“project management (C2C) used car trading industry ’’

CARDEKHO PRIVATE LIMITED

(Submitted in partial fulfilment of the requirements for MBA)

By

Name- vinay kumar pathak

Roll No: 2101720700277

Batch of 2021-2023

LLOYD INSTITUE OF MANAGEMENT AND TECHNOLOGY

PLOT NO 11, KNOWLEDGE PARK-2, GREATER NOIDA-201306 (UP)

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 CERTIFICATE OF COMPLETION OF SUMMER INTERNSHIP PROGRAMME

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 CERTIFICATE OF ORIGINALITY

I___________________________________ Roll No ________________________of

Batch 2021-2023 is a fulltime bonafide student of MBA of Lloyd
Business School, Greater Noida. I hereby certify that this project work carried out by me
at __________________________________________________ the report submitted
in partial fulfilment of the requirements of the program is an original work of mine
under the guidance of the industry mentor __________________ and the faculty
mentor ______________________________________________and is
not based or reproduced from any existing work of any other person or on any earlier
work undertaken at any other time or for any other purpose, and has not been
submitted anywhere else at any time

(Student's Signature)
Date: ________________

(Faculty Mentor's Signature)

Date: ___________________

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 ACKNOWLEDGEMENT

I would like to take this opportunity to thank all those who have made working on this project
feasible for me. I would first like to thank and director Crack-ed Debojit Sen, for giving me
an opportunity to work with a corporate during my MBA program. I would like to extend my
thanks to CarDekho PVT. Ltd for providing me with the opportunity to work with them and
giving me my first taste of the real corporate and professional world.

I extend a special thanks to Mr. Amit Jain, Founder of CarDekho, for his valuable guidance
and for sharing insights from his enlightening experience and Business Knowledge.

I would like to extend my sincere thanks and gratitude to my company guide Mr. Nishant
Bana, Corporate project manager, Cardekho Pvt. Ltd for allowing me to work under her able
guidance. Without his guidance, help, and support this project would not have been possible.

Last but not least, I would like to thank my friends and colleagues MS. Bhavana Anand
  (HR Manager), without their support, cooperation, and suggestions this project could not be
completed.

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 TABLE OF CONTENT

Certificate of internship 2

Certificate of originality 3

Acknowledgment 4

Executive summary 7

Abstract 8

Introduction 10

- About the Automobile used car industry 12

- About the company 17
- About the product 20
- About the project 30

- Need of the study 32

- Objective of the Study 40

- Scope of the study 45

Research methodology 90

- Research Design

- Sampling method

- Sample size

- Tools for Data Analysis

Conclusion 92

References 99

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 EXECUTIVE SUMMARY

CarDekho PVT.ltd has three ventures and is basically a retail business and dealer partner
third is a buyer to seller which delivers a platform their buyer directly can connect with
seller. Our principle is to deliver value of asset through our network of Automobile used car
sector in India. Talking about its other ventures car24 and spinny is dedicated to empowering
people with relevant jobs and development opportunities. We provide services to Business to
customer, business to business, and buyer to seller.

We have a Team of Professionals working every day to provide services buyer to sellers to
the companies. Our Sole objective is to bridge the gap between buyer to seller dealing used
car industry using autotech plateform.

The objective of my internship was to explore the field of marketing, learning the work in
Automobile used car sectors, choose my field wisely as well as to undergo a project work in
the field of marketing and product development.

The background of my internship is market research which included data Analysis, lead
analysis, funnel management and marketing strategyfor c2c project in Cardekho.

The Methodology used in autotech used car industry that is, the backend work which
included complete details about the cars inspection report qualityassurance and provide
differents sets of services like loan, insurance etc. B2B as well as primary which included the
sales directly to dealer partners. in which we were supposed to perform a direct sale, i.e. B2C.

The learning experience I gain from the internship is immense. Till now, I am able to
understand the importance of customer relationship for any company. I have completed the
project satisfactorily to my belief as well as collected a survey on the same.

The Limitations of the project was firstly the field work as it was tedious task to deal with
different types of customer as well as to understand their mentality towards assurance
policy. 

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 ABSTRACT

The main aim of the undergone Summer Internship Program is to make the students
experience the work culture and the procedures of the Corporate World. This Summer
Internship Program consists of the involvement of the students in the company as interns and
understanding the facts of the company as well as make the project on the work done by the
students in the Company allotted to them for the Internship in various domains like
Marketing, Marketing research, HR, Finance, Operations, etc. In this report, I will share my
experience of 90 days in the company. My role as an intern in the company is to study and
understand the company’s product and develop a new platform C2C. I need to have an in-
depth knowledge of the entire Automobile used car sector and know our product’s special
features which may differentiate it from others. I also have to lure and convince the
customers to our investment plan. And also I have worked for other two verticals of the
company which is retail stores and dealer partner sales channel in India.

In the Automobile used car sector, my mentor taught me about various features:-

➢ Automobile sector Training➢ Roles of Project Assistant

➢ Category of car

➢ Various models

➢ Features

➢ Results and performances

In the Automobile used car sector, my mentor taught me about:

➢ GDP Trends

➢ Need for personal mobility

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➢ Monetary benefits

➢ Vehicle age-limiting regulations:

➢ Trends shifting towards EVs

➢ Presence of unorganized players

➢ Deepen the presence in the existing regions

In the product development department, I performed backend work in which I was asked to
make a database and fill in all the information’s about the car details inspection report quality
assurance of the company website.

The reporting time for the interns is 10:00 AM in the morning till 7:00PM which includes a
break of 30 minutes for the lunch.

During my internship I was given training of Fifteen days by my mentor MR DEBOJIT SEN
in which He taught me about automobile used car industry as well as the various companies
which working in this sector and problem they are facing in the market.

After this training I was on 30 days field work in pan india location in which I need to
analyse how retail stores working. Whats the problem they are facing why used car industry
going on continously in loss . It was a great experience as well as a good exposure given by
the company as in that field work I was made to interact with different types of customers
and face the new challenges which are already set up by well setup companies as well as to
understand market penetration strategies

My company guide did allot me the project as “Marketing Strategies”. My project is mainly
focused on the Marketing strategy used by businesses to provide value of asset cars where
buyer and seller both are satisfied. 

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 About the Automobile used car industry-

Used car market: Boon or bane With the domestic passenger vehicle industry
declining 2%YoY during 4QFY19 and posting a growth of 2.7% during FY19, talks
of double-digit growth in the used car market and its possible impact on new car sales
have surfaced. Mahindra First Choice indicated c.40-50%YoY growth in used cars
during FY19, while the overall used car market grew c.10-12%. To better understand
the phenomenon, we interacted with experts in the industry and referred to publicly
available used car database.

While there is a lot of excitement in the used car space, our interactions nowhere
suggest that it is impacting new car sales. On the contrary, our interactions suggest
c.75% of used car trade-ins lead to a new car purchase eventually. And in absence of
exchange / used car platforms, the impact on new car sales (during a weak period)
would be more severe. Players like Cars24 have emerged as a new, popular medium
to facilitate quick trade-in of old cars.

We found this platform highly convenient and an effective tool for price discovery.
We experienced their service first-hand and compared the offered price to other
available trade-in formats in the market. They had a clear edge on both these fronts.
Swift execution, convenience and better deals are driving existing car owners to opt
for such platforms, leading to a shift away from the unorganised segment (and C2C
trades). Evolution of Indian used car market Customers’ awareness has been enhanced
by new start-ups (Cars24, OLXCashMyCar, etc.), through aggressive marketing
campaigns highlighting best-in-class price and service.

This shift towards organised channel is helping players like Mahindra First Choice
post strong double-digit growth. However, formalisation of Indian used car market is
still in a nascent stage. To understand the possible evolution, we analysed players like
CarMax (US) and Manheim Auctions (Europe/US). We are yet to meaningfully see
independent car certification (like CarMax) and a developed auction market in India
(like Manheim Auction). With a high-quality, thorough certification programme,

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 customers’ mindset will gradually change and they will become more accommodating
in buying and owning a pre-owned car. Only then can the likes of Cars24 emerge as a
much larger player like Manheim Auctions. Till such time, used car platforms will
continue as a boon for the new car market. Replacement / exchange sales supporting
new car sales Weakness in new car sales We also found that during periods of
economic uncertainty, used to new car ratio inches up, as new car buyers take a
backseat and the share of exchange / replacement either remains flat or increases. This
replacement is pivotal to support new car sales, the reason why MSIL setup
‘TrueValue’, Hyundai ‘Promise’, Toyota ‘Trust’, and so on. These company-run (but
dealer operated) programmes serve different purposes for different brands.

While for mass market brands like MSIL they help aid replacement and generate new
car sales, for brands like Toyota, they help expose the brand to a set of buyers who
could not have owned a Toyota in the first place, leading to creation of future
demand. Today, weakness in domestic new car sales can be attributed to multiple
factors like increase in vehicle prices (regulatory reasons, commodities), slowing rural
demand (impacted by rural income), lack of new model launches (refer exhibit 19)
and impact of shared-mobility on urban demand but the growth in used car segment.

Customer to Customer (C2C):

In case of an under-developed used car market, C2C segment has a dominating share.
In this option, sellers usually possess greater information (about the upkeep /
maintenance of the vehicle being sold) and as a result, control pricing of the vehicle.
Given the asymmetry of information between buyers and sellers, the former are
usually cautious and judge the quality / price of a used vehicle on the basis of the
seller’s reputation. This usually leads to under-performance of the used car market.

Unorganised / independent used car dealers:

Unorganised dealers usually gain confidence of buyers by eliminating subjective bias

about the sellers while simultaneously easing the purchase process. However,
unorganised / independent dealers usually have limited inventory with mostly
uncertified cars without a warranty. While, independent dealers increase the supply of

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 used vehicles, reliability of these cars and ease of RC (registration certificate) transfer
remains a concern. Semi-organised used car dealers (BrokerDalal, etc.): Dealers
usually gain confidence of buyers through certified vehicles, limited warranty,
inspection checks and ability to return/exchange vehicles. However, these
programmes are usually not backed by OEMs. As a result, the buyer’s level of
confidence, although higher than independent dealers, is still low. Organised used car
dealers (True Value, First Choice, etc.): With all benefits of semiorganised players,
organised dealers are OEM-backed dealers providing more peace of mind and ease of
transaction. As a result, buyers’ confidence is the highest. Exhibit .
1. How used car channel works in India
2. How the used car channel is now evolving Source

Consumer Used car market Trade-ins at new car dealerships Organised & Semi
organised & Unorganised Consumer (C2C) Consumer (B2C) While >95% of used car
sales happen through either option 1 or option 2, a small portion of used cars from
banks, insurance, taxi and corporate fleet is sold to brokers either directly or through
auctions. Option 2 Consumer Used car market Trade-ins at new car dealerships
Consumer (C2C) Consumer (B2C) Option 2 Organised & Semi organised & Online
lead generators There has been a sudden surge in the demand for option-3 owing to
its distinct advantages. Option 3 (like Cars24) is far Accessible, Convenient and
Offers Best Value than traditional channels. Accessible – Physical stores (and digital
presence) With the used car market going online, it has become more convenient for
sellers / buyers to research pricing (sellers) and vehicle details online (buyers).

• Growth fuelled by easy access of vehicle information/reviews online: Family and

friends were the primary source of information for a car purchase, with c.90% people
referring to them. Now, online research is catching up fast with almost 85% people
referring to auto portals to gain product related information.

• Customer is offered the price based on the highest bid.

• Cars24 levies a service charge from both the seller and the buyer, depending upon
resale value of the vehicle o Resale value < INR100,000: Service charge INR1,000 o

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 Resale value INR100,000-500,000: Service charge INR3,000 o Resale value >
INR500,000: Service charge INR3,000

• Payment to the customer is made within 24-48hrs. Cars24 also provides an optional
1hr payment, for an additional charge of INR1,000.

• Customer and Cars24 then sign documents and RTO transfer forms.

• The car is transferred to a centralised warehouse before being delivered to the

bidder. Cars24, Aggregator of brokers Cars24 works like any new age start-up, like
Uber / Ola (cab aggregator), Zomato / Swiggy (aggregator of restaurants) and
Airbnb / OYO (aggregator in hospitality segment). It brings together used car dealers /
brokers on a single platform, where they bid for products online. The competition
between dealers leads to a better price discovery.

Cars24 as another aggregator Source: JM Financial Aggregator of restaurants

Aggregator in hospitality segment Cab aggregator Aggregator of used car
dealers/broker

The inspection and bidding process lasted an hour, 30mins each for inspection and the
bidding process. After an hour, Cars24 quoted a resale price of INR702,000 below our
expectation of INR775,000. The highest bid was based on 213 bidding dealers in
Maharashtra. A few days after the bidding process, we received a call from a Cars24
dealer bettering the deal to INR745,000 and asking for our expectation.

the traditional channel. Shift from unorganised to organised dealers Players like
Cars24 have to ensure that brokers / dealers in the bidding process have good credit
quality to minimise risk. Also, for a start-up like Cars24, which is trying to expand its
operations, it makes sense to collaborate with big dealers, which are usually organised
/ semiorganised in nature. As a result, their bidding platform has high share of
organised / semiorganised dealers vs. unorganised dealers.

