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SUMMER TRANING PROJECT REPORT

ON

TATA MOTORS

“Consumer perception and future potential for TATA’S CAR.”

Submitted To
PUNJAB TECHNICAL UNIVERSITY
JALANDHAR

In partial fulfillment of the requirement for the


award of degree of
Master Of Business Administrator (MBA)

SUBMITTED TO:- SUBMITTED BY:-


Miss Supreet Kaur Ganesh Dutt

Lecturer in Marketing MBA -3rd sem.

Roll NO. 95162239030

SESSION (2009-2011)

SATYAM INSTITUTE OF MANAGEMENT & TECHNOLOGY

NAKODAR
CERTIFICATE

This is to certify that the project “A study on consumer perception and future potential for
TATA ” submitted to Supreet Kaur in partial fulfilment of the requirement for the
award of Master of Business Administration (MBA) is a bona fide work carried out by
Ganesh Dutt II SEM, under my supervision and guidance. The project was carried during
15.03.2010 to 31.05.2010 in Koshmo Vehicle PVT LTD.
ACKNOWLEDGEMENT

It is a proud privilege on my part to express my sincere and humble gratitude to all those people

who have helped me directly or indirectly in the completion of this project. I thank venerated
Mr. PANKAJ SHARMA who gave me an opportunity to undergo my project in KOSHMO
VEHICLE PVT LTD and extend their valuable help and I also thankful to my carports’ guide
for supporting me and guiding me throughout the project. I pay sincere thanks who spent his
valuable time and knowledge and gave me wholehearted support and encouragement in carrying
out this project. I thank all those executives and non executives of KOSHMO VEHICLE PVT
LTD who spent their valuable time in interacting and giving their personal time in interviewing
them.

I am thankful to my faculty supervisor Miss Supreet Kaur for supporting me and guiding me

throughout the project.


CONTENTS

Chapter 1 – Introduction 1-19

Chapter 2 - Objective & Methodology 20-22

Chapter 3 – Conceptual Discussion


(Theoretical backdrop & Literature 20-22
Review)
Chapter 4 - Data Analysis 30-46

Chapter 5 - Findings and Recommendations 47-51

BIBILOGRAPHY 52
Chapter- 1
Introduction to project
INTRODUCTION

1.1 Overview of Indian Automobile Industry

The automotive industry in India grew at a computed annual growth rate (CAGR) of 11.5 percent
over the past five years, the Economic Survey 2008-09 tabled in parliament on 2nd July’09 said.
The industry has a strong multiplier effect on the economy due to its deep forward and backward
linkages with several key segments of the economy, a finance ministry statement said. The
automobile industry, which was plagued by the economic downturn amidst a credit crisis,
managed a growth of 0.7 percent in 2008-09 with passenger car sales registering 1.31 percent
growth while the commercial vehicles segment slumped 21.7 percent.

Indian automobile industry has come a long way to from the era of the Ambassador car to Maruti
800 to latest TATA nano. The industry is highly competitive with a number of global and Indian
companies present today. It is projected to be the third largest auto industry by 2030 and just
behind to US & China, according to a report. The industry is estimated to be a US$ 34 billion
industry. Indian Automobile industry can be divided into three segments i.e. two wheeler, three
wheeler &four wheeler segment. The domestic two-wheeler market is dominated by Indian as
well as foreign players such as Hero Honda, Bajaj Auto, Honda Motors, TVS Motors, and
Suzuki etc. Maruti Udyog and Tata Motors are the leading passenger car manufacturers in the
country. And India is considered as strategic market by Suzuki, Yamaha, etc. Commercial
Vehicle market is catered by players like Tata Motors, Ashok Leyland, Volvo, Force Motors,
Eicher Motors etc.

Key Facts:

• India ranks 12th in the list of the worlds top 15 automakers


• Entry of more international players
• Contributes 5% to the GDP
• Production of four wheelers in India has increased from 9.3 lakh units in 2002-03 to 23 lakh
units in 2007-08
• Targeted to be of $ 145 Billion by 2016
• Exports increased from 84,000 units in 2002-03 to 280,000 units in 2007-08

1.2 PROFILE OF THE ORGANIZATION

Tata Motors Limited is India's largest automobile company, with consolidated revenues of
Rs.70, 938.85 crores (USD 14 billion) in 2008-09. It is the leader in commercial vehicles in
each segment, and among the top three in passenger vehicles with winning products in the
compact, midsize car and utility vehicle segments. The company is the world's fourth largest
truck manufacturer, and the world's second largest bus manufacturer.

The company's 24,000 employees are guided by the vision to be "best in the manner in which
we operate best in the products we deliver and best in our value system and ethics."

Established in 1945, Tata Motors' presence indeed cuts across the length and breadth of India.
Over 4 million Tata vehicles ply on Indian roads, since the first rolled out in 1954. The
company's manufacturing base in India is spread across Jamshedpur (Jharkhand), Pune
(Maharashtra), Lucknow (Uttar Pradesh), Pantnagar (Uttarakhand) and Dharwad (Karnataka).
Following a strategic alliance with Fiat in 2005, it has set up an industrial joint venture with
Fiat Group Automobiles at Ranjangaon (Maharashtra) to produce both Fiat and Tata cars and
Fiat powertrains. The company is establishing a new plant at Sanand (Gujarat). The company's
dealership, sales, services and spare parts network comprises over 3500 touch points; Tata
Motors also distributes and markets Fiat branded cars in India.

Tata Motors, the first company from India's engineering sector to be listed in the New York
Stock Exchange (September 2004), has also emerged as an international automobile company.
Through subsidiaries and associate companies, Tata Motors has operations in the UK, South
Korea, Thailand and Spain.
Among them is Jaguar Land Rover, a business comprising the two iconic British brands that
was acquired in 2008. In 2004, it acquired the Daewoo Commercial Vehicles Company, South
Korea's second largest truck maker. The rechristened Tata Daewoo Commercial Vehicles
Company has launched several new products in the Korean market, while also exporting these
products to several international markets. Today two-thirds of heavy commercial vehicle
exports out of South Korea are from Tata Daewoo. In 2005, Tata Motors acquired a 21% stake
in Hispano Carrocera, a reputed Spanish bus and coach manufacturer, and subsequently the
remaining stake in 2009. Hispano's presence is being expanded in other markets. In 2006, Tata
Motors formed a joint venture with the Brazil-based Marcopolo, a global leader in body-
building for buses and coaches to manufacture fully-built buses and coaches for India and
select international markets. In 2006, Tata Motors entered into joint venture with Thonburi
Automotive Assembly Plant Company of Thailand to manufacture and market the company's
pickup vehicles in Thailand. The new plant of Tata Motors (Thailand) has begun production of
the Xenon pickup truck, with the Xenon having been launched in Thailand in 2008.

