Parvind Gautam

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RESEARCH REPORT

ON
“CONSUMER BUYING BEHAVIOUR TOWARDS”

SUBMITTED TOWARDS PARTIAL FULFILLMENT

OF

MASTERS OF BUSINESS ADMINISTRATION


2017 – 2019
SUBMITTED TO: SUBMITTED BY:

MR. VIVEK SETH PARVIND GAUTAM

(ASST. PROFESSOR) MBA- 3RD Sem.

RAJ SMS, VARANASI ROLL NO; 1774770016

AFFILITED TO APJ. ABDUL KALAM TECHNICAL UNIVERSITY, LUCKNOW UP, INDIA

1
DECLARATION

I hereby declare that the project report entitled “CONSUMER BUYING BEHAVIOR TOWARDS
TATA MOTORS ” submitted for the Master of Business Administration is my original work and
the Research Project Report has not formed the basis for the award of any degree, diploma,
associated, or other similar title.

PARVIND GAUTAM

MBA 3rd SEM

ROLL NO: 1774770016

PLACE:

Date

-------------------------

Signature

2
ACKNOWLEDGEMENT

Progress in life, business or any projects comes through taking initiatives & continuing to
progress on new concepts & ideas. The original momentum is not enough to keep you moving
forward. Your progress will grit to halt unless you refill your engine for inspiration with fuel of
fresh ideas with enthusiasm & proper guidance. Accomplishment requires the effort of many
people and this work is no different. I would like to thank all those who helped me directly or
indirectly and whose diligent efforts made this project possible.

I would like to thanks MR. RAHUL SINGH (Director) and MISS PRATIBHA SHARMA HOD
(MBA) ,RAJ SCHOOL OF MANAGEMENT & SCIENCES SISWA BABATPUR VARANASI to give me
the inspiration and support in research report.

I am grateful to My project guide ASST. PROF. MR. VIVEK SETH (Faculty) of RAJ SCHOOL OF
MANAGEMENT & SCIENCES SISWA BABATPUR VARANASI for creating a conducive environment
in the institute for a purposeful education.

I also take this opportunity to express my profound gratitude to all those respondents who made
this project successful by cooperating with me.

Last but not the least; I would like to thank my parents and colleagues for their kind support.

(PARVIND GAUTAM)

MBA

3
CONTENTS
Chapter 1 – Introduction

1.1. Overview of Industry as a whole

1.2. Profile of the Organization

1.3. Growth of the Organization

1.4. S.W.O.T Analysis of the Organization

Chapter 2 – Literature review

1.1 Consumer buying behaviour

1.2. Consumer decision making

1.3. Consumer Perception

1.4. Types of Consumer Behaviour

Chapter 3 - Objective & Methodology

2.2. Objectives

2.3. Limitation

2.4. Scope of the study

2.5. Research methodology

Chapter 4 - Data Analysis

Chapter 5 - Findings and Recommendations

ANNEXURES:

BIBLIOGRAPHY

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CHAPTER 1.

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

5
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 Tata cars

MAHINDRA, MAHINDRA CARS Auto, MAHINDRA 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.

The major players have not left any stone unturned to be global. Major of the

players have got into the merger activities with their foreign counterparts.

Like Maruti with Suzuki, Tata cars with MAHINDRA, Tata with Fiat,

Mahindra with Renault, Force Motors with Mann.

Key Facts:

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

6
• 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

The key players like Hindustan Motors, Maruti Udyog, Fiat India Private

Ltd, Tata Motors, MAHINDRA CARS Motors, Tata cars Motors, Ashok

Leyland, Mahindra & Mahindra have been dominating the vehicle the

customers’ needs to a large extent.

Not only the Indian companies but also the international car manufacturing

companies are focusing on compact cars to be delivered in the Indian

market at a much smaller price. Moreover, the automobile companies are

coming up with financial schemes such as easy EMI repayment systems to

boost sales.

There have been exhibitions like Auto-expo at Pragati Maidan, New Delhi

to share the technological advancements. Besides, there are many new

7
projects coming up in the automobile industry leading to the growth of the

sector.

The Government of India has liberalized the foreign exchange and equity

regulations and has also reduced the tariff on imports, contributing

significantly to the growth of the sector. Having firmly established its

presence in the domestic markets, the Indian automobile sector is now

penetrating the international arena. Vehicle exports from India are at their

highest levels. The leaders of the Indian automobile sector, such as T ata

Motors, Maruti and Mahindra and Mahindra are leading the exports to

Europe, Middle East and African and Asian markets.

The Ministry of Heavy Industries has released the Automotive Plan 2006-

2016, with the motive of making India the most popular manufacturing hub

for automobiles and its components in Asia. The plan focuses on the

removal of all the bottlenecks that are inhibiting its growth in the domestic

as well as international arena.

Top Ten Players in Indian Automobile Sector

1. Maruti Suzuki India

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2. Tata cars Motors Limited

3. Tata Group

4. MAHINDRA CARS Auto Limited

5. Mahindra Group

6. Ashok Leyland

7. Yamaha Motor India

8. Hyundai Motors India Limited

9. Toyota Kirloskar Motor Private Limited

10. MAHINDRA Siel Cars India Limited

1.2 PROFILE OF THE ORGANIZATION

TATA MOTORS LIMITED

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
9
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


10
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,


11
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

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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.

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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

14
appropriate technologies in our vehicles and operations for constantly

enhancing environment care. 

With the foundation of its rich heritage, Tata Motors today is etching a

refulgent future.

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

15
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.,

16
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 MAHINDRA 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.

17
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

18
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

19
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.

20
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

21
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,

22
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).

23
Various Products of TATA Motors

[1] Passenger cars and utility vehicles

Tata Indigo SW

Tata Sierra

Tata Estate

Tata Sumo/ Spacio

24
Tata Safari

Tata Indica

Tata Indigo

Tata Indigo Marina

Tata Winger

Tata Nano

Tata Xenon XT

Tata Xover (2009)

[2] Concept vehicles

Tata Cliffrider

2000 Aria Roadster

2001 Aria Coupe

2002 Tata Indica

2002 Tata Indiva

2004 Tata Indigo Advent

2005 Tata Xover


25
2006 Tata Cliffrider

2007 Tata Elegante

2009 Tata Prima

[3] Commercial vehicles

Tata 1616 Starbus Tata Marcopolo Buses in the Delhi BRT

Tata Star Bus in Nagpur, Maharashtra. Tata Low Floor Buses are also used by
administrations in Delhi, Mumbai, Pune, Udaipur and Indore

Tata Ace

Tata TL/ Telcoline /207 DI Pickup Truck

26
Tata 407 Ex and Ex2

Tata 709 Ex

Tata 809 Ex and Ex2

Tata 909 Ex and Ex2

Tata 1109 (Intermediate truck)

Tata 1510/1512 (Medium bus)

Tata 1610/1616 (Heavy bus)

Tata 1613/1615 (Medium truck)

Tata 2515/2516 (Medium truck)

Tata Starbus (Medium Bus)

Tata Globus (Low Floor Bus)

Tata Marcopolo Bus (Low Floor Bus)

Tata 3015 (Heavy truck)

Tata 3118 (Heavy truck) (8X2)

Tata 3516 (Heavy truck)

Tata 4923 (Ultra-Heavy truck) (6X4)

Tata Novus (Heavy truck designed by Tata Daewoo)

[4] Military vehicles

Tata LSV (Light Specialist Vehicle)

Tata 2 Stretcher Ambulance

Tata 407 Troop Carrier, available in hard top, soft top, 4x4, and 4x2 versions

Tata LPTA 713 TC (4x4)

Tata LPT 709 E

Tata SD 1015 TC (4x4)

27
Tata LPTA 1615 TC (4x4)

Tata LPTA 1621 TC (6x6)

Tata LPTA 1615 T

28
29
Price List

Sl. MODEL Ex SHOWROOM INSURA RERISTRAT ANTIR EXT. ON ROAD


N PRICE NCE ION UST W PRICE
O.

