ABSTRACT

The marketing concept is consumer oriented and the emphases more on the consumer rather
than on the product. The essence of modern marketing lies in building of profit along with
creating meaningful value satisfaction for the costumers, whose needs and desires have to be
coordinated with the setoff products and production programmers’. Therefore, marketing
success an enterprise depends as its ability to create a community of satisfied consumers. All
the business activities should be carried out inlays which are directed towards the satisfaction
of the consumer needs.
Consumer behavior is affected by a host of variables ranging from personal, professional
needs,
attitudes and values, personality characteristics, social economic and cultural background,
age, gender, professional status to social influences of various kinds exerted a family, friends,
colleagues, and society as a whole. The combination of these factors helps the consumer in
Decisions making further psychological factors that as individual consumer needs,
motivations, perceptions attitudes, the learning process personality characteristics are the
similarities, which operate across the different types of people and influence their behavior.
There are four major factors which influences on the buying behavior of consumer.

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CHAPTER-1

 INTRODUCTION TO THE TOPIC

1
 INTRODUCTION

STUDY OF PURCHASE INFLUENCING FACTIORS:

Purchasing decisions include many factors that most consumers are not even aware
of. Five steps are involved in nearly every purchase made: need recognition, information
search, evaluation of alternatives, purchase decision, and finally post purchase behavior.

Even the simplest purchases can include any or all of these steps. Purchases are
further influenced by such things as personal, psychological, and social issues.

A good market researcher will study the thought process undergone by consumers,
compare it with their demographic data, and use the resulting information to market their
products.

Consider the simple decision to purchase a meal. When interviewing two subjects
regarding the process involved, it becomes apparent that each individual, although having
very similar needs, underwent slightly different thought processes to arrive at a decision.
When asked what triggered the need to purchase a meal at a local restaurant, Subject A
responded with one of Laslow’s basic needs; hunger. Although also citing hunger; was more
interested in having a night out to reward him for doing well on his diet.

The search for information was similar for both subjects. Both had preconceived ideas
of where to go, and both were willing to drive by the prospective restaurants or call to see
how long the wait would be. The quality of the food or service was not as valuable to either
subject as was convenience.

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DEFINITION:

Perception is defined as “The process by which an individual selects, Organize, and

interprets stimuli into a meaningful and coherent picture of the world”.
It can be described as “How we see the world around us”. Two individuals may be exposed
to the same stimuli under the same Apparent conditions, but how each person recognizes,
selects, organizes and Interprets these stimuli is a highly individual process based on each
person’s Own needs, values and expectation.

ELEMENTS OF PERCEPTION:

There are four elements of perception:

1) Sensation:

Sensation is the immediate and direct response of the sensory Organs to stimuli. A
stimulus is any unit of input to any of these senses .Examples of stimuli (i.e. sensory input)
includes products, packages, brand names, advertisements and commercials.

Sensory receptors are the human organs (the eyes, ears, nose, mouth, and skin) that
receive sensory inputs. Their sensory functions are to see, hear, smell, taste, and feel.
Sensitivity to stimuli varies with the quality an individuals sensory receptors (e.g. eyesight,
hearing) and the amount (or intensity) of the Stimuli to which he or she is exposed.

2) The Absolute Threshold: The lowest level at which an individual can Experience a
sensation is called the Absolute threshold. The point at which A person can detect a
difference between “something” and “nothing” is That person’s absolute threshold for that
stimulus.

Sensory adaptation: Is the problem that concerns many national Advertisers, which is why
they try to change their advertising campaigns regularly.

3) The Differential Threshold: The minimal different that can be detected between two
similar stimuli is called the differential threshold or the just noticeable difference.

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4)Subliminal Perception: Stimuli that are too weak or too brief to be Consciously seen or
heard many nevertheless be strong enough to be Perceived by one or more receptor cells.
This process is called Subliminal Perception. Because the stimulus is beneath the threshold or
4“limens”, of conscious awareness, though obviously not beneath the absolute threshold of
the receptors involved.

EXPOSURE:

EXPOSURE occurs when a stimulus such as a banner ad comes within Range of person’s
sensory receptors nerves-vision. For an individual to be exposed to a stimulus requires only
that the stimulus Be placed within the person’s relevant environment. That is, you have been
exposed to a television commercial if it aired while you were in the room, even if were “not
paying attention” and did not notice the commercial. The impact of the active, self-selecting
nature of exposure can be seen in the Zipping, zapping and mutating of television
commercials. Zipping occurs when one fats-forwards through a commercial on a Prerecorded
program. Zapping involves switching channels when a Commercial appears. Muting is
turning the sound off during commercial Breaks.

ATTENTION:

Attention occurs when the stimulus activities one or more sensory receptors nerves, and the
resulting sensations go to the brain for processing. People are constantly exposed to
thousands of times more stimuli than they can process.

Stimulus Factors:

Stimulus factors are physically characteristics of the stimulus itself. A Number of stimulus
characteristics tend to attract our attention Independently of individual or situational
characteristics.

Size and Intensity: Larger stimuli are more likely to be noticed than smaller Ones. The
intensity (e.g., loudness, brightness, length) of a stimulus operates in the same manner as size.

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Colour and Movement: Both colour and movement serves to attract attention, with brightly
colored and moving items being more noticeable.

Position:
Position refers to the placement of an object in a person’s visual field
Isolation:
Isolation separating a stimulus object from the other objects.
Consumer Inferences:

A consumer inference is the process by which consumers assign a value to an attribute or

item not contained in an on the basis of other data in the ad.

Interestingness: What one is interested in is generally an individual Characteristic.

Information Quantity A final stimulus factor, information quantity, Relates more to the
total stimulus field than to any particular item in that Field.

Information Overload occurs when consumers are confronted with so Much information
that they cannot or will not attend to all of it.

Individual Factors:
Individual factors are characteristics of the individual. Interest and need are the primary
individual characteristics that influence attention. Interest Is a reflection of overall lifestyle as
well as a result of long-term goals and Plans (e.g., becoming a sales manager) and short-term
needs (e.g., hunger).

Situational Factors:

Situational factors include stimuli in the environment other than the focal Stimulus (i.e., the
ad or package) and temporary characteristics of the Individual that are induced by the
environment, such as time pressures or crowded store.

Program Involvement: Print, radio, internet, and televisions ads occur in the context of a
program, magazine, site or newspaper.

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 INTERPRETATION:

Interpretation is the assignment of meaning to sensations. It is a function of The gestalt, or

pattern, forms by the characteristics of the stimulus, the Individual, and the situation. Thus,
the entire message, including the context in which it occurs, influences our interpretation, as
does the situation in which we find ourselves.

Cognitive Interpretation is a process whereby stimuli are placed into Existing categories of
meaning.

Affective Interpretation is the emotional or feeling response triggered by a

Stimulus such as an ad.

DYNAMIC OF PERCEPTION:

There are three aspects of perception: The selection, organization, and Interpretation of
stimuli.

1. PRCEPTUAL SELECTION

Consumer subconsciously exercises a great deal of selectivity as to which Aspects of the

environment (which stimuli) they perceive. Consumer’s previous experience as it affects
their expectations (what they are prepared, or “set” to see) and (2) their motives at the time
(their Needs, desires, interests, and so on).

Nature of the Stimulus

Marketing stimuli include an enormous number of variables that affect the Consumer’s
perceptions, such as the nature of the product, its physical attributes the package design, the
brand name, the advertisements and commercials (including copy claims, choice and sex of
model, positioning. of model, size of ad, typography), the position of a print ad or a
commercial, and the editorial environment.

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Expectations

People usually see what they expect to see, and what they expect to see is usually based on
familiarity, previous experience, or preconditioned set (expectations)

Motives

People tend to perceive the things they need or want: The stronger the need, the greater the
tendency to ignore unrelated stimuli in the environment.

Selective Perceptions:

As the preceding discussion illustrates, the consumer’s “selection” of Stimuli from the
environment is based on the interaction of expectations and motivates with the stimulus itself.
These factors give rise to four important concepts concerning perception.

