Post on 15-Oct-2014
A “Dissertation Report”
ON
Buying preference of customers and customer satisfaction regarding selected A2 segment cars (Maruti Alto,Maruti Zen, Maruti Wagon-R, Hyundai Santro, Tata Indica) with regard to price, fuel efficiency, power, engine displacement and top speed in case of customers in the age group 30-40 years”
(A Case Study of Kurukshetra)
Submitted to:Kurukshetra University, Kurukshetra in partial fulfillment
for the degree of Master of Business Administration (Session 2005-2007)
Under the supervision of:- Submitted By:- Dr.Vikas Daryal Gagandeep SinghAssistant Professor Roll No. 1105/05H.O.D.(M.B.A.) Regn.No. 2K-SETK-448
TIMT University roll no. MBA-final.
Tilak Raj Chadha Institute of Management & Technology, (Approved by AICTE and Affiliated to Kurukshetra University, Kurukshetra ) Yamuna Nagar-135001
ACKNOWLEDGEMENT
There is always a sense of gratitude which one expresses for others
for their help & supervision in achieving the goals. I too express my
deep gratitude to each & everyone who has been helpful in
completing the dissertation report successfully.
I express my sincere gratitude to Dr. Vikas Daryal (Assistant
Professor, HOD-MBA, TIMT) without whose guidance, keen interest
and regular encouragement my project would not have been
compiled. I would also like to grab the opportunity to thank Dr. R.K.
Garg (Director) for his helping hand in the compilation of the report.
Last but not the least I would like to thank my parents for their
support.
Gagandeep Singh
EXECUTIVE SUMMARY
This project is about the buying preference of customers and
customer satisfaction regarding selected A2 segment cars(Maruti
Alto,Maruti Zen, Maruti Wagon-R, Hyundai Santro, Tata Indica) with
regard to price, fuel efficiency, power, engine displacement and top
speed in case of customers in the age group 30-40 years in
Kurukshetra.
The report starts with the introduction, which includes the profile of
study and the significance of study. Profile of the study includes the
company profile and the profile of the selected A2 segment cars
(Maruti Alto, Maruti Zen, Maruti Wagon-R, Hyundai Santro,Tata
Indica).It also includes brief description about the customer
satisfaction and customer expectations.
After introduction, come the objectives of study and literature review.
Literature review includes the literature reviewed while doing this
project. Next there comes research methodology which includes
sampling and sampling design, analytical tools used, data collection,
hypothesis study and the limitations of study. Data collection includes
the sources of data collection. Limitations of study include the
limitations faced while doing this project. In the last there come
results and findings followed by recommendations, bibliography and
annexure.
CONTENTS
Serial No. Page No.
1. Introduction
a) Profile of study
b) Significance of study
2. Objective of the study
3. Literature Review
4. Research Methodology
a. Sampling & Sample Design
b. Analytical Tools
c. Data Collection
d. Hypothesis Study
e. Limitations of the study
5. Result & Discussions/Findings
6. Recommendations
7. Bibliography
8. Annexure
PROFILE OF STUDY
In this competitive environment, no cars manufacturing company can
even survive in this fast changing market place without knowing its
products strengths and weaknesses. It has to fortify itself against
threats from environment and exploit its strengths or increase profits.
And in order to do so, the company has to conduct regular surveys to
know the customer’s opinions, needs and preferences. This helps the
company to manufacture the product likewise for each customer’s
expectations.
This project is about the buying preference of customers and
customer satisfaction regarding selected A2 segment cars(Maruti
Alto,Maruti Zen, Maruti Wagon-R, Hyundai Santro, Tata Indica) with
regard to price, fuel efficiency, power, engine displacement and top
speed in case of customers in the age group 30-40 years in
Kurukshetra.
Car Segments as per SIAM
SIAM (Society of Automotive Manufactures), in April 2002, introduced
the following length based classification of cars:
•Segment A1 (mini) – cars having a length of up to 3,400mm
•Segment A2 (compact) – cars having a length of 3,401-4,000mm
•Segment A3 (mid-size) – cars having a length of 4,001-4,500mm
•Segment A4 (executive) – cars having a length of 4,501-4,700mm
•Segment A5 (premium) – cars having a length of 4,701-5,000mm
•Segment A6 (Luxury) – cars having a length of more than 5,000mm
In A2 segment, car industry in India is mainly dominated by three
major players:
MARUTI SUZUKI
HYUNDAI
TATA MOTORS
Besides these there are others players like HINDUSTAN MOTORS.
MARUTI ALTO
FEATURES
SAFETY
Side impact door beams Rear door child safety lock Clear lens headlamps Rear caps Collapsible steering column High rigid monocoque frame made of high tensile steel Front & rear seat belts Booster assisted brakes Rear seat head restraints
MILEAGE
Most fuel efficient car in A2 segment (Petrol) 4-valves-per-cylinder MPFI engine 32-bit computer technology 47bhp & 796cc engine 5 speed transmission Low cost of ownership Low friction engine
COMFORT
Super cool A.C. Electronic power steering Convenient cup holders Excellent services backup
PRICE
Variant Non Metallic Price Metallic Price Alto Std
234328 237714
Alto Lx 267845
271231
Alto XFUN Lx--
279231
Alto Lxi 286381
289767
Alto XFUN Lxi--
297759
SPECIFATIONS
WEIGHT
Kerb weight ALTO 720 kg ALTO LX/ALTO LXi 735 kg
Gross vehicle weight 1165 kg
SUSPENSION SYSTEM
Front McPherson Strut with torsion type roll control device
Rear Coil spring gas filled shock absorbers with three link rigid axle and isolated trailing arms
ENGINE
Swept volume 796cc
Engine type FC engine, 4 valves Per cylinder
No. of cylinders 3
Engine control 32 bit computer
Maximum power 47 ps @ 6200 rpm
Maximum torque 62 Nm @ 3000 rpm
Transmission 5 speed, all synchromesh, manual
SEATING
Capacity 5 persons
TYRES
Tyre size 145 / 80 R12
DIMENSIONS
Overall length 3495 mm
Overall width 1475 mm
Overall height 1460 mm
Wheelbase 2360 mm
Tread Front 1295 mm
Rear 1290 mm
Minimum turning 4.6 m radius
Ground clearance 160 mm
VARIENTS
EXTERIOR Alto Alto LX Alto LXiFront Bumper √ √ √Dynamic Front Grill √ √ √S mark √ √ √INTERIORFabric seats √ √Moulded carpet √ √ √Luggagecompartment carpet