INDICA (XTRA PETROL )

1 GL 277941 9711 11200 2800 3800 305452


2 GLE 304587 10364 12138 2800 3800 333689
3 GLS 322629 10807 12678 2800 3800 352714
4 XETA GLS SPORTY 322628 10807 12216 2800 3800 352251

INDICA DIESEL

1 DL 339071 10820 12695 2800 3800 369186


2 DLE 361397 11757 13842 2800 3800 393596
3 DLS 384046 12313 14521 2800 3800 417480
4 DICOR DLG 432331 13496 15970 2800 3800 468397

INDIGO DIESEL

1 CS LE 427290 13373 15818 2800 3800 463081


2 CS LS 455172 14057 16655 2800 3800 492484
3 CS LX 478619 14631 17358 2800 3800 517208
4 CS LS DICOR 489594 14901 17687 2800 3800 528782
5 CS LX DICOR 508066 15353 18241 2800 3800 548260
6 CS LX TDI LTD. 507307 15335 18219 2800 3800 547461
EDI.
7 LS TC 530316 15899 18909 2800 3800 571724
8 LX TC 569164 16852 20074 2800 3800 612690
9 LS DICOR 549300 16365 19479 2800 3800 591744
10 LX DICOR 611409 17887 21342 2800 3800 657238
11 GLASSIC DICOR 644610 18701 22338 2800 3800 692249
12 GRAND DICOR 764647 21645 25939 2800 3800 818831
13 INDIGO XL TDI 548954 16356 19468 2800 3800 591378

INDIGO PETROL

GS GLE 389961 12458 14698 2800 3800 423717


CS GLS 408404 12910 15252 2800 3800 443166
CS GLX 426094 13344 15782 2800 3800 461820
CS GLX LTD EDI 454782 14055 16644 2800 3800 492081

30
GLS 493257 14990 18271 2800 3800 533118
GLX 527028 15818 18810 2800 3800 568256
CLASSIC 0 0 0 0 0
GRAND 0 0 0 0 0

MARINA DIESEL

VS 500077 15158 17715 2800 3800 0


LS 530316 16260 18690 2800 3800 571866
LX 569164 17247 19875 2800 3800 612886
LX DICOR 611409 18476 21350 2800 3800 657835

MARINA PETROL

GLS 493257 15112 2800 3800 532279


GLX 527028 15980 2800 3800 567958

INDICA VISTA (DIESAL)

TERRA TDI 395513 12594 14865 2800 3800 429572


AQUA TDI 417487 13133 15524 2800 3800 452744
TERRA QUDRAJET 440992 13709 16229 2800 4425 478155
VISTA AURA Q. 550317 16389 19500 0 0 586206
PLUS
VISTA AURA Q. 518793 15616 18560 0 0 552969
ABS
AQUA QUDRAJET 463748 14268 16913 2800 4725 502454
AQUA 466805 14342 17005 2800 4725 505677
QUDRAJET(P.W)
AURA QUDRAJET 524506 15757 18735 2800 4725 566523
LTD.
AURA 499436 15142 17983 2800 4725 540086
QUDRAJET(P.W)
AURA QUDRAJET 46379 15067 15067 2800 4725 84038

INDICA VISTA (PETROL)

TERRA SAFARI 361640 11764 13850 2800 4725 394779


VISTA AURA 466767 14341 17004 2800 4725 505637
SAFARI
VISTA AURA 434462 13549 18034 2800 4725 473570
SAFARI ABS
AURA SAFARI 387481 12397 14624 2800 4725 422027
AQUA SAFARI 412050 12999 15361 2800 4725 447935

31
AURA SAFARI P.W 439537 13673 16186 2800 4725 476921
LTD

MANZA PETROL

AQUA SAFIRE 496109 15060 17883 2800 531852


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

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

32
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

33
cumulative sales of Land Rover are 146,564 nos., lower by 6%.

34
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.

35
 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.
36
 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
37
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.


38
 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.
39
 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.
40
THREAT:

 Indian is lacking in proper infrastructure this is slowing the pace of

growth of auto industry

 Global crisis- this really hurts the Indian growing industry and not

only the auto but tyre industry went for toss.

 High competition from foreign players-As the giants like GM, Audi,

MERC etc are trying to capture the high segment market it is one of

the very effective threat to the company.

 Other competing car manufacturers have been in the passenger car

business for 40, 50 or more years. Therefore Tata Motors Limited has

to catch up in terms of quality and lean production.

41
 Sustainability and environmentalism could mean extra costs for this

low-cost producer. This could impact its underpinning competitive

advantage. Obviously, as Tata globalizes and buys into other brands

this problem could be alleviated.

 Since the company has focused upon the commercial and small

vehicle segments, it has left itself open to competition from overseas

companies for the emerging Indian luxury segments. For example

ICICI bank and DaimlerChrysler have invested in a new Pune based

plant which will build 5000 new Mercedes-Benz per annum. Other

players developing luxury cars targeted at the Indian market include

Ford, MAHINDRA and Toyota. In fact the entire Indian market has

become a target for other global competitors including Mahindra and

Mahindra, Maruti Udyog, General Motors, Ford and others.

 Rising prices in the global economy could pose a threat to Tata

Motors Limited on a couple of fronts. The price of steel and

aluminium is increasing putting pressure on the costs of production.

Many of Tata's products run on Diesel fuel which is becoming

expensive globally and within its traditional home market.

42
 One weakness which is often not recognized is that in English the

word 'tat' means rubbish. Would the brand sensitive British consumer

ever buy into such a brand? Maybe not, but they would buy into Fiat,

Jaguar and Land Rover.

1.5 Porter's five forces analysis

Porter's five forces analysis is a framework for the industry analysis

and business strategy .It uses concepts developed in Industrial Organization

economics to derive five forces, which determine the competitive intensity

and therefore attractiveness of a market.

The Five Forces:

1. The threat of substitute products-As we know the Indian customers

choices range from mileage, pick-up, power steering to various other

things so substitute is very important aspect in this industry as other

product available in the market may act as the substitute to the brands

own existing product.

43
2. The threat of the entry of new competitors-New completion from the new

entrant or from existing company is also highly potent force which a

company must have to take care of for its market share and growth.

3. The intensity of competitive rivalry-The very effective way of putting

competitor out of track is pitching new vibrant products in the market so

a company must be aware of this tactics by its rival company so that it

can cater the effect.

4. The bargaining power of customers-Another important aspect for a car or

auto company where they have to manage the pricing control of their

product to spurt the sales in the market.

5. The bargaining power of suppliers- The distribution channel is very

important in country like India where the demand is highly different with

all across its dimension so, supply is very much required in the industry

for a company.

CHAPTER 2 LITRATURE REVIEW


44
CONSUMER BUYING BEHAVIOUR

CONSUMER BUYING BEHAVIOR

Definition:

Consumer behavior refers to the mental and emotional process and the

observable behavior of consumers during searching, purchasing and post

consumption of a product or service.

