A

PROJECT REPORT

ON

“CUSTOMER PREFERENCES AND BUYING BEHAVIOR

AT AUTOMOBILE INDUSTRIES”

SUBMITTED IN THE PARTIAL FULFILLEMENT FOR THE AWARD

OF
DEGREE OF
BACHELOR OF BUSINESS ADMINISTRATION (BBA)
IN

MAHARSHI DAYANAND UNIVERSITY ROHTAK

ACADEMIC SESSION
2017-2018

Under guidance of: Submitted by:-

MS. NEHA ARORA DEEPANSHU DAGAR
PDM COLLEGE OF ENGG.) Roll No. : 150115029

1
 DECLARATION

I, Deepanshu, Roll No. /BBA 6th Sem of P.D.M. COLLEGE

OF ENGINEERING, BAHADURGARH. Hereby declare that the project
entitiled “CUSTOMER PREFERENCES AND BUYING BEHAVIOUR AT
AUTOMOBILE INDUSTRIES” is an original work and same has not been
submitted to any other institution for the award of any other degree. The interim
report was presented to the supervisor for the award for any other degree. The
interim report was presented to the supervisor on _________ and the
pre-submission was made on __________. The feasible suggestion as approved
by faculity have been duly incorporated in consultation with the supervisor.

Countersigned

Signature of supervisor Signature of

Candidate

Forwarded by

Director /Principal of the institute

2
 PREFACE
To know about the consumer buying behavior and factor which affect the
consumer buying decision process. As the objectives of my study is to analyze
the customer perception and the buying behaviour towards specific brands of
bike (HERO HONDA, TVS, HONDA, BAJAJ) on the basis of Price, Fuel
efficiency, Brand, Style and comfort .

Consumer buyer behavior refers to the buying behavior of final

consumers – individuals and households who buys services and goods for
personal consumption. Consumer behavior is influenced strongly by culture,
social, personal and psychological factors. Culture factors include the set of
basic values, perceptions, wants and behavior learned by a member of society
from family and other important institutions. The social factors include
consumer’s family, small group, social roles and status. The personal
characteristics such as buyer’s age, life cycle stage, occupation, economic
situations and life style influenced by four major psychological factors:
Motivation, Perception, Learning, Belief and Attitudes.

In this era of cut throat competition, no company can even survive in the
market place without knowing its products, strengths and weaknesses. It has to
fortify itself against threats from the environment and exploit its strengths or
increase profits. And in order to do so, the company has to conduct regular
surveys to know the customer’s opinions, needs, and preferences. This helps the
company to manufacture the product like wise for each customer’s
expectations.

3
 ACKNOWLEDGEMENT

The project tittle “CUSTOMER PREFERNCES AND BUYING

BEHAVIOUR AT AUTOMOBILE INDUSTRIES” will be incomplete
without paying gratitude and thanks to those who helped me to accomplished
task.
First of all I want to thanks our Head of Department, Dr. SHIKHA GUPTA
for her guidance and constant support. This project would have not been
possible without her guidance.
I am also very thankful to MS. NEHA ARORA And given me the inspiration
to work on such a vast topic and guided me though out my all work and also
given me an opportunity to work in the high quality environment.
I am also very thankful for her co-operative behaviour at every stage of the
project to meaningful and practical and for giving valuable under able guidance
project got materialized.
I shall be failing in my duties. If I do not express my gratitude to ther faculity
members, friends for their useful help at various stages last but not the least I
would almightly God for all blessing during the Project.

Signature of Candidate

4
 TABLE OF CONTENTS

 Title
 Declaration
 Acknowledgement
S.No. Particulars Page No.
1.) Introduction to the Study 1-23
2.) Objectives 24-25
3.) Literature Review 26-28
4.) Research Methodology 29-34
5.) Significance of the Study 35-36
6.) Data analyses and Interpretation 37-47
7.) Limitation of the Study 48-49
8.) Findings and Recommendation 50-52
Bibliography
Questionnaire

5
CONSUMER PREFERANCES AND
BUYING
BEHAVIOUR AT AUTOMOBILE
INDUSTRIES

6
Chapter – 1
Introduction

7
 INTRODUCTION
In this era of cut throat competition, no company can survive in the market
place without knowing its product’s strengths and weaknesses. It has to fortify
(Strengthen) itself against threats from the environment and exploit its strengths
for increasing profits. In order to do so, the company has to conduct regular
surveys to know the customer’s opinions, needs, and preferences. This helps the
company to manufacture the product according to customer’s expectations. It
has now become more important for the customer confidence and higher
positioning of buyer perception. Thus, Surveys becomes genuine key to
success.
The Bike segment is Dominated by 4 major players viz. HERO
HONDA , BAJAJ, TVS, ROYAL ENFIELD .Besides these, there are players
like – HONDA(Alone) , LML, KINETIC, SUZUKI.
The expanding Indian market, the growing size of the middle class and
the rise in aspirations of the youth along with opening up of the Indian economy
have collectively influenced the steady growth of the two wheeler market in
India. With leading foreign brands in collaborations with Indian manufacturers
entering the Indian market, the customer could not have asked for more. In fact,
the Indian bike market has grown immensely and the preference for variety
looks, design has brought in a number of models in the market. In the last 3 to 4
years, the craze for motorcycle over the scooters has picked up and one can find
today even girls crazy for a motorbike not only in the Metros but in small towns
and cities also.

