CENTRAL INDIA INSTITUTE OF TECHNOLOGY INDORE

MA JOR RESEARCH PROJECT

Synopsis on
The comparative study of consumer buying behaviour on purchase

of Motor Bikes Between BAJAJ and HERO HONDA

For the partial fulfilment of the degree of

MBA (2009-2011)

GUIDED BY :

SUBMITTED BY

Mr.Premlal Jagati

Amit Prakash Dwivedi

CONTENTS:
Introduction Literature Review Objective of the Study Rationale of Study Research Methodology -Research study -Tools for Data Collection -Tools for Data analysis References

Introduction:In the 1990s there was a limited choice in the motorcycle segment. But as the time passes market is flooded with motorbikes. Many factors are responsible for this change but the main factors contributing to this change are: 1. Advanced Fuel Efficient Technologies. 2. Large varieties of motorbikes are available now. 3. Allows Customers To Make an Informed Choice. My aim is The comparative study of consumer buying behaviour on purchase of Motor Bikes Between BAJAJ and HERO HONDA. . Definition of Buyer Behaviour:Buyer behaviour is all psychological, Social and physical behaviour of customer as they become aware of evaluate, purchase, consume and tell others about product & service. There are four major factors which influences on the buying behaviour of consumer. 1. Cultural factors 2. Social factors 3. Personal factors 4. Psychological factor For the present comparative study the researcher has taken there major three two wheeler giants which are Bajaj & Hero Honda.

Bajaj

Bajaj Auto is a major Indian automobile manufacturer. It is India's largest and the world's 4th largest two- and three-wheeler manufacturer. Bajaj also manufactures motor scooters, motorcycles and the auto rickshaw and exports too. Over the last decade, the company has successfully changed its image from a scooter manufacturer to a motor bike manufacturer. Its real growth in numbers has come in the last four years after successful introduction of a few models in the

Year of Establishment -1926 Industry Automotive - Two & Three Wheelers Business Group -The Bajaj Group Listings & its codes BSE - Code: 500490; NSE - Code: BAJAJAUTO

Presence: Distribution network covers 50 countries.

Hero Honda

Hero is the brand name used by the Munjal brothers for their flagship company Hero Cycles Ltd. A joint venture between the Hero Group and Honda Motor Company was established in 1984 as the Hero Honda Motors Limited At Dharuhera India. Munjal family and Honda group both own 26% stake in the Company. In 2010, it was reported that Honda planned to sell its stake in the venture to the Munjal family. During the 1980s, the company introduced motorcycles that were popular in India for their fuel economy and low cost. A popular advertising campaign based on the slogan 'Fill it - Shut it - Forget it' that emphasised the motorcycle's fuel efficiency helped the company grow at a double-digit pace since inception. The technology in the bikes of Hero Honda for almost 26 years (19842010) has come from the Japanese counterpart Honda
[6]

Hero Honda has three manufacturing facilities based at Dharuhera, Gurgaon in Haryana and at Haridwar in Uttarakhand. These plants together are capable of churning out 3 million bikes per year.[7] Hero Honda has a large sales and service network with over 3,000 dealerships and service points across India. Hero Honda has a customer loyalty program since 2000,[8] called the Hero Honda Passport Program.

Hero Honda Motorcycle limited is an Indian manufacturer of motorcycle and scooters. Hero Honda is a joint venture that began in 1984 between the Hero Group of India and Honda from Japan. It has been the worlds biggest manufacturer of 2-wheeler motorized vehicles since 2001, when it produced 1.3 million motorbikes in a single year. Hero Hondas Splendor is the largest selling motorcycle. Its 2 plants are in Dharuhera and Gurgaon, both in Haryana India. It specializes in dual use motorcycles that are low powered but very fuel efficiency.

Review of literature:-

Many researches had been done on the consumers buying behaviour when they buy different two wheelers. Mr. DR. K. MALLIKARJUNA REDDY,Associate Professor,Department of Business Management, Osmania University, Hyderabad find the factors influencing the buying behaviour of customer when they are going to buy the vehicle. Kapil Khatri finds the Key motivating factors for the customers to purchase the motorcycle.Attributes in the motorcycle that customer looks for. Characteristics of the customer who can be the prospective customers of motorcycle manufacturers

Luong Thi Bich Thuy of Taiwan has found the impact of brand names when customer they buy premium two wheelers and scooters. As to get the major factors which affect the behaviour of the customer before purchasing the bikes in market study of various literatures, books, journals, internet, News-Papers, Hoardings Magazine, Lone Policy, Offers and Discount has done.

