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Honda Motercycle

In: Business and Management

Submitted By sanchitjasuja
Words 9551
Pages 39


Submitted by :
(Roll no. 8100132015)

in the partial fulfillment for the award of the degree of BACHELORS OF BUSINESS ADMINISTRATION

Submitted to:
Gian Jyoti Institute of Management &Technology

PUNJAB TECHNICAL UNIVERSITY, JALANDHAR 2008-2011 ABSTRACT The research project was undertaken to study the consumer preferences towards 150 cc motorcycles in Ludhiana city. Consumer is said to be the pivot around which the entire business activities revolve and thus it is necessary to know that how individuals make decisions. Primary data were collected from a sample of 120 respondents which was taken from the service centers of the motorcycle outlets. The factors leading to need arousal for 150 cc motorcycles were identified as availability of better pick up and elegant appearance. The main source of information about the motorcycle has been the media both print and electronic. The decision to purchase a particular brand of motorcycle was mostly made by the customer himself. The important factors considered while purchasing a motorcycle were pick up, styling and fuel efficiency. Bajaj Pulsar provides highest satisfaction in case of pick up, comfort, after sales service and maintenance cost whereas TVS Apache provides highest satisfaction in case of appearance/design and mileage.


Certified that this project report “STUDY OF CONSUMER PREFERENCES TOWARDS 150CC MOTORCYCLES IN LUDHIANA CITY” is the bonafide work of “ HARPINDER SINGH”. Who carried out the project work under my supervision.



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|Chapter |Topic |Page |
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| |ANALYSIS |20 |
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| |FINDINGS |48 |
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|V |SUMMARY |50 |
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| |ANNEXURES |53 |
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| |REFERNCES |56 |
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INTRODUCTION Customers today are more informed and demanding than ever. They know quality service, when they get it and they are not afraid of taking their business elsewhere if they don’t get it. Refusals to acknowledge this reality can spell failure/rejection by the one who holds the purse strings and the key to profits. Satisfaction of customer needs, in fact, provides a rationale for the firm’s existence. Therefore customer behavior lies at the heart of modern marketing and its knowledge is vital for a firm’s existence, growth and success. An understanding of the motives underlying the consumer behaviour helps a firm to seek better and more effective way to satisfy customers. Consumer behaviour is the behaviour that a consumer displays in searching for; purchasing, using, evaluating and disposing of products and services that he expects will satisfy his needs. It helps marketers know that how an individual makes decision to spend his available resources (money, time, and effort) on consumption related items. However consumer behavior is a complex system where there is an interaction of various social, economic and psychological factors. All these factors affect the purchase decision of the buyer and his perception about different products. Purchase behaviour involves two types of purchases: trial purchases (the exploratory phase in which consumer attempts to evaluate a product through direct use) and repeat purchases which usually signify that the product meets with consumer’s approval and that the consumer is willing to use it again. Moreover, purchase behaviour incorporates all the activities that human being indulges in his role of consumer, from the time when he feels a state of deprivation (need arousal) to that point of time when he obtains a means of need satisfaction (purchase) and finally to the point of time when he has used this means for a suitability long period of time to judge the level of satisfaction it provides (post purchase evaluation). Satisfaction of consumer needs is one of the main objectives of manufacturers and marketers. The company that really understands how the customer responds to different product features, prices and advertising appeals has an enormous advantage over its competitors. In today’s era of competition, a stage has reached that it is necessary to know the perceptions, needs and preferences of the target market and to incorporate the desired features in the product to be sold to the consumer. Although, it is not easy to say which customer will go for which features of the product, yet marketers do make efforts to know the features for which most of the people of a particular segment of society look for. A successful marketer is the one who effectively develops and produces brands that are of value to the consumer and who effectively presents these products and brands to the consumer in an appealing and persuasive way. The need to travel is as old as man himself. As the requirement for basic personal transportation came to the forefront, two wheelers came into picture. In the past, selling a scooter was not a problem for their manufactures. Consumer’s choice was limited and the demarcation clear, but as more and more companies jumped into fray and churned out quite a number of models, the consumer who till now didn’t have much of a choice, became demanding and knowledgeable. Thus it became necessary for the producers and sellers to understand the perception, attitudes and preferences of their target markets and to load their scooters with features that added value to the product. Scooter as a product falls in the category of consumer durables i.e. it serves many uses, requires more personal selling, service and sellers guarantee as compared to consumer non-durables. In today’s society there is sufficient disposable/discretionary income with large number of people to be in the market for a durable at one time or the other. Also, the consumer attitudes have changed and awareness has grown due to communication explosion. Today, two wheeler industry caters to the changing demands of the consumers. The consumer’s decision to purchase or reject a product is the moment of final truth for the marketer. Consumer is hard to please and very discriminating. He is very judicious in making choices. The purchase of any product by him depends on the value of product to him.
1.1 Two Wheeler Industry Automobile industry, as a whole contributes a significant chunk in the gross national income of the country. Faced with a public transport system, which is woefully inadequate, inefficient and undependable, the Indian customer is being increasingly forced to personal means of transportation. Private cars are ruled out for general public because of their high cost of operation and maintenance; bicycles have the disadvantage of being slow and having low load bearing capacity, hence two wheelers have been the choice of middle class families because of their comparatively low price, low running cost and easy parking ability. The two wheeler industry has shown a steep growth in the recent years, even The two wheelers have moved out of the realms of the college going student and entered the corporate offices also. With the ever-increasing prices of fuel, two wheelers offer a cheaper option than the four wheelers. The two wheelers have also emerged as a viable option to take pressure off the public transport system, which has been dwindling with every passing day. For ages Indian buyer had limited choice as one had to wait for several months to get a Bajaj scooter, however today the scenario has changed with over 50 models available to the Indian consumer. These models keep every need of the Indian consumer in mind.

Table 1: Market Shares (09-10)

|Scooters |% Market share |
|Honda MSI |62.8 |
|TVS |28.0 |
|Bajaj |2.5 |
|Kinetic |6.7 |
|Motorcycles |% Market share |
|Hero Honda |45.8 |
|Bajaj |32.4 |
|TVS |14.9 |
|Yamaha |3.8 |
|Honda MSI |1.8 |
|LML |- |
|Kinetic |0.1 |
|Royal Enfield |0.4 |
|Majestic |- |
|Suzuki Motorcycle India |0.7 |
|Mopeds |% Market share |
|TVS |92.6 |
|Majestic |2.0 |
|Kinetic |5.4 |

Source: Society of Indian Automobile Manufacturers (SIAM)

1. Production of Two Wheelers The production of two wheelers has merely reflected the way the market has developed over the recent years. Here is a brief look about the production trend of two wheelers including scooters, motorcycles and mopeds in the country based on the data provided by Society of Indian Automobile Manufacturers (SIAM).

Table 2: Productions of Two Wheelers (Figures in 000)
|Year |Scooters |Motorcycles |Mopeds |Total |
|2005-06 |938 |2906 |427 |4271 |
|2006-07 |848 |3876 |352 |5076 |
|2007-08 |935 |4355 |332 |5623 |
|2008-09 |987 |5194 |348 |6530 |
|2009-10 |1020 |6201 |380 |7601 |

Source: Society of Indian Automobile Manufacturers (SIAM) (2009-10)

Table 1.2 shows that production for two wheelers have increased for the last five years. The two wheeler industry has experienced an accelerating thrust for the last 5 years. As table shows production of two wheelers which was 42.71 lakhs in 2005-06 has increased to 76.01 lakhs in 2009-10.

