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Indian Economy has undergone a radical transformation in the last three decades. The discoveries and invention in various fields of life is perhaps being the reasons for this transformation. The marketing strategy in India which was practiced in the olden days has either been changed or been refined so as to adjust with this dynamic world. If we consider the early years of development of our economy, It is observed that the producer‘s consumers as well as production and consumption is becoming more and more complex and specialized. The present emphasis is one matters of providing a complete ‗comfort‘ or ‗status‘ to the customers every walk of life. In the light of the present marketing scenario, through this project, How HYUNDAI MOTOR & TATA MOTOR can increase its market share in ―automobile industry‖ emphasis on marketing.
Authentic marketing is not the art of selling what you make but knowing what to make. It is the art of identifying and understanding customer needs and creating solutions that deliver satisfaction to the customers, profits to the producers and benefits for the stakeholders. - Philip Kotler
This Project report tries to take a look on various aspects on Marketing and study of Marketing strategies adopted by Hyundai Motors India Limited (HMIL) & Tata Motors with a special focus on Hyundai Santro & Tata Nano.
INDIAN AUTOMOBILE INDUSTRY A market is never saturated with a good product, but it is very quickly saturated with a bad one. - Henry Ford
The automotive industry is one of the largest industries worldwide and in India as well. The automotive sector is a vital sector for any developed economy. It drives upstream industries like steel, iron, aluminium, rubber, plastics, glass and electronics, and downstream industries like advertising and marketing, transport and insurance.
The automotive industry can be divided into five sectors:1) Passenger Cars 2) Multi- Utility Vehicles (MUVs) 3) Two- and Three- Vehicles 4) Commercial Vehicles - Light Commercial Vehicles (LCVs) / Medium and Heavy Commercial Vehicles (MHCVs) 5) Tractors We will be looking at the Passenger car industry in India.
Despite a head start, the passenger car industry in India has not quite matched up to the performance of its counterparts in other parts of the world. The primary reason has been the all-pervasive regulatory atmosphere prevailing till the opening up of the industry in the mid1990s. The various layers of legislative Acts sheltered the industry from external competition for a long time. Moreover, the industry was considered low-priority as cars were thought of as ‗unaffordable luxury‘.
The following table presents a comparative view of the extent of motorization in India vis-à-vis certain other countries in the world. Country Passenger Cars in Use Two-Wheelers in Use
per Thousand Persons per Thousand Persons Developed Countries U.S.A United Kingdom Japan Germany Emerging Economies China Indonesia Philippines South Korea India 3 14 10 167 5 8 62 14 59 27 478 373 395 508 14 12 115 36
To study the Marketing Strategies of Hyundai & Tata. To focus on Marketing Mix of Hyundai & Tata To study the consumer satisfaction level with focus to Hyundai & Tata Milestones achieved by Hyundai & Tata Recommendations and observations regarding Hyundai & Tata .OBJECTIVES Some of the Objectives which are focused upon in this report are: A comprehensive analysis of Indian Automobile Industry.
the Accent in the C segment. . The company recorded combined sales of 215. Getz in the B+ segment. with a combined turnover of over US$ 50 Billion. Kia Motors. HMIL presently markets over 26 variants of passenger cars in six segments. Hyundai Mobis and other affiliated companies.HYUNDAI MOTORS INDIA LIMITED Hyundai Motor India Ltd. HMIL has recorded a staggering growth of 149% in exports over the year 2007. 1. The Santro in the B segment. The Hyundai Motor Group with a presence in over 185 countries and combined annual sales of over 3 million units is one of the fastest growing auto manufacturers in the world. a part of the Hyundai Motor Group comprising Hyundai Motor Company. HMIL is India's fastest growing car company having rolled-out over 700.000 cars in just over 70 months since its inception and is the largest exporter of passenger cars with exports of over Rs. Korea. the Elantra in the D segment. (HMIL) is a wholly owned subsidiary of the Hyundai Motor Company (HMC). HMIL has emerged as the second largest and the fastest growing car manufacturer in India.630 during calendar year 2006 with a growth of 43% over year 2007. the Sonata in the E segment and the Tucson and Terracan in the SUV segment.700 crores.
Apart from expansion of production capacity. It was declared ―The Star Company‖ amongst unlisted companies by Business Standard this year. HMIL has announced plans for its second plant. HMIL has many awards in its bouquet.000 in 2007. Hyundai products with state of the art technology have also been winning many accolades over the years. which will produce 150. quality and testing capabilities in the country.000 units per annum. HMIL‘s service network will be expanded to over 1. The plant will be built on a 2. HMIL is investing to expand capacity in line with its positioning as HMC‘s global export hub for compact cars. .1 million square meter site adjacent to the existing facility with an investment of $450-$500 million on its new integrated facility.HMIL‘s fully integrated state-of-the-art manufacturing plant near Chennai boasts some of the most advanced production. In continuation of its investment in providing the Indian customer global technology. Getz got the coveted ―Car of the Year 2007‖ award twice over. It was declared a winner by both Business Standard Motoring and CNBC-TV18 Autocar Auto awards. Hyundai Elantra won the CNBC-TV18 Autocar ―Best Value for Money‖ Car Award. which will be increased from 146 to 180 this year. Santro bagged top honours in JD Power Asia Pacific for three years. HMIL plans to expand its dealer network. And with the company‘s greater focus on the quality of its after-sales service.000 per annum by 2007. HMIL was also the ―Manufacturer of the Year‖ two years in a row in 2006 and 2007. ICICI Overdrive Awards declared Hyundai as the ―Car Maker of the Year‖ in 2007. raising HMIL‘s total production capacity to 400.
