SUMMER TRAINING REPORT

ON

“INVESTMENT PATTERN OF INDIVIDUAL”

SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE

AWARD OF MBA DEGREE FROM
DR. A.P.J. ABDUL KALAM TECHNICAL UNIVERSITY, LUCKNOW

SUBMITTED TO:
Dr. Ravi Kumar Jaiswal
(Assistant Professor)
BIMS, LUCKNOW

COMPANY GUIDE: SUBMITTED BY

Mr. SAUMESH TRIPATHI AJAY PRATAP SINGH
(Branch Manager) Roll No.:-1856770003
MBA – Final Year

BORA INSTITUTE OF MANAGEMENT SCIENCES

1
 (Session- 2019-20)

DECLARATION

I undersigned Ajay Pratap Singh (Roll No. 1856770003 student of MBA 3rd
semester declare that I have done my summer internship on “INVESTMENT
PATTERN OF INDIVIDUAL” has been personally done by me under the
guidance of Mr. Saumesh Tripathi (Branch Manager) Delhi in partial
fulfillment of MBA Program- during academic year-2019-20. All the data
represented in this project is true & correct to the best of my knowledge & belief.

I also declare that this project report is my own preparation and not copied from
anywhere else.

AJAY PRATAP SINGH

Roll No.:-1856770003
MBA – 3rd Semester

2
 ACKNOWLEDGEMENT

I would like to express my sincere gratitude to Mr. Saumesh Tripathi, branch

manager at HDFC bank for providing me an opportunity to do my summer training
work in “HDFC Bank”.
I would also like to thank my mentor .
H valuable suggestion guideline helped me lot to prepare the report in a well
organized manner.
I am also grateful to my friends who helped me while preparing the report by
giving their suggestions, assistance and supply of information, which were
valuable to me their help supported me to complete my report successfully.

AJAY PRATAP SINGH

Roll No.:-1856770003
MBA – 3rd Semester

3
 PREFACE

This project report attempts to bring under one cover the entire hard work and
dedication put in by me in the completion of the project work on INVESTMENT
PATTERN OF INDIVIDUAL.

I have expressed my experiences in my own simple way. I hope who goes

through it will find it interesting and worth reading. All constructive feedback is
cordially invited.

4
 INDEX

CONTENT PAGE NO.

EXECUTIVE SUMMARY 6

BACKGROUND 7

INTRODUCTION 9

COMPANY PROFILE 14

LITERATURE REVIEW 26

OBJECTIVE OF STUDY 37

SCOPE OF STUDY 37

NEED OF STUDY 38

SUGGESTIONS AND RECOMMENDATIONS 48

LIMITATION 51

CONCLUSION 52

BIBLIOGRAPHY 53

5
 EXECUTIVE SUMMARY
Saving form an important part of any economy of nation with saving invested various options
available to people. An investment refers to the commitment of funds at present , in anticipation
of some positive rate of return in future today the spectrum of investment in indeed wide
individuals are more aware about the different investment avenues. Among all investment
avenues individuals consider saving account, fixed deposits, public provident fund (PPF), life
insurance, gold/silver etc. as a safer and low risk investment avenues compared to share markets,
bonds, mutual funds as high risk investment avenues. Individuals are not aware about virtual real
estate, hedge funds. Individuals are aware about share market, mutual fund but they consider
these investment avenues as high risk avenues.
The main reason behind the study are the factors like awareness level and factors
considering individuals before investment like low and safe investment avenues, moderate risk
avenues, high risk investment avenues, traditional investment avenues, emerging investment
avenues. The finding relates to the awareness among individuals and individuals risk taking
ability while in investing in different investment avenues.

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BACKGROUND:
“In investing money, the amount of interest you want should depend on whether you want
to eat well or sleep well.”

-J.Kenfield Morley
An investment is the employment of funds with aim of achieving income and growth in value the
main characteristics of investment are waiting for a reward. Investment is the allocation of
monetary resources to assets that are expected to yield some gain or positive return over a given
period of time. Investment aims at multiplication of money on higher or lower rates depending
upon whether it is long term or short term investment and whether it is risky or risk free
investment. Investment activity involves creation of assets or exchange of assets with profit
motive.”An investment in knowledge pays the best interest” .From people point of view ,the
investment is commitment of a person’s fund to derive future income in the form of interest
,dividend ,rent ,premium ,pension benefits or appreciation of the value of their principle capital.
Most of the investments are considered to transfer of financial assets from one person to another.
Various investments are available with differing risk-rewards tradeoffs. An understanding of the
core concepts and a thorough analysis. Investment refers to the concepts of deferred consumption
which may involve purchasing an asset, giving loan or keeping funds in bank account with the
aim of generating future returns. Thorough analysis of the options can help investors create a
portfolio that maximizes returns while minimizing risk exposure.
Savings from an investment part of the economy of any nation. With the savings invested in
various options available to the people, money acts as a driver for the growth of the country.
Indian financial scene too presence of plethora of avenues the investors. Through certainly not
the best or deepest of market in the world, it has reasonable options for an ordinary man to invest
his savings.
One need to invest and earn return on their idle resources and generate a specified sum of money
for a specific goal in life and make a provision for an uncertain future. One of the important
reasons why one needs to invest wisely is to meet the cost of inflation; it is the rate at which the
cost of living increases.

Service with a smile:

7
Today‟ s finicky banking customers will settle for nothing less. The customer has come to
realize somewhat belatedly that he is the king. The customer‟ s choice of one entity over another
as his principal bank is determined by considerations of service quality rather than any other
factor. He wants competitive loan rates but at the same time also wants his loan or credit card
application processed in double quick time. He insists that he be promptly informed of changes
in deposit rates and service charges and he bristles with „customary rage‟ if his bank is slow to
redress any grievance he may have. He cherishes the convenience of impersonal net banking but
during his occasional visits to the branch he also wants the comfort of personalized human
interactions and facilities that make his banking experience pleasurable. In short he wants
financial house that will more than just clear his cheque and updates his passbook: he wants a
bank that cares and provides great services.
So does HDFC bank meet these heightened expectations? What are the customers‟ perceptions
of service quality of the banks? Which dimension of service quality of HDFC bank is
performing well? To find out answers to these questions I undertook a survey of 2 branches of
HDFC bank.

INTRODUCTION

8
HDFC BANK
The Housing Development Finance Corporation Limited (HDFC) was amongst the first
to receive an ‘in principle’ approval from the Reserve Bank of India (RBI) to set up a bank in the
private sector, as part of RBI’s liberalization of the Indian Banking Industry in 1994. The bank
was incorporated in August 1994 in the name of ‘HDFC Bank Limited’, with its registered office
in Mumbai, India. HDFC Bank commenced operations as a Scheduled Commercial Bank in
January 1995.
Tag line: - “We understand your world”
Headquarter: - Mumbai Maharashtra.
Listed in: - NSE, BSE. Under the symbol 'HDB'
HDFC Bank’s mission is to be a World Class Indian Bank.