√ √ √
Moulded door trims √ √ √Cabin lamp √ √ √Electronic Tripmeter √ √ √Floor front console with cup holders
√ √
Floor rear console √ √ √Glove Box √ √ √Front door pockets √ √ √COMFORTAC with heater √ √Rotary control for AC √ √Tinted glasses √ √Outside rear view mirror (RHS)
√ √ √
Remote fuel lid opener √ √Electronic power steering
√
SAFETYClear lens headlamps √ √ √Head lamp leveling device
√ √ √
Clear lens tail lamps √ √ √Collapsible steering column
√ √ √
HYUNDAI SANTRO
KEY TECHNICAL SPECIFICATIONS AND FEATURES
DIMENSIONS
Overall Length (mm) 3565 Overall Width (mm) 1525 Overall Height (mm) 1590 Wheelbase (mm) 2380 Ground Clearance (mm) 164 (M/T)146 (A/T) Front Track 1315 Rear Track 1300 Min Turning Radius (m) 4.4 Kerb Weight (Kg) 854(M/T) 868(A/T) Fuel Tank capacity 35
ENGINE
No. of cylinders and valves 4,12 Displacement (cc) 1086 Fuel Petrol Maximum Power (ps@rpm) 63@5500 Maximum Torque (Kgm@rpm) 9.8 @ 3000
SUSPENSION
Front Suspension McPherson Strut
Rear Suspension Torsional Beam Axle
Rear Shock Absorbers Hydraulic
BRAKES
Front Ventilated Disc
Rear Drum
TYRE
Size 155/70 R13VARIENTS
SAFETY &
SECURITY
XK XK XL XO AT
Child Safety
Rear Door
Locks
S S S S S
Engine Sub
Frame
S S S S S
Seat Belts -
Front
S S S S
Seat Belt -
Rear
3 3 3 3 3
HMSL S S S S S
Dual Horn S S S S S
Day & Night
Mirror
S S S S
CLS 4 doors 4 doors 4 doors
HLLD S S S S S
RHD Controls S S S S S
EXTERIOR
Grey interior
Key colour
S S S S S
Clear
Headlamps
S S S S S
Clear Rear
Lamps
S S S S S
ORVM - Psg
Side
S S S S
ORVM - Dr
Side
S S S S S
Tinted Glass S S S S
B/C Bumper S
Radiator
Grille
Chrome1 Chrome1 Chrome1 Chrome2 Chrome1
Wheel Cover Half Half Half Half Half
INTERIOR
No. of Spokes
in Steering
Wheel
3 3 3 3 3
Front
Speaker Grill
Dash
board
Dash
board
Dash
board
Dash
board
Dash
board
Rear Speaker
Grill
S S S S S
Ash Tray S S S S S
COMFORT
A/C S S S S
Heater S S S S S
Power
steering
S S S
Power
Windows -
Front
S S S
Remote Fuel
Lid Opener
S S S S S
Remote Tail
Gate Release
S S S S S
Clutch Foot
Rest
S S S S S
MARUTI ZEN
SPECIFICATIONS (in mm)
Length 3495
Width 1475 (LX, LXi), 1495 (VXi)
Height 1595
Wheel Base 2360
Tread, Front 1295
Tread , Rear 1290
Turning Radius (m) 4.6
Seating Capacity 5 Persons
Ground Clearance 165
Max Power (bhp/rpm) 64 / 6,200
Max Torque (Nm/rpm) 84 / 3,500
Engine F10D
Engine Capacity (cc) 1061
Engine Type 4 cyl
Transmission 5MT
Drive 2WD
Clutch Type Cable
Kerb Weight (kg) 855 (LX, LXi), 875 (VXi)
GVW (kg) 1275
Tyre Size 145 / 70 R13 (LX, LXi),
155 / 65 R13 (VXi)
Fuel Tank Capacity (lt) 35
Front Brake Ventilated Disc
Rear Brake Drum
Transmission Type Manual - 5 Speed, All
Synchromesh with two overdrive gears
Suspension System Front : McPherson Strut with Torsion
type roll control device
Rear : Coil Spring, Gas filled shock
absorbers with three link rigid
and isolated trailing arm
Power Steering Type: Electronic Power Steering (LXi & VXi)
VARIENTS
SAFETY & SECURITY LX LXi VXiSRS Airbag (Driver Side) ** - - √ABS ** - - √Side Door Beams √ √ √High Mount Stop Lamp √ √ √Rear Door Child Lock √ √ √Front Wiper (2 Speed + Intermittent) √ √ √Back Door Defogger - - √Steering Lock √ √ √Power Door Locking - √
(5Dr)√
(5Dr) (Keyless
EXTERIORBody Coloured Bumpers - √ √
Body Side Moulding - - √Wheel Cap CTR CTR FULLBlack Out Film - - √Front Fog Lamps - - √Body Coloured Side Door Handles - - √Body Coloured Outside Door Mirrors - - √Body Coloured Back Door Handle - √ √Antenna √ √ √COMFORTPower Windows - FR FR/RRPower Steering - √ √Front Door Pocket √ √ √Remote Keyless Entry System - - √Air Conditioning √ √ √Remote Fuel Lid Opener √ √ √Vanity Mirror (Sun Visor) - - (Co-
driver)Grip Assistant (3 nos) √ √ √Co-driver Side Front Door Lock √ √ √Centre Console with Cup Holders √ √ √IP Pocket √ √ √Tachometer - - √Lights-off & Key Reminder Chime - - √Accessory Socket - - √Ash Tray √ √ √ABC Pillar Trims √ √ √Side Door Trims Moulded Moulded MouldedBack Door Trim Moulded Moulded MouldedFront Seat Adjustable Head Restraint √ √ √Rear Seat Adjustable Head Restraint √ √ √Front Seat Back Pocket (Driver Seat) √ √ √Steering Wheel PU(3
Spoke)PU(3
Spoke)PU(3
Spoke
PRICE
Variant Non Metallic Price Metallic Price Zen Lx 321819 325218Zen Lxi 350810 354209Zen Vxi 375828 379226Zen Vxi ABS 403928 407326
MARUTI WAGON-R
SPECIFICATIONS
TRANSMISSIONType Manual (LX, LXi, VXi) - 5 speed All-synchromesh with two overdrive gears Automatic (AX) - 3 speedCAPACITY Seating Capacity 5 personsFuel Tank Capacity 35 litres
DIMENSIONS IN MM. Length 3520Width 1490 (VXi), 1475 (LX, LXi)Height 1660 (without roof rail), 1690 (with
roof rail)Wheelbase 2360Front Track 1295Rear Track 1290Min Ground Clearance
165
WEIGHT IN KG. Kerb Weight 825 (LX, LXi) 850 (VXi) 840 (AX)Gross Vehicle Weight
1250 (LX, LXi, VXi)
PRICE
Variant Non Metallic MetallicWagonR Lx 329003 332402WagonR Lx LPG 350639 354038WagonR Lxi 354533 357932WagonR Vxi 378036 381434WagonR Lxi LPG 378610 382009WAGONR Vxi ABS 408034 411433WagonR Autometic 449778 453177
ENGINE Swept Volume 1061 ccEngine Type 4 cylinder in line, FC Engine
4 Valves per cylinder, MPFI Engine Control 32-Bit Electronic Control Module
(ECM)Max. Power, bhp 64@6200 rpmMax. Torque, Nm 84@3500 rpm
SUSPENSION SYSTEMFront McPherson Strut with torsion type roll control deviceRear Coil spring, gas-filled shock absorbers with three-link
rigid axle and isolated trailing arms
TATA INDICA
SPECIFICATIONS
Engine Gearbox Power
(bhp)
Torque
(Nm)
Top
Speed
Fuel
Tank
Xeta GLE 4cyl,1405cc 5M 70 121 150 37
Xeta GLG 4cyl,1405cc 5M 75 121 150 37
Xeta GLS 4cyl,1405cc 5M 70 121 150 37
Xeta GLX 4cyl,1405cc 5M 70 121 150 37
DL 4cyl,1405cc 5M 53.5 85 37
DLE 4cyl,1405cc 5M 53.5 85 37
DLG(Turbo-
diesel)
4cyl,1405cc 5M 68 130 37
DLS 4cyl,1405cc 5M 53.5 85 37
DLX(Turbo
diesel)
4cyl,1405cc 5M 68 130 37
Air
bags
ABS Tubeless
tyres
Central
Locking
Power
steering
Power
windows
Xeta GLE No No No No No No
Xeta GLG No No No No Yes No
Xeta GLS No No No No Yes Fr
Xeta GLX No No No Yes Yes Yes
DL No No No No No No
DLE No No No No No No
DLG(Turbo
- diesel)
No No No No Yes Fr
DLS No No No No Yes No
DLX(Turbo
diesel)
No No No Yes Yes Yes
CUSTOMER SATISFACTION
Customer - The term is used to refer to someone who regularly
purchases from a particular store or company.