Accent was ranked No. 421000 Rs. 1 in J D Power Asia Pacific APEAL for two years and also got Business Standard Motoring Jury award for its CRDi model. 529000 Rs. 1399000 Rs. HMIL has also been awarded the benchmark ISO 14001 certification for its sustainable environment management practices. HMIL‘s Car Segment Classification Price (Ex Showroom in Delhi) B B+ C D E SUV Sub . 2059151 Utility Tucson Terracan .Compact Compact Mid Size Premium Luxury Sports Vehicle Santo Xing Getz Accent Elantra Sonata Rs. 853793 Rs. The following table shows the HMIL‘s cars and the various segments they belong to as in the Indian market. 278999 Rs. 1462999 Rs.
the players are likely to focus more o product development (to incorporate dvanced features in their designs) and advertisements (to set up their own positions in a consumer mind). Although its growth has been hi in past several years. the market has started witnessing the entry of new global players like Toyota. So in future. change in excise policies and intense price competition. HMIL is emerging as a major player in Indian passenger car market. Honda and GM in the Indian market.NEW MILESTONES The Indian passenger car market is a highly competitive market. Exports are also another front which is giving HMIL an intense opportunity to expand. Its products are Santro and Accent are success stories in themselves. Its parent company HMC is focusing upon HMIL as a base to integrate its production and R & D facilities across Asia Pacific. the arena of competition is most likely to be shifted to developing countries like India and that too in a highly competitive segment like B-Segment. For the first six months of this fiscal HMIL has . For that HMIL is planning to increase its present production capacity of 2. profitability has been impacted because of rising costs. With the opening of economy and relaxing norms by government. With the developed countries like USA and UK having 350 as an average no of cars per thousand persons it is very low in India (5). With the consumer attaching higher value to the features and economy in case of car buying.5 lakh cars per year to 4 lakh cars per year by 2007. pointing to further intensification of competition in future. But the buck does not stop here only.
HMIL has sold a total of 236. . In November.363 units .a growth of 16. It has changed its advertisements time and again. 2007.715 cars in the overseas market.700 crores in 2006-07. HMI sold a total of 21.14. Over the years.878 vehicles in the Calendar Year 2007 so far.725 units . Hyundai motors India limited is all set to conquer the Indian passenger car industry. overseas sales during the period stood at 88. This has contributed towards enhancing their bottom line. 2.a growth of 29%. 2007. A significant contribution in this success is of the advertisement strategy adopted by HMIL.010 vehicles in the domestic market and 7. HMIL is all set to achieve its ambitious growth of 30% in sales over last year. Now HMIL has started a new initiative under which they have started their own in house advertising agency known by the name of Innocean which will handle its all promotions.6% over the previous year.325 crores and targeting an overall export of over Rs. 1.515 .700 crores in this fiscal up from Rs. achieving a growth of 21% over the January-November sales in 2007. While domestic sales in January-November. HMIL has been focusing on effective brand building and consumer strategy.exported cars worth Rs. Thus. 1. were 148. With the new initiatives.
. Business Standard . 2006 and 2007) Hyundai Santro has topped the JD Power Asia Pacific APEAL study that measures customer satisfaction for three years in a row (Years 2006. 2007 and 2008) Hyundai Accent has topped the JD Power Asia Pacific IQS for 2007 and the APEAL study for 2006 and 2007. Business Standard Motoring Hyundai Getz is BS Motoring's 'Car of the Year' 2007 BS Motoring – BS 1000 – Company of the year 2007– Hyundai Motor India Limited Hyundai Santro is BS Motoring's 'Car of the Year' for 1999 CNBC Hyundai Getz is the CNBC Autocar Car of the Year 2007 Hyundai Elantra – Best Value for Money Car of the Year 2007 Company – Awards – CNBC Autocar India – Hyundai has been the manufacturer of the year for two years in row.―Star Company‖ Award to Hyundai Motor India JD Power Asia Pacific Hyundai Santro has topped the JD Power Asia Pacific Initial Quality Study (IQS) that measures product quality for three years in a row (Years 2007.AWARDS & RECOGNITIONS As one of the fastest growing automobile compaies in India. Hyundai has many accomplishments to its credit.
An advertising campaign starring Shah Rukh Khan and Preity Zinta was unleashed to further boost the sales and this has certainly proven to be effective. The ‗Tall Boy‘ concept was well taken by the Indian Customer. As a result of which Santro has now become a market leader in its own Segment (B-Segment) leaving earlier market leader Maruti Zen and Tata Indica. Since its inception Santro‘s sales has been achieving an annual growth rate of about 20% on an average. Repositioned from being a family car to an individual‘s first car.HYUNDAI SANTRO The Santro was launched on September 23rd 1998 in the Indian market and the company sold around 17000 units in first five months. within a short span of time the Santro has been able to capture the hearts and minds of the consumers.PRODUCT . The following table gives the ex-showroom prices of all the variants of Santro: Models Santro XK Non AC (Solid) Santro XK Non AC (Metallic) Santro XK AC (Solid) Santro XK AC (Metallic) Santro XL (Solid) Santro XL (Metallic) Santro XO (Solid) Santro XO (Metallic) Santro Xing AT (Solid) Santro Xing AT (Metallic) .
New bigger & brighter clear headlamps. Yes. After a while. including automatic transmission. First it was Santro. The Hyundai Santro is probably the first of the `bigsmall' cars that hit Indian roads. The Santro Xing comes in five versions..P‟s of Hyundai Motor India Ltd. Hyundai has come up with a vehicle that surprises with its ability to utilize space extraordinarily well. Consumers can have a feel of the color right from their homes by logging on to the website of Santro Xing. Ebony Black. Fairy Leaf. Santro Zip Drive got replaced by Santro Zip Plus. Santro Xing. and has a new sporty exterior with safety features which meet European standards. Passion Red and Bright Silver. Set between the B and C segments in terms of size and price. However. With focus to Hyundai Santro Ever since its launch in 1998 the Santro has proved to be the best compact car in India. It is clever design that gives cars this touch of practical beauty. the new avatar also looks different from its predecessor. Santro Xing comes with all new looking feel exterior and interior styling. The colours present a varied choice to consumers in picking a car that most closely defines their personality. Santro Xing is the new avatar of the Santro Zip Plus. offers the best comfort & luxury in the favourite compact car. thanks to its excellent design and extensive testing for over 100. Santro is being . Noble White. the Santro attempts to offer trim quality.000 kilometers in real Indian road and climate conditions. Satin Grey. Forest Dew. power operated rear windows with child lock and lots of other smart features like the seat under tray are the hallmarks of your Sunshine Car. The Santro Xing is available in nine colours viz. interior space and build quality on a par with the pricey sedans. this time it is not just a change in the name. smiling radiator grille. That. coupled with new advanced features. Then it got renamed as Santro Zip Drive. Husky Blue. Mystic Lavender. And then came its new ‗global' car.
