1.1 1.1.1 1.1.2 1.1.3 1.1.4 1.1.5 1.1.6 1.1.7 1.1.8 1.1.

Profile of the Organisation: Overview of the Organization Management of the Organisation Present Leadership Shareholding and Liquidity Key areas of Operations History Establishment Business Competitors

1.1.10 SWOT analysis 1.1.11 Different products of SBI 1.1.12 Awards and Recognitions 1.1.13 Vision and Mission 1.1.14 Market position of SBI

1.2 1.2.1

Theoretical Description: Meaning of Auto Loan

Why Auto Loan is Necessary? 1.2.2 Meaning of Customers Perception

Why it is necessary to know about Customers Perception? 1.3 1.4 Objectives of Study Scope of Study

1.1.1

Overview of the Organisation: State Bank of India is the largest and one of the oldest commercial bank in India, in existence for more than 200 years. The bank provides a full range of corporate, commercial and retail banking services in India. Indian central bank namely Reserve Bank of India (RBI) is the major share holder of the bank with 59.7% stake. The bank is capitalized to the extent of Rs.646bn with the public holding (other than promoters) at 40.3%. SBI has the largest branch and ATM network spread across every corner of India. The bank has a branch network of over 14,000 branches (including subsidiaries). Apart from Indian network it also has a network of 73 overseas offices in 30 countries in all time zones, correspondent relationship with 520 International banks in 123 countries. In recent past, SBI has acquired banks in Mauritius, Kenya and Indonesia. The bank is listed on the Bombay Stock Exchange, National Stock Exchange, Kolkata Stock Exchange, Chennai Stock Exchange and Ahmadabad Stock Exchange while its GDRs are listed on the London Stock Exchange. With this type of strong base, SBI has displayed a continued performance in the last few years in scaling up its efficiency levels. Net Interest Income of the bank has witnessed a CAGR of 13.3% during the last five years.

1.1.2

Management of the Organisation: The bank has 15 directors and 1 Chairman on the Board and is responsible for the management of the Banks business. The board in addition to monitoring corporate performance also carries out functions such as approving the business plan, reviewing and approving the annual budgets and borrowing limits and fixing

exposure limits. Shri Pratip Chaudhuri, assumed charge as Chairman of State Bank of India on 7th April 2011. Born on 12th September 1953, Mr. Chaudhuri joined State Bank of India as a Probationary Officer in the year 1974. Immediately prior to taking over as Chairman, Mr. Chaudhuri was Dy. Managing Director (International Banking Group), State Bank of India. During his tenure of 37 years in State Bank of India, Mr. Chaudhuri has held a number of important positions, including those of Dy. Managing Director (IBG), Chief General Manager (Foreign Offices), Chief General Manger of Chennai Circle and General Manager (Mid Corporate Group).

Mr. Chaudhuri also headed State Bank of Saurashtra, and piloted its merger with State Bank of India. Shri. Hemant G. Contractor is Managing Director, Group Executive (International Banking), Whole-Time Director of State Bank Of India since 7, April 2011. Prior to this appointment, he was Deputy Managing Director & Chief Financial Officer. He has background in Treasury, Credit and Corporate Banking, besides overseas experience in Bahrain. He was earlier posted as Deputy Managing Director & Group Executive (Corporate Banking) and Chief General Manager, Chandigarh Circle.

1.1.3

Present Leadership:-

2 1 2 3 4 5 6 7 8 9 10 11 12 13

Sr. No Name . Shri Pratip Chaudhuri Shri Hemant G. Contractor Shri Diwakar Gupta Shri A. Krishna Kumar Shri S.Vishvanathan Shri S. Venkatachalam Shri D. Sundaram Shri Parthasarathy Iyengar Shri Thomas Mathew Shri Jyoti Bhushan Mohapatra Shri S.K. Mukherjee

Designation Chairman Managing Director Managing Director Managing Director Managing Director Director Director Director Director Workmen Director Officer Director Director Director Employee Employee

Under Section of SBI Act 1955 19 (a) 19 (b) 19 (b) 19 (b) 19 (b) 19 (c) 19 (c) 19 (c) 19 (c) 19 (ca) 19 (cb) 19 (d) 19 (d) 19 (d) 19 (e) 19 (f)

Dr. Rajiv Kumar Shri Deepak Amin Shri Harichandra 14 Director Bahadur Singh 15 Shri Rajiv Takru Director 16 Dr. Urjit R. Patel Director 1.1.4 Shareholding and Liquidity (till Dec31,2012):-

State Bank of India (SBI) is sitting on excess liquidity to the tune of Rs 70,000-80,000 crore which is an indication of slower demand for loan in the economy.Indicating this, SBI chief Pratip Chaudhuri said that the bank has seen robust growth in deposit mobilisation while demand for loan is lukewarm. It may be recalled that the excess liquidity to the tune of rs 70,000 crore way back in 2009 had prompted the former chairman O P Bhatt to launch home loan at a fixed rate of 8% for first year - a scheme which was later termed as teaser scheme and disapproaved by the Reserve Bank of India.