Traditionally the word ‘Customer’ was used to define people
whom the organization dealt with externally. Though the word
‘Customer’ is used as a single unit, purchases could be made both by
the individual and the group.
Satisfaction is a person’s feelings of pleasure or disappointment
resulting from comparing a product’s perceived performance in
relation to his or her expectation
The most successful companies are aiming for high satisfaction
Because customers who are just satisfied still find it easy to switch,
when a better offer comes along. Those who are highly satisfied are
much less ready to switch. High satisfaction or delight creates an
emotional affinity with the brain, not just a rational preference. The
result is high customer’s loyalty.
In this highly competitive world customers play a very
important role. Thus, if a company wants to survive then it should
look forward to the determinants of customer satisfaction. Though it is
a very subjective issue that differs from individual to individual yet,
identifying some basic parameters of customer satisfaction is
important. Satisfaction is a person’s feeling of pleasure and
disappointment resulting from comparing a product’s perceived
performance in relation to his or her expectations. It is only the
customer delight that marketer aims for.
CONSUMER BEHAVIOR
Consumer-Consumer is an individual who purchases for the purpose
of individual or household consumption.
The individual who consumes or uses a product, which may or may
not be purchased by him.
Consumer Behavior can be said to be the study of how individuals
make decision on how to spend their available resources(time,
money, efforts) on various consumption related items.
Consumer Behavior may be defined as the decision process and
physical activity individuals engage in when evaluating, acquiring,
using or disposing of goods or services.
The detailed study of Consumer Behavior or Consumer Preferences
focuses on-
Who Buys products or services?
How do they buy products or services?
Where do they buy them?
How often do they buy them?
When do they buy them?
Why do they buy them?
How often do they use them?
CUSTOMER EXPECTATIONS
How do buyers form their expectations? Their expectations are
influenced by their past buying experience, friend’s and associate’s
advice and marketers and competitor’s information and promises
In four wheeler industry dealers are the main bridge between the
company and the customer.
They come into the direct contact with customer. So, they play an
eminent role in providing customer satisfaction.
Though customer expectations are a very qualitative term and it is
very difficult to measure. In this study an effort has been made to
measure the customer expectations level. We can broadly divide the
customer expectations into two parts:-
Primary expectations
Secondary expectations
PRIMARY EXPECTATIONS
The basic or primary expectations of the customer from a car are:
Price
Fuel Efficiency
Safety
Power
Engine Displacement
Design
Brand Name
Features like: Power Steering, A.C.
SECONDARY EXPECTATIONS:
The secondary expectations of the consumers from a car are:
Availability of spare parts
Response time to complaints
Financing schemes
After sale services
SIGNIFICANCE OF STUDY
This research is helpful for the A2 segment car manufacturers
in understanding the buying preferences of the customers with
regard to
Price
Fuel Efficiency
Power
Engine Displacement
Top Speed
This research provides an insight for the A2 segment car
manufactures on how to increase the level of customer
satisfaction with regard to :-
Price
Fuel Efficiency
Power
Engine Displacement
Top Speed.
This research is helpful for the A2 segment car
manufactures in understanding the role the advertising is playing.
This research is helpful for the selected A2 segment car
manufacturers in knowing the features with which their customers
are satisfied.
This research is helpful for the A2 segment car manufactures in
knowing about the awareness among customers regarding A2
segment cars.
OBJECTIVES OF THE STUDY
The objectives of the research are:
To study the buying preference of customers regarding
selected A2 segment cars with regard to :-
Fuel Efficiency
Price
Power
Engine Displacement
Top speed
To study the satisfaction level of customers regarding selected
A2 segment cars with regard to :-
Fuel Efficiency
Price
Power
Engine Displacement
Top speed
To study the different models of selected A2 segment cars
To study the brand awareness among customers regarding
selected A2 segment cars.
Topgear1----Spotlight on the three A2 segment cars(Maruti Alto
LXI,Hyundai Santro Xing XL,Tata Indica Xeta GLS)---In this
article everything that one need to know about the three A2
segment cars i.e price, equipment, technical aspects,
performance ,the warranties, was given.
Lam Darius2---This article is about the rise in the sales of the
five A2 segment cars, i.e. Maruti Alto, Hyundai Santro ,Tata
Indica,Maruti Wagon-R, Maruti Zen, because of various factors
like price, fuel efficiency etc.
Prasad R3--- This article is about the advertising strategy
adopted by Tata Indica.Tata Indica’s launch campaign was
aimed at repositioning the Maruti 800 as an inadequate car and
position Indica as the ‘More Car’.The “More car per car
”campaigns struck a chord and the positioning stuck. In the
words of M.G. Parameswaran, Executive Director and CEO-
Mumbai, FCB-ULKA, the agency that handles the Indica
account, ”The success of Tata Indica is a combination of
various factors: a great product offering, a great entry price, a
well focused marketing and advertising strategy and the Tata
brand”
Kothari,C.R.,RESEARCH METHODOLOGY4,-- Research in
common parlance refers to search for knowledge. It can also be
defined as a scientific and systematic search for information on
a specific topic. A research design is the arrangement of
conditions for collection and analysis of data in a manner that
aims to combine relevance to the research purpose with
economy in procedure. Decisions regarding what, where, when,
how much, by what means concerning a research study
constitute a research design. Sampling can be defined as the
Selection of some part of an aggregate or totality on the basis of
which a judgment or inference about the aggregate or totality is
made
Cooper Donald R.,Schindler Pamela S5---Broadly the sources of
data are:-
Primary Sources
Secondary sources.