1.2 The motorcycle industry boom

The Indian two wheeler industry has been undergoing a massive change. The population explosion, the transition from scooters to motorcycles, from 2-stroke engines to 4-stroke, from smaller engines to bigger ones - everything seems to be happening at the same time. The growth of the segment has been significant in the last 10 years particularly when the consumer preference has shifted from scooters to motorcycles and from 2-stroke to 4-stroke engines. All this has been an outcome of a steady rise in the level of individual income, a change in the mind-set brought about by the spread of education and pervasiveness of media, a growing need for personalized transport among the members of all age-groups, etc. No more is a vehicle treated as just a commodity but has become an integral part of one's personality. It is then only natural that everything else associated with this industry should change too. The demand for motorcycles has been influenced by a number of factors over the past five years. The key demand drivers for the growth of the motorcycle industry are as follows: • Inadequate public transportation system, especially in the semi-urban and rural areas; • Increased availability of cheap consumer financing in the past 3-4 years; • Increasing availability of fuel-efficient and low-maintenance models • Increasing urbanization, which creates a need for personal transportation • Changes in the demographic profile; • Difference between two wheeler and passenger car prices, which makes two wheelers the entry-level vehicle; • Steady increase in per capita income over the past five years; and • Increasing number of models with different features to satisfy diverse consumer needs. The Indian two wheeler industry has undergone a significant change over the past 10 years with the preference changing from scooters and mopeds to motorcycles. The scooters segment was the largest till FY1998, accounting for around 42% of the two wheeler sales (motorcycles and mopeds accounted for 37% and 21 % of the market respectively, that year). However, the motorcycles segment that had witnessed high growth (since FY1994) became larger than the scooter segment in terms of market share for the first time in FY1999. Between FY1996 and 9MFY2009, the motorcycles segment more than doubled its share of the two wheeler industry to 79% even as the market shares of scooters and mopeds stood lower at 16% and 5%, respectively. While scooter sales declined sharply by 28% in FY2005, motorcycle sales reported a healthy growth of 20%, indicating a clear shift in consumer preference. This shift, which continues, has been prompted by two major factors: change in the country's demographic profile, and technological advancements. In an effort to satisfy the distinct needs of consumers, producers are identifying emerging consumer preferences and developing new models. For instance, motorcycles with engine capacity over 150 cc, is a segment that has witnessed significant new product launches and hence, become more competitive. The indigenously launched Pulsar 150 had met with success on its launch and thereafter, a host of models have been launched in this segment by various players. While Bajaj Auto launched the Pulsar (150 and 180 cc) with digital twin spark technology (DTSi) that offers a powerful engine and fuel efficiency of 125 cc models, model launches by other players include LML's Graptor/Beamer, HMSI's Unicorn besides the HHML's CBZ (improved version launched in 2007-08) and TVS' Fiero F2. The products in this segment cater for style conscious consumers. Quite a few players are developing models combining features such as higher engine capacity with optimum mix of power and performance, and superior styling. However, the extent of shift to these products would depend on the positioning of such products in terms of price.

3. Need of the study The study makes significant contributions to consumer preferences concerned with 150 cc motorcycles. Various attributes, affecting purchase of 150 cc motorcycles have been identified and the existing prominent brands of 150 cc motorcycles have been compared on the basis of various attributes. These findings will be useful for both students as well as teachers of the subject. The study will have great implications from marketer’s point of view in sales strategy formulation. Knowledge of the factors, considered important by the consumer would be helpful to the marketers for adopting more efficient manufacturing tools.| Analysis of the post purchase feelings of 150 cc motorcycles respondents and the interpretations thereof, together with the findings of the factors determining the brand preferences can be helpful to both manufacturers as well as dealers of 150 cc motorcycles thereby enabling them to meet the requirements of the market more effectively and efficiently.

REVIEW OF LITERATURE A brief review of the literature is of immense importance with respect to any research. It is essential for understanding the scope and spectrum of research objectives. Various aspects of consumer preference like consumer satisfaction, impact of various attributes on purchase behavior, consumer perception, and consumer dissatisfaction are measured.

. Dhar and Sherman (1996) examined the effect of common and unique features in consumer choice. They said that consumer choice often involved a comparison among the available alternatives. It was proposed that attractiveness of the choice set could be enhanced or reduced by altering features, which appeared unique. Chernev (1997) examined the effect of common features on brand choice and moderating role of attribute importance. It was argued that when brand attributes differed in importance, common features were likely to enhance consumer preferences for the option with the best value on the most important attribute, thus further polarizing brands’ choice shares. In contrast when attributes were similar in importance, common features were likely to have an opposite effect, equalizing brand shares. Thus, when attributes had equal importance, adding a common feature to a pair of options leads to an equalization of choice shares, whereas, when attributes differed in importance, common features enhanced the choice share of the option with the best value on the most important attribute, leading to a further polarization of brands’ choice shares.

Dhar et al (1999) suggested that the construction of both similarity and preference judgments could be captured by a feature-matching model that allowed for shifts in the relative weights assigned to the various features of the alternatives being compared. An application of this model was that engaging in one comparative process (e.g., similarity) can influence the relative weight assigned to the features that were considered in a second comparative judgment (e.g., preference). The effect of engaging in an initial comparison task on subsequent preference judgments was tested for stimulus-based choice sets. The results on choice deferral and choice satisfaction were consistent with the notion that engaging in similarity/dissimilarity comparisons altered the relative weight assigned to common and unique features for the two alternatives. Heilman et al (2000) examined how brand preferences and response to marketing activity evolved for consumers new to a market. They developed a theoretical framework that began with a consumer’s first-ever purchase in a product category and described subsequent purchases as components of sequential stages. The theory was based on the notion that choices made by the consumer new to a market were driven by two competing forces: consumers’ desire to collect information about alternatives and their aversion to trying risky ones. The results showed the importance of accounting for product experience and learning when studying the dynamic choice processes of consumers new to a market. Ofir and Simonson (2001) in their study found that the customer evaluations of quality and satisfaction were critical inputs in development of marketing strategies. Given the increasingly common practice of asking such evaluations, buyers of products and services often knew in advance that they subsequently would be asked to provide their evaluations. In a series of field and laboratory studies, the author demonstrated that expecting to be evaluated leads to less favorable quality and satisfaction evaluations and reduces customer’s willingness to purchase and recommend the evaluated services. The negative bias of expected evaluations was observed when actual quality was either low or high, and it persisted even when buyers were told explicitly to consider both the positive and negative aspects. Tamizhselvan and Vijayakumar (2002) analyzed the significance of personal characteristics of consumers in determining the brand preference for soft drinks in Coimbatore district. The study also identified the factors considered important in buying behavior, the reasons of brand preferred by the consumers and the factors considered in the frequency of buying. It was concluded that the personal characteristics like sex, age, marital status, occupation, monthly income and expenditure, type of family and size of family had a significant influence on brand preference and buying behavior of the consumers. Bhattacharya and Sen (2003) tried to determine why and under what conditions consumers entered into strong, committed and meaningful relationships with certain companies, became champions of these companies and their products. The authors proposed that strong consumer-company relationships often resulted from consumers’ identification with those companies, which helped them to satisfy one or more important self-definitional needs. Aggarwal (2005) stated that when consumers formed relationships with brands, they use norms of interpersonal relationships as a guide in their brand assessments. Two relationship types were examined: exchange relationships in which benefits were given to others to get something back and communal relationships in which benefits were given to show concern for other’s needs. The conceptual model proposed that an adherence to or a violation of these relationship norms influenced the appraisal of the specific marketing action and also the overall brand evaluations. Erdem and Swait (2006) examined the role of brand credibility (trustworthiness and expertise) on brand choice and consideration across multiple product categories that vary in regard potential uncertainty about attributes and associated information acquisition costs and perceived risks of consumption. It was found that brand credibility increased probability of inclusion of a brand in the consideration set, as well as brand choice conditional on consideration. It was also found that although credibility impacts brand choice and consideration set formation more and through more constructs in contexts with high uncertainty and sensitivity to such uncertainty, credibility effects were present in all categories. Finally, the results indicated that trustworthiness, rather than expertise, affected consumer choice and brand consideration more. Simonson (2007) examined the basic assumptions underlying individual marketing and presented a process model of customers’ responses to customized offers. The model addressed (1) preference development (2) evaluation of customized offers (3) likelihood of purchasing the customized offers and (4) maintenance of relationships with one-to-one marketers. The analysis leaded to specific propositions regarding determinants of customers’ responses to customized offers. The author also discussed future research directions and managerial implications. It can be concluded that many studies have been done to study the various factors related to impact of various attributes on purchase behavior, consumer perception, customer satisfaction and dissatisfaction, etc. A study is required to identify the attributes considered while purchasing and compare selected brands on basis of these attributes.

