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A REPORT SUBMITTED TO MAHAMAYA TECHNICAL UNIVESITY,NOIDA
IN PARTIAL FULFILLMENT FOR THE AWARD 0F DEGREE OF „MASTER OF BUSINESS ADMINISTRATION‟ SESSION: (2012-2013)
SUBMITTED TO: MR.SATYANARAYAN FACULTY GUIDE SIMT GR. NOIDA
SUBMITTED BY: MOHD.ARMAN MBA- III SEM Roll.No.-1169270031
SKYLINE INSTITUTE OF MANAGEMENT &TECHNOLOGY (692) PLOT NO_3 , KNOELEDGE PARK_II,GREATER NOIDA
GAUTAM BUDDHA NAGAR -201306 (UP)
Skyline Institute of Management & Technology
Affiliated to Mahamaya Technical University, Noida
Approved by AICTE, Ministry of HRD, Govt. of India.
Plot No 3, Knowledge Park II, Greater Noida, Gautam Buddha Nagar – 201306 (NCR – UP). Ph: 0120 – 2320206; Fax: 2320207
Department of Management Studies
TO Whomsoever IT MAY CONCERN
This is to certify that the „Summer Training Research ProjectReport‟ entitled “MY MARKETING STRATEGY OF MARUTI SUZUKI” has been prepared by Mr.MOHD.ARMAN bearing Univ. RollNo:<1169270031> and enrolled as MBA III Semester student at Skyline Institute of Management and Technology, Greater Noida. This report embodies the original work done by the student and partially fulfills the requirement of the Mahamaya Technical University to award the degree of „Master of Business Administration‟ Head of the Institution
Skyline Institute of Management & Technology
Affiliated to Mahamaya Technical University, Noida
Approved by AICTE, Ministry of HRD, Govt. of India.
Plot No 3, Knowledge Park II, Greater Noida, Gautam Buddha Nagar – 201306 (NCR – UP). Ph: 0120 – 2320206; Fax: 2320207
Department of Management Studies
I, MOHD.ARMAN bearing Univ. Roll No: <1169270031>of Mahamaya Technical University, Noida and enrolled as MBA III Semester student at Skyline Institute of Management and Technology, Greater Noida, solemnly declare that I have completed my “Summer Training” in KARLO AUTOMOBILES PATNA (BIHAR) where I received the training for Eight Week. I am submitting the “Summer Training Project Report” of the training entitled “MY MARKETING STRATEGY OF MARUTI SUZUKI”. This report embodies the original work done by me and partially fulfills the requirement of the Mahamaya Technical University to award the degree of „Master of Business Administration‟
SIGNATURE MOHD.ARMAN MBA- III SEM.
In all MARUTI SUZUKI provided a wonderful environment for this very educative and instructive training. VIVEK MISHRA who was instrumental in timely completion of the project. Acknowledgement couldn’t end without expressing my gratitude towards Mr. I hereby acknowledge KARLO AUTOMOBILES (P) LTD. This formal acknowledgement will hardly be sufficient to express my deep sense of gratitude to all of them. Words fall short in expressing my sincere regards towards the members of (MARKRTING-EXECUTIVE) Mr. without which the satisfactory completion of this project would not had been possible. for providing the constant guidance for encouragement which helped me a lot to be successful in my efforts. It was a memorable experience while doing my project MARUTI SUZUKI. VIVEK MISHRA for their expert advice and invaluable suggestions. Patna. showing all the patience and abundant encouragement throughout the project duration. Lastly thanks to teacher and colleagues who directly or indirectly helped me in procurement of my goal.ARMAN) 4 . He is a constant source of inspiration to me. I am highly indebted and thankful to Mr. In the case of a student of MARKETING this aspect assumes an additional dimension.VIVEK MISHRA(MARKRTING-EXECUTIVE) for her guidance and encouragement. simulating (MOHD.Acknowledgement to the company The opportunity to get practical training in a reputed organization fulfills the felt gap between the theory and practical.
Skyline Institute of Management& Technology It is high privilege for me to express my deep sense of gratitude to all those faculty members who helped me in the completion of the project.ARMAN) 5 . SHAKTI PRAKASH who was always there at hour of need. SATYANARAYAN(FACULTY OF MARKETING) for helping me in the completion of project work and its report submission. My special thanks to Ms. (MOHD. Last but not the least my special thanks to the faculty of SkylineInstitute of Management& Technology for their kind co–operation and providing me with all the necessary documents needed and guidance during the time period of project completion.Acknowledgement to the Faculty Of MBA . especially my MBA Director Dr.
using relevant data or updated data in research methodology.plan has been made to aim at increasing the productivity at Gurgaon plant by 50% and reducing cost by 30%.The challenge 50 programme organized by Shinichi Takeuchi. meanwhile I also learn the behavior of consumer and their perception that how they react in market.different human resources utilization techniques.updation of the account.as Director(production) in oct 2001.In may 2002.As my focus was on the marketing strategy of the company which it uses. Beside these all things the different science and art tools used in the formulation of the report.PREFACE In the field of marketing it was an excellent experience that what we use to study during our MBA life.People reacts differently at different situations that‘s I noticed here in reality in the terms of marketing aspects.sent to one of the Suzuki‘s most profitable subsidiaries. 7 .It was a milestone achieved to much extend by breaking all previous plan and prove to be much competitive at that year for the rivals.the different strategy formulation according to change of the market situation.former head of Suzuki‘s Kosai facility in Japan. get chance to use it in market.the challengive task of good production in less time while controlling the quality and delivering the product all these fundamental approaches are being utilized in well and planned manner.Maruti Udyog. The Padagogy use to implement by the organization helps in different ways for the company to capture a heavy market share in the Indian automobile industries. 4Ps of marketing is being used by the organization.In practicle life it was little bit hard task during the implementation of the fundas of marketing.
CONTENT S. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Introduction TOPIC PAGE Theoretical Framework Objective of case study Research Methodology Company Profile Observation and Analysis Findings Limitation Conclusion Suggestion and Recommendation Appendix Questionnaire Bibliography References 8 . no.
Production of fuel-efficient vehicles to conserve scarce resources. to meet the growing demand of a personal mode of transport caused by the lack of an efficient public transport system. Suzuki Motor Company was chosen from seven prospective partners worldwide. A license and a Joint Venture agreement were signed between Govt of India and Suzuki Motor Company (now Suzuki Motor Corporation of Japan) in Oct 1982. 9 . This was not only due to their undisputed leadership in small cars but also to their commitment to actively bring to MSIL contemporary technology and Japanese management practices (which had catapulted Japan over USA to the status of the top auto manufacturing country in the world). The objectives of MSIL then were: Modernization of the Indian Automobile Industry. Production of large number of motor vehicles which was necessary for economic growth.INTRODUCTION Maruti Suzuki India Limited was established in Feb 1981 through an Act of Parliament.
5 billion. "No other car company so completely dominates its home market" . and in March 1994. with a profit of Rs 300 million in the first half. Despite there being 11 companies now in the passenger car market. Volume targets were routinely exceeded. Transfer of Technology Every minute two vehicles roll out of the Maruti Plant. Mrs. high depreciation on new model launches resulted in a book loss. a landmark yet to be achieved by any other car company in India. Harpal Singh of Delhi.5 million vehicles by December 2001. it became the first Indian company to produce over one million vehicles. although we generated operating profits on an income of Rs 92. We are again on track for profits in 2001-02. Maruti holds about 60 % of the total market share.(The Economist).1 %. MSIL is also the first and only car company in the world to lead its home market in terms of both market share and in the JD Power Customer Satisfaction study (JD Power Asia Pacific 2000 India Customer Satisfaction studies). Maruti is one of the most successful automobile joint ventures. sales were increased by 5. In 200001.THEORETICAL FRAMEWORK The Revolution Maruti created history by record production in 13 months. In this period.3%. Maruti is the highest volume car manufacturer in Asia. It is therefore imperative that the transfer of contemporary technology from our partner Suzuki is a smooth process. and has made profits every year since inception till 2000-01. having produced over 3. Indira Gandhi. On 14 December 1983. handed over the keys of the first car to Mr. We revolutionized the wav Indians looked at cars. 10 . outside Japan and Korea. the then Prime Minister of India. against an industry decline of 6.