1.1.5 Key Areas of Operations:-

1.1.6 History:The origin of the State Bank of India goes back to the first decade of the nineteenth century with the establishment of the Bank of Calcutta in Calcutta on 2 June 1806. Three years later the bank received its charter and was re-designed as the Bank of Bengal (2 January 1809). A unique institution, it was the first joint-stock bank of British India sponsored by the Government of Bengal. The Bank of Bombay (15 April 1840) and the Bank of Madras (1 July 1843) followed the Bank of Bengal. These three banks remained at the apex of modern banking in India till their amalgamation as the Imperial Bank of India on 27 January 1921.

Primarily Anglo-Indian creations, the three presidency banks came into existence either as a result of the compulsions of imperial finance or by the felt needs of local European commerce and were not imposed from outside in an arbitrary manner to modernise India's economy. 1.1.7 Establishment:-

The establishment of the Bank of Bengal marked the advent of limited liability, jointstock banking in India. So was the associated innovation in banking, viz. the decision to allow the Bank of Bengal to issue notes, which would be accepted for payment of public revenues within a restricted geographical area. This right of note issue was very valuable not only for the Bank of Bengal but also its two siblings, the Banks of Bombay and Madras.

Group Photograph of Central Board (1921)

1.1.8

Business:-

The business of the banks was initially confined to discounting of bills of exchange or other negotiable private securities, keeping cash accounts and receiving deposits and issuing and circulating cash notes. Loans were restricted to Rs.one lakh and the period of accommodation confined to three months only. The security for such loans was public securities, commonly called Company's Paper, bullion, treasure, plate, jewels, or goods

'not of a perishable nature' and no interest could be charged beyond a rate of twelve per cent. Loans against goods like opium, indigo, salt woollens, cotton, cotton piece goods, mule twist and silk goods were also granted but such finance by way of cash credits gained momentum only from the third decade of the nineteenth century. Indians were the principal borrowers against deposit of Company's paper, while the business of discounts on private as well as salary bills was almost the exclusive monopoly of individuals Europeans and their partnership firms. But the main function of the three banks, as far as the government was concerned, was to help the latter raise loans from time to time and also provide a degree of stability to the prices of government securities.

Old Bank of Bengal

1.1.9 Competitors:-

Top Performing Public Sector Banks

Andhra Bank Allahabad Bank Punjab National Bank

Dena Bank Vijaya Bank Top Performing Private Sector Banks HDFC Bank ICICI Bank AXIS Bank Kotak Mahindra Bank Centurion Bank of Punjab

Top Performing Foreign Banks Citibank Standard Chartered HSBC Bank ABN AMRO Bank American Express

1.1.10 SWOT analysis :-

Strength:

SBI is the largest bank in India in terms of market share, revenue and assets.

As per recent data the bank has more than 13,000 outlets and 25,000 ATM centres The bank has its presence in 32 countries engaging currency trade all over the

world

Weaknesses:

Lack of proper technology driven services when compared to private banks Employees show reluctance to solve issues quickly due to higher job security and

customers waiting period is long when compared to private banks

The banks spends a huge amount on its rented buildings

Opportunities:

Mergers will result in expansion of market share to defend its number one

position

SBI is planning to expand and invest in international operations due to good

inflow of money from Asian Market

Since the bank is yet to modernize few of its banking operations, there is a better

scope of using advanced technologies and software to improve customer relations

Threats:

Net profit of the year has decline from 9166.05 in the year FY 2010 to 7,370.35 in

the year FY2011

This shows the reduce in market share to its close competitor ICICI

Other private banks like HDFC, AXIS bank etc

1.1.11 DIFFERENT PRODUCTS OF SBI:DEPOSIT LOANS CARDS Savings Account Life Plus Senior Citizens Savings Account Fixed Deposits Security Deposits Recurring Deposits Tax-Saver Fixed Deposit Salary Account Advantage Woman Savings Account Rural Savings Account People's Savings Account Freedom Savings Account Loans against Securities Two Wheeler Preapproved Loans Retail Asset Commercial Cards Corporate Cards Prepaid Card Home Loans Loan Against Property Consumer Cards Credit Card