Selective Exposure: Consumers actively seek out messages that they find Pleasant or with
which they are sympathetic, and they actively avoid painful or threatening ones.

Selective Attention: Consumers exercise a great deal of selectively in terms of the attention
they give to commercial stimuli.

Perceptual Defense: Consumers subconsciously screen out stimuli that they find
psychologically threatening, even though exposure has already taken place.

Perceptual Blocking: Consumers protect themselves from being bombarded

With stimuli by simply “tuning out” – blocking such stimuli from conscious
Awareness.

2. PERCEPTUAL ORGANIZATIONS

People do not experience the numerous stimuli they select from the Environment as separate
and discrete sensations; rather, they tend to organize them into groups and perceive them as
unified wholes. Three of the most basic principles of perceptual organization are figure and
ground, grouping, and closure.

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Figure and Ground
People have a tendency to organize their perceptions into

Figure-and-ground relationships. How a figure – ground pattern is perceived can be

influenced by prior pleasant or painful associations with one or the other element in isolation.

Grouping
Individuals tend to group stimuli so that they form a unified picture or Impression. The
perception of stimuli as groups or chunks of information’s, Rather than as discrete bits of
information, facilities their memory and recall, Grouping can be used advantageously by
marketers to imply certain desired meanings in connection with their products.

Closure
Individuals have a need for closure. They express this need by organizing their perceptions
so that form a complete picture. If the pattern of stimuli to which they are exposed is
incomplete, they tend to perceive it, nevertheless, as complete; that is, they consciously or
subconsciously fill in the missing Pieces. Thus, a circle with a section of its periphery
missing is invariable Perceived as a circle, not an arc.

PERCEPTUAL INTERPRETATION

The receding discussion has emphasized that perception is a personal Phenomenon. People
exercise selectively as to which stimuli they perceive, and they organize these stimuli on the
basis of certain psychological Principles. The interpretation of stimuli is also uniquely
individual, because it is based on what individuals expect to see in light of their previous
Experience, on the number of plausible explanations they can envision, and on their motives
and interests at the time of perception.

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NEED FOR THE STUDY:

Hero Moto corp CBZ was not successful as expected in the market like its previous vehicles
of the company and would like to know the reasons behind it. It also likes to know the factor
that affects such a result. Hence need for the study.
This project is an attempt to find the causes affecting the success of a Motorbike,
which the Hero Moto corp CBZ might concerned.

OBJECTIVE OF THE STUDY:

1).To analyze the factors those influence the customers in purchasing the Bike.

2).To know whether the customers are aware of the CBZ at the time of

Purchase

3).To identify the alternatives being considered by the customers

4).To know the areas to improve the awareness for CBZ

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Need of important of study:

Hero Moto Corp CBZ extreme

The only real points of the lot. rear set’s Bike Of The Year goes to the CBZ X-Treme. It is
one of the most emotional I've ridden bikes this year. It is not perfect (goiter), but every time
I have ridden a perfect bike, I almost fell asleep. I remember all are imperfect (first Fiero first
Pulsar).

The CBZ X-Treme is the most exciting vehicle to drive launched this year. I wish it hadmore
to offer - more power, more style and I loved a 156cc engine upgrade (15 hp). But rocks and
is the best driver of this year.

The Hero Moto corp CBZ, beginning in 1999 by Hero Dog Motors India Ltd, was the first
sports oriented 4-stroke engine also revolutionizes Indian bikes. Sporting an original

Hero Moto Corp 156.8 cc engine, good 12.8PS force that is sufficient enough to move to a
Speedo indicated 130 km / h. The styling was the exemplary. The bike looked very athletic
and aesthetically perfect. Enough mid-range torque resulted in a 0-60 km / h (0-40 mph) in
just 5 seconds.

Hero Moto Corp Worlds No.1 two wheeler company in India Worldwide - Visit the official
Hero Moto Corp global web site and find information on all Hero Moto Corp Motor and its
subsidiaries and affiliates. The study represents the responses of more than 15,000 new-
motorcycle buyers towards the performance of 40 models in the key areas of sales
satisfaction, product quality, motorcycle performance and design, bike power performance,
after-sales service, brand image, and cost-of-ownership. The bike menu index score provides
a measure of the satisfaction and loyalty a given model or brand enjoys with its
customers. "The overall industry average Bike menu score remains unchanged compared to
2009. The gains recorded by most premium and cruiser bikes are nullified by the lack of
improvements in the high volume standard and executive segments and best power
segments. "Among the new models, Honda Unicorn receives the best ratings to overtake
Bajaj Pulsar DTS-I in the premium segment. Product quality and cost of ownership
perception emerge as Unicorn's key strengths. While newness generally has a positive rub-off
on customer perceptions, this phenomenon is not universally true. Hero

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Splendor Plus defies the general trend with a strong performance on all measures of customer
satisfaction," said Mr. Mohan Rajoriya, Jaipur-Raj (India) Automotive Advisor.

The study points out that the Indian market is sensitive to mileage/fuel efficiency — a trend
seen since bike menu' inaugural study in 2009. While this sensitivity is generally seen among
all types of owners, it is particularly relevant for `standard' and `executive' bikes where
customers attach importance to fuel efficiency. "Hero Moto corp benefits from its segment
leading the rating on fuel efficiency with its owners also reporting industry-best mileage of
70 km per liter. However, it is important to diffuse focus from fuel efficiency due to the
heightened customer expectations. In addition to the bike customer evaluations on various
aspects of their ownership experience, this study also finds that

14 per cent of the motorcycle owners surveyed indicate their preference for a car in the next
three years, while 28 per cent of the current motorcycle owners intend to buy an additional or
replacement motorcycle in the future. 

METHODOLOGY

Research Definition:
A search for knowledge. A careful investigation or inquiry especially through search for new
facts in any branch of knowledge. The objectives of the present study were accomplished by
conducting a systematic market research.
Market research is the systematic design, collection, analysis and reporting of data and
findings that are relevant to different marketing situation facing the company.
The marketing research process adopted in the present study.
Consisted of the following stages:-

Research Design:
A research design is an arrangement of conditions for collection and analysis of data in a
manner that aims to combine relevance to the research purpose.

Selection of sample:

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The technique or the procedure adopted in collecting the items for the sample. It is a definite
plan for obtaining the sample.

Design of Questionnaire:
A Questionnaire is a media through which the required information can be collected. A
questionnaire should in such a way that it covers all the topics relating to the Hero Moto corp
Cbz Extreme and questions should be easily understood and answerable.
Data Collection:
The survey was conducted at various places in Hyderabad. The data was collected from
customers through Questionnaires method, for this purpose of Unstructured and indirect
Questionnaires is prepared.

DATA COLLETION METHOD:

From this study the information has been gathered from following sources:

 Primary Source

 Secondary Source

PRIMARY DATA:

Primary data is gathered by administering carefully prepared structured questionnaire, which include open-

ended dichotomous questions.

Secondary Sources
The secondary data was collected from various Websites, which was considered as
knowledge hubs.

Sample Unit
People with customers of Pulsar are considered as sample unit

Sample Size
50 customers were selected from various places in Hyderabad.
Sample Technique
The sample technique used here is Convenient Sampling. People are Selected at
convenience from various places where possible.

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Statistical Tools
The statistical tools of percentage are used for analyzing the data. The Data collection is
made through frequency methods. Percentage is used in making comparisons between 2 or
more series of data. Also bar and pie Diagrams are used for clear study.

LIMITATIONS OF THE STUDY:

1) The data collected and findings shown in the project in not full fledged and therefore
cannot be used straight away used in decision making.

2) The sample taken was very small and compared to the total population. The response
received may not be free from bias.

3) The study was limited to Hyderabad city only.

