.1

30

20
6.4
10

0
Upto 3 members 4 - 6 members Above 6 members
No. of family members
Table 5

Educational qualification of the respondents

S.No Educational qualification No. of respondents Percentage

1 HSC 8 7.3

2 Graduate 98 89.1

3 Diploma holder 4 3.6

Total 110 100.0

Interpretation

The above table shows the educational qualification of respondents.

Respondents of 89.1% are graduates, 7.3% are higher secondary and 3.6% are
diploma holder.

Most of the respondents are UG degree holders.

Chart 5

Educational qualification of the respondents

89.1
90

80

70

60
Percentage

50

40

30

20
7.3 3.6
10

0
HSC Graduate Diploma holder
Educational Qualification
Table 6

Occupation of the respondents

S.No Occupation No. of respondents Percentage

1 Employee 97 88.2

2 Self-employed 11 10.0

3 Others 2 1.8

Total 110 100.0

Interpretation

Cars are used for easy transport from one place to another place, and more
over occupation plays a key role in this regard. The study shows that respondents of
88.2% are employed, 10.0% are self employed, and 1.8% come under the category of
professionals.

Majority of the respondents are employed.

Chart 6

Occupation of the respondents

88.2
90

80

70

60
Percentage

50

40

30

20 10
1.8
10

0
Employee Self-employee Others
Occupation
Table 7

Income of the respondents

S.No Monthly Income (Rs.) No. of respondents Percentage

1 Below 15000 68 61.8

2 15001-30000 33 30.0

3 Above 30000 9 8.2

Total 110 100.0

Interpretation

Income is also a main factor that decides in the possession of cars. Out of 110
respondents 61.8% are earning below Rs. 15000 monthly, 30.0% of them are earning
between Rs.15, 001 – 30,000 and, 8.2% are earning above Rs. 30000.

Chart 7

Income of the respondents

70
61.8

60

50
Percentage

40
30
30

20
8.2
10

0
Below 15000 15000-30000 Above 30000
Table 8

Purpose of the possession

S.No Purpose No. of respondents Percentage

1 Time saving 13 11.8

2 Comfort 65 59.1

3 Social status 20 18.2

4 Others 12 10.9

Total 110 100.0

Interpretation

The above table shows the respondents of 59.1% have purchased the vehicle
for their personal use, 18.2% for social status and 11.8% have purchased for time
saving and 10.9% owned for other reasons.
Chart 8

Purpose of the possession

59.1
60

50

40
Percentage

30

18.2
20
11.8
10.9
10

0
Time saving Comfort Social status Others
Purpose
Table 9

Model of the car

S.No Model No. of respondents Percentage

1 Petrol 34 30.9

2 Diesel 76 69.1

Total 110 100.0

Interpretation

The above table shows that 69.1% of total respondents have purchased the
diesel car, followed by 30.9% are using petrol car.
Chart 9

Model of the car

Petrol
31%

Diesel
69%
Table 10

Knowledge source about the brand

S.No Sources of knowledge No. of Percentage

respondents

1 Advertisement 43 39.1

2 Suggestion given by friends & relatives 34 30.9

3 Show-room display 38 34.5

4 Others 7 6.4

Interpretation

The table above shows that respondents of 39.1% are aware through
advertisements, 34.5% are familiar from suggestions given by friends and relatives,
and 30.9% from show room display etc., about Honda car.

Thus majority of the respondents got knowledge about Honda car through
advertisements.
Chart 10

Knowledge source about the brand

6.4

Advertisement
39.1
Suggestion given by friends &
relatives
34.5 Show-room display

Others

30.9
Table 11

Factors influenced to purchase the Honda car

S.No Factors influenced No. of respondents Percentage

1 Mileage 53 48.2

2 Appearance 41 37.3

3 Brand loyalty 37 33.6

4 Pick-up engine 37 33.6

5 Performance 58 52.7

6 Comfort 52 47.3

7 Size of the Car 38 34.5

8 Price 26 23.6

9 Others 10 9.1

Interpretation

When people purchase car they are influenced by the various factors like
price, style, comfort etc. The study conveys respondents of that 48.2% are
influenced by mileage, 37.3% by appearance, 33.6% by brand loyalty, 33.6% by pick-
up of engine, 52.7% considered performance, 47.3% considered comfort, 34.5%
influenced by size of the car, 23.6% by price and 9.1% influenced by other factors of
Honda car.
 Chart 11

