INTERNATIONAL SCHOOL OF BUSINESS AND MEDIA, PUNE

A
DISSERTATION REPORT
On
“IMPACT OF NEW MOTOR VEHICLE ACT ON THE CAB
PREFERENCE OF MILLENNIAL”
In the fulfillment of curriculum of
Post-Graduation program in Marketing
2018-20

Guided by
Prof. Satish Pai
Presented By
Abhinav Choukade
19003
 CERTIFICATE OF ORIGINALITY
This is to certify that the dissertation report entitled as To understand the impact of new
motor vehicle act on the cab preference of millennial submitted to International School of
Business and Media in partial fulfillment of the requirement or the award of the degree of
Post-Graduation Diploma in Management (Marketing and Insurance Risk Management), is
the original work carried out by Abhinav Choukade under the guidance of Prof. Satish Pai
The matter embodied in the dissertation report is the genuine work done by the student to
the best of my knowledge and has not been submitted to this university before or any other
University or Institute for the fulfillment of the requirement of any course of study.

Signature of the student Signature of guide

Abhinav Choukade Prof. Satish Pai
 ACKNOWLEDGEMENT
The dissertation opportunity I had with International School of Business and Media was an
invaluable experience of great learning and professional development. Therefore I consider
myself as a lucky individual as I was provided with an opportunity to be a part of it. I am also
grateful for having a chance to meet so many wonderful people and professionals who led
me through this dissertation period.
I would like to use this opportunity to express my deepest gratitude and special thanks to
Dr. Pramod Kumar, President at International School of Business and Media who gave me a
chance to be a part of this wonderful ISB&M family.
Next I would like to place my deepest sense of gratitude to Dr.Mahesh Gadekar, Academic
Chairperson at International School of Business and Media, and every member of college for
their exceptional guidance which were extremely valuable for completion of my internship.

In addition, I would like to thank my respected mentor Prof. Satish Pai, Marketing Faculty at
International School of Business and Media and appreciate his efforts in helping me in my
projects. His valuable guidance and suggestions has added to the successful completion of
my projects.
Lastly I would like to thank all the individuals who took their precious time and helped me
with the data collection survey and interviews.

I believe this opportunity as a big milestone in my career development. I will strive to use
gained skills and knowledge in the best possible way, and I will continue to work on their
improvement, in order to obtain desired career objectives.

Abhinav Choukade
Table of Content
1. Executive summary……………………………………………………………………………………………………….01
2. Objective of the study…………………………………………………………………………………………………..04
3. Reason for the study……………………………………………………………………………...…………………….04
4. Research methodology…………………………………………………………………………………………………06
5. Managerial implications……………………………………………………………………………………………….08
6. Limitations of the study…………………………………………………………………………………………….….10
7. Future scope…………………………………………………………………………………………………………………10
8. Introduction to new motor vehicle act…………………………………………………………………….……12
8.1 What is motor vehicle act ? ……………………………….…………………………………….……….……12
8.2 Offenses covered under motor vehicle act 2019….…………………………………………….……12
8.3 New changes under motor vehicle act 2019……………………………………………………………13
8.4 Revised penalties……………………………………………………….……………………………………………15
8.5 Large changes in new fines………………………………………….……………….………..……………….16
9. Introduction To Rental Cab Industry………………………………………………….……………..………….17
9.1 History…………………………………………………………………………………………………………………….18
9.2 Car rental business in India…………………………………………………………..…………………………18
9.3 Significant Players in the vehicle rental business in India ……………………………………….19
9.3.1 Avis. ……………………………………………………………………………………………………………19
9.3.2 Zoomcar………………………………………………………………………………………………………19
9.3.3 Myles…………………………………………………………………………………………………………..20
9.3.4 MyChoize…………………………………………………………………………………………………….20
9.4 Future of the car rental industry in India…………………………………………………………………20
10. Introduction To Car Aggregator Industry…………………………….…….…………….……………………22
10.1. History…………………………………………………………………………………………………………23
10.2. Business Model……………………………………………………………………………………………24
10.3. The organized taxi industry………………………………………………………………………….24
10.4. Reason of failure earlier………………………………………………………………………………25
10.5. New Start…………………………………………………………………………………………………….25
10.6. The period of Ola and Uber…………………………………………………………………………25
10.7. The market potential for taxi administration in India ………………………………….26
11. Findings ……………………………………………………………………………………………………………………….27
11.1 Age……………………………………………………………………………………………………………..28
11.2 Gender………………………………………………………………………………………………………..28
11.3 Awareness…………………………………………………………………………………………………..29
11.4 Preference…………………………………………………………………………………………………..29
11.5 Acceptance………………………………………………………………………………………………….29
11.6 Change in travelling frequency………………………………………………………………….…30
11.7 Fear…………………………………………………………………………………..………………………..31
11.8 Final impact…………………………………………………………………………………………………31
12. Conclusion…………………………………………………………………………………………………………………….33
13. Recommendation……………………………………………………………………………………………………..….35
14. References……………………………………………………………………………………………………………………37
 Chapter 1
Executive Summary