consistent design theme are indicative of pronounced European-styling. aggressive profile. the Santro is a good-looking car that is also upfront about its focus on practicality. but the dimpled finish may be a bit difficult to clean and maintain in Indian conditions. when viewed from the front. European or not. The idea was to create a constant hype around Santro to give it that competitive edge and make it the truly ―sunshine car‖. a trait that could not be associated with Hyundai's first car for the Indian market — the Santro. SIMPLE INTERIORS The interiors of the Santro wear a fresh and simple look. CHIC AND CLEAN Hyundai calls the Santro a Euro-styled. with marginal excesses in design. premium hatchback. then the Santro belongs to that class. These features as well as the broad front bumper and the sharply raked windscreen make it look very sedan-like. The short. The finish quality is good and dimensional accuracy of dashboard and door panels rival those of a few C-segment cars. The soft feel plastic used for the dashboard panels adds a touch of class. The muscular shoulder flanks and the prominent. flaring wheel arches give ita wellplanted. . clear lens-type headlamp cluster dominate the car's frontal view. sloping bonnet and the single-slat grille seem to visually add some more measure to the Santro‘s already class-leading width. If simple straight lines and a practical. It‘s exterior styling gives it a sort of dual personality.produced exclusively in India and the Indian Xing will now drives the World. The large format.
The instrument cluster is housed in a simple semicircular dashboard panel and features two rounds.500 rpm and a peak torque of 11.200 rpm. the removable ashtray cup. after the dashboard tapers off. SOHC engine that develops a maximum power of 82.9PS at 5. the driver and co-passenger get loads of recessed leg space. As a result. bottle and cup holders at the front and rear. bag hook at the rear of the front passenger seat and the 60:40 split. seat side pockets. including the deep glove box. While this gives the driver even more open storage space on the flat faced top. there is a mild lag before the torque kicks in the first three gears.3-litre engine is surprisingly tolerant of lower speeds in every gear slot. four-cylinder. The centre console features a brushed aluminum slap-on panel and houses rotary type controls of the HVAC (airconditioning) system and positive type controls for the rear defogger. folding rear seats that go on to more than treble the boot storage space. you will not have to rev the engine up to a grunt to get the best out of it. coin storage on the door handles.341cc. However. Power and tilt-adjustable steering is standard. The dashboard extends more than a foot into the cabin. in-line. The cluster also features a digital clock and trip meter. The dual adjusting air-conditioner louvers look sophisticated and add to the Santro‘s up market image. chrome-lipped gauges for the rpm meter and speedometer. knocking is minimal . at the bottom.There are ample storage options. ENGINE & TRANSMISSION The Santro had been brought in with Hyundai's new 1.200 rpm. but steady rise in torque is that this powerful 1. hazard lights and fog lamps. as the Santro's engine is mapped for economy. With the peak torque kicking at a low 3.8 kgm at 3. The other side of this slightly slow.
obviating frequent shifts to a lower gear. But Unique Selling Price is .1 / 4000 Tyres Size 155/70 R 13 Radial THE SECOND „P‟ – THE PRICE Using money as a magnet to attract customers kills loyalty. So. while the Santro delivers a lively performance in city traffic. mangles margins and encourages defections.4 m 4 12 1086 Maximum (kgm@rpm) Torque 9.000 rpm. KEY TECHNICAL SPECIFICATIONS AND FEATURES Santro Xing Dimension and Weight Overall Length (mm) Overall Width (mm) Overall Height (mm) Wheelbase (mm) Min. it zips. the lull before peak torque kicks in may be only a tad bothersome on the highway. Turning Radius Engine Number of cylinders Number of valves Engine Displacement(cc) Performance Maximum (ps@rpm) Output 63@5500 3565 1525 1590 2380 4. But once you are past 3.
KPML etc to offer loans to buyers. European or American companies. slightly below the Maruti Zen (Rs. The third is the price of maintenance.2 lakh). the purchase decision of the firsttime buyer is influenced by four factors---Price. This was because they were operating on much better overhead absorption. This gave Hyundai a strong foot-hold as its production costs were lower. including Hyundai Finance which as an affiliated finance company offers complete financing packages tailored to individual requirements. The first is the price of acquisition. Competitors and analysts criticized Hyundai for predatory pricing. Hyundai ensured cost competitiveness through tie-up between Lumax (well known supplier of lighting systems) with Hyundai‘s Korean vendor Samlip.3. . Price and Price. The second is the price of finance or the rate of interest on the loan. Hyundai surprised its competitors with a under Rs. Price.undoubtedly one of the roads to success in the intensely competitive automobile business. Also.3 lakh (ex-factory) price. High indigenization stood Hyundai in good stead when it came to its entry pricing. but Hyundai maintained that the low price is a result of high indigenization level and effective ancillarisation. which includes the cost of fuel. being suppliers to other manufacturers in India. to form Lumax-Samlip Industries. Hyundai offers a comprehensive range of finance packages to suit all budgets. Ceteris Paribus. And the fourth is the price of disposal or the resale value of the car. Hyundai also has tie ups with banks like ICICI. Bank of America. service and spare parts. they already had a grasp of technology because they had partnerships with Japanese.
972 3. For instance.24. pre-delivery inspection takes place at three stages---one. Hyundai realized the difficulty to compete in the car markets and decided to go for a sharp differentiation strategy. .999 3. Similarly.59. This increases the time between services for Santro.32.972 3.975 4.55.000 kilometers. This low-cost proposition for spares offers an added advantage when a buyer compares running costs.85. In order to avoid the price game. in Hyundai.999 3.298 70% of the cost of a car over its lifetime goes in maintenance.999 3. whereas Hyundai recommends it after every 10.36.The following table gives the ex-showroom prices of all the variants of Santro: Models Santro XK Non AC (Solid) Santro XK Non AC (Metallic) Santro XK AC (Solid) Santro XK AC (Metallic) Santro XL (Solid) Santro XL (Metallic) Santro XO (Solid) Santro XO (Metallic) Santro Xing AT (Solid) Santro Xing AT (Metallic) Ex-Showroom Price (in Rs.324 4. the engine oil.973 3. after the car rolls off the assembly line.000 kilometers.) 2.78.81. at the dealer‘s premises before it is handed over to the customers. Accordingly.999 2. Maruti recommends services after every 5.82. filter assembly for the Santro is priced lower than that for the Maruti Zen. the next when it is loaded into the auto compound and finally.24.
