"A STUDY ON CONSUMER AWARENESS AND

EXPECTATION TOWARDS SERVICES PROVIDED AT

VOLKSWAGEN, PATHANAMTHITTA"
Mini Project submitted in partial fulfilment of the requirements for the award of the Degree
of

MASTER OF BUSINESS ADMINISTRATION

Of

BENGALURU NORTH UNIVERSITY

SUBMITTED BY

PRATHEEKSHA PUSHPAKARAN

3rd Semester MBA

REG.NO: MB201522

Under the guidance of

Prof. H. RAVILOCHANAN

SJES COLLEGE OF MANAGEMENT STUDIES

MEDAHALLI, BENGALURU - 49
Bengaluru North University

2020-2022
 DECLARATION

1 hereby declare that "A STUDY ON CONSUMER AWARENESS AND

EXPECTATION TOWARDS SERVICES PROVIDED AT VOLKSWAGEN ,
PATHANAMTHITTA" is the result of the project work carried out by me under the
guidance of Prof. H. RAVILOCHANAN in partial fulfilment for the award of Master's
Degree in Business Administration by Bengaluru North University.

I also declare that this project is the outcome of my own efforts and that it has not been
submitted to any other university or Institute for the award of any other degree or Diploma or
Certificate.

Place: BENGALURU Name: PRATHEEKSHA PUSHPAKARAN

Date: Register Number: MB201522

 BENGALURU NORTH UNIVERSITY

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Registration Number: MB201522
Title of Mini Project : “A study on consumer awareness and expectations towards
services provided at Volkswagen, Pathanamthitta”

Name of the Guide : Prof. H. RAVILOCHANAN

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COLLEGE OF MANAGEMENT STUDIES, BENGALURU, has prepared a Mini Project
on report titled on "A STUDY ON CONSUMER AWARENESS AND EXPECTATION
TOWARDS SERVICES PROVIDED AT VOLKSWAGEN , PATHANAMTHITTA"
Under the Guidance of Prof. H.RAVILOCHANAN.

This report is being submitted to the department of management in partial fulfilment of the
requirement for the award of "MASTER OF BUSINESS ADMINISTRATION", POST
GRADUATION COURSE, BENGALURU, during the academic year 2020-2022

PLACE: BENGALURU

REG NO: MB201522 Prof. H.RAVILOCHANAN

DATE: (GUIDE)
 ACKNOWLEDGEMENT

I take this opportunity to express my post-graduation to all those who extended their co-
operation and support during the course of this project.

This project is a product of the value insight, facts and experience, I had with various people.
I express my sincere thanks to our beloved principal Dr .B. LAKSHMA REDDY, SJES
COLLEGE OF MANAGEMENT STUDIES, BENGALURU, for providing with my
academic support.

I am also thankful to Prof. H.RAVILOCHANAN, faculty for his valuable guidance and
advice, which helped me in completing the project work in time .He inspired me greatly to
work on the project, his willingness to motivate me contributed tremendously to my project.

I express my deep gratitude to my parents for their encouragement. I finally thank all those
who have helped me directly or indirectly to complete this project

PLACE: BENGALURU NAME: PRATHEEKSHA PUSHPAKARAN

DATE: REG NO: MB201522

 TABLE OF CONTENT

SL.NO TITLE PAGE

NO
Chapter 1

1.1 Introduction 1
Chapter 2
2.1 Industry profile 8

2.2 Company profile 12

Chapter 3

3.1 Need for the study 31

3.2 Objectives of the study 31

3.3 Review of literature 32

3.4 Statement of problem 34

3.5 Research methodology 34

3.6 Research design 34

3.7 Sources of data 34

3.8 Sample design 35

3.9 Scope of the study 36

3.10 Limitations of the study 36

Chapter 4
4.1 Data Analysis & Interpretation 41
Chapter 5
5.1 Findings 57

5.2 Suggestions 58

5.3 Conclusion 59

Bibliography 60

Appendices 61
 CHAPTER 1

INTRODUCTION
 1.1 INTRODUCTION

Marketing is basic tool to existence of any business organization in the current fast moving
world. It works as a tool used to guide both business and non-business organisation. Also it a
highly efficient mechanism which can satisfy the customer needs and wants at their desired
place and price. For the success of the large business also the efficient Marketing strategies
are formulated and implemented.

Basically the term "market" came from the Latin word "markatus" which means where
business is conducted. In simple word by people market is the place where the product will
be sold to the customer and where they both can meet each other before buying and selling of
goods and services. Marketing will face the different types of customer and also different
forms of customer value. Marketing process gives a way to create the value for the customer.
It helps to find the correct demographic location for the product of any business activity to
reach the specific customer where we can gain profit by fulfilling the need and wants of
them.

Meaning and definition

Marketing is an activity under taking by the company or business organization to promote the
buying and selling of their product and services in a market need and wants is there. Market
is the place where the selling and buying of good and services is done by meeting each other.

The American Marketing Association (AMA) characterizes advertising as the movement,

direction, and system for making, disseminating, and trading significant proposals to clients,
accomplices, and the local area. At the end of the day, advertising is the method involved
with getting likely purchasers and clients inspired by your labour and products. Process is a
watchword in this showcasing definition. Showcasing includes leading statistical surveying,
publicizing, selling and appropriating your labour and products.

TYPES OF MARKETING

According to the latest innovation in marketing it has been classified into two major types as
follows:

1. Face to Face Marketing

2. Online Marketing

1
Marketing Mix

An advertising blend is an assortment of apparatuses and procedures for advancing and

selling an item or administration. It's choosing to sell an item at the most ideal area, at the
most ideal cost, and at the most ideal time. The item is then shown as per the advertising and
special methodology. A marketing mix is made up of four elements: product, price, place,
and promotion. Marketing managers create a marketing strategy that comprises of four parts
in the business sector. However, for vital development, various other warehousing aspects
will be progressively added to the marketing mix.

Product in Marketing Mix:

An item is a decent item that is made or produced to address the issues of an individual or
gathering. Item as administrations or items might be undetectable or direct. It is significant to
concentrate on the item completely prior to planning, as it includes a changing life cycle from
development to development until deals decline.

The creation life cycle comprises of three phases: development, development and decrease in
deals. When deals start to decline, it is urgent that venders re-evaluate their items to
increment interest. You should establish a novel and unmistakable connection with the results
of your clients' rivals. "How might I make a preferred item over my opposition for this

2
gathering?" The familiar maxim of advertisers. This innovation likewise assists the
organization with creating brand esteem.

Price in the marketing mix: When it comes to developing a marketing mix, price is crucial.
A product's pricing is essentially the amount the customer pays to use it. Price is the most
significant aspect in a marketing plan since it dictates a company's existence and profit. A
little adjustment in the product's pricing has a significant influence on the whole marketing
strategy, as well as sales and demand in the market. When choosing a product pricing,
consider the following factors: competitor price, price list, customer position, discount,
conditions of sale, and so on.

The significance of position or circulation in a showcasing blend plan couldn't possibly be

more significant. We should put and convey our merchandise where possible
purchasers/clients can be effectively found.

Publicizing is a sort of showcasing correspondence that permits a firm to promote an item

and its attributes to a more extensive crowd. It is the most expensive and critical part of the
showcasing blend since it supports standing out for clients and convincing them to buy
things. To publicize their merchandise and draw in an expansive or explicit crowd, numerous
advertisers use advancement strategies. Different strategies of advancement incorporate direct
showcasing, publicizing, individual marking, deals advancement, and others.

The 7Ps model is a marketing model, an amendment to the 4Ps model. Since the 4P
showcasing blend is presently not significant, the present advertising firm should have
intensive information on new innovation and thoughts. As a result, three additional Ps were
added to the past 4Ps model to offer a more exhaustive information on the showcasing blend
idea.

Employees are a crucial part of the marketing mix since they service consumers. It is critical
to recruit the proper people and teach them to offer better care for your clients, whether you
operate a help desk, customer service, scriptwriters, programmers, or anything else. It's
critical to locate employees that really believe in the company's products or services, since
they'll be more likely to give it their all. Furthermore, the organization should embrace honest
analysis about the business from workers and urge them to share their contemplations and
worries that will support the organization's development and advancement.

3
Process in the marketing mix: To avoid mistakes and save money, we must always make
sure that the company process is well organized and periodically reviewed. It is crucial to
tighten strengthening measures to maximize profits.

Direct Evidence in the Marketing Mix: In the service industry, physical evidence of service
provision is required. The brand is one such example. When you think of "fast food", for
example, you probably think of Kentucky fried chicken.

