ACKNOWLEDGEMENT

I extend my sincere thanks to all those people who have helped me in the successful
execution of this project with their valuable suggestions.
I am deeply indebted to all those people whose work I have referred to this project. I
must owe a deep sense of gratitude towards my teachers for their kindness and encouragement
in various stages of the project.
This moment of the thesis is one of the prides that I opportunity in this stand of my
career to express my sincere efforts within this limited time. Finally I would like to pay regards
to my family without whose inspiration and monetary aid this project was impossible.
1
 SELF DECLARATION

I hereby declare that the project report entitled MAHINDRA TRACTORS. is done by
me is an authentic work carried out for the partial fulfillment of the requirement for the award
of the degree of Master in Business administration under the guidance of Mr. Diyal Bhatnagar.
The matter embodied in the project work has not been submitted for the award of any other
degree, diploma or any other similar title or prizes to the best of my knowledge and belief.

(Signature)

(Jagjeet singh)
2
 PREFACE

This project report pertains to the making of a project SUMMER TRAINING of

M.B.A. curriculum.

The PURPOSE of this project is to make the students have thorough knowledge of the
topics given to them. I learned a lot from the hard work I put in to collect information regarding
the same, which would be of great use in my near future as a professional.
Justification cannot be done to whatever I have learn t within a few pages but I have still
tried my best to cover as much as possible about “Consumer Perception Towards Agriculture
Tractors (60 HP Class): A Comparative Study of Mahindra & Mahindra with others” in this
report.
Being students of Master in Business Administration, we need to be aware of the
organization internal environment. Summer training helps us to understand these
concepts related to the organization.

3
INDEX

Sr no. Particulars Page No.

THE EXECUTIVE SUMMARY 6
1 CHAPTER 1:

INTRODUCTION 7
2 CHAPTER 2:
TRACTOR INDUSTRY OF INDIA 9
3 CHAPTER 3:
COMPANY PROFILE 13
ORIGIN OF THE COMPANY 14

INDIAN INDUSTRIAL ENVIRONMENT 16

BUSINESS OF MAHINDRA GROUP 19

4 CHAPTER 4:
COMPARISON 22
5 CHAPTER 5:
OBJECTS OF PROJECT 34

6 CHAPTER 6:
RESEARCH METHODOLOGY 35
7 CHAPTER 7:

INTERPRETATION AND ANALYSIS 38

8 CHAPTER 8:
PRODUCT LIFE CYCLE OF MAHINDRA TRACTOR 48
SEGMENTATION & TARGETING 49

9 CHAPTER 9:

4
 FINDINGS 50
SUGGESTIONS 51

SUMMARISATION 52

CONCLUSION 53

SWOT ANALYSIS 54

LIMITATIONS 55

BIBLIOGRAPHY 56

QUESTIONNAIRE 57-59

THE EXECUTIVE SUMMARY

5
 PROJECT UNDERTAKEN BY ME

The project studied by me in Indian Tractor Company, Bathinda was “Consumer

Perception towards Agriculture Tractors (60 HP Class): “A Comparative Study of Mahindra
& Mahindra and Escort” It helps to make aware company regarding the various aspects of
brand preference performed at regular basis to cement.

SCOPE OF THE STUDY

1. The study has been done for the tractors so more or less it helps in understanding the
consumer perception towards the tractors market.

2. The study can help in analyzing certain weak point, improving on which a company can
overcome the low sales of its tractors in Bathinda region.

HOW IT WAS UNDERTAKEN

A survey was conducted by me among the consumers of tractors in bathinda. During the
survey I tried my best that more and more questionnaire to be filled from the consumers so that
to conclude the results gracefully.

I was also appreciated by the support of the project guide and Managing Director of
Indian Tractor Company, Bathinda, who guided me the basic fundamentals of Tractor
marketing performed by the company.
6
CHAPTER 1: INTRODUCTION

India is poised to become a major Auto hub in the near future. Indian tractor industry is
changing rapidly, so is the mindset of Indian Consumers. We, at the Great Lakes Institute of
Management, took an initiative to find out that whether the changing ground realities have also
changed the India Auto Consumer’s mindset vis-a-vis their perception of the abilities of various
Indian and foreign Auto manufacture to deliver the much sought after attributes in a tractors

With the latest numbers showing U.S. vehicle sales slumping to a 15-year low,
automakers are wondering where their next buyer is coming from. Clearly, winning new
customers was required them to develop more reliable, exciting, and fuel-efficient vehicles, a
task that could take years. But a recent survey suggests that automakers have opportunities to
improve their business performance in the short term by focusing more on the customers they
already have. Especially in these tough times for the industry, one of the most powerful
techniques for converting buyers into die-hard fans is providing exceptional after-sales service.

Bain & Co. surveyed more than 1,800 customers who had purchased all the automotive
brands sold in the U.S., to better understand their ownership and sales experience and to assess
their brand loyalty. We asked owners to rate, on a scale of zero to 10, how likely they were to
recommend their vehicle to a friend or colleague. By subtracting the percentage of "detractors"
who gave scores between zero and 6, from the percentage of "promoters" who gave a score of 9
or 10, we can calculate a "Net Promoter Score" (NPS). NPS is already used in dozens of
industries to determine how deep loyalty to a particular company runs among its customers, and
how it stacks up against its competitors when it comes to customer loyalty.

The NPS survey for automakers revealed two important findings. First, promoters are
nearly 10 times more likely than detractors to repurchase or lease a vehicle of the same make or
brand as their current one. Second, promoters are far more likely to recommend their vehicle
brand to a friend. Each promoter provides nearly five purchase referrals, while each detractor
dissuades two prospective buyers
7
 High among the factors that create promoters—and help sustain their loyalty—is a strong
after-sales service experience. The reason is simple: Dealer service is the key point of contact
with customers at the critical time when most people are weighing their next vehicle purchase.
Owners' brand enthusiasm tends to erode as the vehicle ages and the warranty expires. But it is
precisely at this point—about four years after the initial sale—that the leaders capitalize on their
loyalty advantage by using maintenance visits as opportunities to reinforce their ties with
promoters and win over detractors.

Excellent service not only reinforces relationships with customers who already feel loyal
to a brand. It can also defuse ill will that causes disaffected customers to bad-mouth the brand.
Indeed, the brand leaders excel especially at turning unplanned repair visits—those critical
moments of truth on which a customer relationship can hinge—into opportunities to strengthen
customer bonds. While most carmakers aim to ensure that the service experience does as little
harm as possible, the leaders set out to surprise customers with ease and convenience when they
expect it least and value it most.

The power of nurturing promoters shows up dramatically in data showing how severe the
damage can be when a repair experience doesn't go well. Overall, the NPS of loyalty leaders
whose vehicles have not needed a repair is a stellar 85. It falls off to a respectable 77 when the
vehicle needs a mechanic's attention. But among loyalty laggards, an unscheduled stop in the
shop resulted in scores plummeting 29 points to a dismal 19. Owners of those vehicles are
angry, and they are going to tell their friends and colleagues about it.

Ultimately, the biggest influence on customer loyalty and affinity for the nameplate is the
quality of the vehicle itself. But a bad after-sales experience can erode it just as quickly. In the
economy they face today, automakers need to rethink how they win and retain every customer
they have.

Tractor owners are in for an enjoyable ride this summer. The cut throat competition in the
auto industry has forced major players to focus on the after sales services, an important part of
owning a tractor. No wonder, the Motown is full of service offers this summer.
8
CHAPTER 2: TRACTOR INDUSTRY OF INDIA

Now a days , people prefer tractor with good features and of good quality.a person who
are going to purchase a tractor wants that tractor should be of well known brand, it should has
good looks, better driving on road and on field , it should be very powerfull and fuel efficient.
So , tractor industry in these days has many players. These are.

