GCRG Memorial Trust's Group of

Institutions, Lucknow

Faculty of Management
A Project Report
on

IDENTIFICATION

OF CONSUMER SATISFACTION LEVEL

OF BAJAJ AUTOMOBILE CUSTOMER IN LUCKNOW CITY

Submitted for partial fulfillment for award of

Master of Business Administration

Degree

SUBMITTED TO

SUBMITTED BY

Mr. PashupatiNathVerma

SHARAD MOHAN SRIVASTAVA

Head of MBA Department

(Roll No:1362070049)

UTTAR PRADESH TECHNICAL UNIVERSITY,

LUCKNOW, INDIA

June, 2015
ACKNOWLEDGEMENT
The research work requires co-operation of many people and
this work is no exception. It is difficult to thank individually all
the persons who patronized this work. The researcher had
asked for favors, borrowed ideas, expressions and facts from
so many that it would require one volume to give credit to all.
So, the researcher wants to thank all the patrons of this report
I wish to express my profound gratitude to Mr. Pashupati NathVerma (HOD)
for his unhitching support during my work. He is the true driving force behind
this work throughout, constantly encouraging me to do my best and inspiring
me to aim higher.
I am also very thankful to all the faculty members, the whole
college staff for providing me with necessary facilities and
support, essential for bringing out this work in a short time.
Last but not the least, I am thankful to all respondents, who
gave me their precious time and support to fulfill this task,
without their co-operation the study would not have seen the
light of the day.

SHARAD MOHAN SRIVASTAVA

IVth Semester
Roll No- 1362070049

DECLARATION

hereby

declare

IDENTIFICATION
LEVEL

OF

LUCKNOW

that

this

OF

CONSUMER

BAJAJ
CITY

Project

AUTOMOBILE
in

the

partial

Report

entitled

SATISFACTION
CUSTOMER

fulfillment

of

IN
the

requirement of Master in Business Administration (MBA) of

GCRG, is based on primary & secondary data collected by
me from various departments, books, magazines and
websites under guidance of my HOD Mr. Pashupati Nath
Verma.
It is my own work to the best of my knowledge & contains
no material written by any other person.

SHARAD MOHAN SRIVASTAVA

IVth Semester
Roll No- 1362070049

CERTIFICATE FROM THE HEAD OF THE DEPARTMENT

Table of Content
Particular

ACKNOWLEDGEMENT

DECLARATION

CERTIFICATE FROM THE HEAD OF THE DEPARTMENT

TABLE OF CONTENT

PROJECT SUMMARY
Research Objective
Results
Conclusions
PART-I
1. INTRODUCTION TO THE INDUSTRY
1.1
Industry Profile
1.2
Major Players
1.3
Recent Problem Faced by Industry.
PART-II
2. INTRODUCTION & DESIGN OF STUDY
2.1
Introduction to the problem
2.2
Review of Literature
2.3
Objective of the Study
2.4
Research Problem
3. RESEARCH METHODOLOGY
3.1
Research Objective
3.2
Research Hypothesis
3.3
Research Design
3.3.1 Sampling Design
3.3.2 Data Collection Design
4. DATA COLLECTION & FIELD WORK
4.1
Data Editing
4.2
Data Coding
4.3
Coded Data
5. DATA ANALYSIS & INTERPRETATION
5.1
Graphical Representation
5.2
Data Analysis: Different Measures
5.3
Data Analysis: Test of Hypothesis
5.4
Interpretation of Research Findings
6. FINAL REPORT
6.1
Results
6.6.
Conclusions
6.7.
Limitation
6.8.
Further implications
7. APPENDED PARTS
7.1
Data Collection Forms
7.2
Bibliography
7.3
.

Page No.

Executive Summary

The present aim at examining the Identification of

Customer satisfaction Level of Bajaj automobiles customers in
lucknow city
The importance of the study is emphasized by the fact
the

Customer

disappointment

Satisfaction
resulting

is

from

person
comparing

feelings
a

(or)

products

performance in relation to his/her expectations. It is the key to

generate the high customer loyalty.

The

measures

the

Customer

satisfaction

level

research survey was conducted with sample size of 60. The

information is collected with the help of questionnaire through
personal interview and study is revealed that the most of the
customer are satisfied with Bajaj.

Chapter-1

PART-I
Introduction on topic

Identification of consumer Satisfaction level of Bajaj

Automobile customer in Lucknow city

Satisfaction is a persons feelings of pleasure or disappointment

resulting from comparing a products perceived performance
(or outcome) in relation to his or her expectations. Whether the
buyer is satisfied after purchase depends on the offers
performance

in

relation

to

the

buyers

expectations.

If

theperformancefalls short of the expectations, the customer is

dissatisfied. If the performancematches the expectations, the
customer is satisfied. If the performance exceeds expectations
the customer is highly satisfied or delighted.

A company would be wise to measure customer satisfaction

regularly because one key to customer retention is customer
satisfaction. A highly satisfied customer generally stays loyal
longer, buys more as the company introduces new products
and upgrades existing products, talks favourably about the
company and its products, pays less attention to competing
brands and is less sensitive to price, offers product or service
ideas to the company, and costs less to serve than new

customers because transactions are routine. When customers

rate

their

satisfaction

with

an

element

of

the

companysperformance - say, delivery. It could mean early

delivery, on-time delivery, ordercompleteness, and so on. The
company must also realize that two customers can report being
highly satisfied for different reasons. One may be easily
satisfied most of the time and the other might be hard to
please but was pleased on this occasion.A number of methods
exist to measure customer satisfaction. Periodicsurveys can
track customer satisfaction directly.

Respondents can also be asked additional questions to measure

repurchase intention and the likelihood or willingness to
recommend the company and brand to others. Companies that
do achieve high customer satisfaction ratings make sure their
target market knows it. For customer centered companies,
customer satisfaction is both a goal and a marketing tool.
Although the customer-centered firm seeks to create high
customer satisfaction, that is not its ultimate goal. If the
company increases customer satisfaction by lowering its price
or increasing its services, the result may be lower profits.

The company might be able to increase its profitability by

means other than increased satisfaction (for example, by
improving manufacturing processes or investing more on R&D).
Also,

the

company

has

many

stakeholders,

including

employees, dealers, suppliers and stock holders. Spending

more to increase customer satisfaction might divert funds from

increasing the satisfaction of other partners. Ultimately, the
company must operate on the philosophy that it is trying to
deliver a high level of customer satisfaction subject to
delivering acceptable levels of satisfaction to the other
stakeholders, given its total resources.

The Automotive industry in India is one of the largest in the

world

and

one

of

the

fastest

growing

globally.

India

manufactures over 18 million vehicles (including 2 wheeled and

4 wheeled) and exports more than 2.3 million every year. It is
the world's second largest manufacturer of motorcycles; there
are eight key players in the Indian markets that produced 13.8
million units in 2010-112.

At present the dominant products of the automobile industry

are Two Wheelers with a market share of over 75% and
passenger cars with a market share of about 16%. Commercial
vehicles and three wheelers share about 9% of the market
between them. The industry has attained a turnover of more
than

USD

35

billion

and

provides

direct

and

indirect

employment to over 13 million people.

The Indian two-wheeler industry has come a long way since its
humble beginning in 1948 when Bajaj Auto started importing

and selling Vespa Scooters in India. Since then, the customer

preferences have changed in favour of motorcycles and
gearless scooters that score higher on technology, fuel
economy and aesthetic appeal, at the expense of metal-bodied
geared scooters and mopeds. These changes in customer
preferences have had an impact on the fortunes of the players.
The erstwhile leaders have either perished or have significantly
lost market share, whereas new leaders have emerged.

With an expanding market and entry of new players over the

last few years, the Indian two wheeler industry is now
approaching a stage of maturity. Previously, there were only a
handful of two-wheeler models available in the country.
Currently, India is the second largest producer of two-wheelers
in the world. It stands next only to China and Japan in terms of
the number of two wheelers produced and the sales of twowheelers

respectively.

There

are

many

two-wheeler

manufacturers in India. The major players in the 2-wheeler

industry are Hero Honda, Bajaj Auto Ltd (Bajaj Auto), TVS Motor
Company Ltd (TVS) and Honda Motorcycle & Scooter India,
Private Limited (HMSI) accounting for over 93% of the sale in
the domestic two wheeler market. It is noteworthy that
motorbikes segments share is just below 80% of the total 2W
market in India which is dominated by Hero Honda with a
market share of 59%. Scooter segments market share is about
18% which is led by Honda Motorcycle & Scooter India, Private
Limited (HMSI) with a market share of 43%.Three- fourth of the
total exports in the two wheeler automobile industry are made

in the motorcycle segment. Exports are made mainly to South

East Asian and SAARC nations. The level of technology change
in the Motor vehicle Industry has been high but, the rate of
change in technology has been medium. Investment in the
technology by the producers has been high. However, further
investment in new technologies will help the players to be more
competitive. Currently, Indias increasing per capita disposable
income which is expected to rise by 106% by 2015 and growth
in

exports

is

playing

major

role

in

the

rise

and

competitiveness of the industry. Consumers are very important

for the survival of the Motor Vehicle manufacturing industry.

