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“TO STUDY OF SALES PROMATION AND MARKETING

OF SKODA AUTOMOBILE”

A PROJECT SUBMITTED
TO
UNIVERSITY OF MUMBAI FOR PARTIAL COMPLETION
OF
THE DEGREE OF BACHELOR OF MANAGEMENT
STUDIES
UNDER THE FACULTY OF COMMERCE

BY
SIDDHARTH YASHWANT JADHAV

UNDER THE GUDIENCE OF

PROF. REWAN SHINDE

RAMSHETH THAKUR COLLEGE OF COMMERCE AND SCIENCE PLOT


NO.1.SECTOR 33. KHARGHAR
NAVI MUMBAI 410210
ACADEMIC YEAR
2021-22
PROJECT ON

“TO STUDY OF SALES PROMATION AND MARKETING


OF SKODA AUTOMOBILE”

IN THE PARTIAL FULFILLMENT FOR THE AWARD OF THE DEGREE OF


“BACHELOR OF MANAGEMENTS STUDIES”

TYBMS
SEMESTER –VI

RAMSHETH THAKUR COLLEGE OF COMMERCE AND SCIENCE PLOT


NO.1.SECTOR 33. KHARGHAR
NAVI MUMBAI 410210
ACADEMIC YEAR
2021-22
CERTIFICATE

This is to certify that Mr. SIDDHARTH YASHWANT JADHAV


has worked and duly completed his Project Work for the degree of Bachelor Of Management
Studies under the Faculty of Commerce in the subject of PROJECT WORK and his project is
entitled “TO STUDY OF SALES PROMATION AND MARKETING OF SKODA
AUTOMOBILE” under my supervision.

I further certify that the entire work has been done by the learner under my guidance and that no
part of it has been submitted previously for any Degree or Diploma of any University.

It is his own work and facts reported by his personal findings and investigations.

Seal of college Name and Signature

Date of Submission:
DECLARATION

I the undersigned Mr. SIDDHARTH YASHWANT JADHAV here by,

Declare that the work embodied in this project work titled

“TO STUDY OF SALES PROMATION AND MARKETING

OF SKODA AUTOMOBILE”

forms my own contribution to the research work carried out under the guidance of

REWAN SHINDE

is a result of my own research work and has not been previously submitted

to any other University for any other Degree/ Diploma to this or any other University.

I here by further declare that all information of this document has been obtained and

Presented in accordance with academic rules and ethical conduct.

SIDDHARTH YASHWANT JADHAV

Certified BY:

REWAN SHINDE
ACKNOWLEDGMENT

I would like to acknowledge the following as being idealistic channels


and fresh dimensions in the completion of this project.

I take this opportunity to thank the UNIVERSITY OF MUMBAI


for giving me chance to do this project.

I would like to thank my Principal, DR. SANJAY MARATHE


for providing the necessary facilities required for completion of this project.

I take this opportunity to thank our Coordinator, PROF. REET THULE


for her moral support and guidance.

I would like to thank my COLLEGE LIBRARY,


for having provided various reference books and magazines related to my project.

Lastly, I would like to thank each and every person who directly or indirectly helped me in the
completion of the project especially my Parents and Peers who supported me throughout my
project.
INDEX

SR.NO NAME OF TOPIC PG.NO

7
INTRODUCTION

EXECUTIVE SUMMARY 8
CHAPTER – 1 COMPANY PROFILE 11
COMPANY HISTORY 12-15
INDUSTRY PROFILE 16-47
RESEARCH METHODOLOGY 48
AIMS AND OBJECTIVES 49
CHAPTER- 2 SCOPE OF THE STUDY 50

LIMITATIONS OF STUDY 51-53

SKODA AUTO INDIA PROJECT 2.0 54-62


CHAPTER - 3 REVIEW OF LITERATURE 62-64

CHAPTER -4 DATA ANALYSIS AND INTERPRETATION 65

CHAPTER -5 FINDINGS 76

RECOMMENDATION 77

CONCLUSION 78

BIBLIOGRAPHY 79

ANNEXURE : QUESTIONNAIRE 80-82


CHAPTER-1 INTORDUCTION
Executive Summary

The Indian Automobile Industry is on overdrive. The rapid urbanization. Coupled with an
overwhelming growth in the middle class population, has created an Indian market that is extremely
conductive for the automobile industry to flourish. Indian automobile industry recorded a growth of
44.9%in 2014-2014. Automobile industry contributes 4% of the national GDP and accounts for 5% of
the industrial output in India. It is moreover, a major employment generator in the country.

The Indian automobile industry provide employment to around 14 million people directly or indirectly
at present, a number that is likely to double by 201

Hence many foreign brands have got attracted to the Indian Automobile market.

Foreign direct investment is also increasing in this sector. Skoda auto is also one of the leading
manufacturers of automobiles who have spread their business in India. The following project report is a
study of sale & marketing perspectives of Skoda Auto in India. The purpose of the study is to study
Skoda Autos Brands with its sale & marketing straggles in India.
COMPANY PROFILE

SKODA AUTO more commonly known as Skoda, is a Czech automobile manufacturer founded in 1895
as Laurin & Klement. Its headquarters are in Mlada Boleslav, Czech Republic.

In 1925 Laurin & Klement was acquired by the industrial conglomerate Skoda Works ,which itself
became state owned in 1948. After 1991 it was gradually privatized and in 2000 Skoda became a wholly
owned subsidiary of the Volkswagen Group.
Skoda automobiles are sold in over 100 countries and in 2018, total global sales reached 1.25 million
units, an increase of 4.4% from the previous year. The operating profit was €1.6 billion in 2017, an
increase of 44.6% over the previous year. As of 2017, Skoda's profit margin was the second highest of all
VW Group brands after Porsche.
HISTORY OF SKODA AUTO

Skoda Auto India Private Limited, more commonly referred to as Skoda Auto India, established
November 2001, and is a fully owned subsidiary of the Czech automotive manufacturer Skoda Auto
and a division of Volkswagen Group Sales India. According to an official release. Skoda Auto India
sold more than 16,000 units in 2008, a 28.5% increase from 2007 sales totals. Furthermore, SAIPL is
aiming to become the strategic hub in South and Eastern Asian markets for the Skoda Auto Marques,
by exporting its locally produced products to Nepal, Sri Lanka and Thailand. As of December 2014,
it has sold over 10,00,000 units since operations began in November 2001.
The Octavia was the first car to be launched in India. Targeted at the Indian premium segment, its
handling, fuel efficiency, and low initial price (compared to other products then available in the
Indian market) made the Octavia an instant hit with the Indian car user. Its Turbocharged Direct
Injection (TDI) diesel engine version, in particular, delivered a high level of fuel efficiency and (for
the Indian market) power and torque, resulting in higher level of drivability when compared to
exiting products available in the Indian market.
Skoda Description

Based in the Czech Republic and completely under the ownership of the Volkswagen Group since 2000,
Skoda Auto is one of the five oldest automobile manufacturers of the world, aside from Tatra, Daimler, Opel
and Peugeot, and just like countless other historic automakers, Skoda also began its journey as a bicycle
manufacturer. Founded in the year 1895 in the city of Mlada Boleslav as a humble bicycle repair shop,
Skoda Auto in its early days was known as the Laurin & Klement Co. after its founders Vaclav Laurin and
Vaclav Klement. Both Laurin, who was a very skilled bicycle mechanic, and Klement, who used to sell
books before he started this company, shared a deep-rooted passion for bicycles, which inspired them to start
manufacturing bicycles of their own design named as Slavia. Moving ahead in their venture, the Laurin &
Klement Co. took up motorcycle manufacturing in 1899, and after tasting huge success in that field, went on
to finally get started with the production of automobiles in 1905.