Objectives of Study:-

The present study aims at evaluating factors of 150 cc motorcycles affecting their purchase and on the basis of these factors to give suggestions to the brands to improve the market share of their respective products. More specifically, objectives of study are:

1. To identify the attributes considered while purchasing the selected brands of 150 cc motorcycles.
2. To compare selected brands of 150 cc motorcycles on basis of attributes.
3. To study the consumer preferences towards the 150 cc Motor Cycles.
4. To study the factors that influences the purchase of 150 cc motorcycle.
5. To determine the need of purchase of 150 cc motorcycle

MATERIALS AND METHODS The present chapter describes the research methodology of the study. In order to satisfy the objectives, this chapter explains in detail the research methodology which is divided into five sections: Section 4.1 deals with research framework; Section 4.2 deals with population and sample selection; Section 4.3 deals with data collection; Section 4.4 deals with analysis of data and Section 4.5 deals with limitations of the study.

4.1 Research Framework The present study is based on the objectives of identifying the attributes considered while purchasing the selected brands of 150 cc motorcycles and to compare selected brands of 150 cc motorcycles on basis of these attributes in the city of Ludhiana. The study uses both primary and secondary information. The research design for the present study is descriptive. The motorcycles available for the study are Bajaj Pulsar, Hero Honda CBZ, Honda Unicorn and TVS Apache. As it is clear from the objectives of the study, the study was divided into two parts i.e. to identify the attributes considered while purchasing the selected brands of 150 cc motorcycles and then to compare selected brands of 150 cc motorcycles on basis of these attributes. For both the objectives of the study, primary data was collected through a structured questionnaire. Then in order to arrive at the results proper statistical tools were used on the information collected from the respondents.

4.2 Population and Sample Selection The population of the study includes the persons in Ludhiana city who owned a 150 cc motorcycle. For meeting the first objective, list of dealers dealing in 150 cc motorcycles in Ludhiana was prepared. Sample was collected in two stages. In the first stage, two dealers each of the four companies in the city were selected randomly from the available list of dealers for four companies. In the second stage of sample selection, service centers of each of the selected dealers were visited. At each service center, 15 respondents were contacted. The sample size was 120. The following dealers were selected: 1. Bajaj Pulsar ➢ Dada Bajaj, Savitiri Complex, Dholewal Chowk, Ludhiana ➢ Impact Bajaj, Sherpur Chowk, GT Road By Pass, Ludhiana 2. Hero Honda CBZ/Achiver ➢ Nihal Singh Motors, Ferozepur Road, Ludhiana ➢ Stan Wheels (P) Ltd., G T Road, Near Sherpur Chowk, Ludhiana 3. TVS Apache ➢ Gulzar Trading Company, Dholewal, Ludhiana ➢ TVS Gulzar, Near Aarti Chowk, Ludhiana 4. Honda Unicorn ➢ Sarvpriya Autos Pvt. Ltd., Ferozepur Road, Ludhiana ➢ Pioneer Honda, G T Road, Dholewal, Ludhiana

4.3 Data Collection Keeping in view the objectives of this study, both primary and secondary data were required. A structured and non-disguised questionnaire was prepared for collecting primary information from the customers. Questionnaire is shown in Annexure-I. Questions were asked relating to their income, occupation, about factors which were considered by the respondents while purchasing a motor bike, about factors influencing them to purchase, rating of different brands of 150 cc motorcycles and satisfaction level from the various motorcycles. The questions asked were multiple choice and open ended. Five points scale was used. For classification of attributes the following points were used: most important (MI), important (I), neutral (N), unimportant (UI) and most unimportant (M.U.I). Secondary data was collected from various journals /magazines, websites and dealers regarding the market performance of these motorcycles.

4.4 Data Analysis The data collected with the help of questionnaires were analyzed with the help of percentages, means, weighted mean scores etc. In order to find importance given to various attributes of a 150 cc motorcycles by the buyer at the time of purchase, weighted mean scores were calculated and each attribute was ranked on the basis of weighted mean scores. Mean score was calculated for the questions asked on a 5-point scale. In the 5-point scale the respondents were asked to indicate their degree of importance they showed for various attributes related to the 150 cc motorcycles from most important to most unimportant. Scores were assigned from 1 to 5 for the degree of importance (1 for most important, 2 for important, 3 for neutral, 4 for unimportant and 5 for most unimportant). Frequencies were multiplied with their respective weights and aggregate values were found out. Mean score was calculated using the formula:

Mean score = ∑ wifn/n i = 1 to 5 n = 30 for each brand respondents where, wi = Weight attached for degree of importance fn = Associated frequency n = Number of respondents If the mean score was more than the middle point of the scale, it was concluded that the respondents by and large tend to agree with the statement.


This chapter contains the results and discussion of the primary data collected from the respondents. The study is conducted to identify the attributes considered while purchasing the selected brands of 150 cc motorcycles and to compare selected brands of 150 cc motorcycles on basis of these attributes. This chapter is divided into four sections: Section 4.4.1 deals with demographic profile of the respondents; Section 4.4.2 deals with identification of the attributes considered while purchasing the selected brands of 150 cc motorcycles; Section 4.4.3 deals with Satisfaction from selected brands of 150 cc motorcycles on the basis of various attributes.

