“Market survey on the decision making process purchase the motorcycle among the resident of the Jalandhar city.”

Submitted To: Punjab Technical University Jalandhar .

In partial fullfilment of the degree in Master of Business Adminstration (MBA).

Submitted by: Submitted to: Kuna Sharma Ms.Prabhjot Kaur

(81407317099) Lecturer in management, CTIMIT)

MBA 4th SEM

(Session 2008- 2010)

CT Institute Of Management &

ITJalandhar.GUIDE CERTIFICATE

This is to certify that the research project titled “Market survey on the decision making process purchase the motorcycle among the resident of the Jalandhar city.” Has been conducted under my guidance and supervision. This project has been submitted to Punjab Technical University for the partial fulfillment of the award of degree in Masters of Business Administration. This project has not been submitted in any other institute or university.The project is submitted by: Kunal Sharma(Roll no: 81407317099).The sincerely of efforts put in during the course of investigation is hereby acknowledged.

Date. Ms. Prabhjot kaur (CTIMIT)

STUDENTS DECLARATION

This project entitled “Market survey on the decision making process purchase the motorcycle among the resident of the Jalandhar city.” is submitted in partial fulfillment of the requirement for the award of degree of master of business administration of Punjab technical university, Jalandhar . This research work is done by Kunal Sharma, .This research work has been done only for MBA only and non of this research work has been submitted for any other degree.The assistance and help during the execution of the project has been fully acknowledged.

ACKNOWLEDGEMENT

I take this opportunity to express my deep sense of gratitude to all my

friends and seniors who helped and guide me to complete this project

successfully. I also thankful to the Residents of Jalandhar, Who helped me

to fill up our questionnaires by giving their precious time. I highly grateful

and indebted to Ms.Prabjot Kaur, (lecturer in management CTIM&IT)

for his excellent and expert guidance in helping me in completion of project

report.

PREFACE

In the present context not only the theoretical knowledge is

important, but the practical exposure of that theoretical knowledge has an

equal importance too. To tame or to become an expert in a particular

discipline a person needs practical doses of that knowledge from time to

time.

So keeping this thing into view and to get a practical exposure, I conducted

a survey in the city of Jalandhar. By doing this survey I came to know about

lot of problems which the students have to suffer while conducting the

research works.

INDEX

Serial No. Particulars Page No.

1 Preface

2. Acknowledgement

3. Guide Certificate

4. Students Declaration

5. Introduction

6. Objectives

7. Research methodology

8. Data Analysis & Interpretation

9. Limitations

10. Findings

11. Suggestions

12. Conclusion

13. Bibliography

14. Annexure

Introduction

Indian Two-Wheeler Industry:

The Indian two-wheeler industry has come long way since its humble beginning in 1948 when Bajaj Auto started importing and selling Vespa Scooters in India. Since then, the customer preferences have changed in favour of motorcycles and gearless scooterettes that score higher on technology, fuel economy and aesthetic appeal, at the expense of metal-bodied geared scooters and mopeds. These changes in customer preferences have had an impact on fortunes of the players. The erstwhile leaders have either perished or have significantly lost market share, whereas new leaders have emerged.

Rising income levels, reducing excise duties, higher loan tenure and loan-to-value offered by the financing companies have all fuelled the growth of two-wheeler sales in the country. Besides, mounting traffic chaos and limited parking space has also increased the demand for two-wheelers from households that can afford or actually do own a car. Furthermore, with increasing women working population, changing social philosophy and broad-mindedness, the penetration of two-wheelers that is currently at abysmally low level is expected to increase significantly going forward.

CARE Research has developed a statistical model that attempts to forecast the domestic two wheeler sales on the basis of ownership cost and the target population that includes young populace that can afford but do not own a two wheeler. Other qualitative factors like macro-economic outlook, consumer confidence, willingness of vehicle financers to finance TWs, etc. have also been quantitatively built in demand forecasting model.

CARE Research foresees the growth of two-wheeler sales to be healthy during the period FY09-14, albeit with some short-term hiccups. According to CARE Research, rural India would drive the growth, whereas the opportunity in urban India, especially bigger cities, is limited.

Abundant and low cost labour coupled with local availability of raw materials like steel, aluminium and natural rubber has placed India amongst the low cost producing centres of two-wheelers. Consequently, CARE Research anticipates buoyant growth in two-wheeler exports as well.

I. Industry SectionThis section begins with providing an introduction to the industry including the industry evolution and thetypes of vehicles sold.The characteristics of the industry and the demand drivers are discussed at length. It also covers the dutystructure of the industry.Detailed analysis of historical trends for each vehicle segment (namely, motorcycles, scooters, mopeds andelectric two-wheelers) and sub-segment (based on engine capacity) is also presented in this section for bothdomestic as well as export market.This section also discusses about the players and competition in the industry, their respective

products/brands and how each of the players fared in the industry.Cost analysis of the industry is also provided by discussing the key cost items and trends thereof, the trendsin the prices of key raw materials and the trends in the operating margins of the industry for the last three

II. Outlook SectionThis section exclusively provides the outlook on the industry.The forecasts of domestic two-wheeler sales for each vehicle segment for each of the next five years tillFY 2013-14 are provided in this section. This helps in identifying the opportunity for a particular vehiclesegment. The methodology to forecast domestic sales is also discussed in depth in this section as a boxitem.The forecasts of two-wheeler exports for each vehicle segment for each of the next five years till FY2013-14 are also the part of this section. Segmental forecasts help segregate winners from losers.Opportunity in the domestic market is also provided on the basis of broader regional classification.Besides, the two-wheeler penetration for select cities is also provided along with the per capita income ofthe city. This data and analysis could help the vested parties to act accordingly.Medium term outlook on profitability is also provided in this section.