In 2008-09, customer sentiment dropped, which burned on the

augmentation in demand of cars. The key to success in the
industry is to improve labour productivity, labour flexibility, and
capital efficiency. Having quality manpower, infrastructure
improvements, and raw material availability also play a major
role. Access to latest and most efficient technology and
techniques will bring competitive advantage to the major
players. Utilising manufacturing plants to optimum level and
understanding implications from the government policies are
the essentials in the Automotive Industry of India.
This report on Analysing the State Of Competition In Indian
Two-Wheeler

Industry

gives

insight

of

the

industry

encompassing its evolution in India, demand drivers, influence

of supply side factors, commentary on industry players and
competition and the trends in domestic sales and exports. The

report also shows the oligopolistic nature of the Indian two

wheeler industry and the propensity of the major players to
increase their share. In this paper we assess the degree of
imperfection in the two-wheeler industry by using Hirschman-

Herfindahl Index (HHI). In a rapidly growing two wheeler

industry, especially in developing economies like India, it is
extremely important to analyse the state of competition to
check whether a few firms may increase their dominance and
also the implications of after sale services provided by the two
wheeler firms to consumers. An important point also remains to
look that why even after being the worlds largest two wheeler
industry, the Chinese two wheeler firms havent been able to
enter the Indian markets successfully? What challenges a new
entrant has to face in the industry?

Evolution of the Indian Two Wheeler Industry before

Competition Act, 2002
The two-wheeler industry (henceforth 2WI) consists of three
segments viz., scooters, motorcycles, and mopeds. The 2WI in
India began operations within the framework of the national
industrial policy as espoused by the Industrial Policy Resolution
of 1956. This resolution divided the entire industrial sector into
three

groups,

of which

one

contained industries whose

development was the exclusive responsibility of the State,

another included those industries in which both the State and

the private sector could participate and the last set of

industries that could be developed exclusively under private
initiative within the guidelines and objectives laid out by the
Five

Year

Plans

(CMIE,

1990).

Private

investment

was

channelized and regulated through the extensive use of

licensing giving the State comprehensive control over the
direction and pattern of investment. Entry of firms, capacity
expansion, choice of product and capacity mix and technology,
were all effectively controlled by the State in a bid to prevent
the concentration of economic power. However due to lapses in
the system, fresh policies were brought in at the end of the
sixties. These consisted of MRTP of 1969 and FERA of 1973,
which

were

aimed

at

regulating

monopoly

and

foreign

investment respectively. Firms that came under the purview of

these Acts were allowed to invest only in a select set of
industries.
This net of controls on the economy in the seventies caused
several firms to a) operate below the minimum efficiency scale
(henceforth MES), b) under-utilize capacity and, c) use outdated
technology. While operation below MES resulted from the fact
that several incentives were given to smaller firms, the capacity
under-utilization was the result of i) the capacity mix being
determined independent of the market demand, ii) the policy of
distributing imports based on capacity, causing firms to expand
beyond levels determined by demand so as to be eligible for
more imports. Use of outdated technology resulted from the
restrictions placed on import of technology through the
provisions of FERA. Recognition of the deleterious effects of

these policies led to the initiation of reforms in 1975 which took

on a more pronounced shape and acquired wider scope under
the New Economic Policy (NEP) in 1985. As part of these
reforms, several groups of industries were de-licensed and
broad banding 3 was permitted in selected industries. Foreign
investment was allowed in select industries and norms under
the MRTP Act were relaxed. These reforms led to a rise in the
trend rate of growth of real GDP from 3.7% in the seventies to
5.4% in the eighties.

However the major set of reforms came in 1991 in response to

a series of macroeconomic crises that hit the Indian economy in
1990-91 4 . Several industries were deregulated, the Indian
rupee was devalued and made convertible on the current
account and tariffs replaced quantitative restrictions in the area
of trade. The initiation of reforms led to a drop in the growth of
real GDP between 1990 1992, but this averaged at about 5.5%
per annum after 1992. The decline in GDP in the years after
reforms was the outcome of devaluation and the contraction
fiscal and monetary policies taken in 1991 to address the
foreign exchange crisis. Thus the Industrial Policy in India
moved from a position of regulation and tight control in the
sixties and seventies, to a more liberalized one in the eighties
and nineties. The two-wheeler industry in India has to a great
extent been shaped by the evolution of the industrial policy of
the country. Regulatory policies like FERA and MRTP caused the
growth of some segments in the industry like motorcycles to
stagnate. These were later able to grow (both in terms of

overall sales volumes and number of players) once foreign

investments were allowed in 1981. The reforms in the eighties
like broad banding caused the entry of several new firms and
products which caused the existing technologically outdated
products to lose sales volume and/or exit the market. Finally,
with liberalization in the nineties, the industry witnessed a
proliferation in brands. A description of the evolution of the two
wheeler industry in India before Competition Act, 2002 is
usefully split up into four ten year periods. This division traces
significant changes in economic policy making.

The first time-period, 1960-1969, was one during which the

growth of the two-wheeler industry was fostered through
means like permitting foreign collaborations and phasing out of
non-manufacturing firms in the industry. The period 1970-1980
saw state controls, through the use of the licensing system and
certain regulatory acts over the economy, at their peak. During
1981-1990 significant reforms were initiated in the country. The
final time-period covers the period 1991-1999 during which the
reform process was deepened. These reforms encompassed
several areas like finance, trade, tax, industrial policy etc. We
now

discuss

in

somewhat

greater

characteristics of each sub period.

1960 1969

detail

the

principal

The automobile industry being classified as one of importance

under the Industrial Policy Resolution of 1948 was therefore
controlled and regulated by the Government. In order to
encourage

manufacturing,

besides

restricting

import

of

complete vehicles, automobile assembler firms were phased

out by 1952 (Tariff Commission, 1968), and only manufacturing
firms allowed to continue. Production of automobiles was
licensed, which meant that a firm required a licensing approval
in order to open a plant. It also meant that a firms capacity of
production was determined by the Government. During this
period, collaborations with foreign firms were encouraged. Table
1 illustrates the fact that most firms existing in this period had
some form of collaboration with foreign firms. Table 1 also gives
the details of the various firms that existed in the industry
during this time period and the product/s they manufactured.

1970 1980

This was a period during which the overall growth rate of the
two-wheeler industry was high (around 15% per annum).
Furthermore, the levels of restriction and control over the
industry were also high. The former was the result of the steep
oil price hikes in 1974 following which two-wheelers became
popular modes of personal transport because they offered
higher fuel efficiency over cars/jeeps5. On the other hand, the
introduction of regulatory policies such as MRTP and FERA
resulted in a controlled industry. The impact of MRTP was

limited as it affected only large firms like Bajaj Auto Ltd. whose
growth rates were curbed as they came under the purview of
this Act. However, FERA had a more far-reaching effect as it
caused foreign investment in India to be restricted. In the
motorcycle segment FERA caused technological stagnation6, as
a consequence of which neither new products nor firms entered
the market since this segment depended almost entirely on
foreign collaborations for technology. The scooter and moped
segments on the other hand were technologically more selfsufficient and thus there were two new entrants in the scooter
segment and three in the moped segment.

1981 1990

The technological backwardness of the Indian two-wheeler

industry was one of the reasons for the initiation of reforms in
1981. Foreign collaborations were allowed for all two wheelers
up to an engine capacity of 100 cc. This prompted a spate of
new entries into the industry the majority of which entered the
motorcycle segment, bringing with them new technology that
resulted in more efficient production processes and products.
The variety in products available also improved after broad
banding was allowed in the industry in 1985. This gave firms
the flexibility to choose an optimal product and capacity mix

which could better incorporate market demand into their

production

strategy

and

thereby

improve

their

capacity

utilization and efficiency. These reforms had two major effects

on the industry:
First, licensed capacities went up to 1.1 million units per annum
overshooting the 0.675 million units per annum target set in
the Sixth Plan..
1991 1999

The reforms that began in the late seventies underwent their

most significant change in 1991 through the liberalization of
the

economy.

The

two-wheeler

industry

was

completely

deregulated. In the area of trade, several reforms were

introduced with the goal of making Indian exports competitive9.
The two-wheeler industry in the nineties was characterized by
a) an increase in the number of brands available in the market which caused
firms to compete on the basis of product features and
b) b) increase in sales volumes in the motorcycle segment vis--vis the
scooter segment10 reversing the traditional trend.

COMPANY PROFILE

COMPANYS HISTORY:

Bajaj Auto came into existence on November 29, 1945 as M/s

Bachraj Trading Corporation Private Limited. It started off by
selling imported two- and three wheelers in India. In 1959, it
obtained license from the Government of India to manufacture
two- and three-wheelers and it went public in 1960. In 1970, it
rolled out its 100,000th vehicle. In 1977, it managed to produce
as sell 100,000 vehicles in a single financial year. In 1985, it
started producing at Waluj in Aurangabad. In 1986, it managed
to produce and sell 500,000 vehicles in a single financial year.
In 1995, it rolled out its ten millionth vehicle and produced and
sold 1 million vehicles in a year.

(Bajaj Auto)
Bajaj Auto Ltd. is the largest exporter of two and three wheelers. With
Kawasaki Heavy Industries of Japan, Bajaj manufactures state-of-the-art range of

two-wheelers. The brand, Pulsar is continually dominating the Indian motorcycle

market in the premium segment. Its Discover DTSi is also a successful bike on
Indian roads.
Bajaj is promoted by the highly qualified and experienced promoters
having a successful track record of more than 40 years of experience in the
manufacture of auto parts.

