EXECUTIVE

SUMMARY

EXECUTIVESUMMARY
Titleoftheproject:AComparativeStudyofCustomerSatisfactiontoward
PerformanceofHero,TVS,Honda&BajajBikes

Industry:Automobile
Company:HMSI(HondaMotorcycleandScooterIndia)PrivateLimited
Product:TwoWheelerBikes

NEEDFORTHESTUDY
Thetitleofthisprojectclearlystatesthatthepurposeofthestudyistoknowthe
consumerpreferencetowardsperformanceofdifferenttwowheelersbike,the
problemisto identifythe impactofcurrentmarketing strategyontheconsumers
&thebrand

positioning

oftheproduct.Therefore aresearchisconductedto

giveandexposuretothiscase.Thestudyisanattempttoknowwhatistheexact
expectationofcustomerattitudetowardsperformanceofdifferenttwowheelersbike
inIndia.

OBJECTIVESOFPROJECT
1. Toidentifythecustomersatisfactionleveltowardstheperformanceofbikes
2. Toidentifythefactorswhichinfluenceconsumerdecisionmakingprocess.
3. Toidentifypossibleareaofimprovementinbike.
4. To identify the competitive position of various brands of two wheelers in
customersmind.

SEARCH

Success of any formal research

project is a sound research design. A
goodresearchdesignhasCharacteristics
like problem identification, problem
definition, research objectives,
developing the research plan, sourcing
Researchtype
Researchapproach

tativeand
Quantitative

Population
Sampleframe

Samplesize

100
TwoWheeler

Datacollection

Primary data was collected by structured questionnaires, interviews and

observationsmadeduringthevisitsonfield.
Secondarydatawascollectedfromliteraturesurveyandinternet.

LIMITATIONS
1. ResearchworkwascarriedoutinMalegaonCityonly.Thefindingsmaynotbe
applicable to the other parts of the country because of social and cultural
differences.
2. Thesamplewascollectedusingconnivancesamplingtechniques.Assuchresult
maynotgiveanexactrepresentationofthepopulation.
3. Shortageoftimeisalsoreasonforincomprehensiveness.
4. Theviewsofthepeoplearebiasedthereforeitdoesntreflecttruepicture.

FINDINGS
1. Itisobservedthatinratingofdifferentfeaturesofdifferentbikespeoplegive
maximumratingtothelookshape,BrandImageandPickupoftheHONDA&
HERObikes.Atthesecondleveltheygivetheirmaximumratingtothemileage
ofBajajBikes.MostofthecustomersaredissatisfiedwiththeirTVSbikes
2. ItisobservedthatthecustomersofHero,Bajaj&Hondabikesarenotreadyto
change their bikes even if a new bike comes in with good features. While
majorityofthecustomersofTVSarereadytochangetheirbikesifnewbike
providessomegoodfeaturestothem.

Conclusion
1. Hero,BajajandHondaareconsideredtobemostfuelefficientbikeonIndian
rods.
2. Service&SparepartsofHondabikesareavailablethroughoutIndiainlocal
marketsalso.
3. While buying a motorcycle, economy is the main consideration in form
ofmaintenancecost,fuelefficiency.
4. Majorityoftherespondenthadboughttheirmotorcyclemorethan2years.

SUGGESTIONS
1. Hondashouldintroducesomemoremodelshavingmoreenginepower.
2. Hondashouldthinkaboutfuelefficiencyincaseofuppersegmentbikes.

INDEX
SR.No.

Title

Pageno.

INTRODUCTIONOFTHESTUDY

LITTERATURESURVEY

11

INDUSTRYPROFILE

17

COMPANYPROFILE

21

HMSI(HondaMotorcyclesandScootersIndia)Pvt.
Ltd.

OBJECTIVEANDSCOPEOFTHESTUDY

38

RESEARCHMETHODOLOGY

40

DATAANALYSISANDINTERPRETATION

49

OBSERVATIONSFROMTHESTUDY

69

CONCLUSIONS

71

10

SUGGESTIONS

73

11

REFERRENCESANDQUESTIONIARRE

75

LISTOFTABLES
Page

Table
No.
4.1.1

Table

Page

TableName

TableName

TVSUsheringInthepersonal

No.

No.

26

7.06

UsageOfBikes

27

7.07

Howdidcustomers

transportation

No.
56

revolution

4.1.2

ProfileofTVSMotorsLtd.

4.2.1

ProfileOfBajajAutoLtd.

29

7.08

Influenceof

Ownersofdifferentbikes

49

7.09

CustomerSatisfaction

7.01

getto

58

advertisement

59

knowaboutbikes?

oncustomersdecision

60

towardsperformanceof
bikes

7.02

Agewiseusersofdifferent

50

bikes

7.10

Respondents

knowledge

having

about

about

bikes

61

before
buying
7.03

Respondentsusingdifferent

51

7.11

Influencingfactorsofbikes

62

54

7.12

Pointsgiven

65

55

7.13

BikeChangingdecision

models
7.04

Incomelevelofrespondents

7.05

Customers

since

using

bikes

forattributesof
bikes

bycustomers

67

LISTOFFIGURESGRAPHS
Graph

GRAPHNAME

No.
1

RespondentsOwnershipOf

PAGE

Graph

No.

No.

49

11

Bikes

GRAPHNAME

PAGE

No.
Influenceof

59

advertisementon
customersdecision

AgeWiseUsersOfBikes

50

12

CustomerSatisfaction

60

towardsperformanceof
bikes
3

Respondentsusingdifferent

51

13

modelsofHeroBikes

Respondentshaving

61

knowledgeaboutbikes
beforebuying

Respondentsusingdifferent

52

14

modelsofBajajBikes
5

Respondentsusingdifferent

Respondentsusingdifferent

53

15

IncomeLevelof

53

16

Customersusingbikes

63

TVSBikesinfluencing

63

factor
54

17

respondents
8

BajajBikesinfluencing

factor

modelsofHondaBikes
7

62

factor

modelsofTVSBikes
6

HeroBikesinfluencing

HondaBikesinfluencing

64

factor
55

18

since

Pointsgivenbycustomers

66

forattributes

UsageofBikes

56

10

HowDidcustomersgetto

58

19

knowaboutbikes?

BikeChangingdecision

67

CHAPTER1
INTRODUCTION

INTRODUCTION
Intodaysmarketthesalesoftheproductisnottheonlywaytogetsuccess,
theservicesandthecustomersatisfactionisalsoimportant.ThecompaniesHERO,
HONDA,BAJAJ,&TVSaretheworldclasscompaniesinthetwowheelerbikes.
Those all are the highest two wheeler selling companies in India. But the
performanceandthecustomersapproachtowardthosecompaniesisimportant.
The topic A COMPARATIVE STUDY OF CUSTOMER
SATISFACTIONTOWARDPERFORMANCEOFHERO,TVS,HONDA
AND
BAJAJ BIKES is a kind of survey that shows the performance of those
companies. So this shows the customers view toward the companies and their
problemsaboutthecompanies.
Hereinthisstudy,wetrytoanalyzeaboutthenumberoftwowheelersand
howmanypeopleareusingtwowheeler?Whatmotivatesandinfluencethemtobuy
twowheeler? Which are the most preferable choices in two wheelers in case of
motorcyclesandscootersandthemostrecenttwowheelerschoiceinthemarket?
Whataretheir consumerattitudetowardperformanceoftwowheelersbikeswhich
influencedthemandthereasontobuy?
SoitishelpfultomeinmyfuturereferenceandthatsthereasonIselectthis
topicformyproject.

STATEMENTOFTHEPROBLEM
Intodaysintenselycompetitiveenvironment,companiestodayareconstantly
lookingforwaystoattractcustomersbyhavingabetterunderstandingofchanging
customerattitudetowardsperformanceoftwowheelersbikes.Theeverchanging
market characteristics have huge impact on corporate decisions. The global
environmentalsoposesseveralcomplexitiestomarketerinunderstandingthemarket
andconsumerattitude.
ACOMPARATIVESTUDYOFCUSTOMERSATISFACTIONTOWARD
PERFORMANCEOFHERO,TVS,HONDAANDBAJAJBIKES
9

CHAPTER2
LITERATURE
SURVEY

10

LITERATURESURVEY
InthereviewofliteratureIfoundthatmanyresearchershavecontributedtothis
studyabout'Consumerattitudetowardperformanceoftwowheelerbikes.Yet,these
remainsomeareaonthepartofconsumerattitudethatneedstobetakennoticeofin
myreport.

AccordingtoAnujKumarKanojia,2011
Inhisarticleexploredtheimpactofconsumerattitudeonsalesoftwowheelerin
urbanareasofIndia.However,thestudyalsoshowedthaturbanandruralregions
havedifferentattitudewhenitcomestoselectingthetwowheelersbikemodel.

AccordingtoEconomicoftimesKetanThakkar,ETBureau:
HowcriticalIndiaistoHeroMotorCo'sfortunesbecameevidentatthecloseofthe
last financial year. The Japanese company had forecast that it would sell 15.52
millionmotorcyclesandallterrainvehicles(TVs)byMarch.Itendedupfalling
marginallyshort(15.494million)butthatitwasevenabletogetsoclosetothe
targetwasbecauseitsIndianunitgrewatacracking30%pace.Thenumberspretty
muchtellthestoryofwhat...