So magnificent was the success of this automotive venture that before 1907 arrived the company had already
outgrown the scope of a private enterprise and was increasingly making its presence felt on the global
platform. Once 1914 passed, the company took up production for the armed forces and by the time 1925 set
in, Pilsen Skoda Co. had been brought into the picture and an alliance established with it. This fusion of
business houses saw the end of the iconic Laurin & Klement brand in the industry, and most of the vehicles
manufactured after that were known as a Skoda make, including the legendary model 'Popular'. The period
after the success of Popular in the history of Skoda cars is scattered with political upheavals, dramatic
changes in production policies and economic unrest, which brought along a low phase for the company. And
the situation did not get much better until the Skoda Favorit went into production in 1987. An important
milestone in the journey of Skoda was established in December 1990 when the company went for a joint
venture with the Volkswagen Group of Germany and began operating in April 1991 under the brand name of
Skoda.
In November 2001, by which time Skoda Auto had been established as one of the fastest growing
automakers in Europe, a subsidiary of the company was set up in India, called as Skoda Auto India Private
Limited. Headquartered in Aurangabad, Maharashtra, Skoda India makes use of two production facilities in
the country. Apart from its own state-of-the-art manufacturing plant situated at Shendra on the outskirts of
Aurangabad, a production unit belonging to the Volkswagen India Private Limited located in Chakan,
Maharashtra is also used by the company for the manufacture of Skoda Fabia and Skoda Rapid. The Shendra
plant of Skoda in India, which occupies a massive ground space of 3,00,000 sq. mt., has an annual
production capacity of 40,000 vehicles and other than serving its owner company, it also offers production
support to Audi India for the Audi A4 and Audi A6 models. Besides these, Skoda India also has a
widespread network of about 124 dealerships spanning across 103 Indian cities that serve to provide good
quality pre- and post-sales services to its huge bank of customers.
Skoda Models in India

The first Skoda car ever to be introduced in India was the spectacular Octavia. Rolled out in the year 2002 to
compete in the premium sedan segment of the country, Skoda Octavia didn't take much time in blowing all
competition straight out of the water. Features like excellent handling, low initial price and a brilliantly-
designed Turbocharged Direct Injection (TDI) diesel mill that facilitated an impressive fuel-economy and
high power and torque outputs made the Octavia a much better option in comparison to its rival models and
therefore a sensational success with premium sedan buyers of India. These exceptional design qualities that
characterise the Octavia are found in every other member of the fleet of Skoda cars in India as well
including those that are locally built and those that are imported from Skoda's overseas production units. At
present, this fleet of cars comprises of a total of 4 models, featuring New Skoda Rapid, Skoda Karoq, New
Skoda Superb and Skoda Octavia.

Skoda Lowest Price Cars

'Unreasonable pricing' is a term that has never been associated with Skoda cars in India. Be it the locally
produced units or the imported ones, Skoda India has always ensured that it delivers top-notch quality at
extremely competitive prices. Especially those offerings of the auto-giant that are meant to serve the Indian
common man have always been known to give competitors a good run for their money. Amongst the
numerous models available in its squad, one that gets tagged with the smallest price tag of all is Skoda
Rapid, which gets priced at Rs 7,79,000.

Skoda Highest Price Cars

Skoda is a name that has long been held synonymous to world-class quality and best-in-class comforts.
Roomy cabins, full-fledged equipment packages and luxurious feel are characteristics that usually define the
ride experience in a Skoda. Besides all this, the automaker also puts in performance and efficiency traits like
easy handling, high power and torque ratings, impressive driveability and good fuel-economy in its cars,
which makes them simply irresistible to a buyer. Now, for packages this attractive, price tags are bound to
get larger, and that's exactly what happens as we move up the range of cars provided by Skoda India. At the
very top of this line-up, in terms of pricing, stands Skoda Octavia that has been tagged with a price of Rs
35,99,599, which makes it the most expensive Skoda car of the date.
Most Fuel-efficient Skoda Cars

Quality has always been the other name for Skoda cars and they have always held true to that too. But
besides quality, the attribute that defines these spectacular cars is their exceptional performance. Their
makers are known for the attention that they pay to each and every aspect of the ride, ensuring that every
ride is a memorable ride. One such aspect is fuel-economy. Despite being the luxurious rides that they are
known to be, Skoda cars in India almost always deliver quite impressive levels of fuel-economy, and the one
member of their crew that returns the best fuel-efficiency amongst all is Skoda Rapid that comes priced at Rs
7,79,000.

Skoda Upcoming Cars

Presently comprising of a total of 4 models, the Skoda India fleet of cars is soon going to be joined by new
members, including Skoda kodiaq 2021, Skoda Kushaq, Skoda Octavia 2021 and Skoda Rapid 2021, making
the squad bigger, better, smarter and stronger than ever before. Seeing that the popularity of Skoda in India
is increasing day by day, this new launch move seems to be timed perfectly for the growth of the company in
the country. Not only that, once the new models of Skoda get introduced in the market, competition from
automaker camps like those of Honda, Hyundai and Volkswagen is very likely to fall weaker, which in turn
is going to assist with boosting the sales figures of the Czech auto-giant.
SKODA CARS IN INDIA
Motorsport

The Skoda brand has been engaged in motor sport since 1901, and has gained a number of titles with
various vehicles around the world. The team had competed as a manufacturer in the Intercontinental
Rally Challenge (before it merged with ERC in 2014) and World Rally Championship between 1999
and 2005. Now it competes in the European Rally Championship and WRC-2.

Until the final season of IRC in 2012, Skoda Motorsport was the most successful manufacturer with a
total of 27 points, winning the rallying series in 2010-2012. Since 2014, When the two competing
series were merged, it continued to compete in the European Rally Championship.

Skoda Motorsport drivers won with the Skoda Fabia S2000 the European Rally Championships in
2012-2014.
Markets

As of August 2016, Skoda was being sold in 102 countries. In 2017, the top markets for Skoda by
number of sales are China, Germany, Czech Republic, Great Britain, Poland, Russia, France, Turkey,
Italy and Austria. In the Asia-Pacific region ,Skoda is also being sold in Australia, New Zealand, Taiwan
and India. Skoda is also expanding into emerging markets such as Iran, where imports are to be started
from 2018 and production of vehicles by 2020. Expansion strategy also includes Singapore.

Growth strategy
The year 2010 was one of important changes for Skoda Auto, in terms of both products and
management. On 1 September 2010, Prof. Dr. h.c.. Winfried Vahland assumed responsibility for the
management of the company, becoming the CEO of Skoda Auto. In the same year, Skoda set forth plans
to double the company's annual sales[24] to at least 1.5 million by 2018 (later known as the 'Growth
Strategy', Czech:

Electrification strategy

In 2015, new Skoda chairman Bernhard Maier stated that the Volkswagen Group "is working on a
modular, new electric platform and we are in the team", and that "there is no alternative to
electrification." New Skoda corporate "Strategy 2025", which replaces the previous "Strategy 2018",
aims to start production of a fully electric vehicle in 2020. Skoda announced a plan to produce five
electric models across different segments by 2025.

In 2017 Auto Shanghai, Skoda displayed its Vision E concept for an electric 400bhp coupé-SUV,
with level 4 autonomy capability and 500 Kilometres (410 mi) range that is planned to be on sale from
2020, and is based on the Volkswagen Group MEB platform. Skoda Auto will also manufacture electric-
vehicle batteries for the Volkswagen Group in its facility in the Czech Republic.
A plug-in hybrid version of Superb and a small SUV model Vision X with a natural gas-electric
hybrid powertrain developed by Skoda are to be available from 2019 and a hybrid fabia from 2020. By
March 2018, the electrification plan was expanded to ten electrified models for 2025: six fully electric
cars and four plugin-hybrids. Out of these, five models are to be available by 2020. A fully electric
version of Skoda Citigo is to be available from 2019.In 2018, the brand launched its largest-ever
investment plan of €2 billion over five years into its electrification.
SKODA – HIGHLIGHT 2014

 In 2014, we sold more than 10,00,000 cars, almost seven per cent more cars than
the year before –eighth consecutive sales record

 Growth in almost all sales regions, outperforming the market almost everywhere
and thus gaining market share in many markets

 Internationalization pushed forward, expanding production capacities and


deepening cooperation with strategic partners in growth markets

 2014 revenues amounted to over 11.4 billion Euros, a new record

 Investments plus 54 per cent compared to 2014; operating profit was 712 million
Euros, almost on a par with 2014

 We have invested massively in production and important projects – both at home


and abroad; again in 2014, 2 out of 4 ŠKODA cars were made here in Europe; including
Russia nearly 4 out of 4 ŠKODA cars are made in Europe

 Currently, over 28,000 fixed-contract employees from 40 nations work for our
brand
FURTHER SKODA INVESTMENT 2014-CESANA

 Ground breaking for new power train test center in September 2014.