Bajaj Brand Identity

Our brand is the visual expression of our thoughts and actions. It conveys
to everyone our intention to constantly inspire confidence. Our customers are the
primary audience for our brand. Indeed, our brand identity is shaped as much by
their belief in Bajaj as it is by our own vision. Everything we do must always
reinforce the distinctiveness and the power of our brand. We can do this by living
our brand essence and by continuously seeking to enhance our customers
experience. In doing so, we ensure a special place for ourselves in the heats and
minds of our customers.

Bajaj Brand Essence

Our brand Essence is the soul of our brand. Our brand essence
encapsulates our mission at Bajaj.
It is the singular representation of our terms of endearment with our customers.
it provides the basis on which we grow profitably in the market. Our brand
essence is excitement. Bajaj strives to inspire confidence through excitement

engineering. Blending together youthful creativity and competitive technology to

exceed the spoken and the implicit expectation of our customers. By challenging
the given. By exploring the unknown and thereby stretching ourselves towards
tomorrow, today.
Bajaj Brand Values
We live our brand by its values of learning, innovation. Perfection, speed
and transparency. Bajaj will constantly inspire confidence through excitement
engineering.
Learning: Learning is how we ensure proactively. It is a value that embraces
knowledge as the platform for building well informed, reasoned and decisive
actions.
Innovation: Innovation is how we create the future. It is a value that provokes
us to reach beyond the obvious in pursuit of that which exceeds the ordinary.
Perfection: Perfection is how we set new standards. It is a value that exhibits
our determination to excel by endeavoring to establish new benchmarks all the
time.
Speed: Speed is how we convey clear conviction. It is a value that keeps us
sharply responsive. Mirroring our commitment towards our goals and processes.
Transparency: Transparency is how we characterize ourselves. It is a value that
makes us worthy of credibility through integrity, of trust through sensitivity and
of loyalty through interdependence.

Industry Profile:
Founder
Year

Jamnalal Bajaj
of
1926

Establishment
Industry

Automotive - Two & Three Wheelers

Business Group

The Bajaj Group

Listings & its codes

BSE - Code: 500490; NSE - Code: BAJAJAUTO

Presence

Distribution network covers 50 countries.

Dominant presence in Sri Lanka, Bangladesh, Columbia,
Guatemala, Peru, Egypt, Iran and Indonesia.

Joint Venture

Kawasaki Heavy Industries of Japan

Registered & Head Akurdi Pune - 411035

Office

India
Tel.: +(91)-(20)-27472851
Fax: +(91)-(20)-27473398

Works

Akurdi, Pune 411035, Bajaj Nagar, Waluj Aurangabad

431136
Chakan Industrial Area, Chakan, Pune 411501

E-mail

rahulBajaj@Bajajauto.co.in

Website

www.Bajajauto.com

Management profile:
Rahul Bajaj

Chairman

Madhur Bajaj

Vice Chairman

Rajiv Bajaj

Managing Director

Sanjiv Bajaj

Executive Director

Ranjit Gupta

Vice President (Insurance)

C P Tripathi

Vice President (Operations)

N H Hingorani

Vice President (Materials)

Kevin P D'sa

Vice President (Finance)

PradeepShrivastava

Vice President (Engineering)

S Sridhar

Vice President (Mktg& Sales - 2Wh.)

V S Raghavan

Vice President (Corporate Finance)

S Ravikumar

Vice President (Business Development)

K Srinivas

Vice President (Human Resources)

Abraham Joseph

General Manager (Research &

Development)

J. Sridhar

Company Secretary

Board of Directors
Board of Directors
Rahul Bajaj

Chairman

Madhur Bajaj

Vice Chairman & Whole-Time Director

Rajiv Bajaj

Managing Director

Sanjiv Bajaj

Executive Director

D.S. Mehta

Whole-Time Director

Kantikumar R. Podar

Director

Shekhar Bajaj

Director

D.J. BalajiRao

Director

J.N. Godrej

Director

S.H. Khan

Director

Mrs. SumanKirloskar

Director

Naresh Chandra

Director

NanooPamnani

Director

Manish Kejriwal

Director

P Murari

Director

Niraj Bajaj

Director

Committees of the Board

Audit Committee
S.H. Khan

Chairman

D.J. BalajiRao
J.N. Godrej
Naresh Chandra
NanooPamnani

Shareholders & Investors Grievance committee

D.J. BalajiRao

Chairman

J.N. Godrej
Naresh Chandra
S. H. Khan
Remuneration committee
D.J. BalajiRao

Chairman

S.H. Khan
Naresh Chandra

Registered under the Indian Companies Act, VII of 1913

REGISTERED OFFICE

Akurdi, Pune 411 035

WORKS

Akurdi, Pune 411 035

Bajaj Nagar, Waluj Aurangabad 431 136
Chakan Industrial Area, Chakan, Pune 411 501
Plot No. 2, Sectoe 10, Pant Nagar, Rudrapur

Group of companies:

Bajaj Auto Ltd.

Mukand International Ltd.

Mukand Ltd.

Mukand Engineers Ltd.

Bajaj Electricals Ltd.

Mukand Global Finance Ltd.

Bajaj Hindustan Ltd.

Bachhraj Factories Pvt. Ltd.

Maharashtra Scooters Ltd.

Bajaj Consumer Care Ltd.

Bajaj Auto Finance Ltd.

Bajaj Auto Holdings Ltd.

Hercules Hoists Ltd.

Jamnalal Sons Pvt. Ltd.

Bajaj SevashramPvt Ltd.

Bachhraj& Company Pvt. Ltd.

Hind Lamps Ltd.

Jeevan Ltd.

Bajaj Ventures Ltd.

The Hindustan Housing Co Ltd.

Bajaj International Pvt Ltd.

Baroda Industries Pvt Ltd.

Hind Musafir Agency Pvt Ltd.

Stainless India Ltd.

Bajaj Allianz General Insurance

Bombay Forgings Ltd.
Company Ltd.
Bajaj Allianz Life Insurance
CompanyLtd.

Milestones

2007
September

Launch of XCD DTS-Si

June

National Launch of 220 cc Pulsar DTS-Fi.

April

Bajaj Auto Commissions New Plant at Pantnagar, Uttarakhand

February

200 cc Pulsar DTS-i launched

January

Bajaj Kristal DTS-i launched

2006
April

Bajaj Platina launched

2005
December

Bajaj Discover launched

June

Bajaj Avenger DTS-i launched

February

Bajaj Wave DTS-i launched

2004
October

Bajaj Discover DTS-i launched

August

New Bajaj Chetak 4 stroke with Wonder Gear launched

May

Bajaj CT100 Launched

January

Bajaj unveils new brand identity, dons new symbol, logo and brandline

2003
October

Pulsar DTS-i is launched.

October

107,115 Motorcycles sold in a month.

July

Bajaj Wind 125,The World Bike, is launched in India.

February

Bajaj Auto launched its Caliber115 "Hoodibabaa!" in the executive motorcycle segment.

2001
November

Bajaj Auto launches its latest offering in the premium bike segment Pulsar.

January

The Eliminator is launched.

2000

The Bajaj Saffire is introduced.

1999
Caliber motorcycle notches up 100,000 sales in record time of 12 months.
Production commences at Chakan plant.
1998
June 7th

Kawasaki Bajaj Caliber rolls out of Waluj.

July 25th

Legend, Indias first four-stroke scooter rolls out of Akurdi.

October

Spirit launched.

1997
The Kawasaki Bajaj Boxer and the RE diesel Autorickshaw are introduced.
1995
November
29

Bajaj Auto is 50.

Agreements signed with Kubota of Japan for the development of diesel engines for
three-wheelers and with Tokyo R&D for ungeared Scooter and moped development.
The Bajaj Super Excel is introduced while Bajaj celebrates its ten millionth vehicle.
One million vehicles were produced and sold in this financial year.

1994
The Bajaj Classic is introduced.
1991
The Kawasaki Bajaj 4S Champion is introduced.
1990
The Bajaj Sunny is introduced.
1986
The Bajaj M-80 and the Kawasaki Bajaj KB100 motorcycles are introduced.
500,000 vehicles produced and sold in a single financial year.
1985
November 5 The Waluj plant inaugurated by the erstwhile President of India, ShriGianiZail Singh.

Production commences at Waluj, Aurangabad in a record time of 16 months.

1984
January 19 Foundation stone laid for the new Plant at Waluj, Aurangabad.
1981
The Bajaj M-50 is introduced.
1977
The Rear Engine Autorickshaw is introduced.
Bajaj Auto achieves production and sales of 100,000 vehicles in a single financial year.
1976
The Bajaj Super is introduced.
1975
BAL & Maharashtra Scooters Ltd. joint venture.
1972
The Bajaj Chetak is introduced.
1971
The three-wheeler goods carrier is introduced.
1970
Bajaj Auto rolls out its 100,000th vehicle.
1960
Bajaj Auto becomes a public limited company. BhoomiPoojan of Akurdi Plant.
1959
Bajaj Auto obtains licence from the Government of India to manufacture two- and threewheelers.
1948
Sales in India commence by importing two- and three-wheelers.
1945
November
29

Bajaj Auto comes into existence as M/s Bachraj Trading Corporation Private Limited.