Consumer behavior involves study of how people buy, what they buy, when

they buy and why they buy. It blends the elements from psychology,

sociology, sociopsychology, anthropology and economics. It also tries to

assess the influence on the consumer from groups such as family, friends,

reference groups and society in general.

Buyer behavior has two aspects: the final purchase activity visible to any

observer and the detailed or short decision process that may involve the

interplay of a number of complex variables not visible to anyone.

What influences consumers to purchase products or services? The consumer

buying process is a complex matter as many internal and external factors

have an impact on the buying decisions of the consumer.

45
When purchasing a product there several processes, which consumers go

through. These will be discussed below.

Purchase decision

Through the evaluation process discussed above consumers will reach their

final purchase decision and they reach the final process of going through the

purchase action e.g. The process of going to the shop to buy the product,

which for some consumers can be as just as rewarding as actually purchasing

the product. Purchase of the product can either be through the store, the web,

or over the phone.

Post Purchase Behavior

Ever have doubts about the product after you purchased it? This simply is

post purchase behavior and research shows that it is a common trait amongst

purchasers of products. Manufacturers of products clearly want recent

consumers to feel proud of their purchase, it is therefore just as important for

manufacturers to advertise for the sake of their recent purchaser so

consumers feel comfortable that they own a product from a strong and

reputable organization. This limits post purchase behavior. i.e. You feel

reassured that you own the latest advertised product.

Factors influencing the behavior of buyers.

46
Consumer behavior is affected by many uncontrollable factors. Just think,

what influences you before you buy a product or service? Your friends, your

upbringing, your culture, the media, a role model or influences from certain

groups?

Culture is one factor that influences behavior. Simply culture is defined as

our attitudes and beliefs. But how are these attitudes and beliefs developed?

As an individual growing up, a child is influenced by their parents, brothers,

sister and other family member who may teach them what is wrong or right.

They learn about their religion and culture, which helps them develop these

opinions, attitudes and beliefs (AIO) . These factors will influence their

purchase behavior however other factors like groups of friends, or people

they look up to may influence their choices of purchasing a particular

product or service. Reference groups are particular groups of people some

people may look up towards to that have an impact on consumer behavior.

So they can be simply a band like the Spice Girls or your immediate family

members. Opinion leaders are those people that you look up to because your

respect their views and judgments and these views may influence consumer

decisions. So it maybe a friend who works with the IT trade who may

influence your decision on what computer to buy. The economical

environment also has an impact on consumer behavior; do consumers have a

secure job and a regular income to spend on goods? Marketing and

47
advertising obviously influence consumers in trying to evoke them to

purchase a particular product or service.

Peoples social status will also impact their behavior. What is their role

within society? Are they Actors? Doctors? Office worker? and mothers and

fathers also? Clearly being parents affects your buying habits depending on

the age of the children, the type of job may mean you need to purchase

formal clothes, the income which is earned has an impact. The

lifePerformence of someone who earns £250000 would clearly be different

from someone who earns £25000. Also characters have an influence on

buying decision. Whether the person is extrovert (out going and spends on

entertainment) or introvert (keeps to themselves and purchases via online or

mail order) again has an impact on the types of purchases made.

Maslow’s Hierarchy of Needs

Abraham Maslow hierarchy of needs theory sets out to explain what

motivated individuals in life to achieve. He set out his answer in a form of a

hierarchy. He suggests individuals aim to meet basic psychological needs of

hunger and thirst. When this has been met they then move up to the next

stage of the hierarchy, safety needs, where the priority lay with job security

and the knowing that an income will be available to them regularly. Social

needs come in the next level of the hierarchy, the need to belong or be loved

is a natural human desire and people do strive for this belonging. Esteem
48
need is the need for status and recognition within society, status sometimes

drives people, the need to have a good job title and be recognized or the need

to wear branded clothes as a symbol of status.

But how does this concept help an organization trying to market a product or

service?

Well as we have established earlier within this website, marketing is about

meeting needs and providing benefits, Maslow’s concept suggests that needs

change as we go along our path of striving for self-actualization.

Supermarket firms develop value brands to meet the psychological needs of

hunger and thirst. Harrods develops products and services for those who

want have met their esteem needs. So Maslow’s concept is useful for

marketers as it can help them understand and develop consumer needs and

wants.

CUSTOMER

A competitor, in order to achieve the loyalty of the customers, offer an

endless information flow on the products and services and thereby

continuously educates the customer about the opportunities in the market.

Therefore today even an ordinary person, is in possession of the large

amount of data to use for the purpose of making a decision as to which

products/ services he would go in for. The competitive environment is

making the customer wisher day by day and he is able to take a large number

49
of decisions on his own. The experts’ advice of the olden days is being

replaced by the customer’s own wisdom. This is making the market place

more complicated and unpredictable. The customer is getting smarter today

and he is able to decide his own money’s worth and therefore, organization

across the board are `pursuing the customer’s views to streamline their

business strategies to remain customer- worthy.

People are the prime factor for any organization to maintain the

effectiveness and thus develop the right focus for the people, so that each

one perceives as clearly as possible his position in the cycle of growth and

prosperity of the organization. Agendas will have to be drawn in such a

manner and communicated so effectively that the individual is able to enjoy

a meaningful life in the organization, endowed with authority and

responsibility for the role he plays.

“One should be able to see for oneself the impact of the

contributions one has made towards the growth and prosperity cycle of the

organization. As a matter of fact the relationship between the people and the

organization should be so designed that each one is here to experience the

pleasure of winning and pain of losing. People alone are of no significance

unless and until they have an intimate and continuous interaction with the

process”.

Therefore organization have to take continuous care to update their

quality of the people and that of processes simultaneously so that a healthy

50
relationship is built up and maintained making the relationship happy and

healthy one. This, when done, should generate in people a sense of

entrepreneurship ownership of the organization.

“Since the customer are the main focus of any organization its

structure should be so flat i.e., people fluently interact with the customer and

maintain continuous feedback about the customer’s moods and methods in

order to shape its business portfolio and strategies”.

It is very important to find whether the fundamentals of the

organization are getting strong as desired. It is therefore rightly said that a

well trained army with quality arms and ammunitions and with a sense of

involvement can got the nations frontiers inn desirable and dependable

manner similarly: people at the operation level with superior competency

and capability supplied with superior products and strategies can acquire a

place for an organization in the market place. Retail outlets are the contact

points of the customers and therefore the image of the organization largely

depends upon the quality of the people managing the interventions and

transactions at the level.

The Consumer Market:

51
The consume market consists of all the individuals and households

who buy or acquire goods and services for personal consumption. The

simplest model consumer buyer behavior is the stimulus – response model.

According to this model marketing stimuli ( the four Ps) and the major

forces (economic, technological, political, cultural) enter the consumer’s

“black box” and reproduce certain responses.

Start

Social factors influence buyer’s behavior. A person’s reference

group-family, friends, social organizations, professional associations-

strongly affect product and brand choices. The buyer’s age, life-cycle stage,

occupation, economic circumstances, lifePerformence, personality, and other

personal. Characteristics influence his or her buying decisions. Consumer

life-Performences the pattern of acting and interacting in the world are also

an important influences on purchase decisions.

Finally, consumer-buying behavior is influenced by four major

psychological factors- motivation, perception, learning, and beliefs and

attitudes. Each of these factors provides a different perspective for

understanding the workings of the buyer’s black box.