Tata Motors is also expanding its international footprint, established through exports since
1961. The company's commercial and passenger vehicles are already being marketed in several
countries in Europe, Africa, the Middle East, South East Asia, South Asia and South America.
It has franchisee/joint venture assembly operations in Kenya, Bangladesh, Ukraine, Russia,
Senegal and South Africa.

The foundation of the company's growth over the last 50 years is a deep understanding of
economic stimuli and customer needs, and the ability to translate them into customer-desired
offerings through leading edge R&D. With over 3,000 engineers and scientists, the company's
Engineering Research Centre, established in 1966, has enabled pioneering technologies and
products. The company today has R&D centers in Pune, Jamshedpur, Lucknow, Dharwad in
India, and in South Korea, Spain, and the UK. It was Tata Motors, which developed the first
indigenously developed Light Commercial Vehicle, India's first Sports Utility Vehicle and, in
1998, the Tata Indica, India's first fully indigenous passenger car. Within two years of launch,
Tata Indica became India's largest selling car in its segment. In 2005, Tata Motors created a
new segment by launching the Tata Ace, India's first indigenously developed mini-truck. In
January 2008, Tata Motors unveiled its People's Car, the Tata Nano, which India and the world
have been looking forward to. The Tata Nano has been subsequently launched, as planned, in
India in March 2009. A development, which signifies a first for the global automobile industry,
the Nano brings the comfort and safety of a car within the reach of thousands of families. The
standard version has been priced at Rs.100, 000 (excluding VAT and transportation cost).

Designed with a family in mind, it has a roomy passenger compartment with generous leg
space and head room. It can comfortably seat four persons. Its mono-volume design will set a
new benchmark among small cars. Its safety performance exceeds regulatory requirements in
India. Its tailpipe emission performance too exceeds regulatory requirements. In terms of
overall pollutants, it has a lower pollution level than two-wheelers being manufactured in India
today. The lean design strategy has helped minimize weight, which helps maximize
performance per unit of energy consumed and delivers high fuel efficiency. The high fuel
efficiency also ensures that the car has low carbon dioxide emissions, thereby providing the
twin benefits of an affordable transportation solution with a low carbon footprint.

In May 2009, Tata Motors introduced ushered in a new era in the Indian automobile industry,
in keeping with its pioneering tradition, by unveiling its new range of world standard trucks
called Prima. In their power, speed, carrying capacity, operating economy and trims, they will
introduce new benchmarks in India and match the best in the world in performance at a lower
life-cycle cost.

Tata Motors is equally focused on environment-friendly technologies in emissions and


alternative fuels. . It has developed electric and hybrid vehicles both for personal and public
transportation. It has also been implementing several environment-friendly technologies in
manufacturing processes, significantly enhancing resource conservation
Through its subsidiaries, the company is engaged in engineering and automotive solutions,
construction equipment manufacturing, automotive vehicle components manufacturing and
supply chain activities, machine tools and factory automation solutions, high-precision tooling
and plastic and electronic components for automotive and computer applications, and
automotive retailing and service operations.

Tata Motors is committed to improving the quality of life of communities by working on four
thrust areas – employability, education, health and environment. The activities touch the lives
of more than a million citizens. The company's support on education and employability is
focused on youth and women. They range from schools to technical education institutes to
actual facilitation of income generation. In health, our intervention is in both preventive and
curative health care. The goal of environment protection is achieved through tree plantation,
conserving water and creating new water bodies and, last but not the least, by introducing
appropriate technologies in our vehicles and operations for constantly enhancing environment
care. 
HISTORY OF TATA MOTORS

The Company was incorporated on 1st September 1945 at Mumbai to manufacture diesel
vehicles for commercial use, excavators, industrial shunter, dumpers, heavy forgings and
machine tools. The commercial diesel vehicles which were known `Tata Mercedes Benz' (TMB)
is now called `Tata' vehicles after the expiry of the collaboration agreement with Daimler-Benz
AG, West Germany.
In 1960 the company's name, which was Tata Locomotive & Engineering Company Ltd. was
changed to Tata Engineering & Locomotive Company Ltd. In the year 1987 the company
undertook to set up a new forge shop, a high output foundry line, a new paint shop as well as
augmentation of engine and gearbox manufacturing facilities, all at Jamshedpur

In 1991 during the year the company entered into a collaborative agreement with an
internationally renowned engine research and development organization to jointly develop higher
horsepower, fuel efficient diesel and petrol engines to meet the future requirements of the
company. The last quarter saw the company launching two new passenger vehicles, the SIERRA
and the ESTATE totally designed and manufactured in India. The company acquired a BIFR
company, M/s Noduron Founders Maharashtra Ltd. The total cost for Telco worked out to Rs.18
crores as against setting up of similar critical castings foundry. During the year company
launched new earth moving equipment TWK-3036 Tata Front End Wheel Loader. Two new
models in the EX series of hydraulic excavators were launched. A 10 tonne pick and carry
articulated crane, designed and developed in-house was also introduced. During the year
company entered into an agreement with Nachi-Fujikoshi Corporation, Japan to manufacture arc
and spot welding robots suitable for automobile manufacturing applications. During the year,
company undertook to set up a joint venture with Asian Glass Co. Ltd., Japan to manufacture
float glass to be used as wind shields for automobiles. ACC along with Tata Exports Ltd.
participated in the joint venture. The joint venture named as Floathlass India Ltd., the Company
would have a stake of 16.33%. Tata Cummins Ltd., Mercedes-Benz (India) Ltd., Tata Holset
Ltd., Tata Precision Industries, Singapore and Nita Company Ltd., are the joint Ventures of the
Company
Taking advantage of the broad banding policy announced by the Government of India, the
Company entered into a collaboration agreement with Honda Motor Co. Ltd., Japan, for the
manufacture of their `ACCORD' model of cars in India. On 22nd April, an agreement was
entered into between Daimler-Benz AG and Mercedes Benz AG, Germany to setup a joint
venture company Mercedez-Benz India to manufacture `E' class paneyer cans and engines in
India.

