Professional Documents
Culture Documents
On
Submitted for partial fulfillment of the requirements for the award of the degree
Of
BY
1510101127
Ms.SHALINI ANAND
Assistant Professor
Department of Management
SESSION 2017-18
1
Certificate
This is to certify that Mr.Shubhanshu Rastogi student of BBA V semester in our institute has successfully
completed his project work entitled “CUSTOMER PREFERENCE TOWARDS HONDA ACTIVA.” for the
partial fulfillment of the degree of Bachelor of Business Administration for the session 2017-18..
2
DECLARATION
I SHUBHANSHU RASTOGI, Roll no 1510101127, student of BBA V semester of Invertis University Bareilly
hereby declare that the project report on “CUSTOMER PREFERENCE TOWARDS HONDA ACTIVA ” is
an original and authenticated work done by me.
SHUBHANSHU RASTOGI
3
ACKNOWLEDGEMENT
I will always remain deeply indebted to my teacher and supervisor Ms. Shalini Anand (Assistant Professor), Department
of Management Invertis University for his excellent guidance and moral support at every step of my work. His vast
knowledge, scientific temperament, critical evolution, encouraging supervision and patient outlook have always been a
constant source of inspiration for me. Apart from helping me understand the problem associated with it, he has made
me realize the need and power of rationalism and optimism to conquer the unknown, in this fast developing scientific
world.
I am also thankful to my esteemed teachers Dr. Manish Gupta (Dean Management) Dr. Dheeraj Gandhi (HOD, BBA &
B.Com) Mr. Mahmohan Bansal (Assistant Professor) for their valuable suggestions and moral support.
I would like to place on record, my deep sense of gratitude for the guiding hand of my father Mr. Shimla Rastogi and the
humble and loving care of my mother Mrs. Laxmi Rastogi who always supported me despite of all odds.
At last but not least gratitude goes to all of my friends who directly or indirectly helped me to complete this project
report.
Any omission in this brief acknowledgement does not mean lack of gratitude.
Thanking You.
SHUBHANSHU RASTOGI
BBA
1510101127
4
TABLE OF CONTENTS
1. Chapter - 1 INTRODUCTION 8
6. LIMITATION 52
7. BIBLOGRAPHY 54
8. APPENDICES 56
5
LIST OF TABLES
6
LIST OF FIGURES
7
CHAPTER – 1
INTRODUCTION
8
INTRODUCTION
Honda has been the world's largest motorcycle manufacturer since 1959, as well as the world's largest
manufacturer of internal combustion engines measured by volume, producing more than 14 million internal
combustion engines each year. Honda became the second-largest Japanese automobile manufacturer in 2001.
Honda was the eighth largest automobile manufacturer in the world behind Toyota, Volkswagen Group,
Hyundai Motor Group, General Motors, Ford, Nissan, and Fiat Chrysler Automobiles in 2015.
Honda was the first Japanese automobile manufacturer to release a dedicated luxury brand, Acura, in 1986.
Aside from their core automobile and motorcycle businesses, Honda also manufactures garden equipment,
marine engines, personal watercraft and power generators, and other products. Since 1986, Honda has been
involved with artificial intelligence/robotics research and released their ASIMO robot in 2000. They have also
ventured into aerospace with the establishment of GE Honda Aero Engines in 2004 and the Honda HA-420
HondaJet, which began production in 2012. Honda has three joint-ventures in China (Honda China, Dongfeng
Honda, and Guangqi Honda).
In 2013, Honda invested about 5.7% (US$6.8 billion) of its revenues in research and development. Also in
2013, Honda became the first Japanese automaker to be a net exporter from the United States, exporting
108,705 Honda and Acura models, while importing only 88,357
Throughout his life, Honda's founder, Soichiro Honda, had an interest in automobiles. He worked as a
mechanic at the Art Shokai garage, where he tuned cars and entered them in races. In 1937, with financing from
his acquaintance Kato Shichirō, Honda founded Tōkai Seiki (Eastern Sea Precision Machine Company) to make
piston rings working out of the Art Shokai garage. After initial failures, Tōkai Seiki won a contract to supply
piston rings to Toyota, but lost the contract due to the poor quality of their products. After attending engineering
school without graduating, and visiting factories around Japan to better understand Toyota's quality control
processes, by 1941 Honda was able to mass-produce piston rings acceptable to Toyota, using an automated
process that could employ even unskilled wartime laborers.