9
The bank was promoted by the Housing Development Finance Corporation, a premier housing
finance company (set up in 1977) of India. According to the Brand Trust Report 2014, HDFC
was ranked 32nd among India's most trusted brands. HDFC was ranked 45th on the list of top 50
Banks in the world in terms of their market capitalization.
The objective is to build sound customer franchises across distinct businesses so as to be the
preferred provider of banking services for target retail and wholesale customer segments, and to
achieve healthy growth in profitability, consistent with the bank’s risk appetite. The bank is

10
committed to maintain the highest level of ethical standards, professional integrity, corporate
governance and regulatory compliance
HDFC Bank’s business philosophy is based on five core values:
 Operational Excellence
 Customer Focus
 Product Leadership
 People and Sustainability.

BUSINESS FOCUS:
HDFC Bank’s mission is to be a world class Indian bank. The objective is to build sound
customer franchises across distinct businesses so as to be the preferred provider of banking
services for target retail and wholesale customer segments, and to achieve healthy growth in
profitability, the highest level of ethical standards, professional integrity, corporate governance
and regulatory compliance. HDFC Bank’s business philosophy is based on five core values:
operational excellence, Customer Focus, Product Leadership, People and Sustainability.

CAPITAL STRUCTURE:
As on 31st march, 2015 the authorized share capital of bank is rs.550 crore. The paid-up share
capital of the bank as on the said date is Rs.501,129,634/-(2506495317 equity shares of Rs 2/-
each). The HDFC Group holds 21.67% of the Bank’s equity is held by the ADS / GDR
Depositories(in respect of the bank’s American Depository Shares[ADS] and Global Depository
Receipts [GDS] issues).32.57% of the equity is held by Foreign Institutional Investors (FIIs) and
the bank has 4,41,457 shareholders.
The shares are listed on the Bombay Stock Exchange Limited and The National Stock Exchange
of India Limited. The bank’s American depository shares(ADS) are listed on the new York stock
exchange (NYSE) under the symbol ‘HDB’ and the bank’s global depository receipts (GDR)are
listed on Luxembourg stock exchange under ISIN no. US40415F2002 .

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AMALGAMATION OF TIMES BANK & CENTURION BANK OF
PUNJAB WITH HDFC BANK:
On may 23,2008, the amalgamation of centurion bank of Punjab with HDFC Bank was formally
approved by Reserve Bank of India to complete the statutory and regulatory approval process.
As per the scheme of amalgamation, shareholders of CBoP.
The amalgamation added significant value to HDFC Bank in terms of increased branch network,
geographic reach, and customer base, and a bigger pool of skilled manpower.
In a milestone transaction in the Indian banking industry, times bank limited(another new private
sector bank promoted by Bennett, Coleman & co./times group)was merged with HDFC Bank
Ltd., effective February 26,2000. This was first merger of two private banks in the new
generation private sector banks. As per the scheme of amalgamation approved by the
shareholders of both banks and the Reserve Bank of India , shareholders of times bank received
1 share of HDFC Bank for every 5.75 shares of Times Bank.

DISTRIBUTION NETWORK:
HDFC Bank is head quartered in Mumbai. As of march31,2015, the bank’s distribution network
was at 4,014 branches in2,464 cities. All branches are linked on an online real-time basis.
Customer across India are also serviced through multiple delivery channels such as phone
banking, Net Banking, Mobile banking and SMS based banking. The bank’s expansion plans
take into account the need to build a strong retail customer base for both deposits and loan
products. Being a clearing/settlement bank to various leading stock exchanges, the bank has
branches in centers where the NSE/BSE have a strong and active member base.
The bank also has a network of 11,766 ATMs across India. HDFC Bank’s ATM network can be
accessed by all domestic and international Visa Electron/Maestro, plus/Cirrus and American
Express Credit/ charge card holders.

MANAGEMENT:
Mrs. Shyamala Gopinath holds a Master’s degree in commerce and is a CAIIB. She has 39 years
of experience in financial sector policy formulation in different capacities at RBI. As a deputy
Governor of RBI for seven years and member of the board. Mrs. Gopinath had been guiding and

12
influencing the national policies in the diverse areas of financial sector regulation and
supervision, development and regulation of financial markets, capital account management,
management, management of government borrowing, forex reserves management and payment
and settlement systems.
The managing director, Mr. Aditya Puri, has been a professional banker for over 25 years and
before joining HDFC Bank in 1994 was heading Citibank’s operations in Malaysia.
The bank’s board of directors is composed of eminent individuals with a wealth of experience in
public policy, administration, industry and commercial banking. Senior executives representing
HDFC are also on the board.
RATING/AWARDS:

CREDIT RATING:
HDFC Bank has its deposit programmes rated by two rating agencies-Credit Analysis &
Research Limited.(CARE) and Fitch Rating India Private Limited. The bank’s Fixed deposit
programme has been rated ‘CARE AAAFD’ by CARE, which represents instruments considered
“to be of the best quality, carrying negligible investment risk”
CARE has also rated the bank’s Certificate Of Deposit (CD) programme “PR 1”, which also
represents “superior capacity for repayment of short term promissory obligations”. Fitch Rating
India Pvt. Ltd. has assigned the “AAA” rating to the bank’s deposit programme, with the outlook
on rating as “stable”. This rating indicates “highest credit quality” where “protection factors are
very high”.
HDFC Bank also has its long term unsecured, subordinated (Tier II) Bonds of Rs.4 billion rated
by CARE and Fitch Rating India Private Limited. CARE has assigned the rating of “CARE
AAA” for the Tier II Bonds while Fitch Rating India Pvt. Ltd. Has assigned the rating AAA with
the outlook on the rating has assigned the rating as ‘stable’. In each of the cases referred to
above, the ratings awarded were highest assigned by the rating agency for those instruments.

CORPORATE GOVERNANCE RATING:

The bank was one of the first four companies, which subjected itself to a Corporate Governance
and Value Creation (GVC) rating by the rating agency, the credit rating information services of
India limited (CRISIL). The rating provides an independent assessment of an entity’s current

13
performance and an expectation on its “balanced value creation and corporate governance
practice” in future. The bank was assigned a CRISIL GVC Level 1 rating in January 2007 which
indicates that the bank’s capability with respect to wealth creation for all its stakeholders while
adopting sound corporate governance practices is the highest.