Trying to catch up with these, manufacturers are busy working out on

customer profiles. With the increase in competition one can find a think of

8
discounts including: cash rebates and free accessories to push sales of the
commuter bikes. Certain changes are also visible as far as customer preferences
are concerned. The basic 100cc bike market is suddenly experiencing a slow
down in the growth. This Commuter bike was a favorite till the other day,
commanding up to 90% of the total bike sales. The shift towards 150 cc bikes is
suddenly discernable and the segment is expected to grow in near future.
Manufacturers are now rushing in to introduce bikes in this segment. Bajaj has
launched Pulsar-DTSI 150cc higher on the power ladder, Honda has come up
with Unicorn and TVS has recently launched Apache RTR and Hero Honda
has launched CBZ X-Treme.

The customer is the basic ingredient of

marketing. The development of marketing strategy is based on understanding of
consumer and there behavior. The present study attempts to understand the
behavior of consumer for their choice in purchasing two-wheeler with special
reference to bikes like Hero Honda(CBZ X-Treme) Honda(Unicorn), TVS
(Apache RTR), and Bajaj(Pulsar 150cc). But consumer behavior and the
derived consumer satisfaction cannot be intact. Now days the two wheeler
industry is growing at its fast speed. The competition is very hard and so many
choices are available to customers. Here I have tried to find out the level of
customer satisfaction regarding (CBZ, Unicorn, Apache, and Pulsar) two
wheelers and also what modification they want in their products. So the study is
all about the customer’s preference and their satisfaction with regard to bikes
coming under 150cc segment.

9
BIG PLAYERS IN THE
BIKE SEGMENT

10
Bajaj Auto Limited is one of the pioneering companies in the two wheeler
industry. Bajaj Auto has a vast network of about 1500 service centers and 500
dealers all over India. It has 3 manufacturing plants located at Akurdi, Waluj
and Chakan in Maharashtra. The company's technology partner is Kawasaki
Heavy Industries, Japan. The company exports to ASEAN region, South
America and Africa.

MILESTONES

1945 - Bajaj Auto comes into existence as M/s Bachraj Trading

Corporation Private Limited.
1948 - Sales in India commence by importing two- and three-
Wheelers.
1959 - Bajaj Auto obtains license from the Government of India to
Manufacture two- and three-wheelers.
1960 - Bajaj Auto becomes a public limited company. Bhoomi
Poojan of Akurdi Plant.
1970 - Bajaj Auto rolls out its 100,000th vehicle.
1971- The three-wheeler goods carrier is introduced.

11
1972 - The Bajaj Chetak is introduced.
1975 - BAL & Maharashtra Scooters Ltd. joint venture.
1976 - The Bajaj Super is introduced.
1977 - The Rear Engine Auto rickshaw is introduced. Bajaj Auto
Achieves production and sales of 100,000 vehicles in a
Single financial year.
1981 - The Bajaj M-50 is introduced
1984 - Foundation stone laid for the new Plant at Waluj,
Aurangabad.
1986 - The Bajaj M-80 and the Kawasaki Bajaj KB100
Motorcycles are introduced. 500,000 vehicles produced and
Sold in a single financial year.
1990 - The Bajaj Sunny is introduced
1991 - The Kawasaki Bajaj 4S Champion is introduced.
1998 - Kawasaki Bajaj Caliber rolls out of Waluj.
2001- Bajaj Auto launches its latest offering in the premium bike
Segment ‘Pulsar’. The Eliminator is launched.
2003- Pulsar DTS-i is launched.
2004 - Bajaj unveils new brand identity, new symbol, logo
and brand line
2007 - 200 cc Pulsar DTS-i launched

12
Bajaj Pulsar DTSi 150cc

Generation next technology included in the package of the equipments of this

high flying bike is the revolutionary digital biking. Digital biking is the
combination of various advanced systems like Digital Twin Spark ignition
(DTSi). Its highly masculine outlook with sporty, dashing structure gives the
complete satisfaction of dare riding. Bajaj Pulsar enables its rider to tackle the
situation of overcrowded street due to the presence of 17" alloy wheels with
1330 mm wheelbase. Its comfort statement includes front telescopic suspension,
Nitro X - Nitrogen assisted rear gas shockers with triple rated spring. Due to
these comfort features, this bike is highly accommodative in any terrain.
Feeling of proper riding is provided by different high end
features like improved clutch, cylinder head with Roller Rocker Arms,
optimized intake and exhaust systems & new valve timings. Its advanced
Exhaust TEC (Torque Expansion Chamber) technology ensures the higher
performance at lower rpm.

13
TVS Motor Company is part of Sundaram Clayton group in TVS group of
companies. TVS Motor Company is the main flag ship company of Sundaram
Clayton group. TVS Motors is the third largest two-wheeler manufacturer in
Indian and ranks among the top ten globally. It is the first company in the world
to be honored with the Deming Prize for Total Quality Management. The
Company was the first in India to launch 2-seater 50cc moped and 100 cc Indo-
Japanese Motorcycles. At Present TVS Apache, TVS Victor, TVS Scooty, TVS
Centra and TVS Fiero are the popular bikes in Indian Market.