SAMPLE UNIT:

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Sample unit: 52
Sample element: DEALER OF PHOENIX (Hero Moto corp)
Sample unit: Study of Purchase Influencing Factors
Sample area: Hyderabad

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 CHAPTER-2
 REVIEW LITERATURE

REVIEW LITARATURE/CONSUMER BEHAVIOUR:

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The various purchase influence factors are as follows:

Personal
Age and life
cycle stage
Cultural Social Psychological
Occupation Motivation
Culture Reference
groups Economic Perception
Buyers
Sub culture situation
Family Learning
Social culture Life style
Roles and Beliefs and
status Personality attitudes
& self
concept

CULTURAL FACTORS

Cultural factors exert a broad and deep influence on consumer behaviour. The

marketer needs to understand the role played by the buyer’s culture, subculture, and social

class.

Culture

The set of basic values, perceptions, wants, and behaviors’ learned by a member of society

from family and other important institutions.

Subculture

A group of people with shared value systems based on common life experiences and

situations.

Social classes

Relatively permanent and ordered divisions in a society whose members share similar values,

interests, and behaviors.

SOCIAL FACTORS

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A consumer’s behaviour also is influenced by social factors, such as the consumer’s small

groups, family, and social roles and status.

Groups

Two or more people who interact to accomplish individual or mutual goals.

Family

A family is a domestic group of people, or a number of domestic groups linked through

descent (demonstrated or stipulated) from blood relation, marriage or adoption.

Roles and status

A person belongs to many groups- family, clubs, organizations. The person’s position in

each group can be defined in terms of both role and status.

PERSONAL FACTORS

A buyer’s decisions also are influenced by personal characteristics such as the buyer’s age

and life cycle stage, Occupation, economic situation, lifestyle, and personality and self-

concept.

Age and life-cycle stage

People change the goods and services they buy over their lifetimes. Tastes and preferences

changes as the life-cycle goes.

Personality and self concept

A person’s distinguishing psychological characteristics that lead to relatively consisting and

lasting responses to his or her own environment.

PSYCHOLOGICAL FACTORS

A person’s buying choices are further influenced by four major psyschological factors:

motivation: perception: learning: and attitudes.

Motivation

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A need that is sufficiently pressing to direct the person to seek satisfaction of the need.

Perception

The processes by which people select, organize, and interpret information to form a

meaningful picture of the world.

Learning

Changes in an individual’s behaviors arising from experience.

Beliefs and attitudes

A descriptive thought that a person holds about something is his/her belief. A person’s

consistently favorable or unfavorable evaluations, feeling, and tendencies toward an object or

idea is attitude.

The common tools used to conduct data analytics range from simple cross tabulations and

segmentation analysis to more sophisticated statistical methods such as multivariate and

logistic regression, discriminant analysis and cluster analysis. In the last few years,

optimization tools and machine learning algorithms such as neural networks and genetic

algorithms have also been used to perform advanced data analysis.

The study of consumers helps firms and organizations improve their marketing strategies by

understanding issues such as

 The psychology of how consumers think, feel, reason, and select between different

alternatives (e.g., brands, products);

 The psychology of how the consumer is influenced by his or her environment (e.g.,

culture, family, signs, media);

 The behavior of consumers while shopping or making other marketing decisions;

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Limitations in consumer knowledge or information processing abilities influence decisions

and marketing outcome; 

How consumer motivation and decision strategies differ between products that differ in their

level of importance or interest that they entail for the consumer; and

How marketers can adapt and improve their marketing campaigns and marketing strategies to

more effectively reach the consumer.

Understanding these issues helps us adapt our strategies by taking the consumer into

consideration. For example, by understanding that a number of different messages compete

for our potential customers’ attention, we learn that to be effective, advertisements must

usually be repeated extensively. We also learn that consumers will sometimes be persuaded

more by logical arguments, but at other times will be persuaded more by emotional or

symbolic appeals. By understanding the consumer, we will be able to make a more informed

decision as to which strategy to employ.

 Behavior occurs either for the individual, or in the context of a group (e.g., friends

influence what kinds of clothes a person wears) or an organization (people on the job

make decisions as to which products the firm should use).

 Consumer behavior involves the use and disposal of products as well as the study of

how they are purchased. Product use is often of great interest to the marketer, because

this may influence how a product is best positioned or how we can encourage

increased consumption. Since many environmental problems result from product

disposal (e.g., motor oil being sent into sewage systems to save the recycling fee, or

garbage piling up at landfills) this is also an area of interest.

 Consumer behavior involves services and ideas as well as tangible products.

 The impact of consumer behavior on society is also of relevance.

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CHAPTER-3

 INDUSTRY PROFILE

20
INTRODUCTION TO TWO WHEELER INDUSTRY

India is the second largest producer and manufacturer of two-wheelers in the world.
Indian two-wheeler industry has got spectacular growth in the last few years. Indian two-
wheeler industry had a small beginning in the early 50's. The
Automobile Products of India (API) started manufacturing scooter in the country.
Bikes are a major segment of Indian two wheeler industry, the other two being scooters and
mopeds. Indian companies are among the largest two-wheeler manufacturers in the world.
Hero Moto corp and Bajaj Auto are two of the Indian companies that top the list of world
companies manufacturing two-wheelers
The two-wheeler market was opened to foreign companies in the mid 1980s. The
openness of Indian market to foreign companies leads to the arrival of new models of two-
wheelers into India. Easy availability of loans from the banks, relatively low rate of interest
and the discount of prices offered by the dealers and manufacturers lead to the increasing
demand for two-wheeler vehicles in India. This lead to the strong growth of Indian
automobile industry.

History

The inspiration for arguably the first motorcycle was designed and built by the
German inventors Gottlieb Daimler and Wilhelm Maybach in Bad Cannstatt (since 1905 a
city district of Stuttgart) in 1885.[1] The first petroleum-powered vehicle, it was essentially a
motorized bicycle, although the inventors called their invention the Reitwagen ("riding car").
However, if one counts two wheels with steam propulsion as being a motorcycle, then the
first one may have been American. One such machine was demonstrated at fairs and circuses
in the eastern U.S. in 1867, built by Sylvester Howard Roper of Roxbury, Massachusetts.

21
 In 1894, Hildebrand & Wolfmüller became the first motorcycle available for
purchase. In the early period of motorcycle history, many producers of bicycles adapted their
designs to accommodate the new internal combustion engine.

As the engines became more powerful, and designs outgrew the bicycle origins, the
number of motorcycle producers increased.

Until the First World War, the largest motorcycle manufacturer in the world was
Indian, producing over 20,000 bikes per year. By 1920, this honor went to Harley-Davidson,
with their motorcycles being sold by dealers in 67 countries, until 1928 when DKW took over
as the largest manufacturer.

After the Second World War, the BSA Group became the largest producer of
motorcycles in the world, producing up to 75,000 bikes a year in the 1950s. The German
company NSU Motorenwerke AG held the position of largest manufacturer from 1955 until
the 1970s.

From the 1960s through the 1990s, small two-stroke motorcycles were popular
worldwide, partly as a result of East German Walter Kaaden's engine work in the 1950s.
Today, the Japanese manufacturers, Hero Moto Corp , Honda, Kawasaki, Suzuki, and
Yamaha dominate the motorcycle industry, although Harley-Davidson still maintains a high
degree of popularity in the United States. Recent years have also seen a resurgence in the
popularity of several other brands sold in the U.S. market, including BMW, KTM, Triumph,
April a, Moto Guzzi and Ducati.

Outside of the USA, these brands have enjoyed continued and sustained success,
although Triumph, for example, has been re-incarnated from its former self into a modern
world-class manufacturer. In overall numbers, however, the Chinese currently manufacture
and sell more motorcycles than any other country and exports are rising. The quality of these
machines is asserted to be somewhat lower than their Japanese, European and American
counterparts.

Additionally, the small-capacity scooter is very popular through most of the world.
The Piaggio group of Italy, for example, is one of the world's largest producers of two-
wheeled vehicles. The scooter culture has, as yet, not been adopted widely in North America.