It found that dealers were inconveniently located. . HMIL has established a start-up network of 70 dealer workshops (now close to 150). body and paint shops. one reason being the fact that. To this end. Hyundai opted against the drop in prices. equipped with the latest technology machines and international quality press. that provide a Hyundai customer a one-stop shop for meeting all needs. THE THIRD „P‟ – THE PLACE Hyundai has spent time studying dealer networks.it decided to reinforce the individualistic positioning of the brand and tried to match the customer‘s perception that the car is a commodity using other differentiators. The emphasis is on a dealer-customer relationship where each customer is given time. buyers are shopping for brand associations and customers are unlikely to let their decisions be swayed by savings of a few thousands. So the Hyundai outlook towards dealership is compact dealership instead of a mammoth network. across the country. thus reducing absenteeism and promoting immediate decisions. The company insists on a one-to-one relationship to build a long lasting association. their behavior towards customers left much to be desired. and there was a lack of transparency in dealer operations. These dealer workshops include company owned outlets called ‗Hyundai Motor Plaza‘. the company insists on ownership and operation of dealerships resting on one person.
the car‘s parts are available within 24 hours.600-1. This does not mean that Santro‘s spares come late.feet. it seems to me you should use their language.feet. roadside services with tow away facilities. On the contrary. or buy something.David Ogilvy Strapped with the tagline ‗Smarter people drive Santro‘ Hyundai Santro hit the Indian roads nearly a decade back.In place of large showrooms and workshops. the language in which they think. Hyundai decided that the workshop should be ideally 10.5 crores for the rest. Dealers who already had land would have to invest Rs. The dealer network is established with the objectives of providing the customer the very best through a 24 hour hotline system. round the clock workshop services. round the clock helpline services. which could be worked in three shifts and the showrooms it preferred were 1. Effective advertising can add immense value to . . etc. With this infrastructure dealers can handle 200-250 cars a month.1. Hyundai‘s dealers are given limited stock.800 sq.000 sq. The company has also cut expenses of its dealers by keeping inventories low. Hyundai Santro being a much admired lifestyle brand was launched in nine colors with a colorful and jazzy advertising campaign developed by its advertising agency Saatchi and Saatchi. THE FOURTH „P‟ – THE PROMOTION If you're trying to persuade people to do something. which gives them adequate time to establish rapport with customers. Hyundai set aside as high as Rs 5 crore for advertising and promotions each month.
where the typical customer is far more informed and aware of the product behind the brand. employing a different tag-line and promotional approach each time. With the run away success of the Santro. Hyundai Santro has come a long way from its original Santro version to Santro zip drive moving on to Santro zip plus and now to the newer and refreshed Santro Xing. even in the small car segment. . Hyundai Motor India Ltd (HMIL) realized Indian consumers' penchant for unique designs soon after their entry into India.brands. HMIL was right with its promotion strategy and came up with a winning campaign.
Jamshed ji was a unique personality. The former should be the base of the latter. He breathed his last in 1904 in Germany. world class learning institution and a hydroelectric plant. With this he set up a cotton mill in Nagpur in 1874. Unfortunately during his time none bore fruit but he had planted the seed.21. Those were turbulent times. Jamshed ji graduated in 1858 and joined his father trading firm. Destiny called him to Bmbay where he started trading. He came to the conclusion that economic self-sufficiency should go hand with political independence. His parents were Nuseerwan ji and Jeevanbai Tata.000/.his first step was to acquire a bankrupt oil mill and convert it into a cotton mill which he renamed Alexander Mill. Jamshed ji was in close contact with revolutionary thinkers and nationalists like Dadabhai Naoroji and Pherozeshah Mehta and strongly influenced by them. Jamshed ji joined him at the tender age of fourteen. Jamshed ji had three key ideas in mind. He took admission in Elphinstone college and while still a student he married Hirabai Daboo. queen Victoria had just been declared the Empress and in keeping with the times Jamshed ji named it Empress mill. It was not just his own personal success but also of those who worked for him and his group. Two years later he sold it with a good margin of profit. He wanted to set up an iron and steel company.INTRODUCTION OF TATA GROUP The story of Tata group of business unfolds with the birth of its founder Jamshed ji Tata in the small town of Navasari in Gujarat in 1839. Nuseerwan ji was the first businessman in a family of parsi Zorastrian priests. The British had just managed to ruthlessly crush the 1857 Revolt. which later took roots . Since the age of twenty-nine Jamshed ji continued to work in his father‘s firm. In 1868 he started a trading company on his own with a capital of Rs.
In 1917 the Tata group made its debut .229 million or $ 21. The statistics and figures of Tata group speak for themselves. Its operations covers many fields related to industry and allied activities concerned with knowhow and its application materials. telecommunications. energy. In those days the locals.8% of India‘s GDP. software.and spread its branches under the care of his successors. In 1910 was set up Tata HydroElectric power Supply Company. This is mainly because it is assisted by group member concern that deals with the supply of raw material like coal and iron.00. The charitable trust of Tata of holds 65.R.6 billion. automotive. Tata in 1991.000 employees in the tat group as per records of 2004. Tata group is a private conglomerate with headquarters at Mumbai.8% of the ownership of Tata group TISCO now called Tata steel set up in 1907 India‘s first iron and steel plant in Jamshedpur. that is Indians.D. Tata operates in more than forty countries across six continents. information chemicals technology. The only achievement that he lived to see was the taj mahal hotel . communications.000/. Its revenue touches $967. This is equal to 2. It produce steel at the lowest cost in the word. steel and consumer goods. It exports products and services to one hundred and forty nations. Production actually started in 1912. The present chairman is Ratan Tata who took over from J. There are about 246. taj mahal hotel was a befitting reply to this discrimination.in this too he was inspired by nationalist thinking. There are ninety-six companies operating in seven business sectors. engineering. A member of the Tata family is always the chairman of the group. 21. Market capitalization figure is $57.4. whish is often called Tatanagar. A only twenty-eight of the ninety-six in Tata group are publicly listed.it was completed in December 1903 for a princely amount of Rs. were not allowed into the best European hotel .9 billion in 2005/06. hotels.
