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CHAPTER – 1

INTRODUCTION

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INTRODUCTION

AUTOMOBILE INDUSTRY

The automotive industry in India is one of the larger

markets in the world. It had previously been one of the fastest growing

globally, but is currently experiencing flat or negative growth rates. India's

passenger car and commercial vehicle manufacturing industry is the sixth

largest in the world, with an annual production of more than 3.9 million

units in 2011. According to recent reports, India overtook Brazil and

became the sixth largest passenger vehicle producer in the world (beating

such old and new auto makers as Belgium, United Kingdom, Italy, Canada,

Mexico, Russia, Spain, France, Brazil), grew 16 to 18 percent to sell around

three million units in the course of 2011 and 2012. In 2009, India emerged

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

Korea, and Thailand. In 2010, India beat Thailand to become Asia's third

largest exporter of passenger cars.

As of 2010, India is home to 40 million passenger vehicles. More than 3.7

million automotive vehicles were produced in India in 2010 (an increase

of 33.9%), making the country the second (after China) fastest growing

automobile market in the world in that year. According to the Society of

Indian Automobile Manufacturers, annual vehicle sales are projected to

increase to 4 million by 2015, no longer 5 million as previously projected.

The majority of India's car manufacturing industry is based around three

clusters in the south, west and north. The southern cluster consisting

of Chennai is the biggest with 35% of the revenue share. The western hub

near Mumbai and Pune contributes to 33% of the market and the northern

cluster around the National Capital Region contributes 32%. Chennai, with

the India operations of Ford, Hyundai, Renault, Mitsubishi, Nissan,

BMW, Hindustan Motors, Daimler, Caparo, and PSA Peugeot Citroën is

about to begin their operations by 2014. Chennai accounts for 60% of the

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country's automotive exports. Gurgaon and Manesar in Haryana form the

northern cluster where the country's largest car manufacturer, Maruti

Suzuki, is based. The Chakancorridor near Pune, Maharashtra is the

western cluster with companies like General Motors, Volkswagen,

Skoda, Mahindra and Mahindra, Tata Motors, Mercedes Benz, Land

Rover, Jaguar Cars, Fiat and Force Motors having assembly plants in the

area. Nashik has a major base of Mahindra and Mahindra with a SUV

assembly unit and an Engine assembly

unit. Aurangabad with Audi, Skoda and Volkswagen also forms part of the

western cluster. Another emerging cluster is in the state of Gujarat with

manufacturing facility of General Motors in Halol and further planned

for Tata Nano at their plant in Sanand. Ford, Maruti Suzuki and Peugeot-

Citroen plants are also set to come up in Gujarat. Kolkata with Hindustan

Motors, Noida with Honda and Bangalore with Toyota are some of the

other automotive manufacturing regions around the country.

In 2011, there were 3,695 factories producing automotive parts in all of

India. The average firm made US$6 million in annual revenue with profits

close to US$400 thousand.

The first car ran on India's roads in 1897. Until the 1930s, cars were

imported directly, but in very small numbers.

An embryonic automotive industry emerged in India in the

1940s. Hindustan was launched in 1942, long time competitor Premier in

1944. They built GM and Fiat products respectively. Mahindra &

Mahindra was established by two brothers in 1945, and began assembly

of Jeep CJ-3A utility vehicles. Following the independence, in 1947, the

Government of India and the private sector launched efforts to create an

automotive component manufacturing industry to supply to the

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automobile industry. In 1953 an import substitution programme was

launched, and the import of fully built-up cars began to be impeded.

The Hindustan Ambassador dominated India's automotive market from

the 1960s until the mid-80s,However, the growth was relatively slow in

the 1950s and 1960s due to Nationalization and the license raj which

hampered the Indian private sector. Total restrictions for import of

vehicles was set and after 1970 the automotive industry started to grow,

but the growth was mainly driven by tractors, commercial vehicles and

scooters. Cars were still a major luxury item. In the 1970s price

controls were finally lifted, inserting a competitive element into the

automobile market. By the 1980s, the automobile market was still

dominated by Hindustan and Premier, who sold superannuated products

in fairly limited numbers. During the eighties, a few competitors began to

arrive on the scene.

