Professional Documents
Culture Documents
Introduction
Gone are the days when people used to take a lot of trouble to meet their loved
ones, travelling on foot or using bull carts. The automobile industry has evolved
as a savior for everyone. The growth of automobile industry has shrunk the world
and made everything easily accessible.
In the last two decades the world of business has undergone rapid
transformation which has led to the advent of newer and newer technologies in
the bike industry. As a result , the domestic companies have to strive through a
long way to find a place in the market. Every company has its own strengths and
weakness and a proper balance has to be struck between them in order to carry
on their activities without any hindrance. Every competitor is a major threat to
every manufacturer. Therefore, domestic companies cannot ignore competitors
and market if they to find a safe place in today’s market. In order to stay afloat in
the market, the marketers of consumer goods have to adopt ‘more for less’
policy, ‘satisfaction guaranteed’ policy. Another important factor in today’s
business climate is the trust on safeguarding the environment in order to prevent
pollution or any other hazardous effect
Today’s consumer
Consumers of today have varying needs and unlimited wants. As a result, the
consumer value and satisfaction have become the focus of every marketer.
Consumer behavior is the study of how and why the consumer behaves in a
particular way. Another important feature of today’s consumer is the want for a
multipurpose product at a reasonable price.
The marketers have to understand the psychology of consumers and adopt the
value chain concept as a company tool for identifying ways to create consumer
value and satisfaction.
TRACTORS, BELLARY
To study the present market scenario of the two wheeler bike industry in India.
The study has undertaken for 30 days, only few aspects of consumer
behavior could be studied on.
The study is confined to only BELLARY region. The sample size chosen
for the questionnaire was only ‘100’ & that may not represent the true
picture of consumer behavior about the MAHINDRA TRACTORS. The
current study is limited only to mopeds.
marketing research.
Sources of data:-
interview method.
Chapter 2
Introduction to the Industry
+Tractors in India
As commercialization of agriculture grew in intensity in the mid-to-late 19th
century the British Raj and the local legislatures and provinces began investing
in agricultural development through support and establishment agricultural
research farms and colleges and large scale irrigation schemes yet the level of
mechanization was low at the time of independence in 1947. The socialist
oriented five year plans of the 1950s and 60s aggressively promoted rural
mechanization via joint ventures and tie-ups between local industrialists and
international tractor manufacturers. Despite this aggressiveness the first three
decades after independence local production of 4-wheel tractors grew slowly.
Yet, by the late 1980s tractor production was nearly 140,000 units per year and
by the late 1990s with production approaching 270,000 per year, India over-took
the United States as the world's largest producer of four-wheel tractors with over
16 national and 4 multi-national corporations producing tractors today. Despite
these impressive numbers FAO statistics estimate that of total agricultural area in
India, less than 50% is under mechanized land preparation, indicating large
opportunities still exist for agricultural mechanization
1945 to 1960
War surplus tractors and bulldozers were imported for land reclamation and
cultivation in mid 1940's. In 1947 central and state tractor organizations were set
up to develop and promote the supply and use of tractors in agriculture and up to
1960, the demand was met entirely through imports. There were 8,500 tractors in
use in 1951, 20,000 in 1955 and 37,000 by 1960.
1961 to 1970
Local production began in 1961 with five manufacturers producing a total of 880
units per year. By 1965 this had increased to over 5000 units per year and the
total in use had risen to over 52,000. By 1970 annual production had exceeded
20,000 units with over 146,000 units working in the country.
1971 to 1980
Six new manufacturers were established during this period although three
companies (Kirloskar Tractors, Harsha Tractors and Pittie Tractors) did not
survive.HMT, a large public sector unit, began manufacturing Agricultural
Tractors in 1972 under the HMT brand name with technology acquired from
Zetor of the Czech Republic. Escorts Ltd. began local manufacture of Ford
tractors in 1971 in collaboration with Ford, UK and total production climbed
steadily to 33,000 in 1975 reaching 71,000 by 1980. Credit facilities for farmers
continued to improve and the tractor market expanded rapidly with the total in
use passing the half million mark by 1980.
1981 to 1990
A further five manufacturers began production during this period but only one of
these survived in the increasingly competitive market place. Annual production
exceeded 75,000 units by 1985 and reached 140,000 in 1990 when the total in
use was about 1.2 million. Then India - a net importer up to the mid-seventies -
became an exporter in the 1980s mainly to countries in Africa.
1991 to 1997
Since 1992, it has not been necessary to obtain an industrial license for tractor
manufacture in India. By 1997 annual production exceeded 255,000 units and the
national tractor population had passed the two million mark. India now emerged
as one of the world leaders in wheeled tractor production.