It is this underlying philosophy that has molded our workforce into a team with common goals and objectives. Other visible features of this philosophy are common uniforms (at all levels). Maruti eyes Global Pie. Information sharing. there are only three levels of responsibilities ranging from the Board Of Directors. supervisors and engineers. Our Ethos Our employees are our greatest strength and asset. We have taken several measures like a flat organizational structure i. At present 20 % of our workforce is trained under this program. Team work. This structure ensures better communication and speedy decision making processes. Maruti Udyog is gearing up to become a global scale player and will be a R&D centre for Suzuki cars outside Japan. and a common canteen for all. From the beginning it was a conscious decision to send people to Suzuki Motor Corporation for on-the-job training for line technicians. transparency and a sense of belonging amongst employees. since the best equipment alone cannot guarantee high quality and productivity. In terms of manufacturing processes or quality systems or even R&D. Communication. It also creates an environment that builds trust. This helps them to imbibe the culture in a way that merely transferring technology through documents can never replicate. the flavor is 11 . Division Heads to Department Heads. to be R&D Hub for Suzuki New Delhi: With the enhanced backing of Suzuki. Becoming a global player is the resurgent theme of Maruti's future strategy in the post-privatization phase as listed in the IPO offer document filed with SEBI.Great stress is laid on training and motivating the people who maintain the equipment. Our Employee-Management relationship is therefore characterized by: Participative Management. Kaizen. and an open office culture for easy accessibility to implement this philosophy.e.
global. Clearly, the company wants to build on its leadership in the domestic market and make a place for itself in the global arena. After sharp gains in productivity and quality in the past two years, the company wants to further improve its operating efficiencies by cutting costs by 30% and enhancing productivity by 50% and align itself with Suzuki's Kosai plant in Japan by year '0910. On the quality front, while Maruti was amongst the first automobile manufacturers in the world to receive the ISO 9001:2000 certification, it wants to go further and adopt Suzuki's global customer audit index. But the biggest shift is in the area of R&D. Although Maruti has gained from its expertise in localization of components, it now wants to take R&D to another plane where it can become Suzuki's centre for cars in Asia, outside Japan. In fact, it has recently acquired the capability to conduct minor and major face lifts to its products and upgrade products in terms of technology or features. To reduce initial investment on models, Maruti may outsource dye from other than Japan, such as Taiwan, which are often less expensive. Maruti's initiatives are based also on its recent success in the export market. It sold nearly 24,000 units of the Alto in Europe last fiscal and its overall exports were up by a whopping 163% over the previous year.
Its global ambitions are also now nurtured by the backing of Suzuki Motor Corporation. The prospectus makes this point by Sayin2 that as a subsidiary of Suzuki, Maruti has "access to globally respected technology in the small car segment.‖
Even while maintaining the overall global theme, Maruti wants to leverage its local advantage. Its promise of providing customers a "wide range of Maruti branded services at different stages of ownership" is at par with other global manufacturers. It lays great emphasis on these Maruti branded services like insurance, finance and preowned cars, and believes that this "360 degree customer experience" will secure repeat purchase and increase revenue of the sales network. In supply chain initiatives as well, Maruti's reference is to the world wide purchase system fostered by General Motors. Through this, it could make a select few of its vendors the sole suppliers for Suzuki products in several countries. Our focus will continue to be the small car: Jagdish Khattar From a loss of Rs 269 crore in 2000-01, after being written off by many analysts, Maruti has bounced back: its 800 model is as popular as ever, new launches are picking up. Jagdish Khattar, managing director Maruti, spoke to Vinay Pandey on Maruti's transformation. Excerpts: Maruti's turn around: To understand Maruti today, you need to go back to 1993 when liberalization took place and foreign manufacturers were allowed to come.
Maruti should have taken proactive measures then. But between 1995 and 1998 our shareholders (the government and Suzuki) had differences. Decisions that should have been taken in the mid-90s to prepare for competition got delayed. In June 1998, we decided to increase our capacity by one lakh vehicles and to introduce four or five new models, which arrived a year and a half after our
competitors', who gained from this. Two, investments that should have been done over five years were done in 24 months in a hurry to launch new models. So, localization was low, the yen was strong, prices were market-determined, depreciation increased, and we ran into losses. That's when you got the feeling Maruti was in trouble. But internally, it was a very good wake up call, which did a lot of good to us. We brought out models, localized faster, cut costs massively. So even when everyone thought we were in trouble, we were confident that we'd bounce back. Our market share went down to 61%, but we've now stabilized around 58-59%. We took off a bit late, had lot of catching up to do, which we've done. Role of M800: People say 800 is old and so on. But go on the road and see someone on a two-wheeler, wife and two children, in rain, in winter, in summer. Is he going to be bothered about power windows and steering, or does he wish to be in a car and be comfortable?
Today we're selling air-conditioned 800s at Rs 2.2 lakh. Many people buying AC 800s may not have an AC at home. So, look at the tremendous role it is playing. India's car penetration is six per 1,000; Pakistan and Sri Lanka are at 12. Thailand is at 200, Japan and America are over 500-600. What I'm saying is that there's still a huge gap. If our motorization has to increase, we can't do that by selling expensive cars. We need to make cars more affordable. Therefore, a narrower gap between twowheelers and entry-level cars is what's required. It should also have good performance, no compromise on quality, fuel-efficient and low on maintenance. The 800 fits the bill.
but APM remained. Yes. But some amount of disadvantage between petrol and diesel will remain. we can't sell Alto at that. Now there is no hell of a chance of anyone buying a petrol version when a diesel alternative is available for the same purpose. We're seeing the same effect with Wagon R.000. Versa came.000 difference. Success of new models: Historically. we'll position the Alto between segments A and B. We launched five models in a space of 12 months. view it from our perspective. The gap between petrol and diesel prices would have then been negligible. We had to reduce our production plan drastically. Also. which is doing really well now. I'm not saying marketing is unimportant. For the Versa we've carried out a lot of localization. I joined Maruti in 1993 when Zen was introduced and we found it hard to sell initially. in 1998. And look what it is today. Versa is slightly different. but then after a year or two it caught on. When we decided on Versa. once we get costs under control. initially there's skepticism. Because of low 15 . the government had announced that in April 2002 the administered price mechanism (APM) for oil would be abolished. but there's nothing more effective than a present owner giving a good chit to prospective buyer. Maruti's new models never start with a bang. About 60-70% of our sales take place by referral. We'd like to have a car from the entry level to Rs 3-3. the pricing has been reworked and things are looking up. We had to prioritize. Those who bought the Baleno are very happy. So. then some people buy and share their experience.Rs 25.5 lakh at every Rs 20.The Alto can't replace the 800 today because the volume and price at which 800 is selling.
So it made no sense to just gain numbers. there are a dozen players.Telco. Anyway. our core competence and focus would be the small car because that is what the county needs and that is where the volumes are. Hyundai and Maruti and 80 % of the market is the small car segment. Now some localization has taken place and the product is getting its due. 16 . We'll import what is required. The Vitara is different. it's not manufactured here.localization. In the remaining market. we were losing money on Baleno. It is a very lopsided market structure today. Let us look at it in another way. There are only four major players in the small car segment . Fiat.
RAM KRISHNA SHANKAR Manager Manager sales Spares Customer Care Manager Workshop Accounting True Value 17 . SANJEEV KUMAR CEO Mr. Managing Director Mr. SHIVESH NARAYAN Human Resourse Manager Mr.ORGANISATION STRUCTURE AT KARLO AOTUM. (P) LTD.
HIMANSHU & Mr. GAURAV RANJAN Team Leader-2 Mr.PRAKASH KR. AJAY PRASHAD Sales executive (se) [5 sales executive under 1 team leader] WORKSHOP MANAGER Mr.Team Leader-1 Mr. JHA 18 .
Service Advisor/ Supervisor Pre-delivery Inspection (PDI) Accidental Unit Customer Manager Back Office Mr. GUPTA Mechanic Jr.K.C.Mechanic Electrician Denter/Painter 19 .
SHUSHIL KUMAR ↓ 20 .TRUE VALUE MANAGER Mr.Manager A/c Mr. SURAJ KANT KUMAR Evaluater‘s Executive Sales Executive Back Staff Office A/C Department ↓ Sr.
A/C Manager ↓ Executive A/C Manager Duties and Responsibilities of the Staff in KA(P)L. The duties and responsibilities of the staff of the dealer RKBK Automobiles ltd is To sale maximum vehcles . To be in the office at right time. To provide all the facilities and services to the customers which are given by Maruti Company to their customer. To maintain all the a/c with honesty. To create healthy environment in the organisation. To co-oporate with each other in the organisation. 21 . To complete the target of selling cars of dealers. To maintain good relation with the customers.
This confirms the position of the Maruti 800 as the most fuel efficient petrol car in the country and Maruti also launched their LPG model which is more economic than others. The Maruti 800 has topped every fuel efficiency survey that has been conducted in the past. The Maruti 800 has the lowest fuel cost per kilometer of any petrol car in the country with a cost of Rs1. 22 .94 per kilometer.PRODUCTS & SERVICES MARUTI 800 ECONOMY Great technology enables the Maruti 800 to deliver great fuel efficiency.
32 kgm @ 3000 rpm ensures better climbing power and lesser gear changes. In other words. With 37 bhp @ 5000 rpm. A torque of 6. you have greater pulling power. The punch line of the car is ―total solution of the entire family‖ Features are: MPFI Engine The multi-point fuel injected engine helps to lower emissions and achieve greater fuel efficiency.MARUTI OMNI FOR THE FAMILY This car position itself in the mind of consumer as a family car. less fatigue. The MPFI engine also meets all the stringent Euro II emission norms 23 .
SPACE Stretch out. your golfing gear. With its ample luggage space. Reclining front seats with adjustable head restraints let you relax completely. the Omni is equipped for anything. Pack in your family. Open up. your luggage. Enjoy the luxury of space inside the Omni. your picnic hamper…all can fit in snugly. The ample headroom and legroom make long rides comfortable and enjoyable. 24 . your group of friends.