4.4.1 Demographic profile of the respondents The demographic profile of the respondents has been classified on the basis of age, occupation, education and family income. Classification on the basis of age Age of a person is considered as an important factor in decision making and choice made by the person. The respondents were classified into four different age groups. The age classification of the respondents is given in Table

Table Age wise distribution of respondents
|Age |Bajaj Pulsar |Hero Honda CBZ |TVS Apache |Honda Unicorn |Total |
|Below 25 |14 |11 |15 |13 |53 |
|25-35 |13 |13 |11 |10 |47 |
|35-45 |3 |6 |4 |5 |18 |
|Above 45 |0 |0 |0 |2 |2 |
|Total |30 |30 |30 |30 |120 |

[pic] ANALYSIS & INTERPRETATION: On the overall most of the respondents i.e. 53 were below the age of 25 and about 47 in the age group of 25-35 and rest above 35. If we analyze for each motorcycle separately, it was seen that around 75% of motorcycle users in case of Bajaj Pulsar and Hero Honda CBZ and around 70% in case of Honda Unicorn and TVS Apache were below the age of 30 which eventually means that a major chunk of the motorcycle market includes youth only. Classification on the basis of occupation The respondents were surveyed about their occupation as it plays an important role in the purchase behaviour and affects consumer’s preferences. The classification according to occupation is shown in Table
Table Occupation wise distribution of respondents
|Occupation category |Bajaj Pulsar |Hero Honda CBZ |TVS Apache |Honda Unicorn |Total |
|Student |20 |19 |21 |17 |77 |
|Business |6 |6 |6 |7 |25 |
|Profession |3 |4 |3 |6 |16 |
|Others |1 |1 |0 |0 |2 |
|Total |30 |30 |30 |30 |120 |


As regards the occupation profile of the 150 cc motorcycle owners, there was not much difference between the four motorcycles. The student community dominates in all the four brands (about 70%), while the ratio business to profession is around 2:1 on average. Classification on the basis of education level
The educational qualification also effects the behavior of a person as it shows how informed a choice was made while buying something. Also it is generally assumed that qualification is directly related to the kind of job a person is engaged in. Therefore, the respondents were classified according to educational qualifications in Table

Table Education wise distribution of respondents

|EDUCATION |Bajaj Pulsar |Hero Honda CBZ |TVS Apache |Honda Unicorn |Total |
|Under-Graduate |16 |20 |18 |15 |69 |
|Graduate |7 |4 |6 |7 |24 |
|Post-graduate |4 |2 |3 |4 |13 |
|Professional |3 |4 |3 |4 |14 |
|TOTAL |30 |30 |30 |30 |120 |

ANALYSIS & INTERPRETATION: As regards to education characteristic, it is seen that most of the respondents are either undergraduates or graduates. This fact is in conjunction with the fact that a major chunk of 150 cc motorcycle owners belong to the age group of below 25 and are mostly students Classification on the basis of family income

One of the most important factors influencing the consumer preferences is the income of the respondents. The income determines the choice of a respondent particularly in brand selection and the brand personality that a person associates with himself. The classification of respondents according to their family income is given in table 4.4.1.

Table Income wise distribution of respondents
|Family Income |Bajaj Pulsar |Hero Honda CBZ |TVS Apache |Honda Unicorn |TOTAL |
|Below 1,50,000 |3 |2 |2 |3 |10 |
|1,50,000-2,00,000 |9 |9 |10 |8 |36 |
|2,00,000-2,50,000 |14 |13 |10 |13 |50 |
|Above 2,50,000 |4 |6 |8 |6 |24 |


ANALYSIS & INTERPRETATION: The maximum percentage of respondents (around 60%) are in the higher income groups i.e. above 2,00,000, about 30% of the respondents fall in 150000-200000, nearly 42% in 200000-250000 , and the highest income group above 2,50,000 accounts for about 1/5th of the respondents .

4.4.2 Identification of the attributes considered while purchasing the selected brands of 150 cc motorcycles. This section deals with identification of the various factors, affecting preferences of the 150 cc motorcycle respondents. Preferences of respondents were identified by studying the various attributes of 150 cc motorcycle, which affected the purchase decision of the respondents and also by studying the post purchase satisfaction of the 150 cc motorcycle respondents. The decision to buy any product is influenced by a number of factors. The factors might be those, arousing need for the 150 cc motorcycle. Various influencers might have affected the purchase decision of respondents. There might have been certain factors, which lead to the preference of a 150 cc motorcycle over a moped or a two-stroke or a four-stroke scooter. Also, general profile of the respondents might have affected the choice of a particular brand of 150 cc motorcycle.

4.4.2..1 Factor arousing need for 150 cc motorcycle: The basic step in a buying process is need arousal. A need is experienced by a potential customer of a 150 cc motorcycle for some quick, useful and convenient mode of personal transport. Internal and external stimuli stimulate the need. The factors that arouse the need must be understood and the needs that are satisfied by a particular product must be known. So, certain factors leading to need arousal were identified on the basis of response from the respondents. The data are presented in the table Only one factor was to be ticked by the respondents out of the listed alternatives.

Table Factor arousing need for 150 cc motorcycle
|Factors arousing need |No. of respondents |
|Possession of 150 cc motorcycle by other colleagues |14 |
|Convenience of transport |18 |
|Pickup/Speed of 150 cc motorcycle is more |54 |
|150 cc motorcycle are more elegant in appearance |34 |
|Total |120 |


ANALYSIS & INTERPRETATION: An analysis of the data reveals that as many as 45% of the respondents felt a need to buy a 150 cc motorcycle because of its speed and good pick up. As majority of the respondents were students, they like speedy vehicles. As many as 28% of the respondents felt the need to buy a 150 cc motorcycle because these were more elegant in appearance than any other two wheeler. 18% of the respondents felt the need to buy a 150 cc motorcycle for the convenience of transport. As many as 12 % of the respondents bought four-stroke scooter as it was being possessed by their colleagues. Source of information about the motorcycle Source of information effects consumer preferences to a great extent. And for the marketers, it is important to know that from where the consumers get information about their products. If a manufacturer has to launch a new brand in the market, then it becomes extremely necessary for the company to be aware of the different modes in which a consumer can be introduced to the new brand. This information can be used for targeting the products properly through the right channels. The consumers of 150 cc motorcycle were asked to respond to various options given to them and they were asked to tick only one option which influenced them the most while taking a decision to select a particular watch for purchase. The sources of information for different wrist watches are given in table

Table Source of information about the motorcycle
|SOURCE OF INFORMATION |Bajaj Pulsar |Hero Honda CBZ |TVS Apache |Honda Unicorn |Total |
|Auto Work Shops |5 |8 |2 |5 |20 |
|Magazines/Newspapers |7 |7 |8 |9 |31 |
|T.V. Advertisement |8 |6 |10 |9 |33 |
|Road Campaigns |2 |2 |8 |3 |15 |
|Word of Mouth |8 |7 |2 |4 |21 |
|Total |30 |30 |30 |30 |120 |


ANALYSIS & INTERPRETATION: Table shows that the overall major source of information has been the TV advertisements and the Print media, contributing to 28% and 26% respectively as regards to the motorcycles. Individually the major source of information for Bajaj Pulsar has been the media and the word of mouth, for CBZ/ Achiever it has been the auto workshops and word of mouth with media also contributing some share. For TVS Apache, a new entrant in this segment there has been a lot of stress on media and road campaign which are the major source of information. As for Honda Unicorn the media is only a source of information. Role of reference groups in the purchase decision of the 150 cc motorcycles Marketers have to go beyond the various influences on buyers and develop an understanding of how consumers actually make their buying decisions. Consumer decision-making process varies with the type of purchase decision. A person’s purchase decision is the result of complex interplay of several cultural, social, personal and psychological factors. One person or more than one who may be actively or passively involved in influencing the purchase decision may influence purchase of any object. For the purpose of the study the following influencers have been considered, namely friends/colleagues, family members/relatives, dealers & own choice. A company must identify these influencers for determining messages and directing promotional programmes. An attempt was made to identify the main influencers in the case of 150 cc motorcycles purchase decision. The respondents were asked to tick the main influencer, influencing their purchase decision, out of the various listed alternatives. The relevant data were collected and are presented in table

Table Role of reference groups in the purchase decision of the 150 cc motorcycles
|Family/relatives |36 |30 |
|Friends/colleagues |32 |26 |
|Self Opinion |50 |42 |
|Dealers |2 |2 |
|TOTAL |120 |100 |

