“A STUDY ON CUSTOMER SATISFACTION TOWARDS TATA

NANO”
Project Report submitted to
UNIVERSITY OF CALICUT
In partial fulfillment of the requirement for the award of the degree of
BACHELOR OF COMMERCE
Submitted by
K S KEERTHANA
(CCASBCM075)
Under the supervision of
Asst. Prof. JISHA C L

DEPARTMENT OF COMMERCE
CHRIST COLLEGE (AUTONOMOUS), IRINJALAKUDA
MARCH 2021
 CHRIST COLLEGE (AUTONOMOUS), IRINJALAKUDA

CALICUT UNIVERSITY

DEPARTMENT OF COMMERCE

CERTIFICATE

This is to certify that the project report entitled “A STUDY ON CUSTOMER

SATISFACTION TOWARDS TATA NANO” is a bonafide record of project done by
K S KEERTHANA, Reg. No. CCASBCM075, under my guidance and supervision in
partial fulfillment of the requirement for the award of the degree of BACHELOR OF
COMMERCE and it has not previously formed the basis for any Degree, Diploma and
Associateship or Fellowship.

Prof. K.J JOSEPH Asst. Prof. JISHA C L

Coordinator Project Guide

 DECLARATION

I K S KEERTHANA, hereby declare that the project work entitled “A STUDY ON

CUSTOMER SATISFACTION TOWARDS TATA NANO” is a record of independent
and bonafide project work carried out by me under the supervision and guidance of Asst.
Prof. JISHA C L, Department of Commerce, Christ College, Irinjalakuda.

The information and data given in the report is authentic to the best of my knowledge.
The report has not been previously submitted for the award of any Degree, Diploma,
Associateship or other similar title of any other university or institute.

Place: Irinjalakuda K S KEERTHANA

Date: CCASBCM075
 ACKNOWLEDGEMENT

I would like to take the opportunity to express my preferred thanks and gratitude to all
people who have helped me with sound advice and able guidance.

Above all, I express my eternal gratitude to the Lord Almighty under whose divine
guidance; I have been able to complete this work successfully.

I would like to express my sincere obligation to Rev.Dr. Jolly Andrews for providing
various facilities.

I am thankful to Prof. K. J Joseph, Co-coordinator of the Department, for providing

proper help and encouragement in the preparation of this report.

I am thankful to my class teacher, Asst. Prof. Prassy Viswambharan, for providing proper
help and encouragement in the preparation of this report.

I express my sincere gratitude to Asst. Prof. Jisha C L, whose guidance and support
throughout the training period helped me to complete this work successfully.

I would like to express my preferred gratitude to all the faculties of the department for
their interest and cooperation in this regard.

I extend my hearty gratitude to the librarian and other library staffs of my college for
their wholehearted cooperation.

I express my sincere thanks to my friends and family for their support in completing this
report successfully.

Place: Irinjalakuda K S KEERTHANA

Date:
 TABLE O F CONTENTS

PAGE NO:
SL.NO CONTENTS

LIST OF TABLES

LIST OF FIGURES

CHAPTER 1 INTRODUCTION 1-4

REVIEW OF
CHAPTER 2 5-9
LITERATURE

THEORETICAL
CHAPTER 3 10-13
FRAMEWORK

DATA ANALYSIS AND

CHAPTER 4 14-34
INTERPRETATION

FINDINGS,SUGGESTION
CHAPTER 5 35-38
& CONCLUSION

BIBLIOGRAPHY

ANNEXURE
 LIST OF TABLES

TABLE NO TITLE PAGE NO:

Classification of
4.1 respondents on the basis 15
of age
Classification of
4.2 respondents on the basis 16
on gender
Classification of
4.3 respondents on the basis 17
occupation
Classification of
4.4 respondents on the basis 18
of colour
Classification of
4.5 respondents on the basis 19
of safety of the car
Classification of
4.6 respondents on the basis 20
of features
Classification of
4.7 respondents on the basis 21
of price hike
Classification of
4.8 respondents on the basis 22
of fuel consumption
Classification of
4.9 respondents on the basis 23
preference towards bike
Classification of
4.10 respondents on the basis 24
of recommendation
 Classification of
4.11 respondents on the basis 25
of service
Classification of
4.12 respondents on the basis 26
of reasons to buy Nano
Classification of
4.13 respondents on the basis 27
of comfort
Classification showing is
4.14 Nano built according to 28
local weather and road

Classification of
4.15 respondents on the basis 29
of opinion to improve sale
Classification on the basis
4.16 of problems faced while 30
driving Nano
Classification of
respondents on the basis
4.17 31
of actual marketing
source
Classification of
4.18 respondents on the basis 32
of current price
Classification of
4.19 respondents on the basis 33
of affordability
Classification of
4.20 respondents on the basis 34
of overall opinion
 LIST OF FIGURES

TITLE PAGE NO:

FIGURE NO

Figure showing
classification of
4.1 15
respondents on the basis
of age
Figure showing
classification of
4.2 16
respondents on the basis
on gender
Figure showing
classification of
4.3 17
respondents on the basis
occupation
Figure showing
classification of
4.4 18
respondents on the basis
of colour
Figure showing
classification of
4.5 19
respondents on the basis
of safety of the car
Figure showing
classification of
4.6 20
respondents on the basis
of features
Figure showing
classification of
4.7 21
respondents on the basis
of price hike
Figure showing
classification of
4.8 22
respondents on the basis
of fuel consumptionss
 Figure showing
classification of
4.9 23
respondents on the basis
preference towards bike
Figure showing
classification of
4.10 24
respondents on the basis
of recommendation
Figure showing
Classification of
4.11 25
respondents on the basis
of service
Figure showing
Classification of
4.12 26
respondents on the basis
of reasons to buy Nano
Figure showing
Classification of
4.13 27
respondents on the basis
of comfort
Figure showing
Classification showing is
4.14 28
Nano built according to
local weather and road
Figure showing
Classification of
4.15 respondents on the basis 29
of opinion to improve
sale
Figure showing
Classification on the
4.16 basis 30
of problems faced while
driving Nano
Figure showing
Classification of
4.17 respondents on the basis 31
of actual marketing
source
Figure showing
Classification of
4.18 32
respondents on the basis
of current price
 Figure showing
Classification of
4.19 33
respondents on the basis
of affordability
Figure showing
Classification of
4.20 34
respondents on the basis
of overall opinion
1.1 Introduction

Tata Nano, pet project of the Chairman of the Tata Group Mr. Ratan Tata was a car
manufacturer, which was expected to change the face of automobile sector in India. In the
highly competitive small car market of India, Tata Nano promised to set the bar so high
that it would become extremely difficult for the competitors to match. The dream of
owning a car for as title as Rupees 1 lakh was too tempting for millions of Indians who
cannot afford even a small car. The kind of extensive media coverage Tata Nano received
right from the day it was announced through the entire period until the first were handed
over to the owners was something that its competitors dreamed of. However, after 2 years
of launch, the Tata Nano manufacturing plant at Gujarat, India is running at around 20%
utilization.

Tata Nano, one of the India’s biggest car company recently their long awaited 1 lakh
rupee in India with the name of “Tata Nano” with the launch of Tata Nano it became the
world’s cheapest car. The critics initially derided the, concept mainly on the basis of the
price target, more so as oil and steel rocketed. But Ratan Tata kept his promise and
delivered the Nano almost his target price, forcing global car makers to make note. In fact
many top automobile giant are now scarring for the own version to meet growing
environment and cost concern. The People’s Car, designed with a family in mind has a
roomy passenger compartment with generous leg space and head room. It can
comfortably sit four persons. Four doors with high seating position make ingress and
egress easy. Design unlike other low cost Indian cars, this one is going to have a
variomatic gear system. Instead of manual gear transmission. This helps to improve
efficiency and mileage by magnifying the torque output.

Unlike other low cost Indian cars this one is going to have a variomatic gear system.
Instead of manual gear box in conventional cars it is coming up as a gear less or rather
with an automatic gear transmission.

1
1.2 Statement of the problem

The aim of this research “Customer Satisfaction of Tata Nano” is to know satisfaction
level of Tata Nano users. After literature reviews and analyzing of data gathered make a
recommendation for addressing the problem faced by Tata Nano users in Thrissur area.

1.3 Scope of the study

The scope of this research is to find the customer satisfaction towards Tata Nano in
Thrissur district.

1.4 Objectives of the study

The objective of this assignment is to conduct a research on some of the problem that is
faced by Tata Nano customers. The main objective of the study is to accomplish our aim
are given below.

1. To build up theoretical and conceptual framework for analyzing the Tata Nano
user customer satisfaction level to enhancement in modification in all the area of
Nano.
2. To create a questionnaire from the framework to extract data to managers and
users of Tata Nano.

1.5 Significance of study

The study is highly significant to know customer satisfaction towards Tata Nano with the
reference to customer in Thrissur.

2
1.6 Research Design

No category of educational research is more widely used than the type of known
variously as the survey the normative surveyor descriptive research. Descriptive research
is concerned with the present and attempts to determine the status of the phenomenon
under investigation.

1.6.1 Nature of study

A descriptive study is taken under this project.

1.6.2 Nature of data

The data has been collected from Thrissur through primary sources like questionnaire and
secondary source like review of literature.

1.6.3 Source of data

1.6.3.1 Primary data

Primary data is first hand data information. It is collected through structured

questionnaire method.

1.6.3.2 Secondary data

Secondary data is collected from different published source of websites, journals etc…

1.7 Sample design

1.7.1 Nature of population

The population of the study includes customers from Thrissur corporation and population
of the study is infinite.

3
1.7.2 Sample unit

The sample unit is the people of Thrissur corporation.

1.7.3 Method of sampling

Convenient method is used for sampling here.

1.7.4 Sample size

The size of sample is limited to 50 respondents.

1.8 Tools for data analysis

Percentage analysis is used for data analysis. Tables and charts are used for the presentation
of the data.

1.9 Limitations of the study

The disadvantage of primary data is the cost and time spent while secondary data
may be outdated or irrelevant.
Since the study is limited to Thrissur corporation so it may not be applicable to
customers of other areas.