DIFFERENT CREDIT CARDS SBI International cards SBI Gold cards

Personal Loans Car Loan

Travel Card Debit Cards

SBI Gold Master cards Your City Your Cards

Partnership Cards

Purchase Card

SBI Employee Cards

Farmer Finance Business Installment Loans Flexi Cash

Distribution Cards Business Card SBI Advantage Cards

Merchant Services

1.1.12 Awards and Recognitions:-

1.1.13 Vision and Mission of the Organisation:-

Vision A Pioneering, Apolitical and Responsive officers Union movement with Enlightened values, Committed Cadre,

Inspiringly led, Ever at the focused services of the members, the Bank and the community at large Mission ..

* To carry the torch of an exemplary SBI Officers Union Movement; * Ever alive to Uniting, Protecting, Securing and Satisfying the committed and enthused members; * Ever facilitating the growth and development of quality Bank Professionals; * Ever offering trusteeship role in meeting the challenges of SBI in the face of changing Economic Scenario;

* Ever trusting in continuous search, improvement and education with a concern for all that is noble, just and praiseworthy in our movement, Bank and Nation.

1.1.14 Market position of SBI:-

1.2 Theoretical Description:1.2.1 Meaning of Auto Loan: An auto loan is a loan used to finance the purchase of an automobile and usually backed by a lien on the vehicle. The subject of auto loan comprises the different financial product which allows someone to acquire a car with any arrangement other than a single lump payment. The provision of car finance by a third party supplier allows the acquirer to provide for and raise the funds to compensate the initial owner, either a dealer or manufacturer. Car finance is required by both private individuals and businesses. All types of finance products are available to either sector, however the market share by finance type for each sector differs, partly because business contract hire can provide tax and cash flow benefits to businesses. What all the documents needed at the time of Auto loan?: Auto Loan Application Form - Annexure DOCUMENT CHECK-LIST

Particulars of the documents required to be submitted along with the fully completed application form.

GENERAL DOCUMENTS (APPLICABLE TO ALL) 1. Application form duly filled by the borrower, Co-borrowers (if applicable) and submitted along with 2 photographs each. 2. Proof of identity (Photocopies of PAN/Passport/Drivers License, Voter ID card) 3. Proof of Residence (photo copies of recent Telephone Bills/ Electricity Bill/Property tax receipt/ Passport/ Voters ID card) 4. Statement of Bank account for last 6 months held by the applicant/s. 5. Personal asset liability statement in the Banks standard format. ADDITIONAL DOCUMENTS: FOR SALARIED EMPLOYEES 1. Latest Salary slip. 2. Copy of identity card issued by the employer. 3. Form16 or IT Returns for the last 2 years. 4. Irrevocable Letter of Authority addressed to disbursing authority 5. Irrevocable Letter of Authority from the person authorized to disbursed salary and allowances FOR SELF EMPLOYED/PROFESSIONALS/BUSINESSMEN 1. Photocopies of IT Returns/Assessment orders for the last 2 years. 2. Balance sheet and Profit and Loss A/c for the last three years (Certified true copy) 3. Proof of business address.

4. Business proof (Registration Certificate of establishment, Gumasta /Trade license, Sales Tax Registration,etc.) 5. A photocopy of Certificate of Practice (if applicable). 6. TDS Certificate (Form 16A, if applicable) FOR AGRICULTURISTS AND PERSONS ENGAGED IN ALLIED ACTIVITIES 1. Documents showing Land Holding 2. Documents showing Cropping Pattern 3. Interview Form FOR NRIs AND PIOs For Borrower: 1. 2 passport size photographs of borrower. 2. Signature identification from bankers of borrower. 3. A copy of passport /voters ID card/PAN card. For Guarantor: 1. Copy of passport including page containing visa stamping. 2. Copy of valid work permit/ work contract and Appointment letter. 3. Copy of identity card issued by the employer. 4. Statement of overseas bank account for the last six months which reflects credit of salary, savings etc 5. Salary slips for the last three month or Tax Returns(if applicable) 6. Copy of Continuous Discharge Certificate in respect of applicants employed in Merchant Navy. 7. Power of Attorney, if applicable, in Banks standard format duly stamped and notarized/attested by Indian Embassy/Consulate.

