Project Final
Project Final
Project Final
AUTOMOBILE INDUSTRY
Ms. Sudarthodi.S, Ms. Dharani.S.P, Ms. Kripa Nancy.S, Mr. Vijay Prabhu,
Mr. Vinosh Kumar
ABSTRACT
Online bookings and online purchase are the current wave in Indian car industry. Internet is
Gradually Hitting the core of every industry including the car industry. It creates a greater
Awareness of the vehicle and influences the buyer to purchase. Internet is believed to have
a Greater impact on the sales process and will definitely give higher level of sales
satisfaction. This paper analyses consumer attitudes towards measuring the effectiveness of
online shopping in the Automobile industry. Our Aim was to obtain a theoretically and
empirically grounded initial reference position, against Which Later research can examine
and interpret the role played by changes in the variables Representing Consumer
preferences and shifts in these preferences. Manufacturers learn in depth the ways to
enhance customer satisfaction. Regression analysis Shows that the two independent
variables significantly affect the satisfaction On the Internet. Moreover, through appropriate
interpretation of parametric change in the Regression analysis, we can explore the
consequences of possible (future) changes in Manufacturer's website over Internet,
especially with respect to maximising the quality and easy Navigation of website in order
to retain loyal customer. Generalising, we suggest that automobile manufacturers can
effectively maximise Level of satisfaction of the existing and Prospective customers by
adopting the suggested model.
CHAPTER – 1
1.1 INTRODUCTION
Online shopping is a form of electronic commerce which allows consumers to directly buy
goods or services from a seller over the internet using a web browser. The study only focused
on the purchasing pattern of the consumers, to evaluate the buying behaviour of the customer
and satisfaction level of services provided by amazon, customer loyalty is usually used as the
power force of the relationship between the attitude of the individual’s relative and repeat
patronage. Customer can buy anything online such as books, household products, toys,
hardware and software etc. moreover, in just few decades the internet has become more
popular adult and young shopper because the internet offers significant advantages.
Shopping online instead of going to a traditional, “brick and mortar” store has emerged as
a major trend amongst consumers over the last decade. The tangibility of going into stores to
touch and hold merchandise, talk to a knowledgeable sales person for advice and reassurance
and finally making a purchasing decision is becoming a think of the past. A major shift is
putting forth a different shopping experience and new consumer behaviour – the new wave of
an online commodity system.
Customer loyalty is one of the most over used phrases in the world today. Shoppers can
visit web site and shop just sitting in front of the computer. Ability of the internet contains
wide range of collecting information, supplying a service or purchasing a product amazon
should work towards them so that it can increase its customers and finally profit.
Online shopping is nowadays used everywhere or in every corner of the world, and
it’s happening only because of internet, customers directly make an order of something they
need through online. The meaning of online shopping is the process of buying goods and
services from merchants over the internet. Amazon is one the site that customers used for
purchasing many product. Online shopping make easier for customer to choose different types
of product they want, that the reason online shopping is popularly used nowadays.
1.2 STATEMENT OF THE PROBLEM
We face many millions of problems we enter into the world of online shopping.
Amazon also one of the online shopping application site that now a days reached to
millions of people everywhere.
Online shopping plays an important role in the modernisation. Many of the educated
people are using these websites and connected with mobile phones also. Theattitude
and preference of consumers on purchasing products through online are affected by
various factors. In the current scenario, one of the leading online websites include
includes amazon. Taking this aspect into account, a study is to know consumer attitude
and behaviour towards online shopping.
1.4 RESEARCHMETHODOLOGY
The quality of the project work will depend upon the methodology adopted for
study. Methodology is turn depends upon the nature of the project work. The use of
proper methodology is an essential part of any research. In order to conduct the research
study, scientifically certain measures and methods are followed
Sampling Size : 94
❖ Percentage Analysis.
❖ Rank Analysis.
INDUSTRY PROFILE
India’s annual production of automobiles in FY21 was 22.65 million vehicles, and 13
million vehicles were produced between April-October 2021.The two wheelers
segment dominates the market in terms of volume owing to a growing middle class,
and a huge percentage of India’s population being young. Moreover, the growing
interest of the companies in exploring the rural markets further aided the growth of the
sector.India is also a prominent auto exporter and has strong export growth expectations
for the near future. In addition, several initiatives by the Government of India and major
automobile players in the Indian market is expected to make India one of the leaders in
the two-wheeler and four-wheeler market in the world by 2022.