25 . The 16x4 hypertech MPFI engine delivers unadulterated power. great mileage and low emission make the Alto the perfect choice for Indian roads.Alto becomes the first Indian car to undergo a 24 hours endurance test and sets 13 national records in the process. The 4-valves per cylinder MPFI engine mated with a 5-speed gearshift and a 16-bit onboard computer allows the Alto to effectively combine power with optimal fuel efficiency RELIABILITY Here's another first by ALTO. begging for fun. The fuel efficiency of the Alto is better than any other vehicles in its class. which has been setting records since its introduction in India.MARUTI ALTO Features are: MPFI ENGINE Plenty of power.
Full flat folding front seats and reclining rear seats allow you to stretch yourself during long drives. Wagon R also has a 1061cc MPFI low friction engine 26 . The McPherson strut suspension in the front and coil springs at the rear ensures a smooth comfortable drive.Wagon R COMFORT The smarter race knows exactly how to take the stress out of driving and push driving comfort to the max. This ensures that you travel in maximum comfort as compared to cramped seating arrangements in other cars. It's not just comfort.
Seven cm taller than the Santro. Caution. 27 . Just check out the battery of safetyfeatures: Dual side-impact beams in the front and rear doors protect you from lateral collisions. safety and protection are integral to a smarter mindset.SPACE Nothing cramps the style of the smarter race. high seats and wide opening doors make it easy to get in and get out. Tall body. The Wagon R comes with an extra large boot space. That’s why it prefers the Wagon R. allowing you to better anticipate traffic problems before they occur. the Wagon R offers more headroom.A long crumple zone shields you in the unlikely event of a frontal collision.A Roll Control device in the front suspension imparts greater stability and helps the Wagon R to negotiate sharp curves at high speeds. The split rear seating arrangement along with fully reclining front and the reclining rear seats gives a first class airline seating comfort. And the Wagon R is designed to satisfy every concern. which is possible because of its unique design that maximizes space on a compact platform. The 8 inch boosterassisted brakes equip you well to handle any emergency High seating position gives you a bigger field of view. amazing spaciousness and a commanding driving position.
ONE GREAT DRIVE. TWICE THE SAFETY
The Versa is one of the safest cars on the road. It has safety features to guard your loved ones from road disasters. Side impact absorbing beams in all 4 doors protect the passengers from side crashes. Front impact beams between the front pillars and the collapsible steering column shield you from head on collisions.
A steel pipe frame in the rear seat safeguards your family from rear impacts.ELR seat belts allow free movement, but hold you securely during sudden stoppages. Height adjustable head restraints, brake boosters and a collapsible steering column further ensure your safety. When you step out of the house and into your Versa, rest assured
Sink in. Stretch out. Lie back. Indulge
Versa's the ideal car for long journeys.Now stretch your legs on those long rides.All seats* have recliners.In SDX,the 2nd row bucket seats can be slid forward & backward independently to suit the convenience.
The high seat position makes it easy to get in and out and gives superior road visibility. The front row seats have thick insulation between seat and the engine. Two layers of PUF and aluminium sheets act as a buffer, protecting the driver from engine heat. The rear seat also has a steel pipe frame for protection in the event of a rear impact.* Except for the folding seat in 2nd row (DX, DX2) and last row seats.
Higher ground clearance of 210 mm to ensure better off-road handling. Diaphragm Spring Clutch designed to with stand higher rotational requiring less release load ,thereby reducing the wear of parts speeds
SNOW The Engine that‘s high on thermal conductivity, and heats up quickly even under extremely cold conditions. Thus, there are no starting problems even in the midst of snow.
This is a major advantage on sandy or muddy tracts — a heavier vehicle will get stuck but the Gypsy keeps and muddy terrain. A higher power to weight ratio of 0. 4-Wheel drive for better control and more power at the wheel. This responsiveness. The Gypsy is a lighter vehicle weighing in at 1020 kg (hard top) and 985 kg (soft top). more power and greater DESERT The Engine avoids overheating because its high thermal conductivity enables it to give off heat much faster STREAMS Maximum power of 80 bhp @ 6000 rpm makes for easier crossings. resulting in a higher power to weight ratio. ensures better control.0812 ensures faster acceleration through streams CKS DIRT TRACKS Steering Damper ensures that shocks encountered from bumps and potholes are not passed on to the steering wheel. Thus. any loss of control owing to unexpected obstacles is avoided. 31 . 1300 cc petrol engine — lighter than a diesel engine.
32 . The time has come for the Maruti Suzuki Swift. and a whole lot more enjoyable to drive than anything else in the compact-car category. one that's based on a fresh approach to design and development.SWIFT The time has come for a new kind of compact car. more spacious. more user-friendly. more refined. The Swift is more eye-catching. delivers the kind of driver and passenger experience that places it in a class of its own and has true worldwide appeal.
it is also equipped with latests safety features like Dual Airbags. 33 . offers luxury feature options including integrated stereo. It's a good news for the consumers because Swift DZire. steering mounted audio controls. ABS with EDB. It's true to say that many of these features are being offered for the first time in this segment in contemporary car market in India. collapsible steering column and an i-CATS anti-theft facility.SWIFT DZIRE Maruti Swift DZire The new Swift DZire joined the Swift and SX4 in Suzuki's Indian lineup and is intended to "redefine the market and stir excitement in the entry level sedan segment". Not only this but. which comes both in diesel and petrol engines. automatic climate control and power windows as well.
Variants Petrol LXI VXI ZXI LDI VDI ZDI Diesel RANGE OF COLOURS There is a wide range of colors for the customers. There is a long list of features of Swift DZire which includes: 34 . the Swift DZire is sophisticated in look and features. The newly Swift DZire is offered in seven colours: Arctic White Silky Silver Clear Beige Midnight Black Bright Red Azure Gray Sovereign Blue Features Launched as a replacement of the earlier mid size sedan Maruti Esteem.
thus avoiding accidents. Rich chrome styling for an imposing grille and an impressive rear is also there now.INTERIORS Steering Mounted Audio Controls: Swift DZire is equipped with a classy dashboard integrated audio system with remote control along with powerful speaker. Comfort & Convenience 35 . maintaining precise cabin temperature. A high mounted stop lamp and a rear bumper-integrated fog lamp give clear signals to following traffic. EXTERIORS Makes Heads Turn with its desirable exteriors: There is a chiseled shoulder line to complement muscular flared wheel arches and sills. Automatic Climate Control (ACC): Whenever you need to choose you temperature. Stylish wraparound tail lamps fitted. Headlight leveling allows you perfect light beam adjustment while driving. Powerful clear lens headlamps for superior night visibility is and additional benefit for you. just choose the temperature you desire and the on-board computers is there to auto-adjust to the weather outside.
Now. 36 . Sounds absorbing materials and vibration dampers for a smooth and pleasurable drive.Indulge your desire of complete comfort: All around power windows for improved convenience to the drivers is there now.Improved comfort in the back row for those who don't drive but enjoy the ride. so you enjoy a comfortable drive and enjoy the ride even for long distance. there is height adjustable drivers seat for personalized driving position. A tilt adjustable steering column lets you to set it just right for your height.
it is easily available with exclusive features which makes it all the more desirable among car connoisseurs. the model is all set to conquer the Indian auto biz market. With two variants. SX4 is almost like a car in it's construction & comfort context. is out with it's cutting edge new model. These are commonly referred as the "Urban Line" & the "Outdoor Line". Maruti Suzuki SX4. Suzuki and Maruti.4kgm. The model closely follows the Swift platform. a joint venture made by two of automobile czars.MARUTI SX4 Maruti Suzuki SX4 Maruti Suzuki India Ltd. therefore. 37 .and four. A mini SUV (sport utility vehicles) style.wheel drive. where the latter is more like an SUV in appearance compared to the first one.. The model is found in two. The car is expected to have 1590cc petrol engine making it capable enough to deliver a power of 94bhp and a torque of 13.
OTHER FEATURES Maruti Suzuki SX4 is assorted with elegant features which makes the model worth possessing. These are : ABS EBD Dual SRS airbags Front and rear side doors having impact beams Seat belt pre-tensioners Force limiters Car immobilizer Anti theft device Switchable three-mode 4x4 system for : 2WD 4WD Auto mode 4WD Lock mode 38 .
GRAND VITARA Grand vitara is anew segment entered by maruti. It is of premium segment. Price charged for grand vitara is between 13. Initially they are just in traditional cars business Grand vitara is a SUV (sports utility vehicle) with a powerful engine of 2600 cc. It delivers 4x4 drive.5 lakh to 16 lakh. It is fitted with a MPFI diesel engine. 39 .
Zen Estilo and the newly-launched A-Star. WagonR. and they combine with a trapezoidal grille to form a “face” that reflects the new Suzuki family identity. which includes its compact offerings such as Alto K10. the Maruti Ritz is 8cm wider than the Wagon R+.The price of RITZ is between 395000-570000 40 . Smartly shaped headlights give it a friendly appearance. PRICE. Maruti Ritz Description The new and ultra-low emissions K12M engine will make the Ritz India's first BS-IV ready passenger car. The engine has E10 compatibility . The car is positioned in the premium A2 market segment.MARUTI RITZ Maruti Ritz is perhaps the most awaited and hyped car from Maruti Suzuki.68 metres. Swift.With an overall width of 1.
