Project Findings v.01

Research Project
Hero Honda split Effect on Brand Value of bikes produced by post-split company controlled by Hero group in Nagpur Region Sec D, Group 6
Research Project Findings

Hero Honda split Effect on Brand Value of bikes produced by postsplit company controlled by Hero group in Nagpur Region
Submitted to Dr Kapil Chaturvedi
By Sec D Group 6 Semester III Batch 2010-12

1 Business Research Methods | IMT, Nagpur 2010-12
Rohit Deshmukh Saket Rathi Sandeep Dhankar Sarita Chowdary
2010185 2010197 2010200 2010296
Research Project
Vaibhav Garg Debashish Bagg
2010279 2010298
Contents
I. II. III. IV. V. VI. VII. VIII. IX. X. XI. XII. XIII. XIV. XV. XVI. XVII. 2 SUMMARY.........................................................................................................4 INTRODUCTION.................................................................................................4 NEEDS/PROBLEMS............................................................................................4 RESEARCH OBJECTIVES.....................................................................................5 HYPOTHESIS.....................................................................................................5 INFORMATION SOURCE.....................................................................................5 SAMPLING PLAN................................................................................................6 RESEARCH METHODOLOGY..............................................................................6 TIME .6
BUDGET............................................................................................................7 LIMITATIONS.....................................................................................................7 SAMPLE QUESTIONNAIRE IN PROPOSAL............................................................7 INTRODUCTION:................................................................................................9 VALIDATION OF QUESTIONNAIRE......................................................................9 QUESTIONNAIRE:..............................................................................................9 INITIAL RESPONSES........................................................................................12 DEALER QUESTIONNAIRE:...............................................................................13 Business Research Methods | IMT, Nagpur 2010-12
Research Project
Hero Honda split Effect on Brand Value of bikes produced by post-split company controlled by Hero group in Nagpur Region Sec D, Group 6 A. XVIII. A. B. C. XIX. XX. Reference QUESTIONNAIRE:............................................................................................13 DATA COLLECTED AND INITIAL RESULTS........................................................13 CONSUMER SURVEY:.......................................................................................13 DEALER SURVEY:............................................................................................21 SECONDARY DATA SOURCE:...........................................................................21 APPENDIX.......................................................................................................21 REFERENCE.....................................................................................................22
Business Research Methods | IMT, Nagpur 2010-12
Research Project
I.
Summary
The research intends to measure impact of split of Hero Honda Motors Limited on the brand value of bikes produced by post-split company controlled by Hero group. The research intends to study the effect in city of Nagpur and its neighboring towns and villages. The research would help us to ascertain the impact of split on the post-split companies in terms of brand value and perception. This document briefs about various requirements set by the research topic and the way research will proceed.
II.
Introduction
Hero Honda Motors Limited1 is a two wheeler manufacturer based in India. Hero Honda is a joint venture between the Hero Group of India and Honda of Japan setup in 1984. The vision of the company is to provide world class, affordable and durable personal transport for masses. The company is the largest two wheeler manufacturer in India and also has been referred to as the world's biggest manufacturer of 2-wheeled motorized vehicles for nine years in succession since 2001. The 2006 Forbes, 200 Most Respected companies list has Hero Honda Motors ranked at 108. As a matter of fact every second bike sold in the country rolls out of Hero Honda factory. In 2010, it was reported that Honda planned to sell its stake in the venture to the Hero Group (Munjal family).Hero is the brand name used by the Munjal brothers for their flagship company Hero Cycles Ltd. The Japanese auto major will exit the JV giving the Munjal familythat currently holds 26% stake in the companyan additional 26%. Honda has an independent fully-owned twowheeler manufacturing subsidiary Honda Motorcycle and Scooter India (HMSI) and is credited for revolutionized the Scooter category in India with its Activa and Aviator models. It also produces and sells bikes under the brand name of Honda.
III.
Needs/Problems
Hero Honda is in the business of automobile manufacturing for the last 26 years and has grown to be the biggest two wheeler seller in the country. One of the reasons of its success is superior technology assistance by Honda Motor Co Ltd. (Japan).This split, which is supposed to take place at the end of this financial year,raises many concerns about the brand value of products of resultant companies and mainly that of Hero group.
Research Project
Honda operates in India through its wholly owned subsidiary in the two wheeler segment and offers various models of scooters and bikes. After the split, Honda is certain to go aggressively in the bikes segment by the virtue of its technological superiority. Itrevived the Indian scooter market by leading model Activa, when the leading player BAJAJ left the turf, needs to be looked upon as a threat to the company post-split Hero Honda.
IV.
Research Objectives
To ascertain the effect on Brand value of products produced by post-split company controlled by Hero Group:
What will be the perspective of the consumers towards post-split company and Honda after the split of Hero Honda? Will the customer prefer Hero or Honda or any other competitors bikes in future? Will the brand of post-split company be able to communicate same value proposition as communicated by Hero Honda? Perception about Heros ability to provide same level of technological expertise and service level as that of Hero Honda?
I.
Hypothesis
H1: The perspective of consumers will remain same towards the post-split company. H2: The consumers will have same preference for the bikes produced by post-split company as they have for Hero Honda bikes. H3: The post-split company will be able to provide same level of technological expertise and service level as that of Hero Honda.
II.
Information Source
The group consisting of six members will be involved in the research project. The sample of the research will include current owners of Hero Honda bike and Prospective customers of bikes like college going students, sales executives, businessmen, etc. Hero Honda exists dealers and their sales staff.
Research Project
An online survey will also be conducted among the general public. The relevant information regarding the split is obtained from the sources listed in the reference section.
III.
Sampling plan
As discussed above the sampling would be a stratified sampling with prospective buyers, present customers, sales executives, dealers as different strata. Though the number of a strata like prospective customer i.e. college going students and new employees are more in number but might revel less of the present situation when others might be the decision makers so we would prefer disproportionate sampling. As there is a limit on total sample size i.e. 150 samples the whole samples would be divided into strata as follows. Strata Prospective customers Students Businessmen or Service person Present customers Students Businessmen or Service person Dealers and Sales executives Total Percentage allocated 20 % 20 % 20 % 20 % 20 % 100% of samples
Thus the group will be using stratified sampling with the sample size as 150, among the target population of Nagpur region among the sample profile described above. Sampling unit in this research will be individual. The above mentioned table is just an estimate it might be changes at a later stage of the project.
IV.
Research Methodology
The research will be an applied exploratory research. The data would primary in nature and collected through survey. The survey will be based on the responses to a questionnaire which would be provided to them. Further the survey would include telephonic survey, online survey and physical survey. There will be efforts made to collect secondary data from reliable source and parallel research that might be going on the topic selected.
V.
6
Time
Phase Description of Work End Dates
Research Project
Phase One Phase Two Phase Three Phase Four
Problem finding and description Research design and Sampling plan Sampling and data processing Data interpretation and Report
Jan 22nd, 2010 Feb 05th, 2010 Feb 19th, 2010 Mar 16th, 2010
VI.
Budget
We propose the following budget for expenses to be incurred on the research Description of Work Phase One Phase Two Phase Three Phase Four Problem finding and description Research design and Sampling plan Sampling and data processing Data interpretation and Report Total Anticipated Costs Rs 100.00 Rs 200.00 Rs 1500.00 Rs 200.00 Rs 2000.00
VII.
Limitations
This research would be constrained to the Nagpur city and surrounding towns and villages. The sample size is small compared to the magnitude of the study along with constrain of workforce, cost and time will impact the effectiveness of study. A few of the constraints that the group would like to implement in the study are as follows: The study would be constrained to Nagpur and its surrounding area thus may or may not represent the entire population of the region as whole. It cannot be used to infer the result as representation of the whole nation. The group would also be depending on Judgmental sampling while sampling sales executives and dealers.
I.
Sample Questionnaire in proposal