To promote the auto industry the government started the Delhi Auto

Expo which was had its debut showcasing in 1986. The Auto Expo of 1986

was a window for technology transfers showing how the Indian

Automotive Industry was absorbing new technologies and promoting

indigenous research and development for adapting these technologies for

the rugged Indian conditions. The 9 day show was marked by then Prime

Minister Rajiv Gandhi.

Liberalization

Eventually multinational automakers, such as, though not limited

to, Suzuki and Toyota of Japan and Hyundai of South Korea, were allowed

to invest in the Indian market ultimately leading to the establishment of an

automotive industry in India. Maruti Suzuki was the first, and the most

successful of these new entries, and in part the result of government

policies to promote the automotive industry beginning in the 1980s. As

India began to liberalize their automobile market in 1991, a number of

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foreign firms also initiated joint ventures with existing Indian companies.

The variety of options available to the consumer began to multiply in the

nineties, whereas before there had usually only been one option in each

price class. By 2000, there were 12 large automotive companies in the

Indian market, most of them offshoots of global companies.

Exports were slow to grow. Sales of small numbers of vehicles to tertiary

markets and neighboring countries began early, and in 1987 Maruti

Suzuki shipped 480 cars to Europe (Hungary). After some growth in the

mid-nineties, exports once again began to drop as the outmoded platforms

handed down to Indian manufacturers by multinationals were not

competitive. This was not to last, and today India manufactures low-priced

cars for markets across the globe. As of 18 March 2013 global brands such

as Proton Holdings, PSA Group, Kia, Mazda, Chrysler, Dodge and Geely

Holding Group are shelving plans for India due to the global economic

crisis.

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Emission norms

In tune with international standards to reduce vehicular

pollution, the central government unveiled the standards titled 'India

2000' in 2000 with later upgraded guidelines as 'Bharat Stage'. These

standards are quite similar to the more stringent European standards and

have been traditionally implemented in a phased manner, with the latest

upgrade getting implemented in 13 cities and later, in the rest of the

nation. Delhi(NCR), Mumbai, Kolkata, Chennai,Bangalore, Hyderabad, Ahm

edabad, Pune, 

Surat, Kanpur, Lucknow, Solapur, and Agra are the 13 cities where Bharat

Stage IV has been imposed while the rest of the nation is still under Bharat

Stage III.

Exports

India's automobile exports have grown consistently and reached $4.5

billion in 2009, with United Kingdom being India's largest export market

followed by Italy, Germany, Netherlands and South Africa. India's

automobile exports are expected to cross $12 billion by 2014.

According to New York Times, India's strong engineering base and

expertise in the manufacturing of low-cost, fuel-efficient cars has resulted

in the expansion of manufacturing facilities of several automobile

companies like Hyundai, Nissan, Toyota, Volkswagen and Maruti Suzuki.

In 2008, South Korean multinational Hyundai Motors alone exported

240,000 cars made in India. Nissan Motors plans to export 250,000

vehicles manufactured in its India plant by 2011. Similarly, US automobile

company, General Motors announced its plans to export about 50,000 cars

manufactured in India by 2011.

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In September 2009, Ford Motors announced its plans to set up a plant in

India with an annual capacity of 250,000 cars for US$500 million. The cars

will be manufactured both for the Indian market and for export.

The company said that the plant was a part of its plan to make India the

hub for its global production business. Fiat Motors also announced that it

would source more than US$1 billion worth auto components from India.

In July 2010, The Economic Times reported that PSA Peugeot Citroën was

planning to re-enter the Indian market and open a production plant in

Andhra Pradesh with an annual capacity of 100,000 vehicles, investing

EUR 700M in the operation. PSA's intention to utilize this production

facility for export purposes however remains unclear as of December

2010. In 2009 India (0.23m) surpassed China (0.16m) as Asia's fourth

largest exporter of cars after Japan (1.77m), Korea (1.12m) and Thailand

(0.26m) by allowing foreign carmakers 100% ownership of factories in

India, which China does not allow.