Primary data are those which are collected for the first time and
thus happen to be original in character.
Primary data is collected through:-
Questionnaires
Observation Method
Schedules
The secondary data are those which have already been collected
by someone else & which have already passed through the
statistical process.
Secondary data has been collected through:-
Magazines, Journals, Pamphlets, Websites of the selected car
companies
Gupta S.P6--- Correlation is a statistical technique which helps
in analyzing the relationship between two or more variables. It
is used in measuring the closeness of relationship between
variables.
Gupta S C,Kapoor V K7--- Correlation is a statistical technique
which helps in analyzing the relationship between two or more
variables. It is used in measuring the closeness of relationship
between variables. The study of correlation is of immense
significance in statistical analysis and practical life:
Tull Donald S,Hawkings Del I8--- Questionnaires are considered
as the heart of survey operations and therefore should be very
carefully constructed. It consists of a number of questions
printed or typed in a definite order which is filled by the
respondents on their own.
A good questionnaire should be comparatively short and simple
and the sequence shall be from easy the difficult ones.
Advantages of questionnaires are:
They are economical.
They are free from the biasness of the interviewers.
Respondents have adequate time to give well thought to
their answers.
Respondents can be reached conveniently.
Large samples can be used and therefore the results are
more dependable.
Schiffman Leon G, Kanuk Leslie Lazar9---- Study of the
customer behavior is the study of how individuals make
decisions to spend their available resources (Time, Money and
Efforts) on consumption related items. It includes the study
what they buy, whey they buy it, when they buy it, where they
buy it, how often they buy it and how often they use it. The
primary purpose for the study consumer behavior as apart of
marketing curriculum is to understand how and how customers
make their purchase decisions. There insights enable
marketers to design more effective marketing strategies.
Nair Suja R10---The success of the firm will be determined by
how effective it has been in meeting the diverse customer
needs and wants by treating each customer as unique and
offering products and services to suit his/her needs
RESEARCH
Research refers to a search for knowledge. Research is scientific and
systematic search for pertinent information on specific topic.
Research methodology is a way to systematically solve the
research problem
Research Methodology in a way is a written game plan for conducting
research. Research methodology may have dimensions. It includes
research methods and also considers the logic behind the methods
used in the context of the study. It may also be understood as the
science of the study and minimizes the degree of uncertainty of
making wrong choices. It helps to understand assumptions underlying
various techniques and the criteria by which they can decide that
certain techniques will be applicable to certain problems and others
will not.
Therefore in order to solve a research problem it is necessary to
design a research methodology for the easy and accurate solution of
the problem.
SAMPLING AND SAMPLING DESIGN
SAMPLING: Sampling can be defined as the selection of some
part of an aggregate or totality on the basis of which a judgment or
inference about the aggregate or totality is made. In other words it is
the process of obtaining information about an entire population by
examining only a part of it.
ADVANTAGES
Sampling saves time and money. It is usually less expensive
and produces results at faster speed.
It provides more accurate information.
It enables to estimate the sampling errors and thus assists in
obtaining information concerning characteristics of population.
It also enables greater speed of collection of data.
The ultimate test of sample design is how well it represents the
characteristics of the population it purports to represent. In
measurement terms the sample must be valid which depends
upon –
Accuracy – It is the degree to which biasness is absent
from the sample.
Precision – It represents how well the sample represents
the population in all respect.
SAMPLING DESIGN: A sample design is a definite plan for
obtaining a sample from a given population. It refers to the technique
or the procedure that is adopted in selecting the sampling units from
which inferences about the population is drawn. Sampling design is
determined before the collection of the data.
Steps in developing a Sampling Design:
Type of universe-The first step in developing any sample
design is to clearly define the set of objects, technically called
Universe, to be studied.
Sampling Unit-A decision has to be taken concerning a
sampling unit before selecting sample. Sampling unit may be
Geographical one such as state, village, district etc
Social unit such as family, club etc.
Construction unit such a flat, house etc.
Source list-It contains the names of all items of a universe.
Size of sample: It refers to the number of items to be selected
from the universe to constitute a sample.
Parameters of interest: Specific population parameters which
are of interest must be considered in determining the sample
design
Budgetary constraint
Sampling procedure
CHARATERISTICS OF A GOOD SAMPLE DESIGN
Sample design must result in a truly representative sample
Sample design must be such which results in a small sampling
error
Must be viable in the context of funds available for research
study
Must be such that systematic bias can be controlled in a better
way
Must be such that results of sample study can be applied
TYPES OF SAMPLING
Probability Sampling
Non-probability Sampling
TYPES OF PROBABILITY SAMPLING
Simple random sampling
Area sampling
Systematic sampling
Stratified sampling
TYPES OF NON- PROBABILITY SAMPLING
Convenience sampling
Judgment sampling
Quota sampling
Sample Size: It indicates the number of individuals who would be
surveyed. Here the sample size is 200 respondents.
The sampling technique used in this project work is JUDGEMENT
SAMPLING. In judgement sampling the researcher’s judgement is
used for selecting items which he considers as representative of the
population.
ANALYTICAL TOOLS
The analytical tools used in this project are:-
Correlation
Multidimensional Scaling
Data has been represented and analyzed through
Bar charts and Pie Charts.
XL Stat software has been used for analysis of data and
hypothesis testing.
Correlation is a statistical technique which helps in analyzing the
relationship between two or more variables.. It is used in measuring
the closeness of relationship between variables. If two or more
quantities vary in sympathy, so that the movement in one tend to be
accompanied by corresponding movements in other then they are
said to be correlated.
Utility of correlation
With the help of correlation analysis, we can measure the
degree of relationship between different variables.
An economist specifies the relationship between different
variables like demand and supply etc by way of correlation.
In business. Trader makes the estimation of costs, sales, prices
etc. with the help of correlation and makes appropriate plans.