1
 1. EXECUTIVE SUMMARY

The millennial are the people who are most eager to use technologies. With every phase oof
life these people use technology to make their work easy, simple and fast. Since the
inception of cheap taxi, these particular groups of customers have been the top targeted
customers of companies. Along with the cab business car aggregators also emerged in the
market
Last year our finance minister suggested that the young generation has been more inclined
towards the cab services and resulting into a bad impact on our economy. Later this year
the government has proposed new motor vehicle act which has imposed a large number of
fines over traffic violation. Connecting the dots I think that the impact of this new motor
vehicle act on youth’s preference over cab services can be a good study to be done.

2
 Chapter 2 & 3
Objective & Reason

3
 2. OBJECTIVE OF THE STUDY

To understand the impact of new motor vehicle acts on the cab preference of millennial.

3. REASON FOR THE STUDY

The study will clear the impact of the new motor vehicle act over youth’s cab preference.
And the study will examine the reasons for the same, providing the insights fir the future
marketing plans.

4
 Chapter 4
RESEARCH METHODOLOGY

5
 4. RESEARCH METHODOLOGY

The sample size for this study is 50. The primary data is collected through structured
questionnaire and secondary data is gathered through journals, magazines and reliable
websites etc. The geographical location of the respondents is Pune which is located in
Maharashtra state of India. The organized cab rental service is provided in Pune by national
and international reputed organizations like Ola and Uber etc. The simple random sampling
methodology is used for collected primary data. The respondents for this study should have
consumed cab services in the last six months and they should have booked the cab through
mobile app in their smart phones. The demographic variables considered in this study is age
group. The construct in this study is the implementation of new motor vehicle act 2020. The
items under each construct are modified according to the need of this study.

6
 Chapter 5
MANAGERIAL IMPLICATION

7
 5. MANAGERIAL IMPLICATIONS

The use of cab is now part of everyone’s life. Every person of young age somewhere or the
other uses the cab services for the objective of travelling. The effect of new motor vehicle
act opens new edge for the marketing managers to serve to the needs of the customers and
to provide the best of their marketing services. The significance of the new motor vehicle
act gives new opportunities the the marketing managers and these opportunities should be
used in the best possible manner. Therefore the marketing managers need to monitor the
pricing strategies and promotional strategies of their nearest competitors.

8
 Chapter 6 & 7
LIMITATION & FUTURE SCOPE OF STUDY

9
 6. LIMITATIONS OF THE STUDY

The sample respondents may not represent the entire population. The study is limited by
time and financial resources. The respondents may be casual while answering the query.
The consumer behaviour is dynamic in nature and it tough to make robust conclusions from
the study. These limitations can be addressed through future studies in the field of
consumer behaviour.