AWARDS & ACCOLADES:

HDFC Bank began operations in 1995 with a simple mission “to be a world class Indian bank”.
We realized that only a single minded focus on product quality and service excellence would
help us get there. Today, we are proud to say that we are well on our way towards that goal. Over
the years, the bank has received recognition and awards from several leading organizations and
publications, both domestic and international.

14
COMPANY PROFILE

15
The Housing Development Finance Corporation Limited (HDFC) was amongst the first to
receive an 'in principle' approval from the Reserve Bank of India (RBI) to set up a bank in the
private sector, as part of the RBI's liberalisation of the Indian Banking Industry in 1994. The
bank was incorporated in August 1994 in the name of 'HDFC Bank Limited', with its registered
office in Mumbai, India. HDFC Bank commenced operations as a Scheduled Commercial Bank
in January 1995.

HDFC Bank comprises of a dynamic and enthusiastic team determined to accomplish the vision
of becoming a World-class Indian bank. HDFC bank‟ s business philosophy is based on our
four core values - Customer Focus, Operational Excellence, Product Leadership and People.
They believe that the ultimate identity and success of their bank will reside in the exceptional
quality of people and their extraordinary efforts. They are committed to hiring, developing,
motivating and retaining the best people in the industry.

HDFC BANK LIMITED - PROFILE

BACKGROUND:
The housing development finance corporation (HDFC) was amongst the first to receive an ‘in
principle’ approval from the reserve bank of India (RBI) to set up a bank in the private sector, as
part of RBIs liberalization of the Indian banking industry in 1994. The bank was incorporated in
august 1994 in the name of ‘HDFC Bank Limited’, with its registered office in Mumbai, India.
HDFC Bank commenced operations as a scheduled commercial bank in January 1995.

BUSINESS FOCUS
HDFC Bank's mission is to be a World-Class Indian Bank. The objective is to build sound
customer franchises across distinct businesses so as to be the preferred provider of banking

16
services for target retail and wholesale customer segments, and to achieve healthy growth in
profitability, consistent with the bank's risk appetite. The bank is committed to maintain the
highest level of ethical standards, professional integrity, corporate governance and regulatory
compliance. HDFC Bank's business philosophy is based on four core values - Operational
Excellence, Customer Focus, Product Leadership and People.

MISSION STATEMENT OF HDFC BANK

* World Class Indian Bank.

* Benchmarking against international standards.

* To build sound customer franchises across distinct businesses

* Best practices in terms of product offerings, technology, service

levels, risk management and audit & compliance

VISION STATEMENT OF HDFC BANK

The HDFC Bank is committed to maintain the highest level of ethical standards,
professional integrity and regulatory compliance. HDFC Bank‟ s business philosophy is
based on four core values such as:-
1. Operational excellence.

2. Customer Focus.

3. Product leadership.

4. People.

The objective of the HDFC Bank is to provide its target market customers a full range of
financial products and banking services, giving the customer a one-step window for all his/her
requirements. The HDFC Bank plus and the investment advisory services programs have been

17
designed keeping in mind needs of customers who seeks distinct financial solutions, information
and advice on various investment avenues.

BUSINESS STRATEGY

* Increasing market share in India‟s expanding banking

* Delivering high quality customer service
* Maintaining current high standards for asset quality through disciplined
credit risk management
* Develop innovative products and services that attract targeted customers
and address inefficiencies in the Indian financial sector.
DISTRIBUTION NETWORK

HDFC Bank is headquartered in Mumbai. The Bank at present has an enviable network of over
1229 branches spread over 444 cities across India. All branches are linked on an online real-
time basis. Customers in over 120 locations are also serviced through Telephone Banking. The
Bank's expansion plans take into account the need to have a presence in all major industrial and
commercial centers where its corporate customers are located as well as the need to build a
strong retail customer base for both deposits and loan products. Being a clearing/settlement
bank to various leading stock exchanges, the Bank has branches in the centers where the
NSE/BSE has a strong and active member base.
The Bank also has a network of about over 2526 networked ATMs across these cities.
Moreover, HDFC Bank's ATM network can be accessed by all domestic and international
Visa/MasterCard, Visa Electron/Maestro, Plus/Cirrus and American Express Credit/Charge
cardholders.
PROMOTER

HDFC is India's premier housing finance company and enjoys an impeccable track record in
India as well as in international markets. Since its inception in 1977, the Corporation has
maintained a consistent and healthy growth in its operations to remain a market leader in
mortgages. Its outstanding loan portfolio covers well over a million dwelling units. HDFC has

18
developed significant expertise in retail mortgage loans to different market segments and also
has a large corporate client base for its housing related credit facilities. With its experience in
the financial markets, a strong market reputation, large shareholder base and unique consumer
franchise, HDFC was ideally positioned to promote a bank in the Indian environment.

MANAGEMENT
Mr. C.M. Vasudev has been appointed as the Chairman of the Bank with effect from 6th July
2010 subject to the approval of the Reserve Bank of India and the shareholders. Mr. Vasudev
has been a Director of the Bank since October 2006. A retired IAS officer, Mr. Vasudev has had
an illustrious career in the civil services and has held several key positions in India and
overseas, including Finance Secretary, Government of India, Executive Director, World Bank
and Government nominee on the Boards of many companies in the financial sector.
The Managing Director, Mr. Aditya Puri, has been a professional banker for over 25 years,
and before joining HDFC Bank in 1994 was heading Citibank's operations in Malaysia.
The Bank's Board of Directors is composed of eminent individuals with a wealth of
experience in public policy, administration, industry and commercial banking. Senior
executives representing HDFC are also on the Board.
Senior banking professionals with substantial experience in India and abroad head various
businesses and functions and report to the Managing Director. Given the professional expertise
of the management team and the overall focus on recruiting and retaining the best talent in the
industry, the bank believes that its people are a significant competitive strength.

TECHNOLOGY
HDFC Bank operates in a highly automated environment in terms of information technology
and communication systems. All the bank's branches have online connectivity, which enables
the bank to offer speedy funds transfer facilities to its customers. Multi-branch access is also
provided to retail customers through the branch network and Automated Teller(ATMs).
The Bank has made substantial efforts and investments in acquiring the best technology
available internationally, to build the infrastructure for a world class bank. The Bank's

19
business is supported by scalable and robust systems which ensure that our clients always
get the finest services we offer.
The Bank has prioritised its engagement in technology and the internet as one of its key goals
and has already made significant progress in web-enabling its core businesses. In each of its
businesses, the Bank has succeeded in leveraging its market position, expertise and technology
to create a competitive advantage and build market share.