CONSUMER PREFERENCES

Customer preference is described as the person’s personal taste in the goods and is also
evaluated by his pleasure with these items after purchase. Utility is the term used to describe
this sense of accomplishment.

A set of expectations that focus on consumer decisions that lead to different outcomes such as
happiness, satisfaction or benefit.

Customers make judgments by distributing their limited money to all available goods in order
to obtain the highest level of happiness. In other words, consumers optimize their utility
within financial constraints. The pleasure that the consumer gets by consuming an object is
defined as an advantage. As mentioned earlier, utility determinates are determined by a
variety of non-economic variables. The relative utility between the commodities is used to
calculate the value of the customer.

The whole process of customer selection leads to the best choice. Customer preference allows
you to rate different packages of products based on their enjoyment or utility levels. The
general pleasure derived from consuming a product or service is defined as benefit.

4
CUSTOMER SATISFACTION

Customer satisfaction refers to the extent to which customers are satisfied (or dissatisfied)
with the company's goods, services or overall experience. Customer satisfaction refers to
what you provide in terms of customer perception and quality, value and expectations about
your organization. This information tells a lot about how customers feel about your brand and
how they will deal with it in the future.

Because consumers own the firm, the corporation's primary emphasis should be on customer
satisfaction. Customer satisfaction data may help your company determine if its goods,
services, and internal policies are operating effectively, as well as whether ones need to be
improved or altered entirely. In this article, you'll learn what customer satisfaction is, how to
measure it effectively, and why it's so crucial to your business's success.

5
IMPORTANCE OF CUSTOMER SATISFACTION

Researcher evaluate the customer’s satisfaction which is primary to design marketing

strategies based on the needs of the customer. Hence this looks to be the way to increase high
grade satisfaction towards customer needs. Manufacturer produce the products based on the
customer needs mainly to satisfy them. If a customer had a great satisfaction ultimately it led
to upsurge the business profitability.

6
 CHAPTER - 2

INDUSTRY PROFILE

7
 2.1 INDUSTRY PROFILE

The automotive sector covers a wide range of corporations involved in design, progress,
production, promotion and hawking of vehicles. It gives more revenue among all the sector in
this world.

The first human transportable automobile powered by steam engine was invented in the year
of 1769 by Nicolas-Joseph. Far ahead in 1808 the Frangois Isaac de Rivaz designed the first
internal combustion engine fuelled with hydrogen. At that point in 1870 Siegfried Marcus
invented the first IC engine used to run using the gasoline.

The first automobile company was Mercedes-Benz in Germany at 1886 named after the
founder of the company Karl Benz. The first car in the world was invented in the year1885
and it was invented by Karl Benz who is a German mechanical engineer born in Germany in
1844. Later the various automobile was formed in 19th and 20th century .

There are 14 major automobile companies which took major part in the automobile sector.
They are the kings of the automobile corporation and under their company there are many
sub division brands and there specific products. Top important automobile companies are as
follows:

1.Tata motors

2.Honda

3.PSA

4.GM

5.GEELY

6.VOLKSWAGEN

7.TOYOTA

8.BMW

9.FORD

10.DAIMLER

8
11.FIAT

12.NISSAN

13.RENAULT

14.HYUNDAI

INTRODUCTION TO AUTOMOBILE INDUSTRY

The automobile industry is one of the fastest growing industries in the world. This vehicle
segment will also have an impact on the Indian market. The automotive industry has the
potential to gain a large market share in global and Indian markets. The automobile trade
accounts for more than 18 percent of total national income. This will allow us to assess the
importance of the automotive sector in the country's GDP growth. The Indian auto sector is
growing at an average of 10-12 per cent.

INDIAN AUTOMOBILE INDUSTRY SINCE 1947:

It is an enchanting journey in history, beginning with loneliness and lost opportunities and
ending with incredible potential and incredible progress.

In its early years, the craze for socialism and planned economies in India had a devastating
effect on the automobile sector. At that time self-sufficiency was the goal of an independent
India. Quality and efficiency are not taken into account.

Reliance on foreign technology was prohibited and industries were encouraged to localize
their goods; Import substitution has become the norm. We learned localization, but the cars
we built were all old designs and had not seen any progress for decades. Due to government
sanctions, the auto sector has come to a standstill, Indian car buyers have been plagued with
defective cars, and even then, the waiting list has expanded to eight years at once!

As the industry was cut off from great technology, this self-powered endeavor failed
miserably. In their early years, the Japanese and later the Korean auto industry were well
protected, but they never closed the door to technology. Instead, they constantly explore the
world's best talent pools to gain the knowledge needed to build great cars.

9
One of the most significant chapters in the history of the Indian car industry has been written
about Maruti. In the early 1980s, it signified the Indian government's foray into the distant
business, a paradigm change following decades of vehicle rejection. India's most popular
automobile, the Maruti 800, has set the nation on wheels. This little automobile has set the
bar for cheap pricing, size, and quality, establishing India as a small car market.

It was not until 1993 that conditions for Indian car buyers began to improve. With economic
liberalization, a large number of multinational automakers entered. However, most of them
were shocked when Indian customers rejected their products. Customers in India refuse to
show outdated and expensive items to sell the glamor of iconic brands.

The Indian customer is looking for exceptional value and is generously rewarded for the
companies that supply it. Hyundai and Maruti have been successful in generating profits and
profits. During this time, Indian companies such as Tata Motors and Mahindra & Mahindra
gained prominence. They interacted well with Indica and Scorpio for the challenge posed by
the multinationals. Ironically, it was due to the Raj license that it encouraged Indian
automakers to invent and manufacture goods on a low budget. India’s low-cost engineering
expertise has attracted global attention and a growing number of automakers are planning big
expansions here.

India is spinning. And things change quickly. She is making progress. 800, the most popular
car in India, but not the cheapest. This is the alto of course. People’s aspirations are growing
according to the mistakes of those who put their finger on the market. If you choose the right
product, you will be generously rewarded.

The Indian auto sector is now full of potential and optimism. It is a long road, but it is
exciting to see where the Indian auto sector is heading.

Autonomous auto industry:

The first motorized car appeared on the streets of India in 1898 and a century ago, Bombay
had the first taxis. With a fleet of 50 cars, an American company began public taxi service in
1903. They have been importing cars directly for almost 50 years since they came to India.

Nearly 40,000 cars were imported before World War I. In the post-war years, when assembly
plants were established in Bombay, Calcutta and Madras, the automobile industry had a small
start.

10
After the 1920s, car imports / assembly gradually increased, reaching 30,000 units by 1930.
The need to develop a domestic automobile was realized in India at the end of the war. In the
1940s, Premier Motors, Hindustan Motors, and Mahindra & Mahindra set up plants for
progressive manufacturing rather than assembling imported parts. When it was first launched
in India in the fatal years of the business, the cars they decided to produce were the most
sophisticated in the world.

After independence:

The government has restricted imports and foreign investment. General Motors and Ford, for
example, packed their bags and left. After that the Indian clock stopped ticking as the whole
world was moving forward. The Indian auto sector had to wait more than 50 years to adapt to
other countries in the world.

The government announced its "broadband" strategy in January 1985, granting new licenses
to a wide range of automotive items, including two- and four-wheelers.

The licensing system is pretty much intact, thanks to this. A company is required to submit a
step-by-step manufacturing plan that outlines the progress of localization and allows for
almost complete localization in five to seven years. Obtaining foreign currency clearance for
these projects is the most important hurdle.

With the exception of MUL, which has a direct relationship with policy makers, every other
manufacturer faces a number of challenges.

During this time many new objects were introduced. Standard Motors returned to the auto
industry in 1985 after a decade-long hiatus with the release of the standard 2000, Rover SD1
chassis with the old Vanguard 2-liter engine. In 1985 HM purchased the 1972 Vauxhall
Victor model, installed the Ambassador engine and built the Contessa.

11
 2.2 COMPANY PROFILE

The Volkswagen Group, headquartered in Wolfsburg, is one of the most well-known vehicle
manufacturers in the world and Europe's biggest carmaker. The company supplied 5.734
million cars to consumers in 2006, up from 5.243 million the previous year, accounting for
9.7% of the worldwide passenger car market.