For the calendar year (CY) 2021, all segments showed growth, and total sales increased
by 5.8% to 18.49 million units, compared to 17.47 million units in January-December
2020.In CY21, passenger vehicles sales increased by 26.6% to 3.08 million units, up
from 2.43 million units in CY20. The total number of commercial cars sold was
677,119, up 34% from 505,102 in the previous year.In FY21, the total passenger
vehicles production reached 22.65 million vehicles.Two wheelers and passenger
vehicles dominate the domestic Indian auto market. Passenger car sales are dominated
by small and mid-sized cars. Two wheelers and passenger cars accounted for 81.21%
and 14.56% market share, respectively, accounting for a combined sale of over 17.8
million vehicles in FY21.
To keep up with the growing demand, several auto makers have started investing
heavily in various segments of the industry during the last few months. The industry
attracted Foreign Direct Investment equity inflow (FDI) worth US$ 30.78 billion
between April 2000-September 2021, accounting for 5.49% of the total equity FDI
during the period.
Some of the recent/planned investments and developments in the automobile sector in
India are as follows:
• In February 2022, a memorandum of understanding (MoU) was signed between
electric two-wheeler company Ather Energy and Electric Supply Companies
(ESCOMs) of Karnataka for setting up 1,000 fast charging stations across the state.
• In February 2022, Tata Power and Apollo Tyres Ltd announced a strategic partnership
for the establishment of 150 public charging stations across India.
• In January 2021, leading commercial vehicle manufacturer Ashok Leyland teamed up
with Aidrivers, a global leader in AI-enabled autonomous solutions for industrial
mobility, to develop AI-enabled autonomous vehicles to fulfil the demands of a
sustainable future.
• Two-wheeler EV maker HOP Electric Mobility, a diversified business venture of Rays
Power Infra, is looking at investing Rs. 100 crore (US$ 13.24 million) over the next
two years to expand manufacturing capacity for its EVs.
• In December 2021, TVS Motor Company and BMW Motorrad, announced a
partnership in the two-wheeler EV space, with plans to release their first electric two-
wheeler within the next two years.
• In December 2021, Hyundai announced plans to invest Rs, 4,000 crores (US$ 530.25
million) in R&D in India, with the goal of launching six EVs by 2028.
• In November 2021, Indian Oil Corporation (IOC) and two other public sector oil firms
announced that they will install 22,000 EV charging stations in India over the next 3–
5 years.
• In November 2021, Skoda Auto announced plans to locally manufacture electric cars
in India. However, the firm may bring its first EV, the Enyaq, through the CBU route,
before committing to local manufacturing.
• In November 2021, Hero Motor (HMC), the parent company of Hero Cycles, entered
a joint venture partnership with Yamaha, a Japanese two-wheeler major, to make
electric motors for e-bicycles for the global market.
• In October 2021, Tata Motors announced that private equity group TPG along with
ADQ of Abu Dhabi has agreed to invest Rs. 7,500 crore (US$ 1 billion) in its EV
division.
• A cumulative investment of Rs. 12.5 trillion (US$ 180 billion) in vehicle production
and charging infrastructure would be required until 2030 to meet India’s EV
ambitions.
CHAPTER 3
REVIEW OF LITERATURE
A literature review is the writing process of summarizing, synthesizing and/or critiquing the
literature found as a result of a literature search. It may be used as background or context for a
primary research project.
Anita Kshetri and Bidyanand Jha (2016), The changing online environment across the globe
has impacted various walks of consumer life. An ongoing investigation of the online impact on
consumption is evident worldwide. School of thoughts such as technology shapes value,
attitude and pattern or vice versa is not a new debate. Consumer’s connectivity among
themselves are far more impactful because of social networks. The social media and
networking sites have given enough room and access to the marketers as well as consumers to
create content which are readily available to the consumers. The time spent by consumers on
the online domains has thrown challenges to marketers in order to segregate favourable and
unfavourable aspects of their products or services.
Anoop R Ohri, Dr. Sandhir Sharma (2018), In the past decade, the tools marketers use to
engage and influence customers have changed almost beyond recognition. The field of study
of consumer behavior is not new and has been well researched; however, research is being
extended into new facets of the field. Simultaneously, with the all-pervasive nature of
technology today, the role of online medium in consumerism has also increased. The objective
of the present research is to investigate the previous studies conducted on thesources of online
information mediums used by consumers at the pre-purchase stages of decision making, andthe
role of online information in pre-purchase decision making process in new passenger car
industry.
The chapter deals with analysis and interpretation of the study “measuring the
effectiveness of online shopping in automobile industry”. Based on the data collected, the
collected data have been analyzed using the following statistical tools.
