A STUDY ON

“Factor effecting buying decision among car owners

- with reference to Maruti Swift , Hyundai i20, Ford Fiego ”

Submitted in Partial Fulfilment of the Requirements of

Bangalore University for the Award of the Degree of

MASTER OF BUSINESS ADMINISTRATION

BY

VEERENDRA KUMAR .A

REG. NO: 09SKCMA083

Under the Guidance of

Prof. VEENA .K.N

Acharya Institute of Management & Sciences

1st Cross, 1st Stage, Peenya Industrial Area

Bangalore – 560058

2009– 2011

“Factor effecting buying decision among car owners

-with reference to Maruti Swift , Hyundai i20, Ford Fiego”

1. INTRODUCTION

The Automobile industry in India is one of the largest in the world and one of

the fastest growing globally. India manufactures over 11 million

vehicles(including 2 wheeled and 4 wheeled) and exports about 1.5 million

every year. It is the world's second largest manufacturer of motorcycles, with

annual sales exceeding 8.5 million in 2009. India's passenger car and

commercial vehicle manufacturing industry is the seventh largest in the world,

with an annual production of more than 2.6 million units in 2009. In 2009, India

emerged as Asia's fourth largest exporter of passenger cars, behind Japan, South

Korea and Thailand.

As of 2009, India is home to 40 million passenger vehicles and more than 2.6

million cars were sold in India in 2009 (an increase of 26%), making the country

the second fastest growing automobile market in the world. According to the

Society of Indian Automobile Manufacturers, annual car sales are projected to

increase up to 5 million vehicles by 2015 and more than 9 million by 2020.  By

2050, the country is expected to top the world in car volumes with

approximately 611 million vehicles on the nation's roads.

2. STATEMENT OF THE PROBLEM

In India small car segments demand is increasing rapidly and companies like

Maruti Suzuki, Hyundai ,Ford are introducing new cars every year. The main

reason for this is, most of the Indians are moving towards nuclear family and

prefer small personalized transport. This change in the life style of Indian

people and increasing disposable income motivates individuals to choose a car

based on their perceived benefits. Therefore, it is important to study the Factor

effecting buying decision among car owners with reference to Maruti

Swift, Hyundai i20, Ford Fiego.

3. OBJECTIVE OF THE STUDY

To know the market share of small cars segment in Bangalore To compare the marketing strategies and promotional strategies of these companies To identify features that attract customers while purchasing of car To identify the customer expectation and perception about the brands To know the customer satisfaction levels after sales and services offered in a long run

4. SCOPE OF THE STUDY

It will help to know which small car brand is preferred .

It will help to know which manufacture is providing best service.

It will help to know strength and weakness of cars.

This study will also reveal the customers attitude towards small car

segment.

LIMITATIONS OF STUDY

Owing to the huge population size (sampling universe) spanning throughout

the Bangalore, it becomes almost impossible to cover all the places in the given

scope of study.

The results thus obtained are just an overview of the people who are in an

around Banglore

For the ease of analysis, percentage of respondents using the products was considered as the market share of the particular product in that category 5. RESEARCH DESIGN

Research design of the project gives us a insight about the customer perception

about the various automobile cars available in the market by making a comparative

analysis by preparing a questionnaire and exploring the view of customers on the

particular brand of small car segment.

Type of Research Used

An explorative research design involving a sample size of minimum 50 small car

owners were used for this purpose. The variables are included;

safety ,status ,operating expense, comfort, features, price, and power

Source of Data Collection

Primary source Owners of Maruti Swift, Hyundai i20, Ford Fiego.

Secondary source The data has been collected through print, electronic and

close interaction of responds

6. Sample Design

Sampling Technique

Non-Probability Sampling –

a. Convenience Sampling – The respondents were approached in the place

where it was near the residential areas and apartments

b. Judgment Sampling - The respondents were selected on the basis of those

who were most easily approachable and had good prospects of giving true

information.

Sample Size sample includes minimum of 50 small car owners .

Design of the Questionnaire

Closed- ended and open ended questionnaire will be used. Which would enable to keep the survey within well defined parameter while assessing the varied observation relating to the option indicated by customer .

7. Tools for Data Collection

Questionnaires, Personal interviews and secondary data collection from magazines

8.Plan of Analysis

The collected information i.e. primary data and secondary data are put into readable form and the data analysis is made using statistical tools like ANOVA is used and the findings are presented with the tables, charts and graphs, which makes the readable form .The charts, tables and graphs are prepared from the information obtained from the secondary sources.

.

9. CHAPTER SCHEME

Chapter 1- INTRODUCTION

It includes the theoretical aspect of the study and introduction to the research

topic.

Chapter 2- RESEARCH METHODOLOGY

Which includes Introduction part, Need for the study, Statement of the problem,

Scope of the study, Hypothesis, Objective, Research design, Sample design,

Source of data, Tools of analysis, Limitation of Study.

Chapter 3- INDUSTRY PROFILE

Which includes brief introduction about the automobile Industry and the

services .

Chapter 4- DATA ANALYSIS AND INTERPRETATION

It includes Analysis and interpretation of data. Analysis is carried on by

preparation of Tables, Graphs, Charts .

Chapter 5- FINDINGS AND SUGGESTION

It contains the Summary of findings and Suggestion. This chapter gives

summary of findings of the study along with the suggestion.

Chapter 6- CONCLUSION

This chapter gives conclusion of the study.

Prof. Veena.K.N Veerendra kumar.A

Faculty Guide.