1997 to 1999
Five new manufacturers have started production since 1997. In 1998 Bajaj
Tempo, already well established in the motor industry, began tractor production
in Pune. In April of the same year New Holland Tractor (India) Ltd launched
production of 70 hp tractors with matching equipment. The company is making a
$US 75 million initial investment in a state of the art plant at Greater Noida in
Uttar Pradesh state with an initial capacity of 35000 units per year. Larsen and
Toubro have established a joint venture with John Deere, USA for the
manufacture of 35-65 hp tractors at a plant in Pune, Maharashtra and Greeves
Ltd will produce Same tractors under similar arrangements with Same Deutz-
Fahr of Italy. Looking to South American export markets Mahindra and
Mahindra are also developing a joint venture with Case for tractors in the 60-
200 hp range. Total annual production was forecast to reach 300,000 during the
following year.
1999 to Present
Facing market saturation in the traditional markets of the north west (Punjab,
Haryana, Western Uttar Pradesh) tractors sales began a slow and slight decline.
By 2002 sales went below 200,000. Manufacturers scrambled to push into
eastern and southern India markets in an attempt to reverse the decline, and
began exploring the potential for overseas markets. Sales remained in a slump,
and added to the market saturation problems also came increased problems of
"prestige" loan defaults, where farmers who were not financially able took
tractors in moves to increase their families prestige. There are also reported
increased misuse of these loans for buying either lifestyle goods, or for social
functions. Government and private banks have both tightened their lending for
this sector adding to the industry and farmers woes. By 2004 a slight up tick in
sales once again due to stronger and national and to some extent international
markets. But by 2006 sales once again were down to 216,000 and now in 2007-
08 have slid further to just over 200,000.
Eicher
HMT Tractors
Indo Farm
John Deere
New Holland
Preet Tractor
Standard
TAFE
VST Tillers
Medina, OH- Medina Tractors sales in now adding more valve muscles and
power to its selection by offering the number one selling the Tractor in the
world, Mahindra Tractors after 81 years in the business, Medina Tractors
sales is joining the growing family of more than 300 U.S Tractor dealer that
are offering customer the valve of heavy duty to built the last Mahindra
power house. In addition, Medina Tractors sales will be offering the
Mahindra’s “Best in Class” 5 years power Tractors Warranty program.
Tractors owners are not the only people touting the quality
of Mahindra products. In 2007 M&M’s farm equipment sector only tractor
manufacturing in the world to receive the coveted Japan quality medal for
excellence in total quality management, awarded by the deming price
committee care of union of Japanese scientists.
For the past 26 years, the farm sector has maintained his
leadership position in the Indian tractor industry, the world largest market
and as a global presence with operations in 35 countries.
5 Plants in India.
2 Plants in China.
3 Assembly plants in USA.
1 Assembly plants in Australia.
The sector also as a subsidiary Agricultural tractors manufacturing
company in India known as Mahindra Gujarat Tractor Ltd [MGTL].
Houston tax as based Mahindra USA is only owned subsidiary of M&M
Ltd.
Names Designation.
MM Murugappa Director
R K Kulkarni Director
Chapter 2.2
Profile of region under study
INTRODUCTION
HISTORY
Bellary taken its named from the word BALARI which refers to goddess
Dura gamma as this goddess had manifested herself in the town. The history
speaks volumes about significant role it acquired during Satavahanas, Chalky’s
and Vijayanagara period. The Vijayanagara rules built the city of victory on the
bank of Tungabhadra River at Hampi in Hospet taluk. Bellary is the steel city of
Karnataka. Bellary district is spread from south west to north west is situated on
the eastern side of Karnataka state. Bellary district is bounded by Raichur district
on the north, Koppal district on west, Chitradurga and Davanagiri district on
south, Ananthpur, and Karnool district of Andhra Pradesh on the east.
THE ROCKS
BELLARY FORT
The Bellary Fort is built on top of the Bellary Gudda or the fort hill.
The fort was built round the hill during Vijayanagara times by Hanumappa
Nayaka. The fort is divided as Upper Fort and Lower Fort.
GEOGRAPHY
Company profile
Mahindra & Mahindra Limited (BSE: 500520) is the flagship company of the
Mahindra Group, a multinational conglomerate based in Mumbai, India. The
company was set up in 1945 in Ludhiana as Mahindra & Mohammed by brothers
K.C. Mahindra and J.C. Mahindra and Malik Ghulam Mohammed.[3] After India
gained independence and Pakistan was formed, Mohammed emigrated to
Pakistan where he became the nation's first finance minister. The company
changed its name to Mahindra & Mahindra in 1948.