52
Need Recognition

Cultural, Social, Information Search


Individual and
Psychological Evaluation
Factors of Alternatives
affect Purchase
all steps
Postpurchase
Behavior

CONSUMER PERCEPTION

It can be defined as the process by which an individual selects, organizes, and

interprets stimuli into a meaningful and coherent picture of the world. A stimulus is a

unit of input to any of the senses. Examples of stimulus ie, sensory input include

products, packages, brand names, advertisements, and commercials, sensory receptor.

Marketers do not want their target audience to look only at the models in their ads.

They want to communicate something about their products as well. Marketers often

use attractive models,humour, other factors to attract the target market’s interest.

Information processing is a series of activities by which stimuli are perceived,

transformed in to information, and stored. Information processing model has four

major steps or stages,

a) Exposure b) Attention
53
c) Interpretation, and

d) Memory

54
The first three constitute perception.

Exposure occurs when a stimulus such as an Advertisement hoarding comes

within the range of a person’s vision. Attention occurs when the information

from vision pass on to the brain for processing. Interpretation is the assignment

of meaning to the received sensations. Memory is the short – term use of the

meaning for immediate decision-making or the longer-term retention of the

meaning.

The basic components shown in the figure can be arranged into four groups:

1. Stimuli, which serve as the raw material to be processed.

The stages of processing activities, which are linked by arrows and mainly internal to the

customer.

Situational and consumer characteristics which can influence the nature of these

processing activities, and an executive system, which guides the process by regulating the type

and intensity of processing activities engaged in, at any time.

Consumer Buying Behavior

Possibly the most challenging concept in marketing deals with understanding why buyers do

what they do (or don’t do). But such knowledge is critical for marketers since Wanting a strong

55
understanding of buyer behavior will help shed light on what is important to the customer and

also suggest the important influences on customer decision-making. Using this information,

marketers can create marketing programs that they believe will be of interest to customers.

As you might guess, factors affecting how customers make decisions are extremely complex.

Buyer behavior is deeply rooted in psychology with dashes of sociology thrown in just to make

things more interesting. Since every person in the world is different, it is impossible to have

simple rules that explain how buying decisions are made. But those who have spent many years

analyzing customer activity have presented us with useful “guidelines” in how someone decides

whether or not to make a purchase.

In fact, pick up any textbook that examines customer behavior and each seems to approach it

from a different angle. The perspective we take is to touch on just the basic concepts that

appear to be commonly accepted as influencing customer behavior. We will devote two

sections of the Principles of Marketing Tutorials to customer behavior. In this section we will

examine the buying behavior of consumers (i.e., when people buy for personal reasons) while

in the Business Buying Behavior tutorial we will examine factors that influence buyer’s decisions

in the business market.

Why Consumers Buy

As we discussed in the What is Marketing? tutorial, customers make purchases in

order to satisfy needs. Some of these needs are basic and must be filled by

everyone on the planet (e.g., food, shelter) while others are not required for basic

56
survival and vary depending on the person. It probably makes more sense to

classify needs that are not a necessity as wants or desires. In fact, in many

countries where the standard of living is very high, a large portion of the

population’s income is spent on wants and desires rather than on basic needs.

In this tutorial when we mention the consumer we are referring to the actual buyer,

the person spending the money. But is should also be pointed out that the one who

does the buying is not necessarily the user of what is bought and that others may be

involved in the buying decision in addition to the actual buyer. While the

purchasing process in the consumer market is not as complex as the business

market, Wanting multiple people involved in a purchase decision is not unusual.

For example, in planning for a family vacation the mother may make the hotel

reservations but others in the family may have input on the hotel choice. Similarly,

a father may purchase snacks at the grocery store but his young child may be the

one who selected it from the store shelf.

So understanding consumer purchase behavior involves not only understanding

how decisions are made but also understanding the dynamics that influence

purchases.

What Influences Purchasing

57
As we discussed the decision-making process for consumers is anything but

straight forward. There are many factors that can affect this process as a person

works through the purchase decision. The number of potential influences on

consumer behavior is limitless. However, marketers are well served to understand

the KEY influences. By doing so they may be in a position to tailor their marketing

efforts to take advantage of these influences in a way that will satisfy the consumer

and the marketer (remember this is a key part of the definition of marketing).

58
For the purposes of this tutorial we will break these influences down into three

main categories: Internal, External and Marketing. However, those interested in

learning more about customer buying activity may want to consult one or more

consumer behavior books where they will find additional methods for explaining

consumer buying behavior.

For the most part the influences are not mutually exclusive. Instead, they are all

interconnected and, as we will see, work together to form who we are and how we

behave.

For each of the influences that are discussed we will provide a basic description

and also suggest its implication to marketers. Bear in mind we only provide a few

marketing implications for each influence; clearly there are many more.

Internal Influences: Perceptual Filter

We start our examination of the influences on consumer purchase decisions by first

looking inside ourselves to see which are the most important internal factors that

affect how we make choices.

59
Perceptual Filter

Perception is how we see ourselves and the world we live in. However, what ends

up being stored inside us doesn’t always get there in a direct manner. Often our

mental makeup results from information that has been consciously or

subconsciously filtered as we experience it, a process we refer to as a perceptual

filter. To us this is our reality, though it does not mean it is an accurate reflection

on what is real. Thus, perception is the way we filter stimuli (e.g., someone talking

to us, reading a newspaper story) and then make sense out of it.

Perception has several steps.

 Exposure – sensing a stimuli (e.g. seeing an ad)

 Attention – an effort to recognize the nature of a stimuli (e.g. recognizing it is an ad)

 Awareness – assigning meaning to a stimuli (e.g., humorous ad for particular product)

 Retention – adding the meaning to one’s internal makeup (i.e., product has fun ads)

How these steps are eventually carried out depends on a person’s approach to
learning. By learning we mean how someone changes what they know, which in
turn may affect how they act. There are many theories of learning, a discussion of
which is beyond the scope of this tutorial, however, suffice to say that people are
likely to learn in different ways. For instance, one person may be able to focus very
strongly on a certain advertisement and be able to retain the information after being
exposed only one time while another person may need to be exposed to the same advertisement
many times before he/she even recognizes what it is. Consumers are also more likely to retain

60
information if a person has a strong interest in the stimuli. If a person is in need of new car they
are more likely to pay attention to a new advertisement for a car while someone who does not
need a car may need to see the advertisement many times before they recognize the brand of
automobile.

Marketing Implications:
Marketers spend large sums of money in an attempt to get customers to have a positive
impression of their products. But clearly the existence of a perceptual filter suggests that getting
to this stage is not easy. Exposing consumers to a product can be very challenging considering
the amount of competing product messages (ads) that are also trying to accomplish the same
objective (i.e., advertising clutter). So marketers must be creative and use various means to
deliver their message. Once the message reaches consumer it must be interesting enough to
capture their attention (e.g., talk about the product’s benefits). But attending to the message is
not enough. For marketers the most critical step is the one that occurs with awareness. Here
marketers must continually monitor and respond if their message becomes distorted in ways that
will negatively shape its meaning. This can often happen due in part to competitive activity (e.g.,
comparison advertisements). Finally, getting the consumer to give positive meaning to the
message they have retained requires the marketer make sure that consumers accurately interpret
the facts about the product.

Internal Influences: Knowledge

Knowledge is the sum of all information known by a person. It is the facts of the world as he/she
knows it and the depth of knowledge is a function of the breadth of worldly experiences and the
strength of an individual’s long-term memory. Obviously what exists as knowledge to an
individual depends on how an individual’s perceptual filter makes sense of the information it is
exposed to.