QUALITY POLICY

SECURITY: The bank provides long term financial security to their policy. The bank does this
by offering life insurance and pension products.
TRUST: The bank appreciates the trust placed by their policy holders in the bank. Hence, it
will aim to manage their investments very carefully and live up to this trust.
INNOVATION: Recognizing the different needs of our customers, the bank offers a range of
innovative products to meet these needs.
INTEGRITY
CUSTOMER CENTRIC
PEOPLE CARE “ONE FOR ALL AND ALL FOR ONE”
TEAM WORK
JOY AND SIMPLICITY

Retail Banking Services

The objective of the Retail Bank is to provide its target market customers a full range of
financial products and banking services, giving the customer a one-stop window for all
his/her banking requirements. The products are backed by world-class service and delivered
to customers through the growing branch network, as well as through alternative delivery
channels like ATMs, Phone Banking, Net Banking and Mobile Banking.
The HDFC Bank Preferred program for high net worth individuals, the HDFC Bank Plus and
the Investment Advisory Services programs have been designed keeping in mind needs of
customers who seek distinct financial solutions, information and advice on various investment

20
avenues. The Bank also has a wide array of retail loan products including Auto Loans, Loans
against marketable securities, Personal Loans and Loans for Two-wheelers.
It is also a leading provider of Depository Participant (DP) services for retail customers,
providing customers the facility to hold their investments in electronic form. HDFC Bank was
the first bank in India to launch an International Debit Card in association with VISA (VISA
Electron) and issues the Mastercard Maestro debit card as well. The Bank launched its credit
card business in late 2001. By March 2010, the bank had a total card base (debit and credit
cards) of over 14 million. The Bank is also one of the leading players in the “merchant
acquiring” business with over 90,000 Point-of-sale (POS) terminals for debit / credit cards
acceptance at merchant establishments. The Bank is well positioned as a leader in various net
based B2C opportunities including a wide range of internet banking services for Fixed Deposits,
Loans, Bill Payments, etc.

Treasury
Within this business, the bank has three main product areas - Foreign Exchange and Derivatives,
Local Currency Money Market & Debt Securities, and Equities. With the liberalisation of the
financial markets in India, corporates need more sophisticated risk management information,
advice and product structures. These and fine pricing on various treasury products are provided
through the bank's Treasury team. To comply with statutory reserve requirements, the bank is
required to hold 25% of its deposits in government securities. The Treasury business is
responsible for managing the returns and market risk on this investment portfolio.

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HISTORY OF BANKING
Banking is nearly as old as civilization. The history of banking could be said to have started with
the appearance of money. The first record of minted metal coins was in Mesopotamia in about
2500B.C. the first European banknotes, which was handwritten appeared in1661, in Sweden.
cheque and printed paper money appeared in the 1700’s and 1800’s, with many banks created to
deal with increasing trade.
The history of banking in each country runs in lines with the development of trade and industry,
and with the level of political confidence and stability. The ancient Romans developed an
advanced banking system to serve their vast trade network, which extended throughout Europe,
Asia and Africa.
Modern banking began in Venice. The word bank comes from the Italian word “ban co”,
meaning bench, because moneylenders worked on benches in market places. The bank of Venice
was established in 1171 to help the government raise finance for a war.
At the same time, in England merchant started to ask goldsmiths to hold gold and silver in their
safes in return for a fee. Receipts given to the Merchant were sometimes used to buy or sell, with
the metal itself staying under lock and key. The goldsmith realized that they could lend out some
of the gold and silver that they had and charge interest, as not all of the merchants would ask for
the gold and silver back at the same time. Eventually, instead of charging the merchants, the
goldsmiths paid them to deposit their gold and silver.
The bank of England was formed in 1694 to borrow money from the public for the government
to finance the war of Augsburg against France. By 1709, goldsmith were using bank of England
notes of their own receipts.

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BANKING STRUCTURE IN INDIA:

In today’s dynamic world banks are inevitable for the development of a country. Banks play a
pivotal role in enhancing each and every sector. They have helped bring a draw of development
on the world’s horizon and developing country like India is no exception.
Banks fulfills the role of a financial intermediary. This means that it acts as a vehicle for moving
finance from those who have surplus money to (however temporarily) those who have deficit. In
everyday branch terms the banks channel funds from depositors whose accounts are in credit to
borrowers who are in debit.
Without the intermediary of the banks both their depositors and their borrowers would have to
contact each other directly. This can and does happen of course. This is what has lead to the very
foundation of financial institution like banks.
Before few decades there existed some influential people who used to land money. But a
substantially high rate of interest was charged which made borrowing of money out of the reach
of the majority of the people so there arose a need for a financial intermediate.
The Bank have developed their roles to such an extent that a direct contact between the
depositors and borrowers in now known as disintermediation.
Banking industry has always revolved around the traditional function of taking deposits, money
transfer and making advances. Those three are closely related to each other, the objective being
to lend money, which is the profitable activity of the three. Taking deposits generates funds for
lending and money transfer services are necessary for the attention of deposits. The Bank have
introduced progressively more sophisticated versions of these services and have diversified
introduction in numerable areas of activity not directly relating to this traditional trinity

23
INDIAN BANKING SYSTEM

Reserve Bank of India

Schedule Banks Non-Schedule Banks

Central co-op
State co-op Commercial Banks and Commercial Banks
Banks Banks Primary Cr.
Societies

Indian Foreign

Public Sector
Banks Private Sector HDFC,
Banks ICICI etc.

State Bank of India Other Nationalized Regional Rural

and its Subsidiaries Banks Banks

24
INDIAN BANKING INDUSTRY ANALYSIS
The banking scenario in India has been changing at fast pace from being just the borrowers and
lenders traditionally, the focus has shifted to more differentiated and customized product/service
provider from regulation to liberalization in the year 1991, from planned economy to market.
Economy, from licensing to integration with Global Economics, the changes have been swift. All
most all the sector operating in the economy was affected and banking sector is no exception to
this. Thus the whole of the banking system in the country has undergone a radical change. Let us
see how banking has evolved in the past 57 years of independence.
After independence in 1947 and proclamation in 1950 the country set about drawing its road map
for the future public ownership of banks was seen inevitable and SBI was created in 1955 to
spearhead the expansion of banking into rural India and speed up the process of magnetization.
Political compulsion’s brought about nationalization of bank in 1969 and lobbying by bank
employees and their unions added to the list of nationalized banks a few years later.
Slowly the unions grew in strength, while bank management stagnated. The casualty was to the
customer service declined, complaints increased and bank management was unable to item the
rot.
In the meantime, technology was becoming a global phenomenon lacking a vision of the future
and the banks erred badly in opposing the technology up gradation of banks. They mistakenly
believed the technology would lead to retrenchment and eventually the marginalization of
unions.
The problem faced by the banking industry soon surfaced in their balance sheets. But the
prevailing accounting practices unable banks to dodge the issue.
The rules of the game under which banks operated changed in 1993. Norms or income
Recognition, Assets classification and loan loss provisioning were put in place and capital
adequacy ratio become mandatory. The cumulative impact of all these changes has been on the
concept of state ownership in banks. It is increasingly becoming clear that the state ownership in
bank is no longer sustainable.
The amendment of banking regulation act in 1993 saw the entry of new private sector banks and
foreign banks.