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Construction

Motorcycle construction

Motorcycle construction is the engineering, manufacturing, and assembly of components and

systems for a motorcycle which results in performance, cost and aesthetics desired by the
designer. With some exceptions, construction of modern mass-produced motorcycles has
standardized on a steel or aluminum frame, telescopic forks holding the front wheel, and disc
brakes. A one- to eight-cylinder gasoline powered engine coupled to a manual, five- or six-
speed sequential transmission drives the swing arm-mounted rear wheel by a chain,
driveshaft or belt.

Key players in the Two-wheeler Industry :

After facing its worst recession during the early 1990s, the two-wheeler industry
bounced back with a 25% increase in volume sales in February 1995. The scooters are
considered as family vehicles. There are many two-wheeler manufacturers in India. Major
players in the 2-wheeler industry are Hero Moto corp Motors Ltd (HHML), Bajaj Auto Ltd
(Bajaj Auto) and TVS Motor Company Ltd (TVS).
The other key players in the two-wheeler industry are Kinetic Motor Company Ltd
(KMCL), Kinetic Engineering Ltd (KEL), LML Ltd (LML), Yamaha Motors India Ltd
(Yamaha), Majestic Auto Ltd (Majestic Auto), Royal Enfield Ltd (REL) and Hero Moto Corp
Motorcycle & Scooter India (P) Ltd(HMSI).

Types of Two-wheelers in India:

There are mainly three types of two-wheelers available in India. They are
Motorcycles, Scooters and Scooterettes/Mopeds.

Motorcycles in India:
Bikes comprise a major segment of Indian two wheeler industry.
 

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Some of the major two wheeler auto player who has their share in the two wheeler bikes
industry is as follows:

Company: Bajaj Auto Ltd

 Bajaj Avenger
 Bajaj CT 100
 Bajaj Platina
 Bajaj Discover DTSi
 Bajaj Pulsar DTSi
 Bajaj Wave
 Bajaj Wind 125
 Sonic DTSi

Company: HERO MOTO CORP

 Hero Moto corp Achiever
 Hero Moto corp CD Dawn
 Hero Moto corp CD Deluxe
 Hero Moto corp Glamour
 Hero Moto corp Glamour-Fi
 Hero Moto corp Karizma
 Hero Moto corp Passion Plus
 Hero Moto corp Pleasure
 Hero Moto corp Super Splendor
 Hero Moto corp Splendor NXG
 Hero Moto corp CBZ X-Treme

Company: Kinetic Motor Company

 Kinetic Aquila
 Kinetic Boss
 Kinetic Challenger
 Kinetic Comet
 Kinetic GF
 Kinetic Stryker
 Kinetic Velocity

Company: TVS MOTOR

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  TVS Apache
 TVS Centra
 TVS Fiero
 TVS Star
 TVS Victor

Company: Yamaha Motor India

 Yamaha CruxS
 Yamaha G5
 Yamaha Gladiator
Scooters in India:
The scooter and the scooterette share in the Indian two wheeler market is 13.4%. The
main models available in India are Bajaj Chetak, Honda Eterno, Kinetic Blaze, LML NV SPL
and LML Select II.

Scooterettes/Mopeds:
TVS Motors launched India's first 50cc, 2 seater moped: TVS Moped 50. TVS also
launched India's first indigenous scooterette: Scooty in 1994. This segment has about one-
fourth share in the Indian two wheeler industry. The major models available in India are Bajaj
Wave, Bajaj Kristal DTSi, Bajaj Blade DTSi, Hero Moto corp Pleasure, Kinetic Kine, Kinetic
4S, Kinetic Nova, Kinetic Zoom, Kinetic V2 Range, Kinetic King 100, Kinetic Luna Super,
Kinetic Luna TFR, Yo Smart, Honda Dio, Honda Activa, TVS Scooty and TV

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 COMPANY PROFILE

COMPANY PROFILE:

About Company

Hero Motocorp Ltd. (BSE: 500182, NSE: HEROMOTOCO) formerly Hero Honda is an

Indian motorcycle and scooter manufacturer based in New Delhi, India. Hero Honda started
in 1984 as a joint venture between Hero Cycles of India and Honda of Japan.[4] The company
is the largest two wheeler manufacturer in India.[5] The 2006 Forbes 200 Most Respected
companies list has Hero Honda Motors ranked at 108.[6]

In 2010, When Honda decided to move out of the joint venture,[7] Hero Group bought the
shares held by Honda.[8] Subsequently, in August 2011 the company was renamed Hero

26
MotoCorp with a new corporate identity.[9] On 4th June 2012,Hero Motocorp approved a
proposal to merge the investment arm of its parent-Hero Investment Pvt. Ltd. into the
automaker.The decision comes after 18 months of its split from Honda Motor. [10]

Company profile

“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 Motors Limited At Dharuhera India. Munjal family
and Honda group both own 26% stake in the Company. In 2010, it was reported that Honda
planned to sell its stake in the venture to the Munjal family.

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. The technology in the bikes of Hero Honda for almost 26
years (1984–2010) has come from the Japanese counterpart Honda [11]

Hero MotoCorp has three manufacturing facilities based at Dharuhera, Gurgaon in Haryana
and at Haridwar in Uttarakhand. These plants together are capable of churning out 3 million
bikes per year.[12] Hero MotoCorp has a large sales and service network with over 3,000
dealerships and service points across India. Hero Honda has a customer loyalty program since
2000,[13] called the Hero Honda Passport Program.

The company has a stated aim of achieving revenues of $10 billion and volumes of 10 million
two-wheelers by 2016-17. This in conjunction with new countries where they can now
market their two-wheelers following the disengagement from Honda, Hero MotoCorp hopes
to achieve 10 per cent of their revenues from international markets, and they expected to
launch sales in Nigeria by end-2011 or early-2012. In addition, to cope with the new demand
over the coming half decade, the company was going to build their fourth factory in South
India and their fifth factory in Western India. There is no confirmation where the factories
would be built.

HISTORY

Hero MotoCorp was started in 1984 as Hero Honda Motors Ltd.[4]

27
 1956—Formation of Hero Cycles in Ludhiana(majestic auto limited)
 1975—Hero Cycles becomes largest bicycle manufacturer in India.
 1983—Joint Collaboration Agreement with Honda Motor Co. Ltd. Japan signed
Shareholders Agreement signed
 1984—Hero Honda Motors Ltd. incorporated
 1985—Hero Honda motorcycle CD 100 launched.
 1989—Hero Honda motorcycle Sleek launched.
 1991—Hero Honda motorcycle CD 100 SS launched.
 1994 -- Hero Honda motorcycle Splendor launched.
 1997—Hero Honda motorcycle Street launched.
 1999 -- Hero Honda motorcycle CBZ launched.
 2001 -- Hero Honda motorcycle Passion and Hero Honda Joy launched.
 2002—Hero Honda motorcycle Dawn and Hero Honda motorcycle Ambition
launched.
 2003—Hero Honda motorcycle CD Dawn, Hero Honda motorcycle Splendor, Hero
Honda motorcycle Passion Plus and Hero Honda motorcycle Karizma launched.
 2004—Hero Honda motorcycle Ambition 135 and Hero Honda motorcycle CBZ*
launched.
 2005—Hero Honda motorcycle Super Splendor, Hero Honda motorcycle CD Deluxe,
Hero Honda motorcycle Glamour, Hero Honda motorcycle Achiever and Hero Honda
Scooter Pleasure.
 2007—New Models of Hero Honda motorcycle Splendor NXG, New Models of Hero
Honda motorcycle CD Deluxe, New Models of Hero Honda motorcycle Passion Plus
and Hero Honda motorcycle Hunk launched.
 2008—New Models of Hero Honda motorcycles Pleasure, CBZ Xtreme, Glamour,
Glamour Fi and Hero Honda motorcycle Passion Pro launched.
 2009—New Models of Hero Honda motorcycle Karizma:Karizma - ZMR and limited
edition of Hero Honda motorcycle Hunk launched
 2010—New Models of Hero Honda motorcycle Splendor Pro and New Hero Honda
motorcycle Hunk and New Hero Honda Motorcycle Super Splendor launched.
 2011—New Models of Hero Honda motorcycles Glamour, Glamour FI, CBZ Xtreme,
Karizma launched. New licensing arrangement signed between Hero and Honda. In
August Hero and Honda parted company, thus forming Hero MotoCorp and Honda

28
 moving out of the Hero Honda joint venture. In November, Hero launched its first
ever Off Road Bike Named Hero "Impulse".
 2012-New Models of Hero Motocorp Maestro the Musculine scooter and Ignitor the
young generation bike are launched.