(Escort, Powertrac and Farmtrac)

Escorts Ltd began local manufacture of Ford tractors in1971 in collaboration with ford,
UK and total production climbed steadily to 33,000 in 1975reaching 71,000 by 1980. Ford
(Ford - New Holland) was sold in 1992. Ford Motor Company proper quit the tractors business,
but the name was allowed to continue as per agreement until 2000, when Escorts relabeled its
Ford models under the Escort brand. Escort manufactures produces tractors in the 27-75 HP
range and has already sold over 6 lac tractors. Its tractors are marketed under three brand
names, Escort, Powertrac and Farmtrac.
9
HMT Tractors

HMT is a large public sector unit and began manufacturing Agricultural Tractors in 1972
under the HMT brand name with technology acquired from Zetor of the Czech Republic. It
manufactures its tractors in Pinjore, Mohali in a large factory that also manufactures machine-
tools, and Hyderabad It has a capacity of 20,000 tractors per annum. In the Machine-tool
company is a large foundry. It produces tractors in a range from 25 HP to 75 HP. For a short
time, HMT exported tractors to the USA under the Zebra brand, which were marketed by Zetor
distributors and dealers there. The company is controlled by the Ministry of Heavy industry that
provides, on a monthly basis to the public its financial performance.

John Deere

In 2000, John Deere set up production in a joint venture with Larsen & Toubro Ltd in
Sanaswadi, in a rural area near Pune, Maharashtra. It was known as L&T John Deere Private
Ltd, and manufactured tractors under the L&T - John Deere name for sale in India, and under
the John Deere name for worldwide sales

In 2005, Deere & Company acquired nearly all the remaining shares in this joint venture.
The new enterprise, is known as John Deere Equipment Private Limited. The factory currently
produces tractors in of 35, 40, 42, 47, 50, 55 and 70 HP capacities for domestic markets and for
export to the USA, Mexico, Turkey, North and South Africa, and South East Asia. Pune factory
started to produce new 55 to 75 Hp 5003 series tractors for European market in 2008.
10
Sonalika (International Tractors Ltd.)

International Tractors Limited was incorporated on October 17, 1995 and began
manufacturing tractors designed by Central Mechanical Engineering Research Institute
(CMERI). ITL currently is manufacturing Sonalika tractors between 30 HP to 90 HP, and the
CERES brand between 60HP to 90HP. ITL went into collaboration with Renault Agricultural of
France in July 2000. Renault Agriculture is a subsidiary of the Renault Group. Renault
Agriculture was bought by CLAAS of Germany in 2003. Incidentally CLAAS already has a
strong presence in India market producing its Crop Tiger range of Combine Harvesters in a
plant in Faridabad (near New Delhi) since 1992. CLASS has opened a new plant in Punjab at
Morinda in 2006.

TAFE

Tractors and Farm Equipment Limited (TAFE) was established in 1961 to

manufacture and market Massey Ferguson tractors and related farm equipment in India. AGCO,
the owner of Massey Ferguson, now owns 24% of TAFE. Tractors are built and sold in India
under both the TAFE and Massey Ferguson brands, and exported under both brands as well. In
2005, TAFE bought the Eicher Motors tractor and engine division.
11
New Holland

New Holland Ag's entry into India was facilitated by FIAT's acquisition of Ford-New
Holland in 1991. By 1998 New Holland Ag. (India) completed the construction of a new plant
in Noida, near New Delhi, with a capacity of 5000 tractors in the 35 - 75 hp range. In 1999,
New Holland Ag.'s parent company FIAT bought 70% of holdings of Case Corporation and
created Case New Holland Global (CNH one of the top three tractor/agricultural/construction
machinery manufacturers in the world), the new holding company New Holland Ag. (India). In
2000, the capacity of the Noida plant rose to 12,000 tractors per year and in 2007 the company
manufactured 24,000 tractors for the domestic and export markets.New Holland India exports
fully-built tractors to 51 countries in Africa, Australia, South-East Asia, West Asia, North
America and Latin America.The India plant of New Holland was originally built in 1998 to
cater only to India domestic market. However due to slow down of economy by year 2001-2002
and slump in domestic demand, it became a challenge to utilize the installed capacity of the
factory.Hence the company started looking its market beyond India borders. Its then CEO
Mario Gasparri guided the vision and handed over the task of overseas business to its dynamic
manager Bhanu Sharma. The efforts paid off well. Bhanu Sharma in capacity of Head-
International Business Operations, took op the export volumes from the level of almost nil in
2003 to 8000 units in year 2007. The export business last year in 2007 contributed over 50% of
the company business of total USD 250 millions.This also made New Holland the second
largest tractor exporter from India after John Deer. In year 2007, India exported around 32,000
tractors of which 25% share was of New Holland

CHAPTER 3: COMPANY PROFILE (MAHINDRA & MAHINDRA)

12
 The company took birth just before Indian independence therefore it has been deeply
impacted by the transformation the Indian industrial environment has taken after independence.

The development of Mahindra and Mahindra has been described in three phases:

• First phase (from birth to pre 'License Raj' era)

• Second phase (the 'License Raj')
• Third phase (Post 'License Raj' till today)

The post license Raj period has been a boom for M&M. Despite challenges from inside
and outside environment, M&M has overcome its weakness and leveraged its
competency with innovation in its business processes. Now we can see M&M as one
of the top 10 business houses in India and among top 200 in the world.

Founders
Mr. J.C. & K.C. Mahindra, the founders of the Mahindra Group, had the same ambition:
to prove to themselves and the world that Indians were capable of being the best at whatever
they chose to do. Accordingly, they gave up their professional careers at TISCO and Martin
Burn respectively, and risked becoming entrepreneurs by setting up their own company:
Mahindra & Mahindra.

It was under their inspiring leadership that Mahindra & Mahindra made the first
indigenous Jeep in the country in 1949. Their innovative spirit also showed during the days
when the Company was the leading importer of steel in the country. J.C. & K.C. Mahindra had to persuade the
Indian Government to buy French rails for the fledgling Indian Railways because they felt that the British
specifications were obsolete and not the best suited. To convince government officials of the superiority of the
French product, they laid down a short length of rail line with French rails and invited the government authorities
for a ride. During the journey, chilled champagne was served in glasses filled to the brim. Legend has it
that the train raced along, but not a single drop of champagne was spilled, so smooth

were the French rails. Needless to say, they made their point.
13
 Interestingly, J.C. & K.C. Mahindra believed in globalization decades before it
had become a buzzword. Even in the fifties, the Company had British and German
engineers on its rolls, and international tie-ups with Mitsubishi, Willys, Perrine and
Chrysler. Every venture they set up delivered satisfactory financial results and their
company, Mahindra & Mahindra, has grown into one of India's largest corporate
groups. Even today the Group is driven by the same vision that drove them then.

ORIGIN OF THE COMPANY

The emergence of Mahindra was entirely a post war phenomenon. The scions of a
landholding Khatri family of Ludhiana in Punjab, Kailash Chandra Mahindra and his brother
Jagdish Chandra Mahindra, after completing their education, worked for some time with two
large steel houses. In 1930, however, they left the corporate world to join high positions in the
government. As war was coming close, they also started to think more openly and decided t
launch their own company which would be one of the helping hand to develop the new India.
They believed in the Nehruvian vision—with an infusion of engineering education and
technology, Indians could be second to none.