During the year 1995 a new double pick-up and Army Version of various Telco Vehicles were
developed. A new petro engine and turbo diesel engine, an up-graded 709 LCV, new sports
utility vehicle Safari expected to be launched shortly. A 25 tonne 6 X 2 truck and a bus with
cummins engine were launched. Tata Engineering and Locomotive Company (TELCO), has
acquired a second hand paint shop, machine line and cylinders from the Australian unit of the
Japanese auto giant, Nissan. TELCO is believed to have picked up the unit for Rs. 70 crore. The
total cost of import duty would be Rs 100 crore. During the year a machine tool division was
expanded so as to double its machine building capacity and significantly reduce production
times. The Company has launched "TATA SAFARI" in its Multi utility vehicle segment. Tata
Holset's turbo charger plant inaugurated on November 25, 1996.
In 1997, the Tata Engineering and Locomotive Company Ltd. (TELCO) have emerged as
numerous uno in the Review 200 survey conducted by the Far Eastern Economic Review in
association with Citi Bank. The Company introduced a 9-tonne vehicle which was well received
in the market. A 40 tonne tractor trailer powered by a Tata Cummins Engineering was
introduced. The Company developed a low floor bus chassis to meet the specific needs of urban
transport. The Company signed a new agreement with Hitachi for manufacture of upgraded
versions of existing range of excavators.
The year 1998- Tata Engineering and Locomotive Company Ltd (Telco) announced a tie-up with
Tata Finance Ltd and ANZ Grindlays Banks as the official financiers for its small car "Indica" to
be launched in December. Tata Engineering Locomotive Company Ltd (Telco) sold its
construction equipment business into a new subsidiary company, Telco Construction Equipment
Company Ltd.
The Company in its small car segment has launched "Tata Indica" which evoked an
overwhelming response in the Indian market. A new range of cummins engine powered vehicle
which include a 35 tonne and a 40 tonne articulated truck and two variants of buses.

To make substantial improvement in the quality of bus bodies available with TATA vehicles, the
Company encouraged collaboration between Fuji Heavy Industries of Japan and the Automobile
Corporation of Goa. The new project undertakes production of bodies on TATA chassis,
conforming to the most exacting international standards. Concorde Motors Ltd., a Joint Venture
between Tata Engineering and Jardine International Motors (Mauritius) Ltd. was appointed as
dealer for the Company's passenger cars in several cities across the country, in Feb 1998.

The year 1999-Telco became the first Indian manufacturer to offer commercial vehicles meeting
euro-I emission norms, a year before they are due to be introduced in the country. It is proposed
to make TCECL a one-stop shop for construction equipment and earthmoving machinery. In Oct
1999, the Company won the National award for R&D Efforts in Development of Indigenous
Technology in the Mechanical Engineering Industries Sector instituted by Department of
Scientific and Industrial Research, Ministry of Science and Technology for the year 1999. SKF
Bearings India Ltd has signed an agreement with Telco to supply hub bearings for its latest
model .

Tata Indica.
2000 saw the Company working towards introducing two new petrol-driven variants of its small
car Indica, powered by a multi-point fuel injection engine. The Company launched the Indica
2000, the Euro II Complaint, 75 BHP multi-point fuel injection (MPFI) version of Indica. The
Company has won the National Technology Award for indigenous development and
commercialization of the Tata Indica car. The Company has launched its new hi-tech Indica
2000 car with MPFI petro engine in Guwahati.Tata Engineering & Locomotive Co. is renamed
as Tata Engineering Ltd. It replaced its three-shift production line with a one-shift daily schedule
starting from 26th June.
In the same year FICCI-SEDF- Business world-Compaq award for social responsiveness was
awarded to the company. The Central Pollution Control Board for Environmental Technology
award has been presented to Tata Engineering in recognition of its contribution towards efforts to
conserve the environment. TATA Engineering on September 10 announced the addition of MPFI
petrol version to the Indica V2 range.

In year 2002 Foreign Institutional Investors (FII) hike stake in the company to 13.34% launches
six new products in light, medium and heavy vehicles segments on Jan 15 during Auto Expo.
Announces financial restructuring. Displays its Tata Sedan car at the Geneva Motor Show.
Indica adjudged top selling B-segment car in 2002.Launches two new motorsport cars (The Zero
and Double Zero Pace cars). High Court Approves Tata Engineering's Financial Restructuring.
Tata Engg, BPCL tie up to market co-branded lubricants.Tata Steel's investment in Tata
Engineering has been hiked to Rs 117.98 crore over the last year. Telco names Sedan as Tata
Indigo.Unveils 'EX' series of medium and heavy commercial vehicles. Indica sales cross two-
lakh mark .Collaborates with Nippon-Arcelor for technical knowhow on CR steel. Receives
Teri's (The Energy and Resources Institute) CoRE-BCSD (Corporate roundtable on development
of strategies for sustainable development and environment-business council for sustainable
development) corporate social responsibility (CSR) awards for '01-02. Unleashes Safari's petrol
version; priced at Rs 9.35 lakh.

The year 2003- Tata Unveils CityRover .Tata Motors Ltd signed a binding Memorandum of
Understanding (MoU) with Deawoo Commercial Vehicle Company Ltd (DWCV), Korea for the
acquisition of this company. It introduces Tata SFC 407 EX Turbo Light Commercial Vehicle
(LCV). The Company changed from 'TELCO ' to 'TATAMOTORS' w.e.f December 24, 2003. In
the same year Tata Safari ranks No 1 in MUV/SUV segment.

2004:- The year of glory. Tata Motors launch an upgraded version Indica on January 15, 2004,
in a bid to shore up sales of the small car.