Increasing share of organised and semi-organised players in India Source: India Blue
Book Exhibit 10. Exchange sales a big driver for new car sales; Exchange penetration

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 for MSIL Year Industry sales growth MSIL domestic sales growth Share of exchange
sales for MSIL FY19 2.7% 5.3% 30% FY15 3.9% 11.1% 30% FY13 2.2% 4.4% 23%
FY10 25.7% 20.6% 17% Source: JM Financial, Company, SIAM How does the
economic environment drive used car sales- In US, rapid increase in used to new car
ratio coincided with global financial crises, highlighting the decline in new car buyers
in the market. During the early 2000s, dot com bubble burst led France and Germany
into a recession (along with US).

In France, although both the used and new vehicle markets were close to saturation,
the new vehicle business has been shrinking after reaching a record high of 2.2mn
units in 2001 (Used to new car ratio highlighted in the image on the right), while the
demand for used cars has remained high. Due to the weakness in economic situation
in France, consumer confidence was relatively modest, which may have favoured the
used car FY11 FY17 FY19 India used car report

Used car market has been a supply constraint market, especially for certified used
cars. However, driven by players like Cars24, price discovery of used vehicle and
selling a used vehicle has become easier and faster. Also, inspection process deployed
by the likes of Cars24 has led to supply of quality vehicles going up in the market,
which can be certified. As a result, car owners upgrading to new models or facelifts
provide an opportunity for used car buyers to pick relatively new used cars, driving
demand for used cars up further.

We believe that in absence of a buoyant used car market, new car sales growth would have
been much lower. Going ahead into festival season starting Sep’19, new model launches by
OEMs and BS6 pre-buy will aid PV sales growth.
Declining sales growth from new models used car market on OEMs and dealers Impact on
OEMs: 1. Supports exchange sales: A buoyant used car market leads to better price discovery
(as highlighted in buyer’s preference). A higher residual value of a used car helps trade-ins
(exchange sales) and eases the pressure on OEMs to offer incentives to stimulate new car
demand. 2. Loyalty: A satisfied used car buyer is more like to buy his new car from the same
OEM. Impact on dealerships: 1. Increases profitability of dealerships: A dealership selling
new vehicle in exchange for a relatively new used car, improves its margin. 2. During an
environment with declining new car sales, dealer profitability in used car increases vis-à-vis

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new car segment. Way ahead for used car market Given the small scale of operations of
players like Cars24, they have to ensure that brokers / dealers in the bidding process have
good credit quality to minimise risk. Also, for a start-up like Cars24, which is trying to
expand its operations, it makes sense to collaborate with big dealers, which are usually
organised / semi-organised in nature. As a result, their bidding platform has high share of
organised / semi-organised dealers vs. unorganised dealers. However, as players like Cars24
gain scale they will have to increase share of qualified unorganised dealers in their bidding
process. As a result, unorganised dealers will be able to compete with organised and semi-
organised dealers. This phenomenon is witnessed globally. Higher share of independent
dealers in US vis-à-vis other countries (exhibit 20) is largely due to a developed and open
auction vis-à-vis other countries Source: As on 2005, CIRP, adapted from various sources,
including CNW Marketing Research, Inc. (U.S.), DesRosiers (Canada) and Datamonitor
(France, Germany, Italy, Spain and United Kingdom) Franchised dealers are organised
dealer; Independent dealers are unorganized dealers; In developed markets, concept of semi-
organised is not applicable. Manheim Auctions Manheim is the world's largest wholesale
auto auction based on trade volume with 145 auctions located in North America, Europe,
Asia and Australia. It brings together sellers and volume buyers of used vehicles that include
automotive dealerships, banks, car rental agencies, car manufacturers and government
agencies. Manheim Auctions offers a mix of live auction and online sales for transacting at
physical and mobile auction locations as well as dealer lots. Exhibit 21. Basic information
about Manheim Auctions Source: Company, JM Financial Exhibit 22. Scale of operation of
Manheim Auctions Source: Company, JM Financial, 1,3 – Manheim.com Sales data, as of
Dec 2016, 2- Manheim Fact Sheet Manheim Auction – A total of 2,300 cars were sold within
30 seconds --WIRED, Sep’15 India used car report 12 June 2019 JM Financial Institutional
Securities Limited Page 14 Exhibit 23. How Manheim Auctions works on the seller side
Source: Company Exhibit 24. Scene from one of the Auctions at Manheim – Vehicles
entering various lanes (crowded with buyers) for bidding Source: Company Semi-organised
players becoming more organised: With development of independent certification
programme for unorganised / semi-organised players there may be an increase in the
organised space to include non-manufacturer associated dealers. A similar example on global
scale is Carmax. CarMax In the latter half of the 1990s, a distinct business model for used
sales appeared in the United States, started by CarMax. This model was built around no-
haggle pricing, a nopressure atmosphere in the store, and a large selection of reconditioned,
high-quality cars, which offered customers a certain level of security by providing

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inspections and warranties. CarMax reconditions every used vehicle retailed to meet its
Quality Certified standards. Each vehicle passes an inspection before being offered for sale.
CarMax also offers a 5- day, money-back guarantee and at least a 30-day limited warranty.
CarMax Quality Certified standards were developed internally by CarMax and are not
affiliated with any third party or OEM program. CarMax also purchases used vehicles from
customers and other sources. It evaluates customers’ vehicle free of charge and makes a
written, guaranteed offer to buy that vehicle regardless of whether the owner is purchasing a
vehicle from CarMax. This offer is good for seven days. Based on age, mileage or condition,
fewer than half of the vehicles acquired through CarMax in-store appraisal process meets it
retail standards. Those vehicles that do not meet its retail standards are sold to licensed
dealers through its onsite wholesale auctions. Unlike other auto auctions, CarMax owns all
the vehicles that it CarMax has c.200 stores in US. It sold c.720,000 certified used cars during
FY18 (ending 28Feb’18). India used car report 12 June 2019 JM Financial Institutional
Securities Limited Page 15 sells in the auctions. As of FY18, CarMax conducted wholesale
auctions at 73 of its 188 stores. During FY18, CarMax sold c.0.4mn vehicles through these
on-site auctions. Exhibit 25. Used cars at CarMax are CarMax certified and not certified by
an OEM. Source: CarMax Exhibit 26. Convenient buying option at CarMax Source: CarMax
Conclusion While talks of double-digit growth in used car market impacting new car sales
have surfaced, our analysis suggest that c.75% of used car trade-ins lead to a new car
purchase. Also, a stable used to new car ratio does not point to an impact on new car sales.
The Indian used car market also faces financial constraint. Current finance penetration in
used car space stands c.17% much lower than new car finance penetration (c.75%). Financing
rate for a used car is almost 500bps costlier than a new car. Formalisation of Indian used car
market is still in a nascent stage and is in the process of adopting international best practices.
We are yet to see adoption of independent certification and development of a large scale
auction market. Today, players like Cars24 transact c.150,000 used car annually, a small
fraction of global used car players. We believe there are still miles to go before the used car
phenomenon takes over and starts clouding the outlook for new vehicle sales. India used car
report 12 June 2019 JM Financial Institutional Securities Limited Page 16 APPENDIX I JM
Financial Institutional Securities Limited (formerly known as JM expressed in this research
report accurately reflect his or her or their personal views about all of the issuers and their
securities; and No part of his or her or their compensation was, is, or will be directly or
indirectly related to the specific recommendations or views expressed in this research report.
Important Disclosures This research report has been prepared by JM Financial Institutional

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own one per cent or more securities of the information contained in this report. This report is
provided for information only and is not an investment advice and must not alone be taken as
the basis for an investment decision. India used car report 12 June 2019 JM Financial
Institutional Securities Limited Page 17 The investment discussed or views expressed or
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Consumer Behavior Towards PreOwned Cars in India”

India, the competition between pre-owned cars and new cars has reached its peak. All these
pre-owned cars are generally termed as “Certified Used Cars”, as they are provided warranty
and certified quality from the car dealers. Different car manufacturers have entered the pre-
owned car business with different objectives, and they have different marketing strategies and
priorities in entering into the pre-owned car business. The objectives of the study were to
study the preference of customers towards organized and unorganized market during the
purchase of pre-owned car, to explore the factors influencing the purchase behavior of
customers towards the purchase of a pre-owned car and to understand the pre-owned car
market in India. The Research design was Descriptive research design. The primary data has
been collected through semi-structured questionnaire from a sample of 20 unorganized pre-
owned car dealers and 30 organized pre-owned car dealers of car makers, in Mysore. The
sampling method was Random Method. The data has been analyzed using SPSS for statistical
analysis and testing of hypothesis. Percentage method and T- Test has been used for analysis
the data. The pre-owned car market may be transformed into a more organized market with
the advent of Indian and global car makers and other major corporate houses of India.
Original Research Paper Management INTRODUCTION The used car market has been in
the Indian auto market for years, but due to risky and unorganized nature of buying used cars
without any warranty, and due to lack of certification of used cars, the pre-owned car
business has been unable to become a significant part of the auto industry. From the last four
years, with major car manufacturers entering into the pre-owned car business in a big way.
India, the competition between pre-owned cars and new cars has reached its peak. All these
pre-owned cars are generally termed as “Certified Used Cars”, as they are provided warranty
and certified quality from the car dealers. Different car manufacturers have entered the pre-
owned car business with different objectives, and they have different marketing strategies and
priorities in entering into the pre-owned car business. Maruti Udyog Limited is the first car
maker to enter into the pre-owned car business in a more organized way with their “Maruti
True Value” brand of outlets. There are various reasons behind the entry of car makers into
pre-owned car business like; attractive exchange offers, by exchanging used cars for a new
car model. Resale value for an example, MUL’s Wagon R, Alto and Swift are the top used
car brands in India for their high resale value, which in turn leads to an increased demand of
new car sales due to its brand value. Another reason is Customer Retention; a market leader
can retain their loyal customers through an exchange program. Car manufacturers especially

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who are market leaders in a specific segment can win back their lost customers by
exchanging new cars of their company brand for used cars of other competitor brands.
Support of commercial Banks is another factor through which the dealers get attracted
towards the pre-owned car sector, support and collaboration with commercial banks for used
car business has also motivated car makers to enter into the used car market. Commercial
banks are providing loans up to 60%-90% of the used car value. Competitive Strategy; it is
another reason as a majority of the car makers are entering the pre-owned car market, so
every car maker wants its presence for this strategic reason. OBJECTIVES The following are
the objectives:
• To study the preference of customers towards organized and unorganized market
during the purchase of preowned car.
• To explore the factors influencing the purchase behavior of customerstowards the
purchase of a pre-owned car.
• To understand the pre-owned car market in India. SCOPE OF THE STUDY This
study is an attempt to analyze the consumer buying behavior and preference towards the
usage of used cars and the Consumer search things for their need satisfaction. Also evaluation
of the used car markets organized and unorganized, how consumers react and respond
towards used car markets. So the scope of this study is to cover the full view of the customer
and their preference pattern and used car market Review of Literature A used car can be
much cheaper than its new counterpart. The depreciation is lesser and car financing too can
be obtained easily. A survey was conducted and it was revealed that the demand for the used
car market in India per year is 1.4 million cars (Carazoo 2012). India represents one of the
world’s largest car markets. Easy availability of finance, and rising income levels are
encouraging the launch of new car models which have been leading to a stupendous growth
of the industry for the past few years. Besides, the entry of various international players has
also had a positive impact on the used car market. Thus, the demand for used cars is
anticipated to continue to grow at a stupendous rate in the future. According to the latest
study on the sector, the Indian used car industry possesses a significant potential, with overall
market expected to grow at a CAGR of around 22% during 2011-2014 to reach 3.9 Million
Units by 2014-end (RNCOS E-Services Private Limited 2011) Owners of used cars have an
informational advantage over potential buyers with respect to the quality of their vehicles.
Owners of bad cars will try to sell them to unsuspecting buyers while owners of good cars
will hold on to theirs. Consequently, the quality of traded automobiles should be sub-average
(WinandEmons 2002). New car dealers (who sell both new and used cars) differ from of

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adverse selection suggest that the dealer type that sells a higher proportion of its trade-ins on
the wholesale market will sell, on average, cars of higher quality and receive in return a
higher price (David Genesove 1993). Economic studies have shown that the prices of used
cars decline with age at a constant exponential rate (Susan Rose Ackerman 2007).
RESEARCH METHODOLOGY Research Design:
Descriptive research design Primary Data The primary data has been collected through semi-
structured questionnaire from a sample of 20 unorganized pre-owned car dealers and 30
organized pre-owned car dealers of car makers, in Mysore. Secondary Data The secondary
data has been collected from various auto magazines, journals, newspapers and online
information related to the pre-owned car Market. Sampling Size-50 Sampling Method –
Random Method Statistical Tool The data has been analyzed using SPSS for statistical
analysis and testing of hypothesis. Percentage method and T- Test has been used for analysis
the data.