Awards

Product Award

Year

By

Bajaj Pulsar DTS-Fi - Bike of the Year

2007

CNBC-TV18 Autocar Auto Awards

Bajaj Platina 100cc - Bike of the Year

2007

NDTV Profit Bike India

Mr. Rajiv Bajaj - Man of the year 2005

2005

Autocar Professional

Mr. Rajiv Bajaj - Automotive Man of the year

2005

2005

Bike India & NDTV India

Bajaj CT 100 - Motorcycle Total Customer

Satisfaction Study 2005

2005

TNS Automotive

Bajaj Discover DTS-i - Bike of the Year 2005 2005

OVERDRIVE Awards 2005

Bajaj Discover DTS-i - Indigenous Design of

the Year 2005

2005

OVERDRIVE Awards 2005

BAJAJ AUTO - Bike Maker of the Year 2004

2004

ICICI Bank OVERDRIVE Awards 2004

DTS-i Technology - Auto Tech of the Year

2004

2004

ICICI Bank OVERDRIVE Awards 2004

Bajaj Pulsar DTS-i Bike of the Year 2004

2004

ICICI Bank OVERDRIVE Awards 2004

Wind 125 Two Wheeler of the Year 2004

2004

CNBC AUTOCAR Awards 2004

Wind 125 Bike of the Year 2004

2004

Business Standard Motoring

Bajaj Pulsar 180 DTS-i BBC World Wheels

Viewers Choice Two Wheeler of Year 2003

2003

BBC World Wheels Award 2003

Bajaj Pulsar 180 DTS-i BBC World Wheels

Award for Best Two Wheeler between Rs
55,000 to Rs 70,000

2003

BBC World Wheels Award 2003

Bajaj Pulsar 150 DTS-i BBC World Wheels

Award for Best Two Wheeler between Rs
45,000 to Rs 55,000

2003

BBC World Wheels Award 2003

Bajaj Boxer AT KTEC BBC World Wheels

Award for Best Two Wheeler under Rs

2003

BBC World Wheels Award 2003

30,000
Bajaj Pulsar - Motorcycle Total Customer
Satisfaction Study

2003

NFO Automotive

Bajaj Pulsar - Bike of the year

2003

ICICI Bank OVERDRIVE Awards 2003

Bajaj Pulsar - Most exciting bike of the year

2002

OVERDRIVE Awards

Bajaj Eliminator - Bike of the year

2002

OVERDRIVE Awards

Bajaj Eliminator - Most exciting bike of the

year

2001

OVERDRIVE Awards

Award

Year

By

Chakan Plant Super Platinum Award for

Manufacturing Excellence

2006-07 Frost and Sullivan

Chakan&Waluj Plants Audit Passed for TPM

Excellence Award

2006-07 TPM

Bikemaker of the Year

2006-07 Overdrive Awards

Bike Manufacturer of the Year 2007

2006-07 NDTV Profit Bike India

All India Trophy for Highest Exporter

1998-99 EEPC

Focus LAC Award for Outstanding Performance

1998-99 India Trade Promotion Organisation

Export Excellence

1998-99 EEPC

Certificate of Merit

1998-99 India Trade Promotion Organisation

Award for Export Excellence

1997-98 EEPC

Export Excellence

1997-98 MCCIIA

All India Trophy for Highest Exporter

1997-98 EEPC

Top Exporter Shield Western Region

1996-97 EEPC

Export Excellence

1996-97 MCCIA

Regional Top Exporter - Large Scale Manufacturer

1995-96 EEPC

Highest Export Performance

1995-96 EEPC

Outstanding Export Performance

1995-96 Government of India, Ministry of

Commerce

Export Excellence Award

1995-96 MCCIA

Top Exporter Shield Western Region

1995-96 EEPC

Certificate of Merit

1995-96 Government of India, Ministry of

Commerce

Award for Export Excellence

1994-95 EEPC

Regional Top Exporter - Large Scale Manufacturer

1994-95 EEPC

All India Special Shield - Consumer Durables

Exporter

1994-95 EEPC

National Export award for Outstanding Performance 1994-95 Government of India, Ministry of
Commerce
Western Region Top Export Award

1994-95 EEPC

All India Special Shield - Consumer Durables

1994-95 EEPC

Regional Special Shield - Capital Goods Category

1993-94 EEPC

Award for Export Excellence

1993-94 EEPC

Capital Goods Export

1992-93 EEPC

Regional Special Shield - Capital Goods Category

1990-91 EEPC

Certificate of Export Excellence

1986-87 EEPC

Certificate of Export Recognition

1980-81 EEPC

Certificate of Export Recognition

1979-80 EEPC

Award for Export Excellence

1979-80 EEPC

Certificate of Merit

1978-79 Government of India, Ministry of

Commerce

Certificate of Export Recognition

1978-79 EEPC

Award for Export Excellence

1977-78 EEPC

Certificate of Export Recognition

1977-78 EEPC

Export Promotion

1976

FICCI

Golden Jubilee Export Year Award

1976

FICCI

Export Excellence

1975-76 EEPC

Rahul Bajaj
Chairman
Rahul Bajaj is an Honours Graduate in Economics and Law and a
Business Graduate from the HarvardBusinessSchool. He was
appointed Chief Executive Officer of Bajaj Auto in 1968 and took
over later as Head of the Bajaj Group of companies.
Madhur Bajaj (Vice Chairman):After graduating in Commerce, Mr Bajaj did his
MBA from Lausanne, Switzerland. Joined as DGM in March 1983, took over as
General Manager Aurangabad Division in June 1986, as its Chief Executive in
October 1988, he became President of Bajaj Auto in September 1994, Executive
Director in May 2000 and as Vice Chairman in July 2001.

Rajiv Bajaj (Managing Director): Rajiv Bajaj, who took charge as Managing
Director on 1st April 2005, is a Mechanical Engineer from PuneUniversity. He later
did his Masters in Manufacturing Systems Engineering from the University of
Warwick. Joined as Officer on Special Duty in 1990, took over as General
Manager (Products) in February 1993, as Vice President (Products) in June 1995,
President in May 2000, President & Whole Time Director in March 2002, Joint
Managing Director in March 2003

Sanjiv Bajaj
(Executive Director): Joined as Officer on Special Duty in 1994, took over as
Executive Director in April 2004, as General Manager (CF) in 1997, took charge
as Vice President (Finance) in April 2001. He is a Mechanical Engineer from
PuneUniversity, with Masters in Manufacturing Systems from University of
Warwick and MBA from HarvardBusinessSchool.

N H Hingorani
(Vice President (Materials)):Joined in 1997 as General Manager (Materials), took
over as Vice President (Materials) in 1998. He is a Mechanical Engineer from
MalaviyaRegionalEngineeringCollege, Jaipur

Ranjit Gupta
(Vice President (Insurance)) Joined as General Manager (Co-ordination) in 1988,
and rose to become Vice President (Materials) in 1995, Vice President (HRD) in
2000 and Vice President (Insurance). He did his Mechanical & Electrical
Engineering from Indian Railway Institute of Mechanical & Electrical Engineers.
Honoured with fellowship of Institute of Electrical Engineering (London) and
membership of Institute of Mechanical ENGG London.

C P Tripathi

(Vice President (Operations))Joined in January 1996 as Vice President (Waluj plant) and is
now Vice President (Operations). He is a Science Graduate from AgraUniversity. Later he did
Mechanical Engineering from Indian Institute of Technology, Kharagpur.
Kevin P D Sa
(Vice President (Finance)):Mr. Kevin joined Bajaj in September 1978 and is now Vice
President (Finance). He is a B.Com graduate. Later he did CA in 1978 and ICWA in 1981.

PradeepShrivastava (Vice President (Engineering)):Mr.Shrivastava joined Bajaj in April

1986 and is now Vice President (Engineering). He is a Mechanical Engineer and later did
post graduate diploma in Production and Finance in 1986.

S Sridhar(Vice President (Marketing & Sales- 2Wheeler)):Mr.Sridhar joined Bajaj in March

2001 and is now Vice President (Marketing & Sales -2 Wheeler). He is a Engineering
Graduate in Agriculture

PRODUCT PROFILE

PRODUCT PROFILE
Bajaj Automobiles is one of the largest two-wheeler manufacturers in the world.
Bajaj Auto is present in every segment of the market be it scooters, motorcycles
and three wheelers. It has supplemented its collaboration with Kawasaki with its
own range of motorcycles and scooters.
MOTORCYCLES FROM BAJAJ AUTO:
Bajaj motorcycle range extends from the value for money CT100 DLX to
the Pulsar DTS-I in the performance segment. The latest launch in the 135 cc
segment in the Discover and 180cc segment in the Pulsar.
Further the motorcycles can be characterized in segment.
1) Standard segment Bike:
Bajaj CT100:

Bajaj CT100 Dlx provides features never before offered on an entry-level

motorcycle. such as better power, better pick-up, better mileage, better comfort
and better safety.
Bajaj CT100 Dlx also has the world first SNS (Spring-in spring ) suspension ,which
protects the backbone of the rider. Bajaj CT100 Dlx is available in following
colours. Such as Jet Black, Candy wine red, olive green and blue.
Features:
Superior Comfort:
You can experience the comfort of a 125-m front suspension and the world first
100mm SNS (Spring-in-Spring) Suspension, with a certified triple- rated spring. It
cushions your back, even on the most unforgiving roads.
While the 1235-mm wheelbases stability, and the wider rear tyre provides better
road grip.
Superior Style:
Smart styling attractive decals, never before colours, aerodynamic fairing and
much more.
Superior Mileage:

Exhaust TEC is a device incorporated in exhaust system of CT100 Dlx engine.