14
 MILESTONES
 India’s first 2 seater 50cc Moped TVS 50, launched in Aug 1980.
 In 1982 SCL established Joint Venture with Suzuki Motor
Corporation.
 In 1994 the company entered the market segment of scooters with
introduction of Scooty 2S, which was totally an indigenous design.
 Introduced India's first catalytic converter enabled motorcycle, the 110cc
Shogun in Dec 1996.
 Launched India's first 5-speed motorcycle, the Shaolin in Oct 1997.
 Launched TVS Victor, 4-stroke 110 cc motorcycles, in August 2001;
India’s first fully indigenously designed and manufactured motorcycle.
 In 2000 the first 4 stroke motorcycle was launched called Fiero
 Launched TVS Star in Sept 2004, a 100 cc motorcycle which is ideal for
rough terrain
 Launched TVS Apache in Nov 2005. It finally went on to be the Bike of
the Year for 2006, winning 6 prestigious awards

15
TVS Apache(RTR)

TVS Apache with its shapely streamlined tank and engine design is really
an eye -stopper. Its smooth and flawless finish makes this bike desirable to
the market. Its tough but light 6 spoke black alloy wheels are really
supportive for better control and excellent riding of this two wheeler. Its
uniquely designed head lamp has become one of the best head turner in the
market of two wheelers.
Its 240 mm disc brake is helpful in stopping one in any sudden
situation to avoid accident. Its all gear start and low friction engine with
RCF technology are the key factor of better efficiency of this bike. It is
further equipped with various upgraded technology like monotube inverted
gas filled shocks, IDI lean burn, iE surge (intake and exhaust resonator),
synchro stiff chassis etc. for the proper safety and security of the persons
seating on the bike.

16
Its symbol, the Wings, represents the company's unwavering dedication in
achieving goals that are unique and above all, conforming to international
norms. These wings are now in India as Honda Motorcycle & Scooter India
Pvt. Ltd. (HMSI), a wholly owned subsidiary of Honda Motor Company
Ltd., Japan. In September 2004, Honda Motorcycle and Scooters India
Limited (HMSI), the wholly owned subsidiary of the Japan-based Honda
Motor Company Limited (HMCL), launched its first 150cc motorcycle
named 'Unicorn.' Priced at Rs. 50,043 (ex-showroom price, Delhi), Unicorn
had a four stroke 13.3 bhp engine with five gears. The new bike was
available in five colours and was designed to achieve a speed of 0 to 60
kmph in five seconds. Unicorn was promoted with the caption "Be a wing
rider." (Refer Exhibit I for a visual of Unicorn). Targeted at youth, Unicorn
looked sportier than all the existing motorcycles in the premium segment
and was pitted against Bajaj Pulsar, the leader with 75 percent market share
in that segment.

17
Honda Unicorn

This bike with powerful 4 stroke 150 cc engine delivering output of 13.3 bhp
engine clubbed with many other high end equipments like Constant Volume
(CV) Carburetor, pulse exhaust system, offset crank and 2 way air jacket. Its
multi mapping CDI, roller rocker arm, 5 speed gears, tumble free
combustion etc. determine the performance as well as its aesthetic value. Its
aerodynamic body lining, sporty and sleek design, appealing tail lamp
and excellent body graphics etc are enhancing its style statement day by day.
Unique shock absorbing mono suspension prevents discomfort due to the
sudden jerk caused by uneven road. Its flexible seating arrangement, ample
foot space gives the total comfort of journey. Fully equipped with various
cutting edge technologies, this bike comes with hole plugging mechanism,
tuff up tube, easy primary kick etc.

18
 HERO HONDA
FILL IT. SHUT IT. FORGET IT

The joint venture between India's Hero Group and Honda Motor Company,
Japan has not only created the world's single largest two wheeler company but
also one of the most successful joint ventures worldwide.

During the 80s, Hero Honda became the first company in India to prove that it
was possible to drive a vehicle without polluting the roads. The company
introduced new generation motorcycles that set industry benchmarks for fuel
thrift and low emission. A legendary 'Fill it - Shut it - Forget it' campaign
captured the imagination of commuters across India, and Hero Honda sold
millions of bikes purely on the commitment of increased mileage

Over 19 million Hero Honda two wheelers tread Indian roads today. These are
almost as many as the number of people in Finland, Ireland and Sweden put
together!

Hero Honda bikes currently roll out from two globally benchmarked
manufacturing facilities based at Dharuhera and Gurgaon in Haryana. These
plants together are capable of churning out 3.9 million bikes per year. A third
state of the art manufacturing facility at Hardwar in Uttranchal will soon be
commissioned to cope with sustained customer demand.

Hero Honda's extensive sales and service network now spans over 3000
customer touch points. These comprise a mix of dealerships, service and spare

19
points, spare parts stockists and authorized representatives of dealers located
across different geographies.

Having reached an unassailable pole position in the Indian two wheeler market,
Hero Honda is constantly working towards consolidating it’s its position in the
market place. The company believes that changing demographic profile of
India, increasing urbanization and the empowerment of rural India will add
millions of new families to the economic mainstream. This would provide the
growth ballast that would sustain Hero Honda in the years to come. As
Brijmohan Lall Munjal, the Chairman, Hero Honda Motors succinctly points
out, "We pioneered India’s motorcycle industry, and it's our responsibility
now to take the industry to the next level. We'll do all it takes to reach
there.''