LIMITATIONS
• Following are the limitations of the study.
• Lack of Time was the most important limitation.
• Sample size was only 50.
• Study restricted to Mysore only.
• The Study restricted to pre-owned car market.
• DATA ANALYSIS AND INTERPRETATION HYPOTHESIS fulfill the objective
of the study, following statistical hypothesis was constructed and tested subsequently. H01:
Factors Not influencing perception of customers towards pre-owned cars. H11: Factors
influencing perception of customers towards preowned cars. H02: Reasons are not
influencing preference towards Un-organized market for the purchase of pre-owned cars.
H12: Reasons are influencing preference towards Un-organized market for the purchase of
pre-owned cars. H03: Reasons are not influencing preference towards organized market for
the purchase of pre-owned cars. H13: Reasons are influencing preference towards organized
market for the purchase of pre-owned cars.
Un-Organized market: The perception of respondents towards Un-organized market is to
have clear title, Mutual trust And Resale Value while purchasing the used cars was
significant. The perception of respondents towards Un-organized market is to have genuine
spare parts and Negotiation while purchasing the used cars was not significant. Overall
Consumer Perception while buying pre-owned car: The perception of respondents towards

21 | Page
upgrading driving skills, desire to own car, Budget constraint and separate car while
purchasing the used cars was significant. The perception of respondents towards Cheaper
than new car, Resale value, Company image, Availability of spare parts, After sale services
and Second car while purchasing the used cars was not significant. SUGGESTIONS Future
the study pointed out that despite being backed by a strong network and brand reputation,
approximately 54% of respondents recommend the un-organized market for the purchasing a
pre-owned car because the price is negotiable. The organized market players should make
efforts to reduce the price and bring the price in line with the competition posed by un-
organized market. The organized players should create awareness about their quality
certificate which would act as an advantage over the un-organized players. Un-organized
market participants should make efforts to build after-sales service network by collaborating
with service provides and car repair workshop and by using relationship marketing
techniques as they already have the buyers trust.

Car segments in India-

Automobiles, who doesn’t love driving a car or owning one. This is so evident by the stats, as
India stands among the top five countries when it comes to the number of vehicles sold. For
some cars, are mere commuting equipment and for some, they are a weapon of choice when
pushing the vehicle to its limits. Well, there is no end to the talks between cars but one can
surely distinguish between different car segments. Without further ado, let’s see what are
these car segments here in India.

Before getting started, it’s important to note that the segments are divided based on their size
or dimension.

1. A-Segment (Mini Hatchbacks)

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 Renault KwidLooking for a perfect city car? Well, look nowhere else but the A-
Segment. These are the smallest hatchbacks that are available here in India.
 Hatchbacks in this segment for one are way less than 4 meters in length.
 These mini hatchbacks possess a small engine that offers ample power
that does the job of city commutes well.
 Besides, these small engines are efficient. Talking about the engines
here in India this segment only offers a petrol engine.
 For even more convenience the A-segment hatchbacks also have an
option of an AMT gearbox.
 Talking about the features they have a right amount of with no fancy
going on form them. In one way or the other, this is a boon as it helps to
keep the costs low.
 Cars in this segment include Maruti Suzuki S-Presso, Renault Kwid,
Datsun Go and more.

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 2. B-Segment (Small Hatchbacks)

All
New Update Honda Jazz
Next exclusively for the city travels with a hint of long-distance travel comes the
B-Segment cars. These cars the small hatchbacks slightly larger in size that the A-
segment.
 The B-Segment hatchbacks possess a length of just under 4 meters.
Viewing from the front, small hatchbacks are also a little wider and
taller than the smaller segment.
 A decent-sized engine runs these hatches. The engines range anywhere
from 1.0-litre turbo petrol to a 1.2litre 4 cylinder engine.
 For those long daily travel one can opt from diesel as well as a petrol
engine depending upon the car manufacturer.
 Talking about the drivetrain, one can opt for a proper automatic, like a
CVT or a DCT. There is also an option of an AMT.
 Car features are where B-Segment shines. The cars get a lot of premium
features with premium quality interiors.
 Cars in this segment include Tata Altroz, Maruti Suzuki Swift, Maruti
Suzuki Baleno, Honda Jazz and more.
3. C-Segment (Small Sedans or family cars)

Cars from this segment are always in huge demand. C-Segment sedans are what
have a wast array of cars. Just because of that this segment is divided into further
categories.Sub-Compact Sedans

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 Maruti Suzuki Dzire
One that needs sedans for carrying that extra luggage and want to commute
through the cities gets a sub-compact sedan. Diving a bit deep here is what this
segment offers.
 Generally, these are the sub-4-meter sedans that share more
or less the same platform as a B-segment hatch. FYI they do
not compromise on the safety and comfort of the vehicle.
 The powertrain and drivetrain are also similar to their
hatchback counterparts.
 Well, looks being subjective subcompact sedans have a
mixed bag of reviews, some look proportioned and some
look more of a box than a car.
 Sub-Compact segment of a car includes Hyundai Aura,
Honda Amaze, Maruti Suzuki Dzire.
 Small Sedans

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 2020 Hyundai Verna
This is where the problem of manoeuvring a car starts. Small sedans are
large on space on the inside and out. This is the reason, they offer a
luxurious experience on the inside. Here is more about the segment.
 Unlike the sub-compact segment, these are manufactured
from the ground up and do not share their platform hence
making them unique. With that, cars in small C-Segment
offer a decent length and width that makes it somewhat
difficult to do city commutes. For reference, they measure
far more from 4 meters in length
 Bigger size also increase the weight, hence it is evident to get
a bigger engine anywhere from a 1.5-litre to a 1.6-litre.
 Both Diesel as well as petrol engines are on offer.
 For utter convenience and comfort, the cars also offer an
automatic transmission. That includes a torque converter, a
DCT or a CVT.
 The cars in this segment include Hyundai Verna, Honda
City, Toyota Yaris, Maruti Suzuki Ciaz and more.
4. D-Segment (Mid-Sized Family cars or Sedans)

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 BS6 Honda Civic Diesel
Stepping up a notch in terms of luxury are the Mid-Sized family cars or sedans. As
the name suggests they are more expensive and offer a lot more than the smaller
C-Segment sedans. Here is what you get in segment.
 Bigger better and larger is what that defines this D-segment sedan. Yes!
C-segment sedans are long, these sedans are even longer making them
harder to manoeuvre.
 This is where the powertrain and the drivetrain don’t matter, but it is the
interior and amount of luxury features that are a concern. The owners of
these sedans spend most of their time in the back seat relaxing the city
commute.
 Honda Civic, Skoda Laura, Hyundai Elantra, and BMW 3-series are
some of the cars that are a part of this family.
5. E-Executive Segment (Executive Luxury Cars)

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 Skoda Superb Facelift
Still not convinced with the luxury? Well, the executive is the segment you should
look for. These cars are classified as 5-start hotels on wheels. There would be no
feature now in the automobile industry that these cars don’t come with.
 These luxury sedans are even longer and wider, opening up more space
on the inside. How much more space? you may ask, well enough for a 6
footer to stretch his/her legs on the rear seats. This is possible because
of the long wheelbase.
 From the letter E, these shout excellence and luxury making them
famous among the business class.
 Talking about the engine will be a disgust to these cars, as they come
with quite a punch to propel these beasts off the line quickly.
 Thinking of city commutes? FUNNY! good luck with that. The sheer
size lets you think twice before manoeuvring and planning your moves
and overtakes beforehand is something you should get used to.
 Cars that come in this segment are Audi A6, BMW 5-Series, BMW 7-
series and more.
6. M- Multipurpose cars (MPVs)

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 Like the sedans, MPV segment is also a fairly wast segment having people
hauliers of all shapes and sizes. These multipurpose cars also are segmented based
on the size and offer a great value of money as they haul a minimum of 6 people.
 Small MPVs

Maruti Suzuki Ertiga

Starting with the small MPVs, as the name suggests these sit at the very
bottom of the size chart. Being small lets them have many advantages
over their bigger family members.
 Talking about the size, the length of the vehicle revolves
around 4 meters making them quite manoeuvrable in day to
day city traffic.
 Their small size lets them have a smaller engine which in
turn makes them a bit cheaper to run and maintain.
 The seating capacity can range anywhere from 6-7 seater
depending upon the car and its manufacturer.
 Small MPVs sure can be a boon the city traffic but when it
comes to highway cruising, the small engine acts as a
bottleneck in the picture.
 Now in India there aren’t many cars in this segment but for
reference, Renault Triber and Maruti Suzuki are the MPVs

29 | Page
 sold right now. But talking about last, Honda BR-V and
Mobilio were also a part of this segment.
 Medium MPVs

Toyota Innova
By the name, it is evident they sit in the middle of the size charts in the
MPV segment. The seating capacity may remain the same but the
overall leg and headroom are what that these MPVs worth buying.
 All the MPVs in this segment are fairly easy to manoeuvre
but the length may be an obstacle when parking in tight
spots.
 Slightly bigger size leads to a slightly better engine. Making
them a fair deal considering the power and size combination.
 On the features part, they come with adequate safety
equipment and elements to entertain its occupants.
 Cars that come under this segment are Mahindra Marazzo
and Toyota Innova.
 Large MPVs

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 Kia Carnival | Top MPVs In India
The second word for these large MPVs is the minibus. Thinking
Luxury? talking sitting capacity? considering features? want comfort?
more power? 5 problems one solution, these large MPVs cover
everything you ask for.
 These huge MPVs can accommodate upward of 8 people and
that too with comfort. Well, also is a curse driving in the
cities. The sheer width of these humongous MPVs makes
them difficult to manoeuvre in stop and go traffic.
 With bigger size comes great responsibility of hauling more
people, so these MPVs pack a serious punch under the hood.
This coupled with an automatic transmission offer right
convenience.
 From TV’s to Minibars, large MPVs have more than one
would as for. That said, when travelling long distances these
can be really good companions.
 Toyota Vellfire and Kia Carnival are among some large
MPVs that are offered in India.

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 Download The GoMechanic App Now!
7. J- Sports Utility Vehicles (SUVs)

Ending the list with the most anticipated and famous J- segment. All the Sports
Utility Vehicles or in short SUVs some under this family. Be it off-road or soft
road, these gulp everything one throws at it.
 Sub-Compact SUVs

Maruti Suzuki Vitara Brezza

This is a segment that is not so common in the Indian market. In simple
terms, the smallest SUV come under this category. These are among the
best to manoeuvre in the city with heavy traffic.
 Similar to the subcompact sedans these are the ones those
measure less than 4 meters in length.
 These SUVs do what they do the best without any gimmicks.
Sub-compact SUVs offer a decent engine with the
convenience of an automatic.
 One can opt from diesel and a petrol engine depending upon
the manufacturer.

32 | Page
  When it comes to bells and whistles, they come with
adequate features in and out with no compromise in basic
things.
 Ford Ecosport, Maruti Suzuki Vitara Brezza, Tata Nexon,
Kia Sonet, and Hyundai venue are among the top-selling
sub-compact SUVs here in India.
 Compact SUVs

Hyundai Creta
On top of those small SUVs come the Compact SUVs which offer the
most bang for your buck. Transporting people at a certain comfort over
bad roads like India’s is what that makes it an amazing deal.
 The compact size comes with convincing of manoeuvring the
vehicle in the city with ease. Making them hassle-free to
park and zip through.
 The size coupled with a powerful engine with many
transmission options makes them worth buying as they have
everything for every customer’s specific needs.
 Unlike the sub-compact SUVs, these come with most of the
latest tech and they keep you entertained on the go. Surely
these are the perfect companions for those long trips in the
mountains.
33 | Page
  Hyundai Creta, Kia Seltos, Nissan Kicks, and Renault Duster
are among the best SUV in this segment.
 Mid-Size SUVs

Tata Harrier
The Segment that sits right in between the compact SUVs and full-
grown SUV are the mid-sized vehicles. With size, they also offer more
seating space as compared to their smaller companions. That said here
is what these SUVs come with.
 Driving an SUV of this segment in crowded metro cities can
be a hassle because of their size.
 They are large, I get it but they also offer capabilities of
talking more people with you on trips. An average Mid-Sized
SUV can haul anywhere between 5-8 people.
 The trips with these cars will be a luxury as they come equipt
with the latest tech and safety features so that you enjoy the
trip and the not exertion.
 That said, some of these SUV also comes with a 4X4
drivetrain to go wandering in woods.
 SUVs that come under this family are Tata Harrier,
Mahindra XUV500, MG Hector Plus and more.
 Large SUVs

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 Toyota Fortuner
Some fancy the large, big and bulky SUVs that are built to last. One can
throw anything at them and they’ll cross them with though any worry.
 Typically one would not recommend taking these huge
SUVs out on the city traffic. You’ll surely have a hard time
controlling them on the city roads filled with two-wheelers
zipping though. Blind spots are common in these bulky
SUV.
 Though to overcome these blind spots they do have an
equally advanced kit to tackle those problems.
 Under the hood, a brawny engine is a must to drive the
weight of the car. That said, they usually come with only an
automatic transmission to save the hassle of shifting and let
you focus on taming the beast.
 On the features there is nothing to complain about at the high
price justifies that they’ll surely have everything.
 Ford Endeavour, Toyota Fortuner, Toyota Land Cruiser,
BMW X5 is among the large SUVs.