[pic] ANALYSIS & INTERPRETATION: From the above table it’s clear that decision to buy a motorcycle was mostly taken by the respondent himself (42%) of his own experience. Family of the respondents also influenced the purchase decision (30) as they decided about the budget etc. friends also, influenced the purchase decision to some extent (26). Others such as dealers or mechanics were only a meager (2) who influenced the purchase decision regarding the motorcycle. Attributes of a 150 cc motorcycles affecting purchase decision Purchase decision of the consumer depends to a large extent on the attributes concerning a product. What importance a buyer gives to the different attributes in the product for arriving at the purchase decision is an important aspect of the study of the purchase behaviour. An analysis of the relative importance given to different attributes of a product, by the buyers, helps in planning for production, research and developments for product design, improvements and modifications, promoting the product, formulating and designing advertisements and strategy for image building. Certain attributes of the 150 cc motorcycles were considered and respondents were asked to give importance to these attributes on a five point likert scale ranging from +5 to +4, then to +3, further to +2 and finally to +1, for different degrees of importance, namely extremely important, important, moderately important, some what important and not important at all in that order. The related data are presented in table 4.8. Table 4.8 was constructed by taking different attributes of four stroke scooters on one side and the degrees of importance, given to these by the respondents, on the other side. Weighted mean scores for attributes were calculated by dividing the summation of weights assigned to different degrees of importance and number of respondents corresponding to each of these degrees by the total number of respondents. Ranks were given to the attributes on the basis of weighted mean scores. The ranks indicate the order of importance given to particular attribute by the respondent at the time of purchase. Table shows different factors which are considered by the respondents while purchasing a motorcycle and also shows the weighted average of each factors according to different levels of importance attached to each factors i.e. most important, important, neutral, unimportant, most unimportant.

Table Attributes of 150 cc motorcycles affecting purchase decision
|FACTORS |Most Imp (5)|Imp |Neutral |Un Imp |Most Un imp |Weightd Average |Rank |
| | | |(3) |(2) |(1) | | |
| | |(4) | | | | | |
|PICK UP |62 |34 |24 |0 |0 |4.32 |1 |
|LOOKS/ STYLE |61 |29 |17 |13 |0 |4.15 |2 |
|FUEL EFFICIENCY |55 |35 |21 |9 |0 |4.13 |3 |
|COMFORT |51 |35 |28 |6 |0 |4.09 |4 |
|PRICE |51 |33 |25 |9 |2 |4.02 |5 |
|BRAND NAME |57 |25 |22 |10 |6 |3.97 |6 |
|AFTER SALES SERVICE |33 |37 |38 |10 |2 |3.74 |7 |
|RE-SALE VALUE |31 |43 |30 |12 |4 |3.69 |8 |
|TECHNOLOGY |33 |23 |41 |15 |8 |3.48 |9 |
|DEALER NETWORK |19 |33 |35 |23 |10 |3.23 |10 |
|FINANCE FACILITY |15 |33 |37 |20 |14 |3.1 |11 |


TABLE shows that all the factors are important to the respondents to some extent as the weighted average of all the factors is more than 3. So from the table 4.8 we can divide all the factors into most important and less important categories. The most important categories are Pick Up (4.32) because the 150 cc motorcycles are high powered motorcycles and pick up is considered as one of the most important factor. Then is the styling (4.15), fuel efficiency (4.13) and riding comfort (4.09) as the person while purchasing a motorcycle considers these at the forefront. Important factors are Price (4.02), Brand name (3.97) and Resale value (3.69). Least important factors are technology (3.48), dealer network (3.23) and finance facility (3.1) because these are not taken into great consideration while purchasing a motorcycle.

4.4.3 Satisfaction from existing brands of 150 cc motorcycles on the basis of various attributes This question deals with level of satisfaction of different brands of 150 cc motorcycles according to different factors. These factors include different features related to a product. For e.g. pick up, appearance/design, comfort, mileage, after sales service, maintenance cost etc these factors are considered important by consumer while judging the satisfaction derived from the motorcycle. Different consumers have different satisfaction levels for different factors. For e.g. a consumer may be satisfied from the pick up of the motorcycle but may not be satisfied from the riding comfort etc so the study of satisfaction level has been done to find whether the customers are satisfied or not from their respective motorcycles. All the following tables are related with satisfaction level of customers onto different factors, which are present in different brands of 150 cc motorcycles, by the respondents which also shows the weighted average of each factors according to different levels of satisfaction attached to each factors i.e. highly satisfied, Satisfied, neutral, dissatisfied and highly dissatisfied. Weighted averages are calculated separately for each brand separately according to different levels of satisfaction. The comparison of the overall averages is made in the table after the weighted averages for all the selected motorcycles have been calculated on various attributes. Level of satisfaction to different attributes of Bajaj Pulsar The following table is related with satisfaction level of customers of Bajaj Pulsar onto different factors. It also shows the weighted average of each factor.
Table Level of satisfaction to different attributes of Bajaj Pulsar
|Factors |Highly Satisfied |Satisfied |Neutral |Dissatisfied |Highly Dissatisfied |Weighted Average |
| |(5) | | | |(1) | |
| | |(4) |(3) |(2) | | |
|Pick up |18 |8 |4 |0 |0 |4.46 |
|Appearance/Design |17 |7 |4 |2 |0 |4.3 |
|Comfort |17 |8 |5 |0 |0 |4.4 |
|Mileage |7 |13 |5 |4 |1 |3.7 |
|After sales service |17 |8 |3 |1 |1 |4.3 |
|Maintenance cost |18 |8 |3 |1 |0 |4.43 |


2. Level of satisfaction to different attributes of Hero Honda CBZ The following table is related with satisfaction level of customers of Hero Honda CBZ/Achiever onto different factors. It also shows the weighted average of each factor.
Table Level of satisfaction to different attributes of Hero Honda CBZ
|Factors |Highly |Satisfied |Neutral |Dissatisfied |Highly Dissatisfied |Weighted Average |
| |Satisfied | | | |(1) | |
| |(5) |(4) |(3) |(2) | | |
|Pick up |16 |9 |4 |1 |0 |4.33 |
|Appearance/Design |12 |6 |2 |7 |3 |3.56 |
|Comfort |10 |14 |5 |1 |0 |4.03 |
|Mileage |9 |6 |9 |4 |2 |3.33 |
|After sales service |13 |5 |10 |1 |1 |3.93 |
|Maintenance cost |12 |7 |9 |2 |0 |3.96 |

[pic] of satisfaction to different attributes of Honda Unicorn The following table is related with satisfaction level of customers of Honda Unicorn onto different factors. It also shows the weighted average of each factors:

Table Level of satisfaction to different attributes of Honda Unicorn
|Factors |Highly |Satisfied |Neutral |Dissatisfied |Highly Dissatisfied |Weighted Average |
| |Satisfied | | | |(1) | |
| |(5) |(4) |(3) |(2) | | |
|Pick up |11 |10 |5 |4 |0 |3.93 |
|Appearance/Design |11 |13 |4 |2 |0 |4.1 |
|Comfort |6 |15 |5 |3 |1 |3.73 |
|Mileage |7 |11 |7 |3 |2 |3.6 |
|After sales service |6 |12 |10 |2 |0 |3.73 |
|Maintenance cost |4 |14 |11 |1 |0 |3.7 |