Tōkai Seiki was placed under control of the Ministry of Commerce and Industry (called the Ministry of
Munitions after 1943) at the start of World War II, and Soichiro Honda was demoted from president to senior
9
managing director after Toyota took a 40% stake in the company.[10] Honda also aided the war effort by
assisting other companies in automating the production of military aircraft propellers. [10] The relationships
Honda cultivated with personnel at Toyota, Nakajima Aircraft Company and the Imperial Japanese Navy would
be instrumental in the postwar period.[10] A US B-29 bomber attack destroyed Tōkai Seiki's Yamashita plant in
1944, and the Itawa plant collapsed in the 13 January 1945 Mikawa earthquake, and Soichiro Honda sold the
salvageable remains of the company to Toyota after the war for ¥450,000, and used the proceeds to found the
Honda Technical Research Institute in October 1946.
With a staff of 12 men working in a 16 m2 (170 sq ft) shack, they built and sold improvised motorized
bicycles, using a supply of 500 two-stroke50 ccTohatsuwar surplus radio generator engines. When the engines
ran out, Honda began building their own copy of the Tohatsu engine, and supplying these to customers to attach
to their bicycles. This was the Honda A-Type, nicknamed the Bata Bata for the sound the engine made. In 1949,
the Honda Technical Research Institute was liquidated for ¥1,000,000, or about US$5,000 today; these funds
were used to incorporate Honda Motor Co., Ltd. At about the same time Honda hired engineer Kihachiro
Kawashima, and Takeo Fujisawa who provided indispensable business and marketing expertise to complement
Soichiro Honda's technical bent. The close partnership between Soichiro Honda and Fujisawa lasted until they
stepped down together in October 1973.
The first complete motorcycle, with both the frame and engine made by Honda, was the 1949 D-Type, the
first Honda to go by the name Dream. Honda Motor Company grew in a short time to become the world's
largest manufacturer of motorcycles by 1964.
The first production automobile from Honda was the T360 mini pick-up truck, which went on sale in August
1963. Powered by a small 356-cc straight-4 gasoline engine, it was classified under the cheaper Kei car tax
bracket.[16] The first production car from Honda was the S500 sports car, which followed the T360 into
production in October 1963. Its chain-driven rear wheels pointed to Honda's motorcycle origins.[17]
Over the next few decades, Honda worked to expand its product line and expanded operations and exports to
numerous countries around the world. In 1986, Honda introduced the successful Acura brand to the American
market in an attempt to gain ground in the luxury vehicle market. The year 1991 saw the introduction of the
Honda NSX supercar, the first all-aluminum monocoque vehicle that incorporated a mid-engine V6 with
variable-valve timing.[18]
CEO Tadashi Kume was succeeded by Nobuhiko Kawamoto in 1990. Kawamoto was selected over
ShoichiroIrimajiri, who oversaw the successful establishment of Honda of America Manufacturing, Inc. in
10
Marysville, Ohio. Both Kawamoto and Irimajiri shared a friendly rivalry within Honda, and Irimajiri would
resign in 1992 due to health issues.