The questionnaire attached here by is a prospective and general one thought it has to be tailored to individual strata of sample population. It also will be tested and reviewed against a group of test sample in the college before it is used to sample the public.
Research Project
General Questionnaire: 1. Are you a bike user Yes No 2. Are you looking to buy one in the near future Yes No 3. Do you use Hero Honda bikes Yes No 4. Please specify a few reasons for buying Hero Honda bike or any other bike: . 5. Are you satisfied by the way Hero Honda is servicing you Yes No 6. Please specify reasons for the same: . 7. Are you satisfied with value that Hero Honda says and delivers in terms of performance of bikes Yes No 8. Are you satisfied with technology that Hero Honda use for its bikes Yes No 9. Are you satisfied with the customer service that Hero Honda provides for its bikes Yes No Hero Honda is splitting and Hero is now going to produce all the bikes: 10. Will you continue to use Hero Honda bikes Yes No 11.Please specify a few reasons for above: . 12.Will Hero be able to deliver value of money Hero Honda delivered a. in terms of performance of bikes Yes No b. in terms of technology used for its bikes Yes No c. in terms of customer service for its bikes Yes No 13. Will you switch to any other bike manufactures? Yes No 14.Please give reasons for the same Thank you for completing the questionnaire.
Research Project
I.
Introduction:
As discussed in the proposal submitted sampling population is divided in the following stratas and following questionnaire is formulated for the first and second strata i.e. present and perspective customer. For the third group it will be basically be a laddering process and depend on discretion of the interviewer and time he can procure from interviewee.
II.
Validation of Questionnaire
Present questionnaire is tested for time consistency and measurability on a few faculty and Section D students who falls in category of students, strata of prospective and present customers which will be 40% of sample population. Most of the answers are were asked in likert scale of 10 so that each factors statistical measurement such as mean and variance could be easily measured.
III.
Questionnaire:
Below is a sample of questionnaire that will be either emailed to prospective correspondents of hand filled by researchers in the group while interviewing respondents on one on one basis. Hero Honda split Effect on Brand Value of bikes produced by post-split company controlled by Hero group * Required Top of Form Age group * < 18 years 18 - 25 25 - 35 > 35 years Are you bike user * Yes No If yes, Specify which company TVS Bajaj Suzuki
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Hero Honda Honda Other: If you are not bike user, are you looking to buy one in near future Yes No If yes, Specify which company's bike are you thinking of buying TVS Bajaj Suzuki Hero Honda Honda Other: You prefer the most; the company or the product itself *like Bajaj or Pulsur company product Equal preference to both Please specify factors which you consider before buying a bike * Word of mouth mileage looks performance resale value cost of maintenance technology durability Other: Rate performance of Hero Honda bikes in terms of mileage *
10
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1 Worse
10 Best
Rate performance of Hero Honda bikes in terms of maintenance needed * 1 2 3 4 5 6 7 8 9 Worse Rate performance of Hero Honda bikes in terms of resale value * 1 2 3 4 5 6 7 8 Worse Rate performance of Hero Honda bikes in terms of customer service * 1 2 3 4 5 6 7 8 9 Worse Rate performance of Hero Honda bikes in terms of technology used * 1 2 3 4 5 6 7 8 9 Worse Hero Honda is splitting and Hero is now going to produce all the bikes: Please respond the below section taking into account this information
10 Best
10 Best
10 Best
10 Best
Would HERO bikes perform as good as Hero Honda bikes in terms of millage * 1 2 3 4 5 6 7 8 9 10 would be inferior would be superior
Would HERO bikes perform as good as Hero Honda bikes in terms of maintenance needed * 1 2 3 4 5 6 7 8 9 10 would be inferior would be superior
Would HERO bikes perform as good as Hero Honda bikes in terms of customer service * 1 2 3 4 5 6 7 8 9 10
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would be inferior Would HERO bikes perform as good as Hero Honda bikes in terms of technology * 1 2 3 4 5 6 7 8 9 10 would be inferior Would HERO be able to satisfy customers as good as Hero Honda * May be Cannot be compared will not be able to meet up expectations will be similar to Hero Honda will be far better than Hero Honda Any suggestions?
would be superior
would be superior
IV.
Initial responses
Initial results that were derived using the questionnaire were showing a drift of customer away from bikes produced by Hero group in the factors that were measured. A few sample results are tabulated below. It also shows that Hero Honda is preferred and as we move towards Hero bikes not only there is a shift in mean value of responses but also the curve got much more flatter and variance increase. Mean Variance Millage Hero Honda 7.42 0.85 Hero 6.00 1.43 Maintainability Hero Honda 8.07 0.67 Hero 6.22 1.42 Customer Service Hero Honda 7.93 0.67 Hero 6.27 1.93 Technology Hero Honda 7.07 1.36 Hero 4.72 1.86
Table 1: Initial results
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Qualitative feedbacks that are filled are yet to be analyzed and ways that it can be used to add to the existing study needs to be researched still.
V.
Dealer questionnaire:
This questionnaire is not tested and will be subjective to changes as per responses by dealer and at the time to interview him.
a.Questionnaire:
1. 2. 3. 4. What are your views towards this split? What are few positive and negative aspects of this split? Which aspects doo you weight more and why? How do you see changes in your profitability, in near future considering this split?
Authorization letter to visit premises of Hero Honda showroom and its dealer is attached as Appendix 1 to the given report.
I.
Data collected and initial results
a.Consumer survey:
Survey was conducted in form of circulation of questionnaire to respondents with the help of Google spreadsheet form and the underline spreadsheet was used as a database to collect data. There have been respective responses from the respondents and tabulated different charts on the spreadsheet. Some of the responses are tabulated as follows:
All the above graphs that summarizes 282 responses that were receives do summarise that there is a shift in customer mindset and thus part of mind an past of hears in all the parameters under measurement. Thus from consumer survey we may conclude that there is a shift in consumer preference forwards the post split company owned by Hero group. Student T test run on different paraments show that the values are <0.05 and thus hypothesis H1, H2 and H3 fails and thus the customer perspective have changed.
Mileage Post Split Mean Post Split Varriance 13 6.007092 2 1.944044 5 Technology 5.43262411 3 2.03983449 4 Resale Value 5.24822695 1.833480747 Maintenanc e 6.056737589 1.945056878 Customer Service 6.411347518 1.964347426
Research Project
Hero Honda split Effect on Brand Value of bikes produced by post-split company controlled by Hero group in Nagpur Region Sec D, Group 6 7.503546 1 1.384325 6 1.387E-23 6.94326241 1 1.61740114 7 9.21865E-21
Pre Split Mean Pre Split Varriamce Student t test
7.397163121 1.465520362 1.86952E-44
7.574468085 1.542904976 1.09343E-22
7.35106383 1.296374195 5.59826E-11
b.Results using SPSS:

Data procured is coded in SPSS software are the following grouping data are obtained:
Age Group 18 - 25 years 26 - 35 years > 35 years Standard Standard Standard Mea Deviatio Mea Deviatio Mea Deviatio n n n n n n 6.68 1.953 5.83 1.657 5.92 2.171 4 8 3 6.14 1.959 5.70 1.724 5.92 2.348 2 0 3 6.12 1.933 5.58 1.711 6.53 2.453 1 8 8 5.30 1.888 4.92 1.792 4.88 1.862 0 5 5 5.50 2.067 5.01 1.838 5.26 2.089 0 3 9 7.15 1.398 7.65 1.104 7.61 1.061 8 0 5 7.36 1.567 7.97 1.232 7.69 1.892 8 5 2 7.19 1.325 7.58 1.498 7.92 1.093 5 8 3 6.83 1.590 6.95 1.778 7.96 1.399 7 0 2 7.21 1.472 7.80 1.363 7.80 1.234 1 0 8 Table 2: Response distribution across Age groups Average Mean 6.148 5.922 6.082 5.037 5.261 7.474 7.679 7.568 7.249 7.606 Standard Deviation 3.358 3.510 3.561 3.200 3.467 2.073 2.749 2.279 2.766 2.355
Hero Customer service Hero Maintenance Hero Mileage Hero Resale value Hero Technology Hero honda customer service Hero honda Maintenance Hero honda Mileage Hero honda technology Hero honda resale value
Above table shows that though there is an overall variation in the responses of all customers, people belonging to older age group (>25 years) has more negative perspective on Heros relative performance to that of Hero Hondas than youngster.
Profession Student Standard Mean 6.433 6.010 5.955 Deviatio n 1.992 1.957 1.968 Working professional/ businessmen Standard Deviation 1.823 1.927 1.892 Mea n 6.38 5 6.01 6 6.05 Average Standard Deviation 2.700 2.747 2.730
Hero Customer service Hero Maintenance Hero Mileage
Mean 6.337 6.022 6.152
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Hero Resale value Hero Technology Hero honda customer service Hero honda Maintenance Hero honda Mileage Hero honda technology Hero honda resale value
5.045 5.338 7.318 7.468 7.274 6.811 7.323
1.864 1.996 1.352 1.584 1.315 1.567 1.490
5.413 5.402 7.391 7.772 7.576 7.315 7.652
1.864 2.076 1.195 1.430 1.447 1.797 1.346
4 5.22 9 5.37 0 7.35 5 7.62 0 7.42 5 7.06 3 7.48 8
2.636 2.880 1.804 2.135 1.955 2.384 2.008
Table 3 Response variation with profession
Above figure shows that response is almost uniformly distributed across working professionals and student community, working professional have more stringent views on Heros performance post split.
Company/ product Product Standard Company Both
Standard Standard Mea Deviatio Mea Deviatio Mea Deviatio n n n n n n Hero Customer service 6.13 1.893 6.39 2.490 6.60 1.731 2 1 3 Hero Maintenance 5.86 1.937 6.56 2.630 5.93 1.625 0 5 4 Hero Mileage 5.91 1.930 6.45 2.456 5.94 1.740 2 7 9 Hero Resale value 5.06 2.058 5.17 1.936 5.24 1.667 1 4 3 Hero Technology 5.07 2.060 5.91 2.239 5.39 1.863 0 3 0 Hero honda customer service 7.28 1.329 7.41 1.543 7.33 1.225 9 3 8 Hero honda Maintenance 7.56 1.470 8.02 1.468 7.40 1.589 1 2 4 Hero honda Mileage 7.34 1.510 7.63 1.236 7.29 1.295 2 0 4 Hero honda technology 6.56 1.678 7.82 1.235 7.01 1.646 1 6 5 Hero honda resale value 7.32 1.436 7.60 1.653 7.44 1.387 5 9 1 Table 4: Response variation with difference in perception of brand and product
This table shows that perception of product important or company as important does not change perception of Hero hondas split much, though in parameters like maintenance, technology there is a significant shift in customers perception.
Is customer service important No Yes