III. Company SectionThis section provides the in-depth profiles of the top three companies, namely Hero Honda, Bajaj Auto andTVS Motors.General information like the year of incorporation, promoter group, installed capacities and production,subsidiaries and joint-ventures is provided in addition to financial information and stock prices for eachcompany.The company section also provides the product profile and product range for each company. Besides, itsummarises the recent corporate actions, strengths and weakness of each company.IV. Annexure

This section contains various tables that provide systematically designed information relating to theindustry.It begins with providing a gist that gives company-wise important models of motorcycles, geared scooters,gearless scooterettes and mopeds offered in the market.This section also provides various tables presenting segment-wise as well as company-wise data ondomestic sales as well as exports for the past 5 years.For an in-depth understanding and analysis of the Indian two-wheeler industry and CAREResearch’s outlook on the sector with its segment-wise forecast of domestic sales as well as exports foreach year till FY 2013-14 and other key trends in the industry foreseen, please refer to the Report on TheIndian Two-wheeler Industry, June - 2009 by CARE Research.The subscription to this report includes monthly updates on the industry for the period July 2009 to June2010.

Profile of players in motorcycle industry

Hero Honda Motors Limited

Hero” is the brand name used by the Munjal brothers for their flagship company Hero Cycles Ltd. A joint venture between the Hero Group and Honda Motor Company was established in 1984 as the Hero Honda company,India.

During the 1980s, the company introduced motorcycles that were popular in India for their fuel economy and low cost. A popular advertising campaign based on the slogan 'Fill it - Shut it - Forget it' that emphasised the

motorcycle's fuel efficiency helped the company grow at a double-digit pace since inception.

Hero Honda has three manufacturing facilities based at Dharuhera and Gurgaon in Haryana and at Haridwar in Uttarakhand. These plants together are capable of churning out 3.9 million bikes per year.[citation needed] Hero Honda's has a large sales and service network with over 3,000 dealerships and service points across India. Hero Honda's customer loyalty program, the Hero Honda Passport Program, claims to be one of the largest programs of its kind in the world with over 3 million members.

The 2006 Forbes 200 Most Respected companies list has Hero Honda Motors ranked at 108.

Achiever Ambition 133, Ambition 135 CBZ , CBZ Star, CBZ Xtreme CD 100, CD 100 SS, CD Dawn, CD Deluxe, CD Deluxe (Self Start) Glamour, Glamour F.I Hunk Joy Karizma , Karizma R, Karizma ZMR FI Passion, Passion+, Passion Pro Pleasure Street Splendor , Splendor+, Splendor+ (Limited Edition), Super Splendor,

Splendor NXG

Bajaj AutoBajaj Auto is a major Indian automobile manufacturer started by a Rajasthani merchant. It is world's fourth largest manufacturer of two-wheelers[1] and India's second largest two wheeler manufacturer[2] and the world's 4th largest two- and three-wheeler maker.[citation needed] It is based in Pune, Maharashtra, with plants in Akurdi and Chakan (Pune), Waluj (near

Aurangabad) and Pantnagar in Uttaranchal. Bajaj Auto makes and exports motorscooters, motorcycles and the auto rickshaw.

The Forbes Global 2000 list for the year 2005 ranked Bajaj Auto at 1946.[3]

Over the last decade, the company has successfully changed its image from a scooter manufacturer to a two wheeler manufacturer. Its product range encompasses scooterettes, scooters and motorcycles. Its real growth in numbers has come in the last four years after successful introduction of a few models in the motorcycle segment.

The company is headed by Rahul Bajaj who is worth more than US$1.5 billion.

Bajaj Auto came into existence on November 29, 1945 as M/s Bachraj Trading Corporation Private Limited. It started off by selling imported two- and three-wheelers in India. In 1959, it obtained license from the Government of India to manufacture two- and three-wheelers and it went public in 1960. In 1970, it rolled out its 100,000th vehicle. In 1977, it managed to produce and sell 100,000 vehicles in a single financial year. In 1985, it started producing at Waluj in Aurangabad. In 1986, it managed to produce and sell 500,000 vehicles in a single financial year. In 1995, it rolled out its ten millionth vehicle and produced and sold 1 million vehicles in a year.

According to the authors of Globality: Competing with Everyone from Everywhere for Everything, Bajaj has grown operations in 50 countries by creating a line of value-for-money bikes targeted to the different preferences of entry-level buyers.[

Timeline of new releases 1960-1970 - Vespa 150 - Under the licence of Piaggio of Italy 1971 - three-wheeler goods carrier 1972 - Bajaj Chetak 1976 - Bajaj Super 1977 - Rear engine Autorickshaw 1981 - Bajaj M-50 1986 - Bajaj M-80, Kawasaki Bajaj KB100

1990 - Bajaj Sunny 1991 - Kawasaki Bajaj 4S Champion 1994 - Bajaj Classic 1995 - Bajaj Super Excel 1997 - Kawasaki Bajaj Boxer, Rear Engine Diesel Autorickshaw 1998 - Kawasaki Bajaj Caliber, Bajaj Legend, India's first four-stroke

scooter, Bajaj Spirit 2000 - Bajaj Saffire 2001 - Eliminator, Bajaj Pulsar 2003 - Caliber115, Bajaj Wind 125, Bajaj Pulsar 2004 - Bajaj CT 100, New Bajaj Chetak 4-stroke with Wonder Gear,