On October 2nd, 1945, with that vision in their mind, Mahindra brothers set up a company in
Ludhiana as Mahindra & Mohammed in partnership with a close friend Ghulam Mohammed. Company
was engaged in import of steel, although it also promoted and acted as managing agents of Machinery
Manufacturer Organization (MMC) registered in Bombay in 1946. A large part of the share capital to
MMC was provided by Rana of Nepal with whom Mahindra brothers had established close contacts.

In August 1946, after getting independence from British rule, the wave of partition disrupted the
plans of brothers. Ghulam Muhammad migrated to Pakistan after breaking up the partnership. Only two
brothers held the ownership and the name of the company changed to 'Mahindra and Mahindra'.

Evolving to become an automobile manufacturer

14
Invention of the 'Jeep'
The first jeep prototype was built for the United States Army Quartermaster Corps
(QMC) by American Bantam in Butler, Pennsylvania, followed by two other competing
prototypes produced by the Ford Motor Company and Willys-Overland.

Production of the Willys MB began in 1941 with 359,851 units were produced before
production stopped at the conclusion of World War II. The origin of the name "Jeep" has been
debated for many years. Some people believe "Jeep" is a phonetic pronunciation of the
abbreviation GP, from "General Purpose", that was used as part of the official Army
nomenclature. The first documented use of the word "Jeep" was as the name of a character in the
Popeye cartoon, known for his supernatural abilities (e.g., to walk up walls). It was also the name of a
small tractor made by Modine before WW2.

Whatever the source, the name stuck and, after the war, Willys filed a trademark claim for the

name.

After war, Willys struggled to find a market for the unusual vehicle, and made an effort to sell it as
an alternative to the farm tractor. Tractors were in short supply having been out of production during the
war. Despite this, sales of the "agri-Jeep" never took off, mainly because it was too light to provide
adequate draft.

However, the CJ-2A was among the first vehicles of any kind to be equipped with four wheel drive
from the factory. It gained popularity among farmers, ranchers, hunters, and others who needed a
lightweight vehicle for use on unimproved roads and trails. In 1946, a year after the introduction of the
CJ-2A, Willys produced the Willys "Jeep" Utility Wagon based on the same engine and transmission,
with clear styling influence from the CJ-2A Jeep. The next year came a "Jeep" Utility Truck with four
wheel drive. In 1948, the Wagon was available in four wheel drive, making it the ancestor of all Sport
Utility Vehicles.

Jeep - Indian Connection

The term Multi-Utility Vehicles owes its origin to the 'General Purpose vehicles' used by
American armies during the World War II. The Willy's Jeep was India's first Multi-Utility Vehicle was
launched by Mahindra and Mahindra in 1944 as a franchisee.
15
 Mahindra brothers saw the opportunity at that time. Good infrastructure for transportation was
limited to only metros and majority of areas were served by Kutcha roads (makeshift, somewhere made
of sand, bricks and dust). This was a big challenge in front of government as well as the industrialists to
reach into smaller towns and cities. It was the invention General Purpose Vehicles by Willys to be used
by American Armies during World War II, which gave the solution. These vehicles were also seen as
alternative to farm tractors which proved its efficiency. Multi-Utility Vehicles are now seen as ideal for the
rural roads, and are highly favored in hilly regions of the country where the terrains tend to be on the
rougher side.

INDIAN INDUSTRIAL ENVIRONMENT (Post 1947)

After independence, there were many problems facing the Indian government. Poverty,
education and unemployment were result of poor and absence of systematic and coordinated industrial
growth and inequality in wealth distribution.

Industrial Policy Resolution

It was the first major step taken by the Indian government for setting directions for the
industrial development of the nation. Government adopted socialistic pattern of governing and
held control of the basic industries. Automobiles were treated as a luxury product and therefore
Mahindra and Mahindra business survived as one of the three automobile makers in the
country.

License Raj (Second Phase for development of Mahindra Empire)

This marks the period between 1960 and 1980 of the industrial development which was
governed by the Permit raj or commonly known License Raj. Government controls and scarcity of
economic development lead to death of innovation in Mahindra business.

The License Raj was a result of government's decision to have a planned economy where all
aspects of the economy are controlled by the state and licenses are given to a select few. The main
purpose of the policy was to make sure that industrial

For existing players, several restrictions were imposed like regulation of number of units to be
manufactured and price of selling. It also restricted companies to develop and expand. Mahindra and
Mahindra was changed dramatically due to enforcement of some of these restrictions. For example,
applications for licenses to make scooters and passenger
16
cars were all turned down following some regulatory objections raised by the government. In another
case, Mahindra & Mahindra like many Indian companies was forced to expand into other businesses,
which lead to the creation of a tractor division in 1982 and a tech division (which is now Tech Mahindra)
in 1986.

Post License Raj (Third Phase)

After the liberalization in 1991, India's overall automobile Industry grew in leaps and
bounds. With the growth in the Indian economy, big international car manufacturers like
General Motors, Ford, Toyota, Honda, Hyundai, Rolls Royce, Bentley and Maybach have
entered the Indian market.
Due to opening of the economy and entry of foreign companies, the early '90s was a
period of turmoil at M&M. Company ran into troubles due to international competition. The
company had to deal with more than one takeover attempt and a major recession and violent
labor unrest. Adding to the situation was the fact that the country's auto sector was opened up to
global manufacturers. This looked as the decline of the industry as most expected that Indian
companies would have to sell out or wind up. That was the environment in which Anand
Mahindra, a Harward graduate was appointed as deputy managing director of M&M.

Under the leadership of Anand Mahindra, M&M kicked off the business process re-
engineering (BPR) initiative that sought to transform the entire company—from manufacturing
to marketing to research. Massive changes were initiated. Many of these did not go down well
with unions and led to major unrest. It was a make or break for the company. But eventually, the
BPR worked. Now, it is viewed as a watershed event.

A few years later, the BPR exercise led to a surprise outcome—the Scorpio. BPR was
implemented in product development and a 13-seater new vehicle project was initiated. But as the
development team followed the new business processes and started talking to customers, they
stumbled upon the market need for a sports utility vehicle.

Another example of managerial innovation was Mahindra Finance. At a dealer meet, Bharat
Doshi, now the executive director finance and corporate affairs, felt the need for a lending outfit for the
company. His proposal to start a finance company was cleared. Mahindra Finance, formed in 1991, is
now a listed company with a market capitalization of around Rs 2,300 crore.
17
 This shows that post liberalization, innovation into business activities started to happen at M&M
which is a very important strategic tool for success in international competitive market. This has lead to
the success of M&M even today.

M&M TODAY
The US$ 6.3 billion Mahindra Group is among the top 10 industrial houses in India.
Mahindra & Mahindra is the only Indian company among the top three tractor manufacturers in
the world.. Mahindra is the market leader in multi-utility vehicles in India. It made a milestone
entry into the passenger car segment after having international collaborations. Now M&M has
made an entry in two wheeler segment after acquiring Kinetic Engineering.

The Group has a leading presence in key sectors of the Indian economy, including the
financial services, trade and logistics, automotive components, information technology,
infrastructure development and After-Market.

With over 65 years of manufacturing experience, the Mahindra Group has built a strong
base in technology, engineering, marketing and distribution which are keys to its evolution as a
customer-centric organization. The Group has several state-of-the-art facilities in India and
overseas.

M&M has entered into partnerships with international companies like Renault SA, France, and
International Truck and Engine Corporation, USA. Forbes has ranked the Mahindra Group in its Top 200
list of the World's Most Reputable Companies and in the Top 10 list of Most Reputable Indian
companies. Mahindra has recently been honored with the Bombay Chamber Good Corporate Citizen
Award for 2006-07.