ICRAEQUITYRESEARCHSERVICE:
HERO MOTOCORPLIMITEDResultsUpdateJanuary20,2012,HeroMoto.Corp.
Limited (HMCL), formerlyHeroHonda Motors Limited, isthe worlds largest two
wheeler(2W)companyintermsofsalesvolumes,apositionthatithasbeenholdingfor
thelastnineconsecutiveyears.HMCLwaspromotedasajointventure(JV)betweenthe
HeroGroupoftheMunjalfamilyandHondaMotorCompany(HMC,Japan),witheach
holding around 26% equity stake inthe company. However, in December 2010, the
managementofHMCLsignedanewlicensingagreementwithHMC.TheHeroGroup
andHMCagreedtorestructuretheirrespectiveequitypositionsinHMCL,aspartof
which,theHeroGroupboughtouttheentire26%ofHMCsstakeinHMCL.HMCLhas
threemanufacturingfacilitieslocatedatGurgaon(Haryana),Dharuhera(Haryana)and
Haridwar(Uttarakhand)withanaggregatecapacitytoproduce6.15millionvehiclesper
annumasofMarch31,2011.
11

AsianJournalofTechnology&ManagementResearch/Vol.01
Issue:02(JulDec2011)accordingtohim:
HeroHondahasaremarkableshareinthemarketofthetwowheelerindustryof
India.Ithasrecordedmorethan41percentshareinthesegmentduringtheperiod.
WhereBajajthelocalmanufactureroftwowheelershasrecordedsecondposition
salespercentage26.70butitisasignificantgrowthduringtheperiod.Thirdplace
hasgrabbedbytheTVSmotorsinthesegmentwhichhasashareof18.14percent.

SIAM,ImamsAnalysis:
Indiantwowheelermarkets,competitionisintensewitharound10playerscompeting
fortheshareintheindustry.TheseplayersincludeglobalgiantslikeHonda,Suzukiand
YamahaaswellasIndianplayerslikeBajajandTVS.Themarketleaderinthedomestic
twowheelerindustryisHeroHondaMotors,witha42percentmarketshare.Itisthe
largesttwowheelermanufacturerintheworldandiscloselyfollowedbyBajajAuto,
which has a 27 per cent market share. TVS Motor is the third largest two wheeler
manufacturerinthecountry;ithasalsoestablishedamanufacturingfacilityinIndonesia.
HondaMotorsispresentinIndiaasHondaMotorcyclesandScootersIndiaLimited
(HMSIL),a100percentsubsidiary,inadditiontojointventure,HeroHonda.Another
internationalplayer,itsSuzuki,hasrecentlyenteredtheIndianmarketthroughitsdirect
subsidiary. Theindustry is characterizedbyfrequent product launches, with over 20
modelslaunchedin200607.

Intheyear1984,Mr.BrijmohanLalMunjal:
TheChairmanandManagingDirectorofHeroHondaMotors(HHM),headedan
alliancebetweentheMunjalfamilyandHondaMotorCompanyLtd.(HMC).HHM
MissionStatementis:We,atHeroHonda,arecontinuouslystrivingforsynergy
betweentechnology,systems,andhumanresourcestoprovideproductsandservices
thatmeetthequality,performance,andpriceaspirationsofourcustomers.

AccordingtostudyofMr.MUKESHKUMAR,SRMSCHOOLOF
MANAGEMENT:
HeroHondaMotorsLtd.,themanufacturerofIndiaLargestselling100CC
MotorcycleswasincorporatedonJan.19,1984.HeroHondaisasuccessfulblendof
12

twouniquecultures&worldmarketleadersi.e.HondaMotorCompanyofJapan&
HeroGroupofIndia.ThepartnershipbetweenHondas&Manualstomanufacture
100CCMotorbikehasbeenoneofthemostsuccessfulIndianjointVentureever.
HHMLhasbroughttoIndiaarevolutiononTwoWheelerbyfamousadvertising
campaignFillitShutItForgetit.Today2plantsofHHMLarelocatedonDelhi
Jaipurhighway.

AccordingtoCompany,MediaReports,ICRAHeroHonda:
HeroHondabeenadding500600customertouchpointseveryyearandhasdoubled
thecountfrom2,000inMarch2006to4,200(includesaround800dealers)inMarch
2010. To strengthen its presence in the rural markets, HHML had launched a
dedicatedruralverticalin200708,whichtookseveralnewmarketinginitiatives
includinglaunchofanationallevelprogrammedtodirectsaleseffortsinterritories
withapopulationof5,000andabove.

ManagementPunditz:IndianTwoWheelerIndustries20112012:
HeroMotoCorpisnowworldslargestmanufactureroftwowheelers.Thecompany
has benefited from the demand shift to motorcycles, as it focuses solely on this
productsegment(althoughhasaproductcalledPleasureinScootersegment).With
fuelefficiencyandridingcomfortasthemainsellingpoints,HMChasbeenableto
addressawidemarketandpostrobustsalesgrowthevenafteritsseparationfromthe
JapanesemajorHonda.
HondaMotorcycleandScooterIndia,PrivateLimited(HMSI)isthewhollyowned
IndiansubsidiaryofHondaMotorCompany,Limited,Japan.Foundedin1999,it
wasthefourthHondaautomotiveventureinIndia,afterHeroHonda,KineticHonda
MotorLtdandHondaSielCarsIndia.TheentryofHondaintotheIndianmarketas
HMSI began with the launch of the Honda Activa, a 100 cc scooter. A slightly
modifiedtrendierversionoftheActivawassoonlaunched,astheHondaDio.Honda
Eterno was launched thereafter to add to the portfolio of HMSI's scooters. The
HondaUnicornwasthefirstmotorcyclereleasedbyHMSI.TheHondaShinehas
sincebeenreleased.

13

AccordingtoSriramonLinkedIn....Shoppers'StopLtd:
In2000fromtheinitialinvestorIndiaBookHouseLtd.Sriramstepped...Hecurated
the Kala Ghoda Literature Festival from 2005 to 2010.Past: AVP (Research&
Consulting)atTransGraphConsultingPvt.Ltd.,SeniorAnalystat.
(Received12September2009;accepted23Janaury2010).Abstract.Thepurposeof
the...Key..words:. .Customer. .Evaluation,. .Brand..Image,. .Quality.........techniques..are
suggestedintheliteratureto. .HeroHondaMotorsLtd(HHML),Bajaj.AutoLtd
(BajajAuto)andTVSMotor.....Loyaltyandpositivewordofmouth.
Nov25,2009......13HeroCyclesLimitedHeroHondaMotorsLimited......................hero
Cold......................This
hashelpedHeroCyclesdevelopimmensebrandloyaltyandcustomersatisfaction.
Hero Cycles was ranked 3rd amongst top Indian Companies Review2000..38
CHAPTER339LiteraturereviewBallandBrown(1968)werethefirst ...
May6,2008.....Customerloyaltyhasbeenuniversallyrecognizedasavaluableasset
................................
Nearly30yearsafterloyaltyfirstappearedintheacademicliterature ........IndicaXeta,
BajajPulsar,HeroHonda,CD100andgoldcoins..........Article:
NETTINGLOYALTY
Articlefrom:GrocerArticledate:October07,2000is

Nov 30, 2008............Customer....Value....Exchange. . .Loyalty. .(If....Exchange....not

Applicable). . .Songs,Review,Story,MP3,Download,Trailer,Wallpaper,Picture....
NIIinvitesapplicationforPh.D.ProgrammedfortheAcademicYear20092010 ....
BajajAutoLtd,India'ssecondbiggestmotorcycleandHeroHondawasinthefirstinthe
market.
HeroHondacontributes50%motorcyclestothemarket.InitHondaholds46%...per
centlowerthanintheWest,havegrownat25%ayearbetween2000to2005....
Environmentalissues,webusage,leadmanagementandcustomerloyalty.

AccordingtoDavis:
Tomaximizethecustomerbrandrelationshiponreviewoftheliteratureweseethat
familydecisionmakingprocesshasbeen.Thesetrustlevelsarenotonlyassociated
14

withbrandequityandbandloyaltybutalsoHeroHondabeingthekeyplayer.Bajajby
faristhenumberone...

WeareveryexcitedtolaunchAudiretheIIMABCConsulting
Review:
Jointeffortofthe.....offinotherways:theshareofHeroHondain...dramaticshiftin
fortunefromMarch2000whenit..... Customerbaseofboththestandardsbylying

out..... Entrepreneurshipliterature,itisclearthatakey.
Customer'simpressionregardingsuchproductswillenhancethetendencytoshift...
becausetheresaltingbrandloyaltylowerscustomers'sensitivitytoprice....Usesofa
differentiation strategy are Hero Honda, HLL, in their 1999 Harvard Business
Reviewarticle"CreatingNewMarketSpace".