Termination of Honda joint venture

Main article: Hero Honda split

In December 2010, the Board of Directors of the Hero Honda Group have decided to
terminate the joint venture between Hero Group of India and Honda of Japan in a phased
manner. The Hero Group would buy out the 26% stake of the Honda in JV Hero Honda. [15]
Under the joint venture Hero Group could not export to international markets (except Sri
Lanka) and the termination would mean that Hero Group can now export. Since the
beginning, the Hero Group relied on their Japanese partner Honda for the technology in their
bikes. So there are concerns that the Hero Group might not be able to sustain the performance
of the Joint Venture alone.[16]

29
Hero MotoCorp

The new brand identity and logo, Hero MotoCorp, was developed by the London firm Wolff
Olins.[17] The logo was revealed on 9 August 2011 in London, the day before the third test
match between England and India.[17]

Hero MotoCorp can now export to Latin America, Africa and West Asia. [17] Hero is free to
use any vendors for its components instead of just Honda-approved vendors.[17]

Company performance

During the fiscal year 2008-09, the company sold 3.7 million bikes, a growth of 12% over
last year. In the same year, the company had a market share of 57% in the Indian market. [18]
Hero Honda sells more two wheelers than the second, third and fourth placed two-wheeler
companies put together.[11] Hero Honda's bike Hero Honda Splendor sells more than one
million units per year.[19] On 1st June 2012, Hero MotoCorp reported its highest ever
monthly sales at 5,56,644 units in May, registering a growth of 11.28%.[20]

RECOGNITION

Logo of Hero Honda, as the company was known till Aug. 2011

The Brand Trust Report [21] published by Trust Research Advisory has ranked Hero Honda in
the 13th position among the brands in India.

Motorcycle models

See also: Category:Hero Honda motorcycles

30
  Sleek
 Street
 Ambition 133, Ambition 135
 CBZ, CBZ Star, CBZ Xtreme
 CD 100, CD 100 SS, Hero Honda Joy, CD Dawn, CD Deluxe, CD Deluxe (Self Start)
 Glamour, Glamour F.I
 Hunk
 Karizma, Karizma R, Karizma ZMR FI
 Passion, Passion Plus, Passion Pro
 Splendor, Splendor+, Splendor+ (Limited Edition), Super Splendor, Splendor
NXG,Splendor PRO
 Hero Impulse launched in 2011 after the separation of hero and Honda. Its India's first
off-road and on road Bike.

Suppliers

It is reported Hero Honda has five joint ventures or associate companies, Munjal Showa, AG
Industries, Sunbeam Auto, Rockman Industries and Satyam Auto Components, that supply a
majority of its components.[22

Type Public company

BSE: 500182
Traded as NSE: HEROMOTOCO
BSE SENSEX Constituent
Industry Automotive
Founded 19 January 1984 (Gurgaon)
Founder(s) Brijmohan Lall Munjal
Headquarters New Delhi, India
Brijmohan Lall Munjal (Chairman)
Key people
Pawan Munjal (MD & CEO)[1]
Products Motorcycles, scooters, three-wheeler

31
 vehicles and spare parts
23,579.03 crore (US$4.27 billion)
Revenue [2]

Operating 2,597.07 crore (US$470.07

income million) (FY 2010-2011)
2,378.13 crore (US$430.44
Net income
million) (2011)[3]
Parent Hero Cycles
Website www.heromotocorp.com

SUPPLY CHAIN

(An Initiative of Hero MotoCorp for protecting and preservation of Environment)

Rapid industrialization and advanced technological changes have put Indian economy on fast
growth. But such developments pose, unprecedented challenges to human society in term of
climatic and environmental degradation. Therefore the people and governments have come
forward to dealt with environmental threats and also to explore many opportunities so as to
address the environmental issues and also to create a sustainable environmental future for all.

We at Hero MotoCorp are continuously striving for synergy between technology, system and
human resources, to provide products and services, to meet the aspiration of our valued
customers that too, demonstrating our "WE CARE" philosophy. While doing so, we maintain
the highest standards of ethics and societal responsibility, constantly innovate the products
and process and work in partnership with our supply vendors to take the organization to new
excellences. We believe that our vendors and dealers are key stakeholders and partners to
work towards the goal of sustainable development.

Green Vendor Development Programme refers to the

32
way in which organizational innovations in industrial supply chain management may be
considered in the context of the environment. Organizations which act proactively not only to
identified but also to implement actions in process / operation so as to address environmental
issues.

Green Vendor Development Programme (GVDP) encourages a collaborative effort between

Hero MotoCorp and its suppliers to achieve Hero MotoCorp's overall corporate
environmental goal. GVDP calls for partner companies to demonstrate their commitment
towards improved environmental performance and striving for continual improvement.

Six pillars have been assigned to GVDP model which are Energy management, Water
management, Waste minimization, Prevention of Pollution, Substitution of hazardous
chemical and Environmental compliance management. Partner vendors are given specific
training on all six pillars of GVDP and mapping of processes/equipments is carried out based
on logical analysis so as to identify the gaps or significant environmental aspect and
accordingly improvements projects are undertaken for implementation. The programme
works on PDCA approach.

HMCL also endeavors to provide a platform on which the vendors can share their
environment achievements and problems encountered during implementation of the green
vendor program. The objective of this meet is to share success stories on environmental
improvements that can be replicated at other vendor facilities. This platform lays the
foundation for a mutually beneficial eco-future.

We understand that environmental protection is our responsibility towards our future

generations and thus while providing our customers with supreme quality of products and
services it is important for us to ensure that environmental considerations are given utmost
importance. We will continue taking initiatives towards environmental protection and base all
our business decisions on environmental considerations.

33
NEW PRODUCTS

Hero MotoCorp Splendor Hero MotoCorp Passion

Hero MotoCorp Splendor NXG
Plus Plus

Hero Motorcorp Karizma R Hero MotoCorp Glamour Hero MotoCorp CD Delux

Hero Honda Hunk Hero Moto Corp Impulse Hero Honda Karizma ZMR

34
Hero MotoCorp CBZ Xtreme
ATFT

Contract us:

Registered Address

34, Community Centre,

Basant Lok,,Vasant Vihar
New Delhi
Delhi
110057
Tel: 011-46044100 011-26142451
Fax: 011-26143321/26143198
Email: ilam.kamboj@heromotocorp.com
Website: http://www.heromotocorp.com
Group: Hero Group

Registrars

Karvy Computershare Private Ltd. Plot No. 17-24,

Vittal Rao Nagar,
Madhapur,
Email: einward.ris@karvy.com
Website: http://www.karvy.com

35
Management - Hero Motocorp

Name Designation
Brijmohan Lall Munjal Chairman / Chair Person
Anand C Burman Non.Exe.Independent Director
Analjit Singh Non.Exe.Independent Director
Sunil Kant Munjal Joint Managing Director
Pradeep Dinodia Non.Exe.Independent Director
Ravi Nath Non.Exe.Independent Director
Name Designation
Pawan Munjal Managing Director & CEO
Pritam Singh Non.Exe.Independent Director
Suman Kant Munjal Non Executive Director
V P Malik Non.Exe.Independent Director
Meleveetil Damodaran Non.Exe.Independent Director
Paul Edgerley Non Executive Director

36
 FINANCIAL POSITION
Balance Sheet of Hero Motocorp ------------------- in Rs. Cr. -------------------
Mar '12 Mar '11 Mar '10 Mar '09 Mar '08