Auto Expo: Tata unveils new version of Indica. Tata Motors unveils Indica V2. Tata Motors
launches new Indica V2 in Kerala. Tata Motors introduces new 'Indicab' for tour operators. The
much hyped Rs one lakh passenger car project of Tata Motors was going ahead as planned. Tata
Motors enters agreement with Ukraine bus building firm. Tata Motors enters into agreement with
Etalon. In a move to consolidate its presence in the light commercial vehicles segment, Tata
Motors has launched a new variant of its 407 series with increased pay load capacity called SFC
407EX. Tata Motors buys Daewoo truck unit for Rs 465 crore. Tata Motors unveils Tata SFC
407 EX. Tata Motors inks agreement with Austrian, French companies. Acquires Daewoo
Commercial Vehicle Company Ltd (DWCV), Korea. Tata Motors launches most anticipated new
6-tn truck in India.

Tata Motors, the country's largest commercial vehicles manufacturer unveiled the new LPT
909EX Turbo Truck in Tamil Nadu. Tata Motors and Tata Africa unveiled a range of passenger
cars, utility vehicles, pick-ups, trucks and buses for the South African market. Tata Motors has
launched a face lifted version of its multiutility vehicle, Tata Sumo. Tata motors rolls out Tata
SFC 407EX BS II turbo light commercial vehicle.

Tata Motors unveils Tata Safari DICOR in Kerala market on August 11, 2005. Tata Motors
rolls out 2 luxury variants of Indigo. Tata Motors unveiled new Indica V2 Turbo with a price
tag of Rs 4.10 lakh for DLG variant and Rs 4.31 lakh for DLX. Tata Motors ropes in CVTech to
make parts for its small car. Tata Daewoo inks pact with Pakistan co.

Tata Motors has been presented the Golden Peacock Global Award for Corporate Social
Responsibility (CSR) in the Large Business category by the Institute of Directors in 2007. Tata
Motors buys Nissan facility in S. Africa. Tata Motors has got a prestigious order from the Delhi
Transport Corporation (DTC) for 500 non-AC, CNG-propelled buses. Tata Motors Ltd has
appointed Mr. P M Telang as Executive Director (Commercial Vehicles).
Price List

S MODEL Ex INSUR RERIST ANTI EX ON


l. SHOWROOM ANCE RATION RUST T. ROAD
N PRICE W PRICE
O
.

INDICA (XTRA
PETROL )

1 GL 277941 9711 11200 2800 380 305452


0
2 GLE 304587 10364 12138 2800 380 333689
0
3 GLS 322629 10807 12678 2800 380 352714
0
4 XETA GLS 322628 10807 12216 2800 380 352251
SPORTY 0

INDICA DIESEL

1 DL 339071 10820 12695 2800 380 369186


0
2 DLE 361397 11757 13842 2800 380 393596
0
3 DLS 384046 12313 14521 2800 380 417480
0
4 DICOR DLG 432331 13496 15970 2800 380 468397
0

INDIGO DIESEL

1 CS LE 427290 13373 15818 2800 380 463081


0
2 CS LS 455172 14057 16655 2800 380 492484
0
3 CS LX 478619 14631 17358 2800 380 517208
0
4 CS LS DICOR 489594 14901 17687 2800 380 528782
0
5 CS LX DICOR 508066 15353 18241 2800 380 548260
0
6 CS LX TDI 507307 15335 18219 2800 380 547461
LTD. EDI. 0
7 LS TC 530316 15899 18909 2800 380 571724
0
8 LX TC 569164 16852 20074 2800 380 612690
0
9 LS DICOR 549300 16365 19479 2800 380 591744
0
1 LX DICOR 611409 17887 21342 2800 380 657238
0 0
1 GLASSIC 644610 18701 22338 2800 380 692249
1 DICOR 0
1 GRAND DICOR 764647 21645 25939 2800 380 818831
2 0
1 INDIGO XL TDI 548954 16356 19468 2800 380 591378
3 0

INDIGO PETROL

GS GLE 389961 12458 14698 2800 380 423717


0
CS GLS 408404 12910 15252 2800 380 443166
0
CS GLX 426094 13344 15782 2800 380 461820
0
CS GLX LTD 454782 14055 16644 2800 380 492081
EDI 0
GLS 493257 14990 18271 2800 380 533118
0
GLX 527028 15818 18810 2800 380 568256
0
CLASSIC 0 0 0 0 0
GRAND 0 0 0 0 0

MARINA DIESEL

VS 500077 15158 17715 2800 380 0


0
LS 530316 16260 18690 2800 380 571866
0
LX 569164 17247 19875 2800 380 612886
0
LX DICOR 611409 18476 21350 2800 380 657835
0

MARINA PETROL

GLS 493257 15112 2800 380 532279


0
GLX 527028 15980 2800 380 567958
0

INDICA VISTA
(DIESAL)

TERRA TDI 395513 12594 14865 2800 380 429572


0
AQUA TDI 417487 13133 15524 2800 380 452744
0
TERRA 440992 13709 16229 2800 442 478155
QUDRAJET 5
VISTA AURA 550317 16389 19500 0 0 586206
Q. PLUS
VISTA AURA 518793 15616 18560 0 0 552969
Q. ABS
AQUA 463748 14268 16913 2800 472 502454
QUDRAJET 5
AQUA 466805 14342 17005 2800 472 505677
QUDRAJET(P. 5
W)
AURA 524506 15757 18735 2800 472 566523
QUDRAJET 5
LTD.
AURA 499436 15142 17983 2800 472 540086
QUDRAJET(P. 5
W)
AURA 46379 15067 15067 2800 472 84038
QUDRAJET 5

INDICA VISTA
(PETROL)

TERRA SAFARI 361640 11764 13850 2800 472 394779


5
VISTA AURA 466767 14341 17004 2800 472 505637
SAFARI 5
VISTA AURA 434462 13549 18034 2800 472 473570
SAFARI ABS 5
AURA SAFARI 387481 12397 14624 2800 472 422027
5
AQUA SAFARI 412050 12999 15361 2800 472 447935
5
AURA SAFARI 439537 13673 16186 2800 472 476921
P.W LTD 5

MANZA PETROL

AQUA SAFIRE 496109 15060 17883 2800 531852


AURA SAFIRE 530675 15908 18920 2800 568303
AURA ABS 555125 16507 19653 2800 594085
SAFIRE
AURA + 604587 17720 21137 2800 646244
SAFIRE

MANZA DIESAL

AQUA 584916 17238 20548 2800 625502


QUADRAJET
AURA 613748 17945 21412 2800 655905
QUADRAJET
AURA ABS 648513 18797 22455 2800 692565
QUADRAJET
AURA+ 689180 19794 23675 2800 735449
QUADRAJET

1.3 Growth of the organization

The Tata Motors Group global sales, comprising of Tata, Tata Daewoo and Hispano Carrocera
range of commercial vehicles, Tata passenger vehicles along with distributed brands in India,
and Jaguar and Land Rover, were 101,712 nos. in March 2010, a growth of 39% over March
2009. Cumulative sales for the fiscal (April 2009 – March 2010) are 872,951 higher by 19%
compared to the corresponding period in 2008-09.