Bajaj Discover DTS-i 2005 - Bajaj Wave, Bajaj Avenger, Bajaj Discover 2006 - Bajaj Platina 2007 - Bajaj Pulsar-200 (Oil Cooled), Bajaj Kristal, Bajaj Pulsar 220

DTS-Fi (Fuel Injection) , XCD 125 DTS-Si 2008 - Bajaj Discover 135 DTS-i - sport (Upgrade of existing 135cc

model) 2009 - Bajaj Pulsar 135(December 9)[6](January) Bajaj XCD 135 cc ,

Bajaj Pulsar 150 DTS-i UG IV, Bajaj Pulsar 180 DTS-i UG IV, Bajaj Pulsar 220 DTS-i , Bajaj Discover 100 DTS-Si.

Low cost cars

Bajaj Auto says its $2,500 car, which it is building with Renault and Nissan Motor, will aim at a fuel-efficiency of 30 km/litre, or twice an average small car, and carbon dioxide emissions of 100 gm/km. [10]

It is a Tata Nano competitor. The Bajaj venture will have an initial capacity of 400,000 units, while Tata expects eventual demand of 1 million Nanos.

YamahaYamaha was established in 1887 as a piano and reed organ manufacturer by Torakusu Yamaha as Nippon Gakki Company, Limited (日本楽器製造株式会社 Nippon Gakki Seizō Kabushiki Gaisha?) (literally Japan Musical Instrument Multinational Corporation) in Hamamatsu, Shizuoka prefecture, and was incorporated on October 12, 1897. The company's origins as a musical instrument manufacturer is still reflected today in the group's logo—a trio of interlocking tuning forks. [3]

After World War II, company president Genichi Kawakamisaki repurposed the remains of the company's war-time production machinery and the company's expertise in metallurgical technologies to the manufacture of motorcycles. The YA-1 (AKA Akatombo, the "Red Dragonfly"), of which 125 were built in the first year of production (1958), was named in honor of the founder. It was a 125cc, single cylinder, two-stroke, street bike patterned after the German DKW RT125 (which the British munitions firm, BSA, had also copied in the post-war era and manufactured as the Bantam and Harley-Davidson as the Hummer). In 1959, the success of the YA-1 resulted in the founding of the Yamaha Motor Co., Ltd.

Yamaha has grown to become the world's largest manufacturer of musical instruments (including pianos, "silent" pianos, drums, guitars, brass instruments, woodwinds, violins, violas, celli, vibraphones, and saxophones), as well as a leading manufacturer of semiconductors, audio/visual, computer related products, sporting goods, home appliances, specialty metals, and industrial robots.[citation needed]

In October 1987, on its 100th anniversary, the name was changed to The Yamaha Corporation.

In 1989, Yamaha shipped the world's first CD recorder.[chronology source needed] Yamaha purchased Sequential Circuits in 1988[chronology source needed] and bought a significant share (51%) of competitor Korg in 1989–1993.

In 2002, Yamaha closed down its archery product business that was started in 1959. Six archers in five different Olympic Games won gold medals using their products.[2]

It acquired German audio software manufacturers Steinberg in 2004, from Pinnacle Systems.

In July, 2007, Yamaha bought out the minority shareholding of the Kemble family in Yamaha-Kemble Music (UK) Ltd, Yamaha's UK import and musical instrument and professional audio equipment sales arm, the company being renamed Yamaha Music U.K. Ltd in autumn 2007.[3] Kemble & Co. Ltd, the UK piano sales & manufacturing arm was unaffected.[4]

On December 20, 2007, Yamaha made an agreement with the Austrian Bank BAWAG P.S.K. Group BAWAG to purchase all the shares of Bösendorfer [5] , intended to take place in early 2008. Yamaha intends to continue manufacturing at the Bösendorfer facilities in Austria.[6]The acquisition of Bösendorfer was announced after the NAMM Show in Los Angeles, on January 28, 2008. As of February 1, 2008, Bösendorfer Klavierfabrik GmbH operates as a subsidiary of Yamaha Corp.[7]

Yamaha Corporation is also widely known for their music teaching programme that began in the 1980s.

Yamaha electronic pianos continue to be a successful, popular and respected product. For example the Yamaha YPG-625 was given the award "Keyboard of the Year" and "Product of the Year" in 2007 from The Music and Sound Retailer magazine

Royal EnfieldRoyal Enfield was the name under which the Enfield Cycle Company (a division of the British arms-making company Royal Small Arms Factory in Enfield Lock), made motorcycles, bicycles, lawnmowers and stationary engines. This legacy of weapons manufacture is reflected in the logo, a cannon, and their motto "Made like a gun, goes like a bullet". Use of the brand name Royal Enfield was licensed by the Crown in 1890. The original

Redditch, Worcestershire based company was sold to E. & H. P. Smith in 1963 and then to Norton-Triumph-Villiers (NVT). Production ceased in 1970 and the company was dissolved in 1971.[1]

In 1955 Enfield of India started assembling Bullet motorcycles under licence from UK components, and by 1962 were manufacturing complete bikes. Enfield of India bought the rights to use the Royal Enfield name in 1995. Royal Enfield production, based in Chennai, continues and Royal Enfield is now the oldest motorcycle brand in the world still in production with the Bullet model enjoying the longest motorcycle production run of all time.