 More than 44 million Euro invested in facilities, 21 new engine and component testing
rigs.

 One of the biggest investments in development in the Czech Republic.

Sales and markets

Skoda has maintained sound financial stability over recent years. In 2014 the brand achieved sales
revenues Totalling €10.4 billion (2012: €10.4 billion). Due to the weak economic situation in many
European countries and the expansion of the model range, operating profit reached a modest 522 million
euros (2012: €712 million). Skoda achieved a successful start to 2014: As well as recording the highest
number of deliveries to customers in a first quarter ever (247,200; up 12.1%), it recorded a significant
increase in sales revenue (24.7%) to almost 4 billion Euros. Operating profit increased 65.2% to 185
million Euros over the previous year.
FURTHER SKODA INVESTMENT 2014-PARTS, LEAN, IT DATA CENTER

 Parts Center expanded to more than 100,000 m² with fully-automated 40-metre-high


storage bays 24,000 orders from around the world handled per day one of the highest buildings in
Mladá Boleslav.

 Opening of the new Lean Center as largest training center of ŠKODA AUTO in Czech
Republic Employees learn how to make processes simpler, more efficient and more
environmentally-compatible.

 New IT Data Center provides seven Group production sites, 106 importers, and 440
dealers in Czech Republic and Slovakia almost 2,500 data storage and data processing servers 40
per cent more energy efficient than the old IT center.

Sales performance
 In 2014, Skoda Auto India Private Limited sold 15,442 units.
 In 2016, Skoda Auto India Private Limited sold 14,414 units.
 In 2017, Skoda Auto India Private Limited sold 17,448 units.
 In 2018, Skoda Auto India Private Limited sold 17244 units.
VISION AND MISSION

 VISION

Every Roadmap starts with a vision. It declares our reason, our purpose as a company and
serves as the standard against which we weigh our actions and decisions.

 To give another meaning to customer satisfaction

 To impress through quality and devotement

 MISSION

Our mission serves as the framework for our Roadmap and guides every aspect of our
business by describing what we need to accomplish in order to continue achieving sustainable,
quality growth.

As such, our vision is to be India’s best automobile dealer through added customer value.
ORGANISATION STRUCTURE
COMPANY PROFILE

Type: Private Company

Industry: Automotive

Founded: 1895 as Laurin & Klement Founder(s):

Vaclav Laurin and Vaclav Klement Headquarters

: MladaBoleslav, Czech Republic

Number of locations : Manufacturing facilities in China, Czech Republic, India,

Russia, Slovakia, Ukraine

Area served: Europe, Asia, and South America, Australia

Key people : H.C. Winfried Vahland (Chairman of the Board of Directors), Martin Winterkorn

(Chairman of the Supervisory Board)

Products: Automobiles

Production output: 10,00,000 units (2014)


Services: Automotive financial services
Revenue: Czk 299.4 billion (2014)

Profit: Czk 18.4 billion (2014)

Total Assets: czk 176.9 billion (2014)

Employees :>25,000 (2014)

Parent : Volkswagen Group

Subsidiaries: -Skoda Auto Deutschland

-Skoda Auto India

-Skoda Auto Polska

Website:www.skoda-auto.com
SWOT Analysis of Skoda

Strengths

 Skoda manufactured cars that their customers could enjoy, which is different from simply
maximizing sales.
 Skoda branded them as a quality product that satisfies its customers.
 In customer satisfaction survey they asks owners what they feel about cars to those who
have owned for at least six months
 Skoda has been in the top five manufacturers in this survey for the past 14 years.
 Skoda’s Octavia model has also won the 2008 Auto Express Driver Power ‘Best Car’.

Weaknesses

 Skoda has only 1.7% market share. This made it a very small player in the market for cars.
 Skoda still lacks a strong appeal.
 The cars had an image of poor vehicle quality, design, assembly, and materials.
 This poor perception also affected Skoda owners.
 High maintenance cost.

Opportunity

 Customers loved their cars more than owners of competitor brands, such as
Renault or Ford.
 It must focuses on its existing strengths and can provide cars focused on the
customer experience.
 It can enable to differentiate the Skoda brand to make it stand out from the competition.

Threats

 A competitor launching cheaper products. This made Skoda to lose its market share again.
 Skoda needs a strong product range to compete in India and also globally
MARKETING MIX

A marketing mix is the divisions of groups to make particular product by pricing, product,
branding, place and quality although some day one marketers have added other P’s such as personnel,
packaging and physical evidence. The fundamental of marketing typically identifies the four P’s of the
marketing makes as the referring to:

 PRODUCT: A tangible projector and intangible service that is a mass produce or


manufacture on a large scale with a specific volume of units .Intangible products are often
service based like the tourism industry and the hotel industry. Typical EX. Of a mass produce
Tangible object is the motor car.

 PRICE: The price is the amount a customer pays for the product. It is determine by
number of factors including market share, competition material cost, product identity and the
customer’s perceived value of the product. The business increase or decrease the price of product
if other stores have the same product.

 PLACE: Place represent the location where a product can be purchased. It is an often
refused to as the distribution channel. It can include any physical store as well as virtual stores on
internet.

 PROMOTION: Promotion represents all of the communication that a marketer may use in
the market place. Promotion has four disc tint elements advertising public relation word of mouth
and point of sales. Certain amount of cross over when promotions uses the four principle together
which is common in film promotions.
MARKET SHARE

Skoda Auto India sales for the first half of 2014 (January to June 2014) stood at an impressive
68% growth as compared to the same period last year. The company sold a total of 9814 units from
January to June 2014 as against 5840 units for the same period last year. Skoda Superb has been
outperforming the D segment with almost 40% market share & has maintaining the no.1 position since its
market introduction.

YEAR JUNE 2014 JUNE 2014 % change

SALES 920,750 1,047,226 12%


CHANNEL DISTRIBUTION

Channel of distribution is the route taken by the goods, as they travel ultimate consumers. Channel of
distribution is defined as “the process of getting the product from the factory to the hands of final or
ultimate consumer”

These are various channels of distribution.

1) Manufacturer – Consumer

2) Manufacturer – retailer-Consumer

3) Manufacturer- wholesaler-retailer-Consumer

4) Manufacturer-agent - wholesaler-retailer-Consumer

5) Manufacturer-wholesaler-Consumer

6) Manufacturer-dealer-Consumer

7) Manufacturer-mail order-Consumer

Among the above mentioned channels of distribution, an organization can select any one or more of
the channels. AUTOMOTIVE MANUFACTURER PVT LTD. Uses “Manufacturer-Dealer-Consumer”
channel.
MANUFACTURERS PVT.LTD SALES PROMOTION ACTIVITIES OF
AUTOMOTIVE

DISTRIBUTION CHANEL OF SKODA

Manufactures

Dealers

Sub Dealers

Consumers

MARKETING STRATEGY STEPS

i) Defining the marketing objectives.


ii) Generating alternative marketing mix option.
iii) Selecting the best marketing options, the basic strategy.
iv) Creating conditions for implementing the mix.

Marketing strategy for different type of product life is necessary likewise strategy for export market
also need consideration by a marketing manager in the view by the present marketing situation and
government policies.
Product Profile

Skoda Superb

The Skoda Superb is a compact executive car[citation needed] that has been produced by the Czech
car manufacturer Skoda Auto since 2001.