Range of products

Almost one-fifth (19.9%) of new automobiles sold in Western Europe, the world's biggest
automotive market, come from the Volkswagen Group. The company's sales climbed to
104.9 billion euros in 2006. (2005: 95.3 billion). For the 2006 fiscal year, profit after tax was
$75.275 billion (2005: 1.12 billion). Volkswagen produces a broad selection of models, both
global and regional, with a focus on major markets such as Europe, China, and Latin
America. The Tiguan is the best-selling Volkswagen model globally, according to
Volkswagen AG's 2019 Annual Report, followed by the B-Class range Polo, Virtus, Vento,
Ameo, and Golf.

The arrival of Volkswagen

Volkswagen has paved the way for long-term market efforts in India. The brand started a new
direction with an investment agreement signed in late 2006, uniting two success stories -
Volkswagen and India - into a future.

To meet the ever-increasing demand for mobility in India, the German brand and the largest
car maker in Europe will enter the market. In the near future, Volkswagen will produce a car
with all the features of a real Volkswagen, specifically tailored to the needs of the Indian
market. Maintaining "Volkswagen quality" is very important.

Volkswagen - About and How it works?

Volkswagen is a luxury car manufacturer and retailer headquartered in Germany. The word
Volkswagen comes from the German word Volk, which means "people", so it literally means
"public car" or "public car". It is divided into four sections:

12
Passenger Vehicles - This category includes automotive and engine research, manufacturing
and marketing, as well as related genuine parts.

Commercial vehicles include light commercial vehicles, trucks, and buses, as well as spare
parts production and auxiliary services.

Huge drag diesel motors, turbochargers, modern turbines, and substance reactor frameworks,
as well as stuff units, impetus parts, and test gear, are largely instances of force designing.
Shipper and purchaser financing, renting, banking and protection activities, armada the
executives, and portability administrations are generally instances of monetary
administrations.

Volkswagen, Audi, Seat, Skoda, Bentley, Bugatti, Lamborghini, Porsche, Ducati,

Volkswagen Commercial Vehicles, Scania, and MAN are among the brands addressed.

Volkswagen is a German auto maker most popular for its Volkswagen image. Its base camp
are in Wolfsburg, Germany, and it is the world's greatest extravagance vehicle maker.

Volkswagen makes, creates, and disperses vehicles, motorbikes, motors, and turbocharger
hardware, as well as financing, renting, and armada the executives. It surpassed Toyota as the
world's top carmaker in 2016, selling 10.97 million vehicles and remaining there for the
accompanying three years.

Volkswagen - Founder and History

The state-owned automotive firm Gesellschaftzur vorberitung des Duchenne Volkswagens
mbH was created on May 28, 1937, by the German government, commanded by Adolf Hitler
of the National Socialist Party (Nazi). It changed its name to Volkswagen, or "People's Car
Company," later that year.

Volkswagen was created in Wolfsburg, Germany, by the German Labor Front, a Nazi group.
Putting aside his grand plan to construct a network of limited-access highways and roads
throughout Germany, Hitler's favourite project was to design and manufacture a low-cost,
high-speed automobile that could be bought for 1,000 Reichsmarks (about $ 140). During
that period).

13
Hitler required the help of Ferdinand Porsche, an Austrian motor prodigy, to develop this
"public vehicle." "This automobile was built for the ordinary people," Fhrer remarked during
a Nazi rally in 1938. Its goal is to meet their mobility requirements while also making them
joyful. After the KdF (Kraft-Durch-Freud) -Wagen ("Strength Through Joy") performance at
the Berlin Motor Show in 1939, when Volkswagen suspended manufacturing and demolished
the factory after the war, the German car industry was rebuilt around Volkswagen. I made the
decision to concentrate.

Volkswagen - Logo and its meaning

The Volkswagen logo features the company's initials, with the letter "V" placed above the
letter "W" and the two letters interacting beautifully.

The blue color of the Volkswagen logo represents quality, authenticity and class, while the
white color symbolizes greatness, purity and charm.

14
Volkswagen – Mission
Volkswagen does not have a well-defined purpose. Volkswagen aspires to "produce
beautiful, safe, and environmentally friendly automobiles that can compete in a rising
competitive market and set worldwide standards in its field," according to a Volkswagen
spokeswoman. Everything the firm undertakes to attain its vision is included in the corporate
aim. Its major purpose is to maintain a higher level of quality than all other rivals in every
way..

Volkswagen - Business Model

Volkswagen, driven by advancement, is continuously presenting new vehicles. It adjusts to
neighbourhood requests and spotlights on country-explicit elements (particularly in
developing business sectors). Volkswagen intends to save costs through economies while
keeping up with effective creation cycles and top caliber. The organization plans to "give
beautiful, safe and earth sound vehicles that can contend in the developing cutthroat market
and fulfill worldwide guidelines".

Volkswagen maintains control and has a high level of concentration, despite the fact that its
global presence takes local differences into account: the company's research and development
(which includes exploring global trends and technology) is headquartered in Germany, with
research centers in the United States, Japan, and China. Similarly, Group Procurement
purchases significant amounts of manufacturing equipment, services, and capital expenses
from 39 sites in 23 countries to boost negotiating power.

Volkswagen has long-term relationships with a variety of suppliers that are dedicated to
delivering a high degree of quality as well as a constant and efficient flow of high-quality and
innovative products.

The multi-brand approach of the company boosts internal rivalry, stimulates artists to try new
brands, and appeals to a wide range of individuals. Internal sales cannibalism is minimized
thanks to a rigid hierarchical brand design with sub-brands. Passengers (Volkswagen),
premium (Audi), luxury (Porsche), and commercial holding businesses are the company's

15
four product divisions. Brands are part of the corporate hierarchy and are used to govern the
firm so that it reflects the preferences of its customers.

Volkswagen - Revenue and Growth

Volkswagen AG reported $60.736 billion in revenue for the quarter ended March 31, 2020,
down 10.89 percent year over year.

Year Annual Revenue Percentage change

2019 $282.948B +1.58%

2018 $278.538B +6.83%

2017 $260.74B +8.45%

Volkswagen - Competitors
The competitors of Volkswagen Automobiles are:

Ford

General Motors

Toyota

Suzuki

Hyundai

Nissan

Honda

FCA (Fiat Chrysler Automobiles)

BMW

Mercedes

16
Volkswagen - Challenges Faced
Economic instability and increased competition are among the issues, as are the expenses of
the present diesel crisis and the European Union's new emissions test.

The cost of executing the WLTP test has topped one billion euros (S $ 1.6 billion), according
to CFO Frank Witter. In the second quarter, production increased by 13.5 percent, more than
twice the pace of delivery growth, and the carmaker was prepared for a regulatory shift.
Volkswagen warned earlier this year that stock prices would surge once the WLTP takes
effect on September 1st.

In the aftermath of the three-year-old diesel crisis, which continues to plague the industrial
behemoth, Volkswagen has been facing internal strife as well as political challenges.

The corporation was penalized 1.64 billion euros, with total losses of over 27.4 billion euros,
owing mostly to German government fines. In June, authorities in Munich arrested and
detained Mr. Robert Stadler, the then-suspended chief of the Audi Premium division.

According to the spokesperson, Ford's expanded relationship with Light Commercial Vehicle
Space would allow firms to pool research resources for electrification while also lowering
costs in sectors like battery-powered automobiles and self-driving cars, which are both
benefitting. At the same moment, accelerate at breakneck speed.

Volkswagen - Future Plans

Arranged ventures and exploration in ongoing businesses like hybridization, electric
transportation, and digitalization will cost more than $60 billion somewhere in the range of
2020 and 2024.

The level of expected spending on future merchandise moved to practically 40% in Plan
Round 68, up from 30% in the past Plan Round.

The Volkswagen Group is proceeding to put intensely in its future. The 68th pattern of
arranging brought about the advancement of a money growth strategy for 2020 to 2024.

Throughout the following five years, the organization intends to spend more than $60 billion
on hybridization, electric portability, and digitization.

17
During the planning era, it accounts for over 40% of the company's assets, plant and
equipment, as well as all research and development expenses.

This is a 10 percent increase over the previous planning cycle for the organization. The
company plans to spend $33.3 billion on electric cars alone.

TOGETHER FOR INTEGRITY

They set a primary goal in the new Group 2030 strategy: an example of honesty. Through the
implementation of the Together 4 Integrity Initiative (T4I) and the promotion of corporate
governance over integrity and compliance,seek to consistently achieve this goal across all
brands and organizations across the group. They aim to give the same strategic and
operational importance to integrity and compliance KPIs, for example, sales revenue, profit,
product quality or owner attractiveness. Therefore, it is considered to be one of the largest
transformation programs in the history of the T4I group. Responsibility for the design and
implementation of the program rests with the Integrity and Legal Division of the Board of
Directors, headed by Heltrude de Werner.