Marketing Implications:
Marketers may conduct research that will gauge consumers’ level of knowledge regarding their
product. As we will see below, it is likely that other factors influencing consumer behavior are in
large part shaped by what is known about a product. Thus, developing methods (e.g., incentives)

61
to encourage consumers to accept more information (or correct information) may affect other
influencing factors.

Internal Influences: Attitude

In simple terms attitude refers to what a person feels or believes about something. Additionally,
attitude may be reflected in how an individual acts based on his or her beliefs. Once formed,
attitudes can be very difficult to change. Thus, if a consumer has a negative attitude toward a
particular issue it will take considerable effort to change what they believe to be true.

Marketing Implications:
Marketers facing consumers who have a negative attitude toward their product must work to
identify the key issues shaping a consumer’s attitude then adjust marketing decisions (e.g.,
advertising) in an effort to change the attitude. For companies competing against strong rivals to
whom loyal consumers exhibit a positive attitude, an important strategy is to work to see why
consumers feel positive toward the competitor and then try to meet or beat the competitor on
these issues. Alternatively, a company can try to locate customers who feel negatively toward the
competitor and then increase awareness among this group.

Internal Influences: Personality

An individual’s personality relates to perceived personal characteristics that are consistently


exhibited, especially when one acts in the presence of others. In most, but not all, cases the
behaviors one projects in a situation is similar to the behaviors a person exhibits in another
situation. In this way personality is the sum of sensory experiences others get from experiencing
a person (i.e., how one talks, reacts). While one’s personality is often interpreted by those we
interact with, the person has their own vision of their personality, called Self Concept, which
may or may not be the same has how others view us.

Marketing Implications:
For marketers it is important to know that consumers make purchase decisions to support their
self concept. Using research techniques to identify how customers view themselves may give
marketers insight into products and promotion options that are not readily apparent. For example,

62
when examining consumers a marketer may initially build marketing strategy around more
obvious clues to consumption behavior, such as consumer’s demographic indicators (e.g., age,
occupation, income). However, in-depth research may yield information that shows consumers
are purchasing products to fulfill self-concept objectives that have little to do with the
demographic category they fall into (e.g., senior citizen may be making purchases that make
them feel younger). Appealing to the consumer’s self concept needs could expand the market to
which the product is targeted.

Internal Influences: LifePerformence

This influencing factor relates to the way we live through the activities we engage in and
interests we express. In simple terms it is what we value out of life. LifePerformence is often
determined by how we spend our time and money.

Marketing Implications:
Products and services are purchased to support consumers’ lifePerformences. Marketers have
worked hard researching how consumers in their target markets live their lives since this
information is key to developing products, suggesting promotional strategies and even
determining how best to distribute products. The fact that lifePerformence is so directly tied to
marketing activity will be further examined as we discuss developing target market strategies
(See Targeting Markets) tutoria

Internal Influences: Motivation

Motivation relates to our desire to achieve a certain outcome. Many internal factors we have
already discussed can affect a customer’s desire to achieve a certain outcome but there are
others. For instance, when it comes to making purchase decisions customers’ motivation could
be affected by such issues as financial position (e.g., Can I afford the purchase?), time
constraints (e.g., Do I need to make the purchase quickly?), overall value (e.g., Am I getting my
money’s worth?), and perceived risk (e.g., What happens if I make a bad decision?).

Marketing Implications:
Motivation is also closely tied to the concept of Involvement, which relates to how
63
much effort the consumer will exert in making a decision. Highly motivated
consumers will want to get mentally and physically involved in the purchase process. Not all
products have a high percentage of highly involved customers (e.g., milk) but marketers who
market products and services that may lead to high level of consumer involvement should
prepare options that will be attractive to this group. For instance, marketers should make it easy
for consumers to learn about their product (e.g., information on website, free video preview) and,
for some products, allow customers to experience the product (e.g., free trial) before committing
to the purchase

Internal Influences: Roles

Roles represent the position we feel we hold or others feel we should hold when dealing in a
group environment. These positions carry certain responsibilities yet it is important to understand
that some of these responsibilities may, in fact, be perceived and not spelled out or even accepted
by others. In support of their roles, consumers will make product choices that may vary
depending on which role they are assuming. As illustration, a person who is responsible for
selecting snack food for an office party his boss will attend may choose higher quality products
than he would choose when selecting snacks for his family.

Marketing Implications:
Advertisers often show how the benefits of their products aid consumers as they perform certain
roles. Typically the underlying message of this promotional approach is to suggest that using the
advertiser’s product will help raise one’s status in the eyes of others while using a competitor’s
product may have a negative effect on status.

External Influences: Culture

Consumer purchasing decisions are often affected by factors that are outside of their control but
have direct or indirect impact on how we live and what we consume. One example of this are
cultural factors

Culture represents the behavior, beliefs and, in many cases, the way we act learned by interacting
or observing other members of society. In this way much of what we do is shared behavior,

64
passed along from one member of society to another. Yet culture is a broad concept that, while
of interest to marketers, is not nearly as important as understanding what occurs within smaller
groups or Sub-Cultures to which we may also belong. Sub-cultures also have shared values but
this occurs within smaller groups. For instance, sub-cultures exist where groups share similar
values in terms of ethnicity, religious beliefs, geographic location, special interests and many
others.

Marketing Implications:
As part of their efforts to convince customers to purchase their products, marketers often use
cultural representations, especially in promotional appeals. The objective is to connect to
consumers using cultural references that are easily understood and often embraced by the
consumer. By doing so the marketer hopes the consumer feels more comfortable with or can
relate better to the product since it corresponds with their cultural values. Additionally, smart
marketers use strong research efforts in an attempt to identify differences in how sub-culture
behaves. These efforts help pave the way for spotting trends within a sub-culture, which the
marketer can capitalize on through new marketing tactics (e.g., new products, new sales
channels, added value, etc.).

External Influences: Group Membership

In addition to cultural influences, consumers belong to many other groups with which they

share certain characteristics and which may influence purchase decisions. Often these groups

contain Opinion Leaders or others who have major influence on what the customer purchases.

Some of the basic groups we may belong to include:

 Social Class – represents the social standing one has within a society based on such

factors as income level, education, occupation

65
 Family – one’s family situation can have a strong effect on how purchase decisions are

made

 Reference groups – most consumers simultaneously belong to many other groups with

which they associate or, in some cases, feel the need to disassociate

Marketing Implications:

Identifying and understanding the groups consumers belong to is a key strategy for marketers.

Doing so helps identify target markets, develop new products, and create appealing marketing

promotions to which consumers can relate. In particular, marketers seek to locate group

leaders and others to whom members of the group look for advice or direction. These opinion

leaders, if well respected by the group, can be used to gain insight into group behavior and if

these opinion leaders accept promotional opportunities could act as effective spokespeople for

the marketer’s products.

External Influences: Purchase Situation

Purchase Situation

A purchase decision can be strongly affected by the situation in which people find

themselves. In general, a situation is the circumstances a person faces when

making a purchase decision, such as the nature of their physical environment, their

emotional state, or time constraints. Not all situations are controllable, in which

case a consumer may not follow their normal process for making a purchase

66
decision. For instance, if a person needs a product quickly and a store does not

carry the brand they normally purchase, the customer may choose a competitor’s

product.

Marketing Implications:

Marketers can take advantage of decisions made in uncontrollable situations in at

least two ways. First, marketers can use promotional methods to reinforce a

specific selection of products when the consumer is confronted with a particular

situation. For example, automotive services can be purchased that promise to

service vehicles if the user runs into problems anywhere and at anytime. Second,

marketers can use marketing methods that attempt to convince consumers that a

situation is less likely to occur if the marketer’s product is used. This can also be

seen with auto products, where marketers explain that using their product will

prevent unexpected damage to their vehicles.