TEC stands for Torque Expansion Chamber. This world-first technology
developed by Bajaj Auto improves the Scavenging process. It gives 108 kmpl on
road. Not just that, the unique Ride Control Switch acts as a virtual instructor,
indicating optimum throttle opening.
Superior Safety:

Safe driving on all roads and instant stopping.

Low seat with high ground clearance.

Clear visibility during night/ rainy days.

About Bajaj Platina

Its elegant Platinum silver color with chrome graphics is desperately catching the
eyes of many finicky bike lovers. Graphic tint engine and transmission with black
silencer are really leaving good appeal to the eyes of the viewers.
To add more aesthetic value to this bike, it is further equipped with exclusive
streak design side panels and sleek rear panels with fluid grab rail design.
Other mentionable features for making this bike more reliable are chrome heat
shield and annular chrome rings housed in a sporty console.

Features

Exclusive Styling Package.

Superior engine performance

for practical riding conditions

Best in class suspension system for superior comfort.
World first SNS (Spring-N-Spring) rear suspension with the longest travel in

its class of 100 mm.

Unique streak design side panels

3- xecutive Segment Bike:

Bajaj Discover DTS-i:
The recently upgraded discover 100 and 125 with its option electric starter
and alloy wheels is perfectly suited for those looking for better performance
without sacrificing on fuel economy or pricing

Features:

Superior Style:
Athletic, lean and muscular styling.
Gorgeous graphics
Integrated new style tail lamp and fluid grab rail design

135cc DTS-I Engine:

Discover is the world first DTS-I engine which gives best in class power of
8.47 kw and delightful lileage. The digital powerhouse incorporates Trics III,
Constant Vacum (CV) Carburetor, digital CDI unit and digital twin spark which
substantially improves power, mileage and reduce emissions.

Exhaust TEC:
World first exhaust TEC ( Torque Expansion Chamber) technology for the
exhaust system improves engine torque at low rpms and its optimized to get
maximum performance from the engine

Electric start:
The new Bajaj discover will give you the kicks, without you having to
deliver any
just thumb the electric start switch, and ready to roll as the Bajaj Discover 135cc
DTS-I engine purrs to life instantaneously.

Superior premium alloy wheels:

High performance 17 premium alloy wheels which are lighter and
stronger. This provides smashing profile looks and nimble handling for superior
agility

2) Premium Segment Bike:

Bajaj Pulsar DTS-i:
The Bajaj Pulsar DTS-I with its 150 and 180 variants have redefined the
performance segment in the motorcycle market and have recently
undergone upgrades. Along with additional power, improvements include

a longer wheel base, gas filled rear shock absorbers and six spoke alloy
wheel
Features:

DTS-I engine:

The revolutionary Bajaj DTS-i engine technology is the heart of digital biking. It
incorporates digital Twin Spark Ignition (DTS-i) system, digital CDI and TRICS III.
The combined action of these technological breeakthrough send other bikes to
where in belongs the stone age. Digital biking will redefine biking in India for a
long time to come.

Enhanced comfort:
Experience the power of Nitro- nitrogen assisted rear gas shockers with triple
rated spring and front telescopic suspension which ensure air cushion feel even
on extreme terraffic.

Chapter 2

LITERATURE REVIEW

Customer satisfaction, a businessterm, is a measure of how products and

services supplied by a company meet or surpass customer expectation. It is seen
as a key performance indicator within business and is part of the four
perspectives of a Balanced Scorecard.
MEASURING CUSTOMER SATISFACTION
You want people to be satisfied with your website right? Measuring customer
satisfaction is subjective it tells you what they say they like and dont like
about your site, not necessarily what they do on your site. But it will tell you
whether they happy or not, when they used your site, how likely they are to
return, whether theyll recommend your site to others, and much more.
Organizations are increasingly interested in retaining existing customers while
targeting non-customers measuring customer satisfaction provides an indication
of how successful the organization is at providing products and/or services to
the marketplace.

Customer satisfaction is an ambiguous and abstract concept and the actual

manifestation of the state of satisfaction will vary from person to person and
product/service to product/service. The state of satisfaction depends on a
number of both psychological and physical variables which correlate with
satisfaction behaviors such as return and recommend rate. The level of
satisfaction can also vary depending on other options the customer may have

and other products against which the customer can compare the organization's
products.

Because satisfaction is basically a psychological state, care should be taken in

the effort of quantitative measurement, although a large quantity of research in
this area has recently been developed. Work done by Berry (Bart Allen) and
Brodeur between 1990 and 1998 defined ten 'Quality Values' which influence
satisfaction behavior, further expanded by Berry in 2002 and known as the ten
domains of satisfaction. These ten domains of satisfaction include: Quality,
Value, Timeliness, Efficiency, Ease of Access, Environment, Inter-departmental
Teamwork, Front line Service Behaviors, Commitment to the Customer and
Innovation.

These factors are emphasized for continuous improvement and organizational

change measurement and are most often utilized to develop the architecture for
satisfaction measurement as an integrated model. Work done by Parasuraman,
Zeithaml and Berry (Leonard L) between 1985 and 1988 provides the basis for
the measurement of customer satisfaction with a service by using the gap
between the customer's expectation of performance and their perceived
experience of performance.

This provides the measurer with a satisfaction "gap" which is objective and
quantitative in nature. Work done by Cronin and Taylor propose the
"confirmation/disconfirmation" theory of combining the "gap" described by
Parasuraman, Zeithaml and Berry as two different measures (perception and

expectation of performance) into a single measurement of performance

according to expectation. According to Garbrand, customer satisfaction equals
perception of performance divided by expectation of performance.
The usual measures of customer satisfaction involve a survey with a set of
statements using a Likert Technique or scale. The customer is asked to evaluate
each statement and in term of their perception and expectation of performance
of the organization being measured.

Ways to Measure Customer Satisfaction

Many agencies use online customer satisfaction surveys, focus groups, and
email feedback forms to gauge customer satisfaction and expectations. Some
agencies have developed their own surveys, sometimes using a contractor to
compile and analyze the data. Others purchase commercial satisfaction surveys
that use a standard methodology across multiple websites.
If youre looking to purchase your own online survey tool, you can start by
doing a web search for online surveys or customer satisfaction online
surveys.

Measuring Customer Satisfaction

You want people to be satisfied with your website right? Measuring customer
satisfaction is subjective it tells you what they say they like and dont like
about your site, not necessarily what they do on your site. But it will tell you
whether they happy or not, when they used your site, how likely they are to
return, whether theyll recommend your site to others, and much more.

Requirements for Customer Surveys

If you put a survey on your site, you need to comply with the Paperwork
Reduction Act, which requires federal agencies to have OMB approval before
collecting information from the public. This includes forms, general
questionnaires, surveys, instructions, and other types of collections. If you have
a survey, you must display the current OMB control number.

Examples
Department of Educations customer survey -- in-house
survey, which allows visitors to view analysis of the over
6,000 responses received to-date
EPAs customer survey -- in-house survey used to learn
about site visitors, what theyre looking for, and how
satisfied they are
Forest Service online survey -- uses the American
Customer Satisfaction Index (ACSI) survey. They provide a
notice on their site telling visitors about the survey and
how the data will be collected and used.
Resources: Customer Satisfaction
Customerservice.gov

--

managed

by

the

Federal

Consulting Group at the Department of Treasury. Explains

how federal agencies can use the American Customer
Satisfaction Index (ACSI) online survey.

American Customer Satisfaction Index (ACSI) -- customer

satisfaction survey tool used by many federal agencies
and organizations in the private sector. One advantage of
using the ACSI is that you can compare your results to
other government agencies and top commercial websites.

Requirements for Customer Surveys

If you put a survey on your site, you need to comply with the Paperwork
Reduction Act, which requires federal agencies to have OMB approval before
collecting information from the public. This includes forms, general
questionnaires, surveys, instructions, and other types of collections. If you have
a survey, you must display the current OMB control number.

Methodologies
The University of Michigan's American Customer Satisfaction Index(ACSI) is a
scientific standard of customer satisfaction. Academic research has shown that
the national ACSI score is a strong predictor of Gross Domestic Product (GDP)
growth,

and

an

even

stronger

predictor

of

Personal

Consumption

Expenditure(PCE) growth. On the microeconomic level, research has shown

that ACSI data predicts stock market performance, both for market indices and
for individually traded companies. Increasing ACSI scores has been shown to
predict loyalty, word-of-mouth recommendations, and purchase behavior. The
ACSI measures customer satisfaction annually for more than 200 companies in

43 industries and 10 economic sectors. In addition to quarterly reports, the ACSI

methodology can be applied to private sector companies and government
agencies in order to improve loyalty and purchase intent.