25
MAJOR PLAYER IN INDIA
1. HDFC BANK LTD
2. ICICI BANK LTD
3. STATE BANK OF INDIA LTD
4. PUNJAB NATOINAL BANK LTD
5. BANK OF BARODA LTD
6. FEDERAL BANK LTD
7. AXIS BANK LTD
8. ING VYSYA BANK LTD
9. IDBI BANK LTD
10. INDUSIND BANK LTD
11. YES BANK LTD

26
 LITERATURE REVIEW

In India the socio-economic profile of the people changes dramatically. Today people are not
only spending on products and services, earlier considered a luxury but are also looking at
smarter ways of investing their money. This is mainly due to fact, that people today not only
have a wider choice of investing in different saving instruments, but are also more educated and
aware about their choices. People are now moving beyond the traditional saving options of
deposits, post office savings to wider investment options in the form of insurance, mutual funds,
bonds, equities and even property.
Saving is income not spent, or deferred consumption. Methods of saving include putting money
aside in a bank or pension plan. Saving also includes reducing expenditures, such as recurring
cost. In terms of personal finance, saving specifies low risk preservation of money, as in a
deposit account, versus, wherein risk is higher.

What is saving?
Income-expenditure=savings. In today’s rapidly changing financial environment, it is critical that
individuals not only protect and enhance their current financial resources, but also prepare for
future security and against loss of income. This requires careful planning and prudent
management of one’s financial assets.
Financial planning is the key and the first step towards fulfilling ones dreams and aspirations
whether it is about providing for the family throughout life, even in the eventuality of the death
of the earning member of the family. An important component of a sound financial plan is not
only the inclusion of life insurance investment but also providing for adequate insurance
coverage in plan. It is therefore critical for individuals to discuss their unique needs with
qualified financial planning advisers who can assist in determining the right plan and amount of
coverage required. Consumers are now exposed to an array of modern and innovative products.
Depending on the needs of the customers.

27
Investment is the certain present value for the uncertain future reward. It entails arriving at
numerous decision such as types, mix, amounts, timing, grade etc of investment and
disinvestment further such decision making has not only to be order to get return on its in the
future, which is known as investment. There are various investment avenues such a equity,
bonds, insurance, and bank deposit etc. a portfolio is a combination of different investment assets
mixed and matched for the purpose of achieving gold. There are various factors which affects
investors. Portfolio such as annual income government, policy natural calamities, economical
charges etc.

Financial and economic meaning of investment:-

Investment is the allocation of monetary resources to assets that expected to yield some gains or
positive return over a given period of time. These assets from safety investment to risky
investment in this form are called as financial investment.

Features of an investment program:-

In choosing specific investment investor will need definitely ideas regarding features which their
investment avenues should possess. These features should be consistent with the investor general
objectives are in addition, should afford them all the incidental convenience and advantages.
Which are possible under the circumstances? the following are the suggested features as the
ingredients from which many successful investors compound their selection policies.
 Safety of principle: the investor should carefully examine the risk involved in the money
which can directly affect the principle amount. Investor evaluates the economic
conditions and trends before choosing type of investment.
 Liquidity: even investor requires minimum liquidity in his investment to meet
emergence .liquidity will be ensued if the investor buys a proportion of readily saleable
securities out of his total portfolio.
 Income stability: regularity of income at a consistent art is necessary in any investment
pattern. Not only stability, it is possible to find outcome of good securities, which pay
particularly all their earning in dividends
 Tax saving: nowadays there are number of investors who invest their savings in order to
get tax exemption.

28
 Under section 80C income tax act, certain investments are deductable from gross
total income. This benefit has been provided to encourage long term savings and
investment.

Lets discuss about the avenues which are present in market:-

 Mutual funds:- mutual fund is a professionally managed investment fund that pools money
from many investors (which invests small amount of money) to purchase securities. These
investors may be retail or institutional in nature. Primary structure of mutual funds includes open
ended funds, close ended funds, unit investment trusts.
Usually, Net Asset Value of mutual fund changes daily according to the underlying assets of the
fund. Mutual fund are safe investment havens as they are compulsorily registered and operated
within SEBI regulations. The main benefit of investing through a mutual fund is that you get
access to professional fund management and diversified portfolios at a relatively small amount of
investment.
Following are the top mutual funds in 2019:-
1.mirae asset large cap fund.

29
 2.Axis blue-chip fund
3.ICICI prudential blue chip fund.
4.SBI magnum multicap fund.

 INSURANCE:- Insurance is a contract, represented by a policy, in which an individual or entity

receives financial protection or reimbursement against losses from an insurance company. The
company pools client’s risks to make payments more affordable for the insured.

Insurance policies are used to hedge against the risk of financial losses, both big and small, that
may result from damage to the insured or her property , or from liability for the damage or
injury caused to third party.
Following are the top insurance companies in india:
1.Life Insurance Company
2.ICICI prudential life insurance
3.Reliance life insurance
4.bajaj alliance life insurance
5.birla sunlife insurance
6.SBI life insurance
7.HDFC standard life insurance
8. max life insurance
 REAL ESTATE:-Real estate is the property, land, buildings, air rights above the land and
underground rights below the land. The term real estate means real, or physical, property.
Under this avenue investment is done by buying a property or land in order to attain its
ownership.
 POST OFFICE:- A post office is a public department that provides a customer service to the
public and the handles their mail needs.
post office offers many investment schemes which are also known as tax saving schemes the
government offers different investment schemes in which tax benefit is provided to the investors
or we can say tax payers. Some investment options in post office are National Saving Certificate
(NSC),Recurring Deposit, post office saving schemes.
 GOLD & EQUITIES:- gold funds, as the name suggests, invests in various forms of gold. It
can be in the form of physical gold or stocks of gold mining companies. Gold funds which invest

30
 in physical gold offer investors the convenience of buying pure gold at low cost. There is no
possibility of theft and you can sell these units at market linked prices anytime.
whereas, an equity investment generally refers to the buying and holding of shares of stock on a
stock market by individuals and firms in anticipation of income from dividends and capital gains.
 BANKS:-Bank is also considered as an investment avenue because its function also includes
mobilizing of customer’s saving. Many other investment schemes are provided by banks like
fixed deposits, and many other mutual fund schemes are also provided the bank itself.