Business of Mahindra Group

Automotive Sector

Mahindra Group is the market leader in utility vehicles in India since inception.
Mahindra also manufactures and markets utility vehicles and light commercial vehicles,
including three-wheelers. Some of the famous automobile brands of Mahindra are: Scorpio and
Bolero. Recently, Mahindra joined hands with French automobile major Renault to enter
18
passenger car segment. It has launched a car called Mahindra Renault Logan and Mahindra Group's
foray into the two-wheeler segment began with the acquisition of the business assets of Kinetic Motor
Company Ltd. (KMCL) extending Mahindra's heritage and pedigree into the two wheeler space. The Two
Wheeler Sector of Mahindra will design and market a full range of scooters and motorcycles for the
Indian market, establishing a robust and end-to-end two-wheeler business in every segment of the
industry. The company has a state-of-the-art manufacturing facility at Pithampur, near Indore in Madhya
Pradesh.

Its subsidiary companies engaged in automotive sectors are:

• Mahindra Renault Private Limited (MRPL)

• Mahindra Navistar Automotives Limited (MNAL)
• Mahindra Navistar Engines Private Limited (MNEPL)

Farm Equipment Sector

Mahindra is the largest producer of tractors in India and is among the top five tractor
brands in the world. It has its own state-of-the-art plants in India, USA, China and Australia,
and capacity to produce 1,50,000 tractors a year.

• Mahindra Gujarat Tractor

• Mahindra Agribusiness
• Mahindra Powerol
• Mahindra USA
• Mahindra Australia
• Mahindra China Tractors
19
Trade & Financial Services
Mahindra Intertrade Limited and its subsidiaries have specialized domain knowledge in
imports and exports of commodities, domestic trading, marketing and distribution services.
Mahindra Finance is one of the largest Non Banking Finance Companies in India with an asset
base of about Rs. 5000 crores. Mahindra Insurance Brokers offer Life and Non-life Insurance
plans to retail and corporate customers. Mahindra Steel Service Centre is the first steel service
centre in the organized sector in India.

• Mahindra & Mahindra Financial Services Ltd (Mahindra Finance)

• Mahindra Insurance Brokers Ltd.

• Mahindra Rural Housing Finance Ltd(MRHFL)

Infrastructure Development

Mahindra Group has interests in real estate, special economic zones, hospitality industry,
infrastructure development, project engineering consultancy and design. Mahindra Holidays &
Resorts is the leader in the lifetime holiday market in India. Mahindra Gesco is fastest growing
Construction Company in India. Mahindra World City is developing and promoting India's first
Integrated Business City. Mahindra Acres Consulting Engineers is a multidisciplinary
engineering consultancy organization.

• Mahindra Holidays & Resorts

• Mahindra Lifespaces Developers Limited

• Mahindra World City

• Mahindra Infrastructure Developers

• Acres Consulting Engineers

Information Technology

Mahindra Group entered into IT sector in 1986 when it formed a joint venture with
British Telecommunications plc. The company was called Mahindra-British Telecom. The
Company has recently changed its name to Tech Mahindra. Tech Mahindra is a leading 20
provider of telecommunication solution and service industry world-wide. It is India's 8th largest
software exporter.

• Tech Mahindra

• Bristlecone

Specialty Businesses

Mahindra Group companies such as Mahindra AshTech, Mahindra Defence, Spares

Business Unit and Mahindra Logistics are into Speciality Businesses. Mahindra AshTech
undertakes turnkey contract execution for Ash Slurry System and Travelling Water Screens.
Mahindra Defense Systems looks after the requirements of India's defence and security forces.
Mahindra Logistics provide complete logistics solutions to complex transportation needs of clients
across the world.

• Mumbai Mantra

• Mahindra Defense System

After Market Segment

The After-Market Sector focuses on the vast untapped potential in the after-market space
covering multi-brand pre-owned vehicles, servicing, spares and the financial instruments and
exchange platforms, which support this business ecosystem. This will create in the Organized
Sector a business ecosystem which mirrors the existing ecosystem for new vehicles.

• Mahindra Spares Business

• Mahindra First Choice

• Mahindra First Choice Wheels Ltd.

CHAPTER 4: COMPARISON
21
 In the training I compare the major competitors with Mahindra ARJUN 605 DI.
1. Mahindra ARJUN 605 DI:-
22
 Specifications
Make and Model
Horse Power
Bore and Stroke
No of Cylinders
Cubic Capacity
Rated Speed

Air Cleaner
Cooling System
Clutch

Transmission

Steering

Electrical
and Lighting

Brakes

Instrumentation

2. Escort:-
Farmtrac 60 DX :-

Farmtrac 60 DX

23
 Mahindra NE 457
60 H.P. Category
94 x 115 mm
4
3192 cc
2100 rpm
Dry type Air Cleaner to ensure completely dust free air supply to the engine.
With Choke indicator
Water Cooled.
Heavy duty Duaphragm type "Makhhan Clutch" with Cerametallic liner
Optional : 11" x 11" Cerametallic Dual clutch (with Rev CRPTO)
Fully Constant Mesh Gearbox for smooth "On the Go" shifting. 8 forward, 2
reverse speeds with high and low selector lever. Foot operated differential Lock.
Neutral safety switch.
Mechanical Steering. Optional : Powersteering
Starting 12V / 88 AHBattery, Starter motor, Alternator with built in Regulator, Halogen
Head Lights, Rear Brake Lights, Parking Lights, Turning Lights, Plough Lamp,
Fuse box, Registration Lamp, Tail Lamp and Hazard warning lamp. Foot-
operated, totally enclosed, self energizing, 7.5" mechanical dry disk
brakes. Latch provided for joining brake pedals together for road work. A hand
operated toggle lock type parking brake.
Hydraulic System HyTEC Hydraulics. Independent fully live, 2 lever control, Heavy duty Cat II
type, Three Point Linkage with Stabilizer Bars. Lift Capacity 1800 Kgs.
Standard 6 Spline P.T.O.
Power Take Off 540 PTO rpm

Optional : Reverse CRPTO with dual clutch

"Car like" Dash board with well illuminated instrument panel. With Electronic Oil
pressure gauge, Electronic RPM / Hour meter, Battery charce Indicator, Water
temperature gauge, Turning, Park brake indicator, Air cleaner choke indicator.
Tractor Weight Ergonomically placed controls & levers.
Standard weight of the tractor : 2320 kgs. (approx)
Tyres and Wheels Front - 7.5 x 16 8PR
Rear - 16.9 x 28 12PR
World Class Tractor…
For First Class Farming

Specification
Performance data Powerful Engine Comfort
Rated engine 60 HP category Best in 60 H.P. category. Comfortable deluxe seat
Power It takes less time for more adjustable as per driver's height
No. of cylinders 3 ploughing. and weigh.
Bore x Stroke 111.76x106.68 Unbeatable pulling power Constant mesh gear box makes
(m.m) makes haulage of trolleys gear shifting easy and
Transmission easy. comfortable as in a car.
Type of Gear Constant mesh Powerful hydraulic capacity Tilted / rectangular foot platform
Box gears (8+2)
helps lift more goods and for comfortable driving. Specially
(At 2000 engine
plough deeper with higher designed steering does
Road Speed R.P.M. with rear
speed. not make you tired even after
tyre size
long hours of work.
13.6x28) Properly mounted halogen
Maximum speed 29.48 k.m./Hr. headlight for maximum visibility
Minimum speed 2.76 k.m./Hr. at night.
P.T.O.
Smoke-less engine eliminates
540 RPM (on
the problem of smoke on driver's
1600 engine
face while driving.
Speed RPM) (Single
Bigger fuel tank that last longer
clutch
after refueling.
transmission)
Speed 540 RPM (on
1800 engine
(Optional)
RPM) (Duel