detergents and cooking oil. Tata offers management. Tata steel made a successfyl bid for UK based corus group. 1932 saw the establishment of Tata airlines. In the area of education Tata‘s publishing house of Tata McGraw Hill is a renowned name. Tata Power is one of the largest private sector companies in India and supplies power to Mumbai and parts of New Delhi. Tata Energy Research Institute and Air India (Tata Airlines) owe their origins to the name of Tata.04 billlion. Other educational institutes are Tata Institute of Science now Indian Institute of Science. Tata Institute of Social Sciences. watches (Titan) . Many renowned public sector companies and research organizations like Indian Institute of Science. Tata Institute of Fundamental Research. Bangalore. which was one of the world‘s leading steel and aluminum producers. economic and finanacial consultancy services. Pune. economic and financial consultancy services. Tata is one of the best names in the world of investments and shares. The name of Tata is linked to consumer durables like tea. It has turned out to be the biggest acquisition by any Indian Company. Tata offers management. Tata Management Training center.in the field of consumer goods industry with the setting up of Tata oil mill dealing in soaps. In the service sector there are Tata Companies dealing with hotels. Tata Institute of Fundamental Research ―Deemed University. general insurance and life insurance. Then there are Tata Chemicals and Tata Pigments. Tata offered to buy 100% stake in Corus at 608p per share (all cash) totaling to a value of $12. After an unprecedented nine rounds of bidding Tata finally clinched the deal. January 2007 is a watershed in the history of Tata group. Telco now known as Tata Motors started to manufacture locomotive and engineering products from 1945. Tata Institute of Social Science‖ deemed University and National Centre for the Performing Arts. Tata chemicals made its appearance I 1939.
Tata acquired VSNL. excellence. Tatanet etc. understanding. The entire family known as the Tata Group shares these values. The aim of Tata Group to improve the quality of life in the society by virtue of integrity. TCS and Tata Elxsi.Tata Trent (Westside) to Tata skyand even gold and diamonds like Tanishq brand of jewellery. Tata Technologies Ltd. The blue colored log of Tata speaks for fluidity as well as fountain of knowledge. Tata Teleservices. unity and responsibility. Nelco. the Indian telecom giant from Bermuda bassed Canadian company named Teleglobe in 2005. There are software companies Tata Interactive Systems. Nelito Systems. In can also be seen as a tree under which all are welcome to take refuge. . In Information systems and communications the Tata name comes with Computational & Research Laboratories. science and technology has been widely documented and respected. Tata‘s contribution to India‘s education. INCAT. Tata Infotech.
. A number of foreign firms initiated joint venture with Indian companies. After 1970 the automotive industry started to grow but the growth was mainly driven by tractors.INDUSTRY PROFILE An embryonic automotive Industry emerged in India in the 1940 following the independence in 1953 the government of India and the private sector launched efforts to create an automotive component manufacturing industry to supply to the automobile industry. commercial vehicles and scooters. The last few years huga amount of investment have been made in automobile industry. Mahindra and Mahindra. Most of LCV manufacturers in the country are emphasizing on better research and development activities and efforts are being given to provide efficient after sales services to customers. With more global players getting interested in Indian automobile Industry. Ashok Leyland. The LCVs produced by these companies are not only sold in India but are also exported to various foreign markets as well. However the growth was relatively slow in the 1950s to 1960s due to nationalization and the license raj which hampered the Indian private sector. these investments are supposed to increase even more in the near future. cars were still a major lixury Japanese manufacturer‘s enterd the Indian market ultimately leading to the stablishment of maruti udyog. Swaraj Mazda and Eicher are manufacturing high performance delivering LCVs. In 1980s a number of Japanese manufacturers launched joint venture for building motorcycles and light commercial vehicles automobile company like TATA MOTORS.
Low priced and attractively designed. it has got 4 cylinder diesel power engines. However the recently Tata Ace has brought about dramatic change in the Indian LCV market.Some of the popular offerings in the field of light commercial vehicle from the TATA MOTORS stable are 407 and 709 of which the former has made a distinct mark in the category of Indian LCVs. The Tata Ace has been hugely popular and recorded significant production itself. Ashok Leyland is another major player with product like cargo 759 tipper to boast of with a wheel base of 3200 mm and 5 speed synchromesh gearbox. sales in the first year of .
Materials. These values which have been part of the Group‘s belief and conviction from its earliest days. Unity and Responsibility. 2008. The Group was founded by Jamsed Ji Tata in the mid 19th century. continue to guide and drive the business decisions of TATA Companies.56 billion as on April 3. Engineering. TATA Consultancy Services. This approach remains enshrined in the Group‘s ethos to this day. Excellence.8 billion (Rs. a period when India had just set out on the road to gaining independence from British rule. Energy Consumer Products and Chemicals. six continents and its companies export products and services to 85 countries. Consequently Jamsed Ji Tata and those who followed him aligned business opportunities with the objective of nation building. The TATA Family of companies shares a set of Five Core Values: Integrity. The Group and its enterprises have been steadfast and distinctive in their adherence to business ethics and their commitment to corporate social .500 People. and a shareholder base of over 2. TATA Companies together employ some 289. with revenues in 2006-07 of $ 28.COMPANY PROFILE The TATA Group comprises 98 operating companies in seven business sector: Information systems and communication. TATA Motors and TATA Tea have a combined market capitalization that is the highest among Indian business houses in the private sector. Services.9 million. Understanding. The group‘s 27 publicly listed enterprises among them stand out names such as TATA steel.994 crore) the equivalent of $ 60. The TATA Group is one of the India‘s largest and most respected business conglomerate. 129. The TATA Group has operations in more than 80 Countries.
in many other details were adopt and adapt at a frenetic pace. Although an ideal township where nature is in perfect harmony with steel manufacturing. All these and many other details were discussed at the closed-door. organized by Dubai-based Naseba at the Hotel Le Meridien in Mumbai on 15 and 16 September 2009.responsibility. With rapid economic growth and increased globalization over the last decade the importance of the finance professional has grown manifold and for the top finance professional in an organization. organized by Dubai-based Naseba at the Hotel Le Meridien in Mumbai on 15 and 16 September 2009. the chief financial officer who goes by the humbler acronym of CFO. ORGANISATION STRUCTURE When companies announce their annual reports or bask in the glow of successful deals. All these and many other details were discussed at the closed-door two day CFO Strategies India 2009 Summit. a lot of the groundwork for a successful venture is done by another important functionary in the corporate machinery. the CFO. Also. However. it is often the CEOs who take centre stage. a small operation with only 4 million tonnes annual capacity. This is a legacy that has earned the Group the trust of many millions of shareholders in a measure few business houses anywhere in the world can match. it was admittedly. . the changing dynamics of international business have caused him to adopt and adapt at a frenetic pace.two-day CFO Strategies India 2009 summit. even though Tata Steel had a lea`ership position in finished goods like automobiles and white goods.