1.10 Chapterization

Chapter 1 : Introduction

Chapter 2 : Review of literature

Chapter 3 : Theoretical framework

Chapter 4 : Data analysis and interpretation

Chapter 5 : Findings, Suggestions and Conclusion

4
 CHAPTER 2

REVIEW OF LITERATURE
2.1 Introduction

A literature review discusses published information in a particular subject area, and

sometimes information in a particular subject area within a certain time period. A
literature review can be just a simple summary of the source, but is usually as an
organizational pattern and combines both summary and synthesis. It helps in clarifying
and defining the problem, stating the objectives, formulating hypothesis, selecting an
appropriate design and methodology of research as well as interpreting the result in the
light of research work already undertaken in the previous studies .In this chapter an
endeavor has been made to provide and present an overview of various aspects of this
study through the review of existing literature. The source referred includes journals,
books, working papers, report related to human resources.

Empirical research is published in books and in scholarly, peer-reviewed journals.

However, most library database does not offer straight forward ways to locate empirical
research.

2.2. Empirical Review

Fred C. Akers (1968) aims at studying the buying behavior of Afro Americans and
Whites in an urban environment. The universe of the study included Afro-Americans
and Whites living in Chicago. Stratified, two-stage probability, block-controlled quota
sampling method was used. 431Afro Americans and 215 Whites were considered for
study. Analysis revealed that Afro-Americans owned automobiles in a higher price
class, owned more expensive models regardless of make, and owned automobiles with
more cylinders than compared to Whites. As far as car price is concerned Afro
Americans owned high price cars and fewer low price cars. As far as education and
purchase of automobiles are concerned, it was observed that as education increases, the
number of cylinders in automobiles owned decreases; this applies to both Afro-
Americans and Whites. The race variable is related to income, education, sex, age,
family size or mileage driven per week. No differences between the two races were
found in the age of car owned, length of time owned or new or used purchase. If
frequency of car washes is a valid measure of personal involvement in automobile
ownership, automobiles are more important to Afro-Americans than to the Whites.

Ball, S.J, Auh, S and Smalley.K.(2004) Customer relationship dynamics: service

quality and customer localty in the context of varying levels of customer expertise and
switching cost.

James H. Myers and Mark I. Alpert (1968) in their study of attitudes and decision
making have discussed the determinant of attitudes, their meaning and its relevance to
marketing strategy and the methods by which it can be measured. Further attitudes
towards 52 features which are most closely related to preference or to actual purchase
decision are said to be important determinant. This research paper aims at answering
what are the important features or characteristics and how they combine overall
evaluation of an item and the actual purchasing decision. Determinant attitudes can be
found out by direct questioning as to what they consider important in purchase
decision. As far as eliciting answers for ideal attributes indirect questioning or
motivational research seems ideal. General Motors used covariate approach to
determine which attitude or feature should be stressed in advertisement. The authors
conclude saying that results from direct or indirect questioning must be subjected to
experimental or other validation for assurance that casual relationships do exist
between attitudes identified as determinant and the actual choice, decision or action.

Mahapatra, Kumar and Chauhan (2010) mentioned a study on “customer

satisfaction, dissatisfaction and post purchase evaluation: an empirical study on small
size passenger cars in India” with the main objective to examine the satisfaction and
impact on future purchase decision and explore the performance of different attributes
in automobile in giving satisfaction to customer with the sample size of 150 s
customers and they revealed from this study that the customers are highly satisfied with
the performance of attributes like pollution, engine, battery performance and pick up
influence the customer future purchase decision and customer give the more importance
to these factors.

Ganesh and Soundarapandiyan (2011) conducted a study on “i10 Hyundai: customer

satisfaction level” with the sample size of 150 customers. The objective of the study
was to identify the post purchase behavior and customer satisfaction level and find the
effectiveness of after sales service of customer of Hyundai i10.They revelaed from the
study that customers are satisfied with the car after purchase because it gives the feel of
luxury to customers and a convenience of smaller car in crowded area.

Rao and Kumar (2012) revealed study on “customer satisfaction towards Tata Motors”
– A Study on passengers cars with the objectives to study customer satisfaction with the
usage of vehicles, after sales service, key area of strength, pricing affects, service and
quality. They taken the sample of 100 respondents and used the percentage technique.
They concluded that majority are satisfied with safety, dealer service, customer
relationship and availability of spares.

Harry L. Davis (1976) in his research paper evaluated the involvement of family
members in economic decision, the process by which family decisions are made and
the consequences of different family structures and decision making styles. Study
reveals that consumers as a group acting collectively suggests a re-orientation of
existing theories and methodologies. Household decision making is judged on the
extent to which it influences family counseling, information dissemination and
marketing research. Studies on family decision making have in reality been studies of
husband-wife decision making and little is known about household roles in information
gathering, storage, and product use and post decision evaluation across product
domain. Third aspect is how families make decision rather than simply stating who is
involved in decision making.
John S. Greenlees (1980) attempts to measure the impact of the price of gasoline on
the mix of new automobile purchases. Conditional logit estimation is used to model the
choices of individual household between four, six and eight cylinder cars. Mix of
automobile demand affects the rate of gasoline consumption by American households.
1257 new car purchases ranging in time from January 1971 to March 1974 have been
studied. The observation spans a portion of the oil embargo period and the emphasis is
on the response of automobile purchases to gasoline price in stable non-crisis
atmosphere. Apart from gasoline price income, household automobile stock, education,
age and family composition are among the variables considered in addition to gasoline
price. Results revealed that in addition to gasoline price small cars are popular among
multi-car and multi-earner households.