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 8. Crossovers

Maruti Suzuki S-Cross Petrol

The segment that wasn’t famous and has seen a drastic dip in the cars that fall in
this category is the crossover family.
 In simple words, these are the hatchback on stilts. Keeping that in mind,
they are fairly easy to manoeuvre in the city traffic and also easy to
park.
 Talking about the engine, they mostly have similar power figures as the
compact SUVs.
 In terms of features, they are quite feature-loaded and there is nothing
to complain about.
 Cars that belong to this family are the Maruti Suzuki S-Cross and
Honda W-RV. B-RV was also a part but sadly it has been discontinued
from the Honda’s lineup.

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 -
-

ABOUT THE COMAPANY

CARDEKHO Pvt Ltd.:

CarDekho.com is India's leading car search venture that helps users buy cars that are right for
them. Its website and app carry rich automotive content such as expert reviews, detailed specs
and prices, comparisons as well as videos and pictures of all car brands and models available
in India. The company has tie-ups with many auto manufacturers, more than 4000 car dealers
and numerous financial institutions to facilitate the purchase of vehicles.

CarDekho.com has launched many innovative features to ensure that users get an

immersive experience of the car model before visiting a dealer showroom. These

include a Feel The Car tool that gives 360-degree interior/exterior views with sounds

of the car and explanations of features with videos; search and comparison by make,

model, price, features; and live offers and promotions in all cities. The platform also

has used car classifieds wherein users can upload their cars for sale, and find used

cars for buying from individuals and used car dealers.

Besides the above consumer product features, CarDekho.com provides a rich array

of tech-enabled tools to OE manufacturers and car dealers. These include apps for

dealer sales executives to manage leads, cloud services for tracking sales

performance, call tracker solution, digital marketing support, virtual online showroom

37 | Page
and outsourced lead management operational process for taking consumers from

enquiry to sale.

Our vision is to construct a complete ecosystem for consumers and car

manufacturers, dealers and related businesses such that consumers have easy and

complete access to not only buying and selling cars, but also manage their entire

ownership experience, be it accessories, tyres, batteries, insurance or roadside

assistance.

The company has expanded to Southeast Asia with the launch

of Zigwheels.ph, Zigwheels.my and Oto.com. It also has a presence in the UAE

with Zigwheels.ae

To diversify our product offerings we have ventured into car insurance business

through InsuranceDekho.Com

Investors and shareholders

CarDekho.com, which went live in 2008, was set up by a bunch of young, enthusiastic

IIT graduates. Its investors include Google Capital, Tybourne Capital, Hillhouse

Capital, Sequoia Capital, HDFC Bank, Ratan Tata and Times Internet.

.complete information about NEW car-

38 | Page
 Buying A New Car: All You Need To Know About Paperwork

● Dealership salesmen are experts in selling cars, not insurance. A car salesman can

sell you the best car, but there is no guarantee that he/she will offer you the best

insurance deal. Don’t rely on their advice as it’s better to go for your own insurance

plan.   

● Dealerships are not the only places to get your car insured. Don’t follow the myth

about dealerships being the only place to get your new car insured. There is no

mandate to buy insurance from the dealer, no matter how much you are lured to go

for one (unless it’s free or the plan is the best in the market). Always consider the

options available in the market. Nowadays, everything is online, so don’t be afraid in

saying ‘NO’ to the dealership and get your own insurance plan.

Make the booking

Once you have figured out the financial aspect, it’s time to sign the booking papers.

Do remember, the car will be under the name of the person who is taking up the loan.

Even if the car is for you, the person taking the loan will have to make the booking in

their name.   

Documents required:

The person making the booking will have to show proof of identity, nationality and

address as well. Below documents should suffice.

Nationality: Voter ID / Passport / School certificates

Identity: PAN card / Driving License / Passport / Aadhar Card

39 | Page
 Address: Electricity bill / house purchase agreement / rent agreement (if you are on

rent) / ration card        

What to watch out for

● Take everything in written: Make sure to get everything in writing. This should

include the exact delivery date, exact price (both down payment and on road price),

accessories, add-ons and discounts offered as well.

● What if you cancel the booking or if delivery is delayed: Always check in a subtle

way about the clauses of booking – are there any charges involved in case you

change your mind? Also what happens if the dealership doesn’t live up to the

promise of the delivery date, will you get a refund? Clear all of this beforehand.

Finally, before you get carried away and drive the car out to your garage, check for

the following documents:  

● Receipts

● Permanent RC (Registration Certificate) or at least a temporary one

● Insurance paperwork (in case you are buying one from the dealership itself)

● Pollution under control (PUC) certificate

● Manuals, service booklet (with free service coupons), warranty cards and roadside

assistance number as well

That’s it from us! Drive safe, follow traffic rules and let the celebrations begin...

● New Car Insurance - Save Upto 75%* - Simple. Instant. Hassle Free -

(InsuranceDekho.com)

● Health Insurance Policy - Buy Online & Save Big! - (InsuranceDekho.com)

40 | Page
 Most of us tend to skip this step, especially first-time buyers. Besides, this is one

boring part that you are more than willing to let your father or an elderly figure

handle. While it may seem like a daunting task, it’s actually quite simple if you follow

this step-by-step approach towards completing the paperwork.

Finalising your car loan

Once you have narrowed down the car of your choice, it’s time to take matters to the

table. If you are paying entirely in cash, then you may skip this step and start thinking

about explanations to the tax authorities.  

If you are opting for a loan, ask multiple banks for quotes. A lot of banks and lending

authorities have tie-ups with dealers to offer easy loans. Or, you can check with your

own trusted bank and authorities in case they have a better loan plan to offer.

What to watch out for

● Ideal down payment: Normally, one should pay at least 15-20 per cent of the car’s

purchase price as down payment and take up loan for the rest of the 80-85 per cent.

However, there is no set rule. Depending on the car type and your budget, you can

even extend the down payment to lessen the burden.

● Lowest EMI is not always the best: One term that really attracts us is ‘Low EMI’.

Don’t fall into a trap just because the loan plan has the lowest EMI amongst the rest.

Read the entire loan process and check for processing fees, other one-time

payments and tenure along with the rate of interest that you will have to pay. Once

41 | Page
you have taken care of all the math, only then should you finalise the loan that you

want to opt for. To understand this better, visit our car loan EMI calculator, enter the

amount and get the EMI as per your plan.  

Documents required: The car will be under the name of the individual taking up loan

till the time it’s fully paid to the lending authority. You will need the following

documents for the same.

Identity proof: PAN card / Driving License / Passport / Aadhar Card / Voter’s ID

Address proof: Electricity bill / house purchase agreement / rent agreement (if you

are on rent) / ration card

Income proof:  Bank statements for last six months / last three months’ salary slips /

letter for loan closure (for previous loan except home loan) / last two years’ income

tax returns

Insurance

Just as you compare a car with other options in the market, you should do so when

buying insurance too. There are a lot of insurance companies offering multiple

schemes for your car. Compare insurances to getter a better deal and do not let any

dealership salesman pressurise you into opting for their in-house scheme.  

What to watch out for

i. Take everything in written: Make sure to get everything in writing. This

should include the exact delivery date, exact price (both down payment
and on road price), accessories, add-ons and discounts offered as well.

42 | Page
● What if you cancel the booking or if delivery is delayed: Always check in a

subtle way about the clauses of booking – are there any charges involved in case

you change your mind? Also what happens if the dealership doesn’t live up to the

promise of the delivery date, will you get a refund? Clear all of this beforehand.

Finally, before you get carried away and drive the car out to your garage, check for

the following documents:  

● Receipts

● Permanent RC (Registration Certificate) or at least a temporary one

● Insurance paperwork (in case you are buying one from the dealership itself)

● Pollution under control (PUC) certificate

● Manuals, service booklet (with free service coupons), warranty cards and

roadside assistance number as well

That’s it from us! Drive safe, follow traffic rules and let the celebrations begin...

● New Car Insurance - Save Upto 75%* - Simple. Instant. Hassle Free -

(InsuranceDekho.com)

● Health Insurance Policy - Buy Online & Save Big! - (InsuranceDekho.com)

2.About Used Car industry -

After days and even months of research which involved taking help from
online auto portals, heading to various used car dealers or individual sellers
and a few test drives as well, you’ve finally come across the one that suits you
best! Now that you have zeroed down on the used car of your choice, one big
task remains that needs to be simplified i.e. the paperwork process. By taking
care of certain legal documentation and ensuring the right paperwork, you can
now get the car completely to your name and drive it without any hassle. 

The process may seem daunting, or the people selling you the car may make it seem so.

43 | Page
Only so, because they can extort the most they can from you. That is why we are here to
help by simplifying this process. All you need to do is follow our step by step guide.

By the end of it, you will be accustomed to all the requirements so you don’t have to waste
your time running to and fro when getting the paperwork done. 

Step 1 – Document Check: It doesn’t matter if you are buying the car from an

individual, local car dealer or through an OEM dealership, it is imperative to get these

documents checked carefully. 

Registration Certificate (RC) 

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The RC provides important information about the car which includes owner’s name,

details, car body type, manufacturing year, engine capacity and so on. Begin the

process by checking this first. Check the Chassis number and Engine number and

Vehicle Identification Number (VIN). Make sure all these match the number on the

VIN plate of the car. This can be located on either front of the engine under the

bonnet, driver side interior dashboard, driver side door or even at the front fender (in

case of an old car).

A modern day car Registration Certificate (RC) looks like this

What to watch out for

● See if ‘DRC’ or ‘Duplicate’ appears anywhere. It stands for Duplicate

Registration Certificate, and if it does, find out from the seller the reason behind

sharing a duplicate RC instead of the original one.

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● If the car went through any major accident in the past, there would have been

an engine replacement which should be updated in the RC 

● If the car is quite old and the engine encountered any major faults, it would

have been replaced as well and the new engine details should be mentioned in the

RC

● Check the state in which the car has been registered. If you are taking it to

another state, ideally you have to get it registered there. Not getting it done can lead

to claim issue in case the car meets with an accident 

Insurance

Make sure that the insurance of the car isn’t expired and check the type of insurance,

if it has a third-party or comprehensive insurance. After this, transfer the insurance to

your name. Find out if the premium has been paid regularly.

What to watch out for

● If the car that you have finalized has an expired insurance or is on the verge of

renewal, you can always ask the seller to get it done in the same deal or cut down the

price of the vehicle 

● In any of the case, it is a MUST to at least get a third party insurance done. A

third party insurance does not cover you and the vehicle, but it saves you from the

hassle of any accidental damage to a third party by taking legal liability of the same.

For example, if a pedestrian, a fellow driver or any property suffers any

injury/damage from your driving. 

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● Check for any past accidental claims taken by the previous owner which

should be mentioned in the Insurance receipt. In case there has been none, you can

also get a no-claim bonus  

Service-related Documents

Always check the service history of the car and demand for past service record

documents. This is to cross examine the actual running of the car, service intervals

and along with that you will also get to know if only the entitled mechanics at the

service station have serviced your potential purchase or not by going through the

records. Checking the past properly will help you learn a great deal about the car’s

present condition.

Form 32 & 35

These documents are relevant if the previous owner had taken a loan to purchase

the car. Ask the seller for a copy of the no-objection certificate (NOC) from the

finance company. This is to ensure that the entire loan on the car has been paid off.

If you fail to do so and there is still some amount pending to be paid by the last

owner, after getting the ownership transferred in your name, the bank will end up

asking you to pay the pending loan.

Road Tax Receipt

This is a one-time payment that has to be paid by the previous owner of the car. If

this tax isn’t paid, you will have to bear the burden of the penalty. So ensure that you

obtain a receipt for the tax paid.

Purchase Invoice/Sales receipt

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This is simply the bill that you receive when you purchase the car just like any other

ordinary purchase and you are handed over a bill/invoice. If you are buying it from an

individual, ensure that you ask for a sale receipt. While buying it from a dealership or

the company, you should get a printed invoice.

Step 2 – Miscellaneous checks: These things might take a bit of legwork, and you

very well know how much time the legal processes take in our part of the land. So

even before you are asked to get the smallest of documents and photocopies, let us

prepare you beforehand by just brushing through the steps below. 

      1. Obtain CC/NOC from the original RTO, where the vehicle is registered

If it is an in-state, same-city transfer CC (Clearance Certificate) is needed. If it is an

out-of-state transfer/other region transfer, a NOC (No-Objection Certificate) is

needed. If the vehicle you are purchasing is under loan, it will not be issued a

CC/NOC unless the loan is cleared. 