VEHICLE DOCUMENTS 1. Original copy of Performa invoice (quotation). 2. Booking receipt. TAKE OVER LOAN FROM OTHER BANK 1. Original Sanction letter of financer. 2. A/c statement of the financer. 3. RC Book, Insurance Copy. 4. Foreclosure letter. 5. List of documents held by the financing institute. 6. Letter undertaking to issue NOC, from the current lender bank/FI.

1.2.2 Meaning of Customers Perception:-

Customer perception applies the concept of sensory perception to marketing and advertising. Just as sensory perception relates to how humans perceive and process sensory stimuli through their five senses, consumer perception pertains to how individuals form opinions about companies and the merchandise they offer through the purchases they make. Merchants apply consumer perception theory to determine how their customers perceive them. They also use consumer perception theory to develop marketing and advertising strategies intended to retain current customers -- and attract new ones.

Why it is necessary to know about Customers Perception: In todays globalising economy competition is getting more and more fierce. That means it becomes more difficult for products and services to differentiate themselves from other offerings than ever before. Customer behaviour becomes more hybrid. On one hand, customers are increasingly price sensitive searching for bargains at marketplaces like ebay or buying their groceries at discount markets. On the other hand they enjoy branded and luxury goods. One and the same person may plan a weekend trip with a no-frills airline and a stay at a five-star-hotel.

1.3 Objective of Study: First and foremost objective is to find out the reasons for using of Auto Loans from SBI. To find out that what different services in auto loans other banks are giving to their customer. To generate the leads through the survey.

To sort out the prospective leads from the data I have collected through the survey.

To build the relationship with the customers and to follow up them, make sure that they are satisfied with the product.

To place SBI Auto loan ahead of the competitors.

To make the customer aware of the benefits of the product and convince him to go for SBI Advance Product.

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1.4 Scope of Study:-

The geographical scope of the study is restricted to Delhi only with sample size of 100 people.

All the analysis and suggestions are based on the analysis of the both primary and secondary data.

Therefore the scope of the study revolves around the following aspects:-

Consumer perception towards Auto Loans. Consumer awareness about Auto Loan scheme and its benefit. Aware the Bank about the customer problems, especially in case of automobile sector.

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2.1 2.2

Methodology Methodology used for Data Collection. Methodology used for Data Analysis.

Research methodology Research methodology is a methodology for collecting all sorts of information & data pertaining to the subject in question. The objective is to examine all the issues involved & conduct situational analysis. The methodology includes the overall research design, sampling procedure & fieldwork done & finally the analysis procedure. The methodology used in the study consistent of sample survey using both primary & secondary data. The primary data has been collected with the help of questionnaire as well as personal observation book, magazine; journals have been referred for secondary data. The questionnaire has been drafted & presented by the researcher himself. 2.1 Methodology used for Data Collection: DATA:- Data are values of qualitative or quantitative variables, belonging to a set of items. Data are typically the results of measurements and can be visualized using graphs or images. Data as an abstract concept can be viewed as the lowest level of abstraction from which information and then knowledge are derived.

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DATA COLLECTION: - It refers to collection of information .for a research to suceed rawfacts must be collected in a form which helps in effective production of result and meeting the objective of study.

SOURCES OF DATA COLLECTION: PRIMARY DATA:- Primary data is the data which is collected by the researcher directly from his own observations and experiences. For example, if the researcher conducts a survey for the collected of data then it is known as primary data.

SECONDARY DATA:- Secondary data is data that has already been collected and collated by somebody for some reason other than the current study. It can be used to get a new perspective on the current study, to supplement or compare the work or to use parts of it, as another study may prove costly and time consuming e.g. the census.

2.2 Methodology used for Data Analysis:

Sample Size:

Sample of 100 people was taken into study, and their data was collected

Sampling Technique:

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To study the Project, a Simple Random Sampling technique is used.

Data Collection:

Collection of data is done by Secondary Data & through Questionnaire

i.e., Primary data was collected through Questionnaire.

Data Analysis:

After data collection, Im able to analyze customers views, ideas and opinions related to Auto loan provided by SBI and from this, SBI will come to know the customer requirements.

Data Interpretation:

Interpretation of data is done by using statistical tools like Pie diagrams, Bar graphs, and also using quantitative techniques (by using these techniques) accurate information is obtained.

Classification & tabulation of data:

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The data thus collected were classified according to the categories, counting sheets & the summary tables were prepared. The resultant tables were one dimensional, two dimensional.