Dennis W. Rook (1987) is of the opinion that impulse buying is an important aspect of
consumer Buying Behavior. This research identifies (1) the subjective experiences that
54 distinguish the onset of Buying Impulse (2) how consumers cope with their
impulsive urges to buy and (3) the type of negative consequences they incur as a result
of their impulse buying. Data were collected using questionnaire with open ended
questions on impulse buying. This was completed using both personal interview and
self-completion approach. 133 respondents were selected from college classrooms and
off campus field settings in South Western United States. Sampling method was used
to have good representation among sex, income group. Study revealed that people vary
in their impulse buying proclivities. Consumer impulsiveness is related to general
acquisitiveness and materialism to personality traits like variety seeking and sensation
seeking. It was observed that recreational shopping is co-related positively to impulse
buying frequencies.

Narasimhan Srinivasan and Brain T. Ratchford (1991) have proposed a structural

equation model of the determinants of external search for automobiles which is
developed and tested on survey data from recent automobile purchasers through this
study. The model measures endogenous constructs like Perceived risk, Size of evoked
set, Perceived benefits of search, External search and exogenous constructs like class
Knowledge, Positive experience, amount of experience, interest in cars and cost of
search. Direct evidence of linkage between perceived benefits and amount of search is
provided. New insights into the determinants of search behavior for automobiles are
derived

Kwortnik et.al (1997) pointed out through their research study that consumers will be
interested in purchasing the product if the product is of high value according to his
perceptions and his expectancy formed by them before the purchase of the product.
This is also true in case of passenger cars.

Sweeney Hauskeencht, Souta G and Sweeney J (2000) analyzed the concept of

cognitive dissonance over the entire decision making process. They concluded from
their study that conflict arises during the pre-purchase stage and “the construct labeled
apprehensions and increases over the decision process”. The cognitive conflict in the
prepurchase stage plays a vital role because of these apprehensions, which are the
source of true dissonance after the purchase of the product. The product could be of
high or low involvement depending on the number of brand alternatives and
differences among them. It was also concluded that there is a positive relationship
between expectations and performance within high involvement products.
 CHAPTER 3

CONCEPTUAL REVIEW
3.1 Introduction

Theories are formulated to explain, predict and understand phenomena and in many
cases to challenge and extend existing knowledge within the limits of critical
bounding assumption. The theoretical frame work is the structure that can hold or
support a theory of a research study. The theoretical framework introduces and
describes the theory that explains why the research problems under study exist. A
theoretical frame work consists of concepts and, together with their definitions and
reference to relevant scholarly literature, existing theory that is used for your
particular study. The theoretical framework must demonstrate an understanding of
theories and concepts that are relevant to the topic of your research paper and that
relate to the broader areas of knowledge being considered.

Who is a Customer?
A customer is an individual or business that purchases another company's goods or
services. Customers are important because they drive revenues; without them,
businesses cannot continue to exist. All businesses compete with other companies to
attract customers, either by aggressively advertising their products, by lowering prices
to expand their customer bases or developing unique products and experiences that
customers love, think Apple, Tesla, Google.

Different types of customers.

Loyal customers: Customer that make up minority of the customer base but generate a
large portion of sales.
Need based customer: Customer with intention of buying a specific product.
Wandering customer: Customers that are not sure of what they want to buy.
What is customer Satisfaction?
Customer Satisfaction is a term frequently used in marketing. It is a measure of how
products and services supplied by a company meet customer expectation. Customer
satisfaction is defined as “ the number of customers or percentage of total customers,
whose reported experience with a firm, its products, or its services exceeds specified
satisfaction goals.
Tata Motors Limited is an Indian multinational automotive manufacturing company
headquartered in Mumbai, Maharashtra, India. It is a part of Tata Group an Indian
conglomerate. Its products include passenger cars, trucks, vans, coaches, buses, sports
cars, construction equipment and military vehicles. Tata has Research and
Development centre’s in Pune, Jameshedpur,Lucknow and Dharwad, India and South
Korea, Great Britain and Spain. Founded in 1945 as a manufacturer of locomotives
the company manufactured its first commercial vehicle in 1954 in collaboration with
Daimler Benz AG which ended in 1969. In 1998, Tata launched the first indigenous
Indian passenger car the Indica and in 2008 launched the Tata Nano, the world’s
cheapest car. Tata Motors is listed on the BSE, where it is a constituent of BSE
SENSEX index, the national stock exchange of India and the New York stock
exchange.The company is ranked 265th on the Fortune Global 500 list of the world’s
biggest corporations as of 2019. On 17 January 2017, Natarajan Chandrasekaran was
appointed as chairman of the company Tata Group.