15

CHAPTER3
INDUSTRY
PROFILE

16

INDUSTRYPROFILE
TWOWHEELERSINDUSTRYININDIA
ThetwowheelerindustryinIndiaisoneofthelargestintheworldandoneofthe
fastestgrowingglobally.Indiamanufacturesover18millionvehiclesincludingfour
wheeled vehicle every year. It is the world's second largest manufacturer of
motorcycles,thereareeightkeyplayersintheIndianmarketthatproduced13.8
millionunitsintheyear201011.Atpresentthedominantproductsoftheautomobile
industry are two wheelers with a market share of over 75%. The industry has
attained a turnover of more than USD 35 billion & provides direct and indirect
employmenttoover13millionpeople.
Currently, India is the second largest producer of twowheelers in the world. It
stands next only to China and Japan in terms of the number of two wheelers
producedandthesalesoftwowheelersrespectively.Therearemanytwowheeler
manufacturersinIndia.Themajorplayersinthe2wheelerindustryareHero,Bajaj
AutoLtd(BajajAuto),TVSMotorCompanyLtd(TVS)andHondaMotorcycle&
ScooterIndia,PrivateLimited(HMSI)accountingforover93%ofthesaleinthe
domestictwowheelermarket.Itisnoteworthythatmotorbikessegmentsshareis
justbelow80%ofthetotal2WmarketinIndiawhichisdominatedbyHeroand
Hondawithamarketshareof59%.Scootersegmentsmarketshareisabout18%
whichisledbyHondaMotorcycle&ScooterIndia,PrivateLimited(HMSI)witha
marketshareof43%.Threefourthofthetotalexportsinthetwowheelerautomobile
industryismadeinthemotorcyclesegment.ExportsaremademainlytoSouthEast
AsianandSAARCnations.
TheleveloftechnologychangeintheMotorvehicleIndustryhasbeenhighbut,the
rateofchangeintechnologyhasbeenmedium.Investmentinthetechnologybythe
producershasbeenhigh.However,furtherinvestmentinnewtechnologieswillhelp
the players to be more competitive. Currently, Indias increasing per capita
disposableincomewhichisexpectedtoriseby106%by2015andgrowthinexports
isplayingamajorroleintheriseandcompetitivenessoftheindustry.TheIndian
twowheelerindustryhascomealongwaysinceitshumble
17

beginningin1948whenBajajAutostartedimportingandsellingVespascootersin
India.Sincethen,thecustomerpreferenceshavechangedinfavorofmotorcycles
andgearlessscootersthatscorehigherontechnology,fueleconomyandaesthetic
appeal,attheexpenseofmetalbodiedgearedscootersandmopeds.Thesechanges
incustomerpreferencehavehadanimpactonthefortunesoftheleadmanufacturers.
Theerstwhileleadershaveeitherperishedorhavesignificantlylostmarketshare,
whereas new leaders have emerged. The two wheeler industry consists of three
segmentsviz.,scooters,motorcyclesandmopeds.Withanexpandingmarketand
entryofnewplayersoverthelastfewyears,theIndiantwowheelerindustryisnow
approaching a stage of maturity. Previously, there were only a handful of two
wheelermodelsavailableinthecountry.
AtpresentthedominantproductsoftheautomobileindustryareTwoWheelerswith
amarketshareofover75%andpassengercarswithamarketshareofabout16%.
Commercial vehicles and three wheelers share about 9% of the market between
them.TheindustryhasattainedaturnoverofmorethanUSD35billionandprovides
directandindirectemploymenttoover13millionpeople.
TheIndiantwowheelerindustryhascomealongwaysinceitshumblebeginningin
1948whenBajajAutostartedimportingandsellingVespaScootersinIndia.Since
then,thecustomerpreferenceshavechangedinfavorofmotorcyclesandgearless
scootersthatscorehigherontechnology,fueleconomyandaestheticappeal,atthe
expenseofmetalbodiedgearedscootersandmopeds.Thesechangesincustomer
preferenceshavehadanimpactonthefortunesofthePlayers.Theformerleaders
haveeitherperishedorhavesignificantlylostmarketshare,whereasnewleaders
haveemerged.Withanexpandingmarketandentryofnewplayersoverthelastfew
years, the Indian two wheeler industry is now approaching a stage of maturity.
Previously, there were only a handful of twowheeler models available in the
country.
ConsumersareveryimportantforthesurvivaloftheMotorVehiclemanufacturing
industry. In 200809, customer sentiment dropped, which burned on the
augmentationindemandofcars.Thekeytosuccessintheindustryistoimprove
laborproductivity,laborflexibility,andcapitalefficiency.Havingquality
18

manpower,infrastructureimprovements,andrawmaterialavailabilityalsoplaya
majorrole.Accesstolatestandmostefficienttechnologyandtechniqueswillbring
competitive advantage to the major players. Utilizing manufacturing plants to
optimumlevelandunderstandingimplicationsfromthegovernmentpoliciesarethe
essentialsintheAutomotiveIndustryofIndia.
This

report

COMPARATIVE STUDY OF

CUSTOMER

SATISFACTIONTOWARDPERFORMANCEOFHERO,TV
S, an dH ON DA & BAJA JB IK ES givesinsightof the industry
encompassing its evolution in India, demand drivers, influence of supply side
factors,commentaryonindustryplayersandcompetitionandthetrendsindomestic
salesandexports.ThereportalsoshowstheoligopolisticnatureoftheIndiantwo
wheelerindustryandthepropensityofthemajorplayerstoincreasetheirshare.In
thispaperweassessthedegreeofimperfectioninthetwowheelerindustrybyusing
Hirschman Herfindahl Index (HHI). In a rapidlygrowing two wheeler industry,
especiallyindevelopingeconomieslikeIndia,itisextremelyimportanttoanalyze
thestateofcompetitiontocheckwhetherafewfirmsmayincreasetheirdominance
andalsotheimplicationsofaftersaleservicesprovidedbythetwowheelerfirmsto
consumers.Animportantpointalsoremainstolookthatwhyevenafterbeingthe
worldslargesttwowheelerindustry.

19

CHAPTER4
COMPANY
PROFILE

20

COMPANYPROFILE
HONDA MOTORCYCLES AND SCOOTERS, INDIA
PVT.LTD.

ThewhollyownedsubsidiaryofHondaMotorCompany,Japan,HondaMotorcycle
& Scooter India has amassed impressive numbers and credibility over the past
decadewithsomeverysuccessfulmodelsliketheActivascooterandtheHonda
Shine125ccmotorcycle.HMSIiscurrentlythethirdlargesttwowheelercompany
inIndiaandissteadilyclimbinguptheranks.Andnowwithitsthirdplantgetting
operational,thelongwaitforitsproductsalsoseemstobedroppingeffectively.

1.1Products
Twister

21

TheHondaCBTwisterisamotorcyclemanufacturedandmarketedinIndiabythe
HondasubsidiaryHondaMotorandScooterIndia(HMSI).Itwasintroducedin
December2009.
Itwasgiven"themostawardedmotorcycleoftheyear"in2011.
ItisavailableinthePhilippinesastheHondaCB110,andinIndiaastheCBTwister.

CBR

The Honda CBR models are a series of Honda sport bikes several of which
(400RR, 600RR, 900RR, 929RR, 954RR and 1000RR) are marketed as race
replicas,havingthesuffixRRaftertheenginesizedesignation.Withtheexception
of the single cylinder CBR125 and CBR150, all CBR motorbikes have inline
engines(ascomparedtotheVtwinsintheVT,VTRandVF/VFRseries).Less
sportingmodelswithinlineenginesmakeuptheCBSeries.

HondaShine

22

TheHondaShineisamotorcycledevelopedbyHondaMotorcycle&ScooterIndia
(HMSI). It was introduced in India in 2006. It is a 125 cc motorcycle. Honda
claimedtheShineacceleratedfrom0to60km/h(0to37mph)in5.30secondsand
hadatopspeedof95100km/h(5962mph).

1.2ProductOffering

ExchangeOffer
Freegifts

1.3USP
Extremelypowerfulengineandsportydesignusedinmotorsports

1.4MarketingStrategy
Themarketsaredifferentintermsofthewaywereachouttothem.Asweare
expectingDreamYugatogenerategoodvolumesfromTierIIandTierIIItowns,
weneedtoworkonbothfrontendandbackend.Soweareworkingonwhatwecall
the3CstrategyatHonda.ThefirstCiscommunication;wehavetocommunicatein
suchawaythatweareunderstoodbycustomersbelongingtoTierIIandTierIII
towns.WewanttotranslateourglobalsloganPowerofDreamsintoalanguage
thatisfollowedbythemassesinIndiaSachkardengesapneisbeingusedin
locallanguagesaspertheregion.ThesecondCisConnect;wehaveseenthatthat
theIndianbuyerhasaverygoodbalanceofemotionalandrationalconnect.He
evaluates the product on looks and price, as well as emotional connect through
messagesandcommunicationofthebrand.ThatswhywehaveropedinAkshay
Kumar.Wefeelthathehasverywideacceptabilityamongstthemasses.Wearealso
increasingourownnetworkfrom1500touchpointslastyear,wewanttotakeitto
2000bytheendofthisfiscalyear.Theproductisamasssegmentproductandit
shouldbeavailableclosertothemasses.Wearealsoincreasingthereachofour
regionaloffices;everywhere.

23

HISTORY:
ThehistoryoftheHondabrandisnothingmorethanthehistoryofourchallenges
andachievementsincreatingvalues,invariablyaheadofourtime.Itisalsothe
historyofthedreamsofeachofourassociatesthathavecometrueandhavebeen
sharedbypeoplearoundtheworld.