20
 MILESTONES OF HERO HONDA

Year Event
1983 Joint Collaboration Agreement with Honda Motor Co., Ltd., Japan signed

Shareholders Agreement signed

1984 Hero Honda Motors Ltd. incorporated
1985 First motorcycle "CD 100" rolled out
1987 100,000th motorcycle produced
1989 New motorcycle model - "Sleek" introduced
1991 New motorcycle model - "CD 100 SS" introduced

500,000th motorcycle produced

1992 Raman Munjal Vidya Mandir inaugurated - A School in the memory of
founder Managing Director, Mr. Raman Kant Munjal
1994 New motorcycle model - "Splendor" introduced

1,000,000th motorcycle produced

1997 New motorcycle model - "Street" introduced

Hero Honda's 2nd manufacturing plant at Gurgaon inaugurated

1998 2,000,000th motorcycle produced
1999 New motorcycle model - "CBZ" introduced

Environment Management System of Dharuhera Plant certified with ISO-

14001 by DNV Holland

Raman Munjal Memorial Hospital inaugurated - A Hospital in the memory

21
 of founder Managing Director, Mr. Raman Kant Munjal
2000 4,000,000th motorcycle produced

Environment Management System of Gurgaon Plant certified ISO-14001 by

DNV Holland

Splendor declared 'World No. 1' - largest selling single two-wheeler model

"Hero Honda Passport Programme" - CRM Programme launched

2001 New motorcycle model - "Passion" introduced

One million production in one single year

New motorcycle model - "Joy" introduced

5,000,000th motorcycle produced

2002 New motorcycle model - "Dawn" introduced

New motorcycle model - "Ambition" introduced

Appointed Virender Sehwag, Mohammad Kaif, Yuvraj Singh, Harbhajan

Singh and Zaheer Khan as Brand Ambassadors
2003 Becomes the first Indian Company to cross the cumulative 7 million sales
mark

Splendor has emerged as the World's largest selling model for the third
calendar year in a row (2000, 2001, 2002)

New motorcycle model - "CD Dawn" introduced

New motorcycle model - "Splendor +" introduced

New motorcycle model - "Passion Plus" introduced

New motorcycle model - "Karizma" introduced

2004 New motorcycle model - "Ambition 135" introduced

Hero Honda became the World No. 1 Company for the third consecutive

22
 year.

Crossed sales of over 2 million units in a single year, a global record.

Splendor - World's largest selling motorcycle crossed the 5 million mark

New motorcycle model - "CBZ*" introduced

Joint Technical Agreement renewed

Total sales crossed a record of 10 million motorcycles

2005 Hero Honda is the World No. 1 for the 4th year in a row

New motorcycle model - "Super Splendor" introduced

New motorcycle model - "CD Deluxe" introduced

New motorcycle model - "Glamour" introduced

New motorcycle model - "Achiever" introduced

First Scooter model from Hero Honda - "Pleasure" introduced

2006 Hero Honda is the World No. 1 for the 5th year in a row

23
HERO HONDA CBZ
X-TREME
Live Extreme

World's biggest two wheeler maker Hero Honda Motors Ltd. has launched
CBZ X-treme in the 150 cc segment. Facing tough competition from its key
rivals Bajaj Auto and TVS Motors, the Hero Honda company has unveiled this
model in the new avatar of CBZ. The CBZ launched in 1999 was a very popular
and stylish bike. The all new CBZ X-treme model has been developed with the
efforts of the R&D team of Hero Honda. CBZ X-treme powered by 150 cc
engine that generates 14 ps of power @ 8500 rpm, this makes CBZ X-treme the
most powerful bike in this segment.

The powerful CBZ X-treme is equipped with loads of features. Diamond-frame

type tubular chassis, box-section swing arm, adequate ground clearance of 145

24
mm with stepped up pillion seat and split grab rail provides the extreme driving
pleasure for rider and the pillion rider. This new offering from Hero Honda
comes with disc brake and 5 spoke alloy wheel as standard fitment.

Launched in two variants with kick-start and self-start option, CBZ X-treme is
up for sale with a ex-showroom price tag of Rs. 54,000-56,000.

"We expect to capture the top position in the premium segment with the new
bike. We are also working on another bike in the premium segment.''
CBZ has remained a icon in the market and we expect to regain the same
position enjoyed earlier. It is the fastest bike in class and comes with a three
year warranty. We have added many features like a LED tail light, split rear
seats and a pilot lamp, which are industry first in India."

25
 CONSUMER BEHAVIOUR

Before getting into details of Consumer Behaviour, one must go through certain
basic terminologies. In general terms both ‘Consumer’ and ‘Customer’ are
considered the same but they are quite different.
The term ‘Customer’ is some what different from the term ‘consumer’. The
term customer is used to refer to someone who purchases goods and services
from a particular store or company. Thus a customer is defined in terms of a
specific term while a consumer is not
‘Consumer’ may be referred to any one engaged in evaluating, acquiring,
using or disposing of goods and services which he expects will satisfy his
needs.
So ultimately Consumers are that individual who consumes or uses a
product, which may or may not be purchased by him.
So after getting into these terms we need to get into the details of “Consumer
Behaviour”.
Consumer Behaviour – Consumer behaviour refers to how a consumer
behaves or acts or reacts in making a purchase of goods and services of his
choice in different situations

The term consumer Behaviour can be defined as, “The behaviour that
consumers display in searching for purchasing, using, evaluating and

26
disposing of products, services and ideas which they expect will satisfy
their needs.”
Leon G. Schiff man and Leslie Lazar Kanuk.

The study of consumer behaviour not only focuses on how and why consumers
make buying decisions, but also focuses on the uses which consumers make of
the goods they buy and their evaluation of these goods after use. If the goods
after use don’t satisfy the consumers, they my feel dissatisfied perhaps because
post- purchase services are not up to their satisfaction, and thus, this may
influence their purchase of the goods and it may also influence the buying
decision of many others who might come in contact with them.