18
T4I WITH FOCUS ON GOVERNANCE AND CULTURE
CHANGE
T4I's governance component aims to provide a regulatory framework for integration and
compliance with regulations. T4I also contains an element of cultural change: reaching
people and strengthening their willingness to deal with integrity. For our workers, it creates a
solid environment in which they can act ethically, consciously and entrepreneurially,
contributing to Volkswagen's overall integration and respect in a broader sense.

The G7 Fundamentals are the cornerstone of cultural transformation. These elements describe
how we would like to work together at Volkswagen and supplement the Code of Conduct,
which sets broad standards of conduct, especially with regard to legal compliance and
internal guidelines.

The T4I methodology is based on the five generally accepted core principles (ECI) of the
Global Ethics and Compliance Initiative. Principles include planning, managing risk, acting
in good faith, promoting a culture of open communication, and especially accepting
responsibility when something goes wrong.

T4I defines integrity and compliance with each of the five principles with a view to
incorporating them into permanent business practice.

T4I, as a unified integrated program, integrates integrity and compliance content for all group
projects and sections.

Board members and senior management directing, setting goals and explaining the causes
and benefits of T4I are key to program success. Group board members, as well as board
members or managing directors of individual companies are heroes here because they put
specific projects in the local context and really support T4I as a project for their own
company.

Many dialogue-oriented communication methods and event formats, such as perception

workshops, actively engage hierarchical workers and can help identify employees and
provide follow-up assistance. On the other hand, T4I has an impact not only on the group but
also on the outside, as evidenced by the amendment of the Code of Conduct for Business

19
Partners, which enables our suppliers and sales partners to adhere to integrity and compliance
values. .

In addition, each employee's interactions with consumers, civil society representatives,

government agencies, officials, and other stakeholders are particularly affected by the
increased focus on integrity and compliance with the Code of Conduct.

Risk Management System and Internal Control System

The Volkswagen Group's capable way to deal with risk the executives is upheld by the Risk
Management System and Internal Control System (RMS/ICS).

The RMS/ICS of the Volkswagen Group is directed by the globally eminent COSO
Enterprise Management Framework (COSO: Committee on Organizations Stewardship of the
Trade way Commission). A straightforward and adequate gamble the executives plan is based
on the underpinning of incorporated arrangements at the gathering level. It contains the
accompanying things:

20
Chances should be appropriately and really took care of. RMS/ICS should be remembered for
the objectives. • The gamble the executives framework (RMS) and the episode the board
framework (ICS) should be viable.

The risk management and internal control systems of the company are based on three pillars:
general governance, which focuses on operational risk management as well as systemic risk
in particular sectors, risk and compliance, and quarterly risk.

Mckinsey 7s Framework Of Volkswagen

Introduction

McKinsey Model 7s is an essential device and system for evaluating the presentation of
directors and associations. For powerful change the executives measures and general
execution overhauls, the McKinsey 7s model recognizes seven significant parts of the
organization.

The 7 elements identified in the McKinsey 7s model can be categorized as being hard or soft
in nature. They are identified as:

21
Hard Elements Soft Elements

Shared Values

Strategy Skills

Structure Style

Systems Staff

McKinsey Model 7s are used by Volkswagen on a daily basis to enhance company

performance and develop effective change management methods. Volkswagen concentrates
on seven components of the model to guarantee that performance requirements are
maintained and continually enhanced.

1. Hard elements

The McKinsey Model 7s include hard components like as strategy, architecture, and systems.
The more complicated components of the form are simpler to recognize, and the more rigid
the form is, the more it is controlled and impacted directly by the organization's leadership
and management.

1.1. Strategy

1.1.1. Clearly defined

Volkswagen's general strategy and plans are well-defined and conveyed to all employees and
stockholders. It aids in the management of the company's performance, the direction of
operations, and the development of different policies in accordance with the company's
strategic plan. Furthermore, developing and articulating a business strategy clarifies and
aligns Volkswagen's activities with corporate functions and rules..

22
1.1.2. Guiding behaviour for goal attainment

Volkswagen's strategic orientation is also critical in driving employee, employee, and

shareholder behavior in order to meet and exceed objectives. SMART objectives are
developed with immediate and long term goals in mind, according to the company's strategy.
Employees may utilize business strategy to help them figure out how to attain the company's
goals and objectives.

1.1.3 Competitive pressure

Volkswagen's strategy considers competitive challenges as well as competitive operations.

The strategy adapts to market changes and recommends methods and measures to resist
competition via strategic plans and operations that defend Volkswagen's long-term
sustainability by boosting consumer trends and expectations.

1.1.4 Adapt to changing customer needs

Thinking about always changing client patterns and needs, as well as advancing buyer
market models and purchaser conduct, is one of the main pieces of Volkswagen's system.
This is a basic part of Volkswagen's essential direction since it permits the firm to stay
serious and applicable to its objective shopper gatherings, as well as distinguish client request
holes.

The company deliberately fills these holes with item offers and showcasing strategies, giving
it an upper hand over other market models.

1.1.5 Flexibility and compatibility

Volkswagen's adaptable and flexible strategy. This is a critical component of Volkswagen's

strategic planning and strategy creation. Inertia in strategy may lead to a deadlock in a firm or
organization, hindering innovation and growth in the face of changing consumer markets.

Volkswagen's convenience and flexibility enable it to not only react quickly to changing
consumer patterns throughout the globe, but also to change its goods geographically and
culturally via localization to other nations and areas. Furthermore, a business may frequently

23
foresee changes in the consumer market and make strategic changes to accommodate these
changes.

1.2 Structure

1.2.1. Volkswagen has a flat organizational structure as a result of academic and progressive
groups' backing. Employees are more at ease and confident, have more information at their
fingertips, fewer management layers between them, and greater access to top management
and leadership. Furthermore, the flat chassis will aid Volkswagen in making quicker choices
and increasing staff engagement.

1.2.2 Inter-departmental assistance

Volkswagen is receiving high-level interdepartmental assistance. Company units often create

cross-departmental teams for projects and activities that involve different skills. All cross-
departmental cooperation was efficiently and well organized. Takes a structured approach to
initiate and oversee cooperation within Volkswagen departments - to ensure processes and
policies that work smoothly - and to achieve the goal.

1.2.3 Internal Team Dynamics

Volkswagen promotes cooperation and jobs that require cooperation. Specific duties and
assignments are assigned to professions that require personal attention and scope. On the
other hand, all Volkswagen workers can work effectively with and through others as team
players, as well as interacting with others. Volkswagen teams support all members and work
together to achieve the goals and objectives of the larger team, adhering to the strategy and
principles developed by Volkswagen.

1.2.4 What is the difference between centralization and decentralization?

The organizational structure of Volkswagen is a blend of concentration and decentralization.

Volkswagen, like many modern firms, likes to make decisions in a decentralized manner.
Employees generally define their own objectives with their bosses via mutual collaboration
and agreement, and work at Volkswagen must be done properly.

24
Volkswagen, on the other hand, ensures that management analyze and approve many of the
actions and methods used by employees in order to guarantee that they are consistent with the
company's strategy and values.

1.2.5 Communication

Volkswagen has a complex and sophisticated framework in place to guarantee that

employees and management communicate at all levels. Volkswagen Communication Systems
contribute to the entire corporate structure's strengthening. Systematic, detailed, and
structured communication guarantees that information flows smoothly and that no
organizational duties or objectives are jeopardized by misunderstanding or a lack of
communication.

1.3. Systems

1.3.1. Organizational systems in place

Volkswagen has grounded and distinct components set up to ensure that organization tasks
are proficiently dealt with and that no contentions or debates emerge.

Volkswagen's frameworks are for the most part departmental in nature, and include things
like: - Human asset the executives - Finance - Marketing - Operations - Sales - Supply chain
the board - Public Relations Management- Strategic management

1.3.2. Defined controls for systems

Clear cut and distinct frameworks at Volkswagen have their own instruments and
innovations for estimating execution and accomplishing targets. These controls and measures
are acclimated to every division as indicated by the idea of their tasks and obligations. What's
more, every division has its own controls to assess part execution as well as between
departmental obligations and obligations.

1.3.3 Monitor and evaluate controls

Volkswagen checks its frameworks consistently using controls that it has laid out. This
consistent and proceeding with execution checking is completed. Quite a bit of this is done
through straightforward talk and perception. Staff and division heads are frequently furnished
with casual input consistently as required. Formal execution audits may be done semi-yearly
or quarterly, contingent upon the need and direness of the allotted tasks and obligations. It is

25
a precise strategy that bosses and directors use to distinguish execution holes and give
proposals on the most proficient method to close them.

