A STUDY ON CUSTOMER PERCEPTION ON THE MARUTI SUZUKI SERVICES AND PRODUCTS AT NewDelhi

In Partial fulfilment of the requirement for the award of Degree of MBA from IIPM

MASTER OF BUSINESS ADMINISTRATION SUBMITTED BY RAJ RANI MEHRA

UNDER THE GUIDANCE OF PROF. SANJAY BANERJEE

SYNOPSIS

PROJECT TITLE: A STUDY ON CUSTOMER PERCEPTION ABOUT MARUTI SUZUKI SERVICES AND PRODUCTS AT BANGALORE.

COMPANY NAME: MARUTI SUZUKI.

INTRODUCTION: Indian automobile sector is in a growth phase. It all started mainly due to liberalization, privatization and globalization (LPG) of Indian economy. Today Indian car manufacturers are able to manufacture cars that are able to meet global standards. This is a study to know about the customers perception towards MARUTI SUZUKI one of the oldest and strongest market player in India. The aim of the project is to get the views of the customer about its services, products and their expectations of new product from the company. STATEMENT OF THE PROBLEM: Due to LPG of Indian economy there are various foreign players in the Indian automobile sector. There is huge competition due to the entry of new companies. In this situation there is a need to study about the consumers perception of the MARUTI SUZUKI services and products. As the Government of India has a stake in this company it is necessary to know the market situation and respond to it efficiently. SCOPE OF THE STUDY: The scope of the study is limited to find the customers perception towards the services and products of MARUTI SUZUKI. It is a general study and not

confined to any industrial standards. It is conducted in the geographical area of Bangalore. OBJECTIVES OF THE STUDY: To find out the sources of awareness of the dealership and products. To find out the various attributes considered by the customer before purchasing the product. To find out the customers satisfaction level during the sales and after sales process. To find out the dealership name from where the customers have purchased their product. To find out the new product they expect from the company.

RESEARCH METHODOLOGY: The research conducted is a descriptive research, it involves the study of the customers perception towards services and products of MARUTI SUZUKI with the help of MANDOVI MOTORS PROVATE LIMITED, a dealership which provides sales and services of MARUTI SUZUKI products.

SOURCES OF DATA 1. PRIMARY DATA The data is collected by interviewing the respondents through questionnaire and the raw data collected will be transformed into a needed list of information. 2. SECONDARY DATA Secondary data consists of information that already exists. It would be collected from the website marutisuzuki.com.

TOOLS AND TECHNIQUES OF DATA ANALYSIS Simple random sampling is used. It is a procedure to collect the data from few elements from the entire population. It is a small specimen area that represents the entire population. The sample size is decided to be 100. The data would be collected through a sample survey by personal interview using structured questionnaire and reviewing the secondary data. The samples are bound to Bangalore. The collected data is represented in tables, graphs and are analyzed.

PROFILE OF THE INDUSTRY The Automotive industry in India is one of the largest in the world and one of the fastest growing globally. India manufactures over 11 million vehicles (including 2 wheeled and 4 wheeled) and exports about 1.5 million every year. It is the world's second largest manufacturer of motorcycles, with annual sales exceeding 8.5 million in 2009. India's passenger car and commercial vehicle manufacturing industry is the seventh largest in the world, with an annual production of more than 2.6 million units in 2009. In 2009, India emerged as Asia's fourth largest exporter of passenger cars, behind Japan, South Korea and Thailand. As of 2009, India is home to 40 million passenger vehicles and more than 2.6 million cars were sold in India in 2009 (an increase of 26%), making the country the second fastest growing automobile market in the world. According to the Society of Indian Automobile Manufacturers, annual car sales are projected to increase up to 5 million vehicles by 2015 and more than 9 million by 2020. By 2050, the country is expected to top the world in car volumes with approximately 611 million vehicles on the nation's roads.

A chunk of India's car manufacturing industry is based in and around the city of Chennai, also known as the "Detroit of India" with the Indian city accounting for 60 per cent of the country's automotive exports. Gurgaon and Manesar near New Delhi are hubs where all of the Maruti Suzuki cars in India are manufactured. The Chakan corridor near Pune, Maharashtra is another vehicular production hub with General Motors, Volkswagen/ Skoda, Mahindra and Mahindra in the process of setting up or already set up facilities. Ahmedabad with Tata Motors Nano plant and Halol with General Motors in Gujarat, Aurangabad in Maharashtra, Kolkatta in West Bengal are some of the other automotive manufacturing regions around the country.