The detailed study of Consumer Behaviour or Consumer Preferences

focuses on-
 Who Buys products or services?
 How do they buy products or services?
 Where do they buy them?
 How often do they buy them?
 When do they buy them?
 Why do they buy them?
 How often do they use them?
These questions will help in understanding the factors that influence the
decision making process of the consumers. The buyer’s decision making
process includes the following:-
1. Problem recognition
2. Information search

27
3. Evaluation of alternatives
4. Purchase decision
5. Post purchase behavior
1. Problem recognition: - First and the foremost step is to identify the
problem i.e. what actually one wants with regard to the product.

2. Information Search: - Second step is to search the relevant information

regarding the Product which one wants.

3. Evaluation of alternatives: - Third step is to evaluate the collected

information i.e. analyze the information.

4. Purchase decision: - In forth step the product is actually purchased.

5. Post purchase behaviour: - In fifth step the consumer actually reacts

against the quality, quantity etc received after the purchasing the product
i.e. in this stage he reacts on the basis of his getting satisfied after the
purchase of the product.

The buyer’s decisions include the following:-

 Product choice
 Brand choice
 Dealer choice
 Purchase timing
 Purchase amount.

28
Consumer perception
How do Buyers form their preference? Their preferences are influenced
by their past buying experience, friend’s and associate’s advice, and the
marketer’s and competitor’s information and promises. Though customer
preference is a very qualitative term and it is very difficult to measure. In this
study an effort has been made to measure the customer preference level.

Customer Satisfaction

“Satisfaction is a person’s feelings of pleasure or disappointment

resulting from comparing a product’s perceived performance in relation to his
or her expectation”

As the definition makes it clear, satisfaction is a function of perceived

performance and expectations. If the performance falls short of the expectations
of the customer, the customer is dissatisfied. If the performance exceeds the
expectations, the customer is highly satisfied or delighted.

Many companies are aiming for high satisfaction because customers who
are just satisfied still find it easy to switch, when a better offer comes along.
Those who are highly satisfied are much less ready to switch. High satisfaction
or delight creates an emotional affinity with the brain, not just a rational
preference. The result is high customer loyalty.

29
In this highly competitive world customers plays a very important role. Thus, if
a company wants to survive then it should look forward to the determinants of
customer satisfaction.

Chapter – 2
Objectives of study

30
 OBJECTIVES OF THE STUDY

The clear purpose or objective of the research enables the researcher to collect –
necessary relevant information. The objective of the research is to know the
Customer preferences and buying behaviour with regard to specific brands
of bikes (HERO HONDA, TVS, HONDA and BAJAJ) under 150cc
category on the basis of Price, Fuel efficiency, Brand name, Style and
comfort..
.
 To Find out the quantum of customer satisfaction with respect to 150cc
bikes.
 To Determine the influence of reference group in the purchase decision
of college going students.
 To Find out the ways for improving of the services to attain level of
customer satisfaction

31
Chapter -3
Literature Review

32
 LITERATURE REVIEW

Once the problem is formulated, the researcher has to undertake an extensive

literature survey related to problem. The literature survey undertaken here
includes books and different websites from the internet.
The research project was to know the Customer preferences and
buying behaviour with regard to specific brands of bikes (HERO HONDA,
TVS, HONDA and BAJAJ) under 150cc category on the basis of Price, Fuel
efficiency, Brand name, Style and comfort
.
 Schiffman. G. Leon and kanuk lazare Leslie 1 - Study of the customer
behaviour is the study of how individuals make decisions to spend their
available resources (Time, Money and Efforts) on consumption related
items. It includes the study what they buy, whey they buy it, when they
buy it, where they buy it, how often they buy it and how often they use it.
The primary purpose for the study consumer behaviour as apart of
marketing curriculum is to understand how and how customers make
their purchase decisions. There insights enable marketers to design more
effective marketing strategies.

 Gupta.C .B and Dr. Nair. N.Rajan 2

- A business is based on
understanding the customer and providing the kind of products that the
customer wants.

33
 Mamoria C.B. and Mamoria Satish 3
- Consumer behaviour is the
process where by individuals decide what, when, where, how and from
whom to purchase goods and services. Buying behaviour may be viewed
as an orderly process here by individual interacts with his environment
for the purpose of making market decision on products and services.

 Nair Suja. R.4 - The success of the firm will be determined by how
effective it has been in meeting the diverse customer needs and wants by
treating each customer as unique and offering products and services to
suit his/her needs.

 Bennett Peter.D. And Kassarjian Haroldh 5 - A great deal of research

activity in marketing is design to shed light on the customer decision
process.

 Kothari C.R.6 For data analysis different statistical techniques are being
used such as scaling techniques, correlation, hypothesis testing.

34
Chapter -4
Research Methodology

35
 RESEARCH METHODOLOGY

Research Methodology is a way to systematically solve the research problem,

which is a science of study how research is done scientifically. Thus research
methodology encompasses the research methods or techniques; the research is
capable of being evaluated either by the researcher himself or by others.
 SAMPLING:
Sampling may be defined as the selection of some parts of an agreement
or totality for the purpose of study. All the items in any field of inquiry
constitute a universe or population, a complete enumeration of all the
items in the population is known as Census inquiry. But when the field of
inquiry is large this method becomes difficult to adopt because of the
limited no. of resources involved in the case sample survey method is
chosen under which units are selected in such a way that they represent
the entire universe.