1.3.4 Internal control compliance procedures

Volkswagen has integrated all of its business areas and systems, as well as developed unique
policies and technology to help the firm reach its overall goals and objectives. This is
accomplished as part of the organization's overarching vision and strategy, which ensures that
all systems create and achieve goals and objectives for their specific capabilities.
Furthermore, Volkswagen's strategic leadership guarantees that all systems have the
resources and precise goals necessary to accomplish similar company objectives over time.

2. Good materials

The McKinsey 7s model's delicate components incorporate sharing qualities, individuals,

abilities, and system. These components are not so much perceived but rather more affected
by the association's way of life. As a result, they are outside administration's immediate
control or impact. Essentially, these qualities are challenging to make sense of and evaluate,
regardless of the way that they are similarly critical for the association's prosperity and
execution improvement.

2.1. Shared values

2.1.1. Core values

Volkswagen's fundamental values are developed and conveyed in order to establish a

creative and supportive organizational structure that highlights the company's great
performance while also increasing employee enthusiasm and commitment. The following are
only a few of Volkswagen's key values:

- Creativity

- Honesty

- Transparency

- Accountability

- Trust

26
- Quality

- Heritage

Volkswagen guarantees that its business and activities adhere to high ethical and ethical
standards that are redefined and compared to worldwide norms.

2.1.2. Corporate culture

Volkswagen strives to create a friendly environment that supports diversity. Volkswagen

has a worldwide presence with production plants in a variety of nations; as a consequence,
the firm guarantees that its organizational culture is tolerant of diversity and that internal
policies are in place to prevent prejudice.

Volkswagen's culture encourages innovation and creativity by letting people and teams to
grow and develop autonomously, allowing them to focus on their professions and
personalities. Finally, there is supportive leadership in Volkswagen's culture, which
emphasizes concentration and accessibility in order to boost employee enthusiasm and work
ethic.

2.1.3 Align tasks based on values

Volkswagen guarantees that all of its operations and job duties adhere to the company's
essential values. This implies that all Volkswagen acts, processes, and strategic plans are
represented, and they all adhere to the company's basic values. Maintaining a consistent and
dependable brand picture, as well as a transparent organization culture, are both significant.
The Company ensures that all change the executives strategies and techniques have center
standards, support an authoritative culture, and, assuming required, be efficiently refreshed in
case of hierarchical change.

2.2. Style

2.2.1. Management/leadership style

Volkswagen's management approach is similar to that of other automakers. Volkswagen

may use a shared leadership approach to include its employees in decision-making and
management possibilities. It enables management to recognize and resolve any possible
disputes, as well as to interact regularly with employees and other management groups in
request to get criticism on essential methodologies and systems. Volkswagen can further

27
develop representative commitment as well as hierarchical responsibility and possession
among workers and different partners by utilizing organization initiative.

2.2.2 Effective leadership style

The initiative style utilized is especially compelling in achieving the association's corporate
goals and vision. Representatives are viewed as dynamic individuals from the association,
and their thoughts, perspectives, and endeavors are esteemed. Besides, pioneers and directors
might use cooperative authority to recognize and deal with present and imminent issues at
Volkswagen as quickly as practical.

2.2.3 Internally, collaboration vs competition

Internal communication and collaboration between people, systems, teams, and departments
are encouraged by Volkswagen's pleasant and supportive business culture. This
communication and collaboration is critical since Volkswagen's activities are dispersed
around the globe, and tasks and responsibilities within the firm often demand cross-
departmental feedback and input. Furthermore, the Volkswagen Foundation's creative and
collaborative culture generates high-performing daily project teams as the firm evolves and as
a conglomerate.

2.2.4 Groups vs Teams

Volkswagen has successful, useful groups that team up to meet the organization's numerous
business objectives and goals, as well as to get done with responsibilities. The's organization
is empowering and strong, and the initiative gives a certifiable sensible expect to the
gathering to accomplish. Through the Human Resource Management System and
Organizational Training, all workers support their headway evenhandedly and truly. As an
outcome, the organization's fruitful group working for different undertakings, as well as
office explicit errands and commitments, instead of ostensible groupings, is accomplished.

2.3 Staff

2.3.1 Employee skill level and company objectives

Volkswagen has a sufficient workforce at its numerous sites across the globe. Staff are hired
for a range of occupations and positions both at home and abroad, based on the requirements
and qualifications. As a consequence, it became evident that Volkswagen was employing

28
qualified individuals for various roles. All employees undergo on-the-job training to
familiarize themselves with the organization and its values. External and internal training are
provided to improve skill levels.

All business operations and functions are done to allow business objectives to be fulfilled, so
Volkswagen workers' skill levels are adequate to meet the company's business goals.

2.3.2 Total number of workers

Volkswagen employed a huge number of workers. The number of personnel varies by state,
based on the organization's and its operations' demands and requirements. The Global
Volkswagen team is inclusive, embraces and encourages diversity, and collaborates with one
another to accomplish business objectives. Volkswagen's team members and employees are
the most significant aspect in the company's success.

2.3.3 Qualification Vacancies and Required Capabilities

Volkswagen has a method for determining prospective control capacity and efficiency needs
that is well-defined. The business's HR role involves a methodical strategy to identifying
possible talent gaps or shortages that exist in all other areas. Depending on the nature of the
requirement, the human resources department may conduct permanent or temporary
recruiting operations, as well as offer training courses for current personnel.

2.4 Experience

2.4.1 Employee Capabilities

Volkswagen has a fantastic team with a diverse set of skills and competencies. All workers
are recruited on the basis of their skills and benefits. Volkswagen is happy to employ the
greatest individuals to assist them in achieving their objectives and to look after them.

2.4.2 Employee competencies against job requirements

Volkswagen specifies responsibilities and roles, and hires and trains employees with the
necessary skills. All work requirements are fulfilled, and personnel are equipped to carry out
their responsibilities in line with Volkswagen values and culture, as well as the company's
business objectives and plans.

29
2.4.3 Skills Management

Volkswagen lays a strong focus on developing its employees' skills and competencies. It
often holds training sessions and seminars for its personnel. It is structured both internally
and externally to allow for growth and development. Volkswagen puts a high value on its
employees' personal and professional development and collaborates closely with them.

2.4.4 The competitive advantage of the organization

Human resources are one of a company's most critical competitive advantages. Staff skills
are clearly tailored to VW's business demands and responsibilities, and they provide the firm
a competitive edge by preventing rivals from copying employee talents or training.
Volkswagen currently has a one-of-a-kind and unrivaled capability.

30
 CHAPTER-3
3.1 NEED FOR THE STUDY

1. To find out the problem in consumer awareness about the product and services given by
the Volkswagen

2. To find out the factors influences the awareness of the product to the customer and also to
form the new promoting strategies and tools to overcome the problem.

3. To find the expectation level of the consumer in the product and services given by the
Volkswagen which is known to the consumer.

4. To improve the quality of services according to the expectation level (needs, wants and
price) by modifying the tools and techniques for providing the services to their product.

3.2 OBJECTIVES OF THE STUDY

PRIMARY OBJECTIVE

l. To find the consumer awareness level towards their product and services which is available
in the market currently.

2. To find expectation level of the consumer to the services provided By Company for the
consumer which is known to them.

SECONDARY OBJECTIVE

I. To find out whether the existing promoting strategies is working efficiently or not, if it is
not means modifying the existing one or formulating a new promoting strategy.

2. And the factor influences promoting of products to market.

3. To find the needs and wants of the consumer, and factor influences the quality of the
services provided to the consumer.

4. To make sure whether tools and techniques currently used for providing service is working
efficiently or not, if not means modifying the currently used one or formulating a new tools
and techniques.

31
3.3 REVIEW OF LITERATURE

In his research paper The Measurement of Advertising Effectiveness, J.A. P. argues that this
is a powerful and practical solution to a problem that attracts a wide range of people. It is also
a clearly accurate and logical strategy. However, this is not a complete explanation of the
importance of advertising impact studies. The important thing to remember here is that
advertising campaigning is a complex phenomenon with many components, and the personal
impact of each component is as important to advertisers and their agencies as the overall
impact of the campaign on Toto. In other words, advertising campaigns can be seen as having
four basic areas of decision making, the first of which is budget size (allocation policy). 2.
Select the appropriate medium (press, television, etc.) 3. Frequency of presentation (number
of advertisements and their distribution). 4. Creative Therapy (advertising content and
format). There are two points to note here. To begin with, it is important to realize that these
four critical areas are closely related: for example, if you decide to use coloring pages in
advertising a food product, this "creative" decision can have a significant impact on the
number of ads (and their distribution over time) with a given budget. Second, it should be
noted that the decision areas of the brand A are related to the decision areas as well as its
competitors. For example, in a highly competitive manufacturing sector, the amount of
advertising allocation to brand A must be considered in proportion to the credit volumes of
other brands in the product area, i.e. in terms of total advertising pressure shares.
Consequently, research on the impact of advertising should be able to help make the right
decision in each of these four decision areas.