7. FUTURE SCOPE

As the millennial play a important role in the growth of the economy. Thus the decision of
the government should focus on their preferences. India as a nation has a large part of its
pollution as youth and to make these youth follow new rules without disturbing the current
market is very critical and important. Therefore in the coming future the growrh of cab
services can be studied by this study and this study wlll help the cab industry in making
forward decisions. The study will help marketing managers to develop more effective
marketing strategies. An exclusive model to understand consumer behavior towards cab
services can be developed by future researchers. The consumer behaviour is dynamic in
nature therefore longitudinal studies should be conducted to know consumer behaviour
with regard to cab services

10
 Chapter 8
INTRODUCTION TO NEW MOTOR VEHICLE ACT

11
 8. INTRODUCTION TO NEW MOTOR VEHICLE ACT

8.1 What is Motor Vehicle Act ?

The Motor Vehicles Act appeared in 1988. It set down guidelines and guidelines on all parts of street
transport, including enrollment of engine vehicles, controlling their licenses, traffic guideline,
protections and punishments. Additionally, the Motor Vehicle Act makes it obligatory for a driver to
have a substantial driving permit. Additionally, no vehicle can be utilized without an enrollment
number

1.1 Offenses Covered Under Motor Vehicle Act 2019

Secti Offence Old New Proposed Penalties
on Penalty
177 General Rs. 100 Rs. 500
New Rules of road Rs. 100 Rs. 500
177 regulation violation
A
178 Ticketless travel Rs. 200 Rs. 500
179 Disobedience of Rs. 500 Rs. 2,000
authorities’ orders
180 Unauthorized use of Rs. 1,000 Rs. 5,000
vehicles without
license
181 Driving without Rs. 500 Rs. 5,000
license
182 Driving despite Rs. 500 Rs. 10,000
disqualification
182 Oversize vehicles New Rs. 5,000
B
183 Over speeding Rs. 400 Rs. 1,000 for LMV
Rs. 2,000 for Medium passenger vehicle
184 Dangerous driving Rs. 1,000 Up to Rs. 5,000
penalty
185 Drunken driving Rs. 2,000 Rs. 10,000
189 Speeding/ Racing Rs. 500 Rs. 5,000
192 Vehicle without Up to Rs. Up to Rs. 10,000
A permit 5,000
193 Aggregators New Rs. 10,000
(violations of
licensing conditions)
194 Overloading Rs. 2,000 Rs. 20,000 and Rs. 2,000 per extra tone
and Rs.
1,000 per
extra
tonne
194 Overloading of New Rs. 1,000 per extra passenger
A passengers

12
194 Seat belt Rs. 100 Rs. 1,000
B
194 Overloading of two Rs. 100 Rs. 2,000 Disqualification for 3 months of the
C wheelers licence
194 Helmets Rs. 100 Rs. 1,000 Disqualification for 3 months of the
D licence
194 Not providing way for New Rs. 10,000
E emergency vehicles
196 Driving without Rs. 1,000 Rs. 2,000
Insurance

199 Offences by Juveniles New Guardian/Owner shall be deemed to be

guilty. Rs. 25,000 with 3 yrs imprisonment.
206 Power of Offices to New Suspension of driving licenses u/s 183, 184,
impound documents 185, 189, 190, 194C, 194D, 194E

210 Offences committed New Twice the penalty under the relevant section
B by enforcing
authorities

8.3 New changes under Motor Vehicle Act 2019

The Traffic Rules in India are set according to the New Motor Vehicle Act 2019. Under the changed
act, the punishments for petty criminal offenses have been expanded fundamentally and have
turned more severe than any other time in recent memory.

Driving Without License: If you are discovered driving without a permit, a fine of Rs 5,000 will be
required to be paid by you. This is an expansion of multiple times from the prior fine of Rs 500.

Driving Without Insurance: according to the new Motor Vehicle Act 2019, the punishment for
driving without protection for the motor vehicle has been expanded from Rs 1,000 and/or
detainment of as long as 3 months to Rs 2,000 as well as detainment of as long as 3 months just
because wrongdoers and Rs 4,000 as well as detainment of as long as 3 months for the second-time
guilty parties.

Driving With Disqualified DL : in the event that one is discovered driving with an excluded permit,
the person can be fined for Rs 10,000. This fine was simply Rs 500 before.