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Mea n Standard Deviation 5.89 1.981 4 1.272 7.26 1.361 2 Is maintenance important No Yes Mea Standard Deviation n Standard Deviation 2.016 6.12 1.830 0 1.545 7.55 1.526 2 Is resale value important No Yes Mea Standard Deviation n Standard Deviation 1.929 4.63 1.533 4 1.426 7.87 1.434 3 Is technology important No Yes Mea Standard Deviation n Standard Deviation 1.794 5.43 2.193 3 1.462 7.14 1.790 6 Standard Deviation 1.778 Is mileage important Yes Mea Mean Standard Deviation n Standard Deviation Hero Mileage 5.846 1.843 6.08 1.983 8 Hero honda Mileage 7.121 1.489 7.47 1.308 3 Table 5: Perception of those who consider a factor important No
Hero Customer service Hero honda customer service
Mean 6.839 7.394
Hero Maintenance Hero honda Maintenance
Mean 5.918 7.567
Hero Resale value Hero honda resale value
Mean 5.329 7.280
Hero Technology Hero honda technology
Mean 5.252 6.763
This table shows that those who perceive a parameter important contributor to buying of a bike themselves think that it would no more be a competitive advantage after the split.
Hero Honda users Mean 6.211 5.978 5.922 5.067 4.956 7.600 8.100 Standard Deviation 1.875 1.949 2.078 1.728 1.848 1.068 1.264 Non Hero Honda users Mean 6.466 6.015 6.053 5.204 5.519 7.214 7.325 Standard Deviation 1.957 1.939 1.882 1.922 2.064 1.394 1.585
Hero Customer service Hero Maintenance Hero Mileage Hero Resale value Hero Technology Hero honda customer service Hero honda Maintenance
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Hero honda Mileage Hero honda technology Hero honda resale value 7.689 7.278 7.978 1.269 1.656 1.289 7.223 6.830 7.180 1.396 1.637 1.449
Table 6: perception difference in Hero-honda and non Hero-honda customers
Table 6 shows that non Hero-Honda customers perceive it less unfavorable to Hero than the existing Hero-Honda customers.
Hero Honda users 18 - 25 years Mean 6.537 6.093 5.981 5.259 5.037 7.407 7.870 7.407 7.093 7.889 Standard Deviation 1.860 1.945 2.185 1.814 1.913 1.174 1.260 1.190 1.640 1.298 26 - 35 years Mean 5.643 5.679 5.571 4.964 5.071 7.929 8.500 8.107 7.250 8.143 Standard Deviation 1.704 1.847 1.773 1.598 1.904 .813 1.171 1.343 1.691 1.297 > 35 years Mean 6.000 6.250 6.750 4.125 4.000 7.750 8.250 8.125 8.625 8.000 Standard Deviation 2.268 2.435 2.315 1.356 .756 .886 1.389 1.126 1.061 1.309 18 - 25 years Mean 6.743 6.162 6.176 5.316 5.684 7.059 7.169 7.110 6.735 6.941 Standard Deviation 1.993 1.971 1.829 1.923 2.104 1.470 1.636 1.370 1.565 1.454 Non Hero Honda users 26 - 35 years Mean 5.942 5.712 5.596 4.904 4.981 7.500 7.692 7.308 6.788 7.615 Standard Deviation 1.638 1.673 1.695 1.902 1.820 1.213 1.181 1.515 1.819 1.374 > 35 years Mean 5.889 5.778 6.444 5.222 5.833 7.556 7.444 7.833 7.667 7.722 Standard Deviation 2.193 2.365 2.572 1.987 2.256 1.149 2.064 1.098 1.455 1.227
Hero Customer service Hero Maintenance Hero Mileage Hero Resale value Hero Technology Hero honda customer service Hero honda Maintenance Hero honda Mileage Hero honda technology Hero honda resale value
Table 7: Variation of response among Hero Honda and non Hero Honda users
Table 7 further describes variation of response among Hero-Honda user are much more than those who do not use Hero-Honda presently.