A Tata motor is one the best car manufacturing in India, customers are satisfied
because of affordable price, but the maintenance is a problem and resale value is very
low. These are the two main reasons and other reasons are customer care does not
respond to customer’s complaint, so the customers are dissatisfied. It has to improve
its customer care and decrease the price of the spare parts and make available in all
part of the country.
There are various factors effecting Tata Nano: Technical problem, Management
problem and Government problem

Cost and Quality

Nano at cheap cost Tata reduced the use of quality materials which effect the
performance of car engine side. Headlight switch was the more reported problem in
Nano cars. Another issue was with accelerator cables. It gets broke frequently. Starter
motor behaved as if there was a loose contact. Nano shows vibration before first
service and certainly all Tata cars are a vibrant product.

Technical problem

a) Catching Fire: You have heard of some Tata Nano cars got fire while driving.
What the company says about it is “It is a problem with the rear engine. The rear
engine does not have a proper cooling system as a result of which engine heats up
leading to such as incident”.
b) Problem with Electricity: The AC pre-tensioner belt need some attention. It takes
2-3 seconds before the compressor kicks in. turn indicator become malfunctioning
Nano cars after two or three services. There is a blind zone on the right side corner
glass area. When you take a right turn, you may see a car but you may miss a two
wheeler. This can cause an accident while overtaking or taking a hard left or right.
Nano gives good air conditioning for that cheap price but AC air flow will get
drastically reduced after each month causing low cooling condition.

Management problem

Service related problem: The basic problem with Indian manufactures like Tata,
Mahindra etc. is that they don’t put enough effort in pre-launch testing and research
on the proposed cars rather, they launch the cars in basic form, let the people use it
and in the due course find out the defects in the car give free service for 3-5 years and
then based on the study.
 Government problem

Road: Indian roads are different from those German roads. During rainy season Nano
losses its stability. After a good rain our roads get muddier and Nano’s tiny wheel
would sink into the mud. If Tata engineers could have developed the design for use on
poor and unpaved roads with tall wheels and lots of ground clearance, Nano could
have been a best budge vehicle. In huge gutters Nano cannot survive due to its low
displacement.

Advantages of Tata Nano

Comes with advanced features power, steering, strong AC, central locking,
Bluetooth, connectivity, power windows.
Equipped with AMT which further makes it easier to commute.
Easy service, maintenance etc.
Convenient to drive.

Disadvantages of Tata Nano

Small 624cc engine.

Small fuel tank – 15l.
Poor in terms of safety.
Not suited for highway trips.
 CHAPTER 4

DATA ANALYSIS AND INTERPRETATIONS

4.1 Introduction

Data analysis is a process used to inspect, clean, transform and remodel data with a view
to reach to a certain conclusion for a given situation. It is a process for obtaining raw data
and converting it into information useful for decision making by users. In this study, data
is analyzed with the help of both descriptive and inferential statistical tools. Here
percentage analysis is selected from descriptive statistical tool for describing the data.

4.1.1 Descriptive statistical analysis

Descriptive statistical tools are those tools in which, these are used to describe the
characteristics of a single variable like frequency, percentage etc.
 Table 4.1

Table showing age of the respondent

Age Number of response Percentage

18-20 19 38
21-29 17 34
30-39 5 10
40-49 9 18
Source: Primary data

From the table 4.1, it is clear that out of 50 respondents, 38% are between 18-20, 34% are
between 21-29, 10% between 30-39 and 18% between 40-49.

Figure 4.1

Figure showing age of the respondent

Age

18-20
21-29
30-39
40-49
 Table 4.2

Table showing gender of the respondent

Gender Number of response Percentage

Male 24 48
Female 26 52
Source: Primary data

From the table 4.2, it s clear that out of 50 respondents, 48% are male and 52% are
female. Here majority of the respondents are female.

Figure 4.2

Figure showing gender of the respondent

Gender

Male
Female
 Table 4.3

Table showing occupation of the respondent

Occupation Number of Response Percentage

Student 32 64
Professional 5 10
Other 13 26
Source: Primary data

From the table 4.3, it is clear that out of 50, 64% are students, 10% are professionals

and 26% are other.

Figure 4.3

Figure showing occupation of the respondent

Occupation

Student
Professional
Other
 Table 4.4

Table showing colour preference of the respondent

Colour Number of Response Percentage

Red 9 18
White 13 26
Blue 9 18
Other 19 38
Source: Primary data

From the table 4.4, it is clear that out of 50, 18% prefer red, 26% prefer white,18%
prefer blue and 38% prefer other colours.

Figure 4.4

Figure showing colour preferences of the respondent

Colour

Red
White
Blue
Other
 Table 4.5

Table showing safety of the car

Safety Number of Response Percentage

Yes 13 26
No 37 74
Source: Primary data

From the table 4.5, it is clear that out of 50, 26% agree that nano car is safe and 74%
don’t.