Driving Under the Influence of Alcohol or Intoxicating Substance: Drunk driving or driving affected
by liquor or substance is among the greatest concerns today. Obviously, it's likewise a genuine
offense as it represents an incredible hazard to the wellbeing of both the driver and that of other
street clients. Consequently, according to the new traffic rules and fines, the punishment that the
wrongdoer needs to pay has been expanded by a few times. Contrasted with the old punishment of
Rs 2,000, a first-time guilty party presently needs to pay Rs 10,000 as well as face detainment of a

13
half year. Likewise, the second time guilty party needs to pay Rs 15,000 and can look as long as 2
years of detainment.

Not Wearing a Helmet: The traffic fine for riding a bike without wearing an ISI-affirmed protective
cap has been expanded from Rs 100 before to Rs.1,000 now.

Hustling and Speed-testing: Another profoundly genuine offense that is regularly observed being
submitted on our streets is that of dashing and speed-testing. For this, the fine has been knock up
from Rs.500 to prior to Rs.5,000 or potentially detainment of as long as 3 months just because guilty
parties and Rs.10,000 and additionally detainment of as long as 1 year for recurrent wrongdoers.

Offences by Juveniles: As in the past, there is no discipline to the adolescent for this yet the
proprietor of the vehicle or the gatekeeper of the underage driver presently needs to pay a fine of
Rs.25,000 alongside confronting detainment of 3 years.

The Traffic Rules in India are set according to the New Motor Vehicle Act 2019. Under the changed
act, the punishments for petty criminal offenses have been expanded fundamentally and have
turned more severe than any other time in recent memory.

Driving Without License: If you are discovered driving without a permit, a fine of Rs 5,000 will be
required to be paid by you. This is an expansion of multiple times from the prior fine of Rs 500.

Driving Without Insurance: according to the new Motor Vehicle Act 2019, the punishment for
driving without protection for the motor vehicle has been expanded from Rs 1,000 and/or
detainment of as long as 3 months to Rs 2,000 as well as detainment of as long as 3 months just
because wrongdoers and Rs 4,000 as well as detainment of as long as 3 months for the second-time
guilty parties.
Driving With Disqualified DL: in the event that one is discovered driving with an excluded permit,
the person can be fined for Rs 10,000. This fine was simply Rs 500 before.

Driving Under the Influence of Alcohol or Intoxicating Substance: Drunk driving or driving affected
by liquor or substance is among the greatest concerns today. Obviously, it's likewise a genuine
offense as it represents an incredible hazard to the wellbeing of both the driver and that of other
street clients. Consequently, according to the new traffic rules and fines, the punishment that the
wrongdoer needs to pay has been expanded by a few times. Contrasted with the old punishment of
Rs 2,000, a first-time guilty party presently needs to pay Rs 10,000 as well as face detainment of a
half year. Likewise, the second time guilty party needs to pay Rs 15,000 and can look as long as 2
years of detainment.

Not Wearing a Helmet: The traffic fine for riding a bike without wearing an ISI-affirmed protective
cap has been expanded from Rs 100 before to Rs.1,000 now.

Hustling and Speed-testing: Another profoundly genuine offense that is regularly observed being
submitted on our streets is that of dashing and speed-testing. For this, the fine has been knock up
from Rs.500 to prior to Rs.5,000 or potentially detainment of as long as 3 months just because guilty
parties and Rs.10,000 and additionally detainment of as long as 1 year for recurrent wrongdoers.

Having Two Driving Licenses : In the event that one is found having at least two driving licenses, the
person in question can be punished. Additionally, from now, all driving licenses that are to be given
will have a keen chip that can be gotten to by the traffic police through a QR code.