COMPETITORS:
4.1TVSMOTORCOMPANY

TheTVSgroupwasestablishedin1911byShri.T.V.SundaramIyengar.Asone
ofIndiaslargestindustrialentitiesitepitomizesTrust,ValueandService.Itall
beganwaybackin1984whenSundaramClaytonLimited(ATVSGroup
company)introducedits50CCmopedsinthearenaofroadracing,notchingup
unbelievablespeedsof105kmph.Sincethen,therehasbeennolookingback
24

forTVSMotorCompany.TVSRacingwasestablishedin1987withtheobjective
ofimprovingtheperformanceofitsbikes.Overtheyearsithasprovidedvaluable
data,designinputs,developmentofreliablemotorcyclemodels,excellentvehicle
dynamics&handlingetc.Thetrueevidenceofitisseenintoday'sTVSVictor
and TVS Fiero. Today, there are over thirty companies in the TVS Group,
employingmorethan40,000peopleworldwideandwithaturnoverinexcessof
USD2.2billion.
With steady growth, expansion and diversification, TVS commands a strong
presence in manufacturing of twowheelers, auto components and computer
peripherals. We also have vibrant businesses in the distribution of heavy
commercialvehiclespassengercars,financeandinsurance.
TVSMotorCompanyLimited,theflagshipcompanyoftheUSD2.2billionTVS
Group,isthethirdlargesttwowheelermanufacturerinIndiaandamongthetop
tenintheworld,withanannualturnoverofoverUSD650million.
Theyear1980isonetoberememberedfortheIndiantwowheelerindustry,withthe
rolloutofTVS50,India'sfirsttwoseatermopedthatusheredinaneraofaffordable
personaltransportation.FortheIndianAutomobilesector,it
wasabreakthroughtobeetchedinhistory.TVSMotorCompanyisthefirsttwo
wheeler manufacturer in the world to be honored with the hallmark of Japanese
QualityTheDemingPrizeforTotalQualityManagement.

MANYFIRSTSTOTHEAUTOMOTIVEINDUSTRYININDIA
TVS has been at the forefront in bringing a revolution in the way personal
commutationwashappening,waybackinthe1980s.Beginningwithlaunchinga
simple,easytousemopedforthemiddleclassinIndiainthe1980stolaunching
7newbikesinasingleday(firsttimeinthehistoryoftheautomotiveindustryin
theworld),TVShasoftentakentheunbeatenpathtoinnovation.

25

Usheringinthepersonaltransportationrevolution

1980

LaunchedTVS50,India'sfirst2seater50ccmoped

1984

FirstIndiancompanytointroduce100ccIndoJapanesemotorcycles

1994
1996

LaunchedIndia'sFirstindigenousscooterette(sub100ccvariomatic)

IntroducedIndia'sfirstcatalyticconverterenabledmotorcycle,the110cc

1997

IntroducedIndia'sfirst5speedmotorcycle,Shaolin

2000

LaunchedIndia'sfirst150cc,4strokemotorcycleTheFiero
LaunchedIndia'sfirstfullyindigenouslydesignedandmanufactured

2001
LaunchedtherevolutionaryVTIengineforthebestinclassmileagein

2004
2006

LaunchedTVSApachefirstbiketowin6awardsinarow
ApacheRTRfirsttwowheelerinIndiatohaveracinginspiredengineand

2007
TVSFlame,TVSScootyElectricVehicleandThreewheelerTVSKing

2008

Launched.
Tableno.4.1.1Usheringinthepersonaltransportationrevolution

TVSMOTORSLIMITED.

TVSMOTOR

26

Type

Privateconglomerate(BSE)

Founded

In1911byshri.T.V.SundaramIyenger

Headquarters

Chennai,Tamilnadu,India.

Key
Mr.venusrinivasanchairman
Products

Motorcycle,mopeds,ungearedscooters,automotive
components.

Revenue

USD2.2billion(FY2006)

Employees

5,633(2007)

Website

www.tvsmotor.in

Tableno.4.1.2ProfileofTVSMotorslimited

27

4.2BAJAJAUTOLIMITED

BajajAutolimitedisoneofthelargesttwowheelermanufacturingcompanyin
Indiaapartfromproducingtwowheelerstheyalsomanufacturethreewheelers.
Thecompanyhadstartedwaybackin1945.Initiallyitusedtoimportthetwo
wheelersfromoutside,butfrom1959itstartedmanufacturingoftwo wheelersin
thecountry.Bytheyear1970BajajAutohadrolledouttheir100,000thvehicle.
Bajajscootersandmotrcycleshave becomeanintegralpartof the Indian
milieu andovertheyearshavecome

torepresentthe aspirations of modern

India. Bajaj Auto alsohas atechnicaltieup

industriesof Japan toproduce the

withKawasaki heavy

latestmotorcyclesinIndiawhichareof

worldclassqualityTheBajajKawasakieliminatorhasemergedstraightoutofthe
drawingboardofKawasakiheavyindustries.ThecorebrandvaluesofBajajAuto
limitedincludesLearning,Innovation,Perfection,SpeedandTransparency.
BajajAutohasthreemanufacturingunitsinthecountryatAkurdi,Walujand

ChakaninMaharashtra,westernIndia, whichproduced2,314,787 vehiclesin

200506.Thesalesare backedbya network ofafter sales service and
maintenanceworkshops

alloverthecountry.

BajajAutohasproducts whichcater

toevery segment oftheIndian two

wheelermarketBajajCT100Dlxoffersagreatvalueformoneyattheentry
level. Similarly Bajaj Discover 125 offers the consumer a great performance
withoutmakingabigholeinthepocket.

28

PROFILE:
FOUNDER

JAMUNALALBAJAJ

YearofEstablishment

1926

Industry

AutomotiveTwo&ThreeWheelers

BusinessGroup

TheBajajGroup

Listings&itscodes

BSECode:500490;NSECode:
BAJAJAUTO

Presence

Distributionnetworkcovers50countries.
DominantpresenceinSriLanka,Bangladesh,
Columbia,Guatemala,Peru,Egypt,Iranand
Indonesia.

JointVenture

KawasakiHeavyIndustriesofJapan

Registered&HeadOffice

Akurdi
Pune411035
India

Tel.:+(91)(20)27472851

Works

1Akurdi,Pune411035
2BajajNagar,WalujAurangabad431136
3ChakanIndustrialArea,Chakan,Pune

Email

rahulbajaj@bajajauto.co.in

Website

www.bajajauto.com
TableNo.4.2.1.ProfileofBajajAutoLimited

29

COMPANY'SHISTORY
BajajAutocameintoexistenceonNovember29,1945asM/sBachrajTrading
CorporationPrivateLimited.It startedoffbysellingimportedtwoandthree
wheelersinIndia.In1959,itobtainedlicensefromtheGovernmentofIndiato
manufacturetwoandthreewheelersanditwentpublicin1960.In1970,itrolled
out its 100,000th vehicle. In 1977, it managed to produce and sell 100,000
vehicles in a single financial year. In 1985, it started producing at Waluj in
Aurangabad.In1986,itmanagedtoproduceandsell500,000vehiclesinasingle
financialyear.In1995,itrolledoutitstenmillionthvehiclesandproducedand
sold1millionvehiclesinayear.

4.3HEROMOTOCORP.

AboutUs
HeroMotoCorpLtd.(FormerlyHeroHondaMotorsLtd.)istheworld'slargest
manufactureroftwowheelers,basedinIndia.In2001,thecompanyachievedthe
covetedpositionofbeingthelargesttwowheelermanufacturingcompanyinIndia
andalso,the'WorldNo.1'twowheelercompanyintermsofunitvolumesalesina
calendaryear.HeroMotoCorpLtd.continuestomaintainthispositiontilldate.

30

VISION
ThestoryofHeroHondabeganwithasimplevisionthevisionofamobileandan
empoweredIndia,poweredbyitstwowheelers.HeroMotoCorpLtd.,company'snew
identity,reflectsitscommitmenttowardsprovidingworldclassmobilitysolutionswith
renewedfocusonexpandingcompany'sfootprintintheglobalarena.

MISSION
HeroMotoCorpsmissinistobecomeaglobalenterprisefulfillingitscustomers'needs
andaspirationsformobility,settingbenchmarksintechnology,stylingandqualityso
that itconverts its customers intoits brand advocates.The companywill provide an
engagingenvironmentforitspeopletoperformtotheirtruepotential.Itwillcontinue
itsfocusonvaluecreationandenduringrelationshipswithitspartners.

31

STRATEGY
Hero MotoCorps key strategies are to build a robust product po rtfolio across
categories, explore gr owth opportunities globally, continuously improve its
operational efficiency, a ggressively expand its reach to customers, continue to
investinbrandbuildingactivitiesandensurecustomerandshareholderdelight.

BRAND
ThenewHeroisrisingandispoisedtoshineontheglobalarena.Company'snew
identity"HeroMotoCorpLtd."istrulyreflectiveofitsvisiontostrengthenfocuson
mobilityandtechnologyandcreatingglobalfootprint.Buildingandpromotingnew
brandidentitywillbecentraltoallitsinitiatives,utilizingeveryopportunityand
leveraging its strong presence across sports, entertainment and groundlevel
activation.

32

MANUFACTURING
HeroMotoCorp.twowheelersaremanufacturedacross3globallybenchmarked
manufacturingfacilities.TwoofthesearebasedatGurgaonandDharuherawhich
are located in the state of Haryana in northern India. The third a nd the latest
manufacturingplantisbasedatHaridwar,inthehillstateofUttrakhand.