History
Mahindra & Mahindra was set up as a steel trading company in 1945. It soon
expanded into manufacturing general-purpose utility vehicles, starting with
assembly under licence of the iconic Willys Jeep in India. Soon established as the
Jeep manufacturers of India, M&M later branched out into the manufacture of
light commercial vehicles (LCVs) and agricultural tractors. Today, M&M is the
leader in the utility vehicle segment in India with its flagship UV Scorpio and
enjoys a growing global market presence in both the automotive and tractor
businesses.
Over the past few years, M&M has expanded into new industries and
geographies. They entered into the two-wheeler segment by taking over Kinetic
Motors in India.[5] M&M also has controlling stake in REVA Electric Car
Company[6] and acquired South Korea's SsangYong Motor Company in 2011.[7]
The US based Reputation Institute recently ranked Mahindra among the top 10
Indian companies in its 'Global 200: The World's Best Corporate Reputations' list
Financial Assistance,
Increments
Incentives
Bonus etc.
They have made an investment of RS 40, 00,000 with financial assistance from
APMC and State Bank of Mysore. They are giving a very good demonstrations of
the tractors to their customers visiting frequently is more in between the timing
of 10.00 Am to 1.00Pm the annual sales turnover is Rs 3 Crores.
CHAPTER-3
Introduction:-
Although how and why consumer make decisions to buy goods and
services consumer research goes far beyond these facts of consumer behavior
and encompasses all of the behaviors that consumers display in searching for
purchasing, using, evaluating, and disposing of products & services that they
except will satisfy their needs.
Consumer behavior was a relatively, new fields of study in the mid to late
1960’s. with no history or body of research of its own, the discipline borrowed
heavily from concepts developed in other scientific discipline, such as
psychology ( the study of how an individual), sociology (the study of groups),
social psychology (the study of how and individual operators in groups),
anthropology (the influence of society on the individual) and economics.
MEANING OF MARKET
Market plays a very crucial role and make their purchase and sale
decision. A market is a dynamic world. A market is a place where buyer and
seller meet together is place where consumer can satisfy their needs and wants.
Definition/meaning of market:
Who is Consumer?
[SREE GURU THEPPERUDRA COLLEGE] Page 30
CONSUMER BEHAVIOUR TOWARDS MAHENDRA TRACTORS, BELLARY
Consumer is one who is an actual user of the goods and services, who
express his feelings after actual use, whether the goods and services are up to his
satisfaction of not.
Consumer Behavior:-
Buying roles:
Initiator: a person who first suggest the idea of buying the product or service.
Buying behavior:
Consumer decision-making varies with the type buying decision. Complex and
expensive purchases are likely to involve more buyer deliberation and more
participants. Assael distinguished four types of consumer buying behavior based
on the degree of buyer involvement and the degree of differences among brands.
Behavior
The buyer’s behavior is influenced by four major factors which are as follows:
Cultural factors
Culture
Subculture.
Social class.
Social factors
Reference group.
Family.
Roles and statuses.
Personal factors
Psychological factors
Motivation
Perception.
Learning
BUYER CHARACTERISTICS:-
INFLUENCING CONSUMER:
Cultural Social
Personal Psychological B
Culture Reference U
Age & Life
Groups Motivation
Occupation Y
Sub culture Perception E
Economics
Family Leading
Circumstance R
Social class Attitude &
Life style
Role & Beliefs
Personality
Strategies
Philip kottler
Marketing management
CULTURAL CHARACTERISTICS
CULTURE:
SUB-CULTURE:
SOCIAL CLASS:
Several features:
SOCIAL CHARACTERISTICS:
REFERENCE GROUPS:-
This group influence the person’s attitudes, opinions and values. Some are
primary groups such as family; close friends, neighbors and fellow worker and
other are secondary groups such as fraternal organization & professional
association. Groups they are not members of called Inspirational groups also
influence people. Sports heroes & motive starts are typical members of these
groups.
1. FAMILY:
Of all the face groups, a person’s a family undoubtedly plays the largest &
most enduring role in influencing has or her attitudes. Opinions & values from
the family the person acquires a mental set not only towards religion, politics &
economics but also towards personal ambition, self worth & loves. Even if the
buyer no longer interacts very much with his or her family, the family influence
on the unconscious behavior of the buyer can be strong.
The person will have a certain position in each group that can be defined in terms
of role & status. Each role has a status attached to it. This reflects thegeneral
esteem according to that role in society or in the eyes of the immediate group.
The buyer’s age and life cycle occupation, economic circumstances, life style
& personality also influence a buyer decision.