198 units sold in 2008-09.752 units — a 27. Passenger cars 2. the Indian passenger vehicles market finally attained critical mass with sales volume of 900. Multi-purpose vehicles (MPVs) and 3. During 2004-05. Utility vehicles (UVs) 41 .4 per cent increase from 707. The passenger vehicle market is divided broadly into the following three categories: 1.MARUTI A –STAR MARKETS DOMESTIC Maruti primarily operates in the passenger vehicles market with an emphasis on passenger cars.
MPVs or the C segment and UVs or the B segment. During 2008-09.207 units in 2008-09.8 per cent in 2007-08 to 51. 42 . A6: Luxury — 5. Chart B gives the relative share of each segment in Maruti‘s passenger vehicles sales.001 mm and above. MSIL‘s presence in order of prominence and in volume term is in passenger cars.001 mm to 4. A5: Premium — from 4.401 mm to 4. Chart C plots MUL‘s sales volumes in these three categories for 2007-08 and 2008-09.400 mm.491 units in 2007-08 to 696. A2 and A3. PASSENGERS CAR In volume terms.4 per cent in 2008-09.701 to 5. but also managed to overcome intense competition and gain market share — which increased from 50.6 per cent from 541.700 mm. Maruti continues to be the market leader. The Indian car market is classified into six categories based on the vehicle length 1: Mini — up to 3.Within these categories.501 mm to 4. not only did Maruti grow due to the overall market growth. A2: Compac — from 3. A3: Mid-size — from 4. 000 mm.000 mm.500 mm. passenger car sales accounted for over 77 per cent of the Indian passenger vehicles market and grew by 28. where passenger car sales have been broken up according to the SIAM based classification (A1-A6). MUL has presence in three of these categories namely A1. A4: Executive — 4.
and MSIL is undertaking many efforts in this direction.3 per cent in 2007-08 to 47. While the category grew by 23. We believe that given India‘s income distribution and low levels of car penetration. 43 . Things have fundamentally changed in 2008-09. and consumers buying their second car.9 per cent during 2007-08. Penetrating this market requires greater reach in distribution. Through a well-crafted strategy. MSIL has tied up with the State Bank of India (SBI) to finance cars. and we expect to reach parts of the rural markets hitherto uncovered by retail finance availability.7 per cent in 2008-09. This is the segment where the company faced stiff competition in the last few years. To penetrate deeper into the Indian market. India is the second largest two-wheeler market in world with sales of around 5 million two wheelers during 2008-09. the company‘s market share has increased from 40. SBI has the widest branch network in India. The existing stock of two wheelers on India‘s roads is over 50 million. the A1 and A2 segments will continue to register strong growth as the population increases its levels of motorization. Sales volumes increased by 16. Maruti consolidated its leadership position in the A2 category. With cheaper credit facilities. Today. MSIL‘s sales volume grew by 46 per cent. your company is the only player in this category. which has the models to tap this huge growth opportunity. especially in the higher end segment. Consequently. and had lost some ground due to delays in launching new models.A1 CATEGORY: With its Maruti 800. should shift to cars in the A1 category. Growth in this economy segment comes mainly from first-time buyers. many users of two-wheelers. MSIL is the dominant company in India. A2 CATEGORY: Maruti has three models in this category — Zen. Alto and Wagon R.4 per cent in 2004-05.
which rejuvenated the brand in the market. Aggressive pricing of the Alto was supplemented by a strong ad campaign that targeted the younger generation. There were also signifi cant changes in the Wagon R. Maruti lost some market share as its volume sales grew by around 30 per cent. 59 per A3 CATEGORY: This is a highly fragmented category with several models. MSIL‘s two models —Swift Desire& SX4— have a combined market share of a little over 10 per cent. against the overall category‘s growth of 50. to increase market penetration. These factors played a role in boosting the volume of Alto sales by over 125 per cent.8 per cent. which con tributed to a volume growth of cent. MSIL revised the prices of SX4 downwards and launched a new version — the SX4Lxi.Apart from strengthening the distribution network. and no single player has major leadership position. New variant of the Zen was launched in the latter half of 2003. In the last quarter of 2008-09. We have already started witnessing results from this initiative. 44 . key initiatives that drove this growth during 2008-09 include: Strengthening the brand image of the three models through advertisements and sales promotional initiatives. Repositioning Alto in a niche space between A1 and A2 cars.
Here. which runs on LPG was launched to tap newer cargo markets. by JD Power‘s survey on IQS. A tribute to its efforts at improving customer satisfaction is the top ranking given to the Wagon R in the premium compact segment. Maruti marginally increased its share in this segment with about 55. the company Launched its state-of-the-art sports utility vehicle (SUV) — the Grand Vitara. Maruti‘s models include the Omni and the Versa. The primary model in this segment is the Gypsy.5 per cent. 45 . In 2011-12. Maruti is the dominant player with nearly 100% market share. C us tom er Ori ent at ion The growth in sales volumes is a consequence of Maruti‘s continuous stress on customer focus. Regular interface and feedback from customers is integral to the company‘s planning process. and Esteem in the entry midsize segment. A new Omni variant. During the latter half of the year. Maruti launched an economy model of the Versa. Table 1 gives a snapshot of five top reasons why people buy Maruti cars as per the JD Power survey. During April 2003 .2 per cent in volume terms during 2004-05. Passenger Cars + MP V Market Passenger cars and MPVs are generally analyzed as a comprehensive segment. the company‘s sales volumes grew by 18.MULTI-PURPOSE VEHICLES (MPVs) In this segment. Segment with a market share of only 2.7 per cent.
Another interesting point is that while Maruti‘s 46 . has increased to above 50 per cent in 2009.It is important to note that the rating. which was between 10 and 20 per cent in 2008.
MSIL‘s technological capabilities are getting greater recognition as in 2011: ―good technology‖ became one of the five leading reasons cited by customers for buying a Maruti car. which actively reaches out to potential customers. On the same lines. 47 . The confidence of the dealer community in Maruti is spelled out by the fact that 28 existing dealers made large investments and opened new showrooms. The company has extended its dealership network to 280 sales outlets. It is imperative to have a robust dealer network to push sales to the final customer. Since Maruti does not have a diesel vehicle today.UT I L IT Y VE H ICLE S (UVS ) Diesel vehicles dominate this segment with a share of around 95 per cent. 59 new workshops were opened by 51 existing dealers. spread over 182 cities. it remains a small player in the MUV economy factor was the most important reason for purchase in 2009. and has a service network of more than 1900 workshops spread across 1000 cities. The automobile industry has two levels of customers — the dealer and the buyer. the company‘s reputation has become the leading factor determining the customer‘s purchase decision in 2010. Maruti has managed to build a strong brand image in the last four years. This is mainly because vehicles in this segment are by nature heavy and diesel has a policy determined price advantage over petrol. Dealership and Service Network This high level of customer satisfaction and award of number 1 position in customer satisfaction by world renowned J D Power survey for four times in a row can be translated into sales only through a strong dealer network. Thus.
In all these businesses. the key factor in developing a good dealer network is to assure profits for the dealers. Other services that have been launched under new business initiatives of Maruti include Maruti Finance (a consortium of finance companies). Those dealers who achieve or exceed a certain score are financially rewarded for their efforts. there are many services and products which can be offered to the customer like finance. During the course of a car‘s life. None of the risks related to these businesses are booked in the books of MSIL. Maruti has worked hard to revitalize and strengthen its dealership network. MSIL treats its dealers as its first level of customers. Most dealers have understood the importance and profitability of this new business model and their strong motivation has resulted in record top-line growth for 200809. In the last three years. Maruti believes that selling a car is only the beginning of a long-term relationship with the car buyer. MSIL offers its customers a suite of products through its authorized dealers. Maruti plays the role of an aggregator and brand manager. Maruti Insurance and the pre owned cars business under the True Value brand name.Therefore. spare parts and finally trade-in resale opportunities. insurance. 48 . This not only meets a much larger basket of customer needs but also provides dealers with the opportunity to generate greater profits. A key initiative to promote best practices on the dealer front has been the practice of the balanced scorecard to evaluate dealers. Apart from having a good product. which meets all the requirements during the life cycle of a car. accessories. service.
49 . Sri Lanka and UK. EXPORTS 2009-10 was also a landmark year for Maruti in terms of exports. and now. Within the A2 category the YG4 (Alto) was a huge success in the European market. Kuwait and Qatar) for the first time with the new Alto GCC specifications.9.The company acknowledges that superior customers experience is only possible if the dealers‘ employees are adequately trained. We are proud to state that Maruti‘s dealer‘s technicians were ranked the best among Suzuki distributors in South-East Asia. specially designed for this region. Belgium. The FOB value of exports grew by 51. an Indian team will participate in the International Technical Skill Competition in Japan. We also achieved substantial growth in our exports to Algeria.7 per cent from Rs. Chile.5 per cent growth in exports of A2 category cars.175 units.8 per cent increase in exports of Maruti 800. To achieve this. training is undertaken in all areas of dealership operations. where 34. Maruti entered the Gulf market (Saudi Arabia.204 million in 2007-08 to Rs. Maruti‘s export growth has been driven primarily by 56.6. and 60. Nepal. Germany. The M-800 and the Zen were very well accepted in Algeria. Denmark. It is also the first year in which the company exported over 50. It exported 51.410 million in 2010-11 — which is the highest ever in Maruti‘s 17 years‘ export history. Hungary.000 vehicles.399 Suzuki Altos were sold during 2008-09. Bhutan.