SAMPLING DESIGN:
 CENSUS METHOD: -
All the items in any field of inquiry constitute a ‘Universe’ or
‘Population’. A complete enumeration of all the items in the ‘Population’
is known as a Census inquiry. It can be presumed that in such an inquiry,
when all items are covered, no element of chance is left and highest
accuracy is obtained. But in practical it is not true in all cases. This type
of inquiry involves a great deal of time, money and energy. Therefore,
when the field of inquiry is large, this method becomes difficult to adopt
because of the resources involved.

36
 SAMPLING METHOD:-

When field studies are undertaken in practical life, consideration of

time and cost almost invariably lead to a selection of respondents i.e.
selection of only few items. The respondent selected should be as
representative of total population. These respondents constitute what is
technically called a ‘Sample’ and the selection process is called
‘Sampling Technique’. The survey so conducted is known as ‘Sample
Survey’.

IMPLEMENTATION OF SAMPLE DESIGN: -

A sample design is a definite plan for obtaining a sample from a

given population. It refers to the technique or the procedure the
researcher would adopt in selecting items for the sample. Sampling
design may as well lay down the number of items to be included in the
sample i.e. the size of sample. Sample design is determined before the
data are colleted.

 Steps In Sampling Design :- While developing a research design

following items are taken into consideration:-

I. Type of universe: - First and the foremost step is to clearly

define the universe to be studied. As I have taken the area of
Kurukshetra City (Haryana), so for me here the universe is
Kurukshetra. No doubt it is a finite universe but the area is very
big and can’t be covered easily due to shortage of time.
37
II. Sampling unit: - A decision has to be taken concerning a
sampling unit before selecting sample. Here my sample unit
includes individuals who own bikes.

III. Size of sample: - This refers to the number of items to be

selected from the universe to constitute a sample. Here I have
taken the sample of 200 respondents who have bikes.

IV. Parameters of interest: - In determining the sample design,

one must consider the question of the specific population
parameters which are of interest. Here I had taken only those
respondents who own their bike.

V. Sampling procedure: - Finally the technique of selecting the

sample is to be dealt with. That means through which method
the sample has been collected. There are various types of
selecting the sample. This includes probability sampling,
random sampling, stratified sampling, cluster sampling,
convenience sampling. Here I have used the Simple random
sampling method for data collection,

38
 DATA COLLECTION

The task of data collection begins after the research program has been
defined and research design plan has been checked out. The data collected is
important part of research.

DATA COLLECTION METHOD

In the data collection method different methods are adopted for primary data
collection and secondary data collection.

 PRIMARY DATA COLLECTION

Primary data is the data which is collected through observation or
direct communication with the respondent in one form or another. These
are several methods for primary data collection like Observation method,
Interview method, through schedule, through questionnaires and so on.
But as time was limited so, the relevant data was collected from the
selected units by adopting and arranging personal interview with the
shopkeeper and dealer along with a pre structured questionnaire. In this
method I thank the views of shopkeepers and dealer through the use of
questionnaire and general interview.

 SECONDARY DATA COLLECTION

The company’s past database is taken into reference along With
company brochures.

39
DATA COLLECTION INSTRUMENTS

The data collection instruments used in the study is mentioned below:-

o QUESTIONNAIRE

The method of data collection is quite popular. I prepared a

questionnaire after knowing the different objectives of the study and
considering all the things that are required for studying the dissertation
topic.

40
 Chapter - 5
Significance of Study

41
 SIGNIFICANCE OF THE STUDY

 To know about the customer preference and decision process with regard

to 150cc bike.

 To know the Basic consumer buying behaviour and the reasons because

of which they switch from one company to another.

 To know about the company’s details (profile, Products)

 This study would help in revealing the type and specific qualities of the

bikes offered by the company to their consumers.

 To study the satisfaction level of consumers who uses bikes.

 To study the factors influencing consumers to buy 150cc bikes.

 To study effect of advertisement on the purchasing decision of the

consumers

42
Chapter – 6
Data Analyses

43
 DATA ANALYSES:-

Results and Discussions

Table 1

Are your aware about 150 cc bike brands available in the market?

Are your aware about 150 cc bike No. of respondents

brands available in the market?
Fully Aware 93
Aware 76
Less aware 31

Table 1 shows that 46.5% of respondents are fully aware about 150 cc bikes in
market, 38% of respondents just aware about 150 cc bikes and only 15.5% of
respondents are have little bit knowledge about 150cc.

44
 Are your aware about 150 cc bike brands
available in the market ?

93
No. of resp o nd en ts 100
76
80

60

40 31

20

0
Fully Aware Aware Less aware

45
 Table 2
How do you come to know about this brand/model of 150 cc bike?

How do you come to know about this No. of respondents

brand/model of 150cc bike?

Friends 45
Advertisement 87
Publicity 10
Family members 47
Any other 11

Table 2 shows that 22.5% of respondents came to know about brand of bikes
from friends, 43.5% of respondents came to know about brand of bikes from
advertisement, 5% of respondents came to know about brand of bikes from
publicity, 23.5% of respondents came to know about brand of bikes from family
members and 5.5% of respondents came to know about brand of bikes from
other sources.

How do you come to know about this brand/model of 150 CC bike

?

87
90
80
No . o f resp o n d en ts

70
60
45 47
50
40
30
20 10 11
10
0
Friends Advertisem ent Publicity Family Any other
m em bers

Fig. 2

46
 Table 3

Which factor influence you more to purchase a bike?

Which factor influence you more to No. of respondents

purchase a bike?