Following the death of Soichiro Honda and the departure of Irimajiri, Honda found itself quickly being
outpaced in product development by other Japanese automakers and was caught off-guard by the truck and sport
utility vehicle boom of the 1990s, all which took a toll on the profitability of the company. Japanese media
reported in 1992 and 1993 that Honda was at serious risk of an unwanted and hostile takeover by Mitsubishi
Motors, who at the time was a larger automaker by volume and flush with profits from their successful Pajero
and Diamante.[19]
Kawamoto acted quickly to change Honda's corporate culture, rushing through market-driven product
development that resulted in recreational vehicles such as the first generation Odyssey and the CR-V, and a
refocusing away from some of the numerous sedans and coupes that were popular with Honda's engineers but
not with the buying public. The most shocking change to Honda came when Kawamoto ended Honda's
successful participation in Formula One after the 1992 season, citing costs in light of the takeover threat from
Mitsubishi as well as the desire to create a more environmentally-friendly company image.[20]
Later, 1995 gave rise to the Honda Aircraft Company with the goal of producing jet aircraft under Honda's
name.[21]
On 23 February 2015, Honda announced that CEO and President Takanobu Ito would step down and be
replaced by Takahiro Hachigo by June; additional retirements by senior managers and directors were expected.[2
11
CHAPTER-2
Literature Review
12
Literature Review
A literature is the effective evaluation of selected documents on a research topic. A review may form an essential part of
the research process or may constitute a research project in itself.
The literature review does not contain any new primary scholarship. Rather, it is critical description and evaluation,
not just a list or resume of material that has been already published. It should demonstrate awareness of theories, issues
and debates, and your ability to comment on them in informed and scholarly way.
ARTICLES:
A Comparative Study on Customer Perception towards Honda Activa and Hero Honda
Pleasure In Raipur City
Various surveys and researches have been carried out regarding what a consumer wants from a bike. Some of
them, which I will be taking into account are Parmod Pathak, Saumya Singh, does some of the work that had
been already done in this regard and their work was published in Pradigm, Vol.VIII No. 1 January-June 2004.
Another major contribution had been done by Dubey J and Patel R and their work was published Management
Vol. 42 in Indian No.11 (November ) pp. 66,70 Laudon D and Della Bitta Albert do another major contribution.
1. Price,
13
2. Safety Restrictions
3. Brand name,
4. Fuel efficiency,
5. Technical specification
7. Market Share
9. Seat type
11. Colors
12. Brakes
15. Weight
14
Rural Customers’ Attitude and Satisfaction towards Honda Two Wheelers and Showroom
Services, Tiruvarur
Automobile industry is an assembly industry and a highly specialized, technical, sophisticated and expensive
industry. Dealers are playing a vital role in the supply chain network of automobile industry. Understanding
customer requirements is very vital for the endurance and expansion of any industry. In automobile industry
dealers have an opportunity to contact buyers directly. Honda Motors dealer, Tiruvarur has to understand the
requirements of the buyers in order to maintain the existing customers and to acquire new customers. In order to
survive and outshine in the competitive scenario, Honda motorcycle and scooter India private limited and the
dealers in Tiruvarur have to conduct these kinds of surveys periodically. This will pave the way to enhance the
brand image of Honda motorcycle and scooter India private limited automobile business and also their market
share.
The sale of two-wheeler products has increased substantially. The sales volumes in the twowheeler sector shot
up from 15 percent to 24 percent between 2008-09 and 2013-14. Calculated data reveals that male respondents
are more compared to female, comparing the other age groups the middle age between 21 to 25 are found more.
Hero and Honda brand is more preferred brand among the students and least Bajaj. Reliability and quality are
reasoned to prefer the brand. Rs. 50000-70000 are preferred price range in two wheelers by Student
respondents. Friends are most reliable source preferred among the students. Self-financing is more preferred by
the students. Majority student have preferred to purchase vehicle from show room near city. 80.92% made the
15
cash payment in purchasing the two-wheeler. Colour, Pickup, mileage, maintenance, look and engine are highly
considered by students in selection of vehicle. In vehicle preference, mileage and average factors are highly
influences the students whereas popularity, social status and brand loyalty are highly influences for brand
preference among the students. Students showed their interest in Hero and Honda brand to purchase in future. It
proved that there is no significant relationship between educational background and brand preferred by the
respondents in two wheeler vehicle. Also proved that there is no significant relationship between educational
background and buying pattern of students but from where to purchase the vehicle has significant relationship
with educational background. The research findings indicate the various characteristics of two-wheeler
consumer behavior in the Satara city, Maharashtra. These observations if taken into consideration by the
manufacturers will positively influence the sales, as it would cater to the needs of the potential two wheeler
consumers.