[pic] 4. Level of satisfaction to different attributes of TVS Apache The following table is related with satisfaction level of customers of TVS Apache onto different factors. It also shows the weighted average of each factor.
Table Level of satisfaction to different attributes of TVS Apache
|Factors |Highly |Satisfied |Neutral |Dissatisfied |Highly Dissatisfied |Weighted Average |
| |Satisfied | | | |(1) | |
| |(5) |(4) |(3) |(2) | | |
|Pick up |18 |8 |2 |2 |0 |4.4 |
|Appearance/Design |20 |8 |2 |0 |0 |4.6 |
|Comfort |12 |9 |5 |4 |0 |3.9 |
|Mileage |9 |9 |11 |2 |0 |3.86 |
|After sales service |6 |16 |6 |2 |0 |3.86 |
|Maintenance cost |9 |6 |8 |6 |1 |3.53 |


Table Level of satisfaction of different motorcycles on different attributes
| | |CBZ/ACHIEVER | | |
|Pick up |4.46 |4.33 |3.93 |4.4 |
|Appearance/Design |4.3 |3.56 |4.1 |4.6 |
|Comfort |4.4 |4.03 |3.73 |3.9 |
|Mileage |3.7 |3.33 |3.6 |3.86 |
|After sales service |4.3 |3.93 |3.73 |3.86 |
|Maintenance cost |4.43 |3.96 |3.7 |3.53 |
|OVERALL AVERAGE |4.27 |3.86 |3.80 |4.03 |


ANALYSIS & INTERPRETATION: In Pick Up, Bajaj Pulsar leads among others with weighted average of 4.46 followed by 4.4 of TVS apache, 4.33 Of Hero Honda CBZ/Achiever, 3.93 of Honda unicorn. In Appearance/Design TVS apache is the best with weighted average of 4.6 followed by 4.3 of Bajaj Pulsar, 4.1 of Honda Unicorn and 3.56 of Hero Honda CBZ/Achiever. In Case of Comfort again Pulsar leads with weighted average of 4.4, followed by 4.03 of CBZ/Achiever, 3.9 of TVS Apache and Honda Unicorn Lags behind with 3.73 in this factor. In case of Mileage TVS Apache is the leader with weighted average of 3.86 followed by 3.7 of Pulsar, 3.6 of Unicorn and 3.33 of CBZ. In case of after sales service Pulsar leads again with weighted average of 4.3 followed by 3.93 of CBZ /Achiever, 3.86 of TVS Apache and 3.73 of Unicorn. In case of maintenance cost Pulsar leads with weighted average of 4.43 followed by 3.96 of Hero Honda CBZ/ Achiever, 3.70 of Honda Unicorn and 3.53 of TVS Apache. So from the above analysis it is evident that in case of pick up, comfort, after sales service and maintenance cost, Bajaj Pulsar is the leader in the satisfaction level whereas in case of appearance/design and mileage, the young gun TVS Apache has the highest satisfaction level with latest designs and aerodynamics. 6. Customer perception of future improvements in the motorcycle This question deals with the consumer perception of the future improvements in their motorcycles. The aim of this question is to know what improvements the consumers want in their respective motorcycles. The improvements desired from the 150 cc motorcycles are better fuel efficiency, better pick up, more styling and more comfort.

Table Customer perception of future improvements in the motorcycle
| | |CBZ/ACHIEVER | | |
|Better Fuel Efficiency |18 |16 |14 |17 |
|Better Pick Up |6 |13 |10 |9 |
|More Styling |7 |9 |12 |6 |
|Riding Comfort |5 |6 |5 |3 |
|Better Pricing |10 |7 |3 |6 |


ANALYSIS & INTERPRETATION: As shown in the table 13 on the overall, about 54% of the users of 150 cc motorcycles want that the fuel efficiency of their motorcycles should improve. If we analyze the data for the different motorcycles individually, it is seen that the owners of Bajaj Pulsar want the fuel efficiency to improve with better pricing in this segment, whereas the owners of Hero Honda CBZ/Achiever want a complete change in the factors. As for the owners of unicorn they want a better design, pickup and styling and the owners of TVS Apache want improvements in its fuel efficiency and pick up. From the foregoing study it is evident that the factors leading to need arousal for 150 cc motorcycles were identified as availability of better pick up and elegant appearance, as compared to the other motorcycles in different segments. The decision to purchase a particular brand of motorcycle was mostly made by the customer himself. Around 41% of the total customers made the choice themselves. The main source of information about the motorcycle has been the media, both print and electronic. The important factors considered while purchasing a motorcycle were pick up, styling and fuel efficiency. The image of Bajaj Pulsar and TVS Apache is much more consistent with the consumers that they are meeting with the requirements of latest technology. About 65% of users of 150 cc motorcycles perceive the actual performance of their vehicle to be near to the image posed by the companies about their product. The level of satisfaction onto the different factors given by respondents is that the most satisfied owners in case of pickup are the owners of Bajaj Pulsar, in case of appearance and design the most satisfied are the owners of TVS Apache, in case of comfort, after sales service and maintenance Pulsar leads the race and in case of fuel efficiency, the most satisfied are the owners of TVS Apache. Better fuel efficiency, pickup and styling are the three major future improvements desired by the consumers


1. The production of two wheelers would be increased in 2011 by near about 80 lacs. 2. The Bajaj Pulsar is more demanded by students other than business or professional peoples. 3. The family whose incomes between 2 lacs – 2.5 lacs are more interested in buying Bajaj Pulsar 4. The factor that arouses the need to buy 150 cc motorcycles is its good pickup & speed. 5. The image of Bajaj Pulsar & Hero Honda are much more consistent with the consumer & meet the requirements of latest technology. 6. The Hero Honda CBZ & Bajaj Pulsar are more demanded by under graduates. 7. The customer of Bajaj Pulsar are highly satisfied with its pickup & design. 8. The low income group people prefer TVS Apache for its better fuel efficiency.

4.6 Limitations of the Study:- Any study based on consumer survey through a pre-designed questionnaire suffers from the basic limitation of the possibility of difference between what is recorded and what is the truth, no matter how carefully the questionnaire has been designed and field investigation has been conducted. This is because the consumers may not deliberately report their true preferences and even if they want to do so, there are bound to be differences owing to problems in filters of communication process. The error has been tried to be minimized by conducting interviews personally yet there is no full proof way of obviating the possibility of error creeping in. So, the study suffers from some limitations also. As such generalizing the results, the following limitations of the study should be taken into the account.
1. As the study was to be completed in a short time, the time factor acted as a considerable limit on the scope and the extensiveness of the study.
2. The information provided by respondents may not be fully accurate due to unavoidable biases.
3. The small sample size might have affected the results of the study. The objectives and conclusions are only suggestive and not conclusive.
SUMMARY In this chapter, a brief summary and conclusions of the study have been presented, so as to understand the implications of the findings. The present research endeavored to study consumer preferences towards 150 cc motorcycles. The objectives of the research were to identify the attributes considered while purchasing the selected brands of 150 cc motorcycles and to compare selected brands of 150 cc motorcycles on basis of these attributes. The motorcycles available for the study were Bajaj Pulsar, Hero Honda Achiever/CBZ, Honda Unicorn and TVS Apache. The study was confined to Ludhiana city only. The population to be covered was the owners of selected brands of 150 cc motorcycles in Ludhiana city. The sample consisted of 30 respondents of each brand of 150 cc motorcycles and the total sample size was 120. Data were collected on the basis of a structured and undisguised questionnaire. The information collected were analyzed by using simple statistical tools such as percentages, weighted mean scores, etc. The major findings of the study are described in the next section.