The first generation of the modern Superb, produced from 2001 to 2008, was based on the VW B5
PL45+ platform. The second generation Superb used the B6 A6/PQ46 and was introduced in 2008. The
third, and current, generation using the MQB platform, entered production in 2015. It is currently
the flagship model in Skoda's model range.
Skoda Superb Style 1.8 TSI MT(Petrol) Rs. 25.59 LAKH

Skoda Superb Style 1.8 TSI AT(Petrol) Rs. 27.59 LAKH

Skoda Superb L & K 1.8 TSI AT(Petrol) Rs. 29.99 LAKH

Skoda Superb L & K 2.0 TDI AT(Diesel) Rs. 42.99 LAKH

Skoda Superb Style 2.0 TDI AT(Diesel) Rs. 29.99LAKH

Skoda Superb Sportline1.8L TSI AT(Petrol) Rs. 28.99 LAKH

Skoda Superb Sportline2.0L TDI AT(Diesel) Rs. 41.49 LAKH

Skoda Superb Corporate Edition(Petrol) Rs. 24.99 LAKH


SKODA RAPID

The Skoda Rapid is a subcompact sedan produced by Skoda India, the subsidiary of the Czech
manufacturer Skoda Auto, exclusively for the Indian market, introduced in November 2011. It features a
similar front end design with the second generation of the Skoda Fabia, but is not directly related to it,
the Rapid being based on the newer PQ25 platform of the Volkswagen Group.

The "Rapid" name was previously used in the 1940s for the Rapid (Type 901) and in the 1980s for the
rear-engine Rapid coupé. Today, the Rapid is used for several small family cars: larger sedan and
hatchback from Europe, smaller sedan from India and China.
Skoda Rapid 1.6 MPI Ambition (Petrol) — Rs. 8.99 LAKH

Skoda Rapid 1.5 TDI CR Active (Diesel) — Rs. 9.49 LAKH

Skoda Rapid 1.6 MPI Active (Petrol) — Rs. 7.99 LAKH

Skoda Rapid 1.6 MPI Style AT (Petrol) — Rs. 11.99 LAKH

Skoda Rapid 1.6 MPI Style(Petrol) — Rs. 10.75 LAKH

Skoda Rapid 1.6 MPI Ambition AT (Petrol) — Rs. 9.99 LAKH

Skoda Rapid 1.6 MPI MT Edition X (Petrol) — Rs. 10.99 LAKH

Skoda Rapid 1.6 MPI AT Edition X (Petrol) — Rs. 12.24 LAKH

Skoda Rapid 1.5 TDI MT Edition X (Diesel) — Rs. 12.82 LAKH

Skoda Rapid 1.5 TDI AT Edition X (Diesel) — Rs. 14.97 LAKH

Skoda Rapid Onyx MT Petrol (Petrol) — Rs. 9.75 LAKH

Skoda Rapid Onyx AT Petrol (Petrol) — Rs. 10.99 LAKH

Skoda Rapid Onyx MT Diesel (Diesel) — Rs. 11.58 LAKH

Skoda Rapid Onyx AT Diesel (Diesel) — Rs. 12.74 LAKH

Skoda Rapid Monte Carlo Edition AT Diesel (Diesel) — Rs. 14.26 LAKH

Skoda Rapid Monte Carlo Edition AT Petrol (Petrol) — Rs. 12.46 LAKH

Skoda Rapid Monte Carlo Edition MT Diesel (Diesel) — Rs. 14.00 LAKH

Skoda Rapid Monte Carlo Edition MT Petrol (Petrol) — Rs. 11.16 LAKH

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Skoda Octavia

The Skoda Octavia is a small family car produced by the Czech manufacturer Skoda Auto since 1996.
It shares its name with an earlier model produced between 1959 and 1971. There have been three
generations of the modern-era Octavia model to date, delivered with 5-door lift back saloon or 5-door
estate styles only. The car is front engine, both front or four wheel drive (4x4) are offered. Around five
million units have been sold in its two decades of presence on the market The Octavia is Skoda's most
popular model, approximately 40% of all newly manufactured Skoda cars are Octavia.

The current generation is available in wide range of derivatives, i.e. sports Octavia RS, four-wheel
drive Octavia Com bi 4x4, frugal Octavia Green Line, CNG-powered Octavia G-TEC and outdoor
Octavia Scout.

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Skoda Octavia Ambition 1.4 TSI (Petrol) — Rs. 15.99 LAKH

Skoda Octavia Ambition 2.0 TDI CR (Diesel) — Rs. 17.99 LAKH

Skoda Octavia Style 1.4 TSI (Petrol) — Rs. 18.49 LAKH

Skoda Octavia Style 1.8 TSI AT (Petrol) — Rs. 19.99 LAKH

Skoda Octavia Style 2.0 TDI CR (Diesel) — Rs. 19.99 LAKH

Skoda Octavia Style 2.0 TDI CR AT (Diesel) — Rs. 22.25 LAKH

Skoda Octavia RS (Petrol) — Rs. 26.78 LAKH

Skoda Octavia L & K 1.8 TSI AT (Petrol) — Rs. 22.69 LAKH

Skoda Octavia L & K 2.0 TDI CR AT (Diesel) — Rs. 25.25 LAKH

Skoda Octavia Corporate Edition 1.4 TSI (Petrol) — Rs. 15.49 LAKH

Skoda Octavia Corporate Edition 2.0 TDI (Diesel) — Rs. 16.99 LAKH

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Skoda Kodiaq

The Skoda Kodiaq is a mid-size crossover SUV (J-segment) manufactured by the


Czech automaker Skoda Auto. The vehicle is based on VW Group's modular MQB platform, shared with
a new generation of Volkswagen Tiguan Allspace and the SEAT Tarraco, however the Kodiaq is longer
than Tiguan, and comes in a seven seat version.

Skoda Kodiaq Style 2.0 TDI 4x4 AT (Diesel) — Rs. 44.84 LACK

Skoda Kodiaq Laurin and Klement (Diesel) — Rs. 45.99 LACK

42
SKODA GROWTH STRATEGY

 At least 1.5 million SKODA cars will be sold per year by 2018.

 Biggest model offensive in the SKODA history.

 Complete renewal of the SKODA model range till 2015.

 Launch of a new or renewed model every 6 months on average.

 Increase of global demand for individual mobility and cars.

 China and Russia – key pillars of the growth.

43
SKODA PROMOTION STRATEGY

DESIGN

EVALUATE & IDENTIFY


IMPROVE ACTIONS

MONITOR & ALLOCATE


MEASURE RESOURCES

Whenever a new product is to be launched, the promotion of the products needs to be done and this
can be done by following steps-

1) Design the promotion strategy


2) Set the objectives
3) Identify actions to be taken’
4) Allocate resources to carry out the promotion tasks
5) Implement the promotion
6) Monitor and measure the promotion efforts and their impact on sales
7) Evaluate and improve the promotion method
8) Maintain and sustain

44
TARGETING OF SKODA

Evaluate the attractiveness of each potential market segment.

 Develop segment profiles the customer group or groups selected becomes the
company’s target market

 Choose a Targeting Strategy

 Are members of the segment similar to each other but different from other segments?

 Can we measure the segment?

 Is the segment large enough to be profitable?

 Can marketing communications reach the segment?

 Can we produce a product that will serve the segment’s needs and do so
Profitably?
 Is there potential growth in this segment?

 How strong is the competition?

 Can we reach this segment through our existing distribution channels segments we came
up with for smart car satisfy these questions?

 How about the Skoda Octavia Mingrui?

45
POSITIONG OF SKODA

Positioning is the act of designing an organization’s offering and image so that it occupies a
disting and valued place in the target customer’s mind relative to competitive offerings.

Strategies Include positioning by:

 Attribute or benefit

 User or application

 Product or brand user

 Product or service class

 Competitors

 Price and Quality

46
COMPETITORS OF SKODA

Skoda is the most profitable brand after Audi & other competitors. Skoda faces various competitions
from various automotives for its various brands.

SKODA’S BRAND COMPETITORS

Laura Honda Civic, Chevrolet,


Cruze.