Products

Royal Enfield Clipper, Crusader Bullet Intercepto WD/RE, Super Meteor \

TVS Motors

TV Sundaram Iyengar and Sons Limited (TVSs) is the holding company for the TVS Group of companies engaged in the manufacturing of various automotive components, two wheelers and a few other industrial products. They are also into the financial services sector. The turnover of the entire group was close to $2 billion in 2003.

TVS was founded by T. V. Sundaram Iyengar in 1911, whose son, Vishwa Chhoda Ganduwala, gave guest lectures in IIM, Lucknow.

It is the only automotive manufacturer in India to get the prestigious Deming Prize. One of its subsidiaries Sundaram Clayton was the first company in

India to receive the Deming followed by Sundaram Brake Linings also getting the Deming Prize. This prize is "given to organizations or divisions of organizations that have achieved distinctive performance improvement through the application of TQM in a designated year."[2] Sundaram Clayton went on to be awarded the Japan Quality Medal.

The TVS group of companies is mainly situated in Padi, Tamil Nadu, in the outskirts of Chennai (formerly Madras).

The major products

Motorcycles TVS MAX 100 TVS Fiero TVS Samurai TVS Shaolin TVS Shogun TVS Apache (150 cc,13.7 Ps @8500rpm) TVS Apache RTR 160 TVS Apache RTR 160 EFI (Electronic Fuel Injection) TVS Apache RTR 180 (17.3ps) TVS Centra TVS Fiero TVS Fiero F2 TVS Fiero FX TVS Flame

TVS Flame (125 cc,ccvti technology) TVS Jive TVS MAX 100 TVS MAX R 100 TVS Star TVS Star City TVS Star Sport TVS Supra TVS Victor (110 cc)

Lohia Machinery Limited(LML)

Incorporated as Lohia Machines Private Limited in 1978, the company was engaged in manufacture of synthetic yarn manufacturing machines in technical collaboration with ARCT, France. In 1978, it became a public limited company and diversified into processing synthetic yarn.

In 1984 a technical collaboration agreement was signed with Piaggio of Italy and a scooter project was set up. In 1986, the LML NV was launched. The relationship with Piaggio was redefined to that of a partner in 1990, both partners having equal equity participation of 23.6% each. The LML Select was launched in 1993, with new age technology and aesthetics, and became an instant success. LML's joint venture with Piaggio ended in 1999. LML continued to manufacture the Star, a classically styled steel-bodied scooter with twist-shift 4-speed manual transmission and a 150cc two-stroke engine. Some of these were distributed in the United States as the Stella and in the UK as AKII's Aura LML & A.K. International (I&E) Ltd was appointed the sole distributor for U.K. In 2008, Star deluxe was re-introduced to the U.K. market by A.K. International (I&E) Ltd, with the Via Toscana as the euro 3 compliant model.

Again in 1999, an agreement was signed with Daelim Motor Company of South Korea to manufacture 4-stroke motorcycles. In 2000 the company was recognized by the Indian Ministry of Science and Technology for remarkable success in introducing new models/upgrades of scooters in the market with more fuel-efficient engines, new electrical systems, latest emission norms, upgraded technology, better styling etc., and that year entered the motorcycle market with upper end lifestyle bikes in 100 cc, using 3-valve technology.

Freedom, LML's first deluxe commuter motorcycle in 110 cc, was launched in 2002. The next year Spirit of Freedom (range expansion through colours) was launched. In 2004 the company introduced the LML Graptor, marking its entry into the 150 cc lifestyle segment. It was the first indigenously designed bike from Ugoli, Italy. 2004 marked LML's transition from a single product company to a multi-product two wheeler company with three simultaneous launches: the LML Graptor (150 cc), the LML Freedom Prima (110 cc) and LML Freedom Prima (125 cc).

Owing to excesses and over-spending the company has been under financial constraints ever since its foray into bi-wheeler manufacturing,with dividend being declared only twice to its shareholders in spite of contemporary bi-

wheeler manufacturers like TVS, Hero Honda AND Bajaj Auto not only growing multi folds but also enhancing shareholder's worth. Even new entrants into the scooter market like Honda Motorcycle & Scooter have achieved volumes of 50,000 units per month, which LML could never achieve with its full range of scooters and motorcycles.

The bankruptcy has dealt a severe blow to SSI units in Kanpur,who were engaged in feeding critical and propriety items to LML since early 80's, with many closing down or facing huge financial burden on themselves. The workmen and staff of LML and vendor SSI Units, who have been out of work since Feb 2006 are also finding it extremely difficult to make both ends meet and to even feed their dependents.

New finance has been invested by Credit Suisse and other institutions and the factory reopened in March 8, 2008 to manufacture geared Vespa style scooters, primarily for export only.

As of October 2009, has its limited production of LML Vespa 150 NV Four Stroke (also known as Stella Four Stroke) and has started sales in Delhi and Ghaziabad (India). Also they are exporting the Stella 150 2 stroke (LML Vespa NV Spl) with compliance to the Euro Norms. They also have plans to expand into the gearless 4 stroke market in India probably with the long talked about LML Clipper 125 4 stroke (Vespa ET4 clone), which was the last product from the Vespa/LML tieup.