DISTRIBUTION
The Company's growth i n the two wheeler market in India is the result of an
intrinsic ability toincrease reach in newgeographies and growthmarkets. Hero
MotoCorpsextensivesalesandservicenetworknowspansoverto6000customer
touchpoints.Thesecompriseamixofauthorizeddealerships,service&spareparts
outlets,anddealerappointedoutletsacrossthecountry.

33

History
HeroisthebrandnameusedbytheMunjalbrothersfortheirflagshipcompany,
Hero Cycles Ltd. A joint venture between the Hero Group and Honda Motor
Companywasestablishedin1984astheHeroHondaMotorsLimitedatDharuhera,
India.MunjalfamilyandHondagroupbothowned26%stakeintheCompany.
Duringthe1980s,thecompanyintroducedmotorcyclesthatwerepopularinIndia
fortheirfueleconomyandlowcost.Apopularadvertisingcampaignbasedonthe
slogan'FillitShutitForgetit'thatemphasizedthemotorcycle'sfuelefficiency
helped the company grow at a doubledigit pace since inception. In 2001, the
company became the largest twowheeler manufacturing company in India and
globally. It maintains global industry leadership till date. The technology in the
bikesofHeroMoto.Corp(earlierHeroHonda)foralmost26years(19842010)has
comefromtheJapanesecounterpartHonda.
Hero Honda Motorcycles Limited is an Indian manufacturer of motorcycles and
scooters.HeroHondaisajointventurethatbeganin1984betweentheHerogroup
ofIndiaandHondafromJapan.Ithasbeentheworld'sbiggestmanufacturerof2
wheeledmotorizedvehiclessince2001,whenitproduced1.3millionmotorbikesin
asingleyear.HeroHonda'sSplendoristheworld'slargestsellingmotorcycle.Its2
plantsareinDharuheraandGurgaon,bothinHaryana,India.Itspecializesindual
usemotorcyclesthatarelowpoweredbutveryfuelefficient.
Thecompanyhassoldover47million2wheelerssinceitsinceptionin1984till
March2013.Itsold6.07million2wheelersin2012,outofwhich5.5millionwere
motorcycles.HeroMoto.Corpsellsmoretwowheelersthanthesecond,thirdand
fourth placed twowheeler companies put together. Its most popular bike Hero
HondaSplendorsellsmorethanonemillionunitsperyear.
In2013,HeroMotoCorpregisteredbestevercalendaryearperformanceofmore
than6.1millionunitsales.Byselling6.25millionunitsinthemonthofOctober,it
becamethefirstevermanufacturertocrosslandmark6lakhunitsalesinamonth.In
thelastquarteroftheyearorsayinthefestiveseason,thecompanysoldmorethan
1.6millionunits,whileinnonfestivetimeinAprilMay2013;itmanagedtosell
outquitegoodnumbersofunits1.1million.
34

TerminationofHondajointventure:
InDecember2010,theboardofdirectorsoftheHeroHondaGrouphaddecidedto
terminatethejointventurebetweenHeroGroupofIndiaandHondaofJapanina
phasedmanner.TheHeroGroupwouldbuyoutthe26%stakeoftheHondainJV
HeroHonda.
Under the joint venture Hero Group could not export to international markets
(exceptSriLankaandNepal)andtheterminationwouldmeanthatHeroGroupcan
nowexport.Sincethebeginning,theHeroGroupreliedontheirJapanesepartner
Hondaforthetechnologyintheirbikes.SothereareconcernsthattheHeroGroup
mightnotbeabletosustaintheperformanceofthejointventurealone.
TheJapaneseautomajorwillexitthejointventurethroughaseriesofoffmarket
transactionsbygivingtheMunjalfamilythathelda26%stakeinthecompany
anadditional26%.Honda,whichalsohasanindependentfullyownedtwowheeler
subsidiaryHondaMotorcycleandScooterIndia(HMSI)willexitHeroHondaat
adiscountandgetover$1billionforitsstake.Thediscountwillbebetween30%
and50%tothecurrentvalueofHonda'sstakeasperthepriceofthestockafterthe
marketclosedonWednesday.
Therisingdifferencesbetweenthetwopartnersgraduallyemergedasanirritant.
Differenceshadbeenbrewingforafewyearsbeforethesplitoveravarietyof
issues,rangingfromHonda'sreluctancetofullyandfreelysharetechnologywith
Hero(despitea10yeartechnologytieupthatexpiresin2014)aswellasIndian
partner'suneasinessoverhighroyaltypayoutstotheJapanesecompany.Another
majorirritantforHondawastherefusalofHeroHonda(mainlymanagedbythe
Munjalfamily)tomergethecompany'ssparepartsbusinesswithHonda'snewfully
ownedsubsidiaryHondaMotorcycleandScooterIndia(HMSI).
Asperthearrangement,itwillbeatwolegdeal.Inthefirstpart,theMunjalfamily,
led by Brijmohan Lal Munjal group, will form an overseasincorporated special
purposevehicle(SPV)tobuyoutHonda'sentirestake,whichwillbebackedby
bridge loans. This SPV would eventually be thrown open for private equity
participationandthoseinthefrayincludeWarburgPincus,KohlbergKravisRoberts
(KKR),TPG,BainCapital,andCarlyleGroup.
35

HondawillcontinuetoprovidetechnologytoHeroHondamotorbikesuntil2014for
existingaswellasfuturemodels.

FormationofHeroMotoCorporation:
ThenameofthecompanywaschangedfromHeroHondaMotorsLimitedtoHero
MotoCorpLimitedonJuly29,2011.ThenewbrandidentityandlogoofHero
MotoCorpweredevelopedbytheBritishfirm Olins.The logowasrevealedon9
August2011inLondon,tocoincidewiththethirdtestmatchbetweenEnglandand
India.
HeroMotoCorpcannowexporttoLatinAmerica,AfricaandWestAsia.Herois
freetouseanyvendorforitscomponentsinsteadofjustHondaapprovedvendors.

36

CHAPTER5
OBJECTIVEAND
SCOPEOFTHE
STUDY

37

OBJECTIVESANDSCOPEOFTHE
STUDY
Successful decisionmaking depends not on any principles but on the skill and
judgmentsoftheindividuals.Howeverskillandjudgmentbyitselfcannotleadto
gooddecisionsbutaretheinherenttoolsthroughwhichdatacollectedoravailable
canbeconvertedintoproperinformationthusforthispurposeofhavingproper
decisionmakingitisveryessentialtocollectrelevantandaccurateinformation.
Hencetocollectproperinformationcertainobjectivesweresetwhichwouldleadto
theprocessofresearchinthedesigneddirectionbasedonthepriorityandneedof
theorganizationtheobjectivesoftheresearchweresegregatedintoprimaryand
secondaryobjectives.

OBJECTIVESOFPROJECT
1. Toidentifythecustomersatisfactionleveltowardstheperformanceofbikes
2. Toidentifythefactorswhichinfluenceconsumerdecisionmakingprocess.
3. Toidentifypossibleareaofimprovementinbike.
4. To identify the competitive position of various brands of two wheelers in
customersmind.

SCOPE
TheprojectwasbasedontheACOMPARATIVESTUDYOFCUSTOMER
SATISFACTION TOWARD PERFORMANCE OF HERO, HONDA, TVS
ANDBAJAJBIKESanddatawascollectedfromtheMalegaonCity.
Thisshowsthecompanysperformanceandthecustomerssatisfactiontoward
thecompanysproducts.Italsohelpstoknowthecustomersdemandandthe
expectedservicesfromthecompanies.Theprojectalsohelpstoknowthereasons
behindthereductionofsalesofthecompanysproduct.Soitisimportantfor
customeraswellasthecompany

38

CHAPTER6
RESEARCH
METHODOLOG
Y

39

RESEARCHMETHODOLOGY
Introduction
Researchmethodologyisa waytosystematically solvetheresearchproblem,as
tohowresearchisdone

scientifically.Itconsist ofthedifferentmethodsthat

generally adopted by researcher to study his research problem along with logic
behindthem.Itisnecessaryfortheresearchertodevelopcertaintests.
Marketingresearchspecifiestheinformationrequiredtoaddresstheseissues;designsthe
methodforcollectioninformationmanagesandimplementsthedatacollectionprocess;
analysistheresultsandcommunicationthefindingsandtheirimplication.

Researchdefinition:
Research is careful inquiry or examination to discover new information and
relationshipandtoexpandandtoverifyexitingknowledge,
Researchalwaysstartswithquestionsoraproblem.Itspurposeistofindanswerto
questionsthroughtheapplicationofthescientificmethod.Itisasystematic and
intensivestudydirectedtowardsamorecompleteknowledgeofthesubjectstudies.

Thefollowingarethemethodsadoptedfortheprojects:
1. TheResearchDesignismadeaspertherequirementsoftheproject.
2. For the secondary data collection, the in formation in the record of the company
provedtobesufficient.
3. Fortheprimarydatacollection,theresearcherhaspreferredthesurveymethodtothe
othermethods.
4. Inthesurveymethod,theresearcherchosetoundertakenfieldwork.Thisisbecause
thereisperceptionthatinthegeographicalareainwhichhewastoconductthesurvey,
betterandquickerdatawaspossibletobecollectedonlythroughdirectfieldwork.
5. In the

field

work, instead of

choosing any interviews or

40

recorded

observation, the researcher chose to incorporate all the questions in from of a

questionnaire.