Wright (1974), in his study of the effects of the media on advertising responses, examines
how advertising media communicate in the most basic parts of the communication
environment. Computer models designed to control media selection will continue to require
input indicating how different media affect audience members' attitudes. Based on the
empirical evidence of interrelationships, media, message, and receiver variables are included
in such analysis. Surprisingly, elements of the media have been overlooked in studies of the
persuasive process. Mogure said the lack of study on media influences was due to the fact
that social impact theories did not mature enough to make channel variables interesting. On
the other hand, media influences become very interesting when the mode of transmission
changes interaction. This article examines the challenges in media impact research and
provides a mechanism for measuring and analyzing communication response.

32
According to Sachar and Anand (1995), television networks spend about 16 percent of their
revenue on tuning, previews or advertising of their own programs. They agree that the actual
cost is very close to the ideal levels expected. Ten quality services are a common component
of how an organization delivers, manages and delivers its products individually to clients. It
is defined as high quality service to the extent that specific activity enhances customer
loyalty.

Quality Management Success achieved in customer service reflected in each management

experience. Clients create management cravings based on previous contacts, informal
communication and advertising. When all is said and done, customers will compare visual
management to expected management and if the first is less than the second, customers will
be angry. The management quality ratios obtained through customer surveys are a widely
used company performance appraisal tool. This is on the grounds that administration quality
is identified with gainfulness, costs, consumer loyalty and maintenance. Any administration
industry can't get by in this exceptionally focused condition until it fulfils its clients by giving
great quality administration.The administration quality is the administration identified with
client desires and administration industry by fulfilling the necessities of clients. In
administration the client characterizes the quality and human side of administration is critical
to convey quality the proportions of administration quality got through purchaser studies have
turned into a generally utilized business execution estimation instrument this is on the
grounds that administration quality is identified with costs, gainfulness, consumer loyalty and
client maintenance.

The client of Indian car industry is very much aware about the most recent item in the market
anticipates similar degrees of administration quality in the items. In the market wide scope of
model and variations are accessible with some little change and brands yet of practically
same cost and this thing urges the client to change starting with one brand then onto the next
In this situation, giving successful after deals administration to vehicles has turned out to be
significant for administration focus in India to remain in the exceptionally aggressive market.

33
3.4 STATEMENT OF PROBLEM

If the consumer having awareness about all the product and services giving by the company
means the sales of the product and services of the respective company will be more in the
market, the promoting strategies plays an important role in the making the awareness about
the specific company product in the minds of the consumer. The current situation the
company don't the consumer awareness level of their product, so we can't able to determine
the whether the promoting strategies is working efficiently or not.

And the expectation level of the consumer towards the services provide for their products
also to be found to give the quality service to the consumer. For the quality services the tools
and techniques used for the services is important.so we also going find out whether the
current tools and techniques is working efficiently for the consumer expectation or not.

3.5 RESEARCH METHODOLOGY

An issue or problem is always the starting point for research. Its purpose is to raise questions
using a scientific process. It is systematic and comprehensive research aimed at gaining a
more comprehensive understanding of the topic under study. To get a better solution, one can
see how a comprehensive investigation of each practical scenario is needed. Any effort
devoted to such a study to improve the outcome is referred to as research. Research
methodology is a set of models, methods and techniques used to determine the outcome of a
research topic.

3.6 RESEARCH DESIGN

Research design is the framework or strategy for a study used to guide data collection and
analysis. This is the scheme used to complete the search. Without proper study design, it is
impossible to achieve the basic goal of research. I defined strategies and processes to gather
the data needed to run the study effectively. It is the overall operating model of the project
that determines what information should be collected and what sources and technologies
should be used.

3.7 SOURCES OF DATA

Source represents the mode used for collecting data. This means that methods used to collect
the data. Here in this study, data are collected by questionnaire method and direct observation

34
Primary Data

Primary data is original in nature, it is the main source of data which is collected through
Questionnaire, survey and interviewing various people who are all consumer and customer
for the company product and services.

Secondary Data

They are static that already exist, it refers to those data that had been already collected and
Analysed by someone else which is available in the form of internet source, journals and
related papers.

3.8 SAMPLE DESIGN

Sample design refers to the approach taken by the researcher to select items for the sample.
Sample can be defined as the choice of a whole or part of a whole, on the basis of which a
judgment or conclusion is made about the whole or the whole. It is the process of obtaining
information by examining only a fraction of the total population.

Sample area: Pathanamthitta, Kerala

Population

Population or universe is the aggregate or totality of statistical data forming a subject of

investigation. Here in this study, population covers all the customers of Volkswagen

Method of sampling: Method of simple random sampling and in this study

Sample size: A total of 100 samples have been selected from the customers of Volkswagen ,
Pathanamthitta as the sample for the study

Statistical Tools used

Tools were used to analyze the collected data. The data is also presented extensively with the
help of charts and graphs and percentages, cross tabulation and averages are used to present
the data clearly and efficiently.

35
3.9 SCOPE OF THE STUDY

This study is conducted to find out the consumer awareness of product of Volkswagen in
Pathanamthitta. The research is used to analyze the present position of Volkswagen and also
to find out the ways in which Volkswagen can improve its quality of services.

This study describes the history, activities and achievements of Volkswagen. It also helps to
understand and analyze functional structure and departmental activities of organization.

This study covers information on the present organization system of Volkswagen. This
information can help in better understanding the firm, its policies and strategies.

This analysis gives hints on how effectively an organization can design its functional areas
and how they can improve organizational effectiveness.

3.10 LIMITATIONS OF THE STUDY

l. The customers where not ready to reveal their personal feelings about the product and the
organization.

2. As questionnaire method was used to collect data all the information relating to the subject
might have not been covered.

3. Time was a major constraint. Within the time allowed, it was not possible to study all
aspects in detail.

36
SWOT ANALYSIS

Strengths
Following are the strengths of Volkswagen.

Global Structuring

Volkswagen's global presence is one of its main strengths as it guarantees a high level of
efficiency. It has a range of products in its portfolio other than vehicles and all its operations
always run at optimum efficiency. A consistent level of research and development is
maintained and in particular ensures that the brand is connected to its global market. At the
same time, it ensures that the brand has a strong presence even in its homeland, where they
can rent the entire city for Volkswagen.

37
Branding Capability

Although Volkswagen is basically an all-inclusive company, it always looks to have a strong

presence in the market. So, as much as people know about Audi and Porsche, they also know
that Volkswagen is the parent brand. In terms of brand promotion you have shown amazing
potential in the past and will continue to do so in the future. Strong brand presence is one of
the most important components of a global auto manufacturer.

Partnerships

Volkswagen has many partners who assist in its supply chain, accounting and other fields.
Accenture is very important, being the main consultant as well as handling all the hardware
and software needs. Such strong collaboration allows the brand to focus on its core
capabilities such as research and development and business management. It also ensures that
Volkswagen continues to be the most popular car brand in the majority of countries.

Weaknesses
High Competition

The luxury car sector is a very competitive sector. As a result, Volkswagen has experienced
problems in developing countries. Most new companies are now able to offer premium
features in mid-range cars. As a result, consumers with purchasing power in developing
countries are no longer buying premium Volkswagen cars.

Scandals

In the wake of the emissions crisis, more than 11 million vehicles were considered unsafe and
returned to the manufacturer. This is always a bug in the Volkswagen clean past. The
company has done a lot to promote the new identity, yet this one event has created a lot of
scepticism among customers. Such a scandal could be fatal to a company like Volkswagen, as
the current generation is wary of approving companies that contribute to the environmental
cause.

Brand price

Some Volkswagen brands require a high level of brand spending. Rare brands of Porsche and
Bentley luxury cars, for example, require large sums of money to maintain.

38
In developing areas, these companies are unable to compete with names like Maruti and
Hyundai. Volkswagen currently needs to re-plan the future of these brands.