16
CHAPTER-3
Research Objectives
&
Research Methodology
17
RESEARCH OBJECTIVES
To know the customer views towards after sales service of Honda Activa
18
RESEARCH METHODOLOGY
Research Methodology is the systematic, theoretical analysis of the methods applied to a field of study. It
comprises the theoretical analysis of the body of methods and principles associated with a branch of knowledge.
Research Methodology is the way in which research problems are solved systematically. It is a science of
studying how research is conducted scientifically.
Business research can be defined as a systematic and objective process of gathering, recording and analysing
data that provides information to guide business decision.
Any honest attempt to study a problem systematically or to add to knowledge of a problem may be regarded as
research.
19
RESEARCH DESIGN
The Research Design refers to the overall strategy that you choose to integrate the different components of the
study in a coherent and logical way, thereby, ensuring you will effectively address the research problem; it
constitutes the blueprint for the collection, measurement, and analysis of data.
Research Design is a set of advanced decisions that make up the master plan specifying the methods and
procedures for collecting and analysing the needed information
20
TYPES OF RESEARCH
Descriptive Research
Descriptive research is a study designed to depict the participants in an accurate way. More simply put,
descriptive research is all about describing people who take part in the study.
There are three ways a researcher can go about doing a descriptive research project, and they are:
21
Classification of Descriptive Research
Cross-sectional studies measure units from a sample of the population at only one point in time.
Longitudinal studies repeatedly measure the same sample units of a population over time.
Longitudinal studies often make use of a panel which represents sample unit who have agreed to answer
questions at periodic intervals.
22
Cross-sectional Design
The cross-sectional study is the most frequently used descriptive design in marketing research. Cross-sectional
designs involve the collection of information from any given sample of population elements only once.
In single cross-sectional designs only one sample of respondents and information is obtained from this
sample only once. These designs are also called sample survey research designs.
In multiple cross sectional designs, there are two or more samples of respondents, and information
from each sample is obtained only once. Often, information from different samples is obtained at
different times.
23
SAMPLE DESIGN
A sample design is a definite plan for obtaining a sample from a given population. It refers to the technique or
the procedure the researcher would adopt in selecting items for the sample. Sample design may as well lay down
the number of items to be included in the sample i.e., the size of sample. Sample design is determined before
date are collected.
The process of selecting the right individuals, objects or events for the study is known as Sampling.
Sampling involves the study of a small number of individuals, objects chosen from a large group.
Sample size
Sample Unit
In this, the target population that will be sampled. Once the sampling unit is determined sampling frame has to
be prepared so that each and every one in the target population has an equal chance of being sampled.
Sampling Area
Data Analysis
The data analysis is done with the help of graphs and pie charts.
24
TYPE OF DATA COLLECTION
Primary Data
In primary data collection, the data is collected using methods such as interviews and questionnaires. It is
important to prepare a tabulation plan and based on it design the questionnaire to make sure that no table will be
left out. There are cases when tables cannot be produced because questionnaires were designed without having a
tabulation plan in place.
Primary data is received from first hand sources such as: Direct Observation, interview, survey, and
questionnaire etc.
The primary data are those which are collected a fresh and for the first time, and thus happen to be original in
character.
There are several methods of collecting primary data, particularly in surveys and descriptive researches.
Important once are:-
a. Observation Method
b. Interview Method
c. Through Questionnaires
d. Through Schedules
25
Secondary Data
Secondary data refers to data that was collected by someone other than the user. Common sources of secondary
data for social science include censuses, information collected by government departments, organisational
records and data that was originally collected for other research purposes.
Secondary data is received from secondary sources such as Printed material and Published material
etc.Secondary data is used to increase the sampling size of research studies and is also chosen for the efficiency
and speed that comes with using an already existing resource.
26
TECHNIQUE OF SAMPLING
Probability sampling uses random sampling techniques to create a sample. It is based on the fact that every
member of a population has a known and equal chance of being selected. In this method, the selection of
sampling units depends entirely on the personal judgment of the investigation.