Correlation is extremely useful in making comparative study of
two or more related phenomena and analyzing their mutual
relationship
Types of Correlation
On the basis of direction of change of variables, correlation
can be classified as:
Positive Correlation
Negative Correlation
On the basis of change in proportion, correlation can be classified as:
Linear Correlation
Curvi-Linear Correlation
On the basis of number of variables studied, correlation can be
classified as
Simple Correlation
Partial Correlation
Multiple Correlation
Degree of Correlation :
Various types of degree of correlation are:
Degree of Correlation Positive Negative
Perfect Correlation +1 -1
High degree of Correlation Between +0.75 to +1 Between -0.75 to -1
Moderate Degree of
Correlation
Between +0.25 to +0.75 Between -0.25 to -0.75
Low Degree of Correlation Between +0 to +0.25 Between -0 to -0.25
Absence of Correlation 0 0
dx
dy
Maruti
Zen
Hyunda
i
Santro
Maruti
Alto
Maruti
Wago
n
R
Tata
Indic
a
f fdy fdy2 fdydx
-2 -1 0 1 2
Price -2 20
6 26 4 3 59 -118 236 66
Fuel
Efficiency
-1 10 3 24 3 16 56 -56 56 -12
Engine
Displacement
(cc)
0 4 4 5 5 7 25 0 0 0
Power
(bhp)
1 5 11 7 3 9 35 35 35 0
Top Speed
(kph)
2 6 4 4 7 4 25 50 100 -2
f 45 28 66 22 39 N =
200
∑fd
y
=-89
∑fdy2
=427
∑fdydx
= 52
fdx -90 -28 0 22 78 ∑fdx=
-18
fdx2 180 28 0 22 156 ∑ fdx2
= 386
fdxdy 66 -10 0 6 -10 ∑fdxdy
= 52
80 6 0 -8 -12
20 3 0 -3 -32
0 0 0 0 0
-10 -110 3 18
-24 -8 0 14 16
200 x 52 – (-18) (-89)
200 x 386 – (-18)2 200 x 427 – (-89)2
10400 - 1602
76876 77479
8798
277.26 x 278.35
8798
77175.45
r = 0.11
Value of coefficient of correlation r is equal to 0.11.This shows that there is low degree of positive correlation
Multi Dimensional Scaling
Multidimensional scaling (MDS) is a method for analyzing a
(similarity or dissimilarity) proximity matrix based on a set of
observations. The purpose of MDS is to model the proximity of
observations in order to represent them as accurately as possible in a
limited number of dimensions (usually 2). There are different MDS
algorithms: XLSTAT uses the SMACOF (Scaling by MAjorizing a
COnvex Function) algorithm that minimizes the "normalized stress"
function. Furthermore, there are several MDS models (or
representation functions), i.e. several ways to transform the
dissimilarities into disparities. The disparities are the distances that
describe the optimal representation for the observations. The
difference between the disparities and the distances measured on the
representation resulting from the MDS is called the stress: the lower
the stress, the better the representation of the observations.
When the representation function simply respects the relative
order of the observations, one speaks about ordinal MDS or
nonmetric MDS. When the dissimilarities are transformed into
disparities using a specific parametric function, one speaks about
metric MDS. The following models are available in the current version
of XLSTAT:
Metric MDS
Absolute MDS: each dissimilarity dij must exactly match the
distance between points i and j in the representation space.
Ratio MDS: the ratio of all distance pairs in the representation
space must correspond to the ratio of the corresponding
dissimilarities.
Interval MDS: the ratio of all differences between distances in
the representation space must correspond to the ratio of the
differences of the corresponding dissimilarities.
NONMETRIC MDS
· Ordinal (1): the order of the distances in the representation
space must correspond to the order of the corresponding
dissimilarities. If there are two dissimilarities of the same rank,
then there are no restrictions on the corresponding distances.
· Ordinal (2): identical to the previous model, but if dissimilarities
exist in the same rank, the corresponding distances must be
equal.
The stress measures the quality of the representation for a
given number of dimensions. The lower it is, the better the
representation. Various formulas have been proposed by different
authors. Although the minimization is always based on the
normalized stress, XLSTAT allows to show the results using the four
formulas defined below:
Raw stress: it gives the quality of the representation based on
the squared errors of the representation compared with the
disparities. The formula gives: where Dij is the disparity
between individuals i and j, and dij is the Euclidean distance on
the representation for the same individuals. wij is the weight of
the ij proximity (value is 1 by default).
Normalized Stress: it gives the quality of the representation
based on the squared errors of the representation compared
with the disparities, divided by the sum of the squared
disparities.
Kruskal's stress 1: it gives the quality of the representation
based on the square root of the squared errors of the
representation compared with the disparities, divided by the
sum of the squared distances on the representation.
Kruskal's stress 2: it gives the quality of the representation
based on the square root of the squared errors of the
representation compared with the disparities, divided by the
sum of the squared centered distances on the representation.
The formula gives: where is the average of the distances on the
representation. This formula usually results in a stress value
that is approximately twice the value obtained for Kruskal's
stress 1.
In order to know if the representation quality is good enough, some
rules exist, mostly based on the Kruskal's stress 1. However, the
Shepard diagram that allows to compare the dissimilarities with the
distances and to observe some ruptures in the ordination of the
values is a empirical but reliable method. The more the chart looks
linear, the better the representation. The way the stress evolves when
the number of dimensions decreases is also interesting to detect if a
significant amount of information is being lost in the selected
representation
DATA COLLECTION
Broadly the data has been collected through :-
Primary Sources
Secondary sources.
Primary data are those which are collected for the first time and thus
happen to be original in character.
Primary data has been collected through:-
Questionnaires
It is considered as the heart of survey operations and therefore
should be very carefully constructed. It consists of a number of
questions printed or typed in a definite order which is filled by
the respondents on their own. A good questionnaire should be
comparatively short and simple and the sequence shall be from
easy the difficult ones.
Advantages of questionnaires are:
They are economical.
They are free from the biasness of the interviewers.
Respondents have adequate time to give well thought to
their answers.
Respondents can be reached conveniently.
Large samples can be used and therefore the results are
more dependable.
Before using the questionnaire method “PILOT SURVEY” was
conducted by me.
PILOT SURVEY- It is the replica or rehearsal of the main
research or survey and is carried out to find out the
weaknesses of the questionnaire and the survey techniques.
Experience gained in this way would lead to the improvement in
the study.
Sample size for pilot survey: 30 respondents.
My pilot survey was conducted on 30 respondents and I found
the results quite satisfactory and therefore went forward with
the same methodology of the study adopted.
The secondary data are those which have already been collected by
someone else & which have already passed through the statistical
process.
Secondary data has been collected through:-
Magazines
Journals
Pamphlets of the selected car companies
Websites of the selected car companies
HYPOTHESIS TESTING
The chi-square test is one of the most simplest and widely used non-
parametric test in statistical work. The symbol is Greek letter chi. It
was first used by Karl Pearson’s in the year 1990. the quantity chi-
square describes the magnitude of the discrepancy between theory
and observation. XL Stat software tool has been used for
hypothesis testing.
Chi-square= Σ(O-E) 2
E
Where O=observed frequency
And E=expected frequency
Degree of freedom:
While comparing the calculated value of chi square with the table
value, we have to determine the degree of freedom. By degree of
freedom we mean the number of classes to which the values can be
assigned arbitrary or will without violating the restriction or limitations
placed.
(The calculations are shown in the annexure).
