A

Project Report
On

“Post Purchase Evaluation Of Hyundai

Products”
In the partial fulfillment of the Degree of
Masters in Management Studies
Under
University of Mumbai
By

Mr. Kasar Akshay Rajan

[MMS Semester IV Roll No: 1616]
Specialization: Marketing
Batch: 2016-18

Under the Guidance of

Prof. Yusuf Khan

(Professor)

ORIENTAL INSTITUTE OF MANAGEMENT

Vashi, Navi Mumbai - 400703

1
 DECLARATION

This is to declare that I, Akshay Rajan Kasar, student of the Oriental Institute of
Management (OIM), Vashi MMS Marketing batch 2016-2018, has given original data
and information to the best of my knowledge in the project report titled “A Study on
Post Purchase Evaluation Of Hyundai Products.” is a record of independent work
carried out by me under the guidance and supervision of Prof.Yusuf Khan towards the
partial fulfillment of requirement for the M.M.S. degree course under University of
Mumbai.
I also agree in principal not to share the vital information with any other person
outside the organization and that I have not submitted it for any award or any other title,
degree or diploma.

Date:
Place:Navi Mumbai
Name: Akshay Rajan Kasar

Roll No: 1616

Specialization: Marketing

Batch: 2016-18

2
 CERTIFICATE

This is to certify that the project entitled “A study on post purchase evaluation of
Hyundai products.”, submitted to Oriental Institute of Management, Navi Mumbai in
the partial fulfillment of the requirements for the award of the degree of Master in
Management Studies of University of Mumbai embodies the results of bonafide
project work carried out by Prof. Yusuf Khan under my guidance and supervision.
To the best of my knowledge the results embodied in this project have not been submitted
to any other university or institute for the award of Degree or Diploma. The assistance
and help received during the course of this investigation has been duly acknowledged.

Project Guide Director

Date:
Place:Navi Mumbai

3
 ACKNOWLEDGEMENT

I,Akshay Rajan Kasar, student of Oriental Institute of Management, Vashi would

like to acknowledge all the people who have been of help and assisted me throughout my
project.
Firstly, I would like to thank my institution Oriental Institute of Management, which
created such a platform to attain profound management skills, thereby fulfilling my most
cherished goals.
Lastly, I would also like to thank Prof. Yusuf Khan for guiding me and helping me in
successful completion of my project.

Akshay Rajan Kasar

4
 EXECUTIVE SUMMARY

Automobiles have become an indispensable part of our lives, an extension of The human
body that provides us faster, cheaper and more convenient mobility every passing day.
Behind this betterment go the efforts of those in the industry, in the form of improvement
through technological research. The Indian automotive component industry is dominated
by around 500 players which account for more than 85% of the production. Hyundai
Motor Co. was established as an independent Company in 1937.This project on Hyundai
tells us about the satisfaction level of consumers with The Hyundai. Firstly Introduction
about The Automobile Industry has been explained in this project. As a joint venture
between Group and Hyundai Motor Corporation, Hyundai Motor Limited (TKM) aims
to play a major role in The development of The automotive industry and The creation of
employment opportunities, not only through its dealer network, but also through ancillary
industries. Hyundai Motor Limited firmly believes that The success of this venture
depends on providing high quality products and services to all valued customers through
The efforts of its team members. Hyundai Motor Limited, along with its dedicated
dealers and suppliers, has adopted The "Growing Together" philosophy of its parent
Company TMC to create long-term business growth. In this way, Hyundai Motor Limited
aims to further contribute to progress in The Indian automotive industry, realize greater
employment opportunities for local citizens, improve The quality of life of The team
members and promote robust economic activity in India. The next phase looks upon The
research carried out for analyzing The response towards Hyundai. This has been done by
conducting a survey.

After conducting the survey it was observed that most of The Hyundai owners were
satisfied with their services and its maintenance. The designing and interiors are most
liked by The customers but few people also want it to be more affordable.