Current motorcycle lines LML 'Via Toscana' 125 (2009 UK)(re badged STAR) LML STAR 125 DLX + 150 version UK & Europe LML STELLA 150 (North America) LML 'STAR' from LML Italia 2 stroke and SEP 09 onwards 4t

125,150 200cc geared scooters. geared 4t jota 2010 LML BELLA DONNA 150 RV (Australasia) LML NV SPL export and some to domestic market 2008 onwards LML NV 4 Stroke (Delhi and Ghaziabad only) 2009 onwards LML 'STAR' 4 stroke 125 & 150 export LML 'STAR' 4 stroke 200 under development

Some of the features that deserve attention in respect of the Indian two wheeler segment are as mentioned:

The total sale of two wheelers in India has touched a figure of 7.86 million units by March, 2007, up 11.42% from the previous fiscal figures of 7.05 million. Production during the period reached 8.63 million units.

The production of two wheelers in India is expected to reach a staggering 17.85 million units by 2011-12, more than double of the current production level.

The two-wheeler production capacity is to reach 22.31 million units in 2011-12 compared with 10.78 million in 2006-07.

India is likely to export 1.39 million two-wheelers in 2011-12 compared with 590,000 in 2006-07.

Total investment for new capacity generation in two-wheeler segment is likely to be more than $2.2 billion (INR10, 000 crore).

Hero Honda, Bajaj Auto and TVS Motor remain the leading players in terms of sales and popularity of their two wheelers.

GENERAL INTRODUCTION TO THE STUDY

Two-Wheeler industry is one of the largest industries in the automobile sector of global market. Being the leader in product and process technologies in the manufacturing sector, it has been recognized as one of the drivers of economic growth. During the last few decades, well¬-directed efforts have been made to provide a new look to the automobile policy forrealizing the sector's full potential for the economy. The liberalization policies have led to continuous increase in competition which has ultimately resulted in modernization in line with the global standards as well as in substantial cut in prices. Aggressive marketing by theauto finance companies have also played a significant role in boosting automobile demand, especially from the population in the middle income group. Presently many international brands like Honda, Suzuki, etc. are competing with Indian brands such as Bajaj, Enfield etc. to capture Indian markets.

These aggressive marketing strategies have resulted in making the consumer the major key for success in the industry. Each product offering is now designed to meet and exceed the expectations of the consumer. But understanding consumer behavior and knowingconsumers is never simple. And it is more difficult that to understand what a consumer perceives about the product. Customers may say one thing but do another. They may not be in touch with their deeper motivations. They may respond to influences that change their minds at the last moment.

THEORETICAL BACKGROUND OF STUDY

MarketThe term market may be considered as a convenient meeting place where buyers and sellers gather together for the exchange of goods and services. Market means a group of people having unmet wants, purchasing power to make their demand effective and the will to spend their income to fulfill those wants. Today a market is equated with the total demand.The American marketing association defines a market, ‘as the aggregate demand of potential buyers for a product or service’. Under keen competition, a marketer wants to create or capture and retain the market i.e. customer demand through an appropriate marketing mix offered to a target market. The market offering i.e. supply must meet customer demand, which are unmet needs and desires.

Marketing

Marketing is a comprehensive term and it includes all resources and set of activities necessary to direct and facilitate the flow of goods and services

form the producer to the consumer through the process of distribution. Businessmen regards marketing as a management function to plan promote and deliver products to the clients or customers. Human efforts, finance and management constitute the primary resources in marketing. We have twin activities, which are most significant in marketing:1. Matching the product with demand i.e. customer needs and desires or the target market.2. The transfer of ownership and possession at every stage in the flow of goods from the primary producer to the ultimate consumer. The American marketing association defines marketing as the process of planning andexecuting the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational objectives.

Marketing Management

Marketing management represents an important functional area of business management efforts for the flow of goods and services from the producer to the consumers. It looks after the marketing system of the enterprise. It has to plan and develop the product on the basis of known customer demand.Marketing management may be defined as, ‘a process of management of marketing programs for accomplishing organizational goals and objectives’.Marketing management has to build up appropriate marketing plan or marketing mix to fulfill the set goals of the business. It has to formulate sound marketing policies and programs. It looks after their implementation and control. It has to implement marketing strategies, programs and campaigns. It must evaluate the effectiveness of each part of marketing mixand introduce necessary modifications to remove discrepancies in the actual execution of plans, policies, strategies, procedures and programs.

Marketing MixMarketing mix is the set of marketing tools the firm uses to pursue its marketing objectives in the target market.There are four elements or variables that make a marketing mix, they are:1. Decisions on product or service.2. Decisions on promotion3. Decisions on price4. Decisions on distribution.

The four ingredients are closely interrelated. Under the systems approach the decision in on area affects action in the other. Marketing mix decisions constitute a large part of marketing management.According to Philip Kotler the term marketing mix is, ‘the set of controllable variables that the firm can use to influence the buyers response’. In then simplest manner, the basic marketing mix is the blending of four inputs or sub mixes, which form the core of the marketing system.Product mix decision refers to decisions on product variety, quality, design, features, brand image, packaging, sizes, services, warranties and returns.Price mix decision refers to decisions on the product list price, discounts, allowances, and payment period and credit terms available.Place mix decision refers to decisions on the channels, coverage, assortments, locations ,inventory and transport of the market offering.Promotion mix decisions refer to decisions on the products advertising, sales promotion, sales force, public relations and direct marketing. Together they form the four P’s of marketing.

Marketing Planning

A marketing plan lies down in writing the marketing objectives, programs and policies to be adopted to achieve the set marketing objectives. Even before an integrated marketing plan is prepared the company shall prepare functional plan for each component of marketing mix. To have a sound marketing plan, every operation is to be examined and the problems are tobe identified. The overall marketing plan should be linked to the distribution channel of the company to have effective marketing operations.The marketing planning covers the preparation of functional plans, integration of this plan and the preparation of master marketing plan to serve the objective of the organization.Marketing planning is bound to get a better hold of environmental factor.