LIMITATIONS OF THE STUDY
The limitations that were faced in this project work are:
Reluctance was shown by the customers in filling up the
questionnaires
Questionnaires were not returned on time despite several
reminders
There is possibility of ambiguous replies to certain questions
Omission of replies to certain questions.
Low rate of return of duly filled in questionnaires
The time period for carrying out the research was short as a
result of which many facts were left unexplored.
Car of which brand do you have?
Maruti Hyundai Tata
133 28 39
133, 66%28, 14%
39, 20%
Maruti
Hyundai
Tata
INTERPRETATIONS:
66% respondents have car of brand Maruti
20% respondents have car of brand Tata
14% respondents have car of brand Hyundai
Out of the following cars(Maruti Alto,Maruti Zen,Maruti
Wagon R, Hyundai Santro, Tata Indica) which car do you have?
Maruti Zen Hyundai Santro Tata Indica Maruti Alto Maruti
Wagon R
45 28 39 66 22
45, 23%
28, 14%39, 20%
66, 32%
22, 11%Maruti Zen
Hyundai Santro
Tata Indica
Maruti Alto
Maruti Wagon R
INTERPRETATIONS:
32% respondents have Maruti Alto
20% respondents have Maruti Zen
14% respondents have Hyundai Santro
11% respondents Maruti Wagon R
20% respondents have Tata Indica
For how long have you been using this car?
Less than
eight months
Eight months One year Two years More than
two years
35 46 28 37 54
35, 18%
46, 23%28, 14%37, 19%
54, 26%
Less than eightmonths
Eight months
One year
Two years
More than twoyears
INTERPRETATIONS:
18% respondents have been using their car for less than
eight months.
23% respondents have been using their car for eight
months.
14% respondents have been using their car for one year
19% respondents have been using their car for two years
26% respondents have been using their car for more than
two years
Which version of the Maruti Alto do you have?
Std Lx X fun LX LXi X fun LXi
30 16 6 11 3
30, 45%
16, 24%
6, 9%
11, 17% 3, 5% Std
Lx
X fun LX
LXi
X fun LXi
INTERPRETATIONS:
45% respondents have Maruti Alto Std.
24% respondents have Maryti Alto LX.
9% respondents have Maruti X fun LX
17% respondents have Maruti Alto LXi
5% respondents have Maruti Alto X fun LXi
Which version of the Maruti Zen do you have?
LX LXi VXi
16 20 9
16, 36%
20, 44%
9, 20%
LX
LXi
VXi
INTERPRETATIONS:
36% respondents have Maruti Zen LX Std.
44% respondents have Maryti Zen LXi.
9% respondents have Maruti Zen VXi
Which version of the Maruti Wagon R do you have?
LX LXi VXi
8 9 5
8, 36%
9, 41%
5, 23%
LX
LXi
VXi
INTERPRETATIONS:
36% respondents have Maruti Wagon R LX.
41% respondents have Maryti Wagon R LXi.
23% respondents have Maruti Wagon R VXi
Which version of the Tata Indica do you have?
DLG(Turbo
Diesel)
Xeta GLF Xeta GLS DL DLF
6 15 9 5 4
6, 15%
15, 39%9, 23%
5, 13%4, 10% DLG(Turbo Diesel)
Xeta GLF
Xeta GLS
DL
DLF
INTERPRETATIONS:
15% respondents have Tata Indica DLG(Turbo Diesel).
39% respondents have Tata Indica Xeta GLF
23% respondents have Tata Indica Xeta GLS
13% respondents have Tata Indica DL
10% respondents have Tata Indica DLF
Which version of the Hyundai Santro do you have?
XL XO AT
6 15 9
6, 20%
15, 50%
9, 30%
XL
XO
AT
INTERPRETATIONS:
20% respondents have Hyundai Santro XL .
50% respondents have Hyundai Santro XO.
30% respondents have Hyundai Santro AT.
How did you come to know about your car brand/model?
Advertisement Friends Family
Members
Publicity Any Other
80 65 23 12 20
80, 39%
65, 33%
23, 12%
12, 6%20, 10% Advertisement
Friends
Family Members
Publicity
Any Other
INTERPRETATIONS:
39% respondents have come to know about their car
through Advertisements.
33% respondents have come to know about their car
through friends
12% respondents have come to know about their car
through family members.
6%respondents have come to know about their car through
publicity.
Awareness about these five car brands available in market?
Full Aware Aware Less Aware Unaware
48 126 26 0
48
126
26
00
20
406080
100
120140
Full Aware Aware Less Aware Unaware
No.
of r
espo
nden
ts
INTERPRETATIONS:
48 respondents are fully aware about these five car brands.
126 respondents are aware about these five car brands.
26 respondents are less aware about these five car brands.
Why did you prefer Maruti Zen?
Price Fuel Efficiency Engine
Displacement
Power Top Speed
20 10 4 5 6
20, 45%
10, 22%
4, 9%
5, 11%
6, 13% Price
Fuel Efficiency
Engine Displacement
Power
Top Speed
INTERPRETATIONS:
20% respondents prefer Maruti Zen due to price
22% respondents prefer Maruti Zen due to fuel efficiency
9% respondents prefer Maruti Zen due to engine
displacement
11% respondents prefer Maruti Zen due to power
13% respondents prefer Maruti Zen due to top speed
Why did you prefer Hyundai Santro?
Price Fuel Efficiency Engine
Displacement
Power Top Speed
6 3 4 11 4
6, 21%
3, 11%
4, 14%11, 40%
4, 14% Price
Fuel Efficiency
Engine Displacement
Power
Top Speed
INTERPRETATIONS:
21% respondents prefer Hyundai Santro due to price
11% respondents prefer Hyundai Santro due to fuel
efficiency
14% respondents prefer Hyundai Santro due to engine
displacement
40% respondents prefer Hyundai Santro due to power
14% respondents prefer Hyundai Santro due to top speed
Why did you prefer Maruti Alto?
Price Fuel Efficiency Engine
Displacement
Power Top
Speed
26 24 5 7 4
26, 39%
24, 36%
5, 8%7, 11% 4, 6% Price
Fuel Efficiency
Engine Displacement
Power
Top Speed
INTERPRETATIONS:
39% respondents prefer Maruti Alto due to price
36% respondents prefer Maruti Alto due to fuel efficiency
8% respondents prefer Maruti Alto due to engine
displacement
11% respondents prefer Maruti Alto due to power
6 respondents prefer Maruti Alto due to top speed
Why did you prefer Maruti Wagon R ?
Price Fuel Efficiency Engine
Displacement
Power Top Speed
4 3 5 3 7
4, 18%
3, 14%
5, 23%3, 14%
7, 31%Price
Fuel Efficiency
Engine Displacement
Power
Top Speed
INTERPRETATIONS:
18% respondents prefer Maruti Wagon R due to price
14% respondents prefer Maruti Wagon R due to fuel
efficiency
23% respondents prefer Maruti Wagon R due to engine
displacement
14% respondents prefer Maruti Wagon R due to power
31% respondents prefer Maruti Wagon R due to top speed
Why did you prefer Tata Indica?