Sales of all commercial vehicles were 47,936 nos. in March 2010, a growth of 53%.
Cumulative sales for the fiscal are 413,057 nos., a growth of 37%. Sales of all passenger
vehicles were 53,776 nos. in March 2010, a growth of 28%. Cumulative sales for the fiscal are
459,894 nos., a growth of 6%. Tata passenger vehicle sales, including those distributed, were
30,238 nos. for the month, a growth of 18%. Cumulative sales for the fiscal are 265,912 nos., a
growth of 24%.

Jaguar Land Rover global sales in March 2010 were 23,538 vehicles, higher by 43%. Jaguar
sales for the month were 4,642, higher by 8%, while Land Rover sales were 18,896, higher by
55%. Cumulative sales of Jaguar Land Rover for the fiscal are 193,982 nos., lower by 11%.
Cumulative sales of Jaguar are 47,418 nos., lower by 24%, while cumulative sales of Land
Rover are 146,564 nos., lower by 6%.

1.4 SWOT analysis of the Organization

STRENGTH:

 Strong Presence in the Marketplace:-Tata Motors is the only company in India with a
broad based presence across the industry, in all segments of the commercial vehicles
market – heavy and medium commercial vehicles, light commercial vehicles, pick-ups,
sub one-tonne mini-trucks - and key segments - compact, midsize car and utility vehicle
segments - of the passenger vehicles market.

 Unique Understanding of Customer Need: - With 50 years’ presence in the automotive


business, Tata Motors understands customer needs and develops products that meet their
Needs. To consider a few examples, as early as 1980s, the company launched Light
Commercial Vehicles, amidst Japanese competition, in which it today strongly leads. In
the 1990s, Anticipating the need for an affordable family car, it launched the now famous
Tata Indica, which occupies a leading position among compact cars.

 Skill Base Developed over the Last 40 Years:-Tata Motors is also very well-placed on
technology capability. The company had set up its Engineering Research Centre as early
as 1966.With 1400 scientists and engineers and state-of-the-art development, testing and
validation facilities, it is this technology capability which has, allowed Tata Motors, over
the decades, to offer indigenously developed products. This strength has been
accentuated, with the inclusion of TMETC, TDCV and Hispano Carrocera in the R&D
network, besides several other specialist external agencies. The company no longer needs
to develop every necessity itself. Today it just has to manage the process of product
creation, drawing upon already available R&D and skills from different sources.
 People Strength: - The Company’s key strength is its people. The over 22,000
employees comprise a very broad talent base, with the required skills in every aspect of
the industry. With increasing international initiatives by the company, this talent base is
now getting enriched with the necessary competencies to respond to meet world-class
standards of quality and cost. The company will achieve this by developing and
marketing relevant products, on its existing platforms and new ones, which delight
consumers in every market they are introduced in.

 Tata Motors’ linkages in Europe through Subsidiary Companies: - In October 2005,


Tata Technologies Ltd, a 100 per cent subsidiary of Tata Motors, acquired a 94.3 per cent
stake in INCAT International Limited. INCAT is a supplier of engineering & design,
product lifecycle management and product-centric IT services to the automotive,
aerospace and durable goods industries.

 Tata Motors R&D in Europe: - Deepening its engagement with the European R&D
space, in September 2005, Tata Motors set up the Tata Motors European Technical
Centre, a 100 per cent subsidiary, in the UK. It is engaged in design engineering and
development of products for the automotive industry. Working synergistically, TMETC
provides the company with design engineering support and development services,
complementing and strengthening the company’s skill sets and providing European
standards of delivery to the company’s passenger vehicles.

 The internationalization strategy so far has been to keep local managers in new
acquisitions, and to only transplant a couple of senior managers from India into the new
market. The benefit is that Tata has been able to exchange expertise. For example after
the Daewoo acquisition the Indian company leaned work discipline and how to get the
final product 'right first time.'
WEAKNESS:

 The current financial situation of its recently acquired firms like “Corus” and “Land
Rover-Jaguar” is very big headache for the company and it should be back to the track
in the near future.

 The high ratio of debt equity ratio is also weakness of the company.

 The small car segment is still not good for the company due to “maruti-suzuki” so, it
need to tap this section also.

 The CV segment is becoming highly competitive by new player like Volvo,and rival M
&M are coming with new products to cater the TATA in the market as the rural area has
given thumps up to M&M during this year.

 The company's passenger car products are based upon 3rd and 4th generation platforms,
which put Tata Motors Limited at a disadvantage with competing car manufacturers.

 Despite buying the Jaguar and Land Rover brands (see opportunities below); Tat has not
got a foothold in the luxury car segment in its domestic, Indian market. Is the brand
associated with commercial vehicles and low-cost passenger cars to the extent that it has
isolated itself from lucrative segments in a more aspiring India?

OPPORTUNITIES:
 India’s huge geographic spread-This is one aspect where the company is looking for
and its diversified range of cars suits very much this area of car or say auto industry in
country.

 Easier finance schemes- The current fiscal stimulus and easy loan will surely guide the
company to post good sales as the current trend shows the cars sales has been boosted by
easy loan norms in the country.

 Replacement of aging four wheelers-One of very important reason where the car
industry and commercial vehicle can take advantage in coming days.

 Increasing Road Development, Golden Quadrilateral-as we all know the


infrastructure will surely boost the auto industry as it is directly related to the this
industry and the government policy in spending the money ion infrastructure will create
good demand.

 Increasing dispensable income of rural agri sector-Somehow this year the rural
demand was very enthusiastic than the urban market which drive the auto industry so, the
development of rural infrastructure and condition will create handsome demand from the
rural area.

 Higher GDP growth-With standing tall during the slowdown our economy has shown
the industry that demands will gain momentum in near future very soon.