5.1 Summary There is a great association between ages, occupation and education of the respondents as about 83% of the respondents are in the age group of 18-30 and are undergraduates or graduates. The factors leading to need arousal for 150 cc motorcycles were identified as availability of better pick up and elegant appearance as compared to the other motorcycles in different segments. The main source of information about the motorcycle has been the media both print and electronic. As for Bajaj Pulsar it has been its media and word of mouth and for the latest motorcycle in this segment TVS Apache it has been only the Media. The decision to purchase a particular brand of motorcycle was mostly made by the customer himself. Around 41% of the total customers made the choice themselves. The most important factor considered while purchasing a motorcycle was pick up (4.32), then came styling and fuel efficiency. The image of Bajaj Pulsar and TVS Apache is much more consistent with the consumers that they are meeting with the requirements of latest technology. Main attributes of different brands as perceived by respondents: Bajaj Pulsar (Brand Image, Performance, Technology), Hero Honda (CBZ Price, Technology), Honda Unicorn (Brand image, Price), TVS Apache (Style, Performance). About 65% of users of 150 cc motorcycles perceive the actual performance of their vehicle to be near to the image posed by the companies about their product which includes 83% of Bajaj Pulsar, 63% of Hero Honda, 60% of TVS Apache and 50% of Honda Unicorn motorcycle owners. The level of satisfaction onto the different factors given by respondents is that the most satisfied owners in case of pickup are the owners of Bajaj Pulsar, in case of appearance and design the most satisfied are the owners of TVS Apache, in case of comfort, after sales service and maintenance Pulsar leads the race and in case of fuel efficiency, the most satisfied are the owners of TVS Apache. Better fuel efficiency, pickup and styling are the three major future improvements wanted by the consumers. In case of Bajaj Pulsar consumers want more fuel efficiency and better pricing, Hero Honda needs a complete revamp of its style and pick up, unicorn needs better styling, fuel efficiency and pick up and at the last TVS Apache needs improvement in fuel efficiency.

5.2 Conclusion

Ranking of 150 cc motorcycles on the basis of survey conducted is in the following order: i. Bajaj Pulsar ii. TVS Apache iii. Hero Honda CBZ/ Achiever iv. Honda Unicorn The most satisfied owners in case of pickup are the owners of Bajaj Pulsar, in case of appearance and design the most satisfied are the owners of TVS Apache, in case of comfort, after sales service and maintenance Pulsar leads the race and in case of fuel efficiency the most satisfied owners are the owners of TVS Apache.
Q1. Which of these bikes do you own?

| |
| |
| |
| |

a. Bajaj Pulsar b. Honda Unicorn c. Hero Honda CBZ/ Achiever d. TVS Apache

Q2. What was the source of obtaining information about the bike?
| |
| |
| |
| |
| |

a. Auto Workshops/Mechanics b. Magazines/ News Papers c. T.V. Advt. d. Road Campaigns e. Word of Mouth

Q3. Who influenced you the most to purchase the bike?
| |
| |
| |
| |

a. Family b. Friends c. Self Opinion d. Dealers
Q4. Rate the following factors that influence purchase of a bike

|PRICE | | | | | |
|FUEL EFFICIENCY | | | | | |
|PICK UP | | | | | |
|LOOKS/ STYLE | | | | | |
|BRAND | | | | | |
|NAME | | | | | |
|DEALER NETWORK | | | | | |
|RE-SALE VALUE | | | | | |
|COMFORT | | | | | |
|TECHNOLOGY | | | | | |

| |
| |
| |
| |

Q5. What was the most important need of purchasing a 150 cc motorcycle?

a. Possession of 150cc motorcycle by other colleagues b. Convenience of transport c. Pickup/Speed of 150cc motorcycle is more d. 150cc motorcycle are more elegant in appearance

Q6. Rank the mentioned bikes with respect to the following factors? (Please rank them from 1 to 5 with 5 as highest and 1 as lowest)

|Factors |Pulsar |Achiever |Unicorn |Apache |
|Brand image | | | | |
|Price | | | | |
|Outlook/style | | | | |
|Technology | | | | |
|Performance | | | | |

Q7. Do you feel that the claims made in the promotional messages are truly reflected in the performance of the bike?
| |
| |
| |
| |
| |

a. Strongly Agree b. Agree c. Can’t Say d. Disagree e. Strongly Disagree

Q8. What is your level of satisfaction to the following factors as regards to your bike?
| |Highly Satisfied |Satisfied |Neutral |Dissatisfied |Highly Dissatisfied |
|Pick up | | | | | |
|Appearance/Design | | | | | |
|Comfort | | | | | |
|Mileage | | | | | |
|After sales service | | | | | |
|Maintenance cost | | | | | |

Q9. What improvements do you want in your bike or a future bike?

| |
| |
| |
| |
| |
| |

a. Better Fuel Efficiency b. Better Pick Up c. More Styling d. Riding Comfort e. Better Pricing f. Any other

Q10. Problems that you face with your bike?

Demographic characteristics

1. Name 2. Age group
| |
| |
| |
| |

Below 25 years 25-35 years 35-45 years Above 45 years

3. Occupation
| |
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Student Business Profession

4. Income
| |
| |
| |
| |

Below 150000 150000-200000 200000-250000 Above 250000

5. Education
| |
| |
| |
| |

Under-Graduate Graduate Post-graduate Professional


REFERENCES Research methodology , Kothari,C.R.
Society of Indian Automobile Manufacturers (SIAM)
Report on 2-Wheeler Sales (2009-10)…...

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...mar rket was spea arheaded by the Honda M Motor Comp pany. Its foun nder, Soichiro Honda, a v visionary inv ventor and in ndustrialist, h had been inv volved periph herally in the automotive i e industry prio to World W II. Howev Japan’s po or War ver, ostwar devast tation result ted in the downsizing of Honda’s ambitions; m d motorcycles were a mor technolog re gically mana ageable and economically affordable product for the average Japanese. R y Reflecting Ho onda’s comm mitment to a technologic cally based s strategy, the Honda Technical Resea arch Institute was e establ lished in 194 This inst 46. titute, dedica ated to impro ovements in internal com mbustion eng gines, repres sented Hond da’s opening move in the motorcycle field. In 194 Honda in e 47, ntroduced its first s A-typ 2-stroke en pe, ngine. As of 1948, Ho s onda’s Japan nese competit tion consisted of 247 Japa d anese particip pants in a lo oosely define motorcycle industry. M ed Most competit tors operated in ill-equipp job shops adapting cl d ped s, lip-on engin for bicycle A few larg manufactu nes es. ger urers endeavo ored to copy E European mo otorcycles but were t hamp pered by infer technolog and materi that resulted in unrelia rior gy ials able products. Ho onda expanded its presence in the fall of 1949, intro oducing a lightweight 50c 2-stroke, D cc, D-type motor rcycle. Honda engine at 3 hp was mo reliable......

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...3H Strategy and International Business 2001/02 Session 13 – The Rover/Honda Alliance and BMW Acquisition of Rover Group The following comments are extracted from the teaching manual that accompanies Exploring Corporate Strategy. Whilst they may not address directly the issues we covered in the classroom, they offer some interesting and relevant insights. The Rover/Honda Alliance At the heart of the alliance between the two companies was the logic of strategic fit and the way in which their strengths and weaknesses complemented each other: |ROVER |HONDA | |+ |+ | |Good styling for European tastes |Dynamic reputation in USA and japan | |Established European presence |State of the art production processes | |Wide supplier network |Total quality approach | |Wide distributor network |Solid financial position | |- |- | |Inadequate......