In recent years, India has emerged as a leading center for the manufacture

of small cars. Hyundai, the biggest exporter from the country, now ships

more than 250,000 cars annually from India. Apart from Maruti Exports'

shipments to Suzuki's other markets, Maruti Suzuki also manufactures

small cars for Nissan, which sells them in Europe. Nissan will also export

small cars from its new Indian assembly line. Tata Motors exports its

passenger vehicles to Asian and African markets, and is in preparation to

launch electric vehicles in Europe in 2010. The firm is also planning to

launch an electric version of its low-cost car the Tata Nano in Europe and

in the U.S. Mahindra & Mahindra is preparing to introduce its pickup

trucks and small SUV models in the U.S. market. Bajaj Auto is designing a

low-cost car for Renault Nissan Automotive India, which will market the

product worldwide. Renault Nissan may also join domestic commercial

vehicle manufacturer Ashok Leyland in another small car project. While

the possibilities are impressive, there are challenges that could thwart

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future growth of the Indian automobile industry. Since the demand for

automobiles in recent years is directly linked to overall economic

expansion and rising personal incomes, industry growth will slow if the

economy weakens.

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COMPANY PROFILE

Mahindra & Mahindra Limited

AN Indian multi national automobile manufacturing corporation

headquartered in Mumbai. It is one of the largest vehicle manufacturers by

production in India and the largest seller of tractors across the world. It is

a part of Mahindra Group, an Indian conglomerate.

It was ranked as the 10th most trusted brand in India, by The Brand Trust

Report, India Study 2014. It was ranked 21st in the list of top companies of

India in Fortune India 500 in 2011.

Its major competitors in the Indian market include Maruti Suzuki, Tata

Motors, Ashok Leyland, Toyota, Hyundai, Mercedes-Benz (Merc) and

others.

History

Mahindra & Mahindra was set up as a steel trading company in 1945

in Ludhiana as Mahindra & Mohammed by brothers K.C. Mahindra and J.C.

Mahindra and Malik Ghulam Mohammed. After India

gained independence and Pakistan was formed, Mohammed emigrated to

Pakistan. The company changed its name to Mahindra & Mahindra in

1948. It eventually saw business opportunity in expanding into

manufacturing and selling larger MUVs, starting with assembly under

licence of the Willys Jeep in India. Soon established as the Jeep

manufacturers of India, the company later commenced

manufacturing light commercial vehicles (LCVs) and agricultural tractors.

Today, Mahindra & Mahindra is a key player in the utility vehicle

manufacturing and branding sectors in the Indian automobile

industry with its flagship UV Scorpio and uses India's growing global

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market presence in both the automotive and farming industries to push its

products in other countries.

Over the past few years, the company has taken interest in new industries

and in foreign markets. They entered the two-wheeler industry by taking

over Kinetic Motors in India. M&M also has controlling stake in REVA

Electric Car Company and acquired South Korea's SsangYong Motor

Company in 2011. In the 2010-11 M&M entered in micro dripp irrigation

with the takeover of EPC Industry' Ltd, Nashik.

Operations

Automobiles

Mahindra & Mahindra, branded on its products usually as 'Mahindra',

produces SUVs, saloon cars, pickups, commercial vehicles, and two

wheeled motorcycles and tractors. It owns assembly plants

in India, Mainland China (PRC), the United Kingdom, and has three

assembly plants in the United States. Mahindra maintains business

relations with foreign companies like Renault SA, France.

M&M has a global presence and its products are exported to several

countries. Its global subsidiaries include Mahindra Europe S.r.l. based in

Italy, Mahindra USA Inc., Mahindra South Africa and Mahindra (China)

Tractor Co. Ltd.

Mahindra started making passenger vehicles firstly with the Logan in April

2007 under the Mahindra Renault joint venture. M&M will make its

maiden entry into the heavy trucks segment with Mahindra Navistar, the

joint venture with International Truck, USA.

Mahindra produces a wide range of vehicles including MUVs, LCVs and

three wheelers. It manufactures over 20 models of cars including larger,

multi-utility vehicles like the Scorpio and the Bolero. It formerly had a

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joint venture with Ford called Ford India Private Limited to build

passenger cars.

At the 2008 Delhi Auto Show, Mahindra executives said the company is

pursuing an aggressive product expansion program that would see the

launch of several new platforms and vehicles over the next three years,

including an entry-level SUV designed to seat five passengers and

powered by a small turbo diesel engine. True to their word, Mahindra &

Mahindra launched the Mahindra Xylo in January 2009, and as of June

2009, the Xylo has sold over 15000 units.