Figure 4.5

Figure showing safety of the car

Safety

Yes
No
 Table 4.6

Table showing features that attract people towards Tata Nano

Feature Number of Response Percentage

Price 39 78
Design 7 14
Mileage 3 6
Interior Space 1 2
Source: Primary data

From the table 4.6, it is clear that out of 50, price of tata nano attracted 78% of people,
14% are attracted by its design, 6% got attracted towards the mileage and only 1% of
people are pleased with its interior space.

Figure 4.6

Figure showing features that attract people towards Tata Nano

Features

Price
Design
Mileage
Interior Space
 Table 4.7

Table showing price hike and purchase mentality

Options Number of Response Percentage

Strongly agree 0 0
Agree 6 12
Neutral 20 40
Disagree 24 48
Source: Primary data

From the table 4.7, it is clear that out of 50, 48% disagree with the price hike, 40%
neither agree nor disagree, 12% agree with the price hike and 0% strongly agree.

Figure 4.7

Figure showing price hike and purchase mentality

Price hike and purchase mentality

Strongly agree
Agree
Neutral
Disagree
 Table 4.8

Table showing fuel consumption rate of Tata Nano

Options Number of responses Percentage

Low 9 18
Average 31 62
Better 10 20
Source: Primary data

From the table 4.8, it is clear that out of 50, 64% are students, 10% are professionals and
26% are other.

Figure 4.8

Figure showing fuel consumption rate of Tata Nano

Fuel consumption

Low
Average
Better
 Table 4.9

Table showing people’s preference towards Nano instead of Bike

Options Number of Response Percentage

Yes 24 48
No 26 52
Source: Primary data

From the table 4.9, it is clear that out of 50 rspondents,48% prefer Nano instead of Bike
and 52% prefer Bike.

Figure 4.9

Figure showing people’s preference towards Nano instead of Bike

Nano instead of bike

Yes
No
 Table 4.10

Table showing recommendation of Nano to friends and relatives

Options Number of response Percentage

Yes 26 52
No 24 48
Source: Primary data

From the table 4.10, it is clear that out of 50 respondents 52% recommend Nano to friends
and relatives and 48% does not recommend.

Figure 4.10

Figure showing recommendation of Nano to friends and relatives

Recommendation to Friends and Relatives

Yes
No
 Table 4.11

Table showing Nano’s service

Options Number of response Percentage

Fully Satisfied 2 4
Average 32 64
Below average 9 18
Disappointed 7 14
Source: Primary data

From the table 4.11, it is clear that out of 50 respondents, 4% people are satisfied with
Nano’s service, 64% people have average satisfaction, 18% of people have below
average satisfaction and 14% people are dissatisfied with Nano’s service.

Figure 4.11

Figure showing Nano’s service

Nano's Service
70

60

50

40

30 Nano's Service

20

10

0
Fully Satisfied Average Below average Disappointed
 Table 4.12

Table showing reasons to buy Nano

Options Number of response Percentage

Low Price 41 82
Attractive looks 2 4
After Sale Service 5 10
Comfort 2 4
Source: Primary data

From the table 4.12, it is clear that out of 50 respondents, 82% of people are attracted
towards low price of Tata Nano, 10% liked after sale service, 4% are attracted towards
its look and 4% are attracted by the comfort provided.

Figure 4.12

Figure showing reasons to buy Nano

Reason to buy Nano

90
80

70

60

50

40 Reason to buy Nano

30
20

10

0
Low price Attractive look After Sale Service Comfort
 Table 4.13

Table showing comfort and convenience

Options Number of Response Percentage

Very Comfortable 2 4

Average 22 44

Less than average 17 34

Not Comfortable 9 18
Source: Primary data

From the table 4.13, it is clear that out of 50 respondents, 4% agree that Nano is very
comfortable, 44% agree that Nano provide an average comfort, 34% has an opinion that
Nano is less than average and 18% are not comfortable with Tata Nano.

Figure 4.13

Figure showing comfort and convenience

Comfort and Convenience

50
45
40
35
30
25
Comfort and Convenience
20
15
10
5
0
Very Comfortable Average Less than Average Not Comfortable
 Table 4.14

Table showing whether Tata Nano is built in favor with India’s local weather and
road

Options Number of Response Percentage

Yes 14 28
No 14 28
Not Fully 27 44
Source: Primary data

From the table 4.14, it is clear that out of 50 respondents, 28% agree that Tata Nano is
built in favor with India’s local weather and road, 28% disagree that Tata Nano is built in
favor with India’s local weather and road and 44% have a neutral opinion.

Figure 4.14

Figure showing whether Tata Nano is built in favor with India’s local weather and
road

Built to India's Local Weather and Road

50
45
40
35
30
25 Built to India's Local Weather and
Road
20
15
10
5
0
Yes No Not Fully
 Table 4.15

Table showing opinion to improve Nano’s sales

Options Number of response Percentage

Provide new model 26 52

Improve Quality 18 36
Lower installments 4 8
Reduce car’s price 2 4
Source: Primary data

From the table 4.15, it is clear that out of 50 respondents, 52% have an opinion on
providing new model, 36% have an opinion on improving quality, 8% prefer lowering
installments and 4% prefer reducing price.