14
8.4 Revised Penalties

Penalty Old Amount New Amount

Penalty for Rs 100 for first Rs 500 for first time offense, Rs 1,500 for
offenses where offense and Rs 300 subsequent offense
no penalty is for
specifically second/subequent
provided offense
Violation of – Rs 500 to Rs 1,000
road
regulations
Traveling Rs 200 Rs 500
without Ticket
Disobedience of Rs 500 Rs 2,000
orders of
Authority and
refusal to share
information
Unauthorised Rs 1,000 Rs 5,000
use of vehicles
without license
Driving without Rs 500 Rs 5,000
license
Driving despite Rs 500 Rs 10,000
disqualification
Over-speeding Rs 400 Rs 1000 – Rs 2000 for light motor vehicle, Rs
2,000 – Rs 4,000 for medium passenger or goods
vehicles and impounding of driving license for
second/subsequent offence.
Dangerous – Imprisonment of 6 months to 1 year and/or fine
Driving of Rs. 1000- Rs. 5000 for first offence and
imprisonment up to 2 years and/or fine up to Rs.
10000 for second offence.
Drunken Driving – Imprisonment up to 6 months and/or fine up to
Rs. 10000 for first offence and imprisonment up
to 2 years and/or fine of Rs. 15000 for second
offence.
Driving when Rs 200 for first First offence – Rs. 1000 and second/subsequent
mentally or offense, Rs 500 for offence – Rs.2000
physically unfit second/subsequent
to drive for offense
Offences – Imprisonment of up to 6 months and/or fine up
relating to to Rs. 5000 for first offence and imprisonment up
accident to 1 year and/or fine up to Rs. 10000 for second
offence.

15
Racing and – Imprisonment of up to 1 month and/or fine up to
speeding Rs. 500 for first offence and imprisonment up to
1month and/or fine up to Rs. 10000 for second
offence.
Driving fine of Rs. 1000 Rs. 2000 and/or imprisonment up to 3 months for
uninsured and/or punishment the first offence and fine of Rs. 4000 and/or
vehicle up to 3 months imprisonment up to 3 months for the second
offence.
Taking vehicle Rs 500 Rs. 5000
without lawful
authority and
seizing motor
vehicle by force
Causing Rs 50 Rs. 500
obstruction to
free flow of
traffic

8.5 Large changes in new fines

The government has imposed high penalty fines as compared to the previous ones. In
general the fines are increased by nearly ten times which makes the new act more powerful.

16
 Chapter 9
INTRODUCTION TO RENTAL CAB INDUSTRY

17
 11. INTRODUCTION TO RENTAL CAB INDUSTRY

9.1 History
The primary vehicle rental business was begun in 1912 in Germany by the name of Sixt
which is as yet one of the biggest vehicle rental organizations in the World. At that point in
1916, Joe Saunders began leasing Ford's Model T and a neighborhood vehicle rental
endeavor was set up in Nebraska. The fundamental thought was to give private
transportation to nearby and visiting representatives with the goal that they can move
around in solace and security for their excursions for work. This was what begun the US
vehicle rental business and the rest is history. In 2016 the Global vehicle rental industry was
worth 58.26 billion dollars and is relied upon to develop to over 124.56 billion by 2022. Until
2010 and 2011 the vehicle rental business in India was absolutely unregulated and chaotic.
Individuals depended on the hyperlocal taxi and taxi aggregators for going on outstation
trips. Ola began intra-city taxi administration in 2010 and turn into the principal significant
player in the vehicle rental business in India.

9.2 Car rental business in India

Organizations like Avis, Carzonrent and so on were at that point in India for a long while
however were not generally perceived as self-drive vehicle rental organizations. In 2013
Zoomcar appeared and that is the point at which oneself drive vehicle business began to get
steam. Every single other organization additionally pushed in for a greater piece of this
rewarding business that was as yet undiscovered in a nation as extensive as India. These
self-drive vehicle rental organizations came in to fill the hole for individuals who wanted to
head out to far away places however didn't possess a vehicle. Today there are various
vehicle rental organizations in India taking into account oneself driving just as the driver
driven crowd making it one of the quickest developing businesses in India. As per a report
the vehicle rental industry in India is developing at the compound yearly development pace
of 35% and is relied upon to quicken further. It is relied upon to be worth more than INR
1000 billion by 2022.