Let us discuss the about some investment plans:

 PROTECTION PLANS: It is the purest form of life insurance. It is basically a pure

protection plan; usually with no element of savings or investment attached to it. In this plan if
life insured unfortunately dies within the policy term then the nominee will get the entire money
that has been promised as the death benefit for the insured. However, if he survives that period,
then there is no payment at the end of the term.
 CHILDREN PLAN:-A child plan is a tailor-made investment cum insurance option to
meet financial needs of a child. The insurance component is designed to protect the child from
unfortunate events such as the demise of the parent wherein the child gets a fixed annual
payment in case such an event occurs.
 SAVING & INVESTMENT PLAN:-Saving and investment plans are such plans that
offers multiple avenues to not only save but also to grow your money. Saving and investment
plans help you save regularly and be adequately prepared to meet family’s financial needs.
 HEALTH PLAN:- Health plan is a type of plan that is invested in order to pay for the
cost of medical treatment if you or your family member fall ill or injured. It covers whole part of
the health risk, such plans are routinely part of national health insurance programs.

 RETIREMENT PLAN:- Retirement plans are the plans is a financial context, in this
savings are allocated in order to avail financial benefits after retirement. It refers to the plan
which arranges and provide people with an income during retirement when they are no longer
earning a steady income from employment.

31
SWOT ANALYSIS OF HDFC: -

STRENGTH WEAKNESSES
 Support of various promoters  Some gaps in range for certain
 High level of services sectors.
 Knowledge of Indian market  Problems of sales staff.

 Right strategy for the right products.  Processes and systems, etc.
Superior customer service vs.  Not been fully able to position
competitors it correctly
 Great Brand Image
 High degree of customer satisfaction.
 Good place to work
 Lower response time with efficient and
effective service.

Opportunities Threats
 Profit margins will be good.  Legislation could impact.
 Could extend to overseas broadly.  Great risk involved
 New specialist applications.  Very high competition
 Could seek better customer deals prevailing in the industry.
 Fast-track career development  Vulnerable to reactive attack by
opportunities on an industry-wide  major competitors
basis.  Lack of infrastructure in rural
 An applied research centre to create areas could constrain
opportunities for developing techniques investment.
to provide value-added services.  High volume/low cost market
 Growing Indian banking sector is intensely competitive.
 People are becoming more

32
  service oriented

PEST Analysis of HDFC Bank:

Political Economi
- Monetary Policy cs
-Regulatory
Framework
PEST
ANALYSIS
Technological
-Internet Banking
Soc
- Mobile Banking
ial
- ATM

i. Political Factor:
 Government regulations: Bank as financial body is always restricted with
policy and rules.
 Indian Banking Association
 IT act, 1961
 Growth of subsidiary companies.
ii. Economic Factors:
 Money inflation & deflation.
 Industrial growth.
 Liberalization & globalization policies.
 Capital market requirements.
iii. Social Factors:
 Banking habits.
 Individual requirements.
 Income level
 Society status and aspiration values.

iv. Technological Factors:

 Banks have a wide range of ATMs.

33
  Improved Net Banking and Mobile banking facilities provided by banks
helped customer to save time and cost. HDFC bank introduced PayZapp and
Watch banking
 Focus on increasing the servicing level by technical enhancement.
STP STRATEGY OF HDFC BANK:

SEGMENTATION STRATEGY:

 Demographic variables:
 Location:
 Metros and divisional cities
 Occupation
 Business persons
 Salaried class (both Govt. and private)
 Working woman
 Age
 Senior citizens
 minor
 Psychographic variables:
 Lifestyle

 TARGETING STRATEGY:

HDFC bank follows Targeting marking which are as follow:

TARGE
TING STRATEGY

TA SELECT
RGET MARKET IVE SPECIALISATION
STRATEGY
34
CORPORATE CAPITAL RETAIL BANKING
BANKING MARKET MARKET MARKET
 


 TARGET MARKET:
a) Corporate banking market:
This market targets the industries and fulfills their financial
needs.
b) Capital market:

This segment is targeted on the long term needs of the individual as well
as of industries.

c) Retail banking market:

This segment is for the retail investor and provides them short
term financial credit for their personal, household needs.

 SELECTIVE SPECIALIZATION STRATEGY:

Here the bank selected a number of segments, each objectively attractive &
appropriate. There may be little or low synergy among the segment but each segment
proves to be worth full for it.
If we take the example of cards then Axis bank have separate set of credit cards,
each targeted at different set of people i.e. segment and each one has its own importance
for the bank.

 POSITIONING STRATEGY:

35
 HDFC bank has positioned itself as a bank which gives higher standard of services
through product innovation for the diverse need of individual & corporate clients. So they
want to highlight following points in their positioning statement:

i. Customer centric
ii. Service oriented
iii. Product innovation

 Promotions strategy of HDFC Bank:

"It plans to send personalized mailers about various products to all those HDFC come in
contact with during these mass promotions." The bank has also tied up with Business Today, to
sponsor 10,000 copies of the magazine in each metro. The cover of the sponsored copies would
be the December issue of Business Today, which rated HDFC Bank as the best bank in the
country. On the opposite side, would be an advertorial which would talk about HDFC as a `one-
stop financial supermarket'.
 Gold Credit card: For providing the better services to the customers and promoting
their business, HDFC has launched the Gold Credit Cards. It's overloaded with travel
benefits - discounts, cash back offers, air miles redemption.
Gold Credit Card Features & Benefits:
 Attractive Reward Points - Earn 1 reward point per Rs 150 spent on the Gold
Credit Card.
 Rewards points redemption - After earning all those reward points on your
HDFC Bank Gold Credit Card; redeem them for exciting gifts and services! You
could even convert them to airline miles with India's leading airlines through the
My Rewards programme.
 Worldwide acceptance - Accepted at over 23 million Merchant Establishments
around the world, including 110,000 Merchant Establishments in India.
Revolving credit facility - Pay a minimum amount, which is 5% (subject to a minimum
amount of Rs.200) of your total bill amount or any higher amount whichever is
convenient and carry forward the balance to a better financial month. For this facility you
pay a nominal charge of just 3.25% per month (39.0% annually).

36
  Free Add-on card - You can share these wonderful features with your loved ones too
- we offer the facility of an add-on card for your spouse, children or parents. Allow us
to offer add-on cards to you FREE OF COST with our compliments.
 Interest free credit facility - Avail of up to 50 days of interest free period from
the date of purchase.