Figure 4.15

Figure showing opinion to improve Nano’s sales

Improve Nano's Sales

60

50

40

30
Improve Nano's Sales

20

10

0
New model Improve Quality Lower installments Reduce car price
 Table 4.16

Table showing problems while driving

Options Number of response Percentage

Technical 14 16

Engine 20 40
Low Seating Space 8 28

Other 8 16

Source: Primary data

From the table 4.16, it is clear that out of 50 respondents, 16% people faced technical
problem while driving, 40% people faced engine problem while driving, 28% faced
problem with low seating space and 16% people faced other problems.

Figure 4.16

Figure showing problems while driving Nano

Problems While Driving Nano

45
40
35
30
25
20 Problems While Driving Nano
15
10
5
0
Techical Engine Low Seating Other
Space
 Table 4.17

Table showing actual marketing source initiated to buy Nano

Options Number of response Percentage

Advertisement 20 40

Marketing staffs 5 10

Other 25 50
Source: Primary data

From the table 4.17, it is clear that out of 50 respondents,40% find advertisement as
actual marketing source, 10% people find marketing staffs as marketing source and 50%
find other source.

Figure 4.17

Figure showing actual marketing source initiated to buy Nano

Actual marketing sourse initiated to buy Nano

60

50

40

30 Actual marketing sourse initiated

to buy nano
20

10

0
Advertisement Marketing staffs Other
 Table 4.18

Table showing satisfaction with current price

Options Number of response Percentage

Yes 41 82

No 9 18

Source: Primary data

From the table 4.18, it is clear that out of 50 respondents, 82% are satisfied with the
current price and 18% are not.

Figure 4.18

Figure showing satisfaction with current price

Satisfaction with current price

90
80

70

60

50

40 Satisfaction with current price

30
20

10

0
Yes No
 Table 4.19

Table showing affordability

Options Number of responses Percentage

Strongly agree 6 12

Agree 24 48

Neutral 12 24

Disagree 8 16

Source: Primary data

From the table 4.19, it is clear that out of 50 respondents, 12% strongly agree that Tata
Nano is affordable, 48% agree, 24% have a neutral opinion and 16% disagree with
affordability.

Figure 4.19

Figure showing affordability

Affordability
60

50

40

30
Affordability

20

10

0
Strongly agree Agree Neutral Disagree
 Table 4.20

Table showing overall opinion about Tata Nano

Options Number of responses Percentage

Very good 3 6
Good 19 38
Neither good or bad 18 36

Bad 5 10
Very bad 5 10
Source: Primary data

From the table 4.20, it is clear that out of 50 respondents, 6% has very good opinion,38%
has good opinion, 36% has neutral opinion, 10% has bad opinion and 10% has very bad
opinion.

Figure 4.20

Figure showing overall opinion about Tata Nano

Opinion
40

35

30

25

20
Opinion
15

10

0
Very good Good Neither good or Bad Very bad
bad
 CHAPTER 5

FINDINGS, SUGGESTIONS, CONCLUSION

5.1 FINDINGS

A study on “ Customer Satisfaction towards Tata Nano” with the help of facts and figures
available in the yearly statement and discussions have lead to the followings:-

78% of people are attracted because of the price, 14% people because of design
and 6% because of mileage and only 2% people attracted because of interior
space.
48% of people agree Nano is cheap, 24% of people are in neutral position and
16% people disagree that Nano is cheap.
42% people agree that Nano is people’s car where 30% people are in neutral and
18% people disagree.
52% of people prefer Nano instead of bike where 48% prefer bike instead of
Nano.
52% of people recommend Nano to friends and relatives where 48% doesn’t
recommend Nano.
26% of people trust Nano for safety and 74% doesn’t trust Nano for safety.
64% of people are satisfied with Nano’ service where 14% are disappointed.
18% of people are in view that Nano’s fuel consumption is low where 62% in
view of average and 20% in view of better.
4% of people feel very comfortable with Nano where 44% feels average, 34% of
people feel less than average and 18% feels not comfortable.
82% of people buy Nano because of low price, 4% of people are attracted by
looks, 10% people buy because of after sale service and only 4% buy because of
comfort.
28% of people agree that Nano is built according to India’s local weather and road
conditions, 28% of people don’t agree and 44% of people are in the view that
Nano is not fully built to India’s local weather and road conditions.
40% of people feel technical problem while driving Nano, 28% of people feel
engine problem, 16% of people feel problem because of low seating space and
16% of people find problems due to other factors.
52% of people are in the opinion that Nano should provide new models, 36%
people are in the opinion that Nano should improve the quality, 8% of people are
in the view that Nano should provide lower installment option to improve its sales
in local market and 4% of people are in the opinion that Nano should reduce its
price.
40% of people agree that advertisement source initiated them to buy Nano, 10%
people through marketing staff and 50% through other sources.
82% of people are satisfied with current price of Nano where 18% of people are
not satisfied with the current price.
38% of people have good opinion about Nano, 10% of people have bad opinion,
36% of people have neither good nor bad opinion and 10% people have very bad
opinion.
5.2 SUGGESTIONS