Also in early 2008, Mahindra commenced its first overseas CKD

operations with the launch of the Mahindra Scorpio in Egypt, in

partnership with the Bavarian Auto Group. This was soon followed by

assembly facilities in Brazil. Vehicles assembled at the plant in Bramont,

Manaus, include Scorpio Pik Ups in single and double cab pick-up body

styles as well as SUVs.

Mahindra planned to sell the diesel SUVs and pickup trucks starting in late

2010 in North America through an independent distributor, Global

Vehicles USA, based in Alpharetta, Georgia. Mahindra announced it will

import pickup trucks from India in knockdown kit (CKD) form to

circumvent the Chicken tax. CKDs are complete vehicles that will be

assembled in the U.S. from kits of parts shipped in crates. On 18 October

2010, however, it was reported that Mahindra had indefinitely delayed the

launch of vehicles into the North American market, citing legal issues

between it and Global Vehicles after Mahindra retracted its contract with

Global Vehicles earlier in 2010, due to a decision to sell the vehicles

directly to consumers instead of through Global Vehicles. However, a

November 2010 report quoted John Perez, the CEO of Global Vehicles USA,

as estimating that he expects Mahindra’s small diesel pickups to go on sale

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in the U.S. by spring 2011, although legal complications remain, and Perez,

while hopeful, admits that arbitration could take more than a year. Later

reports suggest that the delays may be due to an Mahindra scrapping the

original model of the truck and replacing it with an upgraded one before

selling them to Americans. In June 2012, a mass tort lawsuit was filed

against Mahindra by its American dealers, alleging the company of

conspiracy and fraud.

Mahindra & Mahindra has a controlling stake in Mahindra Reva Electric

Vehicles.

In 2011, it also gained a controlling stake in South Korea's SsangYong

Motor Company.

Mahindra has launched its relatively heavily publicised SUV, XUV 500,

code named as W201 in September 2011. The new SUV by Mahindra has

been designed in-house and it is developed on the first global SUV

platform that could be used for developing more SUVs. In India, the new

Mahindra XUV 500 comes in a price range between Rs 11.40 lakh to Rs 15

lakh. Besides India, the company also targets Europe, Africa, Australia and

Latin America for this model. Mahindra President Mr Pawan Goenka

stated that the company plans to launch six new models this fiscal. The

company launched CNG version of its mini truck Maxximo on 29 June

2012.

 A new version of Verito in diesel and petrol options was launched by the

company on 26 July 2012 to compete with Maruti's Dzire and Toyota

Kirloskar Motor's Etios.

Military Defence

The company has built and assembled military vehicles, commencing in

1947 with the importation of the Willys Jeep for use in World War II. Its

line of military vehicles include the Axe. It also maintains a joint venture

with BAE Systems, Defence Land Systems India.

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Energy

Mahindra & Mahindra entered the energy sector in 2002, in response to

growing demands for increased electric power in India.

Since then, more than 150,000 Mahindra Powerol engines and diesel

generator sets (gensets) have been installed in India, offering standard

proper quality power, as do most larger companies, in areas with arguably

less reliable grid electricity. The inverters, batteries, and gensets are

manufactured at three facilities in Pune (Maharastra), Chennai (Tamil

Nadu), and Delhi; and 160 service points across India offer 24-7 support

to most key markets. Powerol is present in countries across Latin America,

Africa, the Middle East, and Southeast Asia—and expanding into the

United Arab Emirates, Bangladesh, and Nepal. Mahindra Powerol's energy

services consist mostly of power leasing and telecom infrastructure

management. In 2006, it became a major market leader in the telecom

segment (and in 2011, its market share passed 45 percent). In 2007, it

won the Frost and Sullivan "Voice of the Customer" award for best

practices in telecom.

Mahindra Cleantech Ltd focuses in eco-friendly, or 'green' power. In

response to growing acceptance of Solar Power, it formed a subsidiary,

Mahindra Solar, in 2010 to offer a range of solar solutions, both off grid

and on grid, alongside Engineering, Procurement, and Construction (EPC).

Mahindra EPC is the Engineering Procurement & Construction arm of the

Mahindra group. A portfolio company under the Clean tech arm of

Mahindra Partners, they offer solar solutions spanning On-Grid solutions,

EPC (Engineering, Procurement and Construction) and Off-Grid Product

solutions. The company commenced its operations in the year 2011 and

has successfully commissioned over 60 MW worth of Solar PV projects.