3. Ranking Analysis
FORMULA
Number of respondents
PERCENTAGE = * 100
RANK ANALYSIS
In statistics, ranking is the data transformation in which numerical or ordinal values are
replaced by their Rank when the data are sorted. For example, the numerical data 3.4, 5.2, 2.6, 7.3
are observed, the ranks of these data items would be 2,3,1and 4 respectively.
TABLE NO - 4.1.1 GENDER OF THE RESPONDENTS
1 Male 49 52.1
2 Female 45 47.9
TOTAL 94 100
INFERENCE
Majority (52.1%) of the respondents are Male.
1 Below 18 years 25 27
2 18-30 years 51 54
3 31-50 years 13 14
4 Above 50 years 5 05
TOTAL 94 100
Source: Primary data
INTERPRETATION
It is clear from the above table that out of the total respondents taken for study 27% of the
respondents are belonging to the age group of below 18 years, 54 % of the respondents are
belonging to the age group between 18-30 years, 14% of the respondents are belonging to the age
group between 31-50 years and 5% of the respondents are belonging to the age group of above 50
years.
INFERENCE
Majority (54 %) of the respondents belong to the age group between 18-30 years.
1 Single 59 62.77
2 Married 35 37.23
TOTAL 94 100
INFERENCE
Majority (62.77%) of the respondents are single.
MARITAL STATUS
Married
37%
Single
Married
Single
63%
TABLE NO - 4.1.4 OCCUPATIONAL STATUS OF THE RESPONDENTS
OCCUPATIONAL NO OF
S.NO PERCENTAGE (%)
STATUS RESPONDENTS
1 student 48 51
2 Employeee 23 24
3 Business 13 14
4 Others 10 11
Total 94 100
Source: primary data
INTERPRETATION
From the above table it is clear that out of this total respondent taken for study that 51% of
the respondents are student, 24% of the respondents are Employee ,14% of the respondents are
Business and 11% of the respondents are doing others.
INFERENCE
OCCUPATIONAL STATUS
60
student 51 %
50
40
30 Employee 24 %
20 Business 14 %
Others 11 %
10
0
student Employee Business Others
TABLE NO - 4.1.5 EDUCATIONAL QUALIFICATION OF THE RESPONDENTS
EDUCATIONAL
S.NO QUALIFICATION NO OF RESPONDENTS PERCENTAGE(%)
1 SSLC 04 04
4 Professionals 20 21
TOTAL 94 100
INFERENCE
SSLC
EDUCATIONAL QUALIFICATION 4%
Professionals
21%
Post graduate
level Under
13% graduate
level
62%
SSLC Under graduate level Post graduate level Professionals
TABLE NO - 4.1.6 INCOME LEVEL OF THE RESPONDENTS
1 Below 20000 15 16
2 20001-30000 41 44
3 30001-50000 15 16
4 Above 50000 23 24
TOTAL 94 100
INFERENCE
Most (44%) of the respondent’s monthly income is between 2000 and 30000
Above 50000 24 %
30001-50000 16 %
20001-30000 44 %
Below 20000 16 %
0 5 10 15 20 25 30 35 40 45 50
TABLE NO - 4.1.7 SPEND ON ONLINE SHOPPING
2 1 Hour 20 21
3 2 Hours 06 06
4 Above 2 Hours 03 04
TOTAL 94 100
Source: primary data
INTERPRETATION
From the above table it is clear that out of this total respondent taken for study that 69% of
the respondents are spend the online shopping less than 1 hour, 21% of the respondents are spend
the online shopping 1 hour, 6% of the respondents are spend the online shopping 2 hour and 4%
respondents are spend the online shopping Above 2 hours.
INFERENCE
Majority(69%) of the respondents are spend the online shopping less than 1 hour.
TABLE NO - 4.1.8 USE OF INTERNET FOR PURCHASE
TOTAL 94 100
Source: primary data
INTERPRETATION
From the above table it is clear that out of this total respondent taken for study that 21% of
the respondents are usage of internet for purchase 1 week before, 26% of the respondents are
usage of internet for purchase 10 Days before, 48% of the respondents are usage of internet for
purchase at the Time and 5% of the respondents are usage of internet for purchase 1Month before.
INFERENCE
Most (48%) of the respondents are usage of internet for purchase at the Time.
TABLE NO - 4.1.9 SHOPPING AUTOMOBILE ON ONLINE
INTERPRETATION
From the above table it is clear that out of this total respondent taken for study that 6% of
the respondents are shopping Less than 3 Months, 11% of the respondents are shopping 3 Months
to 6 Months, 12% of the respondents are shopping 6 Months to 1 Year and 71% of the
respondents are shopping Above 1 Year.