The Net Promoterscore is a management tool that can be used to gauge the
loyalty of a firm's customer relationships. It serves as an alternative to
traditional customer satisfaction research. Companies obtain their Net Promoter
Score by asking customers a single question (usually, "How likely is it that you
would recommend us to a friend or colleague?"). Based on their responses,
customers can be categorized into one of three groups: Promoters, Passives, and
Detractors. In the net promoter framework, Promoters are viewed as valuable
assets that drive profitable growth because of their repeat/increased purchases,
longevity and referrals, while Detractors are seen as liabilities that destroy
profitable growth because of their complaints, reduced purchases/defection and
negative word-of-mouth. Companies calculate their Net Promoter Score by
subtracting their % Detractors from their % Promoters.

The Kano model is a theory of product development and customer satisfaction

developed in the 1980s by Professor Noriaki Kano that classifies customer
preferences into five categories: Attractive, One-Dimensional, Must-Be,
Indifferent, Reverse. The Kano model offers some insight into the product
attributes which are perceived to be important to customers. Kano also produced
a methodology for mapping consumer responses to questionnaires onto his
model.

SERVQUALor RATER is a service-quality framework that has been

incorporated into customer-satisfaction surveys (e.g., the revised Norwegian
Customer Satisfaction Barometer) to indicate the gap between customer
expectations and experience.

J.D. Power and Associates provides another measure of customer satisfaction,

known for its top-box approach and automotive industry rankings. J.D. Power
and Associates' marketing research consists primarily of consumer surveys and
is publicly known for the value of its product awards.

Other research and consulting firms have customer satisfaction solutions as

well. These include A.T. Kearney's Customer Satisfaction Audit process, which
incorporates the Stages of Excellence framework and which helps define a
companys status against eight critically identified dimensions.

One of the newest and most innovative customer satisfaction measurement

methodologies is called Gustometria. Gustometria is realtime measurement of
customer and employee satisfaction. Customers are invited to answer a short
survey by touching the "gustometer" screen with their fingers. The responses
are collected immediately by the Gustometria servers which tabulate the results
in real time. Management can then log into their private website and use the
sophisticated business intelligence reports which are built in to the Gustometria
system.
Most innovative contact centers make increasing use of multi-media surveys
including web, email and telephone surveys. Although extremely challenging,

many have introduced automated voice surveys at the end of a call, provided by
companies such as VIRTUATel. These use IVRtechnology, whether hosted or
on-premise, to collect the valuable feedback data collection. However, the real
power of such surveys is in making use of sophisticated data analysistechniques
and comparison indicators such as Advocacy Index to drive powerful
Performance Management to increase customer retention and revenue percustomer rates.
Improve Your Customer Service

1. Stay in contact with customers on a regular basis. Just as it is bad news to

send out too many emails to customers, it is just as bad to not stay in contact
with them. Customers don't want to feel abandoned. So don't.
Here are three things to help you stay in touch:
- Offer them your ezine subscription.
- Ask customers if they want to be updated by e-mail.
- Follow-up after each sale to see if they are satisfied with their purchase.
Send an e-mail out a few days after their purchase, another in a week or two,
and then another in a month.
2. Create a customer focus group by inviting 10 to 20 loyal customers to meet
regularly. Alternatively, send out a monthly survey to this group asking for
ideas and input on how to improve your customer service. Give them a
reward. Pay them, give them a gift certificate, or send them free product.
3. Have a web site that is easy to navigate. Add a frequently asked question's

"FAQ" page and explain anything that might confuse your customers or
visitors. Follow-up with an electronic survey with questions on how to
increase your site's user-friendliness.
4. Resolve customer complaints quickly and completely. Answer all e-mail
and phone calls within a few hours. This will show your customers you really
care about them.
5. Don't make your customers or visitors hunt for your contact information.
Make it easy for them to contact you. Offer as many contact methods as
possible. Hyperlink all your e-mail addresses so they don't have to find or
type it. Offer a toll free number.
6. If you have strategic alliances or employees, make sure they are familiar
with your customer service policy. Give your employees bonuses or
incentives to practice excellent customer service. Tell employees to be
flexible with each individual customer, each one has different concerns,
needs and wants.
7. Give your customers more than they expect. Send thank you gifts to long
time customers. E-mail them greeting cards on holidays or birthdays if you
have their address or online cards if you only have their e-mail address and
name. Give bonuses to your customers who make a big purchase or multiple
purchases.
8. U-welcome, please, and thank you and can never be over used. Be polite
no matter what. Admit and apologize for mistakes quickly and make it up to
them in BIG ways if you want them to continue being a customer.

9. Reward in points -- give customers a point for every dollar they spend. Set
up a points-earned sheet. E-mail the customer an update monthly. If they send
you a referral they get 10 points, if they buy something add 10 more points.
10. If your business is local, invite customers to your office for lunches,
parties, barbecues, dances, seminars or other special events.
It isn't what you perceive as valuable but what customers see from their eyes.
Yet, sometimes, you just can't please some folks. If that occurs, do you best
and then let it go. You don't want them for clients anyway.

THE PROBLEM: AVERAGE CUSTOMER SATISFACTION,

RETENTION AND LOYALTY

Customer service is the cornerstone of a solid, thriving business. It costs six to

thirty times more to get a new customer than it does to service and maintain the
satisfaction and loyalty of an existing customer. Companies struggle to cut costs
without realizing that customer attrition might be the single largest cost they
have. Keeping customers happy has the same bottom line effect as cutting costs.
Increase your customer retention by 5%, and you could increase your profits
25% to 100%. But you wont get there by providing the same average service
as everyone else.

THE CHALLENGE: KEEPING CUSTOMERS HAPPY AND LOYAL

The key to customer satisfaction, loyalty and retention is to consistently deliver

a level of customer service that exceeds and even anticipates the customer's
expectations for value.
Good customer relationship management entails thoughtful customer care and
customer experience design. Customer satisfaction and loyalty are directly tied
to the quality of your customer relationship management. The customer has to
feel good about doing business with you. Companies looking to thrive in the
21st century are investing in customer service training programs, customer
relationship management and call center training programs that sharpen their
customer focus and build customer satisfaction, loyalty and retention with every
experience.
THE SOLUTION: THE CUSTOMER CARE COACH

In addition to my workshops and keynotes, Im thrilled to offer you The

Customer Care Coach, a do-it-yourself e-mail based weekly customer service
training and coaching program designed to teach managers and small business
owners "The Art & Science of Exquisite Customer Care.sm Now you can bring
me into your office "virtually" for a fraction of the cost of my management
training fee.

This unique customer service training program supports todays busy managers
with lessons that require just 30 minutes a week. It is a convenient, low-cost
management training program that meets the unique needs of those who are
challenged with transforming their customer service and customer relationship
management into a competitive advantage.

The Customer Care Coach customer service training, customer relationship

management and call center training programs are tailored to heighten and focus
awareness and sensitivity to your clients' needs and enhancing the customer
experience.

The Customer Care Coachcustomer service training program teaches you how
to build, inspire and motivate a team that is focused on customer care, customer
loyalty and customer retention thereby creating profits.

PART-II
Chapter - 3

RESEARCH METHODLOGY

Survey research is the systematic gathering of information from

respondents for the purpose of understanding and/or predicting
some aspects of the behaviour of the population of interest. It is
the most common method of collecting primary data for
marketing decisions. Survey can provide data on attitudes,
feelings, beliefs, past and intended behaviour, knowledge,
ownership, personal characteristics and other descriptive items.
Survey

research

is

concerned

with

administration

of

questionnaires (interviewing). The survey research must be

concerned with sampling, questionnaire design, questionnaire
administration

and

data

analysis.

The

administration

of

questionnaire to an individual or group of individuals is called

an interview. A questionnaire is simply a formalized set of
questions for eliciting information. As such, its function is
measurement and it represents the most common form
ofmeasurement in marketing research.

SCOPE OF STUDY:

Importance of understanding branding and its impact on modern day

markets is vital to the health and growth of most industries. The aim of
this report is to put into perspective the functional values of branding as
well as assess its role in the consumer purchase decision-making process.
.

RESEARCH OBJECTIVES:

In order to fully answer this research question, the following objectives

have been set:

Understanding the concepts of branding and consumer behavior.

To study the effect on consumer buying behavior related to two wheeler
segment (Specially Bajaj).
To analyze the Customer Satisfaction Level and decision making by
some of the two wheeler companies in the bike segments to the
consumers into buying their products.
To do a comparative study of the branding strategies adopted by the
companies.

RESEARCH METHODOLOGY:
a) Hypothesis (if applicable):
Not Applied

b) Research Design:
Descriptive Research

c) Defining the Universe & Sample design:

Lucknow& Sample size is 60.

d) Data collection tools to be used:

The collection of data is done both from primary & secondary
sources.

e) Statistical tools to be used:

The term analysis refers to the computation of certain

measures along with for patterns of relationship that exists
among data group. Therefore, I have used Table, graphs charts
& Questionnaire in this project

LIMITATIONS

1. During the survey most of the respondents contacted had

newly purchased

the motorcycle thus they could not respond accurately i.e. their
satisfaction leveland defects in the motorcycles.

2. The research is directly concerned with the study of human

preference and
behavior

and

achieving

absolute

mathematical

accuracy

towards this was not

possible.

3. Secondary data about Bajaj Customers was rarely found as

this firm was
new and not much has been written about it. The researcher
had to depend onthe discussion made with the manager of the
unit.

4. Some data like abbreviations and detailed promotional

activities were scarce even on internet.