Hydraulics
Fully automatic depth & draft
control 1500 k.g.
weighing capacity at horizontal
linkage

Tyres
Front 6.00x16-8 PR
Rear 13.6x28-8PR
Brakes
Fully sealed, water proof, dry disc
brakes.
World Class ADI*
24
World class tractor exported to High engine life due to
America, Europe, Asia, Africa, helical air passage to
Australia and New Zealand. engine which reduces
Fully sealed disc brake and front pressure on engine parts.
axle for total safety and freedom Re-entrant type piston
from recurring expenses. combustion chamber burns
Side opening bonnet for easy diesel completely and
servicing. reduces consumption.
Heavy front axle ensures safety by Ring carrier and side drain
stopping the tractor- front from pistons" help piston to be
lifting up. re-used after first overhaul.
Specially deigned adjustable front Side drain piston also
axle facilities ease of use in every reduces oil consumption.
situation. Cross-flow design blows out
Tractor starts only in Neutral. This burnt gases completely and
unique feature ensures extra low temperature near
safety and prevents accidents. valves enhances durability.
For long lasting shine, special
Mechanical governor in
coating using C.E.D. paint diesel pump saves fuel and
technology. gives power with every

drop of diesel.

3. HMT:-
HMT 6522:-

SPECIFICATION
ENGINE

Make HMT AVL design

Type Direct Fuel Injection, Four stroke water cooled diesel engine
No. OF Cylinders 4
25
H.P. Range 60 H.P
Bore/Stroke 102mm/110 mm
Displacement Volume 3597 CC
Compression Ratio 17.4:1
Rated RPM 2200 RPM
Air Cleaner Dry type double stage
Cooling System Forced water circulation with thermostat. Suction type steel Fan with 6
blades
Clutch Dual purpose having two dry friction plates, 1st for tractor travel, 2nd
for P.T.O. Shaft independent operation
TRANSMISSION

No. of Speeds 10 forward + 2 reverse with tyre size 16.9/14-28

High:
H1 : 7.56 km/hr
H2 : 11.17 km/hr
H3 : 15.80 km/hr
H4 : 19.65 km/hr
H5 : 32.90 km/hr
R : 13.20 km/hr
STEERING
BRAKES
Foot Brake
Hand Brake
P.T.O. Shaft Operation
Low:
L1 : 1.99 km/hr
L2 : 3.22 km/hr
L3 : 5.43 km/hr
L4 : 8.45 km/hr
L5 : 9.70 km/hr
R : 3.90 km/hr
Recirculating Ball type
Hydraulic, shoe type, operated by two pedals to break the wheels
simulataneously & independently. Latch lock provided
Band type mechanical control
P.T.O. standard rpm 540 at 2000 engine rpm. Ground P.T.O.rpm
273.2 to 1331.6available through gearbox

HYDRAULIC POWERLIFT SYSTEM

Zetormatic hydraulic system with Automatic Draft, Position and Mixed Control. Provision for internal
and external circuit operation. Gear pump output 22 litres/minute at 120 kg/cm2 pressure. Lift
working pressure 160+20 kg/cm2. Lifting capacity at link ends 1700 kg
ELECTIRCAL SYSTEM
One no. Storage Battery of 12 Volt. 120 Ah.2.2 Kw self-starter motor, 12V, 36 Amp alternator
CAPACITIES
Fuel Tank 70 Litres
Engine Sump 12 Litres
Cooling System 13 Litres
Each Portal 1.9 liters
Steering 2.5 litres
F.I. Pump 0.6 Litre
26
GEAR BOX

With lift operation in 25 litres

plains
32 litres
With lift operation in hilly
terrain
TYRES
Front 6.5-20
Rear 16.9/14-28

DIMENSIONS
Length 3655 mm
Width 1910 mm
Wheel Base 2250 mm
Max. Height upto Top 2340 mm

exhaust
Height upto upper rim of 1761 mm
Steering wheel
Height of Drawbar 460 mm
Ground clearance 470 mm
Min. Turning radius With 3400 + 250 mm
breaking one wheel
WEIGHT

Without ballast 2785 kg

With full ballast 3525 kg

STANDARD ACCESSORIES
Set of Service Tools, Top Link, Fixed Drawbar, Tool Box, Front Toe Hook, Trailer Coupling, Deluxe
Seat, Blinkers, Plaugh lamp, Rear View Mirror
OPTIONAL ACCESSORIES
Rear Wheel Ballast Weight, Canopy, Front Bumper & Front Mudguard, Seven Point Socket for Trolley
Light

SPECIAL FEATURES:

Powerful AVL Engine

Floor type gear shifting lever

Heavy duty dual dutch with lining dia 295

mm Hydrostatic Power Steering.(Optional)

4. Sonalika:-
27
 DI 60 Senior:-

ENGINE SPECIFICATION
MODEL 4100 F
HP CATEGORY 60SAE
TYPE 4 Stroke, Direct Injection, OHV Diesel Engine
NO. OF CYLINDER 4
BORE & STROKE (mm) 100/110
DISPLACEMENT (CC) 3456 cc
COMPRESSION RATIO 17.4:1
RATED ENGINE RPM 2100 RPM
AIR CLEANER Oil Bath With Pre-cleaner And Glass Dust Collector
COOLING SYSTEM Water Cooled
FUEL INJECTION PUMP Mico Bosch
CLUTCH
TYPE Heavy Duty, Single Dry Plate, Dry
DIAMETER 280 MM
TRANSMISSION 8 Forward, 2 Reverse Speeds With High And Low
Selector Levers.
GEAR SPEEDS (KM/HR) KM/H With Rear Tyre Size 16.9-28
1-L 2.84
2-L 3.74
3-L 6.22
4-L 9.16
1-H 11.19
2-H 14.73
3-H 24.50
4-H 36.07
R-L 3.68
R-H 15.67
PTO

TYPE 21 Spline Involute

RPM 1000 RPM Standard
Heavy Duty Self Energising, Water Sealed Disc
BRAKES Brakes With Parking Brake For Additional Safety &
Screw
STEERING Heavy Duty Single Drop Arm Steering For High Efficiency
End Comfortable Drive
HYDRAULIC 2 Lever, Automatic Position And Draft With Mix
Control
28
A. POSITION CONTROL To Hold Lower Links At Desired Heights
B. AUTOMATIC DRAFT CONTROL To Maintain Uniform Draft
C. MIX CONTROL For Simultaneous Use Of Position And Draft Controls
For Optimum Field Output
HYDRAULIC PUMP Plunger Type Pump Delivering 18.5 L/Min 163 Kg/-
cm2 At 1025 RPM
LINKAGE 3 Point Linkage Category - I Suitable For Category -II Type
Pins.
LIFTING CAPACITY 1200Kg At End Of Lower Links
ELECTRICALS 12 Volt 88 AH, Battery, Starter Motor, Alternator
TYRES Front 6.50x20, 8 Ply Rating Standard
Rear 16.9x28, 12 Ply Rating Standard
INSTRUMENTS Hours Meter, Ammeter, Water Temp. Gauge & Oil Pressure
Gauge
DIMENSIONS
OVERALL LENGTH 3763 MM
OVERALL WIDTH 1840 MM
OVERALL HEIGHT 2360 MM
WHEEL BASE 2200 MM
MIN. GROUND CLEARANCE 410 MM
WEIGHT OF TRACTOR 2350

5. Tafe:-
Gajraj 5900 G4:-

TAFEGAJRAJ5900G4
AGGREGATES SPECIFICATIONS
Engine

Make & Model S-433

HP Range 60

Type 4 stroke water cooled, Direct Injection Diesel

Cylinders 4

Cubic Capacity(cc) 3333

Rated RPM 2300

Air Cleaner 4 Stage cleaner

29
Bore/Stock (mm) In Line91.4/127
Clutch

Type Dual Clutch (with Valeo F410 lining)

Size (mm) Primary 305, Secondary 254

Transmission

Gear Box 8 forward and 2 Reverse

Max Road Speeds with 16.9 ×

28
size tyres (kmph)
Forward Speed 34
Reverse Speed 17.25

Final Reduction Epicyclic reduction at the rear axle end

Hydraulics

Model & Type Mark III, 4 cylinder piston pump with SS

Max. Lifting Capacity (kgf) 2050

3 Point Linkage Cat II replaceable type

Controls Position, Draft and Response

Power Take off

No. of splines 6

PTO Speed 540 @1790Engine rpm

Brakes

Type High speed multi disc wet brakes.