Tata Nano is one of the most efficient vehicles for urban areas as far as its design part
is concerned but the company must focus on its engine. Its strong body to make it a
luxury vehicle for upper segment also.
It needs to improve its engine cc and cooling.
It needs to provide fuel saving option.
Electric model of Nano should be introduced.
It needs to improve the size of the wheel.
It needs to increase the interior space.
Demo of the product should be made available to customers, since most of the
purchase decision is based on it.
Technical details should be made available to the customers in the most accurate
numerical form.
The distribution channel should be more efficient to cater the demand during peak
seasons.
5.3 CONCLUSION

A Tata motor is one the best car manufacturing in India, customers are satisfied because
of affordable price, but the maintenance is a problem and resale value is very low. These
are the two main reasons and other reasons are customer care does not respond to
customer’s complaint, so the customers are dissatisfied. It has to improve its customer
care and decrease the price of the spare parts and make available in all part of the
country.

Thus far, we have analyzed in isolation the Tata Nano crisis, as a case study of India’s
attempt to industrialize. Eventually, opposition from various stakeholders, who
reasonable to a certain extent exemplifies the perpetual resistance that continues to hinder
industrialization in developing countries such as India,. The Tata outcome is therefore an
awakening call to not just India, but also other developing nations to never underestimate
the value that non market strategic coordination brings to revolutionary proposition.
BIBLIOGRAPHY
BOOKS

The Little Book of Big Customer Satisfaction Measurement

Tata Nano the People’s Car

Small Wonder the making of the Nano

JOURNAL

Fred C. Akers (1968) “Tata motors five key strategies to lure youngsters
towards Tata Nano twist”.

James H. Myers and Mark I. Alpert (1968) “Study of attitudes and

decision making on consumer buying behavior.”

Harry L. Davis (1976) “A study on the consumer buying behavior”

John S. Greenlees (1980) “ Impact of the price of gasoline on the mix of new
automobile purchases”

Dennis W. Rook (1987) “A study on important aspect of consumer Buying

Behavior.”

Narasimhan Srinivasan and Brain T. Ratchford (1991) “New insights into

the determinants of search behavior for automobiles”

Kwortnik et.al (1997) “Consumer buying behavior in Automobile

industry”

Sweeney Hauskeencht, Souta G and Sweeney J (2000) “Factors

influencing Nano the innovative car from the Indian empirical study”
Ball, S.J, Auh, S and Smalley.K.(2004)“Customer relationship
dynamics: service quality and customer localty in the context of varying
levels of customer expertise and switching cost.

Mahapatra, Kumar and Chauhan (2010)“Customer satisfaction,

dissatisfaction and post purchase evaluation: an empirical study on small size
passenger cars in India”

Ganesh and Soundarapandiyan (2011) “Tata Nano customer satisfaction

level”

Rao and Kumar (2012) “Customer satisfaction towards Tata

Motors”

WEBSITES

www.google.com

www.wikipidea.com
ANNEXURE
 QUESTIONNARE

Dear Sir/Madam,

I am K S KEERTHANA, student of Christ College (Autonomous) Irinjalakuda

conducting a study on customer satisfaction towards Tata Nano with special
reference to Thrissur region. I kindly request you to fill the questionnaire and
provide necessary information. It’s purely an academic activity.

Personal Profile

Name:

Gender Male Female

1. Which category below includes your age?

18-20

20-29

40-49

2. What is your gender ?

Male
Female

3 . What is your occupation?

Student

Professional

Other
4. Which feature of Nano attracts you most that implies you to for Nano?

Price
Design

Mileage

Interior space

5. If the price of Nano rise would you still purchase it?

Strongly agree

Agree

Neutral

Disagree

6. Is Tata Nano cheap, economical, affordable and compact as compared to

other cars in small segment?

Strongly agree

Agree

Neutral

Disagree

7. Which colour of Nano you prefer?

Red
White

Blue
 Other

8. Did you prefer to go for the Nano instead of bike?

Yes

No

9. Will you recommend Nano to friends and relatives?

Yes

No

10. Can you trust Nano for safety?

Yes

No

11. Are you satisfied with Nano’s service?

Fully satisfied

Average

Below average

Disappointed

12. What is the rate of fuel consumption for Nano?

Low

Average

Better
13. Why will you buy Nano?

Low price

Attractive looks

After sale service

Comfort

14. When it comes to comfort and convenience Nano is

Very comfortable

Average

Less than average

Not comfortable

15. Do you think Nano is built according to India’s local weather and road

conditions?

Yes

No
Not fully

16. According to your opinion what can be done to improve Nano’s sales in

local markets?

Nano should provide new models

Improve quality and so that car maintenance cost is decrease

Lower installments
 Should reduce car price

17 .What type of problems you have faced while driving Nano car?

Technical

Engine

Low seating space

Other

18. What is the actual marketing source that initiated you to buy a Nano car?

Advertisement

Marketing staff

Other

19. Are you satisfied with the current price of Tata Nano?

Yes

No

20. What is your overall opinion about Tata Nano?

Very good

Good

Neither good or bad

Bad
Very bad