8 per cent.000 units per annum. our operational efficiencies have helped us remain competitive.960 units in 2010-11 to 472.908 units in 2011-2012 Two years ago. increasing productivity and maintaining delivery schedules.4 per cent.7 per cent and A3 grew by 33. It is on the foundation of such strong operations that MSIL offers its customers a suite of 10 models in over 50 variants. as markets have turned upbeat. A2 grew by 47. your company had initiated a program called ‗Challenge 50 — go fast. high quality‘ across its production facilities. PRODUCTION Spread over 297 acres. Total vehicle production increased by 31. In times of unfavorable market conditions. An example of Maruti‘s strength in operations is its capability to roll out two vehicles every minute from its shop floor. Production increased across all categories of passenger cars — the A1 category grew by 20. in the backdrop of fierce competition. we have leveraged this strength to seize opportunities and ensure that profits outpace top-line growth.OPERATIONS Your company remains steadfast in its quest for achieving higher operational efficiencies. Today. Chart D shows the category-wise production of vehicles in 2009-10 and 2010-11. 50 .4 per cent from 359. This includes efforts at reducing costs. Maruti has three fully integrated production facilities with a combined capability of 500.
Thus. This has always been a key focus area for your company. one of the immediate goals was to develop and establish a competent vendor base. which dropped from 30 days in 2009-10 to 19 days in 2011-2012. auto-component suppliers were almost non-existent. and developing production processes for suppliers. there has been a considerable reduction in inventory holding period. this situation has changed. transplanting technology.The principal philosophy behind this program is to raise our productivity levels by 50 per cent in three years through Kaizen and continuous performance benchmarking. This has improved by around 54 per cent in the last three years. given the severe competitive pressures over the last few years. This involved providing capital. Nevertheless. 51 . Some of the operational issues in this regard are discussed below. Today. 2010-11 is the last year of this program. When MSIL started its operations in India. A critical parameter that measures efficiency of production systems in the automobile industry is manhours spent in producing one vehicle. This has considerably eased pressure on the vendor development front. SUPPLIER MANAGEMENT In an industry like automobiles. vendor management becomes a critical operation. vendor management has become critical to the business. this program has already yielded impressive operational gains for the company. where large part of its components are outsourced. In addition. The Indian auto-component industry is increasingly finding global recognition for its production capabilities and low costs. As shown in Chart E.
This initiative has gathered greater momentum this year with the introduction of ‗Junkai‘ (or ‗Focus‘) visits by our engineers to our vendors‘ production facilities. It has also provided our vendors with the requisite volumes to realise economies of scale. Maruti has been continuously engaging in Value Analysis/Value Engineering (VA/VE) activities across its operations. Maruti expects its vendors to initiate and develop specialised components on their own. In the long run. R&D AND TECHNOLOGY R&D activities of Maruti have the twin objectives of reducing product costs by developing capabilities of local vendors and becoming a regional R&D hub for all Suzuki operations. Improving quality and productivity of the vendors is a priority area for Maruti. Junkai visits facilitate development of 52 . Going forward. improvement in this area is of considerable importance to MSIL. we plan to have technically and financially capable set of vendors. Hence. The company has adopted a ‗focused model cost reduction‘ technique. there is still high variability. whose standards match up to those of Maruti. while it focuses energies on its core competency of making better cars. While the average standards have improved significantly over the years. Our company has been encouraging vendors to develop their own technology and R&D capability.220 at the end of 2009-10 This has helped us enhance supply chain efficiencies by lowering the time and costs involved in dealing with more vendors.
evaluation. current cost structures of vendors are analyzed in detail and specific cost reduction targets suggested. and stamps / dies designing. In its early days.house die-shop for the first time. The dies for the new body panels were developed in. is taken to accelerate implementation. In the year under review. clay modeling. and reduction in cost of bought-out parts. These include styling. To help vendors achieve these targets. All the changes required in the existing production facilities were also developed 53 . In addition. resulting in significant reduction in the investment required for these modifications. Maruti has started conducting cost workshops with vendors supplying high cost parts. yield improvement and process cost reductions. All modifications done on the new Zen model introduced by the company in 2010-11 were carried out in-house by the R&D team. wherever applicable.fresh VA/VE ideas for cost reduction and also reduce the cycle time for idea evaluation. Over the years. computer aided design. prototype making and its in house. In these workshops. 33 such visits were made. the Maruti R&D centre was primarily involved in providing technical assistance to local component manufacturers. The assistance of vendors‘ collaborators. localization of inner parts. a team of engineers from Maruti and Suzuki visit their production facilities and develop an action plan to meet these targets. The action plan often includes VA ideas. this centre has developed capabilities for face lifts and body changes of current models.
and provide real-time feedback for continuous process improvement by following the concept of ―plan -do-check-act‖. The GCA methodology places a great deal of emphasis on delivering products which meet the quality requirements of our customers. In the year under review. This includes examining the vehicle in ‗static condition‘ and then in ‗dynamic condition‘ by test driving it under varied road conditions to check all functional parts. We are pleased to report that our initiatives on the quality front have yielded gains: 54 . MSIL introduced the concept of ‗Quality Gates‘ across its manufacturing processes.QUALITY Maruti has raised the bar for quality checks by adopting the ‗Global Customer Audit (GCA)‘ mechanism. requisite remedial measures are undertaken to ensure that defects are not carried in vehicles which are under production. a select number of cars are picked at random everyday and taken through rigorous tests. To this end. MSIL is actively involved in assisting its suppliers to improve their quality practices to TS 16949. MSIL‘s press shop and related functions received the TS 16949 quality certification in 2008-09. The total cycle time for GCA is 95 minutes per vehicle. we believe it is imperative that these high quality standards be shared by our vendors too. While we are proud of this achievement. These ‗Quality Gates‘ have been positioned at 110 key locations throughout the manufacturing process. In this process. Based on the GCA feedback.
while in A3 segment. an international survey agency. 1 in the prestigious JD Power Customer Satisfaction Survey. In the highly competitive A2 segment. NFO. It has been a constant endeavor of the management to share with its workforce the opportunities and challenges faced in its business operations. This initiative was given a major thrust with organizing a training program for the union working committee members so that the message reached the workmen. was launched to cover 100% of our workmen on the global business trends and the ever-increasing 55 . a one-day training program. dedication and commitment of its employees. 2008. Subsequently. In 2008. The successes and accomplishments of the company over the years have been entirely due to the motivation. Wagon R was rated best in overall quality rating. followed by the Zen. ‗Sankalp‘.1 rank is for fourth time in a row — which is a world record for any automobile leader in a country.1 in the ‗Total Customer Satisfaction‘ for Premium Compact segment. its people. and will continue to be. Esteem achieved top ranking in 2012. HUMAN RESOURCES Maruti‘s most valuable asset has always been. In 2011-12. MSIL was ranked No. ranked Maruti WagonR as no. Through this training program. This No. Maruti models topped ‗Initial Quality Study‘ conducted in India by JD Power Asia Pacific. management shared its perception of the company‘s future and familiarized the union members with the competitive pressures faced by the company.
Management training programs focusing on leadership and change management were organized by the Company for all departmental heads. To this end. Maruti offered a Voluntary Retirement Scheme (VRS) to its employees in the year under review. and followed an earlier VRS offer made in 2005-06.251 employees. a priority area for Maruti is to rationalize and redesign its manpower needs to transform itself into a lean and competitive organization. one yearlong training-cumorientation program for new campus recruits. This offer was accepted by 1. In light of mounting competitive pressures. which was accepted by 1. The objective was to highlight the need for a change in mindset and approach to business. Encompasses a flexible perquisite basket based compensation package. Going forward. The Sankalp series will continue through the year to cover the entire workmen population.050 employees. Apart from this the Company also has a well-structured.competition. supervisors and engineers to Suzuki factories in Japan for on-the-job training programs. As a part of this. Developing human resource capabilities across all levels and functional areas is integral to the company‘s human resource philosophy. we believe that this agreement would provide us the confidence and strength to keep our costs competitive and bring in greater operational resilience. (MSIL) sends its workers. Varying from one month to two years. these programs are not only aimed at enhancing technical skills but also inculcating the Japanese way of working and facilitating cross-cultural exchange. 56 .