Hand operated parking brake

Steering

Type Power steering

Wheels and Tyres

Front 7.5x16

Rear 16.9x28

Electricals

Battery 81 AMP 12 V maintenance free battery

Alternator 37 AMP

Starter Motor 2.2 KW solenoid

Plough Lamp Halogen Head light plough lamp

Dimensions and weight

30
Overall length (mm) 3590

Overall width (mm) 2000

Overall Height (mm) 2450

Wheelbase (mm) 2050

Min Ground Clearance (mm) 420

Turning Circle Radius (mm)

With Brakes 3270

without brakes 3630

Total Weight (Kg) 2235

Track Width

(mm) Front 1422 to 1730 (adjutable in steps of 102 mm)

Rear 1422 to 2080 (adjustible from in steps of 102 mm)

Capacities

Fuel Tank 70 litres

Engine Sump 8.5

Transmission cum Hydraulics 70 litres45

FAB FOR GAJRAJ 5900 G4

FEATURES BENEFITS
· Higher pulling power for haulage (>30tons) More savings in
Engine
Diesel consumption Ideal for all Heavy Duty operations
· Most efficient Air cleaning system Longer Engine Life
4 stage air cleaner Easy Maintenance Better combustion, hence more Engine
power
·
Hydraulics World famous Massey Ferguson Hydraulic System Finger
 tip control Durable and Trouble-free operations.
· Alerts the operator against accidents/mistakes

Instrument Cluster
· Avoids possible damage to critical parts
· Enhaced Braking efficiency

· Most Suitable for wet land cultivation

High Speed Multi Disc Wet Brakes · safety in operations

· Lest expenses on maintenance

· Load at the crown wheel & pinion is reduced
Heavy Duty
· Longer life of gear box and crown wheel & pinion

Epicyclic Final Reduction at rear axle · Extremely low maintenance cost

31
 · Noiseless and trouble free operations

· High Torque at wheels and heavy field operations

CHAPTER 5: OBJECTIVE

Objective of the Projected Study:-

1. To study the Agri Market.

2. To study the tractors market.
3. Study of customer perception of tractors.
4. To ascertain the existing marketing strategies of mahindra tractors.
5. To structure the company profile for mahindra tractors.
6. To understand various products and services offered by mahindra tractor.
7. To ascertain the customer expectation regarding the mahindra tractors.
32
CHAPTER 6: RESEARCH METHODOLOGY

The Research Methodology used by me for the purpose of this project is as follows:-

Research Design:-

The research design used here for this project is a combination of Exploratory &
Explanatory designs. First a general know about of the various tractors and their market
structure. Then a personal interaction with the people concerned is made to figure out the
results.

Data Collection Method:-

According to the needed research of the project; I pursued both primary & secondary data
collection methods. I have used Agri web sites related to tractors, some publications on the
net, & tractor information broacher for secondary data collection. To ensure the accuracy of the
results the primary data collection method used is the structured interview method.
33
Sampling:-

The sampling units in my project are Consumers. The sample size was small by following
the convenience sampling method. There were queries for the persons interacted & the
questionnaire has been attached at last.

SAMPLING SIZE
The sample size of my research is 100 consumers. Large samples give more reliable
results that is why I tried my best to cover more users (consumers) in Bathinda.

Sample Size — 100

Sample Unit – users (consumer)
Area of Survey — Bathinda.

Data Availability: Data has been collected from the Users (Consumer) and Dealer of Indian
Tractor Company.

Primary data:-
Preparing questionnaire which was distributed among consumers to get feedback.
In this survey the more importance has been given to primary data than secondary data
because it is more reliable.

Secondary data:-
The various sources for secondary data like books, pamphlets and small note sheets
from the company. The secondary data was collected after choosing the topic, which is very
practical to the research. It was collected from the company brochures and documents. This
has been used in the profile of the organization. These types of Surveys are expensive and
labour-intensive.

Training Organisation: Indian Tractor Company, Bathinda

Project Guide: Mr. Vijay Kumar, Sales Manager

34
The Research stands for:-
1. To know how of the actual phenomenon occurring & exploring the new ideas
with a clear & precise insight.
2. To test the hypothesis with being variables to be compared within their
relationship.

Data Analysis & Interpretation:-

The statistical tools used by me are mainly average, Percentage, & comparisons etc. I
would like to give brief points about

1. Questionnaire: - The questionnaires are given to respondent with no

pressurization at all, i.e. he/she is free to provide the information whatever the concern is.
One thing to be kept in mind those personal questions apart from name, address etc.
should not be included.
2. Direct Interviews: - The direct interviews are one up against all the data
collection tools just because one can judge that what a person is telling to the surveyor.
Although it is time consuming but the information gathered is of much more weightage
than others.
3. Sampling design, Procedure & Sample size:-A sample is always a part of the
desired universe & it should represent each & every aspect of the study being conducted.
The only thing is that the sample being chosen is of relevance & accurate source of
information. My sampling design is based on random sampling because each element
gets probability to be included & all choices made are independent of each other.

Need for study:

1. To get a practical outlook about theories learnt during the academic year.
2. To get knowledge of the present on going in consumer behavior.
35
CHAPTER 7: INTERPRETATION AND ANALYSIS

1. Age Group

20-30 Years 26
30-40 Years 42
40-50 Year 21
50 Above 11
 50
No. 40

of 30 20-30
Years
Respondents 20
30-40
10 Years
40-50
0 20-30 30-40 40-50 Year
50
Years Years Year Above
Age
36
With the results of the analysis, it is clear that most of the tractor users are from
the age 30-40.

2. Income Group

10000-20000 26

20000-30000 42
30000-40000 21
40000 Above 11

50
40
No. of 30 10000-20000

20000-30000
Persons 20
10 30000-40000
0 40000 Above
10000- 20000- 30000- 40000
20000 30000 40000 Above
Income

The main group is the one who has the salary between 20000 and 30000.

3. You belong to the following category of the society?

Professional (Farmer) 39

Student 18

Govt. Service 21

Businessman 22
37
 40
35
30
No. of 25 Professional
20
Student
Persons 15
Govt. Service
10
Businessman
5
Professional Student Govt. Service Businessman
0
Category of Society

Tractor is the need of the farmers and businessman too, thereby this category has maximum
ownership of tractor alongwith Govt. Service man also.
38
4. . Your Educational Background
Table 4:

Matric 44

Higher Secondary 42
Graduate 12
Post Graduate 2
Graph4:

post

graduate
2%
graduate
12% matric
higher
44%
secondary
42%
Interpretation: Maximum respondents are matric and higher secondary ones i.e, 44% and 42 %

39
5. Which company tractor you have in 60 HP segment
Table 5:

MAHINDRA 39
SWARAJ 26

ESCORT 11
FORD 17
JOHN DEERE 4
SONALIKA 3
Graph 5:
SONALIKA
JOHN DEERE

FORD 4% 3%
17% MAHINDRA
ESCORT 39%

11%
SWARAJ
26%

From the analysis it has been clear that most of the Indian People Segment like to
purchase Mahindra tractors. We have concluded the survey and asked the question
from 100 candidates and 39 responded that they have Mahindra tractors.
40
6. Which tractor of your mentioned company do you have?