INFERENCE
1 Agree 65 69
2 Disagree 04 04
3 Neutral 25 27
Total 94 100
Source: primary data
INTERPRETATION
From the above table it is clear that out of this total respondent taken for study that 69% of
the respondent’s agree about the save the time by shopping Online, 4% of the respondent’s are
Disagree about the save the time by shopping online, 27% of the respondent’s are Neutral with
Time saving.
INFERENCE
Majority (69%) of the respondents agree with save the time by shopping on online
TABLE NO - 4.1.11 SOURCE OF MOTIVATION
2 Relatives 05 05
3 Advertisements 25 27
4 Social Media 54 57
Total 94 100
INTERPRETATION
The above table indicates that out of the total respondents taken for the study 11% of the
respondents are motivated their Friends, 5% of the respondents are motivated their Relatives. 27%
of the respondents are motivated with advertisements and 57%of the respondents are motivated
with Social Media.
INFERENCE
2 Lighting assemblies 10 11
3 Car batteries 20 21
4 HD glass 05 05
Total 94 100
INTERPRETATION
The above table indicates that, out of those respondents Opinion as various products, 63% of the
respondents are purchased the Cloths, Shoes and Jewellery, 11% of the respondents are purchased
Electronics and Computers, 21% of the respondents are purchased Health and Beauty Products
and 5% of the respondents are Purchased Provisions.
INFERENCE
Majority (63%)of the respondents are Purchased Cloths, Shoes and Jewellery.
RANK ANALYSIS
The above table indicates that, out of those respondents taken for the study, the respondents
have given top priority the Discounts and Offers to aware Shopping, followed by factors like to
Quality Products, Less Price, Fast Delivery and Transaction.
INFERENCE
It is concluded that the respondents have given top priority the Discounts and Offers
to aware the Shopping.
TABLE NO - 4.1.13 VALUE OF PURCHASE
1 Below Rs.20000 12 13
2 Rs.10000 to Rs.15000 32 34
3 Rs.50000 to 250000 22 23
4 Above 250000 28 30
Total 94 100
INTERPRETATION
The above table indicates that out of the total respondents taken for the study, 13% of the
respondents are Purchases the Value of Below Rs.1000, 34% of the respondents are Purchases the
Value of Rs.1001 to Rs. 5000, 23% of the respondents are Purchases the Value of Rs.5001 to Rs.
10000, 35% of the respondents are Purchases the Value of Above Rs.10000.
INFERENCE
Most (34%) of the respondents are Purchases the Value of Rs.1001 to Rs. 5000.
TABLE NO - 4.1.14 MODE OF PAYMENTS
1 Credit Card 5 5
2 Debit Card 14 15
3 Cash on Delivery 40 43
Total 94 100
INTERPRETATION
The above table reveals that out of the total respondents 5% of the respondents are to pay
with Credit Card, 15% of the respondents are to pay with Debit Card, 43 % of the respondents are
to pay with Cash on Delivery and 37% of the respondents are to pay with Mobile and Net
Banking.
INFERENCE
1 Delay in Delivery 20 21
3 Damaged Products 40 42
4 Others 09 10
Total 94 100
INTERPRETATION
The above the table shows that of the total respondents taken for study, 21% of the
respondents are problem faced by Delay in Delivery, 27% of the respondents are problem faced
by Cheap Quality Products, 42% of the respondents are problem faced by Damaged Products and
10 % of the respondents are problem faced by others.
INFERENCE
Most (42%) of the respondents are problem faced by Damaged Products.
TABLE NO - 4.1.18 ONLINE SHOPPING COULD BE A RISK
1 Agree 20 21
2 Disagree 70 74
3 Neutral 04 05
Total 94 100
INTERPRETATION
The table reveals that out of total respondents taken for study, 21% of the respondents are
Agree about the online Shopping Could be a Risk, 74% of the respondents are Disagree about
Amazon Shopping Could be a Risk and 5% of the respondents are Neutral with Online Shopping
could be Risk.
INFERENCE
Majority (74%) of the respondents are Disagree about Online Shopping could be a Risk.
TABLE NO - 4.1.19 CHOOSING ONLINE SHOPPING INSTEAD OF TRADITIONAL
SHOPPING
1 Saves Time 35 37
2 Variety of Choices 35 37
4 Economical 07 08
Total 94 100
INTERPRETATION
The table reveals that out of total respondents taken for study, 37% of the respondents are influences
Saves time and Variety of Products to choose online shopping, 18% of the respondents are influences
Easy to Find Products to choose Online Shopping and 8% of the respondents are influences Economical
to choose Online Shopping.