Statistical tools used for analysis:

Out of the total respondents, the respondents who responded logically were taken into account while going into statistical details & analysis of data. The tools that have been used for analyzing data & inference drawing are mainly statistical tools like percentage, ranking, averages, etc.

As per questionnaire and market surveys I have find out different responses from different people. According to their responses I analyze the findings and draw certain remarks.

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Data Analysis and Interpretation

Q1. On which bank you depend for your regular transaction? SBI ICICI HDFC OTHER TOTAL NO. OF PEOPLE 80 7 5 8 100

It has been observed that 50 correspondents are using the service of SBI for their daily transaction, 9 people are using ICICI Bank for their transaction and only 5 & 6 of people are using HDFC & other Bank service respectively. It also shows that SBI have the highest market position in between customers as per my sample.

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Q-2 How did u come to know about SBI? Internet Advertisement Friends or Family Others Total no. peoples 17 24 35 4 80

It has been observed that 17 correspondents came to know about SBI from Internet, 24 from Advertisement, 35 from Family and Friends, and 4 from others. It also shows that most of the Correspondents know about SBI from Family and Friends as per my sample.

Q-3 What is your Occupation? Salaried Self- employed Retired 32 41 7

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It has been observed that 32correspondents are from Salaried or Service sector,41 correspondents are Self- employed and 7 correspondents are Retired from there jobs . It also shows that most of the Correspondents are self- employed as per my sample.

Q-4 What is your annual income? Below 1 lakh 1-2 lakh 2-3 lakh Above 3 lakh 19 11 24 26

It has been observed that 19 correspondents are those who are earning below 1 lakh p.a., 11 correspondents are those who are earning 1-2 lakh p.a., 24 correspondents are those who are earning 2-3 lakh p.a., and 26 correspondents are those who are earning above 3 lakhs p.a.,. It also shows that most of the Correspondents are those who are earning above 3 lakhs as per my sample.

Q-5 Do you have vehicle? Yes No 72 8

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Q-6 Which type of vehicle do you own?

It has been observed that 23 correspondents own Two wheeler and 49 Correspondents own Four wheeler vehicle. It also shows that most of the Correspondents own four wheeler vehicle as per my sample.

Q-7 Does your vehicle is on loan?

It has been observed that 66 correspondents vehicle is on loan and 6 correspondents vehicle is not on loan . It also shows that most of the Correspondents know about SBI from Family and Friends as per my sample.

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Q-8 If yes, from which bank you took loan? SBI ICICI HDFC Other bank 53 5 3 5

It has been observed that 53 correspondents took loan from SBI bank, 5 correspondents took loan from ICICI bank, 3 correspondents took loan from HDFC bank and 5 correspondents took loan from other banks. It also shows that most of the Correspondents took loan from SBI bank as per my sample.

Q-9 Are you aware of auto loan provided by SBI? Yes No 53 13

It has been observed that 53 correspondents are aware of SBI auto loan and 13 correspondents are no aware of SBI auto loan. It also shows that most of the Correspondents know about SBI auto loan from as per my sample.

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Q-10 Have you ever used auto loan service provided by the SBI? Yes No 53 13

It has been observed that 53 correspondents have already used SBI auto loan and 13 correspondents have not used SBI auto loan. It also shows that most of the Correspondents used SBI auto loan from as per my sample.

Q-11 If, yes which feature you like most in loan segment of SBI? Less paper work Attractive interest rate Simple and fast processing Any other feature 17 28 3 5

It has been observed that 17 correspondents like the less paper work of SBI auto loan , 28 correspondents like attractive interest rate, 3 correspondents like simple and fast processing and 5 correspondents like some other features .It also shows that most of the Correspondents like attractive interest rate of SBI auto loan from as per my sample.

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Q-12 What do u feel about auto loan provided by SBI? Bad Satisfactory Good Excellent 0 13 32 8

It has been observed that Nobody feel bad about SBi auto loan, 13 correspondents feel its satisfactory, 32 correspondents feel its good, and 8 correspondents feel its excellent. It also shows that most of the Correspondents feel good about SBI auto loan as per my sample.

Q-13 How do u rate SBI in comparison with other banks? Very poor Bad Average Good Better 0 0 15 28 10

It has been observed that 15 correspondents rate SBI as average bank in comparison to others, 28 correspondents thinks it as a good bank, and 10 correspondents thinks it is better than others. It also shows that most of the Correspondents think that SBI auto loan is good from others as per my sample.

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