The concept of family life cycles has been developed to help identity possible
changing wants, attitudes & values, as people grow older. Seven stages of the
family life cycle have been distinguished.
Depending on children.
2.OCCUPATION
Persons occupation will lead to needs and wants for goods services. A
blue cooler worker will buy work clothiers & work shoes. His or her company
3. ECONOMICS CIRCUMSTANCES
People’s economic circumstances will greatly affects the goods & services
they consider & buy. Their circumstances consist of their income saving & asset,
borrowing power & attitude towards spending versus saving.
4. LIFE STYLE
People coming from some sub-culture, social class, and even occupational
group can choose to lead quite different life styles. Marketers believe that
person’s products and brand choices are a key indicator of his of her life style.
5. PERSONALITY
A.MOTIVATION
B.LEARNING:
same motivated state and objective situation may act quite differently because
they perceive the situation differently.
When people act, they experience direct and indirect effect, which
influence their future behavior learning, is the name given to the change in an
individual behavior arising from experience most of behavior is learned.
Through the learning process, people acquire their beliefs and attitudes.
These in turn influence their behavior.
1. BUYERS CHARACTERISTICS:
1.1Product characteristics
1.2Seller characteristics
1.3Situational characteristic
[SREE GURU THEPPERUDRA COLLEGE] Page 43
CONSUMER BEHAVIOUR TOWARDS MAHENDRA TRACTORS, BELLARY
Various situational factors that are time pressure, time of the year, weather
chance meeting with friends and the current economic outlook will also influence
the buying decision.
BELOW-20 7 20%
20-30 10 25%
30-40 27 40%
40-50 4 10%
ABOVE-50 2 5%
Total 50 100%
Age chart
45
40
35
30
25
20
15
10
0
Below-20 20-30 30-40 40-50 above-50
INTERPRETATION
It is obvious from the table that the respondent who is in the age group of 30-40
years has preferred the Mahindra Tractor when to other groups. The second
place goes to the respondent whose age group is in between 20 to 30 and their
percentage is 25%
sales
14.71%
cash
credit
85.29%
INTERPRETATION
Among the 50 mumbers 80% respondents were purchase by credit and remaining
were by cash.
purchase
INTERPRETATION
From the above table, it was explained that among 50 respondent 80% of
them were purchased in the show room, 16% of them from other source, of them
from relatives.
Table4:models of tractors
TOTAL 50 100%
satiasfaction
mahindra275
4.00% mahindra 575
16.00%
mahindra475
40.00%
10.00% mahindra585
mahindra arjun
30.00%
INTERPRETATION
It has been further obsereved from the table that 40% of the share is given to
Mahindra – 275 in the market is 40%, Mahindra - 575 is 30%,Mahindra - 585 is
16%,Mahindra - 475 is 10% and rest to Mahindra arjun .
Below&SSLC 30 60%
PUC 15 30%
DEGREE 5 10%
Total 50 100%
[SREE GURU THEPPERUDRA COLLEGE] Page 50
CONSUMER BEHAVIOUR TOWARDS MAHENDRA TRACTORS, BELLARY
30
30
25
20
15
15
10
5 5
0
Blue
Red
Other
Clours
INTERPRETATION
The field survey indicats that the blue color is more prefer by respondents
that is 60%. Red is preferred by 30% respondents and other 10% of respondents
prefer diversification of color.
25
20
15
15
10
5
5
0
Very High
High
Reasonable
0
0
Pricing policy
INTERPRETATION
Above diagram indicats that the price polcy followed by this company for its
tractors quite attractive and very low when compared to other competitors.
mileage
60
50
40
30
20
10
0
0-5km/ltr 5-10km/ltr above 10 km/ltr
INTERPRETATION
The above table clearly reveals that the majority of the respondents,
i.e. 20% tune of have preferred this Mahindra tractor as it gives more mileage i.e.
above 10 km/Ltr.
Findings
It is observed that most of the people who preferred are Mahindra tractors
pleasure are 20-30 years below 20 years 45% and 29%.
It is observed that from the study that maximum percentage of Mahindra
tractors pleasure is high demand among the farmers and traders.
It is found that factors influenced to respondents to prefer mahindra
tractors are driving comfort, safety, fuel effiance and mileage.
It is found that satisfaction level of mahindra tractors with consumer is
satisfied.
SUGGESTIONS
The mileage given by the Mahindra tractors is good compare to the other
tractors. Therefore I suggest that the company should increase mileage of the
Mahindra tractors by adopting the latest technology in order to increase the sales
volume
CONCLUSION
BIBLIOGRAPHY
BOOKS
MAGZINES:
INTERNET BROWSING:
Website:
www.kisanmitr.com
www.mahindratractors.com