If the car you are purchasing is not under loan, documents required for the CC/NOC

include:

● Form 29, (Form 28 also required in case of vehicle from other region/state) –

3 copies.

● Proof of payment of Motor Vehicle Tax (up to date)

● NOC from prosecution branch of registering authority

● NOC from police commissioner/SP (for vehicles migrating out of state)

● All valid documents of the vehicle (original and photocopies.)

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If the car you are purchasing is under loan, you will have to apply for removal of

hypothecation before proceeding. The loan should be completely repaid for this to

happen. 

● Ask the owner to obtain NOC from the bank’s side after the loan is repaid.

● Go to the RTO where the car is registered with the NOC and all supporting

vehicle documents.

● You can apply for hypothecation and submit the documents. The

hypothecation will then be removed. 

● Once this is done, follow the regular procedure mentioned for car not under

loan, to obtain CC/NOC from RTO’s side.

     2. Apply for transfer of ownership in your home RTO

For this, the documents required are:

● Form 29, (Form 28 in case vehicle is from another region) – 2 copies

● Form 30 – 1 copy

● Original RC book (with RTO NOC stamp)

● DD (Demand Draft) for payment of life-tax of vehicle (you can get a refund

from the original RTO later)

● PUC Certificate

● Address and Identity proof

● Car insurance copy 

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 ● All valid vehicle documents and personal documents. (originals and

photocopies)

● 3 passport size photographs.

Do visit this link for further information. For information pertaining to your region, do

visit the state road transport department website. 

That is all there is to it. Once you go through all the checks above, you are hardly

going to face any difficulties in the process of documentation for your used car. The

only important step remaining now is- make the payment, ask for the keys, get inside

your purchased vehicle and drive it to your favorite destination or first get the holy

rituals done whichever suits you first!

Frequently Asked Questions to seller-

Section 1 - General

What are the benefits of selling your car to CarDekho?

● Let’s face it - every used car is different and equally importantly, not everyone is
aware of the amount of paperwork involved in a car transfer. Add to that the hassle
of visiting multiple dealers, getting to understand the process, and finally hoping that
you have indeed made the right decision to sell the car at a certain price to a certain
dealership. So we are trying to make life simple. Here is what we offer:

● Visit us once - we will offer you the best quote collected by auctioning your
car across multiple channels all over India in one go. No hassle of taking days on
end in getting quotes from various buyers or waiting for multiple buyers to show up.

● Or better still, don’t visit us even once, opt for Home Inspection, and we will come to
your doorstep to inspect the car

● Best prices, we’ve been working hard in this industry for years and have gathered
data from all over the country from various sources like our network of channel

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 partners, internal market researches, regular surveys and more to ensure that 1 visit
is all it takes for you to get the best price for your car.

● No waiting around to get your money. We offer one of the fastest money transfers in
the industry with no extra charge. Most of our customers receive the amount within
the day!

● Selling a car is not like selling a typical moveable asset, and involves significant
paperwork potentially involving multiple trips to the RTO the most basic of them
being RC transfer. Leave that part of the work to us - and we will do it for free. Plus
our T&Cs cover you for various concern areas till the Registration of the car is
transferred.

Do I need to book an appointment?

● We recommend that you book a slot in case there is a possible waiting time.

Just visit cardekho.com, select your car details and book an appointment.

Select the option - Request a Home inspection

Or simply call us on 1800-12345-2323 and speak to one of our representatives to

book a slot

And you’re set! We will inspect the car, get you the best price, and take it forward!

Section 2 - Store visits and Home inspections for Evaluation

What is car evaluation?

● The primary purpose of car evaluation, in addition to gaining insight into the general

condition of the car, is to enable and assist in the generation of the price quotation

for evaluated car from the market.

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 How does Cardekho’s Evaluation Process work?

● The Evaluation process consists of three steps.

● Physical Inspection - Vehicle is inspected on various aspects to check physical

condition.

● Test Drive - A small test drive is taken to check roadworthiness and performance of
engine and gearbox.

● Live Auction- The Inspection report is used to discover the price from the market by
conducting an auction on Cardekho auctions platform. (without showing customer’s
personal information and vehicle registration number)

● Do you offer Home Inspection?

● Yes, It is available in most cities. Please schedule a inspection from the comfort of

your home. We will visit at a time convenient to you, inspect the car, get you the best

price, and take it forward.

Please go to cardekho.com and book a home inspection visit or call us on 1800-

12345-2323.

● What is the process for Home Inspection?

● After the appointment is booked, you will get an SMS/ Whatsapp and on the day of

the inspection, a confirmation call. Our trained evaluator will visit you and will inspect

your car which usually takes 35-45 minutes. You will likely get a price quote within 1-

2 hours of that. If you agree to the price, the documentation can be completed at

your house during a separate visit.

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 What are your timings?

● Our branches usually operate from 10 am to 6:30 pm. Certain branches also follow
different days for weekly offs. While scheduling appointments on the website, you
will be able to see the operating dates and timings of the specific branch.

What should I do to reschedule my appointment?

● It's simple, give us a call on our toll-free number 1800-12345-2323 and one of our
dedicated customer care executives will help you reschedule. Or you could simply
use our website.
What documents do I need to bring to sell my car?
● Here’s a list of documents you need to keep handy

Basic Car Documents to have with you:

● RC/Registration Certificate (this is essential to start inspection)

● Car Insurance

● PUC or Pollution Certificate

● Duplicate Key (if available)

● Warranty, service records, and invoices (where available)

Situational documents:

● If your car is on loan, please keep loan documents handy

● If your car has been transferred interstate, keep the RTO NOCs with you

Clear documentation does have a big role to play in car valuation!

Personal Documents:

● PAN Card

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● Government-issued address proof (eg Aadhar)

● 2 passport size photos

● Cancelled cheque (to allow us to make the payments).

Note- these documents including the cancelled cheque should be of the car owner

i.e., whose name is on the RC.

In case it’s a Company Owned Car:

● An authorization letter from the company

● Company’s address proof

● Company’s PAN card, as well as the PAN card of the authorized person signing the
letter

Section 3 - During an inspection

How long will my car inspection take?

● Our evaluators are trained to check around 200 points of car condition and record
them in very quick time. On average, we tend to finish a car inspection within 35-45
minutes. Depending on the actual car model or the car condition, this could extend in
a few cases to 60-70 minutes as well.

Could I send my driver or family member for the inspection, or does it matter if I am
not present during the Home inspection?
● It is possible to do an inspection without your personal presence. However, you’ll
have to be there to sign off the documents, also, the final payment will be made only
in the name and account of the RC holder.

What happens if I have left some car or personal documents at home?

● We can note this in the inspection report, and before the actual sale transaction, the
documents can be collected. In the meantime, we will keep a small amount as
security with us. This amount will be paid to you when you submit the document's.

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 
What if I return with the documents later?
● In such a situation, we re-do parts of the car selling process again like re-inspecting

your car and rechecking the validity of the selling price quoted on your previous visit.

Our quotes are valid for 24 hours and may change depending on the channel partner

who bid the highest for your car.

The re-inspection only takes a few minutes, we just check if the car is in the same

condition as it was before.

Section 4 - Post the inspection

What is the process post deal finalization ?

● Once the token is paid to you, and the channel partner is awaiting the car, you must
complete all the formalities within 1 day and hand over the car to us. Failing this, you
will be liable to refund us double the token amount. A processing charge of INR
500/day will be levied, if the stock in is delayed beyond 3 days (excluding cases
wherein it is delayed for NOC/LFC/Challan etc.).

Does the amount offered and the final payment amount differ?
● The selling price you agree upon and the final payment you receive will differ in the
following cases:

● When there are some documents missing or are not available at the time of sale, we
withhold certain amounts (which are refundable when the documents are made
available within a TAT). Examples include:

● Holdbacks for party presence requirements (only for some RTOs)

● Bank NOC in case of hypothecation on the car (only for cars where there is a loan)

● Holdbacks in case of inter-state vehicles (till documents are verified)

● A small refundable security deposit for transferring the RC, refunded on successful
RC transfer or expiration of the maximum time mentioned for RC transfer.

● We also charge some fees. Examples include:

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● Nominal service charges depending on the value of your car

● Bank NOC collection charges

● Payment of pending challan/s

● Duplicate key missing

● No/expired car insurance

● List of Applicable Charges and Deductions

S.N
Item  Holdback Deduction Refund
o.

Standard Cardekho Service

Charges range from as low as

Rs.1200 Rs to Rs. 12,000 Rs

depending on your Car's

value and the State in which

you're selling the car. The

Standard service
1 - exact amount will be -
charges
communicated to you by our

executives at the time of

Token Payment. You may call

our toll-free number 1800-

12345-2323 in case of any

queries.

Original RC not
2 - INR 5,000 -
available

3 Original RC or INR 5,000 - Usually refunded

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 S.N
Item  Holdback Deduction Refund
o.

Duplicate RC – if the Original RC

Available but not is submitted

furnished within 7 days.

RC (Be it Original

or Duplicate) is
4 - INR 5,000 -
Faded /Damaged

RC

5 RC mismatch - INR 5,000 -

Insurance Expired

6 or expiring in 30 - INR 1,700 -

days

Insurance (Said to 0-4m- 1%

Holdback is forfeited in 7
7 be available, but 4-8m- 2% -
days if not provided
not furnished) 8-12m- 3%

Amount will be forfeited if a

request is made by Cardekho

INR 10,000 for a visit and it is not

to INR honored by you (at least 2

8 Party Presence 30,000, alternate days will be -

depending provided to you to choose

on the RTO from). Usually refunded after

a visit or after 180 days,

unless it has been forfeited.

9 Interstate NOC - INR 10,000 -

10 Interstate Vehicle INR 10,000 - Usually refunded

(wherein RTO after max 30 days

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 S.N
Item  Holdback Deduction Refund
o.

state is different
to you if no issue
from the state of
detected
sale of vehicle)

The amount will

be refunded if the

Maximum of customer

(Rs 25,000 or provides us the

11 Bank NOC 5% of the - Bank NOC within

purchase 30 days (can be

amount) extended to 45

days in

exceptional cases)

12 Second Key For cars up - Usually refunded

to INR 5 lakh if issue resolved

(purchase within 7 days

value) - INR

10,000 if

sensor key,

INR 4,000 if

non sensor

key

For cars

above INR 5

lakh

(purchase

value) - 2% of

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 S.N
Item  Holdback Deduction Refund
o.

deal amount

Online Challan
Challan Amount + INR
13 (within payment - -
200/Challan
due date)

Usually refunded

if challan cleared
Virtual Court Challan
by the customer
/Court Challan amount +
14 - within 15 days
(amount visible on INR
and the proof is
VAHAN) 1500/challan
submitted to

Cardekho.

Usually refunded

Virtual court if challan cleared

challan/court by the customer

INR
15 Challan (Amount - within 15 days
3000/Challan
not visible on and the proof is

VAHAN) submitted to

Cardekho.

Online Challan on
Challan Amount + INR
16 scrap car (with in - -
200/Challan
payment due date)

17 Virtual court Challan - Usually refunded

challan on scrap Amount +INR if challan cleared

cars (amount 1000/Challan by the customer

visible on VAHAN) within 15 days

and the proof is

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 S.N
Item  Holdback Deduction Refund
o.

submitted to

Cardekho.

Usually refunded

if challan cleared
Virtual court Challan
by the customer
challan on scrap Amount +
18 - within 15 days
cars (amount not INR
and the proof is
visible on VAHAN) 2000/Challan
submitted to

Cardekho.

Interstate

Transport Charges

– Applicable in
Charges as applicable for
19 case car’s RTO city - -
interstate transportation
is different from

car’s inspection

city

RC Particulars (If
INR 1,000- INR 3,000 (Varies
20 not visible on - -
from RTO to RTO)
VAHAN)

Towing Charges
21 - INR 2,000 -
(scrap car)

INR 4,000 in case CNG Plate

22 CNG Plate - -
is not available

23 RC - KYC Address INR 1,500 - Usually refunded

Mismatch if valid address

proof (same

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 S.N
Item  Holdback Deduction Refund
o.

address/ address

proof of the same

city as RC) is

provided by the

customer within 7

days

24 Backout Charges - INR 5,000 -

Hypothecation
25 - INR 1500 -
removal charges

Loan closure
26 - INR 1500 -
charges

27 Fastag Activation - INR 500 -

What are your modes of payment?

● At present, we have 3 modes of payment IMPS, NEFT, and RTGS (Real Time Gross
Settlement).

When is the payment made to me?

● The entire process should get complete within the same day, including when you are
still at the store. In a few cases, it may get extended to 1-2 days. We do not collect
the car before the payment is made.

Is the payment done in parts?

● Is the payment done in parts? No. At CarDekho, we transfer the entire amount in one
go via IMPS, NEFT or RTGS (Real Time Gross Settlement). Your time is valuable for
us and we don't want you to waste it chasing us for your money.

Section 5- RC transfer

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 How long does it take for the RC of the car to be transferred?
● It takes about 180 days for the ownership to get transferred to the new buyer. This

might vary depending on the finalization of the end buyer and the RTO requirements.