Factors influenced to purchase the Honda car

60
52.7
48.2 47.3
50

37.3
40 33.6
33.6 34.5
Percentage

30
23.6

20

9.1
10

0
ag
e ce l ty n e ce rt ar ic
e
er
s
an a gi an fo Pr
ile ar oy en om eC th
M e d
l p orm C f th O
pp an k-
u rf eo
A r ic Pe z
B P Si
Factors
Table 12

SATISFACTION ON MILEAGE OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 60 54.5

2 Satisfied 40 36.4

3 Neutral 6 5.5

4 Dissatisfied 4 3.6

5 Highly dissatisfied - -

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on mileage of
Honda car.

The study reveals respondents of 54.5% were highly satisfied, 36.4% were
satisfied, 5.5% were neutral, and 3.6% were dissatisfied with the mileage of Honda
car.
 Chart 12

SATISFACTION ON MILEAGE OF HONDA CAR

60 54.5

50

36.4
40
Percentage

30

20

5.5
10 3.6

0
Highly satisfied Satisfied Neutral Dissatisfied
Level of Satisfaction
Table 13

SATISFACTION LEVEL ON APPEARANCE OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 63 57.3

2 Satisfied 41 37.3

3 Neutral 2 1.8

4 Dissatisfied 2 1.8

5 Highly Dissatisfied 2 1.8

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level on appearance of

Honda car.

The study reveals that respondents of 57.3% were highly satisfied, 37.3% were
satisfied, and similar percentage (1.8%) of them were neutral, dissatisfied and highly
dissatisfied respectively, with the appearance of Honda car.
 Chart 13

SATISFACTION ON APPEARANCE OF HONDA CAR

60 57.3

50

37.3
40
Percentage

30

20

10
1.8 1.8 1.8

0
Highly Satisfied Neutral Dissatisfied Highly
satisfied Dissatisfied
Level of Satisfaction
Table 14

SATISFACTION ON BRAND OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 72 65.5

2 Satisfied 32 29.1

3 Neutral 4 3.6

4 Dissatisfied 2 1.8

5 Highly dissatisfied - -

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on satisfaction
on brand image of Honda car.

The study reveals that respondents of 65.5% were highly satisfied, 29.1% were
satisfied, 3.6% were neutral and 1.8% were dissatisfied with the brand image of
Honda car.
Chart 14

SATISFACTION ON BRAND OF HONDA CAR

70 65.5

60

50
Percentage

40
29.1
30

20

10 3.6 1.8

0
Highly satisfied Satisfied Neutral Dissatisfied
Level of Satisfaction
Table 15

SATISFACTION ON ENGINE PICK-UP OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 53 48.2

2 Satisfied 49 44.5

3 Neutral 4 3.6

4 Dissatisfied 2 1.8

5 Highly Dissatisfied 2 1.8

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on satisfaction
on engine pick-up of Honda car.

The study reveals that respondents of 48.2% were highly satisfied, 44.5% were
satisfied, 3.6% were neutral, similar percentage (1.8%) were dissatisfied and highly
dissatisfied with the engine pick-up of Honda car.
Chart 15

SATISFACTION ON ENGINE PICK-UP OF HONDA CAR

48.2
50
44.5
45

40

35

30
Percentage

25

20

15

10
3.6
5 1.8 1.8

0
Highly Satisfied Neutral Dissatisfied Highly
satisfied Dissatisfied
Level of Satisfaction
Table 16

SATISFACTION OF PERFORMANCE OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 77 70.0

2 Satisfied 29 26.4

3 Dissatisfied 4 3.6

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on

performance of Honda car.

The study reveals that respondents of 70% were highly satisfied, 26.4% were
satisfied, and 3.6% were dissatisfied with the performance of Honda car.
Chart 16

SATISFACTION ON PERFORMANCE OF HONDA CAR

70
70

60

50
Percentage

40

26.4
30

20

10 3.6

0
Highly satisfied Satisfied Dissatisfied
Level of satisfaction
Table 17

SATISFACTION ON COMFORT OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 67 60.9

2 Satisfied 34 30.9

3 Neutral 5 4.5

4 Dissatisfied 4 3.6

5 Highly dissatisfied - -

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on comfort of
Honda car.