 Increasing disposable income with the service sector-As the consumers have money in
their hand definitely there will be demand from their side so, this is also very good
opportunity for this sector.

 Graduating from two wheeler to four wheeler-The dream of “NANO” will boost
demand for four wheeler in the auto industry.
Chapter- 2
Objective & Methodology
Objective & Methodology

2.1. MANAGERIAL USEFULLNESS

The marketing department can use this study to enhance their marketing strategies for better
sales. This report helps the marketing department in taking decisions to what change in
distribution channels and what should be done so that marketing problem could be sorted out and
how to sell their range of product in the competitive market.

The very essence of every project related to marketing is providing a view to management for
chalk out the organization, so that they can maintain a viable fit between the organizational
objectives, skills and resources and its changing market opportunities. Also give a proper shape
to company's target profit and growth. It provides feedback to the organization about their sales,
sales schemes and what impact does it has on the dealers and consumers. Every market research
provides useful suggestions to the organization. Marketing research helps the firm in every
component of the total marketing task. It helps the firm acquire a better understanding of the
buyer, the competition and the marketing environment. It also aids the formulation of the
marketing mix, Product, Distribution and pricing needs. It also helps in taking the information of
competitor's strategies and their impact on the buyer. the study reveals the fact that may have
come up during the project and these facts can either be used a opportunities in exploring and
expanding the business as well as can be used as safeguard against threats by competitors to
prepare an effective marketing strategy. Every market research proves useful to the organization.
Marketing research helps the firm in every component of total marketing task.
2.2. OBJECTIVES

 To understand the market potentiality for TATA cars.


 To determine the acceptable price of the product.
 To determine the requirements and needs of the potential customers.
 To know what people perceive and thinking about Tata cars and its products.
 To analyze the brand repositioning strategies of Tata cars.
 To study consumer awareness and perception about the brand repositioning strategies of
Tata cars.
 To find out the satisfaction level of people.
 To find out the awareness level of customer.

2.3 LIMITATIONS

 The study is confined to Gaya area only.


 There is possibility of sampling errors in the study.
 The responses of the consumers may not be genuine.
 The questions included in the questionnaire may not be comprehensive.
 Continuous and reliable information was not available.
 Some of the information was confidential so much information was not revealed.
 The time span of the survey was short and hence only major aspects were considered.
 Availability of the respondents amidst their busy schedule did not permit detailed study
 This study will be limited to only some areas of Gaya.

2.4 SCOPE OF THE STUDY

These are some of the scope of the study:

1. From the research analysis we can find that, what’s a person first look in a dream car.

2. The study can be used to know the perception of consumer about Tata Motors.

3. The present study can be extended to access the present marketing condition of Indian
automobile sector.

4. The study can be used to design a proper product, price, place and promotional strategy
for the market.
5. From the present study we can know the market share of different products and
accordingly formulated strategy to enhance it.

This study can be applied to find out an effective distribution channel to enhance the sale of
various products of Tata motors

ANALYSIS:
The important factors and data’s collected were sequentially analyzed and graphed.

FIELD WORK:

I have collected the data through medium called questionnaire collecting the responses from 100
(50 for showroom) people in all. I had done my field work in the following area.

CIVIL TOWNSHIP,CANT AREA. KOIRIBARI, RAMSAGER TANK ROAD, NEAR GAYA


COLLEGE.

I started my project very first educating the respondents about my entire project, and ask them to
co–operate with me. Mostly all the respondent were aware of this type of surveys. So I didn’t
face any type of difficulty during my project in the process of explaining and taking their
responses on the questionnaire.
CHAPTER 3

CONCEPTUAL DISCUSSION

MARKETING
CONCEPTUAL DISCUSSION

MARKETING

What is marketing?

There are many different definitions of marketing. Consider some of the following alternative
definitions:

“The all-embracing function that links the business with customer needs and wants in
order to get the right product to the right place at the right time”

“The achievement of corporate goals through meeting and exceeding customer needs
better than the competition”

“The management process that identifies, anticipates and supplies customer


requirements efficiently and profitably”

“Marketing may be defined as a set of human activities directed at facilitating and


consummating exchanges”

Which definition is right? In short, they all are. They all try to embody the essence of marketing:

• Marketing is about meeting the needs and wants of customers;


• Marketing is a business-wide function – it is not something that operates alone from other
business activities;
• Marketing is about understanding customers and finding ways to provide products or services
which customers demand.

To help put things into context, you may find it helpful to often refer to the following diagram
which summarises the key elements of marketing and their relationships:
Figure 1.2

Marketing Concept and Orientation

It is a fundamental idea of marketing that organisations survive and prosper through meeting the
needs and wants of customers. This important perspective is commonly known as the marketing
concept. The marketing concept is about matching a company's capabilities with customer wants.
This matching process takes place in what is called the marketing environment. Businesses do
not undertake marketing activities alone. They face threats from competitors, and changes in the
political, economic, social and technological environment. All these factors have to be taken into
account as a business tries to match its capabilities with the needs and wants of its target
customers. An organisation that adopts the marketing concept accepts the needs of potential
customers as the basis for its operations. Success is dependent on satisfying customer needs.

What are customer needs and wants?

A need is a basic requirement that an individual wishes to satisfy.

People have basic needs for food, shelter, affection, esteem and self-development. Many of these
needs are created from human biology and the nature of social relationships. Customer needs are,
therefore, very broad. Whilst customer needs are broad, customer wants are usually quite narrow.
A want is a desire for a specific product or service to satisfy the underlying need.

Consider this example:

Consumers need to eat when they are hungry.


What they want to eat and in what kind of environment will vary enormously. For some, eating
at McDonalds satisfies the need to meet hunger. For others a microwaved ready-meal meets the
need. Some consumers are never satisfied unless their food comes served with a bottle of fine
Chardonnay. Consumer wants are shaped by social and cultural forces, the media and marketing
activities of businesses. This leads onto another important concept - that of customer demands.
Consumer demand is a want for a specific product supported by an ability and willingness to pay
for it.

For example, many consumers around the globe want a Mercedes. But relatively few are able
and willing to buy one.