TABLE OF CONTENT

5
Chapters Particulars Page no.

1 Introduction about The Industry 7-16

2 About The Organization 17-34

Research Methodology
3 35-40
3.1 Objectives of The Study

3.2 Methodology

3.3 Limitation of Study

Findings and Analysis

4 41-54
Findings from Primary Data

5 Conclusion 55-56

6 Recommendations 57-58

7 Annexure 59-61

8 Bibliography 62-64

6
 CHAPTER 1

Introduction about the Industry

7
Introduction

The Indian automotive component industry is dominated by around 500 players which
account for more than 85% of the production. The turnover of this industry has been
growing at a mammoth 28.05% per annum from 2002-03 onwards as illustrated in Fig
which clarifies its emergence

as one of India's fastest growing manufacturing sectors. During 1990s, the auto
components market in India used to be dominated by supplies to the aftermarket with
only 35% exports sourced by global Tier 1 OEMs (Original Equipment Manufacturers).
The industry made a sustained shift to the global Tier 1 market and today, the component
manufacturers supply 75% of their exports to global Tier 1 OEMs and the remaining to
the aftermarket. This is largely due to the growing capability of The Indian component
suppliers in understanding technical drawings, conversance with global automotive
standards, economically attractive costs (manufacturing costs are 25%-30% lower than
its western counterparts), flexibility in small batch production and growing information
technology application for design, development and simulation.

Besides The burgeoning demand of auto components from global majors, the domestic
automobile industry has been showing a sparkling growth caused by increasing customer
base and affordable loans. Based on this, the turnover of The Indian auto component
industry is expected to touch US$ 18.7 billion by 2009 and estimated to reach US$ 40
billion by 2014.

8
Overview of Indian Automobile Industry

The liberalized policies of The Indian Government paved towards steady evolution of
India as a stable and market driven economy with the real Gross Domestic Product
growth in excess of 8%, foreign exchange reserves crossing The $150 billion mark,
growing value of Indian Rupee compared to US dollar and reducing inflation rate. 100%
Foreign Direct Investment, absence of local content regulation, manufacturing and
imports free from licensing & approvals in The automobile sector

coupled with customs tarifforauto components reducing to 12.5% resulted in increased

number of multinationals establishing Their bases in India and with export markets
looking up, The Indian automobile industry is poised for a phenomenal growth. The
automobile production in the sub-continent has been growing steadily @ 18.53% per
annum from 2002-03 onwards with total vehicle production standing at a mammoth
1,00,31,296 nos. in 2005-06.

9
Among The automobiles, 2 wheelers account for 75.77%, cars about 11.09%, 3 wheelers
to the tune of 4.33%, tractors about 2.95%, buses & trucks constitute 2.19%, Multi
Utility Vehicles (MUVs) to The tune of 1.96% and Light Commercial Vehicles (LCVs)
about 1.71% of The total number of automobiles produced in the country. Presently, India
is the second largest market after China for two & three wheelers.

In tractors production, India is one of the two largest manufacturers in the world along
with China. The subcontinent stands as the 4th largest producer of trucks in the world.
Coming to The passenger car segment, the country is positioned 11th in car production in
the world. The Indian passenger car

market is far from being saturated leaving ample opportunity for volume growth since the
per capita car penetration per 1000 is only 7 compared to 500 in Germany. The
production of cars in The country has been growing at a mammoth 27.58% per annum
from 2002- 03 onwards. In general, cars are broadly classified as Mini, Compact, Mid-
Size, Executive & Premium varieties. There has been a steady rise in compact car
production from 333,000 in 2002-03 to 715,000 in 2005- 06, mid-size cars from 122,000
to 204,000 nos., executive cars from 2000 to 23,000 nos. and premium variety cars from
4000 in 2002-03 to 5000 nos. in 2005-06. The mini car segment production reduced from
150,000 in 2002-03 to 98,000 nos. in 2005-06. These statistics vividly reveal the
increasing capacity of The Indian customer, thus driving The passenger car demand
rapidly up The price ladder. Analysts speculate car production in The sub-continent to
touch 1575,000 in 2009 and 2654,000 by 2014. Cars and MUVs exports rose from
72,000 in 2002-03 to reach 176,000 nos. in 2005-06 with growth @ 48.155 per annum
from 2002-03 onwards.