The study exhibits respondents of 60.9% were highly satisfied 30.9% were
satisfied, 4.5% were neutral, and 3.6% were dissatisfied with the comfort of Honda
car.
Chart 17

SATISFACTION ON COMFORT OF HONDA CAR

70
60.9

60

50
Percentage

40
30.9

30

20

4.5 3.6
10

0
Highly satisfied Satisfied Neutral Dissatisfied
Level of Satisfaction
Table 18

SATISFACTION ON SIZE OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 72 65.5

2 Satisfied 28 25.5

3 Neutral 10 9.1

4 Dissatisfied - -

5 Highly dissatisfied - -

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on size of
Honda car.

The study reveals that respondents of 65.5% were highly satisfied, 25.5%
satisfied and 9.1% were neutral in their opinion with the size of Honda car.
Chart 18

SATISFACTION ON SIZE OF HONDA CAR

65.5
70

60

50
Percentage

40
25.5
30

20 9.1

10

0
Highly satisfied Satisfied Neutral
Level of satisfaction
Table 19

SATISFACTION ON PRICE OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 40 36.4

2 Satisfied 58 52.7

3 Neutral 6 5.5

4 Dissatisfied 6 5.5

5 Highly dissatisfied

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on price of
Honda car.

The study reveals that respondents of 52.7% were satisfied, 36.4% were highly
satisfied, 5.5% were neutral, and 5.5% were dissatisfied with the price of Honda car.
Chart 19

SATISFACTION ON PRICE OF HONDA CAR

60
52.7

50

40 36.4
Percentage

30

20

10 5.5 5.5

0
Highly satisfied Satisfied Neutral Dissatisfied
Level of Satisfaction
Table 20

SATISFACTION ON SERVICE OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 62 56.4

2 Satisfied 36 32.7

3 Neutral 8 7.3

4 Dissatisfied 2 1.8

5 Highly Dissatisfied 2 1.8

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on service of
Honda car.

The study exhibits that respondents of 56.4% were highly satisfied, 32.7%
were satisfied, 7.3% were neutral, 1.8% were dissatisfied and 1.8% were highly
satisfied with the service provided by Honda car.
Chart 20

SATISFACTION ON SERVICE OF HONDA CAR

60 56.4

50

40
32.7
Percentage

30

20

7.3
10
1.8 1.8

0
Highly Satisfied Neutral Dissatisfied Highly
satisfied Dissatisfied
Level of Satisfaction
Table 21

SATISFACTION ON COLOUR OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 61 55.5

2 Satisfied 41 37.3

3 Neutral 4 3.6

4 Dissatisfied 2 1.8

5 Highly Dissatisfied 2 1.8

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on colour of
Honda car.

The study reveals that respondents of 55.5% were satisfied, 37.3% were highly
satisfied, 3.6% were neutral, 1.8% were dissatisfied and remaining 1.8% were highly
dissatisfied with the price of Honda car.
 Chart 21

SATISFACTION ON COLOUR OF HONDA CAR

60 55.5

50

37.3
40
Percentage

30

20

10 3.6 1.8
1.8

0
Highly Satisfied Neutral Dissatisfied Highly
satisfied Dissatisfied
Level of Satisfaction
Table 22

SATISFACTION ON SPARES AVAILABILITY OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 56 50.9

2 Satisfied 44 40.0

3 Neutral 6 5.5

4 Dissatisfied 2 1.8

5 Highly Dissatisfied 2 1.8

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on the
availability of the spares of Honda car.

The study reveals that respondents of 50.9% were highly satisfied, 40.0% were
satisfied, 5.5% were neutral, 1.8% were dissatisfied and remaining 1.8% were highly
dissatisfied with the spares availability of Honda car.
Chart 22

SATISFACTION ON SPARES AVAILABILITY OF HONDA CAR

60
50.9
50

40
40
Percentage

30

20

10 5.5
1.8 1.8

0
Highly Satisfied Neutral Dissatisfied Highly
satisfied Dissatisfied
Level of Satisfaction
Table 23

SATISFACTION ON OVERALL PERFORMANCE OF HONDA CAR

S.No Level of Satisfaction No. of respondents Percentage

1 Highly satisfied 72 65.5

2 Satisfied 27 24.5

3 Neutral 10 9.1

4 Dissatisfied 1 0.9

5 Highly dissatisfied - -

Total 110 100.0

Interpretation

The above table shows the respondents satisfaction level based on overall
performance of Honda car.