Arjun 605 di 32
Farmtrac 60 DX 16
HMT 6522 23
Sonalika DI 60 Senior 13
Tafe Gajraj 5900 g4 16

tafe

16%

Arjun 605
sonalika 32%
13%
hmt farm 60

23% 16%

Mahindra Arjun has topped the list, people are now changing their trends and started
opting for HMT and Farmtrac. Alongwith this Sonalika 60 is also in the list making good
market with its style and elegancy.
41
7. How long you have been operating this tractor?

0-1 Yrs 39

1-3 Yra 32
3-5 Yrs 18
More than 5 Yrs 11
 More than 5
Yrs
11%
3-5 Yrs 0-1 Yrs

18% 39%

1-3 Yra
32% 0-1 Yrs
1-3 Yra
3-5 Yrs
More than 5 Yrs
Interpretation: Out of 100 respondents, 11% of the respondents are operating this tractor for
more than 5 years, 18 % are for 3-5 years, 32% for 1-3 years and the rest 39 % for 1 years.

8. What is the purpose of using this tractor?

Table 8:
Business 12
Heavy Works 23
farming 62
Family Purpose 3

Graph 8:
42
 Family Purpose
3% Business
12%
Heavy Works
23%
Farming
62%

Interpretation: Most of the respondents use the tractors for farming purpose that is 62 % ,for
heavy works 23 % and least for family purpose.

9. Are you aware of all the models of tractors (60 HP) made available to
people of this company?

Yes 94

No 6

No
6%

Yes
No

Yes
94%
Respondents have better knowledge of all the models of tractor of 60 HP segment made
available to people of this company.
43
10. How do you rate your tractor as compared to tractor of other company?

(a) Very Good (b) Good (c) Poor

Please mark the reason for you response

1. Fuel Efficiency
2. Price
3. Brand image
4. Pick-Up
5. Spare parts availability
6. Any other

Poor
Good 8%

23% V.Good
V.Good Good
69% Poor
 Fuel Efficiency
Spare Parts Any Other 14% Fuel Efficiency
Availibility 4%
Price
21% Price
18% Brand Image
Pick Up Pick Up
15% Brand Image
Spare Parts Availibility
28%
Any Other
Every respondent have better and positive views about the models they have.
44
11. Have you ever been recommended your company’s tractor to any one?

(a) Yes (b) No

If yes then to whom 1. Friends

2. Relatives
3. Colleagues
4. Any other

No
24%

Yes
76%

Yes

No

Any Other Friends

19%
31%
Colleagues

27% Relatives
23% Friends

Relatives
Colleagues
Any Other

Many of the respondents have recommended their tractor to the one they are in
relation to like their friends mostly other than relative and colleagues.
45
12. Have you ever heard any complaint of the make of this company or ever
has faced any of the problems with your tractor?

Yes
28%
No

72%
Yes

No
If yes what kind

Mileage 29

Price 18
Pick-Up 14
Shockers 20
Any Other 19

Any Other Mileage

19% 29%
Shockers

20% Pick-Up Price Mileage

14% 18% Price

Pick-Up
Shockers
Any Other

Problems are there with every product, nothing is 100 %, thereby it variate the choices
related to the buying decision and other offers.
46
PRODUCT LIFE CYCLE OF MAHINDRA TRACTOR

Product life cycle of tractor is of 3 years. To say that a product has a life cycle asserts
four things. Products have a limited life. Product sales pass through distance stages, each posing
different challenges, opportunities and problems to the seller. Profits rise and fall at different
stages of the product life cycle. Product requires different marketing, financial, manufacturing,
purchasing and human resource strategies in each life cycle stage.

INTRODUCTION STAGE

In tractor business name plays very important role till that time the name is not known or
not have place in market, tractor will not sale. In the introduction stage focus is given on sales
rather than profit. For the purpose of name people are made much aware about launching of
the product so as to get maximum number of customers. Marketing strategies is based on the
features of tractors. In this stage mahindra tries to expand its market share.

GROWTH STAGE

In growth stage focus is given on improving the product quality and adds new product
features and new policies so that it can enter new market segment. Which will be CENTRAL
(Madhya Pradesh & Rajasthan) EAST (Bihar, West Bengal, Orissa & Assam) SOUTH (Andhra
Pradesh, Tamil Nadu, Karnataka & Kerala)

Focus is also given on increasing distribution coverage and entering a new distribution
channels. Then advertising strategies will shift from product awareness advertising to product-
preference advertising.

MATURITY STAGE

In this stage focus is given to expand number of brands users by

· Converting non-users into users.

· Entering new market segments.

47
 · Winning competitors customers.

· Convince current users to increase use of life insurance and also other types of
insurance so as to minimize their risks.

Market mix of product is also modified in this stage such as Price, Distribution,
Advertising, Sales promotion, Personal selling, Services.

SEGMENTATION & TARGETING

HP SEGMENTATION TARGETED CUSTOMER

BELOW 30 NORTH UTTAR PRADESH
WEST GUJARAT
ABOVE 30 NORTH PUNJAB
NORTH HARYANA
WEST MAHARASHTRA

FACTORS CONSIDERING SEGEMENTATION AND TARGETING

• Agriculture Income

• Income Level

• Soil (Fertility)

• Population

• Competitors

• Climate

• Infrastructure

FINDINGS
48
 With the results of the analysis, it is clear that most of the tractor users are from the
age 30-40. The main group is the one who has the salary between 20000 and 30000. Tractor is
the need of the farmers and businessman too, thereby this category has maximum ownership of
tractors alongwith Govt. Service man also. Maximum respondents are matric and higher
secondary i.e, 42 % and 44 % .
Mahindra has topped the list, escort also doing the fine, right now the market is of
Mahindra, they are launchin good models with good features and performances.
Sonalika also trying its best to capture the market of tractor of 60 HP with their latest
models.Mahindra Arjun has topped the list, people are now changing their trends and started
opting for HMT and Farmtrac. Alongwith this Sonalika is also in the list making good market
with its style and elegancy. The trend of using tractors of 60 HP have now started thereby most
of the users are from the last 2-3 years. The tractor market has started taking its shape and
people now looking for big heavy vehicles for their solid performance and style.
Most of the respondents use the tractors’s for Business purpose that is 12 % and more in
case of farming that is62 %, for heavy works 23 % and least for family purpose. Respondents
have better knowledge of all the models of tractors made available to people of this company.
Every respondents have better and positive views about the models they have. Many of
the respondents have recommended their tractor to the one they are in relation to like their
friends mostly other than relative and colleagues. Problems are there with every product,
nothing is 100 %, thereby it variate the choices related to the buying decision and other offers.
49
SUGGESTIONS

· Companies have to come with an idea to launch low cost tractors so that it can reach to
each and every class of the society.
· Average or mileage of the tractor is the main criteria for the sale of tractor, petrol and
Diesel prices are hiking like anything, companies have to provide a technology for
better mileage and less fuel consumption.
· Mostly operating by the farmers and businessman.
· Company should have to adopt well knowledge marketing executives so that they can
explain and provide comparison of tractor’s with other company’s.
· Company should have to install Test Drive Camps so that they experience their vehicles
and like to buy. Company should have to arrange meals for the demonstration of power.
50
SUMMARISATION

For over two decades, Mahindra Tractors is the undisputed leader of the Indian tractor
market, which is the largest tractor market in the world. A division of a US$ 6 billion
conglomerate, Mahindra & Mahindra, we began as a joint venture with International Harvester.
And with that began a new era in power, control and reliability in farm equipment
manufacturing. Today, with the largest manufacturing set up in India, Mahindra Tractors is
among the top three players in the global market. And as we step into the 25th year of
excellence, we continue on our journey of cultivating golden harvests across the globe.