12 mths 12 mths 12 mths 12 mths 12 mths

Sources Of Funds
Total Share Capital 39.94 39.94 39.94 39.94 39.94
Equity Share Capital 39.94 39.94 39.94 39.94 39.94
Share Application Money 0.00 0.00 0.00 0.00 0.00
Preference Share Capital 0.00 0.00 0.00 0.00 0.00
Reserves 4,249.89 2,916.12 3,425.08 3,760.81 2,946.30
Revaluation Reserves 0.00 0.00 0.00 0.00 0.00
Networth 4,289.83 2,956.06 3,465.02 3,800.75 2,986.24
Secured Loans 994.85 1,458.45 0.00 0.00 0.00
Unsecured Loans 0.00 32.71 66.03 78.49 132.00
Total Debt 994.85 1,491.16 66.03 78.49 132.00
Total Liabilities 5,284.68 4,447.22 3,531.05 3,879.24 3,118.24
Mar '12 Mar '11 Mar '10 Mar '09 Mar '08

12 mths 12 mths 12 mths 12 mths 12 mths

37
Application Of Funds
Gross Block 6,308.26 5,538.46 2,750.98 2,516.27 1,938.78
Less: Accum. Depreciation 2,522.75 1,458.18 1,092.20 942.56 782.52
Net Block 3,785.51 4,080.28 1,658.78 1,573.71 1,156.26
Capital Work in Progress 193.95 125.14 48.14 120.54 408.49
Investments 3,964.26 5,128.75 3,925.71 3,368.75 2,566.82
Inventories 675.57 524.93 436.40 326.83 317.10
Sundry Debtors 272.31 130.59 108.39 149.94 297.44
Cash and Bank Balance 56.10 47.75 1,863.48 217.49 130.58
Total Current Assets 1,003.98 703.27 2,408.27 694.26 745.12
Loans and Advances 926.99 783.48 438.46 325.80 196.37
Fixed Deposits 20.72 23.77 43.73 2.08 0.51
Total CA, Loans & Advances 1,951.69 1,510.52 2,890.46 1,022.14 942.00
Deffered Credit 0.00 0.00 0.00 0.00 0.00
Current Liabilities 3,520.66 5,316.40 3,965.69 1,678.93 1,455.57
Provisions 1,090.07 1,081.07 1,026.35 526.97 499.76
Total CL & Provisions 4,610.73 6,397.47 4,992.04 2,205.90 1,955.33
Net Current Assets -2,659.04 -4,886.95 -2,101.58 -1,183.76 -1,013.33
Miscellaneous Expenses 0.00 0.00 0.00 0.00 0.00
Total Assets 5,284.68 4,447.22 3,531.05 3,879.24 3,118.24

Contingent Liabilities 252.62 131.90 73.04 100.54 56.37

Book Value (Rs) 214.83 148.03 173.52 190.33 149.55

Source : Dion Global Solutions Limited

38
BE A HERO MOTO CORP GOOD RIDER  

As a socially responsible company we urge you to join us in making this world a safer,
healthier and more environment friendly place.

At Hero Moto corp we like to promote the three E’s

Engineering – which is the right technology, specifically designed for Indian customer
requirements, and road conditions. It is exemplified in the 4-stroke Hero Moto corp engines
that give you amazing reliability and fuel-efficiency, year after year. We have always
manufactures 4-stroke engines, ever since inception in 1985.

Environment – which is about ensuring that the high technology 4-stroke Hero Moto corp
motorcycles continue to meet the most stringent pollution control norms at every level – as
they have since the very beginning.

Education – which is about promoting comfortable and safe driving, through a wide dealer
network and service centers; as well as in educating people on road safety, in association with
the traffic police and the transport department. Do remember that you and your family are not
only riders, but pedestrian as well. It is as part of the Hero Moto corp family that ‘We Care’
to drive home the message of Road Safety and a Healthy Environment.

Your Hero Moto corp, the environment and you. It is a three-way relationship that you
should nurture, to reap the benefits for years to come. A well tuned bike keeps the
environment healthy. Good riding practices will keep you healthy. Taking good care of your
bike will always keep your bike healthy.

Here are simple steps to a healthy bike, healthy environment, and a healthy you. 

 Health and Environment

 Safety
 Facts and Information
 Social Responsibility

We are certain that you too will take pride in being a true Hero Moto corp Good

39
DEALER PROFILE (PHOENIX MOTORS)

PHOENIX MOTORS PVT LTD is dealership type of business. PHOENIX MOTORS

PVT LTD., is established on 21 st March 2003. The business is running by only one man. The
owner name is CH.MADHU MATHI the firm is located at Habsiguda in Hyderabad.
Generally the sale will be either on cash basis or on institutional basis. Bank like
ICICI, HDFC and CENTURION are providing loans to customers.

ADVERTISING STRATEGY OF PHOENIX MOTORS:

They are giving the Adds through newspapers, wall paintings, hoardings and field
staff. They are upgrading sales by introducing the schemes, group bookings, institutional
sales and customer door-to-door activities.

CATEGORIZATION OF STAFF MEMBERS:

Staff members are categorized for technicians, 25 members are allotted for field staff,
5 members are recruited for sales for persons, 5 persons are placed for evaluating for spare
parts, 5 members are allotted for managerial accounts and another 3 persons for cash
transaction and other members are allotted for remaining work.

CUSTOMER RELATIONSHIP:
To entertain the customers the showroom providing a customers huge having pool
game, Internet facility and television with home theatre system. They provide bike
maintenance programs on every week.
According to other dealers PHOENIX motors in first in sales and best in service.
They treat customer, is the very important person at PHOENIX motors customer satisfaction
is their motto, why because, the well satisfied customer is the best advertisement. They
provide better value for the customers and as well as employees also. At PHONIX motors the
customer is the boss.

40
SALES STRATEGY OF PHOENIX MOTORS:

Averagely they are selling 25 vehicles per day. PHOENIX motors PVT LTD. Is the
A.P s No.1 dealership in sales and other Activities? It is a QLAD (quality leader through
quality dealer). At PHOENIX motor they gave the quality service to the customers why
because “The cost is long forgotten but the quality is remembered for ever”. They treat
quality has a...
Q Quest for excellence
U Understanding customer’s needs
A Action to achieve customer’s appreciation
L Leadership determined to be a leader
I Involving all the people
T Team Spirit to work for a common goal
Y Yard sticks to measure programs.

WARRANTY ON PROPRIETARY ITEMS:

Warranty on proprietary items like Tyros, Tubes and Battery etc, will be directly
handled by the respective original manufactures (OEM’s) except AMCO for batteries and
Dunlop and Falcon Tyres and Tubes. In case of any defect in proprietary items, other than the
above two mentioned OEM’s the dealers must approach the branch office dealer of the
respective manufacturers. For AMCO batteries and Dunlop and Falcon Tires, Tubes claims
will be accepted at our authorized dealership. As per the mutually agreed terms and
conditions between HERO MOTO CORP and of these two OEM’s in case the claim is not
accepted for invalid reasons. Then the claim along with the refusal note from the OEM can be
sent to the warranty section at Gorgon plant after due to recommendation of the area service
engineer.
 If any of the six free services or subsequent paid services is not availed as per the
recommended schedule given in the owner’s manual.
 If HERO MOTO CORP recommended engine oil is not used.
 To normal wear & tear components like bulbs, electric wiring, filters, spark plug,
clutch plates, brake shoes, fasteners, shims washers, oil seals, gaskets, rubber

41
 parts (other than tire and tube) plastic components, chain & sprockets and in case
of wheel rim misalignment or bend.
 If there is any damage due to modification or fittings of accessories other than
ones recommended by HERO MOTO CORP.
 If the motor has been used in any competitive events like tracking Races or
Rallies.
 If there is any damage to the painted surface due to industrial pollution or other
extraneous factors.
 For clams made for any consequential damage due to any previous malfunction.
 For normal phenomenon like noise, vibration, oil seepage, which do not affect the
performance of the motorcycles.
 If there is any damage caused due to usage of improper oil, grease, non-genuine
parts.
 For motorcycles which have been used for any commercial purpose as taxi etc.
 For maintenance repaired due to misuse while driving or due to adulteration of
oil, petrol or due to bad road condition.
 For consumable oil, grease etc. used during free services or used during warranty
repairs.
 If any part of the vehicle is tampered repaired by unauthorized person or
workshops etc.
 For motorcycles not using accordance with the owner’s manual supplied with
each motorcycle by HERO MOTO CORP.