The study reveals that respondents of 65.5% were highly satisfied, 24.5% were
satisfied, 9.1% were neutral, and 0.9% were dissatisfied with the overall performance
of Honda car.
 Chart 23

SATISFACTION ON OVERALL PERFORMANCE OF HONDA CAR

65.5
70

60

50
Percentage

40

30 24.5

20
9.1

10 0.9

0
Highly satisfied Satisfied Neutral Dissatisfied
Level of Satisfaction
Table 24

OPINION ON PERFORMANCE OF SALES ENGINEERS

S.No Opinion No. of respondents Percentage

1 Excellent 54 49.1

2 Good 54 49.1

3 Average 2 1.8

Total 110 100.0

Interpretation

The above table shows respondents of 49.1% were excellent, 49.1% were
good and 1.8% were average, with the performance of sales engineers
 Chart 24

OPINION ON PERFORMANCE OF SALES ENGINEERS

49.1 49.1
50

45

40

35

30
Percentage

25

20

15

10 1.8
5

0
Excellent Good Average
Opinion
Table 25

MODE OF PAYMENT MADE WHILE AT PURCHASE

S.No Mode of payment No. of Percentage

respondents

1 Cash 18 16.4

2 Installments 30 27.3

3 By cheque 9 8.2

4 Bank loans 53 48.2

Total 110 100.0

Interpretation

The above table reveals the mode of payment of the respondents. 48.2% paid
through bank loans, 27.3% paid in installments, 16.4% paid ready cash and remaining
8.2% paid by cheque.
 Chart 25

MODE OF PAYMENT MADE WHILE PURCHASE

48.2
50

45

40

35
27.3
30
Percentage

25

20 16.4

15
8.2
10

0
Cash Installments By cheque Bank loans
Mode of payment
CHAPTER 5

FINDINGS, SUGGESTIONS AND CONCLUSION

SUMMARY OF FINDINGS

It is found that majority (83.6%) of the respondents are male.

1. The study reveals that majority (45.4%) of the respondents come under the age
group of 18-24 years.
2. The study reveals that majority 69.1% of the respondents are married.
3. Majority 64.5% of them fall in the family group of 4 to 6 members.
4. The study exhibits that majority (89.1%) of them are graduates.
5. The study reveals that majority (88.2%) of respondents are employed.
6. The study reveals that majority (61.8%) of them are earning below Rs. 15000
monthly.
7. The study shows that 59.1% of total respondents have purchased the vehicle
for their personal use.
8. The study reveals that majority 69.1% of total respondents have purchased the
diesel car.
9. The study shows that 39.1% of the respondents came to know about Honda car
through advertisements, and 34.5% through suggestions given by friends and
relatives.
10. Respondents of 52.7% considered performance, 48.2% influenced by mileage,
and 37.3% by appearance while purchasing the Honda car.
11. The study shows that 54.5% of the respondents were highly satisfied with the
mileage of Honda car.
12. The study shows that 57.3% of the respondents were highly satisfied with the
appearance of Honda car.
13. The study reveals that majority 65.5% of the respondents were highly satisfied
with the brand image of Honda car.
14. 48.2% of the respondents were highly satisfied with the engine pick-up of
Honda car.
15. The study reveals that majority 70% of the respondents were highly satisfied
with the performance of Honda car.
16. The study reveals that majority 60.9% of the respondents were highly satisfied
with the comfort of Honda car.
17. The study reveals that majority 65.5% of the respondents were highly satisfied
with the size of Honda car.
18. The study shows that 52.7% of the respondents were satisfied with the price of
Honda car.
19. The study exhibit that 56.4% of the respondents were highly satisfied with the
service of Honda car.
20. The study reveals that 55.5% of the respondents were satisfied with the colour
of Honda car.
21. The study reveals that 50.9% of the respondents were highly satisfied with the
spares availability of Honda car.
22. The study reveals that majority 65.5% of the respondents were satisfied with
the colour of Honda car.
23. The study reveals that 49.1% of the respondents opined that the performance
of sales engineers were excellent.
24. The study reveals that 48.2% respondents purchased through bank loans.

SUGGESTIONS

 Honda car should undertake strategies to get competitive advantage.