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...Defects Failed to be Reported by Honda Honda failed to report 1,729 incidents where the deployment of an air bag in one of its vehicles caused an injury or death. Honda blames the failure on “inadvertent” data entry and computer programming errors. Too, Honda said an independent audit of its records between 2003 and 2014 discovered and failure to provide an accurate incident reports to the National Highway Traffic Safety Administration (NHTSA). The issue at hand is the Takata air bag that NHTSA says has been installed in at least 5 million Hondas, as well as millions of vehicles made by other major auto manufacturers worldwide. Statistic reports at least five people have died and many were injured when Takata air bags sprayed them with shrapnel when they deployed during crashes. Honda, Takata’s biggest customer, has recalled 6.2 million cars with Takata air bags worldwide, and 4.1 million in humid regions of the United States. Instead of reporting all 2,873 claims of air-bag malfunctions over the 11-year period, the audit found that Honda told NHTSA only about claims that had been denied. The 1,729 it failed to report were those it paid and counted as warranty claims. One of the incidents involved a death. Takata has resisted the call for a nationwide recall, suggesting it should focus on more humid regions where replacement air bags are most needed. If the recall goes nationwide, it will be one of the largest in U.S. automotive history. Takata air bags are installed in 1...

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...distributors, Honda established a U.S. subsidiary, American Honda Motor Company and moved forward in the U.S. market by presenting very small lightweight motorcycles. Female riders were kept in mind while designing its structure, it was simple to handle and cost effective. Honda focused mainly on middle class consumers. This marketing endeavour was supported by substantial advertisement and promotional strength. Honda used its productivity-based cost advantage and R&D competency to launch new models at a price lesser than that of the competitors. The time gap between conception and production was really short. Honda was also found to have a large variety of designs that could be proposed if the market progressed. Honda had formed the biggest dealership network in the U.S. Honda dealers were higher than their competitors. Honda was prepared to undergo short term losses in order to establish a satisfactory selling and distribution network. It gave a lot of importance to market share and sales volume. Hence the maintenance and expansion of the market share played an integral role. The yearly sales target simply had to be met by the company. The sales volume had to be developed quicker as compared to that of the competitors. Honda did not target any particular market segments in the U.S., but displayed the capacity to conduct experiments, to correct errors, to re-design and hence unearth newer prospects. Honda was an originator with profound technical proficiencies.......

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...Introduction Honda Motor Company, Ltd. is a Japanese public multinational corporation primarily known as a manufacturer of automobiles and motorcycles. Honda has been the world's largest motorcycle manufacturer since 1959, as well as the world's largest manufacturer of internal combustion engines measured by volume, producing more than 14 million internal combustion engines each year. Honda surpassed Nissan in 2001 to become the second-largest Japanese automobile manufacturer. As of August 2008, Honda surpassed Chrysler as the fourth largest automobile manufacturer in the United States. Honda is the sixth largest automobile manufacturer in the world. Honda was the first Japanese automobile manufacturer to release a dedicated luxury brand, Acura, in 1986. Aside from their core automobile and motorcycle businesses, Honda also manufactures garden equipment, marine engines, personal watercraft and power generators, amongst others. Since 1986, Honda has been involved with artificial intelligence/robotics research and released their ASIMO robot in 2000. They have also ventured into aerospace with the establishment of GE Honda Aero Engines in 2004 and the Honda HA-420 HondaJet, scheduled to be released in 2011. Honda spends about 5% of its revenues into R&D. Literature Review Cars: Accord: Performance Data * Engine: 2.4L DOHC i-VTEC * Power: 178hp @ 6500rpm (Net) * Torque: 22.6 kg-m @ 4300rpm......

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...In October 1946, Soichiro Honda established the Honda Technical Research Institute in Hamamatsu, Japan, to develop and produce small 2-cycle motorbike engines. Two years later, Honda Motor Company, Ltd. was born, and in 1959 Honda opened its first storefront in Los Angeles with six industrious employees. The history of the Honda Motor Company began with an autophile and his dream. Japanese entrepreneur Soichiro Honda had loved motor vehicles almost since birth. When he was fifteen, he became part of an auto repair shop, and the passion grew. His greatest dream was to become a world-renowned car racer, and it was an ambition which he would fulfill in time. But first, the auto lover found himself employed as a technician. During his free time, he nurtured his growing interest in motor vehicles by building race cars and tooling with his Harley motorcycle. Honda possessed a natural talent for anything motorized, and his skills allowed him to open the doors of his very own repair shop in 1928. As his curiosity grew, he attended technical school in order to discover the perfect way to manufacture a piston ring. Honda combined his inborn knowledge with his new technical knowledge to take the first tentative steps toward entrepreneurial success. He utilized what he had learned about piston rings to form the Tokai Seiki Company. In 1928, he secured his first of many patents (for automobile wheel spokes). Then, as World War II ravaged Japan, Honda cornered the market on badly needed......

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Caso Honda

...mercado de la motocicleta mundo fue encabezado por el Honda Motor Company. Su fundador, Soichiro Honda, un inventor visionario y empresario, había estado involucrado periféricamente en la industria del automóvil antes de la Segunda Guerra Mundial. Sin embargo, la devastación de posguerra de Japón dio lugar a la reducción de las ambiciones de Honda; motocicletas eran un tecnológicamente más manejable y producto económicamente asequible para el japonés medio. Que refleja el compromiso de Honda con una estrategia basada en la tecnología, el Instituto de Investigación Técnica de Honda fue establecida en 1946. Este instituto, dedicado a las mejoras en los motores de combustión interna, representada movimiento de apertura de Honda en el campo de las motos. En 1947, Honda presentó su primera de tipo A, motor de 2 tiempos. A partir de 1948, la competencia japonesa Honda consistió en 247 participantes japoneses en un sector de las motocicletas vagamente definido. La mayoría de los competidores operaban en los talleres de trabajo mal equipados, adaptándose clip motores para bicicletas. Un pequeño número de grandes fabricantes trataron de copiar motocicletas europeos, pero se vieron obstaculizadas por la tecnología y los materiales que dieron lugar a productos poco fiables inferior. Honda ha ampliado su presencia en el otoño de 1949, la introducción de un 50cc de peso ligero, de 2 tiempos, de tipo D de la motocicleta. El motor de Honda en 3 CV era más fiable que la mayoría de los......

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...Vu Class: EMBA10A Subject: Human Resource Management in Honda Vietnam – Planning and Job design 1. Honda HR planning Human resource planning uses data from the analysis of labor supply and demand to forecast the shortages and surpluses of labor force. In order to build an effective human resource planning, “the organization needs to identify the appropriate goals” and “formulate and implement a planning process gathered”. A model overview the whole planning process has been developed: Figure 1: Overview of human resource planning process (De Cieri, Kramar) At Honda Vietnam (HVN), the manpower plan is often made twice per year. It is one integral part of business & HR strategy. In order to implement the business strategy, they need the skilled workforce. Together with that, the learning & development is also reported to the BOD so as to get approval for budget. “The power comes from inside”, the workforce planning will foresee the sufficient manpower to enforce the company power including the market-share & brand power stand in the automobile market which are its business strategies. “Manpower is the key driver of Honda automobile competitive advantage in automotive industry” Mr. Gan Kok Seng – the deputy general director said to the Vinh phuc Social Invalid & Labor Department in Feb 2009. Referring to the very successful case study “Human resource management in Australia of St. George Bank” Honda Vietnam actually applied same strategy; they also......

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