Opportunities
Volkswagen's opportunities are as follows: increased purchasing power and innovative
designs.

Increasing purchasing power

The purchasing power of the world is growing rapidly. Cars that were previously unavailable
to middle-class people are now within their reach. This is the perfect time for Volkswagen to
enter the semi-luxury car market. It looks like the vehicle of choice in most emerging markets
and can provide significant revenue to the company. The future of the brand is determined by
its ability to capture these new markets.

Unique designs

In recent years, the technological climate has greatly improved. Publish as many creative
designs as possible for Volkswagen cars. These designs are not only fuel efficient but also
environmentally friendly, which is a hot topic right now. Volkswagen can also enter the self-
driving car market with the help of strategic deals with the right technology companies. For
many of these companies, the combination of high-performance technology and premium
vehicles is definitely the way to go.

Threats
The dangers of Volkswagen's external environment are listed below.

The market did not expand

Volkswagen has worked hard to promote itself to the Millennials and Generation Z. As a
result, the personality of the brand appears to be a relic of the past. Volkswagen needs to
revamp itself as soon as possible to reach out to the younger generation. If a brand can’t do
that, they can’t be ahead of their competitors.

39
Environmental Issues

The current climate crisis has hit car manufacturing brands hard. Since vehicles are
responsible for a significant amount of environmental degradation, there is an urgent need for
eco-friendly Volkswagen vehicles. This is a new way to market the brand, as they already
have long-term environmental issues due to the emissions scandal.

Conclusion of SWOT Analysis of Volkswagen

So, these are the major strengths, weaknesses, pros and cons that the global auto giant is
currently dealing with. This article will give you a better idea about the Volkswagen brand
and how it will operate in the future market.

It is clear that the unique organizational capabilities of a brand and its ability to create a brand
are two important factors that drive it forward. Big deals have to be made to rebrand when
dealing with the emissions crisis. It is realistic to assume that Volkswagen's future will
depend on expanding its markets and incorporating technological advances in its cars.

40
 CHAPTER 4

DATA ANALYSIS AND INTERPRETATION

41
1. Which car (fuel based) do u prefer?

Data analysis

Customers preference No of customers

Petrol 34
Diesel 50
LPG. 16

No of customers
60

50

40

30
No of customers
20

10

0
Petrol Diesel LPG

Interpretation

As a result, we know that consumers are opting for diesel with sound quality.

42
 2. What do you feel great about your car when compared to other cars in the
market?

Data Analysis

Customers Perspective No of customers

Fuel efficiency 30
Low maintenance 18
Sound Quality 22
Safety 30

No of customers
35

30

25

20

No of customers
15

10

0
Fuel efficiency Low maintenance Sound quality Safety

Interpretation

Based on this question we can place cars according to customer views. Most
VOLKSVAGEN buyers buy vehicles based solely on the brand name. The percentage of
consumers who are satisfied with the energy economy is really low.

43
3. What kinds of offers do you like or expect from the dealer?

Offers No. of customers

Free insurance 16
Special discount on sale of cars 14
Extending the service period 40
Finance availability with 0% interest 30

Data Analysis

No of customers
45
40
35
30
25
20
No of customers
15
10
5
0
Free insurance Special discount Extending the Finance
on sale of cars service period availability with
0% interest

Interpretation

As a result of this question we will learn about the many advertising techniques / offers that
attract customers. As a result of the above study, many customers expect to extend their
service life as a result of the many offers offered to them.

44
4. What more do you expect from your dealer?

Data analysis

Expectations of customers No of customers

Information about new cars 20
Information about service & mileage 36
Assistance regarding loan & insurance 20
Understanding customer needs 24

No of customers
40
35
30
25
20
15 No of customers
10
5
0
Information Information Assistance Understanding
about new cars about Service regarding loans customer needs
and mileage and insurance

Interpretation:

The majority of customers want the dealer to provide information about car service and
miles travelled. Through the above inquiry we will find out about customer expectations and
service requests after merchant purchase.

45
5. Where do you get your car serviced regularly?

Data analysis

Place of service No. of customers

At authorized service centre 70

At a local workshop near home 30

No of customers
80

70

60

50

40

30 No of customers

20

10

0
At authorized At a local
service centres workshop near
home

Interpretation:

Most Volkswagen customers prefer to have their cars serviced exclusively by authorized
Volkswagen dealers. As a result, we can see the importance of certified auto service stores.

46
6. What other brand(s) will you seriously consider before making this car purchase?

Data analysis

Brand name No. of customers

Honda 24
MERC 30
SKODA 36
Volkswagen 10

No of customers
40

35

30

25

20
No of customers
15

10

0
HONDA MERC SKODA VOLKSWAGEN

Interpretation:

When asked to choose a brand other than Volkswagen, the majority of Volkswagen
customers choose Skoda. In terms of priority, MERC ranks second.

47
7.Can you share your experience with after sale service support?

Data analysis

Post service experience No. of customers

Very much satisfied 10
Ok 60
Satisfied 18
Not satisfied 12

No of customers
70

60

50

40

30 No of customers

20

10

0
Very much Satisfied OK Not Satisfied
satisfied

Interpretation:

This inquiry is designed to get acquainted with authorized dealer service standards. The
majority of customers are satisfied with the service only.

Only a small percentage of customers are happy with this service. Some customers are not
even satisfied with the service provided by Authorized Service Technicians..

48
8. Which bank do you prefer in getting financial help while purchasing a car?

Data analysis

Name of the bank No. of customers

ICICI 42
HDFC 12
SBI 40
Others 6

No of customers
45

40

35

30

25

20 No of customers

15

10

0
ICICI HDFC SBI Others

Interpretation:

Most customers choose ICICI and SBI banks for financial assistance when purchasing a
vehicle. Customers request a 0% interest rate on any financial assistance offered by the bank.

49
9. How do you feel when an unknown sales person approaches you by knowing your full
details to demonstrate about any product?

Data analysis

Customer opinion No. of customers

I will not respond 22

Lost my privacy 10

Interested in knowing 68

No of customers
80

70

60

50

40
No of customers
30

20

10

0
I will not respond Lost my privacy Interested in knowing (if
I feel a need of it)

Interpretation:

This question was asked indirectly to get customer ideas on VOLKSWAGEN data bank
management.

When the seller provides a comprehensive description of the car, most consumers respond
positively by expressing an interest in learning more about them.

50
10. What’s your opinion on a Brand Ambassador for the cars?

Data analysis

Customer opinion on ambassador No. of customers

Very necessary 86

Not needed 14

Waste of money for manufacturer 0

No of customers
100
90
80
70
60
50
40 No of customers

30
20
10
0
Very necessary Not needed Waste of money for
manufacturer

Interpretation: This inquiry aims to identify the importance of the car brand ambassador
from a customer perspective. Most VOLKSWAGEN customers believe that a brand
ambassador is needed to promote a vehicle.

51
11. What’s your opinion on the price list of Volkswagen cars?

Data analysis

Customer opinion No. of customers

Affordable by common man 12

Affordable only by rich man 84

Can’t say 4

No of customers
90
80
70
60
50
40 No of customers
30
20
10
0
Affordable bby common Affordable only by rich Cant say
man man

Interpretation :

More than 80% of buyers believe that VOLKSWAGEN cars are only available to the
affluent. These cars are very expensive for the average citizen.

52
12. Customer Satisfaction level with Volkswagen

Options Respondents Percentage

Extremely Satisfied 20 20%
Satisfied 25 25%
Neutral 22 22%
Dissatisfied 18 18%
Extremely Dissatisfied 15 15%
Total 100 100%

Customer Satisfaction level with

Volkswagen

Extremely satisfied
Satisfied
Neutral
Dissatisfied
Extremely Dissatisfied

Interpretation

20% of customers said they were very happy with the service. The remaining 25% comes
from content. Neutral customers make up 22% of the total. 18% were dissatisfied and 15%
were very dissatisfied.

53
13. Age of the Respondents

Frequency Percent Valid Percent Cumulative

(%) (%) Percent (%)
20-30 40 40 40 40

30-40 21 21 21 21

Above 40 39 39 39 39

Total 100 100 100 100

Age of the Respondents

20-30
30-40
Above 40

Interpretation

From the above analysis, 40% of the respondents are in the age group of 20-30 years, 21% of
the respondents are in the age group of 30-0 years and 39% are above the age of 40 years.