Price Fuel Efficiency Engine
Displacement
Power Top Speed
3 16 7 9 4
3, 8%
16, 41%
7, 18%
9, 23%
4, 10% Price
Fuel Efficiency
Engine Displacement
Power
Top Speed
INTERPRETATIONS:
8% respondents prefer Tata Indica due to price
41% respondents prefer Tata Indica due to fuel efficiency
18% respondents prefer Tata Indica due to engine
displacement
23% respondents prefer Tata Indica due to power
10% respondents prefer Tata Indica due to top speed
Are you satisfied with your car?
Highly
Satisfied
Satisfied Undecided Unsatisfied Highly
Unsatisfied
29 92 16 41 22
29, 15%
92, 45%16, 8%
41, 21%
22, 11% Highly Satisfied
Satisfied
Undecided
Unsatisfied
Highly Unsatisfied
INTERPRETATIONS:
15% respondents are highly satisfied with their car
45% respondents are satisfied with their car
8% respondents are undecided with their car
21% respondents are unsatisfied with their car
11% respondents are highly unsatisfied with their car
The features with which you are satisfied are?
Price Fuel Efficiency Engine
Displacement
Power Top
Speed
57 56 26 36 25
57, 28%
56, 28%26, 13%
36, 18%
25, 13% Price
Fuel Efficiency
Engine Displacement
Power
Top Speed
INTERPRETATIONS:
28% respondents are satisfied with price of their car
28% respondents are satisfied with fuel efficiency of their
car.
13% respondents are satisfied with engine displacement of
their car.
18% respondents are satisfied with power of their car.
13% respondents are satisfied with top speed of their car
In your opinion, what is the impact of advertising?
Very High High Medium Low Very Low
33 70 55 31 11
33
70
55
31
11
01020304050607080
VeryHigh
High Medium Low VeryLow
No.
of r
espo
nden
ts
INTERPRETATIONS:
33 respondents say advertising has very high impact.
70 respondents say advertising has high impact
55 respondents say advertising has medium impact.
31 respondents say advertising has low impact.
11 respondents say advertising has very low impact
How much does your income affect the purchase of a car?
Very High High Medium Low Very Low
33 75 50 31 11
33
75
50
31
11
01020304050607080
VeryHigh
High Medium Low Very Low
No. o
f res
pond
ents
INTERPRETATIONS:
33 respondents say advertising has very high impact.
75 respondents say advertising has high impact
50 respondents say advertising has medium impact.
31 respondents say advertising has low impact.
11 respondents say advertising has very low impact
How much an attractive scheme offered by a car company affects the purchase of a car?
Very High High Medium Low Very Low
30 65 60 29 16
30
6560
29
16
010203040506070
VeryHigh
High Medium Low Very Low
No.
of r
espo
nden
ts
INTERPRETATIONS:
30 respondents say attractive scheme offered by a car company very highly affects the purchase of a car.
65 respondents say attractive scheme offered by a car company highly affects the purchase of a car.
60 respondents say attractive scheme offered by a car company has medium affect on the purchase of a car.
29 respondents say attractive scheme offered by a car company has low affect on the purchase of a car.
16 respondents say attractive scheme offered by a car company has very low affect on the purchase of a car.
Recommendations
Recommendation refers to the outcome of the research work done
and the suggestions for implementation.
1. It is suggested that manufacturer should make all efforts to
control cost.
2. New technology should be applied according to the requirement
of the customer.
3. Provide various schemes which attract the customers.
4. Spare parts of the cars should be easily available in the market.
5. Cars should be more fuel efficient.
6. Cars should be available in different colors so as to attract the
customers.
1) Topgear, “The Big Test:First Timers”, Vol.1, Issue 8
April 2006,Page No.-166-174
2) Lam Darius, Autocar India, “Alto-gether Strong”, Vol 6 No.1
September 2004,Page No.- 21
3) Prasad R, 4Ps Business and Marketing , ”Indica’ting More”,
Volume-1, Issue-14,15 September-28 September,
Page No.- 53
4) Kothari,C.R, Research Methodology,2nd edition,
Wishawa Parkashan, Page No.-1-22
5) Cooper Donald R, Schindler Pamela S, Marketing Research,
Tata McGraw Hill, Page No.-398.
6) Gupta S.P, Statistical Methods, 30th edition, Sultan Chand &
Sons, Page No.- 378-418
7) Gupta S C, Kapoor V K, Fundamental of mathematical
statistics, Sultan Chand & Sons, Page No.-10.1-10.40.
8) Tull Donald S.,Hawkings Del I, Marketing Research
Measurement & Method, 6th ediition, Prentice Hall of India,
Page No.- 50-72.
9) Schiffman Leon G, Kanuk Leslie Lazar, Consumer Behavior
6th edition, Prentice Hall of India, Page No. -6-13.
10) Nair Suja R, Consumer Behavior in Indian Perspective ,
1st edition , Himalaya Publishing House, Page No.- 311-341.
Web sites:
http://www.hyundai.co.in\Welcome to Hyundai Motor Hyundai
Santrow.mht, Date 7 february 2007.
http://www.indiainfoline.com/sect/maud.pdf,
date 18 february 2007
htmhttp://car\INDIACAR_NET - Latest auto news - Maruti's Nov
sales up 7_8%, date 18 february 2007
http://car\Auto Industry in Top Gear.htm, date 9 march 2007
http://car\Indiatimes Auto.htm, date 9 march 2007
htmhttp://car\The Hindu Business Line Maruti eyeing 50 pc
share in A2 segment.htm, date 26 january 2007
htmhttp://a2\Mid-size passenger cars in pincer trap-
Automobiles-Auto-News By Industry-News-The Economic
Times.htm, date 12 march 2007
http://Hyundai records 49% increase in domestic sales in
January 2007 - India PRwire.htm, date 26 january 2007
htmhttp://economictimes.indiatimes.com/,3 march 2007
Secondary Data
Magazines like AUTOCAR INDIA,TOPGEAR ,MOTORING
Pamphlets of the selected car companies
QUESTIONNAIRE
I am doing a survey on buying preference of customers and customer
satisfaction regarding selected A2 segment cars (Maruti Alto,Maruti
Zen, Maruti Wagon-R, Hyundai Santro, Tata Indica) and the survey
is being conducted in lieu of the partial fulfillment of dissertation for
the degree of M.B.A. In this regard, I wish to seek your kind
cooperation.
Car of which brand do you have?
Out of the following cars which car do you have?
Maruti Alto Maruti Zen
Maruti Wagon-R Hyundai Santro
Tata Indica
For how long have you been using this cars?