RESEARCHDESIGN
Researchdesignistheplan,structureandstrategyofinvestigationconceivedsoas
toobtainanswertoresearchquestionandtocontrolvariance.BYKERLINGER
Theresearcherafterchoosingthesubject,companyandtheareatoconducthisresearch,
decidedtoestablishthethemeortheimportantfactoruponwhichtheentire
projectistobase.
Attheoutset,theobjectives of theproject wereidentified.Thereupon,the conclusive
researchwasundertakenuponconsideration,theresearcherchosethestatisticaldesignas
itsuitedtheprojectsrequirements.Thismethodwaswarrantedashehaddecidedto
embarkuponasurveyandtheanalysisandinterpretationofthefindingsofthesurveys
canonlybedoneproperlyonlyifhechosethestatisticaldesign.

RESEARCHPROBLEM:
Toknowtheconsumerbuyingbehavior&awarenessabouttheHONDAbikesandin
themindsofconsumerinMalegaoncity,becausealwaysconsumersaysomething
anddoessomething.Therearemanycompaniesmanufacturingmotorcyclesintothe
market,atthesametimeastherearemanycompaniesmanufacturingmotorcycles,
ideaaboutthinkingofcustomeronwhether,what,how,andforwhomtopurchase
themotorcycle.
Therefore,researchisrequiredtomeasurepresentconsumerbuyingbehavioratthe
purchaseofherobike.Sotheresearcherproblemistoidentifywhatarethecriteria
thatprospectivecustomertakesintoconsiderationbeforebuyingthemotorcycles.
Attheoutsetmaybenotedthatthereareseveralwaysofstudyingandtacklinga
problem.Thereisnosignalperfectdesign.Theresearchdesigncanbeclassifiedin
totruebroadcategories:
41

Exploratory
Descriptive
Casual

Exploratoryresearchisfocusonthediscoveryofideas.Exploratoryresearch
is carried out to define problems and developed hypothesis to test later. An
exploratorystudyisgenerallybasedonthesecondarydatathatarereadingavailable.
Itdoesnothavetochangehisfocusofdirection,dependingontheavailabilityof
newideasandrelationshipamongvariables.

Descriptive studies are undertaken in many circumstances. Descriptive

studiescanbecomplex,determiningahighdegreeofscientificskillonthepartof
theresearcher.

Casualresearch helpsindeterminedcauseandeffectrelationship.Between
twoormorevariables.

Thepresentstudyseekstofindouttheconsumerspreferencetowardsperformanceof
twowheelersbike.Thestudyalsoaimsatfindingsoutthedrawbacksofthemarketing
setupofHONDAstwowheelerbikes.So,thismakesthestudyadescriptiveone.

SOURCEOFDATA
Thesourcesofdatacollectionmethodsareasfollows:
a) Primarydata:
Theprimarydataisthatwhichdetailswecollectfirsttimefromthemarketand
alsousedfirsttimeintheresearch.Wealsosaythattheinformationisfirsttimein
the research decision. To collect the primary data questionnaire is prepared
structurenondisguisequestionnaireisprepared.
Primarydata:Questionnaire

42

b)Secondarydata:
Secondarydataarethosedatawhicharealreadycollectedbysomeoneforsome
purpose and are available for the present study; secondary data are already
collectedbythecompanysrecordsandotherlibrarysbooks.Whenthesecondary
dataaresufficient,theresearcherhastobesatisfiedwiththeprimarysourcesof
data.Secondarydatacanbeusedasbasesforcomparisonwithprimarydatahave
beencollectedbyquestionnaire.
Secondarydata:Magazines,Newspapers,Websites,Books,EJournals.

Primarydatai.e.collectedforthefirsttime.Itisfreshandoriginallycollectedby
the survey.Ihaveusedonlyprimarydataincalculatingthestudyandcollectthe
data.

DATACOLLECTIONMETHOD
Samplingplan
Samplingisaprocessofobtaining.Theinformationabouttheentirepopulationby
examineapartofit.Theeffectivenessoftheresearchdependsonthesamplesize
selectedforthesurveypurpose.

(A)SamplingUnit:
ItmeansWhoistobesurveyed.Heretargetpopulationisdecidedanditiswhoare
interestedtopurchaseBikeandsamplingframeisdevelopedsothateveryonein
the target population has known chance of being sampled. So the survey is
conductedparticularlyinMALEGAONCity.

(B)Samplesize:
Forthepurposeofpropersurvey,thereisneedofperfectresearchinstrumentsto
findoutsamplesizeformoreaccurateresultaboutbuyingpreferenceofbike.
Thesewere100respondents.
43

(C)SamplingMethod:
AStratifiedrandomsampleisonewherethepopulationisdividedintomutually
exhaustivestrataorsubgroupandthenasimplerandomisselectedwithineachof
strata onagegroups,occupationetc.It maybenotedthatstratificationdoesnot
means absence of randomness. Here the researcher has used a simple random
samplingmethod.

Periodofstudy
Theperiodofthestudyforthisistwomonthsi.e.15Mayto14July.

DATACOLLECTIONINSTRUMENT
RESEARCHINSTRUMENT:
Researcher instruments is the tool by which the researcher can do research on
specificproblemsorobjective.Themostpopularresearcherinstrumentforcollection
dataisQuestionnaireforaparticularinvestigation.Itissimpleforamoiledsetof
questionspresentedtorespondentsfortheiranswers.Duetothisflexibility,itismost
common instrument used to collect the primary data. During the pre testing of
questionnaire,Iseenthereactionofrespondentsandsuggestionsrequiredtomake
changeinresearchinstrument.

DataCollection:
The data will becollectedfrom the respondentsusingquestionnaire bypersonal
interview.

DataAnalysis:
Thedataanalysiswillbedividedin2parts.
Firstpart:willincludedescriptivestatisticsand
Secondpart:willincludeinferentialstatistics.
44

THEQUESTIONNAIREDESIGN:
Thequestionnairehasbeenpreparedonthefollowinglines:

Thequestionnaireincludes theentire relevantquestion soas toprovokeand

elicitthedatafromtherespondentsinabriefmanner.
Therearesomeopenendedquestionswhichareincorporatedinthequestionnaire.
Thereasonbehindthisistogetthesubjectivedatawhichifotherwiseputinthe
formofacloseendedformwouldnotelicittheanswerinaproperform.
Thequestionswereabletofullycoverthethemesconcerned.

AnalysisofDatathroughstatisticalTools
1. Simplepercentagemethod
2. CorrelationAnalysis
3. CHISquareTest
4. Piediagram
5. Bardiagram

SIMPLEPERCENTAGEMETHOD:
Percentagereferstoaspecialkindofratio.Percentagesareusedinmaking comparison
between two or more series of data. Percentages are used to describe relationships.
Percentagecanalsobeusedtocomparetherelativeterms,thedistributionoftwo(or)
moreseriesofdata.
%ofrespondents=No.ofrespondentsTotalrespondents100

ARITHMETICMEAN:
Arithmeticmean,average,ormeanisthesumofallitemsdividedbythenumberof
items.Theweightedvaluemeanismostfrequentlyusedinmarketingresearchanalysis.

CHISQUREANALYSIS:
Chisquare test is a non parametric test. It is used most frequently by marketing
researchertotesthypothesis.Thisisemployedfortestinghypothesiswhendistributionof
populationisnotknownandwhennominaldataistobeanalyzed.

45

CORRELATIONANALYSIS:
Correlationanalysisisthestatisticaltechniquethatisusedtodescribenotonlythe
degreetowhich arevariableisrelatedtoanother,
butalsothedirectionthe
influence.Thecoefficientofcorrelationmeasuresthe
twovariables.A

mutualrelationshipbetween

simplecorrelationbetweentwovariablesonlyanditisusually

represented.
Thesimplecorrelationindictedwhetherthechangeinoneva riableinfluences
thechangeintheother variable. Notthatthechanges maylikelytooccur inboth
directionsnamely:
1. The increase in one variable is accompanied by the proportionate increase in
theothervariable.
2.Theincreaseinonevariablecausestheproportionatedecreaseintheothervariable.
Inthefirstcastthevariablearesaidtobepositivelycorrelated,whileinthesecondcase,
thevariablearesaidtobenegativelycorrelated.

BARDIGAMS:
Bardiagramconsistofbarsrunningeitherhorizontallyorverticallywithanindividual
bar for each observation. The individual bars have separate observations and
magnitudes.Theyservethepurposeofshowingtherateofchangeincontinuous
data.Morethantwoseriesofdatamay be depicted by the use of bar diagrams.
Thepositiveandnegativequantitiesalsoaredemonstratedwithbardiagram.

PIEDIAGRAMS:
Thepiediagramis presented inacircledividingthechartindifferentcomponents
accordingto theneedof thedistinctivedata.The slices of thecirclearealsonoted
withthenameandtheirpercentageshareinthetotalcircleof360degree.

Thequestionnairecontains3typesofquestions.
1 Openendedquestion:
Itishelpfulinknowingwhatisuppermostinthemindoftherespondents.Itgives
completefreedomtotherespondent.