SURVEY ADMINISTRATION PROCESS

I
N
T
E
R
V
E
W
E
R

Q
U
E
S
T
O
N
N
A
R
E

R
E
S
P
O
N
D
E
N
T

SWOT Analysis:

Market trends must be considered as the company the

company develops
its marketing strategies.

1.Strengths:
"Bajaj" is a well established Brand name in the scooter segment.
Bajaj Auto is a cost-effective producer in the two wheeler market.

 It has a huge market share in the scooter segment of the two-wheeler

industry. This acts as a cushion for the company in their efforts of
foraying into the motorcycle segment.
Bajaj has established a wide distribution network for the scooter segment
which will favor them in their efforts in the motorcycle segment.
Marketing has been a strength for Bajaj since inception.

Strengthsare internal capabilities that can help the company

reach
its objectives

Bajaj can build three important strengths:

1. Style
2. Pick up
3. Speed

2. Weaknesses:
Bajaj has become a generic name associated with the scooters and that
needs to be changed in the minds of the consumers before it could expect
a great success in the motorcycle segment.
Bajaj is dependent on its foreign counterparts for technological support.
This needs to be addressed as it might be crucial when the foreign players

enter the Indian market directly.

Weaknessesare internal elements that may interfere with the
companys ability to achieve its objectives .

The weaknesses evaluated after the study are:

1. Heavy weight of the motorcycles

2. Mileage
3. Costly spare parts

3.Opportunities:

The motorcycle segment is expected to grow at a considerable rate and

this would provide a good opportunity for Bajaj Auto to increase its
market share in this segment.
Kawasaki of Japan, when it comes to India, can help Bajaj enhance its
product portfolio in the motorcycle segment as Kawasaki plans to use
Bajaj's manufacturing base for its global operations.
Opportunities are areas of buyers needs or potential interest in
which the
company might perform profitability.They are all external
factors.

Bajaj can take advantage of three major market opportunities:

1.Increasing demand for high speed motorcycles.

2. Launching low cost motorcycles especially for Indias large

number of middle class which is more than 60% of total
population.

3. Reaching the towns through dealership as the middle class

living
in this area is getting rich and their purchasing power is also
increasing.
4.Threats:

The market share in the scooter segment has taken a beating from TVS
Suzuki's entry into this segment.
Entry of Multinational companies, especially Chinese ones, in the
motorcycle segment will stiffen the competition and will hamper the
efforts of Bajaj to establish itself in the motorcycle segment.
Threats are challenges posed by an unfavourable trend or
development that could lead to lower sales and profit.
They are external factors.

Bajaj faces three major threats in future:

1. Increasing competition
2. Launch of cheaper motorcycles by competitors
3. Launch of cheaper cars by TATA whose price is equivalent to Bajajs
Pulsar

segment

ANALYSIS & INTERPRETATION:

The data collected with the help of questionnaires is tabulated and analyzed.

Classification as per ownership of motorcycle:

Do you own a motorcycle?
Response
Yes
No
Total

No. of respondents
53
7
60

Percentage
83.33
16.67
100

1.
Interpretation- Chart 1.1 reveals the motorcycle ownership of Bajaj. The
survey

revealed that 83.33% own motorcycles and11.67% do not own

motorcycle.

Classification as per ownership of Bajaj motorcycle

Do you own bajaj motorcycle?

Response
Yes
No
Total

No. of respondents
40
20
60

Percentage
66.67
33.33
100

Percentage

Yes

33.33

No

66.67

Interpretation-

Chart 2.1 reveals the market share of Bajaj

motorcycle companies in Tondaiyarpet (Lucknow).Out of 60 owning

motorcycles 66.67%are owning Bajaj and 33.33% are not owning Bajaj
Motorcycles.

Classification based brand-wise ownership of Bajaj

Auto:
Which motorcycle of Bajaj Auto do you own?
Brand
Pulsar
Discover

NO. Of
Respondent
25
15

Percentage
41.67
25

XCD

15

25

Other

2
3
60

3.33
5
100

Platina
Total

Percentage
Pulsar
3.33 5
25

Discover
41.67

XCD
Platina
Other

25

Interpretation- Chart
3.1 exhibits ownership of various brands of Bajaj i.e. 23
of them own Bajaj motorcycles .Pulsar is owned by 41.67%, Discover 25%, XCD 1525%,
Platina 3.33% and Others 5%.

Classification as Brands and Rates of Bajaj Bikes

What is the price range of Bike?

Frequen
cy
Percentage
Below-50000

18

30

50000-70000

14

23.3

70000-1Lac

24

40

Above-1Lac

6.6

Total

60

100

rates
below 50000

6.6
30

50-70
70- 1 lac
above 1 lac

40
23.3

Interpretation-

Graph 4 shows that 30% customers wants the prize should

below 50000 while 23.3 % of people says that the price of

bike should be

between 50-70k and there are a Lot of customers 40% according those
respondent the price is between 50000to 70000 is good for Bajaj bikes and while
only 6.6% are agree to the price is above 1lac respectively .

Classification based on effect of Brands offer and

consumer buying behavior
If Given A Choice, Which Bike Will You, Buy?

Freque
ncy

Percent
age

Yamaha
R15

20

33.3

Pulsar-220

30

50

H.HKarizma

10

16.7

Total

60

100

decision making on offer effect of brands

16.7

33.3

yamha
Pulsar
Karizma

50

Interpretation-

From the above graph 20 respondents prefer to buy

Yamaha R15 and 30 PULSAR-220while the rest of only 10buyer prefer to buy
karizmaout of 60.

Classification on the Base of analyze of Brand

strategies and service quality and main reason to
buy

You decided to buy your existing bike because of

(analyzing the service quality)

Frequenc
y

Percentag
e

Mileage

12

20

Comfort

11.6

Style

10

Price

17

28.3

After Sale
Service

3.3

Resale value

6.6

Maintenance cost

6.6

Power

3.3

Brand Image

8.3

Total

60

100

reasons finding
3.3
6.6
6.6
3.3 28.3

Interpretation-

8.3

20
11.6
10

mileage

comfort

style

price

after sale

resale

maintenance

power

brand image

The above graph reveals the reason for purchase of the

respondents. Out of the sample20% for mileage 11.6% for comfort, 10% for style
28.3% respondents bought the bike because of its price, 3.3% after sale, 6.6%
bought for resale, 6.6 for maintenance cost,3.3% for power and 8.3% for
maibrand image.

Classification based on overall comparative rating of

Bajaj Auto:
Overall, how would you rate Bajaj Auto?

Rating

NO.OfResponde

Percentage

Excellent

nt
25

41.67

Good

30

50

Neither Good Nor

8.33

Bad
Bad

Very Bad

Total

60

100

Percentage
8.33
41.67

Excellent

Good

Neither Good Nor

Bad

Bad

Very Bad

50

Interpretation-Chart shows overall how the Bajaj motorcycle owners

rate Bajaj.

The table shown below reveals rating of Bajaj by Pulsar motorcycle and other
Bajaj motorcycle owners.

Classification based on series-wise ownership of

Bajaj motorcycle:
Which series of Bajaj Pulsar motorcycle do you own?

Series

NO.ofResponde
nt
20

150 cc
180 cc
200 cc
220 cc

18
12
10
60

Total

Percentage
33.33
30
20
16.67
100

Sales

150 cc

16.67
33.33

180 cc
200 cc

20

220 cc

30

Interpretation-.Chart

reveals series wise ownership of i.e. 33.33%

are owning 150cc 30% are owing 180cc, 20% are owing 200cc and
16.67% are owing 220cc

Classification based on source of information for

the purchase of Bajaj motorcycle :
What was the source of information for the purchase of
Bajaj motorcycle?
Source Of

NO.ofResponde

Information

nt

Percentage

Family

10

16.67

Friends
Advertisements
Mechanics
Dealers

20
10
10
8

33.33
16.67
16.67
13.33

2
60

3.33
100

Others
Total

Percentage
3.33
13.33

16.67

Family
Friends
Adversitement
Mechanics

16.67

Dealers
Others
33.33
16.67

Interpretation-Chart 6.1 reveals the main sources of information to

purchase Bajaj
motorcycle.

Classification based on satisfaction level of Bajaj

motorcycle customers:
What is your level of satisfaction towards Bajaj Pulsar
motorcycles?
Level Of

NO.OfResponde

Percentage

Satisfaction
0-25%

nt
10

16.67

25-50%

25

41.67

50-75%

10

16.67

75-100%

15

25

Total

60

100

Sales

25

16.67

0-25%
25-50%
50-75%
75-100%

16.67

41.67

Interpretation- Chart shows the level of satisfaction of Bajaj

motorcycle owners towards their motorcycle 60 respondents
were 0-25% are 16.67%, 25-50%are 41.67%,50-75% are

16.67% and 75-100% are 25%.

Classification based on feelings when the Bajaj
motorcycle owners ride the bike:
How do you feel when you ride your Bajaj motorcycle?

Customers

NO.OfResponde

Percentage

Feeling
Excited

nt
20

33.33

Playful

15

25

Happy
Boring
Uncomfortable

20
3
2

33.33
5
3.33

Total

60

100

Percentage
Excited

5 3.33

Playful
33.33

Happy
Boring

33.33

Uncomfortable
25

Interpretation-Most of the motorcycle owners were feeling

Playful when the ride their motorcycle with 60 responses, 20
were feeling Excited,15 were playful,

20 were Happy and

3was feeling Boring and 2 were feeling uncomfortable as

depicted in chart 8.1.