However, you do remain covered under the indemnity provided in your T&Cs from the

time you sell the car.

Do note that this time is not unusual - after procuring the car, we transfer it to one of

our channel partners, who after refurbishing the car, finally sells it to another buyer.

This is a lengthy process, and there is also time spent at the RTO waiting for the

transfer process to be completed.

Is my physical presence required at RTO during RC transfer process?

● Yes, wherever required, the Customer must cooperate and support for all requisite

formalities for the smooth transfer of ownership of the Vehicle which may include

without limitation personal appearances before government authorities including the

RTO (Party Peshi).

Section 6 - Others

I believe my car value is different from the price displayed on the site. What should I
do?
● Simple suggestion - please book an appointment. The price on the site is just an
estimate driven by various algorithms and does not take your specific car condition
and the general market trend during current days into account. For us to offer you
the best price for your car, you’ll have to allow our experts to inspect your vehicle at
your home.

I also want to buy another car? What should I do?

● You can let the call center representative know about your interest. Depending on
your choice, we’ll connect you to new or used car dealerships around you.

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 What makes of cars do you purchase?
● At CarDekho, we help sell cars of all makes and models aside from commercial cars.

Which vehicles are considered as Scrap?

● The following vehicles come under the scrap category:

● Registration certificate has expired

● Vehicle not in running condition

● Vehicle damaged beyond repairs/Burnt (Accidental /total Loss)

● Engine, Chassis number not traceable, rusted beyond recognition.

I have a fleet of cars. Can I get a better deal? What all can CarDekho offer me?
● At CarDekho, each car is inspected, evaluated, and sold individually. However, there
is a possibility of getting better deals. For this, you can get in touch with our team on
our toll-free number 1800-12345-2323.

Can you notify me when you have a good offer?

● We share all new deals and offers on our social media channels so none of our
followers miss out on anything exciting. Click to follow us on Facebook, Twitter and
Instagram

Why should I sell at CarDekho? Why shouldn’t I directly contact the dealer?

● Here are some of the reasons why:

● No listings, no annoying phone calls, 1-2 hours to sell a car

● Unbeatable resale value for your car (thousands of verified channel partners help get
the car’s resale value)

● Instant money transfer

● Hassle-free RC transfer

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● Loan closure assistance

● Scientific car inspection to ensure the best price

● Delivery receipt on company letterhead

Can I sell my car at the CarDekho even in cases of outstanding loan against the
vehicle ?
● Yes, you can sell your car at CarDekho in cases of outstanding loan. After finalizing
the deal, you will have to provide us with a Loan Foreclosure Letter from your bank.
After verification of the outstanding amount, we can settle your loan and pay you the
remaining amount from the deal value.

Compare Cars
Confused which Car you should buy? CarDekho helps compare two or more cars of

your choice with the best car comparison tool. Compare cars in India on various

parameters like price, features, specifications, fuel consumption, mileage,

performance, dimension, safety & more to make a smart choice for you.

CarDekho deliver improved customer experience-

GirnarSoft's CarDekho, an online marketplace to buy and sell used cars, was founded in 2008
by Amit Jain. The platform allows users and car experts to leave reviews,
specifications, instructions, useful tips, and images of cars that are being sold in the Indian
market. It has more than 3000 certified listings of used cars on the website. In the latest round
of series E funding in October 2021, the company raised $200 million, taking the brand
valuation to $1.2 billion and making it a unicorn. CarDekho has made excellent use of
technology to drive the sector - influencing customer behavior with regards to which cars to
buy and where to buy them from. Analyzing data has helped dealerships market the cars
better, target the correct audience, and boost their revenues. But the primary benefit
that CarDekho has gained by leveraging AI, ML, and other new-age technology is an
enhanced customer experience.  
Leveraging Big Data -

The customized content and product tools help in making smart recommendations to users.
The algorithm takes into account all parameters that a user would look at while buying a car.

64 | Page
These sorts and filters have allowed users to get the correct information right from technical
aspects to aesthetics to ease of maintenance, thereby aiding a quick purchase. "We use
predictive analytics to analyze data from customers’ online browsing behavior and
personalize their user journey and offers, thus making their car buying productive and
optimized.", says Umang Kumar, President, CarDekho.  

Empowering the Customer 

Transparency and availability of data has always been able to win over customers. Customers
look for correct information and a user-friendly process; when the two are brought together,
revenues always tend to rise. The CarDekho marketplace allows users to compare various car
models based on whatever parameters they choose - price, mileage, technical features,
servicing requirements, etc. Users can read official media reviews and reviews from various
car experts. The AI studies customer behavior by analyzing the data that gets captured in the
Dealer Management System and helps strategise product positioning and marketing
communication. Tools like chatbots and virtual assistants help dealers address hundreds of
queries in the day. Through new-age technology, whatever the customer wants to know about
buying a car, all their doubts and queries, are addressed viably and transparently. 
Connecto 
CarDekho bought a SaaS named Connecto, a machine independent tool that helps product
managers communicate efficiently with the target audience. It offers a user profile creator
that creates profiles by tracking user behavior in real time. Along with this, other features
include a notification engine and custom integrations, among others. “Being a tech-intensive
company, we are always on the look-out for more hi-tech startups to augment our tech
expertise. Connecto will help us create user profiles by tracking user behaviour in real time.
These user segments can then be interacted with in a personalised manner via web
notifications, specific emails, in-app notifications and chrome notifications,” said Amit Jain,
CEO, GirnarSoft. 
Intelligent Pricing  
The correct pricing for any product is always vital. If the pricing is wrong or constantly
fluctuating, customers tend to explore other avenues. So, while setting the
prices, CarDekho used an algorithm to create a selection of cars that are most sought-after by
the customers. This AI has an auto-pricing system that ascertains the best rate for the cars as
well as the ideal procurement rate for the sellers. Vivek Srivastava, Chief Product and
Technology Officer, CarDekho says, "With the help of AI, there's standardization and
consistency in pricing. Normally, while selling or dealing, there can be a chance of the
fluctuation of prices with a new day. But through AI and ML models, it is consistent which
brings in trust, transparency and also elevates the customer experience, which we strive to
provide to our customers." 
Smart Inventory 
The brand uses an AI that analyzes data procured from millions of data points to understand
buyer behavior and ongoing trends. Smart recommendations are then made to users that often
lead to a purchase. This AI and ML predictive analysis also helps in inventory management.

65 | Page
Inventory across sites is managed and only the correct number of cars are stored based on
location and necessity. This AI adoption helped the company bring down their maintenance
cost. "We have increased our efficiency on the cost by 50 percent because of usage of AI,
pricing procurement as well as management. All of this did not happen overnight, it took us
time to get these results.”, says Srivastava.  
For the past couple of years, the company has been taking strides in the right direction with
the use of AI and ML. They've even gone international with Oto.com in
Indonesia. CarDekho's future plans include providing a 360-degree image of the car on
the platform, an AI automobile inspection procedure, and ML that will detect defects in the
car. All this will lead to even higher quality standards and an enhanced customer experience.  

CarDekho selects Rezo.AI to deliver superior Customer Experience

CarDekho, car search venture, selects Rezo.AI, an AI-driven platform, to deliver superior
customer experience through WhatsApp automation. As a market leader, CarDekho aims to
further bolster its strength by leveraging the latter’s AI platform.

Customers expect to have personalized, frictionless, on-demand and data-driven experience

helping them to make a better decision. Rezo.AI is the first company to use Artificial
Intelligence for Whatsapp conversations. This highly advanced solution comprehends
CarDekho’s customer queries in English as well as Hinglish and is also able to respond to the
jargons or lingos with relevant information.

There is an exponential rise in the expectations of consumers for personalization and

seamless experience. Rezo.AI's conversational AI engine enables businesses to handle all
these challenges easily. It allows them to provide a seamless and personalized experience
to their customers.

CarDekho's Exclusive Services For Used Car Buyers

So you have narrowed down on your choice of used car? Great! It's time now to make
payment and zip off in your dream car. But what if you have trouble arranging money
upfront? Perhaps, you are still concerned about the used car being completely free of
defects. What if it breaks down or develops others issues such as a flat tyre –
something that's inevitable and can occur any time. Don't worry, help is at hand. At
CarDekho, you get a host of services that help you get around these problems and
ensure a tension-free used car buying and ownership experience. These include:

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1. Used car loan 

2. Used car certification and warranty

3. Roadside assistance

Used Car Loan

Taking a used car loan becomes imperative if an all-cash purchase is not feasible.

When you buy through CarDekho, we guide you not just in making the right used car

choice, but also in finding you the best loan. Here's what all you can count us on as

your trusted advisor:

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● Compare quotes from multiple banks: We have as many as seven major

banks partnering with us to offer you the best interest rates for your purchase.

Choose the one that suits you best. 

● Reduced processing time: We understand that waiting can be a great

botheration and have, hence, devised a way to reduce loan processing time to just 5

days.  

● Don’t come to us, we will come to you: Our representative will collect all the

necessary documents from your doorstep so you won’t even have to step out of the

house. 

● Get your money back and win rewards as well: What's more! You can even

get up to 100 per cent waiver of processing fees and free vouchers from Amazon on

getting onboard with us. 

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Used Car Certification & Warranty 

Opting for a certified used car from CarDekho ensures a virtually fault-free purchase.

That's because we have a dedicated CarDekho Trustmark channel that undertakes

as many as 217 multi-point checks before giving a clean sheet to a used car. The

checks are extensive and conducted by qualified technical personnel. Physical

inspection aside, we also do checks to ensure that the car has a clean, accident-free

record. To find a certified used car, you can either go online and search for a

TrustMark car in your vicinity or head to a used car dealership and look for the

'CarDekho TrustMark' sticker on the car.    

Once you have satisfied yourself of having picked a reliable, certified used car, it's

essential to get a warranty to avoid unnecessary expenses in case a defect occurs.

You can choose from two packages – the first covers only engine and transmission

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while the other is a comprehensive coverage. With CarDekho’s warranty, here’s what

all you stand to gain:

● Warranty coverage beginning same day: Coverage begins the moment you

sign on the papers 

● 24X7 road assistance: Claim anytime, anywhere

● Free vehicle condition report: Includes an in-depth report of all the 217

checks done in the car along with details of the vehicle’s standard features 

● Minimum time-lag assistance: to keep you from waiting too long

● Goodwill claims: Often, the warranty cover is extended to parts not covered as

well, as a goodwill gesture to our customers.

Road Side Assistance (RSA) 

Tyre puncture, mechanical failure, dead battery, heating problems and other issues

often come without any warnings. What’s worse is when you are caught in such

situations in the night or at a place without any repair shop nearby. This is where

CarDekho's Road Side Assistance (RSA) comes to your rescue. Our services are

tailor-made to your comfort and include India’s first 24X7 concierge support. Check

out the 10 RSA services on offer:

1. Assistance on the go: Feel free to avail this service anytime of the day (24X7) for

on-the-spot assistance and repair. Our team of trained representatives will assist you

in case of a breakdown.

2. Towing facility: In case a car needs repair and cannot be fixed at the site of

inspection, we will tow the vehicle to the nearest authorised workshop as per your

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RSA plan. It ranges from 40km-100km and a tow truck or flat-bed truck will be sent

depending upon the plan opted.

3. Flat tyre fix: Now, who hasn’t faced a flat tyre situation before? This is one of the

most common issues that drivers face. Our expert technicians will replace the flat

tyre with your vehicle's spare. In case you are not carrying a spare, we will take the

tyre to the nearest puncture repair shop and get it fixed.  

4. Jumpstart dead battery: We also provide support to jumpstart your car in case the

battery is discharged or is completely dead.     

5. Car locked or lost keys: Lost your car keys or locked them inside the car? Our

lockout experts will help you 24X7 support. 

6. Fuel refill: Ran out of fuel with no fuel pump nearby? We are there to help with

immediate refilling of 5 litres of fuel (charged separately). This service can be availed

anytime and anywhere.   

7. Call support: With our in-house call support there by your side 24X7, you are never

driving alone. Call us anytime you need a question answered. 

8. Free cab facility: If your vehicle needs towing due to a breakdown, we will arrange

a cab to get you to a convenient spot free of cost (covers cab fare of up to Rs.

1500). 

9. Hotel accommodation: If you get stuck somewhere on the outskirts of the city or

at an unfamiliar location, we can even make hotel arrangements for your stay. All

efforts are done to make the booking at the earliest for your convenience. 

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10. Medical support: We will contact and arrange help from the nearest

clinic/hospital in case a medical emergency arises due to a breakdown. 

All of the additional services mentioned above are aimed at making your buying and

ownership experience a smooth, hassle-free affair. It is in our interest to ensure that

your money is spent on a used car that runs trouble-free but if it doesn’t, you can

always rely on us and know that we are around to take care of the problem. 

ABOUT THE PROJECT (C2C)

C2C is a business model where customers purchase goods from other customers via a
third-party platform or business. 