OBJECTIVES OF STUDY:
1. To analyze the marketing strategies adopted by HDFC bank to sell its products.
2. To analyze factors that influences bank marketing strategies of HDFC bank.
3. To measure the level of awareness among the consumers of HDFC bank.
4. To study the competitive strength of HDFC bank.
5. To study the profile of HDFC bank.
6. To analyze the marketing channels used by HDFC banks to push their products.
7. To know the mode of investments of the individuals in various investment avenues.
8. To study the factors influencing the investment pattern of the individuals.
9. To study the factors influencing enquiries into profile, portfolio practice, experiences,
preferences & risk, perceptions, and intentions of salaried individuals.

37
SCOPE OF STUDY:

The scope of the study is to know the marketing strategies adopted by HDFC bank. This research
is based on primary as well as on secondary data. It’s not easy for covering all the boundaries for
collecting the data. So, this research study is covering some important aspect and also to know
the consumer awareness about the product of HDFC bank. It will also help to filling up areas
which required improvement.

This analysis is based upon investor’s pattern for investment preference, awareness during time
visa-vis recessionary period. This analysis would be focusing on the information from the
salaried people about their knowledge, perception, and behavior on different financial products.
1) The total number of financial instrument in the market is so large that it needs a lot of time
and resources to analyze them all.
2) As the analysis is based on primary as well as secondary data, possibility of unauthorized
information cannot be avoidable.
3) Survey was carried on in Varanasi
4) Investment pattern analysis has been limited only by 100 individuals.

IMPORTANCE OF STUDY
 This study is important to know the awareness among the customers of HDFC Bank.
 It can be identify how effectively marketing strategies are applied by HDFC bank.
 It is helpful to know about the bank.
 It will show how effectively the bank selling its products through marketing channels
i.e. advertising.

NEED OF THE STUDY:-

This analysis on individual investor’s behavior is an attempt to know the profiles of
investor and also know the characteristic of the investors so as to know their
preference with respect to their investments. The study also tries to unravel the
influence of demographic factors like age on risk, tolerance level of the investor

38
Positioning Strategy

“Positioning is the act of designing the company’s offering and image to occupy a distinctive
place in the target market’s mind.

Positioning starts with a product. A piece of merchandise, a service, a company, an institution, or

even a person. But positioning is not what you do to a product. Positioning is what you do the
mind of the
prospect. That is,
you position
the product
in the mind of
prospect. A

company’s differentiating and positioning strategy must change as the product, market, and
competitors change over time. Once the company has developed a clear positioning strategy, it
must communicate that positioning effectively.

HDFC bank have positioning strategy of “Continuing a Tradition of Trust”. It is accurate

positioning strategy because it signifies a trust with its clients. Here is special Relationship
Manager dedicated towards customer service and satisfaction and give them guidance about

39
various schemes which helps them to get right scheme which suit their needs. In this way it
continues to maintain a trust with its clients.

MARKETING COMMUNICATIONS of HDFC Bank:

Attention Interest

Advertisin
Action g Desire

 Television Ads:

1. HDFC Bank has rolled out new communication that aims to showcase the
'MyFavorite' option available across all its ATMs. Conceptualized by Euro RSCG
India, the campaign aims to make HDFC Bank's customers aware of the feature and
take forward it’s 'We understand your world' positioning. "HDFC Bank had just
become the first in India to introduce a feature called 'MyFavourite' at their ATMs.
Quite simply put, this feature remembers your favorite (most often used) withdrawal
amount. This helps you withdraw cash 40% faster,"

MyFavourite

2. Advertisement:
 HDFC- “Can’t wait”
 Time: 50 second
 Psychographic segment targeted- Thinkers
 Target audience- Common people

40
 “Can’t wait”


Mobile App: -

The new App

for Android is
loaded with great features. HDFC are the 1st bank to offer the My Menu feature. You can
customize your Menu with 10 of your favorite transactions with this feature. HDFC is the
only bank to have a Mobile-Banking App in Hindi for Android phones. HDFC Bank
PayZapp is a complete digital payment solution, giving

HDFC Bank customers the power to pay in just One Click. PayZapp does not
require credit or debit card numbers and security codes to be entered for every purchase.
There is no pre-paid card restriction on daily or monthly limits and no need to load
money to pay, the bank said PayZapp features a section called Smartbuy – a sort of
aggregator of the major ecommerce sites across various verticals. PayZapp has partnered
with sites like Flipkart, Makemytrip, Cleartrip, Yatra, Big Basket among others.

41



 Hoardings:
Board hoardings on its own branch is the
simple idea which relates to the
advertisements of the new product on its own
acquired land to target the regular customers and promoting the required product and its
services it makes new customers and also creates the proper utilization of the land
acquired by the bank.
 Facebook And News Paper:
Branch in order to notify the customers gives the ads in the local T.V. cables to
make sure the targeted customers are well aware of the products existence and benefits
for them moreover the emphasize is laid on to promotion of product at time of marketing.
Hence HDFC bank promotes their product or
services on the facebook and in newspaper because facebook is used in very large scale

therefore it make easy to bank to

attract the customer.

 Print ads:

42
 rint ads are the most relevant source of marketing since a long time the bank can
reach numerous people by this way of marketing. Print ads are costly way of advertising
but it surely contributes in catching the attraction of the costumer.

MESSAGE CONVEYED THROUGH THE PRINTED AD:

The ‘We understand your world’ print campaigns emphasize the fact that the HDFC
bank can be accessed at the convenience of the banker.

1. The print ad focused on car loans and has

the
tag
line
–

“Don’t have a car. Now you do”.

This one emphasizes that the HDFC Bank that people need a loan without hassles
and delays and that they approve car loans, personal loans, etc against most shares,
investments, relief bonds as well as insurance policies in almost no time.
2. The above ad conveys, “I like it when my bank opens whenever I want it to.” This
ad shows a man working on his laptop and promotes the bank’s e-Age servicing
account which provides 24 hour net banking and ‘a lot more’. Here again stressing
that the bank understands the needs of its clients.

 Paint ads:

43
 Print ads are the most relevant source of marketing since a long time the bank can
reach numerous people by this way of marketing. Print ads are costly way of advertising
but it surely contributes in catching the attraction of the costumer

Special Service which HDFC bank introduced:

 Watch Banking (2015):-

Ever thought you could access your bank account from a wrist watch? HDFC
Bank Watch-Banking is here and allows you to access your bank account and do a whole
lot more right from your wrist. For the first time in India, Watch-Banking is now
available exclusively for HDFC Bank customers through an Apple Watch. You can now
do your favorite transactions right from your Apple Watch without even taking out your
phone. All this comes with the same level of high-end security that HDFC Bank’s
Mobile-Banking App gives you!