Industrial relations remained cordial throughout the year and not a single day‘s work was lost due to strikes or disputes. this agreement. IT tools have now found use across all areas of operation including marketing and sales. plant and production management. INFORMATION TECHNOLOGY Since its inception 20 years ago. With growing business complexities. Apart from bringing in the concept of cost to company in the remuneration scheme for workers. raw material and spare parts management.As on 31 March 2011. a five year wage settlement agreement was signed by MSIL with its workers‘ union. MSIL has 3. The IT initiative of the company started in 1983 with the implementation of a booking system for its vehicles. It 57 . workshops and authorized service stations spread across the country. As mentioned earlier Maruti has the widest network of dealer comprises dealership showrooms. While this system has proved to be effective. Maruti Udyog has made concerted efforts to leverage innovative and cutting-edge Information Technology (IT) tools to enhance operational efficiencies. Currently transactions with these dealers are through a centralized ‗extranet‘. This system — implemented in Application Service Providing (ASP) mode — will provide real-time information on all transactions between dealers and the company. the company is in the process of launching a first-of-its-kind Dealer Management System (DMS). During 2011-12.334 employees. which allows dealers to log in and transact business in an online mode. finance. to further enhance operational efficiencies.
VTS along with existing Quality Gate System has considerably enhanced our quality control systems and has given us an important competitive advantage in today‘s scenario. It enhances shop-floor efficiencies by providing accurate and timely instructions to the shop-floor. Maruti has also introduced a Vehicle Tracking System (VTS) at two of its plants. This is one of the best practices inherited from Suzuki. The company has successfully used this to significantly reduce costs of procurement. Going forward. along with a feedback to the business systems. 58 . while bringing in greater transparency into the system. This acts as an interface between business and shop-floor systems. and has significantly smoothened our Just-In-Time (JIT) operations on the shop-floor. One of the key initiatives on the operations front has been the introduction of ENagare— a system for material scheduling and ordering. MSIL intends to increase procurement through e-sourcing. and standardize service delivery at customer touch points. Going forward. The system is presently undergoing pilot testing.would bring in ‗downstream-visibility‘ into the distribution network. (MSIL) has also taken up e-sourcing as one of the key focus areas for cost reduction and improved procurement. this infrastructure should provide additional strategic capability of introducing more products and variants on the same production facilities. and is expected to be operational by November 2011. and is in the process of deploying a software solution which is integrated with MUL‘s internal applications.
Knowledge management is another area of focus for MSIL. an intranet portal using Microsoft Share point software — one of the first six free sites of this product developed by Microsoft before its launch worldwide — has been established. To this end. and is finding increasing popularity among employees across all levels and functional areas 59 .
To know the different techniques used by MARUTI SUZUKI for maximum sale in the city. in improving the customer satisfaction and the company sales and profitability To know the customer satisfaction towards the after sales service offers by MARUTI SUZUKI so that more attraction of customers can occur. To know the customer satisfaction about the safety and comfort provided by MARUTI SUZUKI. MARUTI SUZUKI in the geographic To provide suggestions..OBJECTIVES OF THE CASE The study has been under taken to analyze the marketing stratetgy of MARUTI SUZUKI in PATNA(BIHAR) with a special reference to the KARLO AUTOMOBILES (P) LTD. the other objectives are: To gather information about marketing strategy of region of PATNA (BIHAR). 60 | P a g e .
to review and critique the industry norms and reports. planned approach to the research project and ensures that all aspects of the research project are consistent with each other. The research process provides a systematic. each representing the answer to a key question. recommendations and ultimate actions. on which certain issues shall be selected.RESEARCH METHODOLOGY A research process consists of stages or steps that guide the project from its conception through the final analysis. The various tasks that I have undertaken in the research design process are : 61 | P a g e . RESEARCH DESIGN I propose to first conduct a intensive secondary research to understand the full impact and implication of the industry. which inhabit growth and segmentation in the industry. which I feel remain unanswered or liable to change. Research studies evolve through a series of steps. This stage shall help me to restrict and select only the important question and issue. this shall be further taken up in the next stage of exploratory research.
Communication of results. RESEARCH PROCESS The research process has four distinct yet interrelated steps for research analysis It has a logical and hierarchical ordering: Determination of information research problem. descriptive and causal research. Execution of research design. Defining the information need Design the exploratory. Development of appropriate research design. 62 | P a g e .
which entails the use of data gathered by someone other than the researcher information that is obtained directly from first-hand sources by means of surveys. independent observations and test results. step and specific procedure. EXPLORATORY RESEARCH The method I used for exploratory research was Primary Data Secondary data PRIMARY DATA New data gathered to help solve the problem at hand.Each step is viewed as a separate process that includes a combination of task. As compared to secondary data which is previously gathered data. Consists of original information that comes from people and includes information gathered from surveys. focus groups. Data gathered by the researcher in the act of conducting research. observation or experimentation. 63 | P a g e . An example is information gathered by a questionnaire. The steps undertake are logical. impersonal and ongoing. This is contrasted to secondary data. objective. systematic. valid. Qualitative or quantitative data that are newly collected in the course of research. reliable.
Secondary source of data used consists of books and websites My proposal is to first conduct a intensive secondary research to understand the full impact and implication of the industry. There are two types of secondary data: internal and external secondary data.Primary data is collected by getting questionnaire filled by the respondents. this shall be further taken up in the next stage of exploratory research. government. 64 | P a g e . such as a market research company or the U. having been collected for another purpose. such as existing sales-tracking information. to review and critique the industry norms and reports. Sources include census reports.S. and subscription services. it can be internal data. SECONDARY DATA Information that already exists somewhere. on which certain issues shall be selected. Information compiled inside or outside the organization for some purpose other than the current investigation Researching information. which I feel remain unanswered or liable to change. or it can be research conducted by someone else. trade publications. which has already been published? Market information compiled for purposes other than the current research effort.
DESCRIPTIVE RESEARCH STEPS in the descriptive research: Statement of the problem Identification of information needed to solve the problem Selection or development of instruments for gathering the information Identification of target population and determination of sampling Plan.for interpretation and for recommendation. 65 | P a g e . Design of procedure for information collection Collection of information Analysis of information Generalizations and/or predictions APPLIED STATISTICAL TOOLS Graph and Pie-chart are used as statistical tools for hypothesis .
written or oral. The questionnaire method has come to the more widely used and economical means of data collection. These questionnaires were personally administered. The respondents were contacted at shopping malls. The primary data collected by directly interacting with the people. students. It was also important as researcher to respect the samples time and energy hence the questionnaire was designed in such a way.DATA COLLECTION Data collection took place with the help of filling of questionnaires. The common factor in all varieties of the questionnaire method is this reliance on verbal responses to questions. The data was collected by interacting with 100 respondents who filled the questionnaires and gave me the required necessary information. I found it essential to make sure the questionnaire was easy to read and understand to all spectrums of people in the sample. businessmen. the required information was collected by directly interacting with these respondents. places that were near to showrooms of the consumer durable products etc. The first hand information was collected by making the people fill the questionnaires. 66 | P a g e . markets. The respondents consisted of housewives. that its administration would not exceed 4-5 mins. professionals etc.
This will be either all or a subset of potential users. The group of people you are trying to reach with a particular strategy or activity. and preferences. women. the sampling frames to matches the target population. I have selected the sample trough Simple random Sampling SAMPLE SIZE: This involves figuring out how many samples one need. The audience defined in age. for which a given course of instruction is intended.DETERMINATION THE SAMPLE PLAN AND SAMPLE SIZE TARGET POPULATION It is a description of the characteristics of that group of people from whom a course is intended. It attempts to describe them as they are rather than as the describer would like them to be. Operations Management and Leadership. Also called the audience the audience to be served by our project includes key demographic information (i. 67 | P a g e . background. such as adolescents. Accountability and Evaluation. may refer to groups with specific demographic or geographic characteristics. sex etc.. A specific resource set that is the object or target of investigation. age. A population to be reached through some action or intervention.The specific population intended as beneficiaries of a program. The target population is the population I want to make conclude an ideal situation. ability. among other things. rural residents. Topic areas: Governance. or the residents of a particular geographic area.).e.
The attitudes the interviewer revels to the respondent during 68 | P a g e . Open-ended questions can be biased by the interviewer‘s views or probing. The target population influences the sample size.The people were from different professional backgrounds. The target population represents the PATNA regions. The details of our sample are explained in chapter named primary research where the divisions are explained in demographics section. as interviewers are guiding the respondent while the questionnaire is being filled out.The numbers of samples you need are affected by the following factors: Project goals How you plan to analyze your data How variable your data are or are likely to be How precisely you want to measure change or trend The number of years over which you want to detect a trend How many times a year you will sample each point How much money and manpower you have I have targeted 100people in the age group above 21 years for the purpose of the research. ERRORS IN THE STUDY Interviewer error There is interviewer bias in the questionnaire method.
opinion. probing and clarifications maximize respondent understanding and yield complete answers. As interviewers.the interview can greatly affect their level of interest and willingness to answer openly. Sampling error We have taken the sample size of 100. these advantages are offset by the problems of prestige seeking. social desirability and courtesy biases. attitudes or facts required additionally uninformed response errors and response styles also led to survey error. 69 | P a g e . which cannot determine the buying behavior of the total population. Questionnaire error The questionnaire designing has to careful so that only required data is concisely reveled and there is no redundant data generated. The sample has been drawn from only local Capital Region. The questions have to be worded carefully so that the questions are not loaded and does not lead to a bias in the respondents mind Respondent error The respondents selected to be interviewed were not always available and willing to co operate also in most cases the respondents were found to not have the knowledge.