Non-probability sampling techniques use non-random processes like researcher judgment or convenience
sampling. It represents a group of sampling techniques that help researchers to select units from a population
that they are interested in studying. Collectively, these units form the sample that the researcher studies [see our
article, Sampling: The basics, to learn more about terms such as unit, sample and population].
27
QUESTIONNAIRE METHOD
Questionnaires can be classified as both, quantitative and qualitative method depending on the nature of
questions. Specifically, answers obtained through closed-ended questions with multiple choice answer options
are analysed using quantitative methods and they may involve pie-charts, bar-charts and percentages, whereas
answers obtained to open-ended questionnaire questions are analysed using qualitative methods and they
involve discussions and critical analyses without use of numbers and calculations.
Advantages of questionnaires include increased speed of data collection, low or no cost requirements, and
higher levels of objectivity compared to many alternative methods of primary data collection.
Sampling
28
CHAPTER-4
Data Interpretation
29
Age Group
Table No.4.1
No. of
Age Group Respondent
Below 18 18
18-30 71
30-50 2
Above50 1
Data Interpretation
Out of 100%, 19.6% respondents are below 18, 77.2 % respondents are between 18-30,
30
Gender
Table No.4.2
No. of
Gender Respondent
Male 50
Female 41
Figure No.4.2
Data Interpretation
Out of 100%, 54.9% respondents are Male and 45.1% respondents are Female.
31
Religion
No. of
Religion Respondent
Hindu 79
Muslim 8
Sikh 5
Christian 0
Data Interpretation
Out of 100%, 85.9% respondents are Hindu, 8.7% respondents are Muslim and 5.4% respondents are Sikh.
32
Education
No. of
Education Respondent
High School 2
Intermediate 16
Graduation 70
Post-Graduation 4
Data Interpretation
Out of 100%, 76.1% respondents are Graduate(Highest) and 2.2% respondents are High Schooler(Lowest).
33
Occupation
No. of
Occupation Respondent
Student 85
Employee 2
Self Employed 1
Business 4
Data Interpretation
Out of 100%, 92.4% respondents are Students, 2.2% respondents are Employee, 1.1% respondents are Self Employed and
4.3% respondents are doing Business
34
1- Do you own any two wheeler
Yes 80
No 13
Data Interpretation
Out of 100%, 86% respondents said Yes and 14% respondents said No.
35
2- How do you came to know about Activa
TV-Advertisement 60
Newspaper 8
Friends 24
Data Interpretation
Out of 100%, 65.2% respondents came to know from Tv Advertisement (Highest), 8.7% respondents came to know from
Newspaper (Lowesr).
36
3- How will you rate the body style design and looks of Activa
Table No. 4.8
Excellent 39
Good 49
Average 3
Poor 1
Data Interpretation
Out of 100%, 53.3% respondents said Good (Highest) and 1.1% respondents said Poor (Lowest).
37
4- Are you satisfied with the performance of your vehicle
Table No. 4.9
Yes 80
No 10
Data Interpretation
Out of 100%, 88.9% respondents said Yes and 11.1% respondents said No.
38
5- Which were your alternative against Honda Activa
Table No. 4.10
Which were your
alternative against No. of
Honda Activa Respondent
TVS Scooty 21
Hero Maestro 61
Mahindra Duro 8
Data Interpretation
Out of 100%, 68.5% respondents said Hero Maestro (Highest) and 9% respondents said Mahindra Duro (Lowest).
39
6- For what purpose do you use your vehicle
Table No. 4.11
Office Purpose 8
Personal Purpose 64
Educational
Purpose 36
Data Interpretation
Out of 100%, 71.1% respondents said Personal Use (Highest) and 8.9% respondents said Office purpose (Lowest).
40
7- Which Factor influence your decision
Which Factor
influence your No. of
decision Respondent
Price 9
Mileage 24
Quality 48
Resale Value 8
Data Interpretation
Out of 100%, 53.9% respondents said Quality (Highest) and 9% respondents said Resale value (lowest).
41
8- Do you have full knowledge about Honda Activa before buying
Yes 51
No 17
Maybe 22
Data Interpretation
Out of 100%, 56.7% respondents said Yes (Highest) and 18.9% respondents said No (Lowest).