18
9.3 Significant Players in the vehicle rental business in India
The absolute greatest players in the vehicle rental industry in India are Zoomcar, Avis,
Myles, Mychoize, Revv and so forth. There are in absolute 10 vehicle rental organizations in
India that have sorted out the vehicle rental business in India and are carrying imaginative
approaches to produce client interest keeping consumer loyalty, wellbeing and
administration at first concern. Organizations like Avis and Zoomcar represent the greatest
portion of the vehicle rental business in India.
9.3.1 Avis
Avis entered the car rental business in India in 1999 and has been since the best car rental
company in India. It provides chauffeur drive services as well as self drive cars on rent
offering a wide range of cars from as small as a Swift to as luxurious as a Mercedes E Class. It
pioneered the feature of free car delivery and collection for self-drive customers keeping in
mind the customer expectations with the purpose of providing a seamless service. 8
location for self-drive and 19 locations for chauffeur drive across India gives Avis a pan-India
presence making it a preferred choice for its customers. In the words of Mr. Sunil Gupta, MD
& CEO of Avis India “The self-drive phenomenon is popular in the West and is rapidly
catching up in India. We provide the option of self-drive which enables customers to break
away from the necessity of exploring conventional tourist spots in the presence of large
groups and allows them to explore places independently.”

9.3.2 Zoomcar

It was started in 2013 and is one of the leading car rental companies in India operating in 27
cities across the country. It offers a huge variety of cars and a few services. It has introduced
a Zap service under which a person can subscribe a car for the period of 6 months to 36
months without any other hassles of owning a car.

19
9.3.3 Myles

It is a car rental company launched by Carzonrent in 2013. It has the same model of renting
cars for self-drive wherein a user can rent cars like hatchbacks to rugged SUVs for a few
hours or days. Myles supports a platform wherein both fleet operators and an individual
who owns a car, can partner with Myles and share their cars on Myles digital platform.
9.3.4 MyChoize

Started in 2016 by ORIX, a Japanese car rental company, Mychoize is present in 13 cities
across India. It also provides chauffeur drive services for its users with the options of
doorstep delivery or airport transfers.

9.4 Future of the car rental industry in India

The market for vehicle rental is developing quickly in India, because of numerous factors
connected to the simple accessibility of vehicles without the problems of claiming one. As
indicated by an investigation of the Indian vehicle rental industry, the income created from
vehicle rental business was over US$ 250 million out of 2018 and is required to develop at a
pace of 14.3 % to US$ 570 million out of 2023. The quantity of clients at present for vehicle
rentals is approx. 12 million of every 2018 and that number is required to develop to more
than 16 million by 2023. Every one of these facts take care of and reaffirm the good faith
around the vehicle rental industry in India alongside its development boundaries make it a
worthwhile industry to put resources into. Additionally, the client entrance rate was only

20
0.8% in 2017 which shows that there is a ton of potential for all the players in the business
to develop. A huge populace is as yet unaware of the idea of leasing vehicles for self-drive
reason and that is the place these organizations can bounce in to make mindfulness among
the individuals for this idea and subsequently can quickly grow their client base. On the off
chance that all the numbers and projections are to be dealt with, at that point the vehicle
rental space is clearly the spot to be for the financial specialists and new organizations.

21
 Chapter 10
INTRODUCTION TO CAR AGGREGATOR INDUSTRY

22
10. INTRODUCTION TO CAR AGGREGATOR INDUSTRY
10.1 History
"Taxi" inspires nostalgic pictures of the dark and-yellow Premier Padmini (presently Santro
and i10) vehicles for Mumbaikars or the omnipresent yellow Ambassadors for Kolkatans. For
a considerable lot of us who have seen the greatness long periods of old fashioned taxis,
possibly a few decades prior, will recollect that these taxis were the very life saver of urban
areas. They would take you to places you were unable to venture out to by transport or
didn't have the foggiest idea where it was found. The polite "taxiwala" would wrench down
the meter and off you'd go!
In any case, all can't be well with something for a really long time. Contending affiliations,
monopolistic disposition, helpless assistance and refusal to offer types of assistance in the
long run made an upset client base. This was the sparkle that touched off an elective taxi
administration. Better composed taxi administration with better rates and significant level
of client support appeared as Radio Cabs toward the start of the new thousand years.