HYPOTHESIS In statistics. but it also allows for the possibility of obtaining further data and then re-examining the same hypothesis. It is a series of advanced decision taken together comprising a master plan or a model for conducting the research in consonance with the research objectives. Failing to reject H0 says that there is no strong reason to change any decisions or procedures predicated on its truth. a null hypothesis (H0) is a concept which arises in the context of statistical hypothesis testing. time and money. A null hypothesis is never proven by such methods. A research design is the detailed blueprint used to guide a research study towards its objective. A common convention is to use the symbol H0 to denote the null hypothesis. Statistical hypothesis testing is used to make a decision about whether the data does contradict the null hypothesis: this is also called significance testing. The null hypothesis describes in a formal way some aspect of the statistical behavior of a set of data and this description is treated as valid unless the actual behavior of the data contradicts this assumption. If this value (sometimes called the "pvalue") is small then the result is called statistically significant and the null hypothesis is 70 | P a g e . The classical approach is to calculate the probability that the observed effect (or one more extreme) will occur if the null hypothesis is true. as the absence of evidence against the null hypothesis does not establish the truth of the null hypothesis.REASEARCH DESIGN Research design is a conceptual structure within which research was conducted. Research design is needed because it facilitates the smooth sailing of the various research operations. thereby making research as efficient as possible yielding maximum information with the minimum effort. The alternative hypothesis (or maintained hypothesis or research hypothesis) and the null hypothesis are the two rival hypotheses whose likelihoods are compared by a statistical hypothesis test Usually the alternative hypothesis is the possibility that an observed effect is genuine and the null hypothesis is the rival possibility that it has resulted from chance.
Incorrectly rejecting the null hypothesis is a Type I error. incorrectly failing to reject it is a Type II error. 71 | P a g e . then the null hypothesis is not rejected. If not.rejected in favor of the alternative hypothesis.
Third. coupled with significant improvements in operational efficiencies.14 in 2010-11 to Rs. The company has consolidated and initiated a new growth momentum. therefore. There have been several developments. Second. of which it is useful to begin with three. the Government of India divested a majority of its shares through an initial public offer(IPO) and made way for greater participation from you — the shareholders – in the fortunes of India‘s leading passenger car manufacturer. This is the 72 | P a g e . Maruti recorded its highest ever sales of over 4.840 million — a growth of 25.77 in 2007-08. the year 2011-12 was a watershed year for Maruti Suzuki India Limited (MSIL). The sharp revival in the Indian economy — from 6 per cent GDP growth in 2010-11to 8. has translated into much higher returns on investment.9.8 per cent over 2009-10. Earnings per share (EPS) more than trebled from Rs. driven by renewed vigor and aggression in the market.72 lack vehicles in the domestic & export markets which resulted in gross sales revenue of Rs.COMPANY PROFILE In more ways than one. 2009-10 marks the beginning of a new journey for your company.112. It is the highest top-line growth in the last seven years. as it restructured itself in the face of stiff competition and entered a new high growth phase. In a nutshell. this high sales growth. First.21.8 per cent in 2011-12 — has definitely assisted your company in increasing revenue.
industry. and the country has become one of the fastest growing economies of the world .000 cars a year. The aspiration of being the market leader with high sales volume continues to be intrinsic to your company‘s philosophy.highest GDP increase recorded by India since the advent of economic liberalization. Maruti has always believed in size and spread. the fortunes of automobile industries across the globe are strongly correlated with macro-economic parameters and the performance of the industrial sector. This belief has held the company in good stead during 2011-12 — where the strategy of pushing volume growth resulted in higher margins due to the positive effects of better capacity utilization. coupled with much easier availability of significantly cheaper consumer finance. the Indian passenger car and multiutility vehicles market finally reached efficient scales of nearly a million. rubber and plastics. Chart A plots growth in GDP. profit margins were under pressure. Improved 73 | P a g e . has driven automobile sales.000 cars in early 1980‘s. When the Indian automobile industry was reconciled to around 40. MSIL was the first company that aspired to sell 100. passenger vehicle (PV) sales volumes and total automobile sales volumes – and emphasizes this correlation. Historically. The industry also witnessed significant rise in prices of key raw materials like steel. Although the improved economic environment helped growing automobile sales. An increase in the number of players and models has resulted in fierce competition — driving down prices across all segments. In 2011-12. Thus. it was not a totally smooth drive for the Indian automobile industry.This has considerably increased per capita disposable income which.
the company has had record growth in bottom-line and return on investments. which are largely due to the transfer of technology. Earnings per share (EPS) increased from Rs. while cash EPS increased from Rs.operational efficiencies.5. MSIL has come a long way from charting the initial growth of the Indian automobile industry to becoming one of India‘s leading business organizations 74 | P a g e . MSIL also witnessed a key structural change during 2008-09.6 per cent in 2010-11. Return on average capital employed (ROCE) increased from 9. Here are some numbers.18. systems and work culture from (MSIL) majority shareholder.77 in 2008-09.79 in 2007-08 to Rs. Today. The company was originally set up as a joint venture between the Government of India (GOI) and SMC to provide the average Indian with a reliable and affordable car.2 per cent in 2007-08 to 16.38. 20 years hence.39 in 2010-11.5 per cent in 2008-09.17. In 2010-11. Net profit margin (PAT/total income) increased from 2 per cent in 2011-12 to 5. Return on average net worth (RONW) increased from 5. Suzuki Motor Corporation (SMC) — has also contributed to the improved returns on investments.14 in 2007-08 to Rs.3 per cent in 2008-09.9 per cent in 2007-08 to 22.
Today. we shall discuss markets. 75 | P a g e . the issue was fully subscribed within three hours of its opening.5 per cent is in public hands. Encouraged by the overwhelming response.300 equity shares. GOI exercised the green-shoe option. In 2010-11. Even in a somewhat bearish stock market. GOI divested a bulk of its shares in the company to the public. In fact.300 equity shares).243. Thus. MSIL is now a listed company in Indian stock exchanges (Bombay Stock Exchange & National Stock Exchange) with Suzuki Motor Corporation having 54. and analyze the rapid external and internal transformations in its business. it was over subscribed nearly 10 times at the floor price. while 27. for sale to the public through the book-building route.224. In the course of the following sections. GOI played a key role in supporting Maruti‘s growth.2 per cent share ownership.3 per cent of MSIL‘s ordinary shares. GOI owns 18. which is 25 per cent of the company‘s share capital. GOI offered 72. and offloaded an additional 10 per cent of the issue size (equivalent to 7. MSIL is a company which is constantly reinventing itself in a sector that is on the move.-which has also promoted overall industrial growth through its linkages with vendors. operations and financials of Maruti during 2008-09. All data pertaining to markets is based on figures released by Society of Indian Automobile manufactures.
OBSERVATION AND ANALYSIS SURVEY OF POPULATION AND SAMPLE SIZE AND LIMITATIONS 1-The survey of population is limited to the respondents are selected from in and around PATNA. 1 Satisfaction towards maruti Suzuki Satisfied 78% Dissatisfied 22% 76 | P a g e . Table No. 2-The sample unit was also 100 respondents.
Figure:1 Satisfied Toward Maruti Suzuki(%) 0 22% 0 78% Satisfied Dissatisfied Interpretation 1: The sample drawn on probability basis shows that 78% of the customers were satisfied with maruti Suzuki(ALTO&SWIFT) variant and only 22% were not satisfied with maruti suzuki (ALTO&SWIFT). Observation: Most of the respondents approached were satisfied with Maruti Suzuki(ALTO&SWIFT). 77 | P a g e .
Factor Features Low Maintenance Comfort Style After Sales Service Source: Questionnaire No. of Respondent 18 51 27 24 30 Percentage 12% 34% 18% 16% 20% Figure:2 Factor Affecting Customer Satisfaction 0 34% 20% 12% 16% 18% Features Style Comfort After sales service Low maintenance cost 78 | P a g e .Table No: 2 Factors affecting customer satisfaction towards Maruti Suzuki.
Factor Extremely Satisfied Satisfied Neutral Dissatisfied Total Percentage 27% 49% 17% 7% 100% 79 | P a g e . Style with 16%(24respondents) and only 12%(18 respondents) of them view that feature of maruti 800 as satisfaction factor. As such. Observation: Majority of the respondent are of the idea that low maintenance of the top most feature contributing to customer satisfaction followed by after sales services comfort style and features. which will enhance the customer satisfaction and thus the market share. Table No: 3 Customer opinions towards fuel consumption. Followed by Comfort which corresponds to 18 %( 27 respondents). Maruti Suzuki should focus on the aspects.Interpretation 2: The sample drawn on the probability basis clearly shows that 34% (51respondents) are the opinion that low maintenance is the satisfaction factor maruti 800 and 20 %( 30 respondents) of them who view After Sales Service as a vital factor for customer satisfaction.