Watch-Banking features
 View Information of all your accounts
 Recharge your Mobile & DTH Connection
 Request A/c Statement & Cheque book
 Locate HDFC Bank ATM & Branch
 Hotlist your Debit Card
 View Notifications sent by HDFC bank
 Call us using Apple Watch.

44
  HDFC launches Hindi Mobile Banking on Android (2011):
HDFC has today announced launch of its Hindi Mobile Banking application on Android
as well as launch of Hindi SMS banking service.
It has always surprised me that in India, we give such low importance to local regional
languages. About 125 million Indians speak English, while over 500 million speak Hindi.
Yet, HDFC is probably the only bank which (now) has Hindi language Mobile banking.
The HDFC Bank Hindi Android app will allow users to use range of banking services
that include pay utility bills, credit card bills, etc., view Account summaries and Fixed
Deposit summaries, transfer funds including transfers to other bank customers, Request
statements, cheque book, stop payment & more.

45
Hindi SMS Banking Services(2012):

Along with Android app, HDFC also announced launch of Hindi SMS services
enabling banking transactions on even the most basic handsets. The Hindi SMS banking
service allows customers to carry out a set of 10 banking transactions (balance enquiry,
mini statement and stop cheque).

Associate Companies of HDFC Bank:

 HDFC Standard Life Insurance Company Limited

 HDFC Asset Management Company
 HDFC ERGO General Insurance Company
 GRUH Finance
 HDFC Property Fund
 Cedila Financial Services

Awards &

Recognition of HDFC Bank:

46
In 2015, Forbes Asia for Fab 50 companies for the 9th year.

1. In 2015, “J. P Morgan Quality Recognition Award” for Best in class straight Through

Processing Rates.
2. Business Today - KPMG Study 2014 for Best large Bank -Overall and best large Bank-
growth
3. In 2013, a survey on "India's Best Boards" listed HDFC's Board of Directors among the 5
best boards in India.
4. In May 2013, Forbes listed it at 561 in the Global 2000 list of largest companies.
5. In 2012, HDFC Limited was recognized as one of India's 'Best Companies to work for' in
a joint study conducted by The Economic Times and 'The Great Place to Work Institute'
6. In 2013 IBA Innovation Awards for most Innovative use of Technology.

47
SUGGESTIONS AND
RECOMMENDATIONS

48
SUGGESTIONS
 HDFC Bank needs to promote and encourage people to use internet banking.
 In terms of ease of access HDFC Bank needs to increase the number of ATM’s.
 The bank should be more flexible in order to compete with its competitors like ICICI
bank.
 Mostly service class persons prefer the HDFC Bank in the comparison of business and
students and other class persons thus it needs to promote its product and services that are
offered mainly for the business class people and students because these two class forms
major users of the banking services.
 Bank should go in for branding exercise comprising of two parts brand Logo i.e. to make
more catchy and easy so customer could relate to it and secondly by focusing on service
since whether in bank or at the ATM service is a key. Hence it should be incorporated in
branding.

RECOMMENDATIONS
Reliability is an obvious place to start. Customers of the bank want to know their resources
are safe and within trustworthy institutions. A way to ensure this peace of mind would be to take
steps to ensure bank employees are well trained, so each bank associate is able to offer complete
and comprehensive information at all times. Consistent policies combined with a knowledgeable
staff will foster a high degree of institutional cohesion and reliability.

49
Responsiveness, again when associated with a well-trained staff and timely answers to
service-related questions, would make significant inroads into causing HDFC bank be
regarded as responsive. Staff should be encouraged to present relevant options to banking
customers in a manner that does not resemble salesmanship so much as a desire to serve.

Intangibles please customers just as much as tangibles in the banking industry. People tend
to visit the same branch of a bank over and over again. Usually, this is a location close to their
home or their workplace. It is natural that customers become comfortable and habituated to
these branch banks, for the same reason they develop familiarity with a neighborhood
supermarket or convenience store. It makes sense that bank employees would be encouraged to
learn to recognize these regular customers, learn their names, and begin to identify their basic
service requirements.

Learning to understand customers‟ needs will allow bank associates to offer enhanced
services, perhaps lowering customers‟ banking costs and increasing their investment potential.
This could also open up the possibility of increased profits for banks, for when perceived as
more service and customer oriented, they will, in effect, become a useful
and pleasant way to “shop.”

Keeping the bank with up-to-date technologically are important factors. Modern
equipments, new improved technology should be replaced with the old ones. If the staff inside
is pleasant and well-informed, in an aesthetically pleasing environment, then customer
satisfaction will be high.
The five-dimensional structure could possibly serve as a meaningful framework for tracking
a bank‟ s service quality performance over time and comparing it against the performance of
competitors. Items on some dimensions should be expanded if that is necessary for
reliability.

Thus, the banking industries must continuously measure and improve these dimensions
in order to gain customers‟ loyalty.

50
LIMITATIONS

The study is only for the HDFC Bank confined to a particular location and a very small
sample of respondents. Hence the findings cannot be treated as representative of the
entire banking industry.

The study can also not be generalized for public and private sector banks of the country.

Respondents may give biased answers for the required data. Some of the respondents
did not like to respond.

Respondents tried to escape some statements by simply answering “neither agree nor
disagree” to most of the statements. This was one of the most important limitation
faced, as it was difficult to analyse and come at a right conclusion.

In our study we have included 50 customers of bank because of time limit.

51
 CONCLUSION

SUMMARY AND CONCLUSION:

This report is reflection of the awareness and factors considering, risk taking ability of the
various categories of individual. Selection of the perfect investment avenue is a difficult task of
an individual. An effort is made to identify the taste and preferences of a sample of individuals
selected by convenience and snowball sampling. Despite of many limitations in study I was
successful in identifying some of the investment patterns and commonness in the individuals.
This report concentrated in identifying factors considering individuals before investment,
awareness level of individuals towards various investment avenues which are identified based on
their occupation and investors risk taking ability in selecting a particular avenue.
The present study has important implications for investment managers as it has come out with
certain interesting facts of an individual .the individual investor still prefer to invest in financial
products which give risk free returns. This confirms that individual even if they are having high
income, well educated, independent are conservative and prefer to play safe. The investment
products designer can design products which can cater to the individuals who are low risk
tolerant, tax saving. The study also draws an important conclusion that the investors are keen to
invest in midterm products with the aim to have higher rate of returns by investing with
minimum risk.

52
BIBLIOGRAPHY

BOOKS REFFERED:

Philip Kotler (Eight Edition), “ Marketing Management

T.N Chhabra , Human Resource Management

WEBSITES REFFERED:

www.wikipedia.com
www.hdfcbank.com
www.google.co.in

REPORTS/ARTICLES REFFERED:
Annual report of HDFC BANK 2009

53