Shri Jamshed Ji Nusserwan ji Tata. Although an ideal township where nature is in perfect harmony with steel manufacturing it was admittedly. Tata Steel. Of course.On the first day Kaushik Chatterjee group CFO. Of particular interest were his views on the Corus acquisition of 2007 that had occupied the pages of pink sheets worldwide. something quite alien to the house of Tata then. topping off with the $12. Chatterjee said that the consultancy had been quite vocal on the group‘s needs to be internationally competitive. treated the delegates to an enlightening session. The meteoric growth strategy for Tata Steel in particular and how it grew to become the sixthlargest steel producer in the world. all on the strength of mergers and acquisitions. he didn‘t forget to mention that his company continues to be the ―Lowest-cost steel producer in the world‖ as well.11-billion takeover of Corus last year. In his 30-minute presentation ―M&A-growth strategy for value creation‖. He called the 10 years from 1992 onwards as the ―decade of transformation. Also even though Tata Steel had a leadership position in finished goods like automobiles and white goods in many . As of 2003 Tata Steel was essentially a one-site company centred in the pristine locales of Jamshedpur-aptly named after the great man who envisioned the place. either domestic or international.‖ Elaborating on the Arthur D Little recommendations for the group in the early 90s. a small operation with only 4 million tones annual capacity. Chatterjee spoke in detail on the growth of the Tata Group in general and Tata Steel in particular. Chatterjee candidly admitted that the earlier growth of the Tata Group had been largely organic as previous political regimes had not been very conducive to growth by acquisition. However the sleep growth curve that had started in 2000 with Tata Tea‘s acquisition of Tetley grew even steeper and faster with one acquisition after another by different group companies.
Tata Nano has been unveiled in the 9th annual New Delhi Auto Expo today. to be instrumental in people‘s dream to shift from a two wheeler to a four wheeler. Nano has 21% more interior space with 8 % less . Indeed many of the company‘s recent investments bear ample World‘s cheapest car. Nano is a supermini car which has some advantages over its competitor Maruti 800. With lots of hypes and expectations.8 million tones in 2008 (on schedule) and 6.other aspects it lagged behind its competitors. More importantly as regards a foreign presence there was none Chatterjee spoke of how the senior management got together at this point of time to envision an aspirational target for the company as well as brainstorm on how to achieve it. Reason behind these ambitious numbers Chatterjee explained that such an ambitious target wa born out of the management‘s confidence in a vibrant world economy with special emphasis on engines of growth like India. Russia. which brought out a revolution in the Indian car industry about two decades ago. which many think. Of course the company‘s jewel in the crown Jamshedpur was to be very much a part of the action. China. Tata Motors has dubbed it as ‗People‘s Car‘.8 to 10 million tones in 2010 (expected). indicating its involvement to the people of root level. From these high-level discussions emerged a target-15 million tones annual capacity by 2015 subsequently revised to 50 million tones – a ten-foldplus increase in just ten-plus years. South-East Asia and Brazil. this fourdoor car was made public in a festive mode. Lots of public interests created for this much-awaited Rs one lakh car. Target capacity was set at 10 million tones by 2010 with gradual increments over the years: 4 to 5 million tones in 2005 (already achieved) 5 to 6.
the price is deemed to give the biggest market advantage to Nano compared to other automakers in India‘s price sensitive market. industry analysts are thinking that the market of two wheelers will be affected with the advent of Nano. CALCUTTA HC TERMS SINGUR LAND ACQUISITION LEGAL. ABOUT “TATA NANO” THE NANO CHASE : • MARCH 2003: RATAN TATA REVEALED PLANS TO MAKE WORLD‘S CHEAPEST CAR AT GENEVA MOTOR SHOW. It is expected to lessen the difference in price level between two wheelers and four wheelers. Industry analyst Deepak Jain has said in an interview that about 10% of twowheeler market will be taken away by Nano. Tata Nano is going to create new market segment in Indian market.in its exterior from Maruti 800. So. . • MAY 2007:PEACE TALKS BETWEEN STATE & TC FAILS. • MAY 2006 : PREVIOUS SITE FOR NANO PLANT:-SINGUR. a backward area of Hoogly district in West Bengal. • OCT 2006 : POLITICAL OPPOSITION BY TRINAMOOL CONGRESS. Actually. Tata Motors has already selected a place for the manufacturing plant of Nano in Singur. Moreover. • JAN 2008: RATAN TATA UNVEILS NANO AT DELHI AUTO EXPO . ONE MORE FARMER COMMITS SUICIDE. • MAY 2008: SUPREME COURT REFUSES TO STAY NANO ROLL-OUT FROM SINGUR.
INSPIRED BY THE NUMBER OF INDIAN FAMILIES WITH TWOWHEELED RATHER THAN FOUR-WHEELED TRANSPORT. UNDER THE CHAIRMAN OF TATA MOTORS. TATA HAS REFINED THE MANUFACTURING PROCESS.THE CHAIRMAN IS REPORTED TO HAVE SAID. THE TIMES OF INDIA REPORTED THE VEHICLE IS "A PROPERLY DESIGNED AND BUILT CAR". • CONTRARY TO SPECULATION THAT THE CAR MIGHT BE A SIMPE FOUR-WHEELED AUTO RICKSHAW. AFTER ASSAULT FACTORY WORKER STAY AWAY FROM WORK. "IT IS NOT A CAR WITH PLASTIC CURTAINS OR NO ROOF — IT'S A REAL CAR. RATAN TATA. • OCT 2008: TATA READY TO PULL OUT OF THE NANO PLANT FROM SINGUR AND DECLARES SANAND(GUJRAT) AS THE NEW MANUFACTURING LOCATION. • 23RD MAR 2009: NANO LAUNCHED. • MAR 2009: UNVEILS THE EUROPEAN VERSION OF NANO AT GENEVA MOTOR SHOW.• AUG 2008 : RATAN TATA THREATENS TO EXIT SINGUR. CONCEPT AND DESIGN: • THE PROJECT TO CREATE THE WORLD'S CHEAPEST PRODUCTION CAR BEGAN IN 2003. EMPHASIZED INNOVATION AND SOUGHT NEW DESIGN APPROACHES . THE NANO'S DEVELOPMENT HAS BEEN TEMPERED BY THE COMPANY'S SUCCESS IN PRODUCING THE LOW COST 4 WHEELED ACE TRUCK IN MAY 2005." • TO ACHIEVE ITS DESIGN GOALS.