Meanwhile, its off-grid products include power packs and rooftop setups

for business organisations and public institutions alongside rural

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electrification through lanterns and home and street lighting systems. The

company works closely with Mahindra’s farm equipment division to offer

lighting products to some of the more rural areas in India. It also works

with Mahindra Powerol to offer solar power backup to telecom sites in

India. In 2011, Mahindra Solar received a CRISIL rating of SP1A in 2011,

the highest rating for any solar photovaltaic off-grid company.

Farm equipment

Mahindra began manufacturing tractors for the Indian market during the

early '60s. It is the top tractor company in the world (by volume) with

annual sales total more than 200,000 tractors. Since its inception, the

company has sold over 2.1 million tractors. Mahindra & Mahindra’s farm

equipment division (Mahindra Tractors) has over 1,000 dealers servicing

approx. 1.45 million customers.

Mahindra tractors are available in 40 countries, including India, the United

States, China, Australia, New Zealand, Africa (Nigeria, Mali, Chad, Gambia,

Angola, Sudan, Ghana, and Morocco), Latin America (Chile, Argentina,

Brazil, Venezuela, Central America, and the Caribbean), South Asia (Sri

Lanka, Bangladesh, and Nepal), the Middle East (Iran and Syria) and

Eastern Europe (Serbia, Turkey, and Macedonia. Mahindra Tractors

manufactures its products at four plants in India, two in Mainland China,

three in the United States, and one in Australia. It has three major

subsidiaries: Mahindra USA, Mahindra (China) Tractor Company, and

Mahindra Yueda (Yancheng) Tractor Company (a joint venture with the

Jiangsu Yueda Group).

In 2003, the Farm Equipment Sector of Mahindra & Mahindra won

the Deming Application Prize and in 2007 it received the Japan Quality

Medal for implementing Total Quality Management in its entire business

operations. The company has garnered the highest customer satisfaction

index (CSI) in the industry at 88 percent. It earned a 2008 Golden Peacock

Award in the Innovative Product/Services category for its in-house

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development of a load car. In its 2009 survey of Asia’s 200 most admired

and innovative companies, the Wall Street Journal named Mahindra &

Mahindra one of the 10 most innovative Indian companies.

In addition to tractors, Mahindra sells other farm equipment. It has

expanded its product-line to include farm-support services via Mahindra

AppliTrac (farm mechanisation products), Mahindra ShubhLabh (seeds,

crop protection, and market linkages and distribution), and the Samriddhi

Initiative (farm counselling and information services).

Automotive models

Mahindra CJ500D

Mahindra MM540DP

Mahindra Armada

Mahindra Commander

Mahindra e2o, electric car

Mahindra Marshal

Mahindra Majar

Mahindra Legend

Mahindra Thar

Mahindra Invader

Mahindra Bolero

Mahindra Xylo

Mahindra Scorpio(Mahindra Goa in Europe)

Mahindra Verito

Mahindra XUV500

Mahindra Rexton

Mahindra Rodeo RZ

Mahindra Duro DZ

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Mahindra Centuro

Mahindra Pantero

Mahindra Flyte

Mahindra Kine

Mahindra Phanthom

Mahindra Quanto

Mahindra VeritoVibe

Mahindra Maxximo

Employees

As on 31 March 2013, the company had 34,612 employees, out of which

699 were women (2%). It also had around 16,000 temporary employees

on the same date.

Awards and recognitions

Bombay Chamber Good Corporate Citizen Award for 2006-07.

Business world FICCI-SEDF Corporate Social Responsibility Award

2007.

The Brand Trust Report ranked M&M as India's 10th Most Trusted

Brand in its India Study 2014 survey (from 20,000 brands analyzed).

Its Farm Equipment division received the Deming Prize in 2003.

Its Farm Equipment division received the Japan Quality Medal in 2007.

The US based Reputation Institute ranked M&M amongst the top Ten

Indian companies in its 'Global 200: The World's Best Corporate

Reputations' list for 2008.