Businesses therefore have not only to make products that consumers want, but they also have to
make them affordable to a sufficient number to create profitable demand. Businesses do not
create customer needs or the social status in which customer needs are influenced. It is not
McDonalds that make people hungry. However, businesses do try to influence demand by
designing products and services that are

• Attractive
• Work well
• Are affordable
• Are available

Businesses also try to communicate the relevant features of their products through advertising
and other marketing promotion.

MARKETING MIX

The marketing mix is generally accepted as the use and specification of the four Ps describing
the strategic position of a product in the marketplace. One version of the origins of the marketing
mix starts in 1948 when James Culliton said that a marketing decision should be a result of
something similar to a recipe. This version continued in 1953 when Neil Borden, in his
American Marketing Association presidential address, took the recipe idea one step further and
coined the term 'Marketing-Mix'. A prominent marketer, E. Jerome McCarthy, proposed a 4 P
classification in 1960, which would see wide popularity. The four Ps concepts are explained in
most marketing textb
ooks and classes.
DEFINITION
Although some marketers[who?] have added other Ps, such as personnel and packaging, the
fundamentals of marketing typically identifies the four Ps of the marketing mix as referring to:
Product -An object or a service that is mass produced or manufactured on a large scale with a
specific volume of units. A typical example of a mass produced service is the hotel industry. A
less obvious but ubiquitous mass produced service is a computer operating system. Typical
examples of a mass produced objects are the motor car and the disposable razor.
Price – The price is the amount a customer pays for the product. It is determined by a number of
factors including market share, competition, material costs, product identity and the customer's
perceived value of the product. The business may increase or decrease the price of product if
other stores have the same product.
Place – Place represents the location where a product can be purchased. It is often referred to as
the distribution channel. It can include any physical store as well as virtual stores on the Internet.
Promotion – Promotion represents all of the communications that a marketer may use in the
marketplace. Promotion has four distinct elements - advertising, public relations, word of mouth
and point of sale. A certain amount of crossover occurs when promotion uses the four principal
elements together, which is common in film promotion. Advertising covers any communication
that is paid for, from television and cinema commercials, radio and Internet adverts through print
media and billboards. One of the most notable means of promotion today is the Promotional
Product, as in useful items distributed to targeted audiences with no obligation attached. This
category has grown each year for the past decade while most other forms have suffered. It is the
only form of advertising that targets all five senses and has the recipient thanking the giver.
Public relations are where the communication is not directly paid for and includes press releases,
sponsorship deals, exhibitions, conferences, seminars or trade fairs and events. Word of mouth is
any apparently informal communication about the product by ordinary individuals, satisfied
customers or people specifically engaged to create word of mouth momentum. Sales staff often
plays an important role in word of mouth and Public Relations (see Product above).
Broadly defined, optimizing the marketing mix is the primary responsibility of marketing. By
offering the product with the right combination of the four Ps marketers can improve their results
and marketing effectiveness.
Making small changes in the marketing mix is typically considered to be a tactical change.
Making large changes in any of the four Ps can be considered strategic. For example, a large
change in the price, say from $19.00 to $39.00 would be considered a strategic change in the
position of the product. However a change of $131 to $130.99 would be considered a tactical
change, potentially related to a promotional offer.

CRITICISMS
Peter Doyle claims that the marketing mix approach leads to unprofitable decisions because it is
not grounded in financial objectives such as increasing shareholder value. According to Doyle it
has never been clear what criteria to use in determining an optimum marketing mix. Objectives
such as providing solutions for customers at low cost have not generated adequate profit
margins. Doyle claims that developing marketing based objectives while ignoring profitability
has resulted in the dot-com crash and the Japanese economic collapse. He also claims that
pursuing a ROI approach while ignoring marketing objectives is just as problematic. He argues
that a net present value approach maximizing shareholder value provides a "rational framework"
for managing the marketing mix.

Some people claim the four Ps are too strongly oriented towards consumer markets and do not
offer an appropriate model for industrial product marketing. Others claim it has too strong of a
product market perspective and is not appropriate for the marketing of services.

An expanded system based on Seven Ps stresses the importance of Place, Product, Price,
Promotion, People, Process, and Physical evidence

MARKET RESEARCH
Market research is for discovering what people want, need, or believe. It can also involve
discovering how they act. Once that research is complete it can be used to determine how to
market your specific product. MR-Anywhere is a very good platform for market research and
analysis

For starting up a business there are a few things that are important:
Market information
Market information is making known the prices of the different commodities in the market, the
supply and the demand. Information about the markets can be obtained in several different
varieties and formats.
Examples of market information questions are:
Who are the customers?
Where are they located and how can they be contacted?
What quantity and quality do they want?
When is the best time to sell?
Market segmentation
Market segmentation is the division of the market or population into subgroups with similar
motivations. Widely used bases for segmenting include geographic differences, personality
differences, demographic differences, use of product differences, and psychographic differences.
Market trends
The upward or downward movements of a market, during a period of time. The market size is
more difficult to estimate if you are starting with something completely new. In this case, you
will have to derive the figures from the number of potential customers or customer segments.
[Ilar 1998]

But besides information about the target market you also need information about your
competitor, your customers, products etc. A few techniques are:

Customer analysis
Choice Modelling
Competitor analysis
Risk analysis
Product research
Advertising research

CHAPTER 4
DATA ANALYSIS
DATA ANALYSIS

Perception about Tata’s showroom

Q.1 Knowledgeable salesperson (about product)

Fig 4.1

INFERENCE:

 77% of the Respondents were strongly agree with knowledgeable salesperson

 18% of the Respondents were agreeing at the same time.

 5% of the respondent were disagree with this questionnaire


Q.2 Employees spent enough time with you before sales and during sales

fig. 4.2

INFERENCE:

 55% of the respondent were strongly agree and says that employ spend enough time
before sales.
 36% of respondent were agree with this questionnaire.
 5% of respondent were neither agree nor disagree.
 4% of respondent were disagree they said that employ not spend enough time during sales or
before sales.
Q.3 Availability of the product in showroom (Pareena motors)

Fig 4.3

INFERENCE:

 50% of the respondent were strongly agree and says that products are available in
showroom (Pareena motors ltd.).
 36% of respondent were agree with availability of product in showroom (Pareena motors
ltd.).
 14% of respondent were neither agree nor disagree.
Q.4 Attractive discounts offered

Fig 4.4

INFERENCE:

 55% of the respondents were strongly agreed with attractive discount offered.
 41% of respondent were agree with discount offered.
 4% of respondent were neither agree nor disagree.
Q.5 offered a test drive

Fig 4.5

INFERENCE:

 41% of the respondents were strongly agreed with test drive offered.
 32% of respondent were agree with test drive offered.
 18% of respondent were neither agree nor disagree.
 9%of respondent said that they do not offer test drive.
Q.6 responds to complaints quickly

Fig 4.6

INFERENCE:

 Only 5% of the respondents were strongly agreed with quickly respond to complaints.
 41% of respondents were agreeing with quickly respond to complaints.
 36% of respondents were neither agree nor disagree with quickly respond to complaints.
 18% of respondents were strongly disagreeing.
Q.7 All the commitments are fulfilled

Fig 4.4

INFERENCE:

 Only 9% of the respondents were strongly agree with fulfilled of commitments.