RATHER THAN WELDED • IT HAS NO POWER STEERING • IT'S DOOR OPENING LEVER IS MUCH SIMPLER PRICE: • TATA INITIALLY TARGETED THE VEHICLE AS "THE LEAST EXPENSIVE PRODUCTION CAR IN THE WORLD"— AIMING FOR A STARTING PRICE OF 100. THE MARUTI 800. • THE NANO HAS 21% MORE INTERIOR SPACE AND AN 8% SMALLER EXTERIOR COMPARED TO ITS CLOSEST RIVAL. COST SAVING METHODS: • THE NANO'S BOOT DOES NOT OPEN. BUT NO POWER STEERING. SUCH AS THE ELIMINATION OF ONE OF TWO WINDSCREEN WIPERS.000 UNITS PER YEAR. INSTEAD THE REAR SEATS CAN BE FOLDED DOWN TO ACCESS THE BOOT SPACE.000 RUPEES OR . THE DELUXE VERSION WILL HAVE AIR CONDITIONING.FROM SUPPLIERS. THE CAR WILL COME IN DIFFERENT VERSIONS. THE INITIAL PRODUCTION TARGET SET BY TATA MOTORS IS 250. • IT HAS A SINGLE WINDSCREEN WIPER INSTEAD OF 2 • SOME EXTERIOR PARTS OF IT ARE GLUED TOGETHER. THE CAR WAS DESIGNED AT ITALY'S INSTITUTE OF DEVELOPMENT IN AUTOMOTIVE ENGINEERING — WITH RATAN TATA REQUESTING CERTAIN CHANGES. INCLUDING ONE STANDARD AND TWO DELUXE MODELS.
2009) 6 YEARS AGO. OR • PARTIALLY USING INEXPENSIVE POLYMERS OF A OR FULL BIODEGRADABLE METAL-BODY. OR • USING VERTICAL-INTEGRATION TO ARTIFICIALLY BOOST PROFITS ON CARS AT THE EXPENSE OF THEIR MATERIALS INDUSTRIES. • AS OF AUGUST 2008. OR PLASTICS INSTEAD • RAISING THE PRICE OF THE CAR • SUBSEQUENTLY HOWEVER MATERIAL PRICES DROPPED DRAMATICALLY AS A RESULT OF THE FINANCIAL CRISIS OF 2007–2009. . MATERIAL COSTS HAD RISEN FROM 13% TO 23% OVER THE CAR‘S DEVELOPMENT. OR • FORGOING PROFIT ON THE CAR.APPROXIMATELY US$2000 (USING EXCHANGE RATE AS OF MARCH 22. COMPARISON: • OVERALL LENGTH 3099 MM • OVERALL WIDTH 1495 MM (& 1620 MM WITH ORVM) • OVERALL HEIGHT 1652 MM • WHEELBASE 2230 MM • GROUND CLEARANCE 180 MM MIN. DESPITE RAPIDLY RISING MATERIAL PRICES AT THE TIME.AND TATA FACED THE CHOICE OF: • INTRODUCING THE CAR WITH AN ARTIFICIALLY LOW PRICE THROUGH GOVERNMENT SUBSIDIES AND TAXBREAKS.
66 secs 105kph 600kg 15 litre 1. .petrol.5bhp@52520rpm 0-60kph in 8.56 16.• TURNING CIRCLE RADIUS 4 M SEATING CAPACITY 4 PERSONS • • • • FUEL TANK CAPACITY 15 LITERS NANO:600 KG NANO CX:615 KG NANO LX:635 KG COMPARSION BETWEEN TATA NANO AND MARUTI 800 Specification Engine Tata nano Hyundai Santro inline three 623cc petrol parallel 1196cc twin.85 23.56-4.34-1.1secs 150kph 965kg 35 litre 3.4 kpl 42bhp@5800rpm 0-60kph:7. Max power Performance Top speed Weight Fuel capacity Price(lakh) Mileage 34.5 kpl .
and strategy of investigation conceived as to obtain answers to research questions and to control variance. It is an important tool to study buyer‘s behavior. Sampling Techniques The next step in research study after collecting data is the sampling process. Therefore. ―Research Design is a plan. According to Kerlinger. The project was based on the survey plan. and focus market changes. brand loyalty.RESEARCH METHODOLOGY Research methodology is considered as the nerve of the project. consumption pattern. A research design specifies the methods and procedures for conducting a particular study. a number of factors . it is the key to the evolution of successful marketing strategies and programmers. it is impossible to complete the project and reach to any conclusion. Without a proper well-organized research plan. which work as a base for drawing conclusion and getting result. When a decision is made to use the sample. The main objective of survey was to collect appropriate data. research methodology is the way to systematically solve the research problem. Research methodology not only talks of the methods but also logic behind the methods 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 Research design: Research design is important primarily because of the increased complexity in the market as well as marketing approaches available to the researchers. In fact. conceptual structure.
the population is stratified into number of non-overlapping sub populations or strata and sample items are selected from each stratum. Determining sample frame. The various steps involved in the sampling process are: Identifying target population. There are two types of sampling techniques: Probability sampling Non-probability sampling Stratified Sampling If the population from which a sample is to be drawn does not constitute a homogenous group. The stratified sampling results in a more . In this technique. Generating information for decision making. the entire procedure. Execute sampling Obtaining information from respondents. The target population in this study was the STUDENTS & EMPLOYEES. Determine sample size.must be taken into consideration. The sampling technique had to be selected. If the items selected from each stratum is based on simple random sampling. first stratification and then simple random sampling is known as stratified sampling. Selecting sampling procedure. then stratified sampling technique is applied so as to obtain a representative sample.
we have to plan the following four important aspects. . Pie chart and Bar chart Questionnaires: This is the most popular tool for the data collection. we have to identify and select which type of data is to research. Questionnaires 2. Sampling Research Instrument Secondary Data . Data analysis and interpretation 1.reliable and detailed information. A questionnaire contains question that the researcher wishes to ask his respondents which is always guided by the objective of the survey. This diagram consists of a circle of divided into a number of sectors. Primary data: For primary data collection. One of the important tools for conducting market research is the availability of necessary and useful data. which are divided into a number of categories. The researcher uses simple random sampling for selection of items from each stratum. Pie chart: This is very useful diagram to represent data. At this stage. which are proportional to the values they represent.The Company‘s profile. we have to organize a field survey to collect the data. journals and various literature studies are important sources of secondary data. Data collection methods: After the research problem.