Fabia Maruti, Ford

Yeti Honda CR-V and Chevrolet


Captiva

Superb Hyundai Elentra

Octavia Fiat, Ford, Honda city

47
CHAPTER NO - 2
RESEARCH
METHODOLOGY

48
AIMS AND OBJECTIVES

Aim:
To study the sales promotion and marketing strategies of Skoda auto.

Objective:

To study Skoda autos brands with its sale.

1. To understand the promotional strategies adopted by the company.

2. To analyse the impact of Skoda automobile service on customers.

3. To identify the improvements required, if any.

49
Research Methodology

Research methodology is a considered as the nerve of the project, without a proper well- organized
research plan, it is impossible to complete the project and research to any conclusion .The project is
based on the survey plan. The main objective of survey is to collect appropriate data, which work as a
base for drawing conclusion and getting result.

Therefore, research methodology is the way to systematically solve the research problem. Research
methodology not only talks of the methods but logic behind the method used in the context of a research
study and it explains why a particular method has been used in the preference of the other methods.

TYPE OF RESEARCH

Exploratory Research: this research is conducted for a problem that has not been clearly defined. If
often occurs before we know enough to make conceptual distinctions or to posit an exploratory
relationship .Exploratory Research helps to determine the best research design, data collection method
and selection of subjects. Descriptive Research: It is used to describe characteristics of a population or
phenomenon being studied. It does not answer question about how/when/why charters occurs.

50
SAMPLING METHOD

In the present study Stratified Sampling was done and strata were formed on the basis of the age, sex
and occupation of the responses, among the strata formed, sample selecton was done by random
sampling for the collection of primary data. Sample was taken only in the Navi Mumbai to determine the
attitude of consumer regarding services of Skoda Autos. The research was truly on the basis of
convenience of the persons contacted and then data was collected from them by the means of
questionnaire.

DATA COLLECTION METHOD

Data collection is the process of gathering and measuring information on targeted variables in an
established systematic fashion, which then enables one to answer relevant questions and evaluate
outcomes.
TYPE OF DATA

1) Primary Data

2) Secondary Data

• Primary data: Primary data is collected by a structurred questionnaire which has close
ended questions. Data is collected for a specific purpose of research project.

• Secondary data: Secondary data is collected through following sources like Magazines,
Internet, Journals,Books, Newspaper, websites etc.

51
.

SCOPE OF THE STUDY

The study is confined up to sale & marketing perspectives of Skoda Auto in India with project
management techniques such as data analysis & research methodology techniques. It is only limited
to Navi Mumbai. This research will help the company to further improve its services quality and
improve their sales and customer retention rate. Moreover, the extended studies can be conducted
covering wider geographical areas, more customers and more companies.

52
LIMITATIONS OF STUDY

 The sample size is not universal; some part of the other states remained uncovered.

 Unavailability of some information due to lack of awareness of customers regarding cars.

 Time and expenses were major constraints.

 The study of the automobile industry which is known to be seasonally fluctuating one
percent study does not take into account seasonal fluctuations. The result may not suit for all
seasons.

 Personal basis may existing as the dealer of the varied elicit the information.

53
SKODA INDIA 2.0 PROJECT

25 May 2020 – ŠKODA AUTO Volkswagen India Private Limited (ŠAVWIPL) has resumed
production at its Aurangabad plant after the corona virus-related production stop. At the Pune plant,
the manufacturer is continuing preparations for the start of vehicle assembly under the INDIA 2.0
project. The state government of Maharashtra and the local authorities have approved the restart,
and both plants have implemented comprehensive safety measures. To ensure the best possible
protection of employees’ health, a safety protocol with 60 specific measures is in place at both sites.
The company prepared the ‘Start Safe’ protocol in close consultation with health care professionals.

Mr Gurpratap Boparai, Managing Director, ŠKODA AUTO Volkswagen India Private Limited, said, “The
post-COVID-19 era will have challenges new and old; however, we need to look ahead with optimism once
more. By resuming production, we will be in a better position to react to market demands and consumer
needs. Over the past few weeks, we have been working closely with the Government, local administration
and our medical team to develop a ‘Safe Production and Safe Office concept’ and implemented the same in
our operations.”

Production at the Aurangabad plant will initially restart in single-shift operation. The new ŠKODA
SUPERB, which makes its debut on the Indian market this week, will be rolling off its production line. At
the same time, production of other model ranges, as well as other Group brands’ vehicles, will gradually
resume

ŠKODA AUTO Volkswagen India Private Limited supports the fight against COVID-19 in India
In addition to the comprehensive package of measures to protect its employees’ health, ŠKODA AUTO
Volkswagen India Private Limited is also involved in the fight against the pandemic outside the company.
For example, the manufacturer is supporting the establishment of a specialized COVID-19 treatment centre
with 1,100 beds at Sassoon General Hospital in Pune by donating 10,000,000 Indian rupees (approx.
120,000 euros). In addition, ŠKODA AUTO Volkswagen India Private Limited has donated urgently needed
medicines worth 27,000 euros. In the meantime, 12,000 reusable face shields have already been produced
and distributed to medical personnel in Aurangabad, Beed, Latur and Pune. The company’s engineers also
developed intubation boxes, oxygen masks with filters as well as automatic AMBU resuscitation bags for
Indian healthcare facilities. Also, ŠKODA AUTO Volkswagen India Private Limited has donated more than
35,000 packs of disinfectant to hospitals nationwide and expanded its cooperation with the Annamitra
Foundation, which among other things is distributing 50,000 food packages to those most in need in and
around Aurangabad.

54
Volkswagen Group India consolidates into a new entity: ŠKODA AUTO Volkswagen

India Private Limited

7 October 2019 - The ŠKODA AUTO led Volkswagen Group India, having secured the prerequisite
regulatory and statutory approvals, announced the merger of its three passenger car subsidiaries -
Volkswagen India Private Limited (VWIPL), Volkswagen Group Sales India Private Limited (NSC)
and ŠKODA AUTO India Private Limited (SAIPL). The merger of three former Volkswagen Group
entities is an important milestone in the ‘INDIA 2.0’ project. The merged entity will be referred to as
‘ŠKODA AUTO Volkswagen India Private Limited’ (SAVWIPL). The entity will be led by Mr.
Gurpratap Boparai, who will assume the role of its Managing Director. The company will be
headquartered in Pune, Maharashtra, operate two production facilities in Pune and Aurangabad, and
have regional offices in Mumbai, New Delhi, and other locations across the country. The integration
will make more efficient use of the existing synergies in this important growth market.

Bernhard Maier, ŠKODA AUTO CEO, explains: “The operational launch of ŠKODA AUTO Volkswagen
India Private Limited marks an important milestone in the INDIA 2.0 project. This merger creates one of the
key prerequisites for working together more efficiently at all levels and achieving our long-term goal: to gain
significant market shares for Volkswagen and ŠKODA by 2025. We will now proceed in a series of quick
steps: As early as next year, we will be presenting a specific outlook for our INDIA 2.0 model portfolio at
the Auto Expo in Delhi.”

Gurpratap Boparai, Managing Director of ŠKODA AUTO Volkswagen India Pvt. Ltd., adds: “With this
merger, we plan to combine the technology and management expertise of our team in India and realise our
true potential in a challenging, competitive environment. We want to further strengthen our presence in
India, ensure the professional development of our employees and safeguard sustainable profitability for our
dealers.”

The emergence of the merged entity with a strong brand portfolio - Volkswagen, ŠKODA, Audi, Porsche
and Lamborghini is envisioned to serve across market segments and budgets. These brands shall retain their
distinctive identities, dealer network as well as implementing their own customer experience initiatives.
However, they will be pursuing a shared vision and strategy for the Indian subcontinent.

55
The Volkswagen Group intends to merge all passenger car entities in India

3 April 2019 – The Volkswagen Group has announced its intent to merge its three Indian
subsidiaries: Volkswagen India Private Ltd (VWIPL), Volkswagen Group Sales India Private Ltd
(NSC) and SKODA AUTO India Private Ltd (SAIPL). The merger has been considered and approved
by the Boards of the three companies in India and is now subject to the necessary regulatory and
statutory approvals. The restructuring of the Volkswagen Group companies in India is an important
milestone in the ŠKODA-led ‘INDIA 2.0’ project of the Volkswagen Group.