 Advertisement also plays an important role in the features that attract the
customers, but, the product awareness through radio, T.V, and channels are
nil. So bringing out advertisement in news papers, T.V, and hoarding can
help the company to place its products in the mind of the customers in a better
way. The news paper ads should be brought out in English National Daily on a
continuous basis during the festival season and discount offer.
 Since the Honda car having effective competitors, they can be promoting
brand ambassadors to attract customers by the way of advertisements.
 Company should have to undertake checkup camp and service camp, which is
helpful to increase customer relation.
 The company should maintain better customer relationship.
  Motivation techniques are the best strategy to improve effectiveness and
efficiency of sales executives and company should consider some measures to
motivate the sales persons.

CONCLUSION

In India there are number of branded Car Manufacturers trying to get

leadership position in the market, but this is possible only through boosting the
customer satisfaction and brand preference among the people.

Many firms and companies try to attain number one position and improve its
image by creating awareness about their brand and depend upon the potential market.

The analysis of the study show that our brand Honda car have at most
satisfaction among the customers, but to get the number one position in this
competitive market, Honda car has to improve their effective sales, personals,
promotional and advertising activities through famous medium.

As per the study Honda car having very good customer satisfaction, only few
are deviated. Based on the above points the company and dealer can improve their
services towards the maximum customer satisfaction,
CHAPTER-V

APPENDIX
QUESTIONNAIRE

1. Name:

2. Address:

3. Sex: a) Male b) Female

4. Age (in year)

a) 18-24 b) 25-32 c) 32-38 d) 39 & above

5. Marital status:

a) Single b) Married

6. Family size:

a) Up to 3 members b) 4-6 Members c) Above 6

7. Education qualification:

a) SSLC b) HSC c) Graduate d) Diploma Holder

8. Occupation:

a) Employee b) Self-employed c) others

9. Monthly income:

a) Below 30,000 b) 30,001-45,000 c) Above 45,000

10. What is your purpose of purchase?

a) Time saving b) Comfort c) social status d)

Others

11. Which model of Honda car do you own?

a) Petrol b) Diesel
 12. How did you come to known about the brand?

a) Advertisement b) Suggestion given by relatives

c) Show-room display d) other specify

13. What are factors that influenced you to purchase the Honda car?

a) Mileage b) Appearance c) Brand loyalty

d) Engine-pickup e) Performance

14. What is your opinion the following factors:

HS S N DS HDS

a) Mileage

b) Appearance

c) Brand Loyalty

d) Engine pickup

15. What is your opinion about the Performance of the car?

a) Highly satisfied b) Satisfied c) Neutral

d) Dissatisfied e) highly dissatisfied

16. Are you satisfy with the Comfort of the car?

a) Highly satisfied b) Satisfied c) Neutral

d) Dissatisfied e) highly dissatisfied

17. Are you satisfy with the Size of the car?

a) Highly satisfied b) Satisfied c) Neutral

d) Dissatisfied e) highly dissatisfied

18. What is your opinion about the Price of the car?

a) Highly satisfied b) Satisfied c) Neutral

 d) Dissatisfied e) highly dissatisfied

19. What is your opinion about the Service after sales of the car?

a) Highly satisfied b) Satisfied c) Neutral

d) Dissatisfied e) Highly dissatisfied

20. Are you satisfied with the colour?

a) Highly satisfied b) Satisfied c) Neutral

d) Dissatisfied e) Highly dissatisfied

21. Are you satisfy with the Spare parts availability?

a) Highly satisfied b) Satisfied c) Neutral

d) Dissatisfied e) Highly dissatisfied

22. Are you satisfied with the product?

a) Highly satisfied b) Satisfied c) Neutral

d) Dissatisfied e) Highly dissatisfied

23. What is your opinion about the sales engineers, when you approached them
for purchase?

a) Excellent b) Goods c) Average

d) Fair e) Poor

24. Suggestions, if any ………………………………

 BIBLIOGRAPHY

Text Books

Philip Kotler Marketing Management, Prentice Hall, New

Delhi. (2003).

Dr. Sharma D. D Marketing Research. Sulthan Chand & Sons,

New Delhi, (1998).

Gupta S.P., Statistical Method, Sulthan Chand & Sons, New

Delhi, 1998.

Kothari. C. R Research Methodology New Delhi. Vishva

prakashan . (1995)

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