Hero Honda users Working professional/ businessmen Standard Mea Deviatio n n 6.43 1.795 8 6.53 1.967 1 6.40 2.046 6 5.53 1.917 1 5.34 2.026 4 Non Hero Honda users Working professional/ businessmen Standard Mea Deviatio n n 6.28 1.851 3 5.75 1.865 0 6.01 1.809 7 5.35 1.849 0 5.43 2.118 3
Hero Customer service Hero Maintenance Hero Mileage Hero Resale value Hero Technology
Student Standard Mea Deviatio n n 6.08 1.922 6 5.67 1.886 2 5.65 2.065 5 4.81 1.572 0 4.74 1.723 1
Student Standard Mea Deviatio n n 6.57 2.009 3 6.14 1.975 7 6.07 1.921 7 5.14 1.967 0 5.58 2.054 0
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Hero honda customer service Hero honda Maintenance 7.74 .928 7.34 1.260 7.14 1.458 7.41 1 4 7 7 8.00 1.270 8.28 1.250 7.25 1.651 7.50 0 1 2 0 Hero honda Mileage 7.58 1.229 7.87 1.338 7.14 1.332 7.41 6 5 7 7 Hero honda technology 7.15 1.496 7.50 1.918 6.67 1.578 7.21 5 0 1 7 Hero honda resale value 7.93 1.375 8.06 1.134 7.07 1.468 7.43 1 3 7 3 Table 8: Variation among different professions depending on owning Hero Honda 1.169 1.456 1.488 1.738 1.407
Extending results that are got in table3 we have that those have Hero Honda do have a more negative viewpoint than those not having Hero Honda bike, also among those who have Hero Honda bikes students have more negative view points.
Hero Honda users Product Company Both Standard Standard Standard Mea Deviatio Mea Deviatio Mea Deviatio n n n n n n Hero Customer service 5.40 1.760 6.88 2.494 6.42 1.500 7 9 2 Hero Maintenance 5.66 1.641 7.55 2.281 5.53 1.673 7 6 3 Hero Mileage 5.55 2.006 7.33 2.169 5.57 1.877 6 3 8 Hero Resale value 4.85 1.875 5.61 1.650 4.97 1.658 2 1 8 Hero Technology 4.63 1.418 5.55 2.281 4.91 1.869 0 6 1 Hero honda customer 7.33 1.271 7.72 .895 7.71 .991 service 3 2 1 Hero honda Maintenance 7.85 .989 8.88 1.231 7.93 1.321 2 9 3 Hero honda Mileage 7.48 1.252 7.77 1.263 7.77 1.295 1 8 8 Hero honda technology 6.66 1.441 8.27 1.018 7.24 1.811 7 8 4 Hero honda resale value 7.77 1.396 7.88 1.491 8.13 1.140 8 9 3 Table 9: Variation with perception of product vs. company
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Table 9 adds that those who perceive Product being more important in performance of a two wheeler in the market are unhappy with the split when compared to those who perceive company being the main cause. Thus Hero Honda should not look for removing the company name as that may lead to more dilution of customer base.
Response variation across age, bike usage and profession
18 - 25 years Student Not a bike user Bike User Bike User Bike User Not a bike user Bike User Bike User Bike User HERO customer service Mean 8.000 6.667 6.833 5.171 5.000 6.419 8.000 5.750 Standard Deviation .000 1.972 1.926 1.654 . 1.484 .000 2.172 HERO maintenance Mean 5.000 6.173 6.167 5.257 5.000 6.070 7.000 5.833 Standard Deviation .000 2.017 1.633 1.559 . 1.818 .000 2.426 HERO millage Mean 5.000 6.160 6.083 4.943 5.000 6.070 8.000 6.417 Standard Deviation .000 1.984 1.666 1.608 HERO resale value Mean 5.000 5.253 5.708 3.914 3.000 5.744 8.000 4.625 Standard Deviation .000 1.883 2.053 1.269 . 1.733 .000 1.689 HERO technology Mean 1.000 5.519 5.792 4.743 5.000 5.279 5.500 5.250 Standard Deviation .000 2.013 2.187 1.615
25 - 35 years
Working professional/ businessman Student Working professional/ businessman Student Working professional/ businessman
> 35 years
1.639 .000 2.518
2.004 .707 2.172
Response variation across age, bike usage