● Businesses that facilitate C2C transactions help sellers reach vast numbers of
potential buyers.

● Companies running C2C marketplaces must maintain safe platforms and

quality controls, or desirable buyers and sellers won’t use them.

● This article is for entrepreneurs who want to understand the C2C

business model.  
C2C stands for “consumer to consumer” or “customer to customer”; it’s a business
model that fosters commerce between private individuals, usually in an online
environment. C2C companies act as intermediaries to foster engagement and help
consumers reach bigger audiences.

 
Whether a C2C platform focuses on goods or services, this e-commerce category
facilitates transactions between people. We’ll look at C2C commerce and explain
how this business model operates. 

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C2C commerce?

In the C2C model, a consumer – not a business – sells goods or services to another
consumer. 

Today, the C2C business model is typically associated with e-commerce and online
selling platforms like Craigslist or Etsy. Some C2C platforms, including OfferUp,
prioritize mobile commerce via apps. However, C2C can refer to any business that
creates a market between consumers.

A newspaper’s classified ads section or an in-person auction house are also

examples of C2C businesses. 

C2C companies facilitate consumer relationships, helping buyers and sellers locate
and engage with each other. They’re especially useful for niche markets.

For example, if you’re selling a used car, you you may not know anyone interested in
its specific make and model. However, a C2C marketplace can help you connect
with your target customer and make the sale. 

The C2C model allows customers to access hard-to-locate products and find the
best price among competing sellers.  

Did you know? 

Some sellers use C2C platforms as an arbitrage opportunity, buying goods, such as
high-quality used clothes, for their online resale business. 

How is C2C different from B2C?

While C2C platforms help consumers sell to other consumers, business-to-consumer

companies sell directly to consumers. Today, B2C typically refers to online retailers,
but traditional retailers like mall stores also follow a business-to-consumer model.  

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Here are some characteristics of the B2B business model: 

● B2B organizations typically offer various products or services they

develop or purchase from a manufacturer or originator.

● B2B companies make money by selling directly to their customers.

● To succeed, B2B companies must understand what customers want

and how to motivate them to purchase. 

● B2B companies usually have control over their products’ quality. 

● B2B companies must offer excellent customer service to stand out

and build customer loyalty and repeat business. 

In contrast, a C2C business’s primary service is helping sellers reach larger

audiences. They make money from fees or commissions they charge sellers in
return for listing items for sale. 

Additionally, since C2C websites are intermediaries that match buyers to sellers,
they have little control over product quality. 

What are the advantages of the C2C model?

C2C companies and participants enjoy several benefits from the business model. 

● C2C has minimal costs. Since C2C platforms don’t have to provide
products, minimal costs are involved. This keeps margins higher for sellers
and prices lower for buyers. 

● C2C is convenient for sellers. Sellers enjoy the convenience that

C2C marketplaces provide. For example, if someone wants to sell a collection

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 of old books, they don’t have to deal with the hassle of locating potential
buyers. Instead, they can join a C2C marketplace and access many potential
buyers. 

● C2C is convenient for buyers. Buyers also find the C2C model
convenient. They don’t have to research offline and drive around to visit stores
searching for an item they want. They can access a C2C site and easily
search for even hard-to-find items.

What are the disadvantages of the C2C model?

C2C businesses also create challenges for participants. 

● Credit card payments can be challenging. Credit card transactions

can be difficult on some C2C platforms. Some platforms may not support or
be able to process credit cards. However, options like PayPal and Venmo are
mitigating these challenges.  

● Lack of quality control. C2C transactions may lack quality control.

Since the sellers are consumers, there is often little recourse for poorly made
or misrepresented products. Additionally,
●
● because the buyers are also consumers, payment guarantees can be
hard to enforce.

● C2C platforms can be vulnerable to scams. C2C platforms can be

rife with scams as opportunists find ways to take advantage of others. Buyers
must be wary of sellers who can’t answer detailed questions about items for
sale. They should also avoid any seller that pressures them to buy
immediately.

● C2C platforms must enforce rigorous policies to ensure buyers and

sellers feel safe using their C2C marketplace. Many platforms implement
comprehensive selling policies that, if violated, result in the users being
banned. 

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What are examples of C2C companies?

Thanks to the internet, bigger and more powerful companies are fostering C2C
interactions. Here are some examples: 

● eBay. eBay is a prominent example of a C2C intermediary. It includes

fixed-price and auction items and appeals to customers seeking good deals
and hard-to-find products.

● Amazon. Amazon is both a B2C and C2C platform. Its Amazon

Marketplace focuses on third-party sellers offering new and used items.

●  Selling on Amazon requires creating a seller account, listing products,

and shipping directly to the consumer or Amazon.

● Craigslist. Craigslist is another well-known C2C marketplace where

people can buy and sell goods and trade services.

Craigslist’s localized sites for cities worldwide create a community feel.

Craigslist focuses on facilitating relationships.

For example, property owners can reach potential renters, and experts can
reach people who need their services.

● Etsy. Etsy began as an online community for artists, crafters, and

vintage fans. It’s now an established marketplace for unique, handmade,
original items.

● Facebook Marketplace. Facebook Marketplace connects buyers and

sellers in specific locations. All transactions are free, unlike eBay, which takes
a transaction fee on sales. 

● Airbnb. Airbnb allows users to post their residence for short-term

lodging to other users for a nightly rate.

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 ● Fiverr. Fiverr enables users to post a personal for-hire service for as
low as $5. These services range from giving financial advice to graphic
design.

C2C commerce has a bright future

The internet has enabled companies to create C2C marketplaces on an

unprecedented scale. In Europe,
the pandemic accelerated the C2C trend, consultancy McKinsey found, since so
many people took the time to get rid of unwanted possessions.

Additionally, since customers prefer sustainable products, sustainability concerns

could drive further C2C growth. 

One thing to note: creating a C2C platform is often unrealistic for SMBs since the
business model often requires having or building a huge audience.

Mercedes Benz India Introduces C2C Marketplace Platform

Marketplace allows Mercedes owners to sell their car from their comfort zone

● The platform provides both buyers and sellers distinct benefits

● Mercedes Benz aims to boost pre-owned car sales through Marketplace

Mercedes Benz India has introduced a new customer-to-customer selling platform called
‘Marketplace’.

Through this new platform, existing Mercedes Benz owners can get the best value for their
cars when selling them. Besides this, they can also create a larger inventory of certified cars
for the buyers of the pre-owned Mercedes Benz. 

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Mercedes Benz Marketplace: How Does it Work?
If you own a Mercedes Benz and you are looking to sell it, then you can do that with the
help of Marketplace.

You just have to make a choice between the 'Sell your Car' tab – which is just for selling the
car – and the 'Trade-in' tab – which is for selling the car and upgrading to a new Mercedes.
After selecting the tab you will have to fill in the relevant details of your vehicle. Once this
has been done, Mercedes will take care of the further steps.

These include evaluating the vehicle, finding the prospective buyer, arranging for test drives,
and ensuring the completion of transactions between the buyer & the seller. Besides these,
pre-owned car buyers benefit from this platform as all the paperwork and transactions are
taken care of by Mercedes.

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Mercedes Benz Marketplace: Impact of Marketplace on Pre-owned Business
Mercedes Benz aims to make the process of selling a car through ‘Marketplace’ hassle-free
and comfortable. Moreover, the luxury automaker ensures that there will be complete
transparency with a customer-centric approach catering to both new buyers and existing
owners.

Furthermore, it also aims to scale its pre-owned car business by 50 percent in the country
with the use of Marketplace. Currently, Mercedes claims that the online penetration of its
used car business is 20 percent. 

Objective of the Study -

the fast growing pre-owned auto industry with a particular focus on an merging economy
like India, to find out what drives the pre-owned vehicles business, how and why OEMs and
dealers compete in it, and they can be more successful in taking the advantage of the
opportunities it offers.

Developed vs emerging economy perspective has also been presented in terms of evolution,
approach, current status and effect on marketing strategy to bring out the contrast for the
readers.

Marketing Strategy is an overall marketing approach that is used to achieve objectives of the
strategic marketing plans. The mix is a bundle of variables which are offered to the
customer.

These include the product or service itself; its availability; its image and, of course, the price
which should be charged. Thus marketing strategy denotes the combination of various
elements, which in total constitutes a business’s marketing system.

“Fast Growing Pre owned Auto Industry & Strategic Marketing Challenges”

 is addressed to all marketing educators and practitioners worldwide mot concerned with
understanding of business in the context of emerging economies like India which are

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continuously growing at & above 6% GDP for last many years. 

This chapter will give an insight about consumer habits, socio economic and socio cultural
status of the consumers. Knowledge and insights presented through this topic and

chapter are mostly going to be similar for other industries as well and thus this present an
opportunity to peek into the diverse and emerging Indian Market and discuss the challenges
for organizations, business leaders & marketers who wish to make the most of fast growing
economies like India.

Market Overview & Current Status

Indian automobile Industry

Starting its journey from the day when the first car rolled on the streets of Mumbai in 1898,
the Indian automobile industry has demonstrated a phenomenal growth to this day.

Today, the Indian automobile industry presents a galaxy of varieties and models meeting all
possible expectations and globally established industry standards

The Indian auto industry is one of the largest in the world. The industry accounts for 7.1 per
cent of the country's Gross Domestic Product (GDP). As of FY 2015-16, around 31 per cent of
small cars sold globally are manufactured in India.

The pace of growth made India the world’s fifth largest passenger vehicle market by volume,
surpassing Brazil at 2.54 million vehicles.

Pre-owned Car Industry in India

Currently the pre-owned car market size is estimated at 3 million in India and it is growing.
Indian pre-owned market is dominated by unorganized players to an extent of 88 percent.

This comprises of nearly 80 percent of the deals, that are characterized by owner-to-owner
transactions out of which 30

percent through brokerage mediated by individual brokers and car mechanics etc.

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a miniscule 12 percent of the pre-owned car market is controlled by organized sector.
One area that worries pre-owned car purchaser is the authenticity of the car in India,

the equation between pre-owned cars and new cars is 1:1.2, that is, for every one new car
1.2 old cars are sold, and the pre-owned car market is growing faster, at the rate of 26
percent as compared to 18 percent for the new market.

There is a bigger pool of pre-owned cars, with more car models being launched and people
who buy new cars do not usually own it for long and tend to sell it off in two to three years.
Pre-owned car dealers provide the most affordable resources to the interested buyerS.

Reasons for the boom in Pre-owned Car industry-

Major factors for boom in the pre-owned car business in India are as follows:

·        Frequent introduction of new models of cars by most of the competing Indian and
global car makers in India has resulted in fast replacement cycles.

·        Decreasing prices and aggressive sales promotions of various car makers motivate
existing car owners to sell their used cars and acquire new cars.

·        Entry of global car makers into the Indian car industry and increasing competition in
the domestic market created a huge resource of pre-owned and new cars.

·        Most of the car makers want to enhance the residual value or resale value of their car
brands by providing higher prices in the pre-owned car market by exchange programs.
Higher pre-owned car prices generally increases the sale of new cars.

·        Demand for pre-owned cars, especially small cars, has increased from owners of two-
wheelers, who want to upgrade from two wheelers to cars, as the price gap between a new
two-wheeler, and a pre-owned car is negligible.

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·        For most of the new car dealers, selling a pre-owned car can get a profit of 10 percent
to 20 percent minimum, whereas, by selling a new car, they can get a maximum of 2% to 5%
profit margin. This makes the new car dealers to enter into the pre-owned car market.

·        Increasing income of middle class families in India is one of the major reasons for
growing demand for new and pre-owned car over a new car.

·        Generally, it is found among entry level customers before purchasing a new car; first
they will go for a pre-owned car. This is to adapt themselves and learn to drive cars in cities
as they are accustomed to driving two wheelers.

Global vs Indian Perspective

USA is the most developed pre-owned car market with roughly 38.3 million used cars
estimated to be sold in 2016-17 alone which is more than double of new cars which is
pegged at 17.6 million.

·        The United States has the most developed auction and wholesale market, resulting in
the highest share of independent dealers in the world market of pre-owned cars. Dealer
attitudes toward the used car business tend to be the most entrepreneurial and growth-
oriented.

·        The American car market is also characterized by a more developed “car culture” India.
As a result, emotional factors tend to play a bigger role in the used car buying process.

·        The U.S. has one of the highest vehicle ownership per capita of all markets; moreover,
multiple vehicle ownership is common and consumers change vehicles relatively often

The pre-owned car market in India has an inventory of 3.2 million cars and for every new
car sold, 1.2 pre-owned cars is sold. The Indian pre-owned car market is growing at 15 per
cent and which is expected to double in the next four years.

 Most of pre-owned car business still happens through unorganized multi brand
independent dealers but organized sector and online channel is growing fast

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·        Indian consumers tend to be more risk averse than their counterparts in other markets.
They are also more cost-

conscious. Almost 70% customers of pre-owned cars are first time buyers and in the age
group of 26-35 years.

·        Indian buyers tend to keep vehicles longer than in the United States, resulting in a less
active used vehicle market.