Less than eight months Eight Months One year Two Years
More that two years
Which version of the specific car do you have? What is the price of your car?
What is the mileage (kpl) that your car is giving while driving in city and on highway?
What is the top speed (kph) of your car? What is the engine displacement (cc) of your car? How much power (bhp) does the engine of your car develops? How did you come to know about your car brand/model?
Advertisement Through Friends Family Members Publicity
Any Other
Awareness about these five car brands available in market?
Fully Aware Aware Less aware
Unaware
Why did you prefer this car ?
Fuel Efficiency(kpl) Power(bhp)
Top Speed(kph) Price
Engine Displacement(cc)
How would you rank the following factors in order of there importance for purchase of a car?
Fuel Efficiency(kpl) Power(bhp)
Top Speed(kph) Price
Engine Displacement(cc)
Are you satisfied with your car?
Highly Satisfied Satisfied Unsatisfied
Highly Unsatisfied Undecided Among the following features of your car, the features with
which you are satisfied are?
Fuel Efficiency(kpl) Power(bhp)
Top Speed(kph) Price
Engine Displacement(cc)
In your opinion, what is the impact of advertising ?
Very High High Medium
Low Very Low How much does your income effect the purchase of a car?
Very high High Medium
Low Very Low
How much an attractive scheme offered by a car company effects the purchase of a car?
Very high High Medium
Low Very Low
Suggestions, if any
Name:
Place:
Age:
Occupation:
Annual Income (in Rs.):
Calculations of chi-square test
H0 = There is no correlation between various factors like price, fuel efficiency, engine displacement, power, top speed and purchase of the car.H1 = There is positive correlation between various factors like price,fuel efficiency, engine displacement, power, top speed and purchase of the car.
XLSTAT 7.1 - Tests on Contingency Tables (Chi-square...) - 3/14/2007 at 3:20:58 PM
Data: workbook = Book1 / sheet = Sheet1 / range = $B$2:$F$6 / 5 rows and 5 columnsIn case of square table, the Cohen's Kappa is calculatedIndependence tests between the rows and columns in the contingency table:Chi-square (observed value 47.532Chi-square (critical value) 26.296 DF 16One-tailed p-value < 0.0001Alpha 0.05
DecisionAt the level of significance Alpha=0.050 the decision is to reject the null hypothesis of independence between the rows and the columnsIn other words, the dependence between the rows and the columns is significant
Chi-square likelihood ratio test (Wilks' G²):
Wilks' G² (observed value) 47.373
Wilks' G² (critical value) 26.296DF 16One-tailed p-value <0.0001Alpha 0.05At the level of significance Alpha=0.050 the decision is to reject the null hypothesis of independence between the rows and the columnsIn other words, the dependence between the rows and the columns is significant
Maruti Zen Hyundai Santro
Maruti Alto Maruti Wagon R
Tata Indica
Price 20 6 26 4 3Fuel Efficiency
10 3 24 3 16
Engine Displacement
4 4 5 5 7
Power 5 11 7 3 9Top Speed 6 4 4 7 4
Table of the statistics testing the independence rows/columns: Value DF p-valueChi-square 47.532 16 <0.0001Wilks' G² 47.373 16 <0.0001
Table of the coefficients: Coefficients ValuePearson's Phi 0.488Cramer's V 0.244Tschuprow's T 0.244Contingency coefficient 0.438Theil's U (R|C 0.077Theil's U (C|R) 0.077Averaged Theil's U 0.077Goodman and Kruskal tau (R|C) 0.066Goodman and Kruskal tau (C|R) 0.059Cohen's Kappa -0.019
No missing valuesMetric Multidimensional ScalingMultidimensional Scaling model: absoluteStress used for the results: Kruskal's stress-1Dimension of the representation space: 2Repetitions: 10Seed of the pseudo-random numbers generator: 1094498164Iterations: 50Convergence: 0.0001Space with 2 Dimensions:
Model: Dij= Pij
Observation coordinates:
Observation Dim1 Dim2
R1 7.170 -5.204R2 -1.448 -7.822
Rank
Factors
1 2 3 4 5
Price 20 6 26 4 3Fuel Efficiency
10 3 24 3 16
Engine Displacement
4 4 5 5 7
Power 5 11 7 3 9Top Speed 6 4 4 7 4
Calculations of Multidimensional Scaling(MDS)
XLSTAT 7.1 - Multidimensional Scaling (MDS) - 3/14/2007 at 3:48:39 PM
Similarity matrix (converted to a dissimilarity matrix): workbook = Book1 / sheet = Sheet1 / range = $B$2:$F$6 / 5 rows and 5 columns
R3 -6.559 8.289R4 -6.053 -1.852R5 6.890 6.588
Distances measured in the representation space:
R1 R2 R3 R4 R5R1 0 9.006 19.250 13.642 11.796R2 9.006 0 16.903 7.540 16.648
R3 19.250 16.903 0 10.154 13.556R4 13.642 7.540 10.154 0 15.452R5 11.796 16.648 13.556 15.452 0
Ideal distances calculated using the model (disparities):
In the case of the absolute model, the disparities are equal than the dissimilarities
Residual distances:
Comparative table:
Pair Dissimilarity Disparity DistanceDissimilarity
rankDisparity
rankDistance
rankR2 - R4 9.000 9.000 7.540 1 1 1R1 - R2 10.000 10.000 9.006 2 2 2R3 - R4 13.000 13.000 10.154 3 3 3R4 - R5 13.000 13.000 15.452 3 3 7R1 - R5 14.000 14.000 11.796 4 4 4
R1 R2 R3 R4 R5
R1 0 10.000 16.000 15.000 14.000R2 10.000 0 16.000 9.000 16.000R3 16.000 16.000 0 13.000 16.000
R4 15.000 9.000 13.000 0 13.000R5 14.000 16.000 16.000 13.000 0
R1 R2 R3 R4 R5
R1 0 -0.994 3.250 -1.358 -2.204R2 -0.994 0 0.903 -1.460 0.648R3 3.250 0.903 0 -2.846 -2.444
R4 -1.358 -1.460 -2.846 0 2.452R5 -2.204 0.648 -2.444 2.452 0
R1 - R4 15.000 15.000 13.642 5 5 6R3 - R5 16.000 16.000 13.556 6 6 5R1 - R3 16.000 16.000 19.250 6 6 10R2 - R3 16.000 16.000 16.903 6 6 9R2 - R5 16.000 16.000 16.648 6 6 8
In the case of the absolute model, the disparities are equal than the dissimilarities
Summary of repetitions:
Repetition IterationsInitial stress Fin. stress
1 50 0.538 0.1842 50 0.428 0.1643 50 0.304 0.212
4 23 0.301 0.1895 50 0.551 0.2376 50 0.407 0.2067 50 0.397 0.1728 50 1.022 0.1649 50 0.556 0.23810 39 0.594 0.147