Marketing ResearchMarketing research is the systematic gathering, recording and analyzing of the data about problems connected to the marketing of goods and services i.e. problems relating to product ,price, promotion and distribution of the 4p’s of the marketing mix. Marketing research is concerned with all those factors, which have a direct impact upon the

marketing of products and services. Marketing research has grown along with the expanded role of marketing as the focus for the business decision-making.

Need of marketing researchMarketing research is conducted for different purposes. They are:1. To estimate the potential market for a new product.2. To know the reactions of consumers to a product already existing in the market.3. To find out the general marketing condition and tendencies.4. To know the types of consumer buying and their buying motives.5. To know the reactions of failure of a product already in the market.6. To assess the strength and weakness of competitors.

ConsumerA person who purchase or has the capacity to purchase the goods of service often for sale bythe marketing firm in order to satisfy personal need and desires.PerceptionPerception is the sensing of stimuli external to the individual organism the act or process ofcomprehending the world in which the individual exists.Perception has been defined by social psychologists as the “Complex process” by whichpeople select organize and interpret sensory stimulation in to a meaningful and coherentPicture of the work.AttitudeSocial psychologist defined attitude as an emotionalized predisposition to respond positively or negatively to an object. Predisposition can be thought of as categories of meaning stored in the memory of a person and are based on previous experience. Predisposing the person tohave in specific manner towards a certain objects in the environment.

BrandA brand is a name, term, symbol, design or a combination of them which is intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.

Consumer Behavior

The term consumer behavior can be defined, as, ‘the behavior that the consumer display in searching for, purchasing, using and evaluating products, services and ideas, which they expect, will satisfy their needs’. The study of consumer behavior enables marketers to understand and predict consumer behavior in the market place; it also promotes understanding of the role that consumption plays in the lives of individuals. Consumer behavior refers to all psychological social and physical behavior of potentialconsumers as they become aware of, evaluate, purchase and consume and tell others about products and services. It is the pattern of response of buyers to marketing offer of a firm. It refers to the process as how consumers make their purchase decisions. It is concerned withwhat, why, how much, when and from whom buyers make their purchases of goods and services.

Model of consumer behavior

The starting point of understanding consumer behavior is the stimulus-response model. Marketing and environmental stimuli enter the buyer’s consciousness. The buyer’s characteristics and decision process lead to certain purchase decisions. The marketer’s task is to understand what happens in the buyer’s consciousness between the arrival of outsidestimuli and the buyers purchase decisions.

7O’s of Consumer BehaviorOccupants . Are the one who are the creator of the market than an industry to its vertical growth through their marketing efforts and creative marketing strategy by generating need in consumers mind.Objects . Can be defined as goods or services offered to the market which can be accepted in the market and sold.Objectives . Why does the market buy, its creating and generating need in customers mind by analyzing consumer behavior and influences or the driving force to buy.Organizations . Is the one which participates In the market to satisfy consumers needs and wants by producing goods and services.Operations . How does the market buy a particular goods and services that consists marketing mix and strategies to serve the market.Occasions . Is one of the important factor in influencing consumers purchasing behavior as there are some products which are bought occasionally.

Outlets . Where the consumer buys things from is one of the driving force in consumer behavior as consumers will prefer to purchase goods from places nearby and some special goods from special locations.

Major Factors Influencing Consumer Behavior

Consumers buying behavior is influenced by cultural, social, personal and psychological factors.

Cultural Factors

Cultural factors exert the broadest and deepest influence on consumer behavior. The roles played by the buyers culture, subculture and social class are particularly important. Culture refers to that complex whole which includes in it knowledge, beliefs, art or anything man acquires as a member of society. SubcultureEach culture consists of smaller subcultures that provide more specific identification and socialization for their members. Sub cultures include nationalities, religions, racial groups and geographic regions.

Social ClassVirtually all-human societies exhibit social stratification. Stratification sometimes takes the form of a caste system where the members of different castes are reared for certain roles and cannot change their caste membership more frequently; stratification takes the form of social class.

Social Factors Reference GroupsA persons reference groups consists of all the groups that have a direct or indirectinfluence on the person’s attitudes or behavior.○ FamilyThe family is the most important consumer buying organization in the society and itconstitutes the most influential primary reference group.

A persons reference groups consists of all the groups that have a direct or indirect influence on the person’s attitudes or behavior.

○ FamilyThe family is the most important consumer buying organization in the society and it constitutes the most influential primary reference group.

○ Roles and statuses

A person participates in many groups, family, clubs, organizations etc. The person’s position in each group can be defined in terms of role and status. A role consists of the activities that a person is expected to perform. Each role carries a status.Personal Factors○ Age and stage in the life cycle

People buy different goods and services over their lifetime. Taste in clothes, furniture and recreation is all age related.Consumption is shaped by the family life cycle. Marketers often choose life-cycle groups as their target market.

○ Occupation and economic circumstances

Occupation also influences a person’s consumption pattern. Product choice is greatly affected by economic circumstances; spendable income, savings and assets, debts, borrowing power and attitude toward spending versus saving.

○ Lifestyle

People from the same subculture, social class, and occupation may lead quite different lifestyles. A lifestyle is the person’s pattern of living in the world expressed in activities, interests and opinions. Lifestyle portrays the world person interacting with his or her environment.