Schiffman. G. Leon and kanuk lazare Leslie - Study of the customer behaviour is the study of how individuals make decisions to spend their available resources (Time, Money and Efforts) on consumption related items. It includes the study what they buy, whey they buy it, when they buy it, where they buy it,

how often they buy it and how often they use it. The primary purpose for the study consumer behaviour as apart of marketing curriculum is to understand how and how customers make their purchase decisions. There insights enable marketers to design more effective marketing strategies. Gupta.C .B and Dr. Nair. N.Rajan - A business is based on understanding the customer and providing the kind of products that the customer wants. Mamoria C.B. and Mamoria Satish - Consumer behaviour is the process where by individuals decide what, when, where, how and from whom to purchase goods and services. Buying behaviour may be viewed as an orderly process here by individual interacts with his environment for the purpose of making market decision on products and services. Nair Suja. R.- The success of the firm will be determined by how effective it has been in meeting the diverse customer needs and wants by treating each customer as unique and offering products and services to suit his/her needs. Bennett Peter.D. And Kassarjian Haroldh - A great deal of research activity in marketing is design to shed light on the customer decision process.

Objective of study

1. To understand the consumer buying behaviour of the prospective motor

bike (BAJAJ and HERO HONDA)

2. The compare of consumer buying behaviour of Motor Bikes (BAJAJ and

HERO HONDA)

3. To explore the market leader between Bajaj and Hero Honda.

Rationale of study

Most of the researches which had been done earlier on the consumer behaviour where they purchase two wheeler but in our research we will find the factors which influence a particular bajaj and hero Honda .This is a unique research for a particular segment to particular group.

To know about the customer preference and decision process with regard to bike. To know the Basic consumer buying behaviour and the reasons because of which they switch from one company to another. To know about the companys details (profile, Products).

This study would help in revealing the type and specific qualities of the bikes offered by the company to their consumers. To study the satisfaction level of consumers who uses bikes. To study effect of advertisement on the purchasing decision of the consumers.

Research methodology
The success of the analysis mostly depends on the technology on the methodology on which it is carried out.The appropriate methodology will improve the validity of the findings. It is very important to have a suitable research methodology. I collected primary and secondary base data for consumer buying behaviour between Hero Honda Bajaj Motor Bikes.

Sample Size
From the indore sample size of customers were selected for the purpose of the study 60 sample taken from customers 30 sample of Bajaj customers

 30 sample of Hero Honda customers

Sample Design

Sample for the study will constitute of customers convenience samples would be drawn from Indore region we select the random sample of customers thought Prepare Questionnaire.

Tool For Data Collection

The study is based on the data collected through primary and secondary sources.

Primary Data An interviews schedules was designed to collect primary data from various usuries customers by a quitionnaires survey.

Secondary Data Secondary data was collected from journals, magazines, web sites and from other relevant publications.

Tools for Data Analysis

Data would be collected by filling the Questionnaire.

Percentage Graphical Method

Reference

1. Schiffman Leon G. and Kanuk Leslie Lazar Consumer Behaviour 6th edition Published by: Prentice-hall of India Private Limited. ( page no. 2&6) 2. Gupta C.B. and Dr. Nair N. Rajan Marketing Management 5th edition Published by: Sultan chand & sons (page no. 1.69) 3. Mamoria C.B. and Mamoria Satish Marketing Management 4th edition Published by: Kitab Mahal (page no. 161) 4. Nair Suja R. Consumer Behaviour Indian prospective Ist edition Published by: Himalaya Publicating Home ( page no. 3) 5. Bennett Peter D. and Kassarjian Harold Consumer Behaviour 8th edition Published by: Prentice-hall of India Private Limited.(page no. 5) 6. Kothari C.R Research Methodology Methods & Techniques 2nd edition Published by: Wishwa Publication (page no. 151, 94-95) 7. http://www.bajajauto.com/pulsar/ 8. http://www.honda2wheelersindia.com/unicorn/ride_n_fly/be_a_wing_rider . asp 9. http://auto.indiamart.com/motorcycles/ 10. http://www.thehindubusinessline.com/iw/2004/11/28/stories/200411280042 1500.htm 11. http://www.indiabike.com/infobank/unicorn/index