·        Majority of Indian pre-owned buyers buy the cars for their personal usage.

·        Use of online channels, is less developed and most of the Indian buyers still believe in
brick mortar car dealers.

Players in the Industry

Contribution of the organized sector in the used car business stood at 8% in 2011.
Today it hovers around 12% (4, 00,000 units) and by 2021 it is expected to touch 18% of the
total or 1.2 million units. Among the organized players, Maruti Suzuki was the first off the
blocks with Maruti True Value in 2001. Today many more automobile companies — from
Hyundai to Honda — have a presence in used cars.

Pre-owned car channels are highly fragmented, with four primary market segments

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But most of them deal with used cars of their own make, the primary intent being to feed
into their new car sales. However, some automakers like Renault, Volkswagen and Mahindra
are looking beyond.

 Mahindra First Choice & Carnation deal with multi-brand cars and MFC leads with a

presence in 923 physical outlets in 400 towns where they sell used cars with warranties.

Mahindra First Choice Business Model only organized multi-brand passenger car player-
trade-in, trade-out set up in India

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With online, many used car-focused classified platforms
like CarWale.com and CarTrade.com have also come up for buying and selling used cars.
Then there are some multi product online business models like Quickr & OLX which are
bring buyers and sellers at the same platform and work on and commission basis on each
transaction made.

Service offerings from new digital intermediaries – A Snapshot….

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Large, independent, third-party players too are getting into the fray with local players
like Mahalingam in Chennai and Shaman in Mumbai.

Customer Buying Process

The used car market is witnessing a shift towards the formal channel. OEM affiliated
dealerships have attained a substantial share of the market. This is a big reason for growth
of the used car trade itself as the customer considers buying a pre-owned car a meaningful
proposition.

As in the case of the new cars, the used car buyers too depend on word-of-mouth. The
internet is used for sourcing information.

In India a new car buying process roughly takes 6-8 months while in case of pre-owned cars
this duration comes down to 3-4 months.

Due to the availability of OEM certified pre-owned cars many buyers tend to keep pre-
owned cars for relatively good numbers of years. Typically a new car buyer takes roughly 4-8

years of time in exchanging his car while a pre-owned car buyer takes car for 2-4 year time
horizon.

Challenges to Pre-owned Industry in India

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·Currently organized industry is merely 12% of total pre-owned business and it is completely
driven by OEM of new cars. Most of these are actually deals with their own old car
customers to offset the risk of acquiring a non-moving unit & also building infra and set-up
for the other brand cars.

·OEMs as well as OEM dealers interest in selling only new cars for generating their major
part of revenue and profitability which is also being supported by the new car incentives at
the dealerships.

·Sales only, nature of other than organized market segments is the biggest hurdle in
instilling the confidence of used-car buyers. Most of the buyers of pre-owned cars would
always be worried about the post sales service & spares availability.

·Non-aggressive nature of unorganized players is also one of the most important challenge;
Most of them want to invest only in relatively less- older cars with only those brand and
models which are fast moving.

·Pre-owned car finance penetration in India is under 15% while that for new cars is
approximately 65%. Finance penetration is Significantly higher within the organized channel
(40% across the metros and non-metros), while the semi/unorganized channel is highly
fragmented with higher channel costs for lendersPre-owned car finance penetration in India
is under 15% while that for new cars is approximately 65%. Finance

penetration is significantly higher within the organized channel (40% across the metros and
non-metros), while the semi/unorganized channel is highly fragmented with higher channel
costs for lenders

·Maturing statuary requirements and emission norms are also the threat for the growth of
pre-owned industry. Due to strict emission norms; it is getting difficult to sell old age cars
with diesel engines.

·Complex administrative rules and regulations by government is also another challenge for
the conducive environment of growth for the pre-owned industry. Off lately, government

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and concerned authorities have relaxed the rules a bit and have also initiated the steps to
simply the process of selling and purchase of pre-owned card

Recommendation:

Pre-owned car business has flourished in US & Europe due to entry of players which
established business on the pillars of complete trust and transparency & these
characteristics of business are of far more greater importance in an emerging market like
India, where consumers are even more risk averse and less entrepreneurial.

Growth of pre-owned industry requires innovative business model and product offerings to
surpass the growth barriers.
OEM owned organized dealers shall provide a hassle-free car-buying or -selling experience
to customers.

OEM owned organized players shall also get into multi brand format to ease the process of
getting customers rid-off their old cars.

Independent organized players shall also invest in service & spares infrastructures and their
TAT of service and spares availability shall reduce and ultimately shall become equal to new
car dealerships.

National level scale of operations can help pre-owned players reduce the inventory and still
provide various brand options and varieties to buyers but this would require significant
capital investment from industry players.

Industry players further need to work on quality of product & service provided and
customer satisfaction. This is especially in case of non OEM players who tend to overlook
post sales service and customer satisfaction.

Industry players significantly need to invest in marketing and advertising of pre-owned

vehicles as still a lot of buyers look at second hand purchase against their dignity. A good
education can certainly change their perception towards pre-owned car purchase.

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The average age of vehicles in India has increased. As the fleet has grown older, major
service and repairs have become a growth opportunity for dealerships and independent
third-party service centers alike.

Pre-owned dealerships could take advantage of this trend by positioning themselves as a

trustworthy, reliable, and fairly

priced service center for older vehicles whose original manufacturer

warranties have expired. This would bring a lot of car owners to these organized service
stations and also an opportunity to sell them vehicles.

Online players can also bring in huge growth in the industry if they can also get into physical
stores installations. Currently, most of the online portals have become an interface for
potential buyers to come and compare various available vehicles but still buyers prefer to
buy only from physical car showrooms.

Easy finance can also fuel the growth in pre-owned car industry. Currently due to very
limited credit availability from private financers, not many buyers can afford to buy pre-
owned cars.

This segment rather goes for 2-wheelers. Some of the players can get into their own old
vehicle auto finance to reduce problem of pre-owned vehicle finance.

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Conclusion:
The pre-owned vehicles market has grown in size & importance in last 5 years and is poised
to continue to do so in future. A successful pre-owned vehicles strategy on the part of OEMs
and dealers is becoming essential to their operations and is increasingly recognized as such.

Sales of new and pre-owned vehicles are strongly interrelated; pre-owned sales affect
residual values and new vehicles pricing, in addition to relationships with customers and the
strength of brands.

Being an emerging market India has got its own challenges wrt to investments in
infrastructure from OEMs and government alike; OEMs have got this decision to make;
whether to invest in further new car dealerships in Tier-III & IV towns to reach rural India or
invest in Tier-I/II towns to further expand their pre-owned vehicles network. Similarly
government has also got to do a lot of investment in the infrastructure like internet, digital
& mobility solutions and easy financing for pre-owned vehicles.

Then profile of customers also matter a lot when it comes to owning pre-owned vehicles;
some of them could be very mature car buyers and some of them could be upgrade from 2-
wheelers and would be owning their first ever 4-wheeler in their lives.

In Indian pre-owned industry marketers have got challenge to first make potential buyers
aware of the pre-owned concept and then bring buyers of 2-wheelers and FTB on their
showrooms without losing their dignity of owning brand new vehicle vs owning a pre-owned
vehicle.

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Research design and methodology:

1.Population-

population comprises of all passenger car manufacturer of Delhi –National

capital region, all chassis suspension system suppliers and their sub
supplier. In Delhi-National capital region, we have two car manufacturer
named Maruti Suzuki and Honda sielcar .Maruti has two plant in Delhi-
National capital region located at Gurgaon and Manesar. Honda Siel Car
also has two plant in Delhi –National capital region located at Noida and
Tapukara . In Delhi-National capital region there are total four chassis
suspension system manufacturer named Gabrial, BWI
automotive ,Technico, Munjalshowa and their sub supplier called tier 2
supplier are in total termed as population

2.Sample Size-

Maruti Suzuki is largest number of car manufacturer in India having 41% of market
share where as Honda car having market share only 3.6% ( source report of Society of
Indian automobile manufacturer). Therefore we include only Maruti in our sample .
All four chaises suspension systems supplier of Maruti taken as sample and 70% of
their sub supplier taken into consideration as sample The sample set comprises inputs
from employees working in supply chain management at the level of executive,
manager and Head of supply chain department, similarly executive manger & head of
automation department of original equipment manufacturer and chassis suspension
system supplier. Representative and plant heads of sub supplier and also included in
some consultants and academic expert of subject Total sample size will be more 250
respondents.

 3.Sample slection-Our sample size has respondents from original equipment

manufacturer and then their supplier as chassis suspension system manufacturer called
tier 1 and their sub supplier called tier 2. Since every sample has non zero probability
of selection . Respondent categories based on their designation . So sampling
techniques will be used as probability stratified sampling. For sub supplier we had
taken 70% of total population and selection will be done randomly. Therefore
sampling technique for sub supplier will be probability random sampling

4. Sources and Methods of Data Collections -

The primary data will be collected from Maruti and its chassis suspension supplier’s
employee through aquestionnaire survey . This survey will take place on line
(electronics), delivery and collection of printed .somewhere specially for top
management face to face interview will take place . It include both close ended and
open ended question as well as by interviewing and cover the employees of supply

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 chain and automation department of passenger car manufacturer and their chassis
suspension system supplier plants. For consultant and academic expert and Plant
heads , head of department unstructured and open ended questionnaire will be part of
data collection. Secondary data will be collectedfrom various books on supply chain
management automation, research article in journals, periodicals, topic on automation
in magazines, report of committees, published research reports of automobile industry
and supply chain automation and websites, etc.
 5.Validity and Reliability -Statistics has three methods to check reliability or
repeatability of a survey named TestRetest, equivalent form and internal consistency.
In this research first piloted questionnaire of small group of 30 respondents will be
analyzed and we shall follow concept of test –Retest for validity and reliability.

 6.Data Analysis-
Data collected from all respondent will be represented by statistical techniques such
as tables, Graphs and charts . In this research we have data from three source named
original equipment manufacturer (car manufacturer), chassis suspension system
manufacturer and third one child components supplier. To know impact of supply
chain automation on its performance, data measurement scale will be of ratio scale
one sample case t-test used to test hypothesis and for sub supplier z test used to test
hypothesis. To know result of addressing challenges of automation , data
measurement scale will be Interval scale, therefore ANOVA table used to test
hypothesis. More over MS Excel spreadsheet and SPSS will be used for testing of
hypothesis and analyze the present data. Hypothesis will be tested at a confidence
level of 90% to accept or reject .

7. Role of Research in Decision Making Decision-making is the process of

selecting the best alternative from the availableSet of alternatives.Management is
chiefly concerned with decision-making and its implementation. These decisions
should be based on appropriate studies, evaluations and observations. This research
provides us with knowledge and skills need to solve the problems facing in
automation of supply chain management and to meet the challenges of a fast-paced
Decision Making environment. It will enable top management to take appropriate
decision in short span of time with data available at their desk thereby save time and
energy.

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Learning - Automotive Industry is at the cusp of big change. Some changes are obvious,
some are silent but sweeping. Traditionally, Automotive Industry had closed value chain,
established hierarchy among global players and clear brand image for customers. But as they
say, change is the only thing that is constant and its sweeping all facets of doing business.
The established players are adapting themselves , being nimble, unconventional and
innovative to secure their position in vastly different future. There is a lot to learn for players
from other industries.

1. Cooperation among Competitors :

Cut throat rivalry and competitive spirit is giving way to more accommodative cooperative
spirit. Vehicle manufacturers are embarking on joint R&D projects, production plants,
dealership networks that reduce to the risk and cost and increase the chances of success.

2. Welcome Disruptions :

Automotive market is disrupted like never before by Tesla, Google etc. Rather than
shunning the new competitors, existing players have accommodated them. Competencies
brought in by new players are blended with own core competencies by likes of Toyota,
Nissan to create cars of future.

3. Manage Big Transition :

Car used to be the icon of mechanical engineering supremacy not so long ago. Todays car is
more an electronic product than a mechanical product. It has 100s of computers, sensors
that manage the functioning of car and make it more efficient. Large

vehicle manufactures have collaborated well with Tier-1 companies, developed their
competency to manage this transition well.

4. Technology Divide :
Technology - especially powertrain technology is going to divide this world in two
compartments - high tech and low tech. On one hand markets like US, Western Europe and
Japan would boast of EV, Fuel Cell Vehicles on the other hand markets like LATAM, Africa
would need cars from previous century at competitive price.

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Automotive companies don't have the luxury to choose one over another. They need to
succeed at both ends. Entire Automotive value chain from vehicle manufacturers to
suppliers to service providers are managing this divide extremely well.

5. Object of possession to mode of mobility :

Very soon driving a car would either become redundant (due to Autonomous car) or
avoidable (due to excessive congestion) In both cases, car would make a transition from
object of possession to a mere mode of mobility.

Car companies are aware of this silent tsunami and are taking all possible steps to secure
their market position in Mobility scenario. They would need to re-invent themselves not just
in product or services but also business models.

1.

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