○ Personality and self concept

Each person has a distinct personality that influences buying behavior. It is thatdistinguishing psychological characteristics that lead to relatively consistent and enduring responses to environment. Related to personality is self-concept or self image. Marketers try to develop brand images that match target markets self image.Psychological Factors

○ Motivation

A person has many needs at a given time. A need becomes a motive when it is aroused to a sufficient level of intensity. A motive is a need that is sufficiently pressing to drive the person to act.

○ Perception

Perception is the process by which an individual selects, organizes and interpretsinformation inputs to create a meaningful picture of the world. How a, motivated person actually acts is influenced by his or her perceptions of the situation.

○ LearningWhen people act they learn. Learning involves changes in an individual’s behavior arising from experience. Learning theory teaches marketers that they can build up demand for a product by associating it with strong drives, using motivating cues and positive reinforcement.○ Beliefs and attitudesThrough doing and learning, people acquire beliefs and attitudes. These in turn influence buying behavior. A belief is a descriptive thought that a person holds about some thing .The beliefs make up product and brand images and people act on these images .An attitude is a person enduring

favorable or unfavorable evaluations, emotion feeling sand action tendencies toward some object or idea Thus a company would be well advised to fit product into existing attitudes rather than try and change people’s attitudes.

Objective

1. To identify the various factor influencing the purchase decision of consumer

when buying a motorcycle and to determine the relative importance of these

factors.

2. To find out the most effective media influencing the purchase behavior of

motorcycle buyers.

3. To study the post purchase behavior of the owner of motorcycle.

4. To determine the popularity of various brands available in the market.

RESEARCH METHODOLOGY DESIGN STRATEGY: TYPES : Two stages design (Exploratory till the questionnaire and formal study after that )PURPOSE : “Market survey on the decision making process purchase the motorcycle among the resident of the Jalandhar city.”

TIME FRAME : ( only one week )

1. DATA SOURCES. Two types of data were taken into consideration i.e., primary data and secondary data. But major emphasis was given on gathering primary data. The secondary data was used only to supplement the primary and make things clear.

a) Primary Data: the collection of data for this source includes Questionnaire filled up by people.

General discussion so made at the time of filling up of questionnaire.

b) Secondary Data: It includes various sites on the internet.

2. SAMPLING PLANa) Sampling Unit: who is to be surveyed?

The target population was people of Jalandhar city

Based on convenience sampling.

b) Sampling Size:The size of our sample was 200.

DATA INTERPRETATION AND ANALYSIS

Q.1 Name of the brands of motorcycle you own?

Hero Honda 28%

LML 6%

TVS 9%

Enfield 19%

Yamaha 15%

Bajaj 23%

InterpretationThe above table shows that Bajaj’s,Hero Honda,Enfield enjoy the favoritism of the people.LML and Suzuki, Yamaha are the low profile players in the minds of the people.

Q.2 You purchased a motorcycle because:-?

Your friends/colleagues had it 49%

For convenience 18%

Lack of local transport 16%

Any other reason 27%

Interpretation

According to the table no.2 the survey depicts that the consumer purchased the motorcycles mainly due to the influence of the friends & colleagues as compared to the other factors such as convenience lack of local transport etc .The owner are mainly influenced by their friends.

Q.3. From where did you get awareness about the product?

Friends/Neighbors 25%

Family/Relatives 10%

Dealer 10%

Newspaper/ Magazine 25%

T.V/Radio 30%

Interpretation In the no.3 table, The buyer got awareness about the product mainly from T.V, Radio. The 2nd most source of awareness were the friends and magazine newspaper. Only 10% respondent got the awareness from the dealer and only 5% of the respondent got awareness from the family.

Q.4.From where did you buy the motorcycle?

Dealer 84%

Second Hand Market 16%

Interpretation

In the fourth table mainly the buyer bought the motor bikes from the dealer. Only 16% at the respondent bought the product from the second hand mkt.

Q.5 The purchase point was selected due to

Nearness/ Convenience 40%

Finance schemes available 10%

Image (Dealer/Successive Store 30%

Service Image 20%

InterpretationThis table tell us state the purchase point was selected due to the nearness and convenience factor. The second most imp. Factor was the image of the dealer and successive stores. The service image and the finance schemes available.

Q.6 Rank the following media of promotion of motorcycle from your point of view(from 1 to 4)?Newspaper 44%

Magazine/hording 12%

T.V 33%

Radio 11%

Interpretation

This table us state the most of the respondent regarded the newspapers the

most effective media of promotion of the bikes, 44% of the respondent are

in the favors of newspapers. 33% of the respondent go for

magazine/hoardings at last 11% of the respondent had chosen radio as an

effective media.

Q.7 Rank the features you consider important while purchasing of motorcycle?Fuel economy 30%

Speed 10%

Pick-up 5%

Looks 15%

Credit facility 10%

Low maintenance cost 5%

After sales service 15%

Resale value 10%

Interpretation

The above table no.7 state that respondent ranks “fuel economy” as the major factor while purchasing the bike. Pick-up after, sales services has got the same rank according to the respondent, whereas speed, credit facility and resale value has got a fair rank.

Q.8 Is your motorcycle keeping up with your expectation?

Always 65%

Sometime 20%

Never 15%

Interpretation

In this question 65% of the respondent are satisfied with their brand of motorcycles. 20% of the respondent is partially satisfied Where 15% of the respondent are not satisfied with their product.

Q.9 Which claims provided by the company regarding your motorbike have satisfied your requirements?