Brand image 53
Fuel efficiency 81
Price 27
Comfort 17
Style 25

Table 3 shows that 26.5% respondents are influenced to purchase a bike from
its brand image, 40.5% respondents are influenced to purchase a bike from its
Fuel efficiency, 13.5% respondents are influenced to purchase a bike from its
lesser Price, 8.5% respondents are influenced to purchase a bike from its
Comfort, 12.5% respondents are influenced to purchase a bike from its Style.

Which factor influence you more to purchase a bike ?

100
81
No. of respondents

80

60 53

40 27 25
17
20

0
Brand image Fuel efficiency Price Comfort Syle

Fig. 3
47
 Table 4

Are you satisfied with its overall performance?

Are you satisfied with its overall No. of respondents

performance?

Fully Satisfied 41
Satisfied 104
Moderate 42
Less satisfied 10
Poor 3

Table 4 shows that 20.5% of respondents are fully satisfied with the
performance of their bikes, 52% of respondents are satisfied with the
performance of their bike, 21% of respondents are moderate in satisfaction with
the performance of their bikes and 1.5% of respondents are poorly satisfied with
the performance of their bike.

Are you satisfied with its overall performance?

120
104
100
No. of respondents

80

60
41 42
40

20 10
3
0
Fully Satisfied Moderate Less satisfied Poor
Satisfied

Fig. 4

48
 Table 5

According to you which company gives the most benefit to customers?

According to you which company gives No. of respondents

the most benefit to customers?

Honda 40
Bajaj 60
TVS 25
HERO HONDA 75

Table 5 shows that 20% of respondents are saying that the Honda is providing
more benefits of the services to the customers, 30% of respondents are saying
that the Bajaj is providing more benefits of the services to the customers and
12.5%of respondents are saying that the TVS is providing more benefits of the
services to the customers and 37.5% said that Hero Honda provides best
benefits..

80 75
60
60
HONDA
40 BAJAJ
40
25 TVS
20 HERO HONDA

0
1

Fig. 5

49
 Table 6

Which type of media influence your purchase behaviour?

Which type of media influence your No. of respondents

purchase behaviour?

T.V. 114
Newspaper 33
Wall painting 5
Hording 12
Magazine 36

Table 6 shows that 57% of respondents and influence to purchase their bike
through T.V., 16.5% of respondents and influence to purchase their bike
through Newspaper, 2.5% of respondents and influence to purchase their bike
through Wall painting, 6% of respondents and influence to purchase their bike
through Hording and 18% of respondents and influence to purchase their bike
through Magazine.

50
 Which type of media influence your purchase
behaviour ?
120 114
No . o f resp o n d en ts

100

80

60
33 36
40

20 12
5
0
T.V. New spaper Wall painting Hording Magazine

Fig. 6
Table 7

Who influenced you more in your buying decision of bike?

Who influenced you more in your buying No. of respondents

decision of bike?

Self 30
Family Member 54
Friends/Relative 98
Mechanics 18

Table 7 shows that 15% of respondents have influence their buying decision
from their self decision, 27% of respondents have influence their buying
decision from their family members, 49% of respondents have influence their

51
buying decision from their friends/relative and 9% of respondents have
influence their buying decision from their Mechanics,

Who influenced you more in your buying decision of

bike ?

98
100
No. of respondents

80
54
60

40 30
18
20

0
Self Fam ily Mem ber Friends/Relative Mechanics

Fig. 7

52
 Table 8

In your opinion, what role advertisement plays?

In your opinion, what role advertisement No. of respondents

plays?

Provides important details 65

Creates awareness 125
Misleading 10

Table 8 shows that 32.5% of respondents are in favor that advertisement

provides important details, 62.5% of respondents are in favor that advertisement
creates awareness and 5% of respondents are in favor that advertisement
Misleading.

In your opinion, what role advertisement plays ?

140 125
120
No. of respondents

100
80 65
60
40
20 10
0
Provides Creates Misleading
important details awareness

Fig. 8

53
 Table 9

Which of the following model/brand of 150cc motorcycle you like the most
–?

Which of the following model/brand of No. of respondents

150cc motorcycle you like the most?
HERO HONDA (CBZ-Extreme) 55
BAJAJ (Pulsar-150 DTSI) 65
HONDA (Unicorn) 30
TVS (Apache-RTR) 50

Table 9 shows that 27.5% of respondents are in favor that they like CBZ
Extreme, 32.5% like Bajaj Pulsar, 15% like Honda Unicorn and 25%
respondents like TVS Apache.

Which of the following bike of 150cc you like most?

70
60
50

No of 40
65
respondents 30 55 50
20 30
10
0
CBZ PULSAR UNICORN APACHE

Fig. 9

54
Chapter – 7
Limitation of Study

55
 LIMITATION OF THE STUDY

Various hindrances occurred while carrying out the research. They have
acted as limitation of the study and a few of them are:-

1. Short time period: The time period for carrying out the research was
short as a result of which many facts have been left unexplored.
2. Small area for research: The area for study was Kurukshetra which
is quite a small area to judge out the consumer preferences for the
various brands of television.

3. Lack of resources: Lack of time and other resources as it was not

possible to conduct survey at large level.

4. Small no. of respondents: Only 200 respondents have been chosen

which is a small number, to represent whole of the population of
Respondents of Kurukshetra.
5. Unwillingness of respondents: While collection of the data many
consumers were unwilling to fill the questionnaire. Respondents were
having a feeling of wastage of time for them.
6. Confinement of Price: - Price of the bikes is confined only to a
particular period. So the respondents were not able to fill in proper
price of their bikes.