Figure 1 OVERVIEW OF INDIAN TAXI BUSINESS

23
10.2 Business Model
Car Aggregators Car aggregators, both Uber and Ola call themselves are technology
companies instead of the traditional transportation companies which will exclude them
from all the regular laws. They will act as an interface between the customers and the
drivers. At the moment they have restricted booking only through the mobile application
but earlier they were taking it through the call center and online booking via website also.

AGGREGATOR

CAR OWNER CUSTOMER

Figure 2 BUSINESS MODEL OF CAR AGGREGATOR

10.3 The organized taxi industry

Figure 3 SEGMENTATION OF TAXI INDUSTRY OF INDIA

In the old days, players like Mega Cabs and Fast Track Taxi began activities with their own
little armadas, with drivers as workers. Travelers could book rides through calls and

24
installment was done in real money. In 2006, different players like Meru Cabs, Easy Cabs
and Savaari showed up not too far off. They took on drivers as "supporters" who put a store
with the organization. The organization would purchase a vehicle, train the drivers in
delicate aptitudes and charge a fixed sum from them every day. Thusly, the driver needed to
manage the expense of fuel, while support of the vehicle was dealt with by the organization.
A few organizations totally claimed the vehicle all through its lifetime, while others, as Easy
Cab, had a framework wherein following five years of constant driving, the vehicle turned
into the property of the driver.
10.4 Reason of failure earlier
Nonetheless, for evident reasons, this was never a suitable and versatile method of working
together and the main period of possessing the whole armadas of taxis subsided down
significantly, albeit a few organizations are still in business in the wake of tweaking their
plans of action.
10.5 New Start
2010 denoted a noteworthy year for the taxi business when Ola entered the scene with its
armada accumulation model. This lean plan of action attracted numerous drivers who
possessed vehicles to join the stage to offer administrations. TaxiForSure joined the
temporary fad in 2011 and Uber showed up on Indian shores two or after three years. The
remarkable development of these organizations is complicatedly attached to the portable
insurgency in India. Riders could basically pull out their cell phones, enter the application
and book a taxi. The genuine ride-hailing upset was conceived.
10.6 The period of Ola and Uber
From the innovative point of view, pioneers of the ride-flagging down taxi industry have
accomplished the "brilliant signify" by using the developing impact of cell phone versatility
and the hole made by the issues of the sloppy taxi division in the nation. Their client base
expanded exponentially, as flagging down a taxi through a portable application was alluring
and invigorating to the regular worker. Legit valuing, GPS area and wellbeing highlights were
different attractors to these administrations. The day by day suburbanite was cheerful.

25
As the ignoramus capability of this sort of administration and have costed in a huge number
of dollars in these endeavors, the most recent being the near $10 million individual
speculation by Flipkart prime supporter Sachin Bansal, and $300 from Korean Auto goliath
Hyundai Motors, in Ola. Uber, then again, has raised capital as well and is prepared to
languish misfortunes over an "uncertain timeframe" in light of the fact that it sees the
capability of the colossal market size.

10.7 The market potential for taxi administration in India

As indicated by insights, the market volume of taxi administrations in India is in excess of 2
million rides for each day. The market is relied upon to develop at a CAGR of 13.7 and
stretch around $14 billion by 2022. The changing ways of life of the urban white collar class
and an expansion in the extra cash will drive the market.

It is critical that the sorted out taxi showcase is still in its early stages and the aggregator
organizations like Ola and Uber contain a negligible 4–5% of the market as far as various
vehicles. The disorderly taxi benefits the nation over still record for around 90% of the
market and radio taxis and offshoots like Meru and Savaari make up the rest of.
That Uber is confronting an existential emergency in its center market, the US, is very
notable. Interior strategy issues are being intensified by the thwarted expectation of drivers
who are scarcely bringing in enough cash to stay manageable.
Ola, then again, is attempting to gain from the errors of Uber by keeping itself agile and
proceeding to maintain a strategic distance from these issues. Be that as it may, drivers
aren't excessively content with them either. Driving for these organizations appeared to be
a worthwhile offer when everything began. Be that as it may, with sitting back, the spotlight
has now moved on expanding gainfulness. Drivers are paying more commissions, paying for
fuel and for the support of the vehicle and are additionally up to speed in the endless loop
of low admissions that organizations are charging from riders in an offer to extend their
business sectors.