Blue bytes News rated M&M as India's second Most Reputed Car

Company (reported in their study titled Reputation Benchmark Study)

conducted for the Auto (Cars) Sector in 2012

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CHAPTER - 2

REVIEW OF LITERATURE

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REVIEW OF LITERATURE

DR.N.NAGARAJA

The state of satisfaction depends on a number of both psychological

and physical variables which correlate with satisfaction behaviour such as

return and recommend rate. The level of satisfaction can also vary

depending on other options the customer may have and other products

against which the customer can compare the organization's products. A

business ideally is continually seeking feedback to improve customer

satisfaction. "Customer satisfaction provides a leading indicator of

consumer purchase intentions and loyalty. "Customer satisfaction data are

among the most frequently collected indicators of market perceptions.

Their principal use is twofold:" "Within organizations, the collection,

analysis and dissemination of these data send a message about the

importance of tending to customers and ensuring that they have a positive

experience with the company’s goods and services." Secondly, "Although

sales or market share can indicate how well a firm is performing currently,

satisfaction is perhaps the best indicator of how likely it is that the firm’s

customers will make further purchases in the future.

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A Work done by Parasuraman between 1985 and 1988 provides the basis

for the measurement of customer satisfaction with a service by using the

gap between the customer's expectation of performance and their

perceived experience of performance. This provides the measurer with a

satisfaction "gap" which is objective and quantitative in nature. Work done

by Cronin and Taylor propose the "confirmation/disconfirmation" theory

of combining the "gap" described by Parasuraman, Zeithaml and Berry as

two different measures (perception and expectation of performance) into

a single measurement of performance according to expectation.

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CHAPTER – 3

RESEARCH

METHODOLOGY

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TYPE OF RESEARCH

The type of research used in this study is descriptive quantitative research.

Quantitative research generally involves collecting and converting data into

numerical form so that statistical calculations can be made and conclusions

drawn. The type of research used is Quantitative research. This type of

research methods requires quantifiable data involving numerical and statistical

explanations. Quantitative analysis hinges on researchers understanding the

assumptions inherent within different statistical models. Systematic empirical

investigation of quantitative properties and phenomena and their relationships

Asking a narrow question and collecting numerical data to analyze

utilizing statistical methods. The quantitative research designs are

experimental, correlation, and survey (or descriptive). Statistics derived from

quantitative research can be used to establish the existence of associative or

causal relationships between variables. Quantitative research is linked with the

philosophical and theoretical stance of positivism.

The Quantitative data collection methods rely on random sampling and

structured data collection instruments that fit diverse experiences into

predetermined response categories. These methods produce results that are

easy to summarize, compare, and generalize. Quantitative research is

concerned with testing hypotheses derived from theory and/or being able to

estimate the size of a phenomenon of interest. Depending on the research

question, participants may be randomly assigned to different treatments .If this

is not feasible, the researcher may collect data on participant and situational

characteristics in order to statistically control for their influence on the

dependent, or outcome, variable. If the intent is to generalize from the research

participants to a larger population, the researcher will employ probability

sampling to select participants.

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Quantitative research aim to measure the quantity or amount and compares it

with past records and tries to project for future period. In social sciences,

“quantitative research refers to the systematic empirical investigation of

quantitative properties and phenomena and their relationships”. The objective

of quantitative research is to develop and employ mathematical models,

theories or hypothesis pertaining to phenomena. The process of measurement

is central to quantitative research because it provides fundamental connection

between empirical observation and mathematical expression of quantitative

relationships. Statistics is the most widely used branch of mathematics in

quantitative research. Statistical methods are used extensively with in fields

such as economics and commerce. Quantitative research involving the use of

structured questions, where the response options have been Pre-determined and

large number of respondents is involved.

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OBJECTIVE OF THE STUDY

The objectives of the study are as follows:

• The main objective is to find out the customer satisfaction level on

post-sales service of TVS-MAHINDRA

• To identify whether services of TVS-MAHINDRA are up to the

customers expectations or not;

• To identify the areas for improvement so that the quality of TVS-

MAHINDRA’S post sales service is enhanced.

TIME PERIOD COVERED:

The duration of the project is 12 weeks. The organization is studied for

a period of 12 weeks and data is collected using a structured questioner. Those

data’s are used for further analyses.

DATA AND SOURCES OF DATA

Primary Data

Primary data was collected through structured questionnaires distributed

among the customers who purchased the four wheelers of Mahindra

automobiles.