46

2 Dichotomousquestions:
Ithasonlytwoanswersinformyesorn,trueorfalse,useordonotuse.So
therespondentisofferedtwoormorechoice

3 Multiplechoicequestion:
Inthis,therespondentisofferedtwoormorechoice.

47

CHAPTER7
DATAANALYSIS&
INTERPRETEATIO
N

48

DATAANALYSIS&INTERPRETA
TION
Q1)Whichcompanystwowheelerbikesdoyouhave?
Company

Users

HERO

25

BAJAJ

25

HONDA

25

TVS

25

Tableno.7.01Ownersofdifferentbikes

Respondent'sOwnershipofDifferentBikes

Graphno.1Respondent'sOwnershipofDifferentBikes

INTERPRETATION:
Aspertheabove100customerssurveyitisclearthatallthefourcompanysbikes
are preferred equally by the customers, i.e. HERO 25 customers, HONDA 25
customers,TVS25customers,andBAJAJ25customer.

49

AgeWiseInterpretation
Age

Hero

TVS

Honda

Bajaj

1825

11

2540

13

4055

Above55

Total

25

25

25

25

TableNo.7.02AgeWiseUsersofBikes

AgeWiseUsersofBikes
18-25
1

7
9

Hero

25-40

40-55

Above 55

11

13
3

TVS

Honda

Bajaj

GraphNo.2AgeWiseUsersofBikes

Interpretation:

Customerswithageabove55prefermostlyTVSandBAJAJbikes,i.e.6&4
respectively,whilecustomersforHeroandHondaareveryless,i.e.1&2
respectively

Most of the customers between age group 4055 prefer BAJAJ bikes i.e.
9.whilefewcustomerspreferHEROi.e.8,customersforHONDAAND
TVSareverylessi.e.7&3respectively.

Mostofthecustomersbetweentheagegroup2540preferTVSBikesi.e.13
customers.WhilethecustomersbetweenthisagegroupforHERO,BAJAJ&
Hondacomparativelylessi.e.7,5and9respectively.
50

 Mostofthecustomersbetweentheagegroup1825preferHONDABikes
i.e.11customersandHEROBIKESi.e.9customers.Whilethecustomersfor
TVSarequitelowi.e.3andcustomersforBajajaretoolessi.e.3.
Q2)WhichModelsoftwowheelerbikedoyouhave?
Hero

No.

B ajaj

No.

TVS

No.

Hon da

No.

Splendour+

C T100

10

Flame

Acti va

CDDeluxe

Starcity

Drea m

iscover

Yug a

Passion

pulsar

Apache

Shine

Jive

Unicorn

Other

Oth r
e

Pro
CBZ

X CD

Other

ther

Tableno.7.03Respondentsusingdifferentmodels

GraphNo.3RespondentsusingdifferentmodelsofHeroBikes
51

INTERPRETATION:
ForHeroBikesmostofthecustomershaveCDDeluxe,whiletheratioofthe
customersusingPassionpro,Splendour+,CBZandotherbikesarecomparatively
low.ThereasonbehindCDDeluxebeingfamousisitsgoodmileage

RespondentsusingdifferentmodelsofBajajBikes
XC
D
12
%

Other
4%

CT
100
40%
puls
ar
24%

Discover
20%

GraphNo.4RespondentsusingdifferentmodelsofBajajBikes

INTERPRETATION:
InBajajthecustomersaregivingmorepreferencetoCT100,PulsarandDiscover
models,becausethemodelshavegoodpickupandgoodmileage.

52

GraphNo.5RespondentsusingdifferentmodelsofTVSBikes

INTERPRETATION:
InTVSBikesthecustomersaregivingmorepreferencetotheothermodelsrather
thanFlame,StarcityJiveandApache.

RespondentsNo.of

RespondentsusingdifferentmodelsofHondaBikes
10

DifferentModelsofHondaBikes
GraphNo.6RespondentsusingdifferentmodelsofHondaBikes

Interpretation:InHondaBikesthecustomersaregivingmorepreferencetothe
ActivaandShinemodelsratherthanDreamYuga,UnicornandOthers

53

Q3)InwhichfamilyIncomeleveldoyouFall?
Incomelevel

Respondents

Below2lac.

10

200000400000

49

400000600000

31

Above600000

10

Tableno.7.04Incomelevelofrespondents

PeopleNo. Of

Income Group
50
40
30
20

10
0

Income Of people

GraphNo.7IncomeLevelofRespondents

INTERPRETATION:
Themaximumnumbersofcustomersthatareusingthesebikesfallintheincome
groupof200000400000&400000600000.Whilethisratioisminimumincaseof
customerswhoseincomelevelfallbelow200000becausetheycantaffordsuch
bikesandthepreferencelevelforsuchbikeslowersfrom600000&aboveasthey
preferfourwheelers.

54

Q4)Sincehowlongdoyouownabike?
Years

Respondents

02year

34

25year

29

57year

26

Above7year

11

TableNo.7.05Customersusingbikessince..

Customers Using Bikes

Since...
0- 2year

2-5 year

5-7 year

11%

Above 7 year

34%

26%

29%

GraphNo.8Customersusingbikessince

INTERPRETATION:
Itisobservedthatmostlythecustomersarehavingnewbikes.Thisisbecause
thecustomersareattractedtowardsnewbikeswithaddonfeatures&donot
preferusingonebikeformorethantwoyears.

55

Q5)ForwhatpurposedoyouuseyourMotorBike?
Hero

Bajaj

Honda

TVS

Score

Officepurpose

20

Personal

12

29

22

Joypurpose

11

Other

18

Total

25

25

25

25

100

purpose
Educational
Purpose

TableNo.7.06UsageofBikes

UsageOfBikes
12
10
8
6
4
2

Hero
Baja
j
Hon
da
T VS

GraphNo.9UsageofBikes
56

INTERPRETATION:
Thecustomersareusingtheirbikesmostlyforofficial,educationaland
personalpurpose.
PeoplepreferringbikesforofficepurposeareseenhighestinTVS,i.e.8.People
preferring bikes for personal purpose are seen highest in Bajaj, i.e. 12. People
preferringbikesforjoypurposeareseenhighestinHero,i.e.5.Peoplepreferring
bikesforeducationalpurposeareseenhighestinTVS,i.e.8.Peoplepreferringbikes
forotherpurposeareseenhighestinHondai.e.6.

57

Q6)HowdoyoucametoknowaboutthisMotorBike?
Hero

Bajaj

Honda

TVS

Score

Newspaper

24

Television

10

12

37

Internet

16

Friends&Relative

15

Other

Total

25

25

25

25

100

TableNo.7.07Howdidcustomergettoknowaboutbike

GraphNo.10Howdidcustomergettoknowaboutbikes?

INTERPRETATION:ItisobservedthattheawarenessofHero,TVS&Honda

bikesmostlycomesfromTelevisionandNewspaper,whileforBajaj;theawareness
comesfrominternetandtelevision.

58

Q7)DoesAdvertisementInfluenceyourdecisioninchoosingaMotorbike?
ANSWERS

RESPONDENTS

Yes

65

No

19

Cantsay

16

TableNo.7.08Influenceofadvertisementoncustomersdecision

Influen ced by Advertisement or

not?
Yes

No

Cant say

16%
19%
65%

GraphNo.11Influenceofadvertisementoncustomersdecision

INTERPRETATION:
Outofthesamplesizeof100customers,65customersagreewiththe
factthatadvertisementsplayaverysignificantroleininfluencingtheirbehavior
tochoosethebike.Ontheotherhand19customersdonotagreetothisfact.
Whileremaining16customersarenotsureaboutit.

59

Q8)Areyousatisfiedwiththeperformanceofthebikethatyouarecurrently
having?
ANSWERS

RESPONDENTS

Yes

59

No

34

Cantsay

07

Tableno.7.09CustomerSatisfactionTowardsPerformanceofbikes

Customer Satisfaction
Towards
performance of bikes
Cant
say
7%

No
34%

Yes
59%

GraphNo.12CustomerSatisfactionTowardsPerformanceofbikes

INTERPRETATION:
Outofthesamplesizeof100customers,59customerssaythattheyare
satisfiedwiththeperformanceoftheirbikes.Ontheotherhand34customersare
notsatisfiedwiththeperformanceofthebikesthattheyarehaving,whilethe
remaining7customersareunabletosayanything.

60

Q9)DoyouhavefullknowledgeaboutBikesbeforebuying?

Hero

Bajaj

Honda

TVS

Yes

19

16

21

15

No

Cantsay

Tableno.7.10Respondentshavingknowledgeaboutbikesbeforebuying

Knowledgeaboutbikes

GraphNo.13Respondentshavingknowledgeaboutbikesbeforebuying

INTERPRETATION:
Itisobservedthatmostofthecustomersarehavingfullknowledgeofthe
bikebeforepurchasing.

61

Q10)WhichFactorbelowInfluenceyourdecision?
Hero

Bajaj

TVS

Honda

Price

Mileage

15

Quality

ResaleValue

12

Status
symbol

TableNo.7.11InfluencingFactorsofBikes

HeroBikesInfluencing
Factor
15
10
5
Status

Resale

Quality

Mileage

Price

GraphNo.14HeroBikesInfluencingFactor

INTERPRETATION:InHerobikesthemileageofthebikeandtheresale
valuethatitaddsinfluencesthedecisioncriteriaofmostofthecustomers.

62

GraphNo.15BajajBikesInfluencingFactor

INTERPRETATION:
InBajajbikescustomersgetsmoreinfluencedbythequalityandmileageofthe
bikeandalsotheythinkthatitaddsvaluetotheirprestige.