26
Chapter 11
FINDINGS

27
 12. Findings

The entire survey gave me the complete understanding of the customer preference and
their behavior. With the help of the questionnaire I am presenting the findings here with the
report.
11.1 Age
As the survey only focused on the preference of the millennial thus the age group is also
limit to 21 to 27 which are the young minds of the generation. Thus in my research the
highest participating age group people were of the age 23. Thus this are the people which
are more into new jobs thus are most suitable for the survey.

11.2 Gender
Out of 50 participants of the survey mostly males guys showed more interest and thus out
of the total survey 72 % of male guys contributed. The rest of the 26 % were the female
participants.

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11.3 Awareness

As the study was focused on the impact of the new motor vehicle act. Therefore the particpants
should be well known with this concept. Hence out of total survey guys maximum crowd was well
awared with the concept of the motor vehicle act. The furtheer survey focuses on the crowd with
pre knowldege of the concept.

11.4 Preference
We will check the level of preference for the use of cab and own vehicle in the set of these
questions.

11.5 Acceptance
The level of acceptance for the option of the cab is checked by the help of this question. In
the response lot almost all the people are open for the use of the cab. Thus the data used
for the purpose of analysis if to the point.

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11.6 Change in travelling frequency
After the implementation of motor vehicle act 2 % of people have shifted from most
frequent travelers to lower categories. This shows that the act has created a sense of fear in
the minds of the customer.

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11.7 Fear
The introduction of this act has created a fear of penalty in the minds of the common
people. Especially the millennial feel it that way. These set of questions shows the real
picture of it.

11.8 Final impact

As per the data the new motor vehicle act is one of the main reasons for a millennial to use
cab services over the use of own vehicles. Keeping the other aspects aside the study sows
that millennial prefer the cab as the fear of traffic fines and other legal action will be
troublesome. At last the final question of the questionnaire reads the problem of the
millennial in a very simple way.

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Chapter 12
CONCLUSION

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 13. CONCLUSION
The research shows that after the implementation of new motor vehicle act millennial have
lowered their frequency of travelling by 2 % and have moved to less frequency of travel. The
act has also created a fear of fine in the minds of millennial which in a way is not good for
the society. Out of our total surveys 60 % of people says that new motor vehicle act is
responsible for their travel by cab. The new motor vehicle act has given a large profit to the
cab aggregator business but the automobile industry will be badly affected by such
measures. Therefore the government should bring some of the awareness for the millennial
to hep them understand the act to get over the fear of fines.

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 Chapter 13
RECOMMNDATIONS

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 14. RECOMMENDATIONS
Government should run a awareness campaign to remove the fear of traffic fines from the
mind of millennial.
The automobile industry need to come up with new measures to fight against the fear of
customers this fear is making the customers go away with own vehicle.

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Chapter 14
REFERENCES

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 15. REFERENCES
Books -
1. Kotler P., Marketing Management, 11th Edition.
2. Dr.Rajan Saxena, 2007, Marketing Management by Tata McGrawHill
Research Papers -
1. Horsu, E. N., & Yeboah, 2015, Influence of service quality on customer satisfaction: A
study of minicab taxi services in Cape Coast, Ghana. International Journal of
Economics, Commerce and Management
2. Lu C Geng, W Wang, 2015, The Role of Self-Service Mobile Technologies in the
Creation of Customer Travel Experiences. Technology Innovation Management
Review
Websites -
1. www.olacabs.com
2. www.parivahan.gov.in
3. www.uber.com
4. www.cardekho.com
5. www.directmarketing.com

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