Types of Consumer Purchase Decisions

Consumers are faced with purchase decisions nearly every day. But not all decisions are treated

the same. Some decisions are more complex than others and thus require more effort by the

consumer. Other decisions are fairly routine and require little effort. In general, consumers face

four types of purchase decisions:

67
Minor New Purchase – these purchases represent something new to a consumer but in the

customer’s mind is not a very important purchase in terms of need, money or other reason

(e.g., status within a group).

 Minor Re-Purchase – these are the most routine of all purchases and often the

consumer returns to purchase the same product without giving much thought to other

product options (i.e., consumer is brand loyalty).

 Major New Purchase – these purchases are the most difficult of all purchases because

the product being purchased is important to the consumer but the consumer has little

or no previous experience making these decisions. The consumer’s lack of confidence in

making this type of decision often (but not always) requires the consumer to engage in

an extensive decision-making process..

 Major Re-Purchase - these purchase decisions are also important to the consumer but

the consumer feels confident in making these decisions since they have previous

experience purchasing the product.

For marketers it is important to understand how consumers treat the purchase decisions they

face. If a company is targeting customers who feel a purchase decision is difficult (i.e., Major

New Purchase), their marketing strategy may vary greatly from a company targeting customers

who view the purchase decision as routine. In fact, the same company may face both situations

at the same time; for some the product is new, while other customers see the purchase as

routine. The implication of buying behavior for marketers is that different buying situations

require different marketing efforts.

68
How Consumers Buy

So now that we have discussed the factors influencing a consumer’s decision to

purchase, let’s examine the process itself. This process is presented in a sequence

of 5 steps as shown below.

However, whether a consumer will actually carryout each step depends on the type of purchase
decision that is faced. For instance, for minor re-purchases the consumer may be quite loyal to
the same brand, thus the decision is a routine one (i.e., buy the same product) and little effort is
involved in making a purchase decision. In cases of routine, brand loyal purchases consumers
may skip several steps in the purchasing process since they know exactly what they want
allowing the consumer to move quickly through the steps. But for more complex decisions, such
as Major New Purchases, the purchasing process can extend for days, weeks, months or longer.
So in presenting these steps marketers should realize that, depending on the circumstances
surrounding the purchase, the importance of each step may vary.

Purchase Decision Steps 1 and 2

69
1. Need/Want/Desire is recognized

In the first step the consumer has determined that for some reason he/she is not satisfied (i.e.,
consumer’s perceived actual condition) and wants to improve his/her situation (i.e., consumer’s
perceived desired condition). For instance, internal triggers, such as hunger or thirst, may tell the
consumer that food or drink is needed. External factors can also trigger consumer’s needs.
Marketers are particularly good at this through advertising, in-store displays and even the
intentional use of scent (e.g., perfume counters). At this stage the decision-making process may
stall if the consumer is not motivated to continue (see Motivation above). However, if the
consumer does have the internal drive to satisfy the need they will continue to the next step.

2. Search for Information

Assuming consumers are motivated to satisfy his or her need, they will next undertake a search
for information on possible solutions. The sources used to acquire this information may be as
simple as remembering information from past experience (i.e., memory) or the consumer may
expend considerable effort to locate information from outside sources (e.g., Internet search, talk
with others, etc.). How much effort the consumer directs toward searching depends on such
factors as: the importance of satisfying the need, familiarity with available solutions, and the
amount of time available to search. To appeal to consumers who are at the search stage,
marketers should make efforts to ensure consumers can locate information related to their
product. For example, for marketers whose customers rely on the Internet for information
gathering, attaining high rankings in search engines has become a critical marketing objective.

Purchase Decision Steps 3, 4 and 5

3. Evaluate Options

Consumers’ search efforts may result in a set of options from which a choice can be made. It should be
noted that there may be two levels to this stage. At level one the consumer may create a set of possible
solutions to their needs (i.e., product types) while at level two the consumer may be evaluating
particular products (i.e., brands) within each solution. For example, a consumer who needs to replace a
television has multiple solutions to choose from such as plasma, LCD and CRT televisions. Within each

70
solution type will be multiple brands from which to choose. Marketers need to understand how
consumers evaluate product options and why some products are included while others are not. Most
importantly, marketers must determine which criteria consumers are using in their selection of possible
options and how each criterion is evaluated. Returning to the television example, marketing tactics will
be most effective when the marketer can tailor their efforts by knowing what benefits are most
important to consumers when selecting options (e.g., picture quality, brand name, screen size, etc.) and
then determine the order of importance of each benefit.

4. Purchase

In many cases the solution chosen by the consumer is the same as the product whose evaluation
is the highest. However, this may change when it is actually time to make the purchase. The
"intended" purchase may be altered at the time of purchase for many reasons such as: the product
is out-of-stock, a competitor offers an incentive at the point-of-purchase (e.g., store salesperson
mentions a competitor’s offer), the customer lacks the necessary funds (e.g., credit card not
working), or members of the consumer’s reference group take a negative view of the purchase
(e.g., friend is critical of purchase). Marketers whose product is most desirable to the consumer
must make sure that the transaction goes smoothly. For example, Internet retailers have worked
hard to prevent consumers from abandoning online purchase (i.e., online shopping carts) by
streamlining the checkout process. For marketers whose product is not the consumer’s selected
product, last chance marketing efforts may be worth exploring, such as offering incentives to
store personnel to "talk up" their product at the checkout line.

5. After-Purchase Evaluation

Once the consumer has made the purchase they are faced with an evaluation of the decision. If
the product performs below the consumer’s expectation then he/she will re-evaluate satisfaction
with the decision, which at its extreme may result in the consumer returning the product while in
less extreme situations the consumer will retain the purchased item but may take a negative view
of the product. Such evaluations are more likely to occur in cases of expensive or highly
important purchases. To help ease the concerns consumers have with their purchase evaluation,

71
marketers need to be receptive and even encourage consumer contact. Customer service centers
and follow-up market research are useful tools in helping to address purchasers’ concerns.

CHAPTER : 3
OBJECTIVE OF THE STUDY:

Main objective: The main objective of the study is to study the buying motives of the customers
regarding purchasing tata carss in Tata MotorsLtd. (Formerly Tata cars MAHINDRA Motors Ltd.).

SPECIFIC OBJECTIVES:

1. To gain an understanding of the theories and concepts of Buyer Behavior, to find the age group,
educational back ground, occupation / profession and income and income level of the respondents.

2. To know whether the customer is interested to purchase tata carss in Tata MotorsLtd. (Formerly Tata
cars MAHINDRA Motors Ltd.) or not.

3. To find respondents reason for purchasing the tata carss in Tata MotorsLtd.

4. To know the important reason the respondents give to each factor for purchasing tata carss in Tata
MotorsLtd. (Formerly Tata cars MAHINDRA Motors Ltd.).

5. To know the customer service satisfaction from the respondents.


6. To know the awareness of the brand Tata MotorsLtd.

NEED FOR THE STUDY:

72
Customers consider various factors for purchasing of tata carss in Tata MotorsLtd. (Formerly Tata
cars MAHINDRA Motors Ltd.). The factors they consider are based on certain demographic variables
such as income, age, occupation etc. It also depends on attributes and life Performance of the customer
buying behavior becomes essential to get a competitive edge.