GraphNo.16TVSBikesinfluencingfactor

INTERPRETATION:InTVSbiketheeconomicpriceofthebikes
influencesthebuyingbehaviorofthecustomers.
63

GraphNo.17HondaBikesInfluencingFactor

Interpretation:
InHondaBikes,thefactorsthatinfluencetheconsumerbuyingbehaviorareQuality,
ResaleValueandStatusSymbol.

64

Q11)Howwillyourateyourbikesperformancewithrespecttofollowing
attributes?
Givethepointsasfollows:

Worst

Worse

Bad

ATTRIBUTES

Neutral Good

Better

Best

AVERAGE

AVERAGE

AVERAGE

AVERAGE

POINTS

POINTS

POINTS

POINTSFOR

FORHERO

FORBAJAJ

FORTVS

HONDA

Mileage

Price

Pickup

Maintenance

Look&shape

BrandImage

Tableno.7.12PointsGivenByCustomersforattributesofbikes

65

POINTS

NBYCUSTOMERSFORATTRIBUTES

GIVE
OFBIKES
8
7

6
5
4
3
2
1
0
1
2

AVERAGEASSOCISTION
FACTORFORHONDA

AVERAGEASSOCISTION
FACTORFORTVS

AVERAGEASSOCISTION
FACTORFORBAJAJ
AVERAGEASSOCISTION
FACTORFORHERO

GraphNo.18PointsGivenByCustomersforattributesofbikes

INTERPRETATION:
It isobservedthatinr atingofdifferent features ofdifferent bikespeoplegive
maximumratingtothelookshape,BrandImageandPickupoftheHONDA&
HERObikes.Atthesecondleveltheygivetheirmaximumratingtothemileageof
BajajBikes.MostofthecustomersaredissatisfiedwiththeirTVSbikes.

66

Q12)IfnewBikewithgoodfeaturescomesin,thenwouldyouliketochange
yourbike?
Hero

Bajaj

TVS

Honda

Yes

10

13

10

No

14

12

13

Cantsay

TableNo.7.13BikeChangingdecision

GraphNo.19BikeChangingDecision

INTERPRETATION:ItisobservedthatthecustomersofHero,Bajaj&Honda

bikesarenotreadytochangetheirbikesevenifanewbikecomesinwithgood
features.WhilemajorityofthecustomersofTVSarereadytochangetheirbikesifnew
bikeprovidessomegoodfeaturestothem.
67

CHAPTER8
OBSERVATIONS
FROM
THESTUDY

68

OBSERVATIONSFROMTHESTUDY
OBSERVATIONS:
1. The maximum numbers of customers that are using these bikes fall in the
income group of 200000400000 & 400000600000. While this ratio is
minimumincaseofcustomerswhoseincomelevelfallbelow200000because
theycantaffordsuchbikesandthepreferencelevelforsuchbikeslowersfrom
600000&aboveastheypreferfourwheelers.
2. Outofthesamplesizeof100customers,59customerssaythattheyaresatisfied
withtheperformanceoftheirbikes.Ontheotherhand34customersarenot
satisfied with the performance of the bikes that they are having. While the
remaining7customersareunabletosayanything.
3. InHerobikesthemileageofthebikeandtheresalevaluethatitaddsinfluencesthe
decision criteria of most of the customers. In Bajaj bikes customers gets more
influencedbythequalityandmileageofthebikeandalsotheythinkthatitadds
valuetotheirprestige.InTVSbiketheeconomicpriceofthebikesinfluencesthe
buyingbehaviorofthecustomers.InHondaBikes,thefactorsthatinfluencethe
consumerbuyingbehaviorareQuality,ResaleValueandStatusSymbol.
4. Itisobservedthatinratingofdifferentfeaturesofdifferentbikespeoplegive
maximumratingtothelookshape,BrandImageandPickupoftheHONDA&
HERObikes.Atthesecondleveltheygivetheirmaximumratingtothemileage
ofBajajBikes.MostofthecustomersaredissatisfiedwiththeirTVSbikes
5. ItisobservedthatthecustomersofHero,Bajaj&Hondabikesarenotreadyto
change their bikes even if a new bike comes in with good features. While
majorityofthecustomersofTVSarereadytochangetheirbikesifnewbike
providessomegoodfeaturestothem
69

CHAPTER9
CONCLUSION
S

70

CONCLUSIONS

1.MostoftheApache,Pulsar&Shinearepurchasedbyyounggeneration18to
25yearsbecausetheypreferstylishlooksandrestofthemodelsofHero,Honda,
TVSandBajajarepurchasedmorebydailyuserswhoneedsmoreaverageof
bikesthanlooks.
2. Hero,BajajandHondaisconsideredtobemostfuelefficientbikesonIndian
roads.
3. Service&SparepartsofHondaBikesareavailablethroughoutIndiainlocal
marketsalso.
4.Whilebuyingamotorcycle,economyisthemainconsiderationinformof
maintenancecost,fuelefficiency.
5. Majorityoftherespondenthadboughttheirmotorcyclemorethan2years.

71

CHAPTER10
SUGGESTION
S

72

SUGGESTIONS
1.

Hondashouldintroducesomemoremodelshavingmoreenginepower.

2.

Hondashouldthinkaboutfuelefficiencyincaseofuppersegmentbikes.

3.

MoreservicecentersshouldbeopenedfortheirCustomers.

4.

Maintenancecostandtheavailabilityofthesparepartsshouldalsobe
givendueimportance.

5.

Theyalsointroducesomegoodfinance/discountschemesforstudents.

6.

Thepriceshouldbeeconomic.

73

CHAPTER11
REFERENCE
S

74

REFERENCES
Bibliography
Kotler,Philip(1999) MarketingManagement MillenniumEdition,Prentice
Hall,NewYork.
Kothari,C(2005)ResearchMethodologyNewagepublisher,NewDelhi.

Magazines
BusinessTodayandIndiaToday

Webliography:
1.
2.
3.
4.
5.
6.

www.heromotocorp.com
www.world.honda.com
www.bajajauto.com
www.extrememachines.com
www.tvsmotors.in
www.honda2wheelersindia.com

7. www.businessstandard.com

75

QUESTIONNAIRE
I.

Acomparativestudyoncustomersatisfactiontowards
performanceofHero,Bajaj,Honda&TVSBikes
Personaldata:
1. Name&Contactno:
____________________________________________________________
2. Gender:M

3. AgeGroup

:(A)18to25

(B)25to40

(C)40to55

(D)Above55

4. Occupation

:Businessman

Govt.Employee

PrivateEmployee

Retired

Farmer

Student
5. Annualincome:Below2,00,000

2,00,0004,00,000

4,00,0006,00,000

II.

Above6,00,000

Consumerattitude&performance:

1. Whichcompanystwowheelersbikedoyouhave?
HERO BAJAJ HONDA TVS

2.Whichmodelsoftwowheelersbikedoyouhave?
HERO:Splendour+

CDDeluxe

PassionPro

BAJAJ:

Discover

Pulsar

CT100

HONDA:Activa

TVS:

Flame

DreamYuga
Apache

CBZ
XCD

Shine

Starcity

Other
Other

Unicorn
Jive

Other

Other

3.Forhowlongdoyouownabike?
0year2year

2year5year

5year7year
76

Above7year

4.Sincedoyoucametoknowaboutthesetwowheelerbike?
Newspaper

Television

Internet

Friends/family

other

5.Forwhatpurposedoyouusethesetwowheelersbike?

Officework

personal

Enjoyment

Education

Other

6.Whichsourcedidyouusetopurchaseathesetwowheelersbike?

Cash

Bankloan

Friend/Relative

Instalments

7.Howwillyourateyourbikesperformancewithrespecttofollowingattributes:

Givethepointsasfollows:
Worst

Worse

Bad Neutral Good

Better

Best

POINTS

ATTRIBUTES
A Mileage
B Price
C Pickup

D Maintenance
E Look/shape
F Brandimage

8.Givetheproperrankfrom1to4forthebelowgivendifferenttwowheelercompaniesofbikes
forchoicepreferenceasperyourviews?

(A)HERO_____

(B)BAJAJ_____

(C)HONDA_____

(D)TVS_____

9.Ifnewbikewithgoodfeaturescomein,thenwouldyouliketochangeyourbikes?
Yes

No

cantsay
77

10. Fromthefollowingfactorsgivenbelow,ticktheforemostimportantfactorwhich
influencedyourdecisionwhilepurchasingabike?
Price

mileage

Quality

Resalevalue

Status

11. Doesadvertisementinfluenceyourdecisioninchoosingamotorbike?

Yes

No

Cantsay

12. Whichcompanysbikesyouwillsuggestotherstobuy?

HERO

BAJAJ

HONDA

TVS

13.Forthefollowingcriteriaanswerthesequestionbaseduponyourexperienceabout
thesetwowheelerbikes.Tickthemostappropriateanswerasperyourviewsintheblock.
Strongly
Agree
A

Satisfiedwiththeperformanceofthebike

Knowledgeaboutbikebeforebuying.

Thedealersarecustomerfriendly.

Dealerserviceishelpfulattimeto

purchaseabike.
E

Satisfiedwiththedealerserviceafter

purchaseathesetwowheeler.

78

Agree

Natural

Disagree

Strongly
Disagree