INFERENCE
Most (37%) of the respondents are influences Saves time and Variety of Products to choose online
shopping.
TABLE NO - 4.1.20 REPLACEMENT OFFERS
1 Yes 82 87
2 No 12 13
Total 94 100
INTERPRETATION
The table reveals that out of total respondents taken for study, 87% of the respondents are said Yes
for Replacement offers and 13% of the respondents are said No for Replacement offers.
INFERENCE
Majority (87%) of the respondents are said Yes for Replacement offers.
TABLE NO - 4.1.21 TIME LIMIT FOR REFUND
1 7 Days 65 69
2 15 Days 12 13
3 21 Days 10 11
4 1 Month 07 07
Total 94 100
INTERPRETATION
The table reveals that out of total respondents taken for study, 69% of the respondents are to reveal
refund limit 7 days, 13% of the respondents are to reveal refund limit 14 days, 11% of the respondents
are to reveal refund limit 21 days and 7% of the respondents are to reveal refund limit 1 Month.
INFERENCE
Highly Highly
S.NO FACTORS Satisfied Neutral Disatisfied
Satisfied Dissatisfied
42 20 20 05 07
1 Specifications
(45) (21) (21) (05) (08)
15 50 20 03 06
2 Delivery
(16) (54) (21) (03) (06)
46 15 09 10 14
3 Offer sales
(49) (16) (10) (10) (15)
55 30 05 02 02
4 Quality
(59) (32) (05) (02) (02)
40 25 20 05 04
5 Price
(43) (27) (21) (05) (04)
INTERPRETATION
The table reveals that out of total respondents taken for study, 45% of the respondents are Highly
satisfied with Specifications, 54% of the respondents are satisfied with Delivery, 49% of the respondents
are Highly satisfied with Offer sales and 59 % of the respondents are Highly satisfied with Quality and
43% of the respondents are Highly Satisfied with Price.
INFERENCE
5.1 FINDINGS
❖ Most (44%) of the respondent’s monthly income is between 20001 and 30000
❖ Majority(69%) of the respondents are spend the online shopping less than 1 hour.
❖ Most (48%) of the respondents are usage of internet for purchase at the Time.
❖ Most(34%) of the respondents are Purchases the Value of Rs.10001 to Rs. 50000.
❖ Most (43%) of the respondents are to pay with Cash on Delivery.
❖ Majority (42%) of the respondents are problem faced by Damaged Products.
❖ Majority (74%) of the respondents are Disagree about online Shopping Could be a Risk.
❖ Most (37%) of the respondents are influences Saves time and Variety of Products to choose
online shopping.
❖ Majority (87%) of the respondents are said Yes for Replacement offers.
❖ It is concluded that the respondents have given top priority the Discounts and Offers to aware
the Shopping.
5.2 SUGGESTIONS
It is concluded that most of the respondents have a good opinion about online shopping,
though there are so many problems to be improved by the vendors and service providers.
Internet environment has to be improved in the areas of art, dynamic and interactive
techniques. This improvement will give more visual appeal. In most of the websites the given
information, features about the product on the website and product received from the online vendor
are different. This will create lack of customer satisfaction. So the online vendor should take
necessary steps before dispatching the products to the consumer site. It creates good opinion about
the online vendor and creates repurchasing power of the respondents. Even though consumers are
educated they are not interested to purchase products through online because of infrastructure
shortage, they do not know how to order the product online and they have lack of confidence on
payments. So the vendor companies and online service providers have to create awareness to
consumers as how to order the product online.
5.3 CONCLUSION
Everything in today’s world is internet oriented like electronic data interchange, E-Mail, E-
Business and E-Commerce is exchange of information using network-based technologies. In the
present high cost situation, E-commerce can be used as a competitive strategy. It successfully
includes the entire online process of developing, marketing, selling, delivering, servicing and paying
for products and services. Online shopping is a fast growing technology. Understanding customer’s
need for online selling has become challenge for marketers. Specially understanding the consumer’s
attitudes towards online shopping, making improvement in the factors that influence consumers to
shop online will help marketers to gain the competitive edge over other.
In conclusion, having access to online shopping has truly revolutionized and influenced our
society as a whole. This use of technology has opened new doors and opportunities that enable for a
more convenient lifestyle today. Variety, quick service and reduced prices were three significant
ways in which online shopping influenced people from all over the world. However, this concept of
online shopping led to the possibilities of fraud and privacy conflicts. Unfortunately, it has shown
that it is possible for criminals to manipulate the system and access personal information. By doing
so, society will continue to depend upon online shopping, which will allow it to remain a
tremendous success in the future.
QUESTIONNAIRE
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