Classification based on overall rating of Bajaj Auto:
Overall, how would you rate Bajaj Auto?
Rating

NO.OfResponde

Percentage

Excellent

nt
25

41.67

Good

30

50

Neither Good Nor

8.33

Bad

Very Bad

Total

60

100

Bad

Percentage
Excellent

8.33

Good
41.67

50

Neither Good Nor Bad

Bad
Very Bad

Interpretation-The Chart shows overall how the Bajaj

motorcycle owners rate Bajaj.The table no.14 shown below

reveals rating of Bajaj by Pulsar motorcycle andother Bajaj

motorcycle owners.

Classification based on willingness to buy Bajaj

motorcycle?
Do you wish to buy Bajaj Pulsar or any of the Bajaj
Autos

motorcycle?

Willingness

NO.OfResponde

Percentage

Definitely will Buy

nt
25

41.67

Probably Will Buy

15

25

Might or Might Not Buy

Probably Will Not Buy

10
8

16.67
13.33

Definitely Will Not Buy

3.33

Total

60

100

Percentage
3.33
13.33
41.67
16.67 25

Definitely Will Buy

Probably Will Buy

Might Or Might Not

Buy

Probably Will Not

Buy

Definitely Will Not

Buy

Interpretation-Chart reveals the willingness of other

respondents who do not own.
Bajaj but are willing to buy Bajaj motorcycle in future.Table
no.15 reveals the willingness of all respondents to buy Bajaj
Pulsarmotorcycle.
Classification as per Willingness to buy Bajaj Pulsar of
those not owning Pulsar

Willingnes

Those

Those

Those

owing

owing

who are

Bajaj

other

owing

Motor

Motor

motor

Cycles

Cycles

cycles

10

10

25

15

10

22

12

26

60

Definitelywill

Total

buy
Probably
willBuy
Might
orMight
notbuy
Probably
willnot buy
Definitelywill
not buy
Total

Interpretation-The following chart reveals the respondents of

other companys motorcycle ownerswilling to buy Bajaj
motorcycle.

Classification as per Willingness to buy Bajaj those

owning other companysMotorcycle

Willing
ness
Definitel

Hero

TVS

Honda

Other

Total

10

25

15

10

20

13

17

10

60

Honda

y will
buy
Probably
willBuy
Might
orMight
notbuy
Probably
willnot
buy
Definitely
will not
buy
Total

Classification based on age of respondent:

Which age group do you belong?

Age Group

NO. Of

Percentage

18-25

Respondent
37

61.67

26-35

18

30

36-45

46 and Above

3.33

Total

60

100

Interpretation-Chart shows the age wise classification of all

respondents .i.e. 61.67% are between 18-25,30% are between
26-35, 5% are between 36-45 and 3.33% are above 45years of
age.
Classification

is

based

on

the

service

of

the

motorcycle

Are you aware of giving free service from the showroom ?

Response
Yes
No
Total

No. of respondents
55
5
60

Percentage
91.67
8.33
100

Percentage
8.33; 8%
Yes
No
91.67; 92%

Interpretation-Chart reveals that aware of free service offered

by the showroom.

Classification based on Satisfaction of customers

towards service of motorcycles:

Are you satisfied with the service done in

showrooms ?

Response
Yes
No
Total

No. of respondents
45
15
60

Percentage
75
25
100

Percentage

25
Yes
No

75

Interpretation-Chart reveals that customers satisfaction

on service towards their

motorcycle.

FINDINGS

FINDINGS:
The study was conducted and the findings are given in the following
text:

There are consumer perceptions which are addicted to bajaj

bikes. The perception shows the Branding and consumer
behavior and related things (rate mileage etc) in Question
some customers wants the price rate below 50000 and some
50000 to 70000 and 1 lac too.
According to question 5, there are many choices in Bike
segment but after reading the consumer behavior if we are
using offer and acceptance then bajajpulsars selling is being
increased instead of other brands.

 After analyze the service Quality & Brand Equity, the

customers purchase their products by analyzing the quality of
products and their services. The choices may be difference for
each other customer. (mileage, rate, comfort, power etc).
There are many competitors in every segment but what is the
rank of Bajaj automobiles? It would be defined as if I use
customer satisfaction level of Bajaj automobiles.

1. Market presence:
Automobile companies like Hero Honda, TVS, Honda are already
present in
the market. But Bajaj was present with more than 60 % of high
displacement
segment like Pulsar.

2. Market share:
Market share of Bajaj is alright but it is no.2 in leadership. Its
market share

is 34%.

3. Customer perception of quality and style:

Customer satisfaction of quality and style was high on Bajaj. The
research
proved that customers see Bajaj as the company manufacturing
stylish and
quality motorcycles.

4. Most effective factor for influencing the customers:

26.67% of respondents commented that advertisement was the
main source of
information which influenced them to buy a particular brand of Bajaj
i.e. Pulsar.
Even Bajaj has not signed for any celebrity endorsement
advertisement
influences people. But still Bajaj should sign a celebrity as its brand
ambassador.

SUGGESTIONS&RECOMMENDATIONS
1. Increase in advertising in mass media to promote its sales.
2. Manufacture fuel efficient motorcycles.

3. Manufacture motorcycles which can withstand for long time

on Indian
roads.
4. It should appoint a brand ambassador and also sponsor
entertainment andsports events so that the name of the
company remains in the minds of thepeople.
5.Company should implement new marketing strategies to
compete with
cheaper cars like NANO recently launched by TATA as it is one
of the threat to automobile industry.

CONCLUSION

Indian 2-wheeler industry is the second largest in Asia after

China. And Bajaj is one among them. Bajaj Auto came into
existence on November 29, 1945 asM/s Bachraj Trading
Corporation Private Limited. Jamnalal Bajaj is founder ofthe
group.. His son, Kamalnayan Bajaj, then 27, took over the reins
of businessin 1942. The present Chairman and Managing
Director of the group, RahulBajaj, took charge of the business in
1965. The Groups' principal activity is tomanufacture two and
three wheeler vehicles. Other activities of the groupinclude
insurance and investment business. The group comprises of
27companies. Distribution network covers 50 countries. It has a
network of 498dealers and over 1,500 service dealers and 162
exclusive three-wheeler dealersspread across the country. Bajaj
Auto, is ranked as the worlds fourth largesttwo- and threewheeler manufacturer and the Bajaj brand is well-known in
overa dozen countries in Europe, Latin America, the US and
Asia.
Apart from business it has contributed a lot for the society by
as itscustomer social responsibility. It has contributed to
agriculture,

womenempowerment,

health

services,

animal

husbandry etc.
Although Hero Honda is the market leader in the automobile
sector, Bajajhas always produced quality motorcycle with style
and maintained its standardby being on No.2.

BIBLIOGRAPHY & REFERENCE

Books:
1.PhilipKotler Marketing Management

Magazines:
1. Auto India - Car & Bike Magazine
2. Overdrive - Car & Bike Magazine
3. Business Today

Websites:
www.wikipedia.com
www.google.com
www.bajajauto.com
www.mybikesworld.com

ANNEXURE
& QUESTIONNAIRE
Name and Address:

1.Do you own a motorcycle?

a. Yes b. No
2. Do you own Bajaj Motorcycle?
a. Yesb. No

3.Which motorcycle of Bajaj Auto do you own?

a. Pulsar b. Discover c. XCD d. Platina
e. Other __________(Please Specify)
4. Which series of Bajaj motorcycle do you own?
a.150cc b.180cc c.200cc d.220cc

5.Tick any 5 for selecting Bajaj motorcycle?

a. Style

b. Brand image

c. Mileage

d. Pickup

f. Resale value
h. Comfort

e. Price

g. Popularity
i. Low maintenance

j. Safety

6.What was the source of information for the purchase of

Bajajmotorcycle?
a. Family

b. Friends

c. Media

d. Mechanics e. Dealers
f. Others __________(Please Specify)

7. What is your level of satisfaction towards Bajaj motorcycle?

a.0-25%

b.25-50%

c.50-75%

d.75-100%

8.How do you feel when you ride your Bajaj motorcycle?

a. Excited

b. Playful

d. Boring

e. Uncomfortable

c. Happy

9.What new /innovation would you like to see in Bajaj Pulsar

motorcycle?
_____________________________________________________________

10. Overall, how would you rate Bajaj Auto?

a. Excellent

b. Good

c. Neither good Nor Bad

d. Bad

e. Very Bad

11.Do you wish to buy a Bajaj Pulsar or any of the Bajaj Autos
motorcycle?
a. Definitely will buy
c. Might or Might not Buy

b. Probably will buy

d. Probably will not buy

e. Definitely will not buy

b. Which age group do you belong?

i.18-25 ii.26-35
iii.36-45iv.46 and above

c. What is your occupation?

i. Students

ii. Businessmen

iii.Professional(Medicos, CAs,
iv. Working professional
v. Employees vi. Others

d. Which income group do you belong?

i. Less than 5000 ii.5001-10000
iii.10001-15000

iv. Above 15000

13. Are you aware of giving free service of your motorcycle to

the
Showroom?
a. Yes

b. No

14. Are you satisfied of giving your motorcycle for free service
from the
a. Yes

showroom?
b. No