The questionnaire was designed to identify the customers satisfaction

level before and after the service is provided. It is a five point scale

questionnaire.

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Secondary data

Secondary information is collected from the different journals, internet

and periodicals, car manufacturers websites and the employees.

STATISTICAL TOOL

The statistical tools to be used for the study are correlation, one way ANOVA,

regression and descriptive.

Analysis of variance (ANOVA) is a collection of statistical models used to

analyze the differences between group means and their associated procedures

(such as "variation" among and between groups), developed by R.A. Fisher. In

ANOVA setting, the observed variance in a particular variable is partitioned

into components attributable to different sources of variation. In its simplest

form, ANOVA provides a statistical test of whether or not the means of several

groups are equal, and therefore generalizes the t -test  to more than two groups.

Doing multiple two-sample t-tests would result in an increased chance of

committing a type I error. For this reason, ANOVAs are useful in comparing

(testing) three or more means (groups or variables) for statistical significance.

Regression : It is used when we want to predict the value of a variable based

on the value of two or more other variables. The variable we want to predict is

called the dependent variable (or sometimes, the outcome, target or criterion

variable). The variables we are using to predict the value of the dependent

variable are called the independent variables (or sometimes, the predictor,

explanatory or regressor variables).

In order to find the interrelation between the service quality variables and

customer satisfaction, correlation is used. One way ANOVA is used to analyse

how customers perceive about service quality based on their area of residence.

Regression analysis helps to find out the level of satisfaction that customers

acquired. Rank correlation was used to identify the most faced problems by the

customers and to suggest measures to the problem.

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METHODOLOGY

The study is exploratory in nature and based on primary and secondary

information. Secondary information is collected from the different

journals, internet and periodicals, car manufacturers websites. Primary‟

information is gathered using questionnaires. To elicit the responses, a

detailed questionnaire has been designed. Information is obtained from

the customers visiting the showroom and service centre . A preliminary

questionnaire is developed using 5 point Likert scales. The questionnaire

is pre-tested several times to arrive at appropriate wording, format, length

and sequencing of the questions.

Post-Sales Service: Key to Growth

According to the many business gurus and many more successful

companies, the key to success lies not only in having a good product, but

also in being able to provide the customer with the level of service they

desire. Customer service is defined as “a function of how well an

organization meets the needs of its customers”. Post-sales service is a

concern area for customers as their expectations on the overall quality

continue to go higher. Moreover, the increasingly growing demand for

after sales support and better services has compelled the manufacturers

to focus and invest more on R&D, reaching the customer, and satisfaction.

26

Because of increasing competitiveness in the Indian automotive

industry, almost all the automotive manufacturers have invested valuable

resources on customer satisfaction as a tool to understand the needs and

expectations of their customers. All manufacturers are taking efforts for

highest level of customer satisfaction by taking care of service and

maintenance through a vast network of more dealers and service outlets

spread across the country

27

CHAPTER - 4

ANALYSIS AND

INTERPRETATION

28

DEMOGRAPHIC PROFILE

The demographic variables used in this study are gender, age, profession , income,

marital status.

Gender

The following table shows the distribution of customers’ gender:

Statistics

gender

NValid 100

Missing 0

gender

Frequency Percent Valid

Percent

Cumulative

Percent

Valid

male 97 97.0 97.0 97.0

female 3 3.0 3.0 100.0

Total 100 100.0 100.0

About 97% of samples comprise of male and 3% are of females. This shows that

maximum customers are male.

29

Marital status

The following table shows the distribution of customers’ Marital Status :

Statistics

Marital status

NValid 100

Missing 0

Marital status

Frequency Percent Valid

Percent

Cumulative

Percent

Valid

married 89 89.0 89.0 89.0

single 11 11.0 11.0 100.0

Total 100 100.0 100.0

30

About 89% of customers married and 11% of customers are single. This shows that

maximum customers are Married.

Age

For the study, customers of different age groups where considered. The following table

shows the distribution of customers’ across various age groups:

Statistics

age

NValid 100

Missing 0

31

age

Frequency Percent Valid

Percent

Cumulative

Percent

Valid

under 20 10 10.0 10.0 10.0

21-30 51 51.0 51.0 61.0

31-40 35 35.0 35.0 96.0

41-50 4 4.0 4.0 100.0

Total 100 100.0 100.0

51 % of customers belonged to the age group of 21- 30 years, 35% of customers

belonged to the age group of 31 - 40 years, 4% of customers belonged to the age group

of 41 - 50 years and. This shows that most of the customers fall under group of 21-30

years.