Followed by 27% was extremely satisfied. 17% are neutral and rest of the 7% is more dissatisfied with fuel consumption of maruti 800.. Observation: As majority of the respondents are satisfied with the fuel consumption of maruti alto.Source: Questionnaire Figure: 3 Consumer Opinions toward Fuel Consumption 7% 17% 27% More Satisfied Satisfied Not Satisfied & Dissatisfied 49% Dissatisfied Interpretation 3: 100% of the respondents 49% of the respondents approached were satisfied with the fuel consumption of the maruti alto. the company should maintain the same standard and it is suggested to come up with suitable 80 | P a g e .
Table No: 4 Customer opinions toward Safety and Comfort.measure to reduce the negative opinion among the consumer who are of the opinion that the fuel consumption is a dissatisfying factor. Factor Extremely Satisfied Satisfied Neither Satisfied & Dissatisfied Dissatisfied Total Source: Questionnaire Figure: 4 Percentage 23% 47% 20% 10% 100% Customer Opinions toward Safety and Comfort 10% 20% Extremely Satisfied Satisfied Neutral 23% 47% Dissatisfied 81 | P a g e .
Interpretation 4: 100% of the respondents 47% of the respondents approached were satisfied with the safety and comfort feature of the maruti swift. Factor Extremely Satisfied Satisfied Neutral Dissatisfied Total Source: Questionnaire Percentage 20% 40% 27% 13% 100% 82 | P a g e . Observation: As majority of the respondents are satisfied with the safety and comfort feature of maruti swift. Table No: 5 Customer opinions toward Design. 20% are neutral and rest of the 10% was dissatisfied with safety and comfort feature of maruti swift. Followed by 23% was extremely satisfied. the company should maintain the same standard and it is suggested to come up with suitable measure to reduce the negative opinion among the consumer who are of the opinion that the fuel consumption is a dissatisfying factor.
Observation: As majority of the respondents are satisfied with the design of maruti alto. 83 | P a g e . 27% of them neutral and 13% are dissatisfied with the design of the maruti alto. 20% were more satisfied.Figure: 5 Customer Opinions Toward Design 13% 27% 40% 20% Extremely Satisfied Satisfied Neutral Dissatisfied Interpretation 5: 100% of respondents 40% of the respondents approached were satisfied with the Design of the maruti alto. the company should maintain the same standard and it is suggested to come up with suitable measure to reduce the negative opinion among the consumer who are of the opinion that the fuel consumption is a dissatisfying factor.
Table No: 6 Customer opinions toward space availability in Maruti Alto. Factor More Satisfied Satisfied Neither Satisfied & Dissatisfied Dissatisfied Total Percentage 27% 53% 17% 3% 100% Figure: 6 Customer Opinions Toward Space Availability 3% 17% 27% Extremely Satisfied Satisfied Neutral 53% Dissatisfied 84 | P a g e .
17% of neither satisfied and dissatisfied and 3% are dissatisfied with the space availability of the Alto. Factor Extremely Satisfied Satisfied Neutral Dissatisfied Total Source: Questionnaire Percentage 23% 51% 21% 5% 100% 85 | P a g e .Interpretation 6: The sample drawn on the probability basis shows that out of 100% of respondents 53% of the respondents approached were satisfied with the space availability of the Alto. it can be conducted that the company has under taken proper R&D in this aspect. Table No: 7 Customer satisfactions toward Maintenance of Maruti SWIFT. Observation: As 80% of the respondents are happy with the space availability of the Maruti Alto vehicle. The 20% of the respondents who have answered negatively may be comparing with the vehicle in the same category launched very recently. 27% were more satisfied.
Figure:7 Customer Opinions Toward Maintenance 5% 21% 23% Extremely Satisfied Satisfied Neutral 51% Dissatisfied Interpretation 7: The sample drawn on the probability basis shows that out of 100% of respondents 51% of the respondents approached were satisfied with the maintenance of the SWIFT. 23% were extremely satisfied. Observation: Though majority of the customer are satisfied that the maintenance cost of maruti swift is less. 86 | P a g e . 21% of neutral and 5% are dissatisfied with the maintenance. around 20% are not satisfied which may be because of comparison of SWIFT with the newly launched competing brands coming with even lower maintenance cost.
Table No: 8 Customer awareness about power steering. Of Respondents (%) 80% 20% 100% Figure: 8 Customer Awareness About Power Steering 0 0 20% 80% Aware Unaware Interpretation 8: Out of 100% of respondents. Option Aware Unaware Total Source: Questionnaire No. 80% of the respondents approached were aware of the power steering present in some variant of Alto and 20% were not aware of the power steering present in some variant of Alto. 87 | P a g e . Of Respondent 120 30 150 No.
Table No: 9 Customer perceptions about ALTO Very Good 20% Good 47% Average 21% Bad 12% Very Bad - Source: Questionnaire Figure: 9 Customer Perception About ALTO 12% 21% 20% Very Good Good Average Bad 47% 88 | P a g e .Observation: Most of the respondents approached were aware of power steering system introduced in some variants of Alto.
20% gave Very Good response. thus it will lead to more good word of mouth publicity. Observation: As 67% of the respondents are satisfied that they are happy with Alto. 89 | P a g e . If the company were to identify the pitfalls in their product and undertake remedial measure.Interpretation 9: The sample drawn on the probability basis shows that out of 100% of respondents 47% of the respondents gave Good response toAlto. it satisfies that the customer satisfaction levels are very high. 21% gave Average response and 12% gave bad response toAlto.
3-Based on the fuel consumption. 2-Most of the people are satisfied with its low maintenance cost and after sales service provided by Maruti Suzuki. 4-Based on Safety and Comfort. Design. 6-If we took the satisfaction level of people toward Maruti. most of the people are satisfied with it. 1-Maruti Suzuki has excellent percentage of customer satisfaction according to the data shown in table 1 of the data analysis and Interpretation topic. 90 | P a g e . 5-Large numbers of Maruti user are aware of its power steering. Space. Maintenance most of the people are satisfied with it. 7-Its features and style satisfy most of the people.FINDINGS Based on the data gathered by administrating schedules to customers the following observations are made. it becomes good.
locally and even in the neighboring states.e.LIMITATIONS 1. MARUTI SUZUKI Automobile showrooms are located in other places i. Only opinion of respondents of PATNA city was consider for finding out the opinions of respondents.. which uses non-objectives method.Measurement of customer satisfaction is complex subjects.However. 2. 91 | P a g e . which is not reliable.
3-Majority of the customer are satisfied with the design of the vehicle. 92 | P a g e . which is reflected on the satisfaction of the customer. 2-The company is offering good services.CONCLUSION 1-Maruti Suzuki has a very good market share in the state of BIHAR for the SUV segment.
93 | P a g e . 3-The company should promote about the entire feature offered by it. 4-As majority of the customer give opinion that they are satisfied is the factor.SUGGESTION AND RECOMMENDATION 1-Maruti Suzuki Company has to implement good customer relationship management strategy that enhances customer satisfaction level. services and design of the product of the company should taken not only maintain the existing standard but also enhance them. 2-The company can for the undertake R&D to improve the existing feature which field help increase in the customer satisfaction.
APPENDIX Padagogy: Science of teaching 94 | P a g e .
Yes b. No 95 | P a g e .QUESTIONNAIRE Customer profile: a) Name b) Occupation c) Age d) Income e) Address:- 1) Are you a satisfied with Maruti Suzuki? a.
Feature b.Satisfied c. Dissatisfied 4) Are you satisfied with the Safety and Comfort of Maruti products? a.Neutral d. Satisfied c. Neutral d. Looks d.Extremely Satisfied b. Low Maintenance c. Extremely Satisfied b.Dissatisfied 96 | P a g e . After Sales Service 3) Are you satisfy with the fuel consumption of Maruti products? a.2) If “Yes” Which factor you consider is satisfies you most? a.
Neutral d.Satisfied c.Extremely Satisfied b.Nor Satisfied & Dissatisfied d.Dissatisfied 6) Are you satisfied with space available in Maruti products? a.5) Are you satisfied with the Design? a.Satisfied c.Satisfied c.Extremely Satisfied b.Dissatisfied 97 | P a g e .Extremely Satisfied b.Neutral d.Dissatisfied 7) Are you satisfied with Maintenance cost? a.
Good c. a.Average d.Yes b.8) Are you aware about power steering present in Maruti products? a.Very Good b.Bad 10) Do you want to give any suggestion about any change in the Maruti ? 98 | P a g e .No 9) Your general perception about MARUTI.
business-india.marutisuzuki.maruti.com www.in www.com www.co. Patna www.com 99 | P a g e .automobile.BIBLIOGRAPHY Philip Kotler 12th edition Marketing Management Kanishka Bedi 2nd edition Production and Operation Management Karlo Automobiles (P) Ltd.
RamKrishna Shankar(HR of the company) *Mr. K.C. Vivek Mishra(Sales consultants) *Mr.I am highly oblige to my friends. Gupta(Sales Manager) *Mr.SHAKTI PARAKASH(My colleague) 100 | P a g e .REFRENCES In my projects I am thankful to the persons who advice me to work in proper way and show me the correct path for that. *Mr.DR. seniors and my faculties members who help me out for this hard task.