 23% of respondent were agree with fulfilled of commitment.
 45% of respondent were neither agree nor disagree.
 18%of respondent were disagree.
 5% of respondent were strongly disagree
Q.8 Employees spent enough time with you after sales. (Service)

Fig 4.4

INFERENCE:

 32% of the respondent were strongly agree with good service provided by pareena
motors.
 36% of respondent were agree with good service provided by pareena motors. .
 27% of respondent were neither agree nor disagree.
 5%of respondent are disagree with service provided by pareena motors.
Consumer perception about Tata’s car

.The price of the TATA car is reasonable.


CHAPTER -5
FINDINGS AND
RECOMMENDATIONS
FINDINGS

 Tata Motors is number three in passenger car market after maruti-suzuki & hyundai.
 Pareena motors LTD have well knowledgeable sales persona and the spend enough time
with customer.
 All model and colors of Tata’s car is available in showroom.
 Pareena motors ltd always offer test drive to every customer and discount offer.
 But pareena motors LTD are not providing better service after sales.
 According to sample tata motors are providing better safety than other car’s manufacture.
 Majority of sample think that price of Tata’s car parts are not available everywhere, and it
is costly than other car parts
 Fuel mileage of Tata car is good, but not better.
 Out of the samples, people are highly convinced that TATA MOTORS will yield them
better results
 Customers were educated by me, about fuel efficient cars by Tata Motors.
 Improving the marketing Strategies
 Making the decision to capture the rural market. by introducing tata nano is giving better
result.
 More test drives should be offered.
 Advertisement in mass media such as television, newspapers, and magazines are best
means to spread awareness about brand repositioning. And it is a better medium to attract
the customer.
Recommendation

Though I am young enough and not that experienced but I have tried my best to
come out with suggestion which may be helpful for Pareena motors Pvt. Ltd.

 Service (after sale) is not good, most of the customer are saying, so company should
improve the service facility. And company should fulfill the commitments

 Pareena motors should takes less time as much as possible to fulfill the commitments. to
make a good picture in consumer ‘s mind.

 Price of part’s should be reasonable. And available every where.

 To increase its visibility so that different segments of the customer will notice the
products of Tata motors in varied ways.
Rate the following on a scale of 1-5

1- Strongly disagree. 2- Disagree. 3- Neither agrees nor disagrees. 4- Agree 5- Strongly


agree

1. The price of the Tata car is reasonable.

2. Fuel mileage of the Tata car is good.

3. Tata car is easy to maintain.

4. Tata car’s seats are very comfortable.

5. My family member feels safe when I drive TATA car.

6. My friends and relatives drive the same car.


7. Driving the Tata car compliments my life style.

8. I feel proud whenever I see the ad for my Tata car on TV, Magazine, and Hoarding.

9. A new feature of Tata cars like ABS (antilock breaking system) motivates the customer to
buy.

10. Air bag system in Tata cars gives the better safety.

11. Quadra jet engine of Tata cars gives an extra edge over the other cars.

12. Tata car gives me comfortable rides.

13. Exterior of Tata car is attractive.

14. Tata has wide range of models.

15. An interior accessory of Tata car is attractive.

16. Power steering in Tata car attracts the people to buy.


17. Tata car is available in wide range of colors.

18. Tata car long last.

How do you rate Tata`s showrooms KOSHMO VEHICLE PVT


LTD with respect to the following?

Rate the following on a scale of 1-5

1- Strongly disagree. 2- Disagree. 3- Neither agree nor disagree. 4- Agree 5- Strongly


agree

(1)Knowledgeable salesperson (about product)

1 2 3 4 5
(2)Employees spent enough time with you before sales and during sales .

1 2 3 4 5
(3) Availability of the product in showrooms

1 2 3 4 5
(4)Attractive discounts offered

1 2 3 4 5

Conclusion
Conclusion

Accomplishing this project on brand awareness was an excellent and knowledge gaining
experience for me.Depsite small size for project helped me to know the view of customer people
towards the brand awareness of Tata kosmo vehicle. brand are new a central feature of consumer
marketing they are important in building long term relationship with consumer, irrespective of
type market. Their importance is now also being reconzied in other markets including service
and industrial. Investing in a brand build consumer confidence and loyalty and allow for brand
stretching . It requires a consient and long term strategy. In conclusion I would say that the
brand(TATA KOSMO VEHILCES)is quite knowto people. Tata kosmo has bults its brand
awareness among a relatively large number of people in around Jalandhar. At last I would like to
thank my project co-ordiantor “MR. PANJAJ SHARMA(AGM)” their guidance and support. I
would also like to thank all the people who have been so co-operative through out the survey.
BIBLIOGRAPHY
BIBLIOGRAPHY

BOOKS

1) Marketing Management Philip Kotler & Kevin Lane Keller

2) Research Methodology C.R. Kothari

3) Business Statistics Gupta & Gupta

4) Consumer Behavior L.G. Shiffman & L.L. Kanuk

INTERNET

• www.tata.com
• www.tatamotors.com
• http://en.wikipedia.org/wiki/Tata_motors
• http://en.wikipedia.org/wiki/Tata_group
• http://en.wikipedia.org/wiki/Indian_automobile_industry
• http://www.carwale.com/research/cars/tata
• http://www.tatamotors.com/our_world/press_releases.php?ID=458&action=Pull
• http://www.tatamotors.com/our_world/press_releases.php?ID=500&action=Pull
• www.scribd.com
• www.thehindubusinessline.com

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