54
14. Source of Information about Volkswagen

Frequency Percent Valid Percent Cumulative

(%) (%) Percent (%)
Advertisement 33 33 33 33

Sales Person 47 47 47 47

Friends & 20 20 20 20
relatives
Total 100 100 100 100

Source of information about Volkswagen

Advertisement
Sales Person
Friends & Relatives

Interpretation:

According to the survey results, 33% of respondents learned about Volkswagen through
commercials, 47% learned about Volkswagen from marketers and 20% learned about
Volkswagen from friends and family.

55
CHAPTER - 5

56
5.1 FINDINGS

• Most VOLKSVAGEN buyers buy vehicles based on brand name only. The
percentage of consumers who are satisfied with the energy economy is really
low.
• Based on the above data, many customers expect to extend the service time as
a result of the many offers offered to them.
• This is why many clients expect extended service as a result of the different
incentives available to them.
• Why the majority of Volkswagen customers prefer to have their cars serviced
only by authorized Volkswagen dealers.
• When asked to choose a brand other than Volkswagen, most Volkswagen
buyers choose Skoda.
• Why the majority of customers are satisfied with the service. Only a small
percentage of customers are happy with this service. Some customers are not
even satisfied with the service provided by Authorized Service Technicians.

• More than 80% of buyers believe that Volkswagen cars are only available to
the wealthy. These cars are very expensive for the average citizen.

57
 5.2 SUGGESTIONS

• Increase the number of service centres in the organization

• Servicemen in service centres do not understand the problems we are talking about
and they do not solve car problems.
• • Management instructions must be provided.
• • Car mileage does not meet expectations
• The Company should concentrate for promotional activities like free offers, discounts
etc that can attract more customers.
• Customers need advertisements which are more informative, so giving more
informative advertisements will be beneficial to the firm.
• The company should add more attractive sales promotion techniques that can attract
more customers.
• Due to threat of entry of new players and existing competitors, company needs to be
more aggressive in terms of advertisements which helps to attract more customers.
• Customers suggested to provide information about new cars along with their price
lists atleast once in 6 months.

58
5.3 CONCLUSION

This project report based on the study on the topic "consumer awareness and expectation
towards services provided at Volkswagen, Pathanamthitta".

Volkswagen is one of the top automobile company and has good brand image in the
automobile industry. Here customer who prefer Volkswagen products are upper and middle
class customers. Quality assurance is the main motto of Volkswagen.

When compared to others still this company has good image in the mind of consumers. The
customer of Volkswagen products found that television advertisements are more effective
and as these advertisements are having an influence over their purchase. Volkswagen has
very few television advertisements, so they can concentrate more on television
advertisements in order to attract and inference customers to purchase from Volkswagen.
And they suggest that if the firm takes further steps to ensure that regularity of
advertisements, they can attract more customers, so providing more informative
advertisements will helps to make positive results. The advertisements and service activates
of Volkswagen are more effective and communicative, and introducing new methods of
advertisements and service activities will help to remain as the tough competitors in the
industry.

As Mercedes-Benz and Skoda are strong competitors, their shortcomings must be addressed,
such as convincing Volkswagen customers and offering a number of financing options.

Finally, I suggest that Volkswagen maintain and increase its market share in the UK by
improving its services and ensuring customer satisfaction.

59
 BIBLIOGRAPHY

Marketing research text and cases – Rajendra Nargundhar – Tata Megrahil-(2008)

Websites

www.volkswagenag.com

www.googlesearch.com

www.wikipedia.com

60
 APPENDICES
QUESTIONNAIRE

1. Which car (fuel based) do u prefer?

a) Petrol
b) Diesel
c) L.P.G.

2. What do you feel great about your car when compared to other cars in the market?
a) Fuel efficiency
b) Durability
c) Low maintenance
d) Sound quality
e) Safety

3. What kinds of offers do you like or expect from the dealer?

a) Free insurance
b) Special discount on sale of cars
c) Extending the service period
d) Finance availability with 0% interest

4. What more do you expect from your dealer?

a) Information about new cars

b) Information about service and mileage

c) Assistance regarding loans and insurance
d) Understanding customer needs

5. Where do you get your car serviced regularly?

a) At authorized service centre
b) At a local workshop near my home

61
6. What other brand(s) will you seriously consider before making this car purchase?
a) Honda
b) MERC
c) SKODA
d) Volkswagen

7. Can you share your experience with after sale service support?
a) Very much satisfied
b) Satisfied
c) Ok
d) Not satisfied

8. Which bank do you prefer in getting financial help while purchasing a car?
a) ICICI
b) HDFC
c) SBI
d) Others

9. How do you feel when an unknown sales person approaches you by knowing
your full details to demonstrate about any product?
a) I will not respond
b) Lost my privacy
c) Interested in knowing (if I feel a need of it)

10. What’s your opinion on a Brand Ambassador for the cars?

a) Very necessary
b) Not needed
c) Waste of money for manufacturer

11. What’s your opinion on the price list of VOLKSWAGEN cars?

a) Affordable by common man
b) Affordable only by rich man
c) Can’t say
62
12. Customer Satisfaction level with Volkswagen
a) Extremely Satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
e) Extremely Dissatisfied

13. Age of the Respondents

a) 20-30
b) 30-40
c) Above 40

14. Source of Information about Volkswagen

a) Advertisements
b) Sales Person
c) Friends & Relatives

63
 PRATHEEKSHA
PUSHPAKARAN
MB201522
by ... Turnitin

Submission date: 20-Mar-2022 11:49PM (UTC+0800)

Submission ID: 1788286812
File name: PRATHEEKSHA_PUSHPAKARAN_MB201522.docx (718.94K)
Word count: 10900
Character count: 60211

64
PRATHEEKSHA PUSHPAKARAN MB201522
ORIGINALITY REPORT

15 % 11% 1% 10%
SIMILARITY INDEX INTERNET SOURCES PUBLICATIONS STUDENT PAPERS

PRIMARY SOURCES

project2mba.blogspot.com
1 Internet Source 2%
Submitted to Amity University
2 Student Paper 2%
www.scribd.com
3 Internet Source 2%
startuptalky.com
4 Internet Source 1%
www.essay48.com
5 Internet Source 1%
Submitted to Wiltshire College
6 Student Paper 1%

65
 1%
Submitted to Westford School of
7
Management
Student Paper

www.volkswagenag.com
8 Internet Source 1%
Submitted to University of Bedfordshire
9 Student Paper 1%
< 1%
Submitted to University of Wolverhampton
10 Student Paper

< 1%
Submitted to The Chartered Institute of
11
Marketing
Student Paper

< 1%
Submitted to University of London External
12
System
Student Paper

Submitted to Asia Pacific University College of

13 < 1%
Technology and Innovation (UCTI)
Student Paper

66
 < 1%
Submitted to Universidad del Istmo de
14
Panamá
Student Paper

Submitted to University of Northampton

15 Student Paper < 1%
Wright, Peter L.. "Analyzing Media Effects on
16 < 1%
Advertising Responses", Public Opinion
Quarterly, 1974.
Publication

Submitted to Buckinghamshire Chilterns

17 < 1%
University College
Student Paper

Submitted to Coventry University

18 Student Paper < 1%
Submitted to London School of Business and
19 < 1%
Finance
Student Paper

Submitted to RMIT University

20 Student Paper < 1%
www.coursehero.com
21 Internet Source < 1%
67
 Submitted to International Business School
22 Student Paper < 1%
repository.usfca.edu
23 Internet Source < 1%
bposolution.vn
24 Internet Source < 1%
Submitted to Segi University College
25 Student Paper < 1%
Submitted to Turiba University
26 Student Paper < 1%
Submitted to University of Minnesota, Duluth
27 Student Paper < 1%
Submitted to City University of Hong Kong
28 Student Paper < 1%
Submitted to University of Liverpool
29 Student Paper < 1%
30 iosrjournals.org
Internet Source

68
 <1%
smepakistan.net
31 Internet Source < 1%

docshare.tips
32 Internet Source < 1%

Submitted to Kensington College of Business 33 < 1%

Brunei
Student Paper

epublications.vu.lt
34 Internet Source < 1%

www.audi.com
35 Internet Source < 1%

www.slideshare.net
36 Internet Source < 1%

www.testmagzine.biz
37 Internet Source < 1%

69
Exclude quotes Off Exclude matches Off

Exclude bibliography On

70
 Appendix
Mini Project Progress Report

Date of Topics Discussed Progress as on Date Signature

Meeting

The guide and student are expected to meet at least twice in a week and maintain the
record of the meeting and topics discussed between them

PRINCIPAL SIGNATURE HOD SIGNATURE GUIDE SIGNATURE

71
72