COMPANY PROFILE Maruti Suzuki India Limited (MSIL, formerly known as Maruti Udyog Limited) is a subsidiary of Suzuki Motor Corporation, Japan. MSIL has been the leader of the Indian car market for over two and a half decades. The company has two manufacturing facilities located at Gurgaon and Manesar, south of New Delhi, India. Both the facilities have a combined capability to produce over a 1.2 million (1,200,000) passenger car units annually. The company plans to expand its manufacturing capacity to 1.75 million by 2013. For this the company will be investing around Rs. 60 Billion (Rs 6,000 Crores) over the period till 2013. The company offers a wide range of cars across different segments. It offers 14 brands and over 150 variants - Maruti 800, people movers, Omni and Eeco, international brands Alto, Alto-K10, A-star, WagonR, Swift, Ritz and Estilo, off-roader Gypsy, SUV Grand Vitara, sedans SX4 and Swift DZire In an environment friendly initiative, in August 2010 Maruti Suzuki introduced factory fitted CNG option on 5 models across vehicle segments. These include Eeco, Alto, Estilo, Wagon R and Sx4. In fiscal 2009-10 Maruti Suzuki became the only Indian company to manufacture and sell One Million cars in a year. Maruti Suzuki has employee strength over 7,600 (as at end March 2010), In 2009-10, the company sold a record 10,18,365 vehicles including 1,47,575 units of exports. With this, at the end of March 2010, Maruti Suzuki had a market share of 53.3 per cent of the Indian passenger car market (including C segment). Maruti Suzuki's revenue has grown consistently over the years. (Rs. in Million) Net Sales 1,20,034 1,78,603 3,01,198

Year 2004-05 2006-07 2008-09

Net Sales 1,09,108 1,45,922 2,03,583

Year 2005-06 2007-08 2009-10

The company is listed on Bombay Stock Exchange and National Stock Exchange.

OVERVIEW OF THE CHAPTER: Details to the theoretical back ground to project study. 1. Design of the study includes status of problem objectives and scope along with methodology. 2. Industry profile/respondent profile. 3. Study of problem through data analysis and interpretation along with charts and tables. 4. Gives summary of findings, recommendations and conclusions.

HYPOTHESIS: NULL HYPOTHESIS (H0): Customers are satisfied with the current services and products of MARUTI SUZUKI. ALTERNATIVE HYPOTHESIS (H1): Customers are not satisfied with the current services and products of MARUTI SUZUKI.

QUESTIONNARIE 1. Age group of the respondents. It shows the age group of the respondents AGE GROUP 18-25 26-33 34-41 42 and above 2. Qualifications Shows the qualifications of the respondents. QUALIFICATION Under graduate Post graduate P.U.C S.S.L.C. Illiterate 3. MONTHLY INCOME Below 10,000 10,001 15,000 15,001 20,000 20,001 25,000 25,000 and above. 4. OCCUPATION Student Services Business man Agriculture

5. Which vehicle do you own?

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6. YEAR OF PURCHASE 1985 1990 1991 1996 1997 2002 2002 until now. 7. Average distance travelled per day Up to 15 16-25 26-35 35 and above 8. Usage purpose Office Home Others. 9. Rating of available colours Very good Good Average Fair 10.Do you want to sell the existing model for new one Yes No 11.Over all satisfaction of the product. Highly satisfied Satisfied Undecided

 Unsatisfied Highly unsatisfied 12.Are you satisfied with the current service centre? Strongly agree Agree Neither agree or disagree Disagree Strongly disagree 13.Labour charges of service station compared to others Very high High Medium Low Very low 14.Delivery as per schedule Always Most of times Some times Never Very rare 15.Mobile service providing Excellent Good Fair Poor Very poor

16.Are the people at service station co-operative? Very high Manager Service supervisor Technicians 17.Source of awareness of dealership Advertisement News paper Magazines Friends and relatives 18.Source of awareness of the product Advertisement News paper Magazines Friends and relatives 19.Show room ambience Excellent Very Good Good Satisfactory 20.Sales process Excellent Very good Good Fair High Moderate Low Poor

21.Financial schemes Excellent Very good Good Fair 22.Opinion of post transaction follow-ups Very good Good Average Poor 23.Diagnostic of complaints Excellent Good Average Fair 24.New product that you expect from MARUTI SUZUKI SUV MUV SMALL CAR ENTRY LEVEL SEDAN LUXURY CAR