SCOPE OF THE PROJECT

The study aims to measure buying behavior level of the customers regarding Tata MotorsLtd. industries.
The area within which the study was conducted regarding the information the primary data is collected
in the form of questionnaire collected from the dealers in Rangareddy district. To sum up the project
had within the scope of the study in the area of “Customer Buying Behavior” of Tata MotorsLtd. in
Rangareddy district for a particular time (2012).

The research measures the experiences of customers. Defines and analyses the experiences based on
key deliverables. Gains insights into Customer expectations.

Research Methodology
SOURCES OF DATA:

DATA COLLECTION INSTRUMENTS:

PRIMARRY METHOD:

Primary data are those, which are collected fresh and for the first time and this happen to
be original in character. In this study primary data was collected by interview schedule method.

SECONDARY METHOD:

73
Secondary data are those, which are collected from existing data. Secondary data for this study
include appropriate material from newspaper, Magazines, Broachers, Company Reports, Standard Text
Books, and information from Internet has also been acquired wherever necessary.

FIELD WORK:

The project involved a fieldwork of around 1 month 15 days where in the survey was
carried out.
The survey was conducted in different areas of Hyderabad such as Koti, bowenpally, Ameerpet, L.B
Nagar, Hayath nagar.

METHODOLOGICAL ASSUMPTIONS:

a) The primary data has been collected by an interview schedule.

b) The sample for the study was selected on a convenience basis

c) All primary data collected is true and reflects the actual actions of the
Respondents.

d) The data collected has been coded, tabulated and analyzed into logical
Statement using simple statistical methods, pie charts, etc.

74
DESCRIPTION OF THE RESEARCH DESIGN:

A research design is a logical and systematic plan prepared for directing a research study it
specifies the methodology and technique to be adopted for achieving the objectives. It constitutes the
blueprint for the collection, measurement and analysis of data.

The main aim of the study is to evaluate the brand image of Tata cars MAHINDRA. The study is
descriptive in nature. Surveys are best-suited method for descriptive research. So survey method is
used for the study.

The preparation of a research plan for a study aids in establishing direction to the study and knowing
exactly what has to be done and how and when it has to be done at every stage.

A research plan describes the boundaries of research activities and enables the research to channel
his energies in the right work. With clear research objectives, in view the research can proceed
systematically towards his achievements.

SAMPLING PROCEDURES:

Sampling is a systematic approach for selecting a few elements from an entire collection
of units (population) in order to make some inference about the total population it is a small
specimen or a segment of the whole population representing its general qualities as for as
possible. The study was undertaken by convenience sampling.

SAMPLE SIZE:

The study is conducted on a sample of 100 respondents.

75
SAMPLING FRAME:

The population for the study consists of Big bazaar owners in the cities of Hyderabad and Secunderabad.

RESEARCH INSTRUMENTS:

An interview schedule was used to conduct the study.

LIMITATIONS:

I. The Time Period Of Project Is 45 Days.


II. Though The Customers Wanted To Give Information They could not Give As It Wastes Their
Business Time.
III. The Accuracy Of The Answers Depends Upon The Mode Of Interest Of Respondents.
IV. The opinions of the sample may or may not depict the exact opinions of the total population.

76
CHAPTER: 4

DATA ANALYSIS

&

INTERPRETATION

77
AGE GROUP OF THE RESPONDENTS:

The below table shows the age group of the respondents surveyed:

AGE No Of Respondents

18-28 8

28-38 28

38-48 10

Above 48 54

Total 100

No Of Respondents
120

100

80
No Of Respondents
60

40

20

0
18-28 28-38 38-48 Above 48 Total

78
INFERENCE: From the above table, 8% of the respondents belong to the age group of 18-28
years, 28% of the respondents belong to the age group of 28-38 years, 10% of the respondents
belong to the age group of 38-48 years, 54% of the respondents belong to the age group of above
48 years.

OCCUPATION OF THE RESPONDENTS:

The below table shows the type of respondents of the respondents surveyed.

Occupation No Of Respondents

Student 0

Business 50

Private Employee 32

Govt Employee 18

Total 100

No Of Respondents
100
80
60
40 No Of Respondents

20
0
t s ee ee l
en es ta
ud is n loy loy To
St p p
Bu Em Em
te vt
r iva Go
P

79
INFERENCE: From the above table 0% of the respondents are students, 50% of the respondents
are businessmen, 32% of the respondents are private employee, 18% of the respondents are Govt
employee.

WANTING A CAR OR NOT:

The below table shows that whether the respondents is wanting a tata cars or not

Wanting a CAR or not No of respondents

Yes 80

No 20

Total 100

Having a Four wheeler

20%
Yes
No
80%

INFERENCE:

80
From the above table 80%of people wanting Tata cars and 20% do not want Tata cars.

TYPE OF TATA CARS THAT THE RESPONDENT IS WANTING:

The below table shows the type of TATA CARS that the respondent is wanting.

Type of TATA CARS No of respondents % of respondents

780CC 51 51

796CC 14 14

900CC 26 26

1456CC 09 9

120

100

80

60 % of respondents
No of respondents

40

20

0
100CC 180CC 150CC 200CC

81
INFERENCE:

From the above table 51%of the respondents are Wanting Tata MotorsLtd 780CC TATA CARS.
14%of the respondents want 796CC. 26%of the respondents are wanting 900CC.9% of the
respondents want 1456CC.

SOURCES OF INFORMATION

The below table shows, from where did the respondent get the information about the
TATA CARS.
Sources of information No of respondents

Offers 15

Advertisements 27

Referred from friends & relatives 33

Technology 10

Finance Schemes 15

Total 100

15% 15.00% Offers

Advertisements
10%
Referred from friends &
relatives
27.00%
Technology

Finance Schemes 82
33%
INFERENCE:

From the above table 15%of people known from offers, 27% of people known from
advertisements, and 33% of people known from their friends and relatives, 10% of people known
from technology, 15% of people known from finance schemes.

SATISFACTION WITH TATA MOTORSLTD TATA CARS:

TATA CARS Performance Mileage Features Price pickup Reliability Brand Image

Excellent 10 25 24 02 05 08 20

Very good 25 24 15 18 06 02 20

Good 10 21 25 12 15 35 25

Average 21 10 10 14 5 6 8

Poor 0 2 1 8 2 3 1

83
100%
90%
80%
70%
60%
50% Poor
Average
40%
Good
30% Very good
20% Excellent
10%
0%
ce e s ice up y e
an ag tu
re
Pr ck b ilit ag
r m ile a pi
lia Im
M Fe Re
d
er fo r an
P B

INFERENCE:

From the above table 17% of the respondents preferred PERFORMENCE as their main motive,
22% of the respondents preferred PRICE as their main motive, 4%of the respondents preferred
FEATURES as their main motive, 22% of the respondents preferred TRANSPORT as their
main motive, 2% of the respondents preferred RELIABILITY as their main motive, 21% of the
respondents preferred BRAND IMAGE as their main motive.

PERFORMENCE:

The following table shows that, some of the brands of tata carss respondents selected performance as

their main motive.

Brand No of respondents

TATA CARS 32

MAHINDRA CARS 35

MAHINDRA 30

HYNDUI 03 84

Total 100
No of respondents

HERO
BAJAJ
HONDA
SUZIKI
Total

INFERENCE:

The above table shows that MAHINDRA CARS and MAHINDRA companies are the
competitors with TATA CARS Tata carss.

PRICE:

The following table shows that, some of the brands of respondents selected PRICE as their main
motive.