All HERO MOTO CORP motors are warranted for a period of 2 years or 30000 kilometers
from date of purchase, whichever is earlier. This is i.e., 1st April 2001. It is mandatory for the
customer to avail all free and paid services as per recommended schedule to be eligible for
the warranty benefits. That the customers have to be ensuring that each paid service is availed
with in 60 days from the date of previous service or as per the recommended schedule. If a
defect is observed in any HERO MOTO CORP motorcycle, Hero Moto corp’s only
obligation/liability is to repair or to replace those parts. Which are considered to be the cause
of malfunction free of charge of both labor and material, when HERO MOTO CORP
acknowledges that such malfunction as not come out of misuse or improper handling etc.

42
such defective motor cycles should be brought to the nearest HERO MOTO CORP dealer or
authorized service center by the owner for necessary inspection and subsequent repairs?

SOCIAL SERVICE ACTIVITIES

PHOENIX motors participate and conduct social service activities. Recently the
phoenix motors organized a BLOOD DONATION CAMP for the trust on 21 st January 2006.
They motivated on the customers to participated in this camp and also provide certificate for
the customers.
GENUINE PARTS  

Features & Benefits

The performance and safety of your bike not only depends on the world class design and
workmanship assured by Hero Moto corp but also on the parts being used in the assembly
line.

Even the finest components manufactured need replacement from time to time. And to ensure
the continued impeccable performance of your vehicle, the spare parts should also be made
and replaced as good as the components fitted by Hero Moto corp.

To ensure this, we manufacture and procure the replacement parts according to the
specifications and standards set by us and Honda Motor Co.

As a responsible Hero Moto corp bike owner, we recommend that for your safety, long life
and high performance of your bike, use only Hero Moto corp genuine parts.
 
How to Identify Genuine Spares

 Maximum Retail Price (MRP) Label on the Label:  

 Fluorescent-ink-printed Hero Moto corp Genuine Parts logo which glows under
infrared light

On the Holographic Strip:

 Pseudo 3D effect
 Expanding and shrinking effect - Hero Moto corp logo
 Kinetic effect - Rainbow

43
 CHAPTER-4

 DATA ANALYSIS AND INTERPRETATION

Analysed survey report

44
1. Do you have the Hero Moto corp CBZ Extreme?

TOTAL NO.OF PERSONS PERCENTAGE

YES 43 83
NO 9 17

Interpretation: The analysis of the above table show that 83% of respondents having
the Hero Moto corp CBZ extreme and 17% of respondents not having the Hero Moto
corp CBZ extreme.

2. How did you come to know about CBZ Extreme?

45
 TOTAL NO.OF PERSONS PERSENTAGE
Friends & family 15 28.8
Brand Image 24 46.2
Advertisement 9 17.3
Others 4 7.7

Interpretation: The analysis of the above table show that 46% of respondents by
Brand Image and 29% of Respondents friends & family and 17% of respondents by
Advertisement and 8% of respondents others.

46
3. What is the purpose of using this CBZ Extreme?

TOTAL NO.OF PERSONS PERSENTAGE

Necessity 9 17.3
Comfortable 24 46.6
Status 15 28.8
Others 4 7.7

Interpretation: From the above show that 46% of respondents Comfortable and 28%
of respondents status and 17% of respondents Necessity and 8%of respondents
others.
.

47
4.What influenced you to purchase the vehicle?

TOTAL NO.OF PERSONS PERSENTAGE

Friends & Family 16 30.7
Neighbors 6 11.5
Brand 18 34.6
advertisement 7 13.4
Others 5 9.6

Interpretation: The analysis of the above table show that 35% of respondents
Brand and 31% of respondents friends and 13%of respondents advertisent and 10%
of respondents others and 12% of respondents neighbors.

5. How would you rate style in Hero Moto corp CBZ Extreme?

48
 BIKES No of customers Percentage
Highly Satisfied 20 38.5
Satisfied 30 57.7
Neither Satisfied nor 2 3.8
dissatisfied
Dissatisfied 0 0
Total 52 100

Interpretation: The analysis of the above table show that 57% of respondents
Brand and 38% of respondents friends and 4%of respondents advertisent and 0% of
respondents others.

6. How would you rate the design of Hero Moto corp CBZ Extreme?

49
 BIKES No of customers Percentage
Highly Satisfied 14 26.9
Satisfied 34 65.4
Neither Satisfied nor 3 5.7
dissatisfied
Dissatisfied 1 2
Total 52 100

Interpretation: The analysis of the above table show that 65% of respondents
Brand and 26% of respondents friends and 5%of respondents advertisent and 2% of
respondents others.

7. How would you rate the Milage by Hero Moto corp CBZ Extreme?

50
 BIKES No of customers Percentage
Highly Satisfied 4 7.69
Satisfied 16 30.7
Neither Satisfied nor 20 38.5
dissatisfied
Dissatisfied 12 23.1
Total 52 100

Interpretation: The analysis of the above table show that 30% of respondents
Brand and 23% of respondents friends and 20%of respondents advertisent and 7%
of respondents others.

8. How would you rate Engine Quality of Hero Moto corp CBZ Extreme?

51
 BIKES No of customers Percentage
Highly Satisfied 9 17.3
Satisfied 33 63.5
Neither Satisfied nor 5 9.6
dissatisfied
Dissatisfied 5 9.6
Total 52 100

Interpretation: The analysis of the above table show that 63% of respondents
Brand and 17% of respondents friends and 9%of respondents advertisent and 9% of
respondents others.

9. How would you rate comfort by Hero Moto corp CBZ Extreme?

52
 BIKES No of customers Percentage
Highly Satisfied 15 28.8
Satisfied 26 50
Neither Satisfied nor 7 13.5
dissatisfied
Dissatisfied 4 7.7
Total 52 100

Interpretation: The analysis of the above table show that 50% of respondents
Brand and 28% of respondents friends and 13%of respondents advertisent and 7%
of respondents others.

10. How would you rate the overall performance Hero Moto corp CBZ Extreme?

53
 BIKES No of customers Percentage
Highly Satisfied 10 19.3
Satisfied 27 51.9
Neither Satisfied nor 11 21.2
dissatisfied
Dissatisfied 4 7.7
Total 52 100

Interpretation: The analysis of the above table show that 51% of respondents
Brand and 21% of respondents friends and 19%of respondents advertisent and 7%
of respondents others.

11. How would you rate performance while purchasing Hero Moto corp CBZ Extreme?

54
 BIKES No of customers Percentage

Highly Satisfied 13 2.5

Satisfied 33 63.5
Neither Satisfied nor 2 3.8
dissatisfied
Dissatisfied 4 7.7
Total 52 100

Interpretation: The analysis of the above table show that 63% of respondents
Brand and 25% of respondents friends and 7%of respondents advertisent and 4% of
respondents others.

12. How would you rate feature effect while purchasing Hero Moto corp CBZ Extreme?

BIKES No of customers Percentage

Highly Satisfied 10 25

55
 Satisfied 25 48.1
Neither Satisfied nor 10 19.2
dissatisfied
Dissatisfied 7 13.5
Total 52 100

Interpretation
The analysis of the above table show that 48% of respondents Brand and 25% of
respondents friends and 19%of respondents advertisent and 13% of respondents
others.

13. . How would you rate service Satisfaction with Hero Moto corp CBZ Extreme?

BIKES No of customers Percentage

56
 Highly Satisfied 7 13.5
Satisfied 26 50
Neither Satisfied nor 8 15.4
dissatisfied
Dissatisfied 11 21.2
Total 52 100

Interpretation: The analysis of the above table show that 50% of respondents
Brand and 21% of respondents friends and 15%of respondents advertisent and 13%
of respondents others.