The proposed merger of the three companies will make more efficient use of the existing synergies in
developing this important growth market. The Volkswagen Group brands, viz. Volkswagen, ŠKODA, Audi,
Porsche and Lamborghini, will maintain their individual identities, dealer network and customer experience
initiatives. However, the brands will work under the leadership of Mr. Gurpratap Boparai with a common
strategy for the Indian market.

Mr. Gurpratap Boparai, Managing Director, Volkswagen India Private Ltd and SKODA AUTO India Private
Ltd commented, “India is an important and an attractive growth market for the Volkswagen Group. With the
proposed merger, we intend to combine the technical and managerial expertise of the three companies to
unlock the Volkswagen Group’s true potential in India’s competitive automotive market. The integration
will lead to coordinated and faster decision making and increased efficiency using existing synergies.”

In July 2018, the Volkswagen Group confirmed investments of INR 8,000 crore (EUR 1 billion) in the
‘INDIA 2.0’ project. In January 2019 the Technology Center was opened in Pune, laying the foundation for
the development of products based on the localised sub-compact MQB-A0-IN platform tailored to the needs
of customers in the Indian subcontinent. In the second phase of the project, Volkswagen Group will be
examining the possibility of exporting vehicles built in India.

56
Jan Frydrych becomes HR Director of ŠKODA’s ‘INDIA 2.0’ project

31 January 2019 – On 1 April 2019, Jan Frydrych will assume the role of HR Director in the ŠKODA-
led INDIA 2.0 project of the Volkswagen Group. In this position, the experienced manager will be
responsible for human resources management and the implementation of the HR strategy within the
framework of the ‘INDIA 2.0’ project, working alongside a newly established management team. He
will also be responsible for collaborating with social partners and implementing HR synergies among

the Group brands in the Indian market .

As part of the ‘INDIA 2.0’ project, ŠKODA continues to allocate responsibilities at the management level.
Jan Frydrych will be the HR Director for the Volkswagen Group’s Indian operations, effective as of 1 April
2019. In this role, the 40-year-old will report directly to the Managing Director of ŠKODA AUTO India
Private Ltd. and Volkswagen India Private Ltd. (VWIPL), Gurpratap Boparai.

ŠKODA AUTO Board Member for Human Resources, Bohdan Wojnar, emphasizes: “Jan Frydrych’s many
years of experience in HR will help us introduce a sustainable human resources concept in India. With his
expertise, he will ensure that talented new employees are won over to the project and that the potential of the
local workforce is utilized optimally.”

Gurpratap Boparai adds: “For the INDIA 2.0 project to be implemented successfully, we need a new
approach to human resources. The project brings with it new responsibilities as well as a much broader array
of activities, and it will develop dynamically. We are currently recruiting a lot of new employees to complete
the project in a short time. I am convinced that Mr. Frydrych will be a valuable member of our management
team in the future.”

Frydrych has worked in various positions for ŠKODA AUTO since 2004. He began his career in Sales and
marketing. Since 2007, he has held leadership positions in the field of human resources and has worked both
in the Czech Republic and abroad since then. After working at Volkswagen China Investment Co., he
returned to ŠKODA, becoming head of Recruiting and HR marketing in 2015. Since September 2016, he has
been responsible for HR management at the Kvasiny plant. Throughout the course of the SUV campaign, the
site was extensively modernized and expanded; the number of employees grew by 3,000 under Frydrych’s
leadership. Kvasiny currently produces the ŠKODA KODIAQ and ŠKODA KAROQ SUV models as well
as the brand’s flagship, the ŠKODA SUPERB.

57
ŠKODA and Volkswagen Group India open new Technology Center in Pune

19 January 2019: ŠKODA AUTO and Volkswagen have opened a new Technology Center in Pune,
India. The opening ceremony was attended by Czech Prime Minister Andrej Babiš and other
government officials. On behalf of the Volkswagen Group, ŠKODA is leading the INDIA 2.0 project,
which sets out the Volkswagen Group’s model campaign on the Indian market. At the new
Technology Center, 250 engineers will be developing vehicles tailored to the needs of customers in the
subcontinent. To ensure maximum market proximity, ŠKODA AUTO will achieve radical localization
of 95 percent, meaning that almost all vehicle components will be made in India.

Andrej Babiš, Prime Minister of the Czech Republic, and other members of his government travelled to
Pune for the opening ceremony of the new Technology Center. The delegation was received by Christian
Strube, ŠKODA AUTO Board Member for Technical Development and Bohdan Wojnar, ŠKODA AUTO
Board Member for HR as well as Gurpratap Boparai, Managing Director of Skoda Auto India Private Ltd.
and, since 1 January 2019, also Managing Director of Volkswagen India Private Limited (VWIPL).

Christian Strube, ŠKODA AUTO Board Member for Technical Development says: “By opening the
Technology Center, we underline our determination to make the INDIA 2.0 project a success. India has
excellent universities and highly qualified staff; this state-of-the-art facility will help us to unlock that huge
potential – especially with regard to design and development. Local development is the key to success.”

Andrej Babiš, Prime Minister of the Czech Republic, said at the opening ceremony: “I am delighted that
ŠKODA AUTO is expanding its presence and involvement in India with such significant investments and
promising projects. The fact that ŠKODA is creating great opportunities for the high potential here in India
demonstrates how long-term the brand’s strategy is.”

The Technology Center in Chakan, around 30 kilometres north of Pune, represents the first major step in
implementing the INDIA 2.0 project. ŠKODA AUTO and the Volkswagen Group are jointly investing 250
million euros in research and development projects in India; most of the technical development is to be
carried out locally. The Indian engineers will be responsible for project management, electronics,
infotainment, body design, interior, chassis and complete vehicle.

58
Volkswagen Group establishes new management structure in ŠKODA-led ‘INDIA 2.0’

project

20 November 2018: As part of the ‘INDIA 2.0’ project, the Volkswagen Group plans to sustainably
strengthen its position in the Indian market. The Volkswagen Group in India is restructuring its
management in order to use the existing synergies more efficiently in the development of this
important growth market. Gurpratap Boparai, currently Managing Director of ŠKODA AUTO India
Private Ltd., will also become Managing Director of Volkswagen India Private Limited (VWIPL) with
effect from 1 January 2019. In the future, all the Group brands will continue their operations under
the leadership of Gurpratap Boparai with a common strategy in the Indian Market. The restructuring
of the Volkswagen Group companies in India is planned for next year, subject to regulatory and other
approvals.

The Volkswagen Group is placing the responsibility for implementing the ‘INDIA 2.0’ project in the hands
of the newly formed management team. The aim of this measure is to make more efficient use of existing
synergies and to establish more agile coordination processes so that decisions can be made more quickly and
flexibly.

With effect from 1 January 2019, Gurpratap Singh Boparai, currently Managing Director of ŠKODA AUTO
India Private Ltd., will also become Managing Director of Volkswagen India Private Ltd. (VWIPL). On the
same date, Mr. Pavel Richter, Production Technical Director of INDIA 2.0 project, will be responsible for
production at both Indian plants. As part of the restructuring Dr. Andreas Lauermann will be moving to the
Volkswagen Group by end of the year to take on new responsibilities.

Bernhard Maier, ŠKODA AUTO CEO, explains: “India is an important and attractive growth market for us.
Our goal is clear: In this highly competitive environment, we aim for a combined Volkswagen and ŠKODA
market share of up to 5% by 2025. Based on the MQB A0-IN platform from 2020, we will be offering the
right models to unlock the Indian market’s potential.”

Gurpratap Boparai, Managing Director of ŠKODA AUTO India Private Ltd. and Head of ‘INDIA 2.0’, adds:
“With the introduction of the new management structure, we are laying the foundations both for the joint
implementation of ‘INDIA 2.0’ and for achieving our goals in India: we will secure employment in India,
create new jobs, attract talent and launch high quality and attractive vehicles on the market.”