Student \18 - 25 years Not a bike user Bike User Working professional/ businessman Student Working professional/ businessman Student Bike User Bike User Not a bike user Bike User > 35 Bike User
Hero Honda customer service Mean 9.000 7.142 7.292 7.943 7.000 7.395 9.000 Standard Deviation .000 1.396 1.301 .802 . 1.256 .000
Hero Honda maintenance Mean 9.000 7.302 7.708 8.114 8.000 7.860 8.000 Standard Deviation .000 1.635 1.042 1.183 . 1.302 .000
Hero Honda mileage Standard Deviation .000 1.291 1.498 1.426
Hero Honda technology Mean 8.000 6.765 7.250 6.886 4.000 Standard Deviation .000 1.547 1.871 1.711 . 1.831 .000
Hero Honda resale value Mean 9.500 7.210 7.083 7.743 8.000 7.837 7.000 Standard Deviation .707 1.514 1.100 1.291 . 1.463 .000
Mean 7.000 7.185 7.375 7.714 7.000 7.465 7.000
25 - 35 years
1.579 .000
7.070 8.000
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Working professional/ businessman Bike User 7.500 1.022 7.667 1.971 8.000 1.103 7.958 1.459 7.875 1.262
years
Table 10: variation of response with age, profession and bike user vs. non bike user
Response variation across age and profession