42
9- How will you rate Activa performance with the following aspects
Table No. 4.14
MILEAGE 17 32 36 2 1
PRICE 12 29 44 3
PICK-UP 30 28 29 1
MAINTENANCE 22 38 24 2 2
BRAND IMAGE 51 23 13 1
Data Interpretation
For Mileage, 40.4% respondents said Good (Highest) and 1.1% respondents said Poor (Lowest).
For Price, 49.4% respondents said Good (Highest) and 3.4% respondents said Average (Lowest).
For Pick-up, 34.8% respondents said Excellent (Highest) and 1.1% respondents said Average (Lowest).
For Maintenance, 42.7% respondents said Very Good (Highest) and 2.2% respondents said Average and
poor (Lowest).
For Brand Image, 58.4% respondents said Excellent (Highest) and 1.1% respondents said Average (Lowest).
43
10- Which color you prefer
Table No. 4.15
Imperial Red 8
Black 19
Data Interpretation
Out of 100%, 27.3% respondents said Pearl Amazing White (Highest) and 4.5% respondents said Majestic Brown
Metallic.
44
11- Which source did you use to purchase the vehicle
Data Interpretation
Out of 100%, 80.7% respondents prefer Cash Purchase, and 19.3% respondents prefer Bank Loan Purchase.
45
12- How often do you get your vehicle serviced?
Data Interpretation
Out of 100%, 34.1% respondents said Once in a 2 month, and 8% respondents said Once a year.
46
13- Do you get any SMS/Mails/Reminders from the company as remainders for your two
vehicle service?
Table No.4.18
No. of respondents
Yes 49
No 38
Figure No.4.18
Data Interpretation
Out of 100%, 56.3% respondents said Yes, and 43.7% respondents said No.
47
Chapter-5
Findings, Suggestion
&
Conclusion
48
FINDINGS
● Among surveyed most of the respondents came to know about Activa through TV advertisement.
● The factor that influence respondents to buy Honda Activa is the Quality of the product.
49
SUGGESTIONS
● According to me company should work on their SMS/ Mails/ Reminders from the company,
as reminders for two wheeler service. Company should increase the number of reminder for their
customers.
50
LIMITATIONS
This study had some limitation which I faced throughout the study. So I would like to describe them below:
51
CONCLUSION
52
CONCLUSION
By doing the project I came to the point that the sale of scooters in the market has been increased if four 2
wheelers are sold in a day then 1 or 2 of them are scooters.
I also find that Honda Ltd. is more focusing on the sale of scooters.
Through this report I find that services provided by Honda Ltd. are appreciated by public.
I also get to know that company should increase the number of reminder for their customers.
This study also helps me to understand the customer relationship management of Honda Ltd.
53
BIBLIOGRAPHY
54
BIBLIOGRAPHY
● BOOK PREFERRED
➢ KOTHARI C.R. (2005) “RESEARCH METHODOLOGY” New age international limited, fifth edition.
● WEBSITES
➢ www.wikipedia.com
➢ scholar.google.co.in/
55
APPENDICES
56
Questionnaire
Age
Below 18
18-30
30-50
Above 50
Gender
Male
Female
Religion
Hindu
Muslim
Sikh
Christian
Education
High School
Intermediate
Graduation
Post Graduation
Occupation
Student
Employee
Self Employed
Business
TV Advertisement
Newspaper
Friends
3.How will you rate the body style design and looks of Activa
Excellent
Good
Average
Poor
Yes
No
TVS Scooty
Hero Maestro
Mahindra Duro
Office Purpose
Personal Purpose
Educational Purpose
58
Price
Mileage
Quality
Resale value
8.Do you have full knowledge about Honda Activa before buying
Yes
No
Maybe
9.How will you rate Activa performance with the following aspects
Mileage
Price
Pick-up
Maintenance
Brand Image
59
11.Which source did you use to purchase the vehicle
Cash
Bank loan
Once a month
Once a 2 month
Once in a Quarter
Once a six month
Once a year
13.Do you get any SMS/Mails/Reminders from the company as remainders for your two vehicle service
Yes
No
60