Brand
No of respondents

85
TATA CARS 31

MAHINDRA CARS 18

MAHINDRA 42

HYNDUI 9

Total 100

No of respondents
120

100

80
No of respondents
60

40

20

0
HERO BAJAJ HONDA SUZIKI Total

INFERENCE:

The above table shows that MAHINDRA is the competitor with TATA CARS MOTO
CORP LTD.
PICK UP:

The following table shows that, some of the brands of respondents selected PICK UP as
their main motive.

Brand No of respondents

86
TATA CARS 50

MAHINDRA CARS 10

MAHINDRA 30

HYNDUI 10

Total 100

No of respondents
100
90
80
70
60
50
Axis Title 40
30
20
10
0
HERO
BAJAJ
HONDA
SUZIKI
Total

INFERENCE:

The above table shows that TATA CARS is the best.

MILEAGE:

The following table shows that, some of the brands of respondents selected MILEAGE as their
main motive.

87
MILEAGE No of respondents

TATA CARS 50

MAHINDRA CARS 10

MAHINDRA 30

HYNDUI 10

Total 100

No of respondents
120

100

80
No of respondents
60

40

20

0
HERO BAJAJ HONDA SUZIKI Total

INFERENCE:

The above table shows that TATA CARS is the best.

RELIABILITY:

The following table shows that, some of the brands of respondents selected RELIABILITY as
their main motive.

88
Reliability No of respondents

TATA CARS 35

MAHINDRA CARS 15

MAHINDRA 30

HYNDUI 20

Total 100

No of respondents
120

100

80
No of respondents
60

40

20

0
HERO BAJAJ HONDA SUZIKI Total

INFERENCE:

The above table shows that MAHINDRA is the competitor with TATA CARS .

FEATURES:

89
The following table shows that, some of the brands of respondents selected FEATURES as their
main motive.

FEATURES No of respondents

TATA CARS 35

MAHINDRA CARS 15

MAHINDRA 30

HYNDUI 20

Total 100

No of respondents
120

100

80
No of respondents
60

40

20

0
HERO BAJAJ HONDA SUZIKI Total

INFERENCE:

The above table shows that TATA CARS is the best.

BRAND IMAGE:

90
The following table shows that, some of the brands of respondents selected BRAND IMAGE is
their main motive

Brand Image No of respondents

TATA CARS 40

MAHINDRA CARS 20

MAHINDRA 30

HYNDUI 10

Total 100

No of respondents
120

100

80
No of respondents
60

40

20

0
HERO BAJAJ HONDA SUZIKI Total

INFERENCE:

The above table shows that TATA CARS is the best.

Respondents:
91
Respondents who want to buy the TATA CARS of a particular brand:

Brand No of respondents

TATA CARS 40

MAHINDRA CARS 15

MAHINDRA 30

HYNDUI 15

Total 100

No of respondents
120

100

80
No of respondents
60

40

20

0
HERO BAJAJ HONDA SUZIKI Total

INFERENCE:

The above table shows 40% of the respondents want to buy TATA CARS TATA CARSS.

92
CHAPTER-IV

93
CONCLUSION

 45% of the respondents are Tata MotorsLtd customers and hence it is most
Preferred TATA CARS brand out of various brands.

 Tata MotorsLtd 900CC is the most preferred model out of all products

 60% of the respondents are considering Tata MotorsLtd brand before


Purchasing there for use.

 Most of the respondents are getting information through friends


Before purchasing the TATA CARS.

 Most of the respondents are Wanting good satisfaction with dealer


Service comparing to other brands.
 Most of the respondents are giving more preference to mileage.
 60% of the respondents are affecting by their friends and relatives.

94
FINDINGS

 50% of the Tata MotorsLtd customers are business people and 32% of the customers are
private employees.
 Most of the respondents belong to the age group of 18-50 years.
 Tata MotorsLtd 900CC is the most preferred model in the Tata MotorsLtd products.
 Most of the respondents getting information through the Media and friends before
purchasing the vehicle.
 Most of the respondents are motivated by their friends and family members.
 Most of the respondents have good satisfaction with the performance of their TATA
CARS strength.
 64% of the respondents are satisfied with the mileage of their TATA CARS.
 Most of the respondents felt that the price is reasonable.
 Cent percent of the respondents satisfied with the response of the sales executive at first
visit.
 60% of the Tata MotorsLtd users have good satisfaction with the performance given b the
company.
 Most of the respondents are satisfied with the response of the company to the complaints
given by the customers.
 Most of the respondents are satisfied with the fulfillment of promises by the company.

95
SUGGESTIONS

 The TATA CARSs recently introduced by Tata MotorsLtd are mostly concerned about
home base. So, they should also consider commercial people while manufacturing.

 Indian market is a price sensitive market’s the TATA CARSs should be at Minimum
price with maximum quality.

 The standard of pricing should be improved.


 Advertisements in Televisions, offers should be increased to attract the People.

 If Tata MotorsLtd can improve in Performance and brand image it will be the best in all
the other competition brands.

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QUESTIONNAIRE

BUYING MOTIVES FOR TWO WHEELERS

1. NAME :

2. AGE :

18-25 25-35 35-45 Above-45

3. GENDER

Male Female

4. EDUCATION

Under Graduate Graduate Post Graduate Professional

5. OCCUPATION

Student Business Govt. Employee Private Employee

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6. INCOME PER MONTH

5000-10000 10000-20000 20000-30000

7. DO YOU HAVE OWN TATA CARS

Yes No

8. IF YES, WHICH BRAND YOU HAVE

TATA CARS MAHINDRA CARS MAHINDRA SUZUKI

9. WHAT IS THE MAIN MOTIVE BEHIND PURCHASING THAT BRAND?

Performance FEATURES Price

TRANSPORT Reliability Brand Image

10 IN WHICH WAY YOU PREFERED IN BUYING THAT PERTICULAR BRAND TATA CARS ?

Advertisement Referred from friends & Relatives

98
Technology Finance Schemes’ Offers

11. RANK THE TATA CARS YOU OWN ON THESE FACTORS

POOR AVERAGE GOOD VERY GOOD EXCELLENT

Performance

mileage

Features

Price

Pick up

Reliability

Brand Image

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12. IF YOU DON’T USE TATA CARS, THEN WHICH BRANDS YOU PREFER TO BUY?

TATA CARS MAHINDRA CARS MAHINDRA

SUZUKI

13. WHAT IS THE REASON FOR SELECTING THAT BRAND?

Performance Price Mileage

Finance Facility Brand Image Reliability

14. IN WHICH WAY YOU PREFERED IN BUYING THAT BRAND?

Offer Advertisement Referred from Friends & Relatives

Technology Finance Schemes’

100
BIBILIOGRAPHY

S.No. AUTHOR NAME REFERED BOOKS

1. PHILLIP KOTLER Principles of Marketing – 11th Edition


Prentice Hall India.

2. PHILLIP KOTLAR Marketing Management – Millennium


Edition.Prentice Hall India

3. V.S.RAMASWAMY & Marketing Management -7th Edition


NAMAKUMARI Millennium India Ltd.

4. RICHARD R STILL Sales Management -5th Edition


Prentice Hall India.
5. G.C.BERI Marketing Research -6th Edition
Tata McGraw Hill Co.Ltd.
6. LUCK DAVID & Marketing Research -7th Edition
ROBIN RONALD Prentice Hall India

WEB SITES

WWW.GOOGLE.COM

WWW.TATA CARS MAHINDRA.COM

WWW.GOOGELFINANCE.COM

WWW.INDUSTRYSINDIA.COM

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