18 - 25 years 25 - 35 years > 35 years Student Working professional/ businessman Student Working professional/ businessman Student Working professional/ businessman
HERO customer service Mean 6.683 6.833 5.171 6.386 8.000 5.750 Standard Deviation 1.965 1.926 1.654 1.482 .000 2.172
HERO maintenance Mean 6.159 6.167 5.257 6.045 7.000 5.833 Standard Deviation 2.009 1.633 1.559 1.804 .000 2.426
HERO millage Mean 6.146 6.083 4.943 6.045 8.000 6.417 Standard Deviation 1.976 1.666 1.608 1.628 .000 2.518
HERO resale value Mean 5.250 5.708 3.914 5.682 8.000 4.625 Standard Deviation 1.871 2.053 1.269 1.762 .000 1.689
HERO technology Mean 5.463 5.792 4.743 5.273 5.500 5.250 Standard Deviation 2.062 2.187 1.615 1.981 .707 2.172
Response variation across age and profession

18 - 25 years 25 - 35 years > 35 years Student Working professional/ businessman Student Working professional/ businessman Student Working professional/ businessman
Hero Honda customer service Mean 7.165 7.292 7.943 7.386 9.000 7.500 Standard Deviation 1.402 1.301 .802 1.243 .000 1.022
Hero Honda maintenance Mean 7.323 7.708 8.114 7.864 8.000 7.667 Standard Deviation 1.635 1.042 1.183 1.287 .000 1.971
Hero Honda mileage Mean 7.183 7.375 7.714 7.455 7.000 8.000 Standard Deviation 1.283 1.498 1.426 1.562 .000 1.103
Hero Honda technology Mean 6.780 7.250 6.886 7.000 8.000 7.958 Standard Deviation 1.543 1.871 1.711 1.868 .000 1.459
Hero Honda resale value Mean 7.238 7.083 7.743 7.841 7.000 7.875 Standard Deviation 1.526 1.100 1.291 1.446 .000 1.262
Table 11: Variation of response across profession and age group
Table 10, 11 summarizes the same that we have summarized in previous tables.
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Research Project
c.Dealer survey:
Dealer survey is obtained as a part of the survey and recorded in format of audio file; these audio needs to be written down also references that are made available by dealers will be summarized and added in the final results. The dealer survey specified a specific set of segment that they seem have been left unresearched; this segment is then captured by means of convenience sampling in the limited time left.
d.Secondary data source:

Data pertaining to previous splits in the bikes sectors like that of TVS-Suzuki and BajajKawasaki are obtained from respective websites and being used as secondary data the present research. Data pertaining to TVS-Suzuki is more prominent comparison in this case as Suzuki was both a stakeholder and also technology hand for the collaboration.
II.
Appendix
22
Research Project
III.
Reference
1. 2. 3. 4. 5.
Hero Honda website, http://en.wikipedia.org/wiki/Hero_Honda Wikipedia, http://en.wikipedia.org/wiki/Hero_Honda Munjal family & Honda Motor to discuss Hero Honda split today, 16th Dec, 2010, Economic Times, India. Hero Honda split terms finalized, 16th Dec, 2010, Times of India, India. Customer behavior towards two wheeler bikes, www.ou-mba.ac.in/i/2.pdf
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Research Project

Research Project Findings

Submitted to Dr Kapil Chaturvedi

By Sec D Group 6 Semester III Batch 2010-12

Rohit Deshmukh Saket Rathi Sandeep Dhankar Sarita Chowdary

2010185 2010197 2010200 2010296

Vaibhav Garg Debashish Bagg

Business Research Methods | IMT, Nagpur 2010-12

Business Research Methods | IMT, Nagpur 2010-12

Business Research Methods | IMT, Nagpur 2010-12

Phase One Phase Two Phase Three Phase Four

Sample Questionnaire in proposal

Business Research Methods | IMT, Nagpur 2010-12

Business Research Methods | IMT, Nagpur 2010-12

Business Research Methods | IMT, Nagpur 2010-12

Business Research Methods | IMT, Nagpur 2010-12

Data collected and initial results

Business Research Methods | IMT, Nagpur 2010-12

Pre Split Mean Pre Split Varriamce Student t test

7.397163121 1.465520362 1.86952E-44

7.574468085 1.542904976 1.09343E-22

7.35106383 1.296374195 5.59826E-11

b.Results using SPSS:

Hero Customer service Hero Maintenance Hero Mileage

Mean 6.337 6.022 6.152

Business Research Methods | IMT, Nagpur 2010-12

5.045 5.338 7.318 7.468 7.274 6.811 7.323

1.864 1.996 1.352 1.584 1.315 1.567 1.490

5.413 5.402 7.391 7.772 7.576 7.315 7.652

1.864 2.076 1.195 1.430 1.447 1.797 1.346

4 5.22 9 5.37 0 7.35 5 7.62 0 7.42 5 7.06 3 7.48 8

2.636 2.880 1.804 2.135 1.955 2.384 2.008

Table 3 Response variation with profession

Business Research Methods | IMT, Nagpur 2010-12

Hero Customer service Hero honda customer service

Mean 6.839 7.394

Hero Maintenance Hero honda Maintenance

Mean 5.918 7.567

Hero Resale value Hero honda resale value

Mean 5.329 7.280

Hero Technology Hero honda technology

Mean 5.252 6.763

Business Research Methods | IMT, Nagpur 2010-12

Table 6: perception difference in Hero-honda and non Hero-honda customers

Business Research Methods | IMT, Nagpur 2010-12

Business Research Methods | IMT, Nagpur 2010-12

Business Research Methods | IMT, Nagpur 2010-12

1.639 .000 2.518

2.004 .707 2.172

Response variation across age, bike usage

Hero Honda mileage Standard Deviation .000 1.291 1.498 1.426

Mean 7.000 7.185 7.375 7.714 7.000 7.465 7.000

Business Research Methods | IMT, Nagpur 2010-12

Response variation across age and profession

Response variation across age and profession

Table 11: Variation of response across profession and age group

Business Research Methods | IMT, Nagpur 2010-12

d.Secondary data source:

Business Research Methods | IMT, Nagpur 2010-12

Business Research Methods | IMT, Nagpur 2010-12

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