32

Income

The following table shows the distribution of customers’ Income :

Statistics

income

NValid 100

Missing 0

income

Frequency Percent Valid

Percent

Cumulative

Percent

Valid

20001-

3000018 18.0 18.0 18.0

30001-

4000082 82.0 82.0 100.0

Total 100 100.0 100.0

About 82% of customers belong to income group of 30001-40000 and 18% belong to

20001-30000. This shows that maximum customers belong to 30001-40000 Income

group

33

Profession

For the study, customers of different occupation where considered. The following table

shows the distribution of customers’ across various occupation:

Statistics

profession

NValid 100

Missing 0

34

profession

Frequency Percent Valid

Percent

Cumulative

Percent

Valid

business 90 90.0 90.0 90.0

house wife 10 10.0 10.0 100.0

Total 100 100.0 100.0

90% of customers are business , 10% of customers are house wife. This study comprises

more of business men.

35

Regression

Model Summary

Model R R Square Adjusted R

Square

Std. Error of

the Estimate

1 .340a .116 .088 .47598

a. Predictors: (Constant), examining the vehicle,

reminder from dealer, use of customer waiting area

ANOVAa

Model Sum of

Squares

df Mean Square F Sig.

1

Regression 2.840 3 .947 4.179 .008b

Residual 21.750 96 .227

Total 24.590 99

a. Dependent Variable: satisfied with service

b. Predictors: (Constant), the vehicle, reminder from dealer, use of customer

waiting area.

36

Coefficientsa

Model Unstandardized

Coefficients

Standardized

Coefficients

t Sig.

B Std. Error Beta

1

(Constant) 4.106 2.008 2.045 .044

Reminder from dealer .194 .079 .241 2.471 .015

Use of customer

waiting area.342 .162 .216 2.106 .038

Examining the vehicle -.519 .513 -.104 -1.011 .0315

a. Dependent Variable: satisfied with service

There is association between two variables as the significance is < 0.05

Oneway

ANOVA

Sum of

Squares

df Mean Square F Sig.

Satisfied with

ambience

Between Groups.074 3 .025 .410 .746

Within Groups 5.766 96 .060

Total 5.840 99

Satisfied with service

Between Groups10.697 3 3.566 24.639 .000

Within Groups 13.893 96 .145

Total 24.590 99

Price of serviceBetween Groups.076 3 .025 .435 .729

Within Groups 5.564 96 .058

37

Total 5.640 99

Test ride after

service

Between Groups.000 3 .000 . .

Within Groups .000 96 .000

Total .000 99

Satisfied with space

Between Groups.124 3 .041 .815 .489

Within Groups 4.866 96 .051

Total 4.990 99

Location of outlet

Between Groups.464 3 .155 3.467 .019

Within Groups 4.286 96 .045

Total 4.750 99

There is homogeneity between the variables as the significance is > 0.05

38

CHAPTER - 5

FINDINGS, SUGGESTIONS

AND CONCLUSION

FINDINGS

The main aim of the study is to analyse customer satisfaction on post sales service . The

findings of the study are as follows:

39

The output or results are given below:

Level of satisfaction

Strongly agree

Agree

NA OR ND 1% customers require better service

Disagree

Strongly disagree

Percentage of satisfaction

Suggestions:

Customers require reminders about service intervals

Customers require information on cost of service via e-mails

97% customers are satisfied with the service provided

2% customers are happy

40

Customers require a much bigger waiting area

Customers wants to be asked for test drive vehicle after service

As the outcome of the survey conducted the customers are satisfied with the service

provided and they require their suggestions to be looked into and proper changes to be

made.

CONCLUSION

The customer satisfaction is an important aspect of marketing. The organisations or

firms my always try their level best to satisfy the customers. The post sales service

should be done properly in order to maintain good customer relation.

BIBILIOGRAPHY

Parasuraman, A., Berry, L. L., and Zeithaml, V. A. (1988).

Dr. N.NAGARAJA and NATARAJAN