59
Pave Richter appointed Production Technical Director of ŠKODA led ‘INDIA 2.0’

project

21 September 2018: Pavel Richter will be assuming the role of Production Technical Director of the
ŠKODA led INDIA 2.0 project of the Volkswagen Group on 1 November 2018. The 46-year-old will be
responsible for the production of all the models at the Indian plant in Pune. The personnel
restructuring is part of the ‘INDIA 2.0’ project. Under Gurpratap Boparai’s leadership, ŠKODA is
responsible for the Volkswagen Group’s model campaign on the Indian market.

Reorganizing the responsibilities at the management level is an important step in implementing the ‘INDIA
2.0’ project. With the appointment of Pavel Richter to the position of Production Technical Director,
ŠKODA has now filled one of the key positions at an early stage.

Dr. Andreas Lauermann, Managing Director and President of Volkswagen India Private Ltd. says: “I am
delighted to welcome Pavel Richter to our team in Pune. With his experience, he will play a crucial role in
achieving our common goal of further strengthening the Volkswagen Group’s position in the strategically
important Indian market.”

Gurpratap Boparai, Managing Director of ŠKODA AUTO India Private Ltd. and Head of ‘INDIA 2.0’
emphasizes: “Pavel Richter has known the company’s structures for many years and has considerable
expertise in the international automotive industry. With his capabilities, he will play a key role in making the
‘INDIA 2.0’ project successful.”

Pavel Richter has been working for ŠKODA AUTO since 2000, and has performed various managerial roles
in the Czech Republic as well as in other countries in that time. In 2011, he became Head of the ŠKODA
plant in Kvasiny, Czech Republic. From 2014, Richter was responsible for the production of the OCTAVIA,
RAPID and KAROQ models at the company’s headquarters in Mladá Boleslav.

As part of ‘INDIA 2.0’, ŠKODA will be responsible for the Volkswagen Group’s planned model campaign
on the Indian market, for which one billion euros will be invested between 2019 and 2021. ŠKODA is
manufacturing the new products locally based on the subcompact platform MQB A0, initially focusing on
India (MQB-A0-IN).

The second step will involve the company investigating the possibility of exporting the vehicles
manufactured in India. ŠKODA and Volkswagen plan to develop various models on this platform. The
model campaign will be launched in 2020 with an SUV.
60
Volkswagen Group invests one billion euros in project led by ŠKODA AUTO

2 July 2018: ŠKODA AUTO CEO Bernhard Maier and Gurpratap Boparai, Managing Director of
ŠKODA AUTO India Private Ltd, announced details of the ‘INDIA 2.0’ project at a press conference
in New Delhi today.

Going forward ŠKODA AUTO is responsible for leading Volkswagen Group’s planned model campaign on
the Indian market. Volkswagen Group is investing one billion euros into the implementation of the project,
primarily between 2019 and 2021. To ensure closest-possible proximity to the market, a project centre is
being set up in India where, for example, vehicle development will take place.

ŠKODA AUTO CEO Bernhard Maier said, “Experts predict that in the next few years India is going to
become the third-largest automotive market worldwide. With our ‘INDIA 2.0’ project we are now creating
the right conditions for sustainable growth there. Our objective is ambitious, but achievable: together with
the Volkswagen brand, we are seeking a market share of up to five per cent in the long term, depending on
market and segment development.”

Gurpratap Boparai, Managing Director of ŠKODA AUTO India Private Ltd, added, “With the ‘INDIA 2.0’
project, ŠKODA AUTO and Volkswagen Group are in an excellent position to optimally confront the
dynamics of the Indian car market. In India, we will offer top-class products at prices that amount to a
paradigm shift in the automotive industry. We will manufacture the new products locally based on the
heavily localised MQB A0 platform, which already fulfils the stricter emission and safety standards that are
expected to come into force in India in 2020.”

Initially, ŠKODA AUTO is developing the sub-compact MQB A0 platform with a focus on India (MQB-
A0-IN). In the second phase, ŠKODA will be assessing the possibility of exporting vehicles manufactured in
India. ŠKODA and Volkswagen will develop several products based on this platform. The model campaign
will begin in 2020 with an SUV.

To ensure that the planned models will fulfil the requirements of Indian customers to the utmost extent,
ŠKODA AUTO is looking to be as close to the market as possible from the very start. The technical
development of the new products will therefore predominantly take place in India. To this end, the car
manufacturer plans to gradually create new jobs there.

61
ŠKODA AUTO assumes responsibility for the Indian market on Volkswagen Group’s

behalf

22 June 2018: Going forward, ŠKODA AUTO is taking on an even more important role for
Volkswagen Group in the development of the Indian car market. As part of the ‘INDIA 2.0’ project,
Volkswagen Group’s position in this important growing market is to be strengthened for the long
term. “Volkswagen Group has tasked us with this responsibility, thereby highlighting the level of trust
that Volkswagen Group’s management places in the expertise of the ŠKODA team,” said ŠKODA
CEO, Bernhard Maier, after the Board of Management and Supervisory Board had given the project
the go-ahead. Around one and a half years ago, ŠKODA AUTO was tasked with developing a
sustainable model campaign for the ŠKODA and Volkswagen brands in the Indian volume segments.

All models designed and produced locally in India in the future will be based on Volkswagen Group’s MQB
platform, which already fulfils the stricter legal requirements for India that come into force in 2020. With the
‘INDIA 2.0’ project, ŠKODA AUTO is also taking over responsibility for the sub-compact MQB A0
platform, initially with a focus on India (MQB-A0-IN). Preparations for the India-based development and
production of the new, technologically pioneering volume models for the ŠKODA and Volkswagen brands
are already in full swing. The introduction of the first ŠKODA model based on the A0-IN platform is
scheduled for 2020.

“We are firmly convinced that – after one and a half years of intensive work – together with Volkswagen we
now have a suitable approach to bring the right vehicles into the Indian market at the right time. We will
present the first model built on the new MQB-A0-IN platform as early as 2020,” said ŠKODA AUTO CEO,
Bernhard Maier, adding, “I am confident that we can make the ‘INDIA 2.0’ project a success.”

The project will be headed by the Managing Director of Skoda Auto India Private Ltd, Gurpratap Boparai,
who is a renowned expert on the Indian car market.

What are the fundamental advantages of the MQB? By standardising components, dimensions and
production processes, costs are lowered and production times are reduced. Furthermore, the MQB increases
flexibility when developing new vehicles. Most of the technical development will take place in India.

62
CHAPTER - 3

Literature Review

63
3.1 Introduction:
Review of literature is one of the most important steps in the research process. It is actually reading the
works of others before commencing on our own research work

A literature review is written summary of articles, journals, books and other documents they describe the
past and current state of information on the topic of your research study.

3.1.1 Meaning of literature review:

A literature review is description and analyse of the literature relevant to particular topic. It can be pave the
way for better research.

It provides an overview of what world already had been carried out, who are the key researchers who did
that work.

3.1.2 Definition of literature review:

 Definition (1): A literature review is a body of text that aims to review the critical points of
knowledge on a particular topic of research.
 Definition (2): A literature review is an account of what has been already established of published on
a particular research topic by accredited scholars and researches.

3.1.3 Purpose of literature review:

 To delimit and define his problems.


 To up to date the knowledge.
 To get an understanding of research methodology
 It helps to know how your study adds to the existing literature.
 Identify need for a additional research.

The main purpose of literature review is to convey to readers about the work already done and the
knowledge and ideas that have been established on particular topic of research.

64
3.1.4 Importance of literature review:

 Identification of a research problems and development or refinement of research


questions.
 Helps the planning the methodology or present research study.
 It can reveal to you sources of data you never thought of.
 Literature review helps the researcher to get used related material on the study.

Literature Review

(Ottrnan 1993 and M. J. Polonsky 1994) have studied that a majority of people believe that green
marketing refers solely to the promotion or advertising of products with environmental characteristics.

J. Weeks (2008) studied that green buying choices can be complicated, and green products often
cost more than conventional alternatives.