As the name implies. . The diagram bar chart can make comparison among the various components or between a part and a whole of data. it consist of a number of whispered bar. Bar chart: This is another way of representing data graphically. The sample of the questionnaires is attached with the report itself.The total value is represented by the full create. which originate from a common base line and are equal widths. The lengths of the bards are proportional to the value they represent. Preparation of report: The report was based on the analysis and presented with the findings and suggestions.
SWOT ANALYSIS Strengths Brand Name Large Distribution Network Wide product offering at different price points Cheapest Cars in corresponding segments Encouraging exports Awarded many awards Economy with technology Weakness Lack of in house R & D New model introduction limited to only cosmetic changes Dominance mainly at lower level only (Santro) Opportunity Rise of Indian middle class and small cities A booming economy Rising exports Threats Many players fighting for the same cake Entry of new players Cannibalism .
DATA ANALYSIS & INTERPRETATION .
DO YOU HAVE A CAR? Car Users Yes No No. of Users 100 80 60 40 40 60 20 0 Yes No Analysis It is clear from the above diagram that most of the people do not have cars.Q 1. of Respondents 40 60 Users of the Car 140 120 No. .
SPECIFY THE ONE? Car Category Hyundai Tata Nano Others No.Q 2. of Respondents 50 30 20 .
Analysis Others Hyundai Tata Nano It is clear from the above diagram that the Hyundai have grabbed the major market share among the Car segment automobile market. .
WHO MOTIVATE YOU TO BUY THE CAR? Factors Your Family Society Status Life Style No. of Respondents 10 20 35 35 .Q 3.
car 10 35 20 family society status life style 35 Analysis Most of the people as it is clear from the above diagram motivated by the life style. . peer group and status factors to buy the car.
of Respondents 20 20 20 40 . WHAT ARE THE FEATURES YOU LOOK FOR YOUR CARS? Product Features Fuel Efficiency Style Comfort Price No.Q 4.
car 20 40 20 fuel style comfort price 20 Analysis It is clear from the diagram that mostly customers are looking fuel efficiency. . price and comfort in his selection.
Q 5. discount and schemes motivate the people to buy the Cars. . of Respondents 25 20 45 10 car 10 25 reliable schemes discount any other 45 20 Analysis From the above diagram it is clear that the price factor such as reliable. WHAT ARE THE PRICE FACTORS. WHICH MOTIVATE YOU TO BUY THE CARS? Factors Reliable Schemes Discount Any Other No.
How much you are affected by the promotional efforts of the company? Promotional Efforts High Moderate Low No Effect No. of Respondents 40 20 30 10 car 10 40 High 30 Moderate Low No Effect 20 Analysis From the above the diagram it is clear that most of the buyer purchase decision is highly affected by the promotional effort of the company.Q 6. .
out of 100. out of 100 respondents 36% of the people agree with sufficient & genuine spares. . In the samples taken out of 100 respondents 46% of the people says on road break down service is fair.FINDINGS According to my survey. responds 31% of the people says neither agree nor disagree about overall service provided by Hyundai & Tata Motors Out of 100 respondents 32% of the people moderate about tools & techniques From the source of field survey. According to my survey 60% of the people says labor charge is very high in the Hyundai & Tata Motors as compared to roadside or any other Authorized service centre. 45% of the respondents are disagreeing with the delivery of vehicle timings.
Majority of the customer‘s wants to kept open service station on Sunday‘s.SUGGESTIONS Management should make availability of sufficient tools and techniques and genuine spare parts. so management should try to provide service‘s on Sunday‘s also . Management should maintain delivery timings and on road break down service‘s as they promised to their customers. Management should try to reduce labor charge and service charges as much as possible.
on September 23rd 1998 the company launched Hyundai santro in the Indian market. the company has given them what they want. But the company also lies behind in some fields like few respondents were not happy when after a sales service is taken into account. Thus. In this project questionnaire was prepared to know the consumer satisfaction level of respondents and the conclusion is based on the same. success could well hinge on the best of bundle of services that a carmaker can provide.CONCLUSION This project was conducted on marketing strategies of Hyundai motor India ltd. From findings and analysis we can conclude that the consumers are very much satisfied from their Hyundai santro. that is the company has already created their emotional bindings with their consumers. and according to respondents. Few years ago. . The company has already created their market share till now and can be distincted from other brands. As Hyundai santro is a middle segment car so its main focus is to give more fuel efficiency. ―Success will largely be determined to the extent a company can differentiate itself in terms of intangibles that go with a car‖. For them Hyundai santro is not just a car but for them it‘s a family car. The company was new in the market but still the company sold around 17000 units in first five months. & Tata Motors with focus on Hyundai Santro & Tata Nano. that is most of the respondents are satisfied from fuel efficiency of the car.
tata.BIBLIOGRAPHY Marketing Management by Phillip Kotler Brand positioning by Subroto sengupta Positioning: The Battle for your mind by Al Ries & Jack Trout Newspapers.in www.com www.co.google. Journals & Magazines Business World The Economist Economic Times Autocar India Websites www.com .com www.autoworld.hyundai.
WHO MOTIVATE YOU TO BUY THE CAR? Factors Your Family Society Status Life Style No. of Respondents 10 20 35 35 . of Respondents 40 Q 3. of Respondents 50 30 20 60 No. SPECIFY THE ONE? Car Category Hyundai Tata Nano Others No.QUESTIONNAIRE Q 1. DO YOU HAVE A CAR? Car Users Yes No Q 2.
of Respondents Product Features Fuel Efficiency Style Comfort Price 20 20 20 40 Q 5. WHAT ARE THE FEATURES YOU LOOK FOR YOUR CARS? No. How much you are affected by the promotional efforts of the company? Promotional Efforts High Moderate Low No Effect No. of Respondents 40 20 30 10 . of Respondents 25 20 45 10 Q 6. What are the price factors.Q 4. which motivate you to buy the Cars? Factors Reliable Schemes Discount Any Other No.