Fuel economy 15%

Speed 30%

Pickup 35%

Manintaince 10%

After sales service 10%

Interpretations

In this table state that the respondent were satisfied with the company’s claim regarding the features like fuel economy pick-up maintenance after sales service, and respondent are not satisfied with the company’s claim regarding the speed features.

Q.10 What would you prefer for second time after discarding the first one?

Same company again 35%

Switch another brand 20%

Don’t purchase 15%

Prefer a car 10%

Any other 20%

Interpretation

In this table 35 respondent says that same company,20% to switch to this brand, 15% respondent says don’t purchase 10% prefer to car next time 20% the purchase any other product.

LIMITATIONS OF THE STUDY

1. The survey is conducted on a sample size of just 200 people.

2. The study is confined to jalandhar, may not be relevant to others

cities.

3. The paucity of time during which the study was carried out limited the

scope of the research in the terms of number or variety of the

respondents.

4. The effect of promotional schemes on purchase decision was not

taken into consideration.

Findings

Summary of major findingsConsumer behavior is complex system having interaction of various social ,economic and psychological factors. All these factors affect the decision making process of the buyer.The two wheeler industry today has been divided into various segments and people comprising these segments and the attributes available in the two wheeler. While doing so they go through different steps of decision making process and various roles associated with this process.The research methodology adopted in this study was exploratory in nature and design of the study utilized convenience sampling.The sample consisted of 200 respondent who were owners of motorcycles. Data was collected on the basis of a non-structured non disguised questionnaire. The questionnaire was personally administred. The inf. Was analysed by using simple statistical tools such as percentage etc.1)Impact of friends became a dominant factor .Bullet ,CBZ ,Pulsar were purchased more for prestige than for any other reason.2)According to respondent the three relatively important attributes consider while purchasing motorcycle ,in order of important were:a)Fuel economyb)good looksc)after sales services 3 )The three most useful media for providing inf. About motorcycles were:a)Newspapersb)T.VC)Magazines & Hoardings4)The functioning of bikes was as per expectation of the respondent as 130% of the respondent were happy with the functioning of their motorcycles & 30%were not happy.5)Among the various brands Hero Honda’s (Splendor & Passion) and Bajaj’s (Pulsar) are the most popular on

SUGGESTIONAs we were not able to have much suggestions from respondents but can

give some by doing this research work, earlier there were very few people who were used to invest in share market because very less or elite class

people were having know how about that but now a days people are aware in maximum number regarding this because of various news channels, news

papers, and many other sources. This thing had made more inclination of people towards investments in share markets.

As during the research on this very topic we had found that (100%) all of our respondents are having good knowledge regarding the share market out of which 69.5% respondents already use to invest in share market. Most of the people who suggested regarding this topic suggests that we should invest in this kind of markets to earn profits and to enhance economy also.

Conclusion

In this survey most of the peoples are aware the share market. And we found that maximum peoples are invested insurance and mutual fund. And most people are aware but, they not invest in the share market. Be’use they some causes are below.1.High risk2.Illiteracy3.Recession 4.Political instability.

BIBLIOGRAPHY

1. BOOKS:

1.Research methodology- methods and techniques

-by CR Kothari, New Age International Publishers.

2News Paper

1.The economic times

2.Hindustan times

2. WEB ADDRESS:

www.Google.com

www.ask.com

www.yahoo.com

ANNEXURE

QUESTIONNAIRE

Please fill the following:- (your information will be used for research

purpose only and will be kept secret)

Name :

………………………………………………………………………………

…………………………….

Address :

………………………………………………………………………………

……………………………

Gender :………………………… Male Female

Occupation :……………………….

………………………………………………………………………………

……

Qualification :

………………………………………………………………………………

…. …………………………

Phone No. :………………………..

……………………………………………………….

…………………………

[Please () the form given in the answer, which are most suitable to you.

You can answer () more than an option in multiple of sequences.]

QUESTIONNAIR

E

Q.1. Name of the brands of motorcycle you own?

Q.2. You purchased a motorcycle because:-?

a) Your friends/colleagues had it

b) For convenience.

c) Lack of local transport

d) Prestige

e) Any others reason…………..

Q.3. From where did you get awareness about the product?a) Friends/ Neighbors b) Family/Relatives

c) Dealer

d) Newspapers/ Magazines

e) T.V/Radio

f) Others source

Q.4 From where did you buy the motorcycle.?

i) Dealer

(ii) Second hand market

Q.5 The purchase point was selected due to:-

a) Nearness/convenience

b )Finance scheme available

c )Image(dealer successive stores)

d )Service image

Q.6 Rank the following media of promotion of motorcycle from your point

of view(from 1 to 4)?

A. News papers

B. Magazine/hording

C. T.V

D. Radio

Q.7 Rank the features you consider important while purchasing of motorcycle?

A Fuel economy ( )

B Pickup ( ) C Speed ( ) D Looks ( )

E Credit facility ( )

F Low maintaince cost ( )

G After sales services ( )

H Resale value ( )

Q.8 Is your motorcycle keeping up with your expectation?

A. Always

B Sometime

C NeverQ.9 Whether the claims provided by the company regarding your motorbike

is satisfied your requirements?

A Fuel economyB speedC pickupD maintainceE After sale service Q.10 Would you prefer the same motorbike brand after discarding the first one a. Same company again b. Switch over to another brandc. Can’t purchase d .Prefer to buy care .Any other…………

Q.12 Any suggestion.

Thanks for your precious time