56
 Chapter – 8
Findings & Recommendation

57
 FINDINGS

Findings refers to the outcome of the research work done, the research reveals a
number of facts…..
1) The survey reveals that 50% respondents have knowledge about 150cc
bike segment.
2) Research shows that most of the customers came to know about various
models of Bikes through advertisement (45%) and (25%) through friends.
3) Research shows that first fuel efficiency and then brand image influence
customers most to purchase a bike.
4) More than 50% respondents are satisfied with their bike and 22%
respondents are fully satisfied.
5) Hero Honda has the highest Brand image among respondents.
6) Survey also shows that TV influences the most the purchase behaviour of
respondents among various available media.
7) Friends and relatives have the highest influence on decision making of
respondents.
8) Bajaj pulsar is the most preferred bike among respondents.
9) Survey also shows that advertisement creates awareness among
people.70% respondents are agree with this statement.
10) Survey shows that Hero Honda becomes market leader in
providing best services to customers.

58
 Recommendation

Recommendation refers to the outcome of the research work done and the
suggestions for implementation i.e. findings.
1. It is suggested that manufacturer should make all efforts to control cost.
2. New technology should be applied according to the requirement of the
customer.
3. Provide various schemes which can attract the new customers.
4. Spare parts of the bikes should be easily available in the market.
5. TVS and unicorn should give emphasis on R & D, to make most fuel
efficient Bikes..
6. Bike should be available in different colours so as to attract college going
students.
7. Manufacturer should make the bikes according to aerodynamic design
and provide them the sporty look.
8. Company should invest a lot of money on advertisement to attract the
customers.
9. Company’s marketing strategy should enhance the brand image of
company.

59
Bibliography

60
 BIBLIOGRAPHY

1. Schiffman Leon G. and Kanuk Leslie Lazar Consumer Behaviour

6th edition Published by: Prentice-hall of India Private Limited. ( page no.
2&6)
2. Gupta C.B. and Dr. Nair N. Rajan Marketing Management 5 th
edition Published by: Sultan chand & sons (page no. 1.69)
3. Mamoria C.B. and Mamoria Satish Marketing Management 4th
edition Published by: Kitab Mahal (page no. 161)
4. Nair Suja R. Consumer Behaviour Indian prospective I st edition
Published by: Himalaya Publicating Home ( page no. 3)
5. Bennett Peter D. and Kassarjian Harold Consumer Behaviour 8 th
edition Published by: Prentice-hall of India Private Limited.(page no. 5)
6. Kothari C.R Research Methodology Methods & Techniques 2nd
edition Published by: Wishwa Publication (page no. 151, 94-95)

61
Questionnaire

62
 Questionnaire
Dear reader,

The questionnaire, which you are going to fill, is purely an academic effort to
find out Customer preferences and buying behaviour with regard to specific brands
of bikes (HERO HONDA, TVS, HONDA and BAJAJ) under 150cc category on the
basis of Price, Fuel efficiency, Brand name, Style and comfort and it is assured that
confidentiality of the information provided by respondents will be maintained.
Name:
Address:
Contact number:
Age (tick √ the relevant bracket):

(15-20 years) (21-25years) (26-35years) (36-45years)

Location of Residence:

URBAN SEMI URBAN RURAL

INCOME LEVEL* (please mention per month income in rupees) (If applicable)*

5000-10000 10000-15000 15000-20000 20000-25000 above 25000

Educational level:
Below Matriculation Graduation Post Professional
matriculation graduation. qualification
.

1. Which Brand of bike you own?

Hero Honda Bajaj Honda Tvs

63
1. What is the price of your bike?
30,000-35,000 35,000-40,000 40,000-50,000 50,000 & above

2. How long do you own this Bike?

a.) Less than six month b.) One year
c.) Six month d.)Two year
e.) More than 2 years

3. How fuel efficient your bike is? (Milege/litre)

40-50 50-60 60-70 70-80

4. What is the top speed (km/hs) of your bike?

100-120 120-140 140-160 160-180

5. Are you aware about the 150cc bike brands available in the market?
 Fully aware
 Aware
 Less aware

6. Which of the following model/brand of 150cc motorcycle you like the most –
1 2 3 4
 HONDA (Unicorn) -- -- -- --
 BAJAJ (Pulsar 150cc) -- -- -- --
 TVS (Apache) -- -- -- --
 Hero Honda (CBZ Extreme) -- -- -- --
7. How did you came to know about this brand /model of 150cc bike –
Through friends Family members
Advertisement Any other
Publicity
8. Which factor influence you more to purchase the bike –

64
  Brand image Price STYLE
 Fuel efficiency Comfort
9. How do you grade the following qualities-
 Safety Fuel efficency
 Comfort Style
 performance
10. Why did you prefer
11. this model /bike?
1 2 3 4
 Price -- -- -- --
 Mileage -- -- -- --
 After sales -- -- -- --
Service
 Power -- -- -- --
12. Are you satisfied with its overall performance?
 Fully satisfied Average
 Satisfied Less satisfied
 Poor
13. According to you which company gives the most benefits to customers?
 HONDA TVS
 BAJAJ Hero Honda
14 .Which type of media influences your purchase behavior?
 T.V Wall painting
 Newspaper Hording
 Magazine
15. Who influenced you more in your buying decision of bike?
 Self Friends
 Family member Mechanics
16. In your opinion, what role advertisement plays?
 Provides Important details

65
 Creates awareness
 Misleading

66