Brower and Leon (1999) have urged the customers to take steps such as dri'äng fuel —efficient,
low polluting cars, eating less meat and making their homes energy efficient.

Rothe and Benson's (1974) notion of "intelligent consumption" and Fisks (1973) concept of
"ecological imperatives" reflect the need to educate the consumer to become aware of environmental
problems and their relation to his/her consumption patterns

Many believe that social marketing (A. R. Andreasen, 1994) can have a' major impact on the society
s myriad social problems. However, this impact can be seriously compromised if the technology is
applied incorrectly or to areas in which is not appropriate. Consumers have more power than ever
before

Leon G. Schiffman, (2004) has used intelligent agents to locate the best prices for the products or
services, bid on various marketing offerings, bypass distribution outlets and middlemen, and shop for
goods around the globe and around the clock from the convenience of their homes. To understand about
the awareness of the consumers and their behaviors, in depth, study has been done on the various
literatures available in the area of green marketing. From an empirical perspective, a substantial academic
and professional literature explores the areas like sustainable marketing, consumer behavior and green

65
car and its response in the marketplace. The methodologies of these studies vary widely but the major
findings have been observed to define the research objective The above literature review gives an in-
depth idea on the topic and it is also observed that not much work has been done in India in reference to
the environment friendly car and customer's behavior with reference to the eco friendly cars.

66
CHAPTER - 4

DATA ANALYSIS AND INTERPRETATION

67
DATA ANALYSIS & INTERPRETATION

1) What do you feel about Skoda


Option No of Respondents % of Respondents
Excellent 6 49
Very Good 2 17
Good 2 17
Average 2 17
Not at all 0 0
Total 12 100

Sales

49%
17%
17%
17%

Interpretation:-
In this chart I have taken the respondants of 100. The option are given excellent, very good,
good, average, not at all.

68
2) Which brands car do you prefer ?

Brand of car’s Respondents

Skoda 10%

Maruti 62%

Mahindra 13%

Toyota 15%

3)Are you aware about Skoda company?(Yes / No)

Awareness of Skoda Yes No

Respondents 85% 15%

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Response

15%

85%

YesNo

Interpretation:-

From the above table 85% people are aware about the Skoda Automobile. And 15% are not
aware about the Skoda.

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3) Is the price charged is reasonable?(Yes / No)

Option Yes No

Respondents 20% 80%

Respodents

80% Yes
20%
No

Interpretation

From the above chart we can interpret that 80% of the respondents are not satisfied with the price as
the maintenance charged by Skoda is high and 20% are satisfied with the price.

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4) Is the availability easy in the market?(Yes / No)

Availability in Market Yes No

Respondents 40% 60%

Interpretation

From the above graph we can interpret that 40% of the respondents say that it is easily available with the
dealers. 60% of the respondents felt that it was not easily available with the dealers.

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5) How does it look?

Option Good Better Ok Bad

Responds 30% 50% 20% 0

Interpretation

From the above graph we can interpret that 30% of the respondents felt that the features and looks are good,
whereas 50% of the respondents felt that it is better, not that great as it is hyped. 20% feel that it is ok.

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6) Are you satisfied with it?(Yes / No)

Option Yes No

Respondents 60% 40%

Interpretation

From the above graph we can interpret by saying that 60% of the respondents are satisfied with t Skoda
products. Whereas 40% of them are not satisfied wit Skoda.

Respondants

40%
NO

60% YES

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7) Whom do you feel the close competitors of Skoda?

Competitors No of Respondents

Maruti 50%

Mahindra 30%

Toyota 20%

9 ) Which product of Skoda comes to your mind when you intend to purchase?

Brand Option No of Respondents


Skoda Sedan 9%
Skoda Fabia 11%
Skoda Laura 25%
Skoda Rapid 7%
Skoda Superb 45%
Skoda Yeti 14%

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No of Respondents
40%

35%

30%
Skoda Sedan
25%
Skoda Febia
20%
Skoda Laura
15% Skoda Rapid

10% Skoda Superb


Skoda Yeti

5%

0%
Skoda Sedan Skoda Febia Skoda Laura Skoda Rapid Skoda Superb Skoda Yeti

Interpretation

From the response collected mostly people prefer Skoda superb

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CHAPTER – 5

FINDINGS, CONCLUSIONS AND RECOMMENDATION

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FINDINGS

1. Most of people prefer Sedan Car.

2. Most of people’s perception about Skoda cars is Excellent.

3. Most of people’s are influenced by broadcasting media.

4. Most of people’s are giving first preference to Skoda because of good facilities

5. Most of people’s are using Skoda Rapid

6. Most of people’s choose Skoda car for Features.

7. Most of people’s says that best thing in Skoda cars is Style & Design.

8. Most of people’s says new technologies such as Bluetooth, DIS, Reverse parking sensors
are given in the new Skoda cars is it good and going to make them feel comfortable while driving.

9. Most of people’s are satisfied with the price of Skoda cars.

10. Most of people’s says the maintenance cost of Skoda is High.

11. Most of people’s prefer price range between 10,00,000 to 12,00,000.

12. Most of peoples expecting to Add new facilities.

13. Most of people’s says that introduction of more models with small car segment will
improve sale of Skoda cars.

14. Most of the people’s says the service of Skoda is Excellent.

15. Most of people’s says the cars of Skoda are capable to attract todays generation

16. Most of people’s second choice while buying a car is Hyundai.

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Recommendation

To boost the sales, it is also recommended that the companies in association with banks and financial
institutions should provide the vehicle loans to middle class and rural customers with a very low interest
rate.

Today youths are very much conscious about enhancing their lifestyle. The companies must not forget that
the youths once convinced they can easily convince their parents to buy a car, as buying a car is a family
decision where all the family members plays vital role. Hence the companies should promote and advertise
their vehicles at colleges, shopping malls etc. & in this regard, Skoda should give some additional discounts,
incentives or special offers for college students who intend to be car owners.

• Price is very crucial factor which plays vital role in buying vehicle especially in NaviMumbai where
the maximum people belong to middle class family. In a survey it is found that the annual income of
maximum respondents is in between 15,000 to 40,000 monthly. During survey it is also found that in view
of few respondents, the price of their car is excessive hence it is recommended that the companies should
fix affordable price of their vehicles so that a middle class person can easily afford it.

• With an intention to satisfy the customer regarding after sales service, it is recommended that the
companies should directly contact with their customers through telephone, email and should take feedback
regarding after sales service. This will help the companies to understand the exact problems, views and
opinions of their customers. This will help companies to retain their customers.

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CONCLUSION

While Skoda cars in India have been raised for their quality, performance, comfort, efficiency,
technological Enovation and driving experience, they have been imported to be expensive to own &
maintain.

In February 2008, member Eins, a Skoda India authorized dealership ,swapped parts from a car that was
schedule for service and replaced them with non standard and defective one leading to an accident. the
customer court in India ruled that Skoda auto must pay for the repairs on the car which must also be carried
out to international standard in a separate case, the India’s consumer court had directed Skoda auto to replace
a defective car with a new one , or refund the owner INR 1,114,000 , after Skoda auto failed to rectifier a
major problem in a car M/S silver tone motors Pvt. Ltd. a Skoda service center , claimed that the problems
where cost by non genuine parts that were installed by the dealer.

Since Indian automobile industry is booming, Skoda which is a European brand can have a lot to do as
their domestic market is heat by Euro zone crisis. At the same time it will have to face challenges at two
level in India because its low price brand have tremendous competition from India gaits like Maruti and
TATA where as for its models like Laura and superb will have to face Honda and Toyota’s leading luxury
brands.

From the customer point of view they have good choices from Skoda ranging from small car to luxurious
one and SUV model also they thoroughly study the Skoda’s manual for this.

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BIBLIOGRAPHY

WEBSITE

1) WWW.SKODA-AUTO.COM

2) WWW.SKODA.CO.UK

3) WWW.EUROMONTOR.COM

4) WWW.MARKETRESEARCH.COM

5) www.Wikipidia.com

6) WWW.CARDEKHO.COM

Books

1. SALES AND DISTRIBUTION

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