In the year 2003, Mahindra Tractors bagged the Deming Prize, a global honor for quality
practices. Three years later, the company was eligible to qualify for the Japan Quality Medal,
the highest honor for excellence in Total Quality Management practices. In 2007, Mahindra
Tractors became one of the 20 companies worldwide to receive this rare honor. Till date, we are
the only tractor company in the world to bag this prestigious award.

M&M has one tractor manufacturing plant in China, three assembly plants in the United
States and one at Brisbane, Australia. It has made strategic acquisitions across the globe
including Stokes Forgings (UK), Jeco Holding AG (Germany) and Schoneweiss & Co GmbH
(Germany). Its global subsidiaries include Mahindra Europe Srl. based in Italy, Mahindra USA
Inc. and Mahindra South Africa.

In the US market, Mahindra USA, a subsidiary company of Mahindra tractors, sells more
than 10,000 tractors annually. A nationwide network of over 300 dealers, total product support
and prompt after sales service ensure that every tractor functions for years without any hassles.

Mahindra Tractors, the 3rd largest tractor manufacturer in the world, notched up yet
another first in the tractor industry by delivering 1232 tractors on Independence Day - August
15, 2007

CONCLUSION
51
· Companies have to provide better facilities like free testing camps and gifts so as to raise
the sales and promotion of the tractor models.
· Companies are launching their new models of tractors to make the consumer feel free
from the choices.
· Being in the market of hype competition motorbike companies making brand
positioning of their models. They used to put free test camps and use actors and
actresses.
· Checking complaints have now become the first priority of the company, for that they
install call centers to rectify those problems.
· At present Mahindra Arjun sales are high due to their better service providing factor and
rectifying problems.
· Other companies like Escort and Sonalika have to look forward and to follow the above
all suggestions for making better market for their tractors.
52
SWOT ANALYSIS

STRENGTH:
· Over the years the company has emerged as one of the top players in the world in terms of
number of tractors sold. This gives a clear indication that the company's market share is one
of its biggest strengths.
· The company's ability to introduce new products in the market and to generate sales from
those new products is a major strength. The reason being that this is very essential for any
company, for its survival in the long run.
· The company has established its brand name in other countries of the world as well.

WEAKNESS:
· Tough Competition
· Expensive

OPPORTUNITIES:
· By introducing the benefits and importance of the tractor to every group, companies can
evolve more.

THREATS:
· The company has a history of having invested in unrelated diversifications such as telecom,
holiday and resort inns, financial services, etc. which it has hived off as subsidiaries from
time to time when these turned unmanageable. This is a cause for concern as such
diversifications could divert the company's attention from its core business. It is a
dangerous tendency as it leads to destruction of shareholders value.
· With effect of the competition the market may not get shrunk.
53
LIMITATIONS

Nothing is perfect in this mandate world and this study is no exception. Given below are
the limitations of the study so that the findings of the study may be understood in their right
perspective.

1. The result of this research cannot be termed as making a fair representation of the
perception of the population.
2. Study was confined to the city of Bathinda.
3. Sample size taken was 100 respondents, the result might have varied had there been a
larger sample size.
4. It is very much possible that some of the respondents may have given the incorrect
information.
5. The last but the most important point to that survey was carried through Questionnaire
and the Questions were based on perception. Most important is positioning. But there
may be certain aspects not taken into consideration.
54
BIBLIOGRAPHY
BOOKS AND JOURNALS
· Amsden, A. H. (1989), Asia's Next Giant, South Korea and Late Industrialization (New
York, Oxford University Press).
· Amsden, A. H. (2001), The Rise of “the Rest”, Challenges to the West from Late
Industrializing Economies
· Balassa B. (1980), “The Process of Industrial Development and Alternative
Development Strategies”, World Bank Staff Working Paper, No. 438 (Washington, D. C.,
World Bank).
· Bhagwati, J. (1978), Foreign Trade Regimes and Economic Development, Anatomy and
Consequences of Exchange Control Regimes (Cambridge, Ballinger Publishing
Company).
· Bruton, H. (1998), “A Reconsideration of Import Substitution”, Journal of Economic
Literature, XXXVI, June, 903–36.
· Chang, H. (1993), “The Political Economy of Industrial Policy in Korea” Cambridge
Journal of Economics, No. 17, 131–57.
· Cline, R. W. (1983), “Trade Policy in the 1980s”, Institute for International Economics
(Washington, D.C.).
· Gomery, R. E. and Baumol, W. J. (2000), Global Trade and Conflicting National
Interests (Massachusetts, Massachusetts Institute of Technology).
· Greenaway, D., Morgan, W. and Wright, P. (1998), “Trade Reform, Adjustment and
Growth: What Does the Evidence Tell Us”, Economic Journal, No. 108, September,
1547–61.
· Krueger, A. O. (1998), “Why Trade Liberalisation is Good for Growth”, The Economic
Journal, No. 108, September, 1513–22.
Internet Resources
· http://www.sonalikaindia.com
· http://www.tafe.com
· http://www.escortindia.com
· http://www.automobileindiamahindra-&-mahindra/
55
· http://www.mahindra.com/OurBusinesses/automobile-manufacturer.html
56
QUESTIONNAIRE

1. Age Group
A) 20-30 B) 30-40 C) 40-50 D) 40 Above
2. Income Group

A) 10000-20000 B) 20000-30000 C) 30000-40000

D) 40000 Above

3. You belong to the following category of the society?

(a) Farmer (b) Student (c) Govt. Service

(d) Businessman

4. Your Educational Background

(a) Matric (b) Higher Secondary (c) Graduate

(d) Post Graduate

5. Which company tractor you have in large tractor segment?

Mahindra Swaraj

Escort Ford

John deere Sonalika

6. Which tractor of your mentioned company do you have?

(a) Arjun (b) escort (c) tafe

57
(d) sonalika (e)HMT

7. How long you have been operating this tractor?

(a) 0-1 Yrs (b) 1-3 (c) 3-5 (d) More than 5 Yrs

8. What is the purpose of using this tractor?

(a) Business (b) Heavy Works

(c) farming (d) Family Purpose

9. Are you aware of all the models of tractor of 60 HP made available to people of this
company?

(a) Yes (b) No

10. How do you rate your tractor as compared to tractor of other company?

(a) Very Good (b) Good (c) Poor

Please mark the reason for you response

7. Fuel Efficiency
8. Price
9. Brand image
10. Pick-Up
11. Spare parts availability
12. Any other
58
11. Have you ever been recommended your company’s tractor to any one?

(a) Yes (b) No

If yes then to whom 1. Friends

2. Relatives
3. Colleagues
4. Any other

12. Have you ever heard any complaint of the make of this company or ever has faced any
of the problems with your tractor?

(a) Yes (b) No

If yes what kind

1. Mileage
2. Price
3. Pick-up
4. Shockers
5. Any other
59