14. How would you rate Waranty Providing by Hero Moto corp CBZ Extreme?

BIKES No of customers Percentage

57
 Highly Satisfied 8 15.4%
Satisfied 55 55.7%
Neither Satisfied nor 8 15.4%
dissatisfied
Dissatisfied 7 13.5%
Total 52 100

terpretation: The analysis of the above table show that 55% of respondents Brand
and 15% of respondents friends and 15%of respondents advertisent and 13% of
respondents others.

15. How would you rate price Satisfactory purchasing the Hero Moto corp CBZ Extreme?

BIKES No of customers Percentage

Highly Satisfied 4 7.69
Satisfied 16 30.7

58
 Neither Satisfied nor 20 38.5
dissatisfied
Dissatisfied 12 23.1
Total 52 100

Interpretation: The analysis of the above table show that 48% of respondents
Brand and 23% of respondents friends and 21%of respondents advertisent and 7%
of respondents others.

16..Will you recommend your friends/relatives to buy the Hero Moto corp CBZ Extreme?

TOTAL NO.OF PERSONS PERCENTAGE

YES 43 82.7
NO 9 17.3

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Interpretation: The analysis of the above table shows that 83% of respondents
having the Hero Moto corp CBZ extreme and 17% of respondents not having the
Hero Moto corp CBZ extreme.

17. Do you want any technical changes in Hero Moto corp CBZ Extreme?

TOTAL NO.OF PERSONS PERCENTAGE

YES 18 34.6
NO 34 65.4

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61
Interpretation: The analysis of the above table shows that 65% of respondents
having the Hero Moto corp CBZ extreme and 35% of respondents not having the
Hero Moto corp CBZ extreme.

CHAPTER-5

 FINDING S AND SUGGETIONS AND

CONCLUSION

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 OBSERVATION AND FINDINGS

As a result of the research work and the subsequent interaction with the consumers
in the market an in-depth study report of motorcycle market was made. The study reveals the
exact position of motorcycle companies and response of consumers to their perception tool.
Market condition could be observed minutely and closely enabling me to formulate my views
and opinion about the market.

The major observations and findings:-

1. More than 45%of the respondents felt the ownership of Motor cycle as necessity,
while 30% of them felt it is as comfort. 10% of the respondents felt it is as luxury and
15% of respondents felt it is as status.

2. 49%of the respondents were satisfied with the after sales service of Bajaj
Pulsar, while 44% felt it as good, 5%as bad and2% as excellent

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3. When asked about the opinion on Hero Moto corp CBZ Extreme advertisement 31%
have not seen the advertisement, while69% have seen the advertisement and gave
their opinion as 17% as excellent, 48%as very good and 30%as ok.

4. There are many criteria’s considered by customers while choosing the motorcycle
company or particular model. Here I found, 38%customers considered mileage factor
while selecting any variety.

5. Customers have right to expect from company. 32%customers expect long service
from the company.

6. With out proper motivation no one will buy the particular motor cycle it is found that
23% customers affected by work of mouth, 16% by sales man, 54% by reliability and
07% by dealers.

7. From the customer survey 1found that lot of the customers expresses their
dissatisfaction is not being informed about the new service and new products when
every they are introduced.

8. Offers and Discount are the more attractive to the customers.

9. It is observed that Hero Moto corp CBZ Extreme is the leader in motorcycle industry.

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 SUGGESTIONS

 Target segment for bikes should be below the age group of 25-35 years.

 Maintenance is heavy.

 The company throughout its R&D needs to improve fuel efficiency of Hero Moto

corp CBZ Extreme.

 Road show, participations in Industrial exhibitions and sales campaigns need to be

conducted regularly.

 Most of the customers are asking for extended service period.

 Decisions relating to launching of the product should be done at the right time.

 Make some more latest models in CBZ extreme like conversing mileage more

colours.

 Advertise all the produces, which are in CBZ vehicle.

 Increase in advertising in mass media to promote its sales.

 Manufacture motorcycles which can withstand for long time on Indian roads.

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  It should appoint a brand ambassador and also sponsor entertainment and sports
events so that the name of the company remains in the minds of the people.

 Company should implement new marketing strategies to compete with cheaper

cars like NANO recently launched by TATA as it is one of the threat to automobile
industry

For servicing:

 Mechanics should call back the customers if they find any problems in the vehicle

during servicing.

 At least one experienced mechanic should be appointed in order to cope up with

mileage problem.

 Number of mechanics should be increased.

 The service men are using the customer’s bikes for their own purpose when the

customer gives the bikes to the service. This must not be done by them; management

should take proper steps to avoid this kind of actions.

 The service men at the authorized dealers are unable to take care of the bike and they

are unable to resolve the queries and the problems told by the customers regarding the

bike

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Conclusion

Market of Hero Moto corp is very wide. Comparing to other two wheeler services Hero Moto

corp stakes at a position with better services provided by the other two wheeler services.

Company should aim at Advertising not only to capture the market but also strive in retaining

such captured market. The company should take survey for the benefit of the company. It was

found even though company performing well; there is lot of market to be captured.

One ideology that smart corporate across the country are passionately persuading today in

“CARE”. Thus Business world is trying to get closer to the customers by adapting a key

survival strategy. “Don’t just sell, but satisfy: Don’t just satisfy but pamper don’t just

pamper, but charm your customers”.

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 BIBLIOGRAPHY:

REFERENCE BOOKS:

REFERENCES:

1.Hawkins D.I.Best, R.J. and Convey, K.A. Consumer Behavior: Implications

For Marketing Strategy, (Rev.ed), Business Publications, Inc. Texas, 2001.

2. Howard John H., and Sheth, Jagdish N., The Theory of Buyers Behavior,
John Wiley and Sons Inc., New York, 2000.

3. Karsarjian H.H. and Robertson T.S.Perspectives in Consumer Behaviors,

SCOH Forman & Company, Illinois, 2001.

4. Kotler Philip, Marketing Management, analysis, planning implementation

and control, Prentice Hall of India Publishing, NewDelhi.2002.Schiffman
G.Leon., Consumer Behaviors, Prentice Hall of India Pvt.Ltd., New Delhi 2001.

WEBSITES:

www. heromotocorp.com

www.phoenixindia.com

NEWS PAPERS:

THE TIMES OF INDIA

THE HINDU

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STUDY OF PURCHASE INFLUING FACTORS TOWARDS HERO MOTO CORP
CBZ EXTREM CONDUETED AT (PHEONIX MOTERS PVT.LTD.HUBSIGUDA, HYD)

QUESTIONNAIRE
Respondent profile

Name: ------------ Location: ----------

Age: ---------- Gender (m/f):------- Occupation: ------
Income: ----------- Education: ------------

1. Do you have the Hero Moto corp CBZ Extreme? YES/NO

2. How did you come to know about this

a) Friends & Family b) Brand Image

c) Advertisement d) Others

3. What is the purpose of using this CBZ Extreme?

a) Necessity b) Comfortable
c) Status d) Others

4. What influenced you to purchase the vehicle?

a) Friends & Family b) Neighbors

c) Brand d) Advertisement e) Others

4. How would you rate importance in following factors while purchasing Hero Moto
corp CBZ extreme?

Safety Highly Satisfied Neither Satisfied nor Dissatisfied

Satisfied Dissatisfied

Style
Design
Mileage
Engine Quality
Comfort
Overall performance

6.

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 ATTRIBUTE Highly Satisfied Neither Satisfied nor Dissatisfied
S satisfied Dissatisfied
A Performance
B Features
C Service
D Warranty
E Price

7. Will you recommend your friends/relatives to buy the CBZ Extreme? YES/NO

8. Do you want any technical change in Hero Moto corp CBZ Extreme? YES/NO

If yes, give your

suggestion:--------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------
----------------------------------------

Date:

(Signature)

THANK YOU FOR YOUR COOPERATION

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