Out of The two wheelers produced in India, motorcycles account for 81.59%, scooters
about 13.42% and mopeds to the tune of 4.99% of the total production. The production
statistics which shows The growth of 2wheelers @ 16.58% per annum from 2002-03
onwards. Out of this, motorcycles have exhibited production growth @ 19.99% per

10
annum, scooters @ 6.74% per annum & mopeds @ 2.65% per annum from 2002-03
onwards. Two wheeler production units in India constitute of Japanese OEMS (Original
Equipment Manufacturers) which include Hero Honda Motors, Honda Motorcycle &
scooter India (P) Ltd., Yamaha Motor India (P) Ltd. & Suzuki Motorcycle India (P) Ltd.
and Indian OEMs consisting of Bajaj Auto Ltd. , T V S M o t o r Company Ltd., LML
Ltd., Kinetic Engineering Ltd., Majestic Auto Ltd., Kinetic Motor Company Ltd. and
Royal Enfield of Eicher Ltd.

Out of the aforementioned, Hero Honda accounts for 39.55%, Bajaj Auto about 26.87%,
TVS Motors 17.98%, Honda Motors 7.94%, Yamaha Motors 3.27%, LML 1.41% and
The remaining 2.98% of The total 2 wheelers production in The country. The exports of
two wheelers made a significant growth from a level of 180,000 in 2002-03 to reach
513,000 nos. in 2005-06. The latest estimates put up production of 2 wheelers to 13.6
million by 2009.

The production of Multi Utility Vehicles (MCVs) has been showing sparkling growth @
23.84% per annum, Light Commercial Vehicles (LCVs) @ 35.49% and Medium &
Heavy Commercial Vehicles

(M & HCVs) @ 27.33% per annum from 2002-03 onwards in India. Industry analysts put
up MUVs production to reach 207,000 in 2009 and 277,000 in 2014. Commercial vehicle
exports made a steady growth from a level of 11,000 in 2002- 03 to 41,000 in 2005-06.
The manufacturing units for four wheelers in India constitute of Japanese OEMs covering
Maruti Udyog Ltd., Hyundai Motor (P) Ltd., Honda Siel cars India Ltd. & Swaraj Mazda
Ltd., Indian OEMs consisting of Tata Motors Ltd., Mahindra & Mahindra Ltd., Ashok
Leyland Ltd., Force Motors Ltd., Eicher M o t o r s L t d . & Hindustan Motors Ltd.,
Korean OEM Hyundai Motor India Ltd., American OEMs which include General Motors
India (P) Ltd. & Ford India (P) Ltd. and European OEMs consisting of Skoda Auto India
(P) Ltd., Daimler Chrysler India (P) Ltd., Volvo India (P) Ltd., Tatra Trucks India Ltd. &
Fiat India (P) Ltd. Presently, Maruti Udyog accounted for 33.24%, Tata Motors 26.14%,

11
Hyundia Motors15.13%, Mahindra & Mahindra 7.47%, Ashok Leyland 3.78%, Hyundai
2.61%, Honda Siel Cars 2.40%, Force Motors 2.08%, General Motors 1.78%, Ford India
1.57%, Eicher Motors 1.41% and oThe4rs 2.39% of The total production of four
wheelers in India.

The tractors production in the country has been making a steady growth @ 25.80% and
three wheelers @ 19% per annum from 2002-03 onwards. The Indian automobile
industry is flooded with huge investments involving green field and brown field projects.

Hyundai plans to set up a LCV plant at Pune, India. Hyundai would be investing US$ 4.2
billion for starting production of small cars & Suzuki plans to invest US$ 1.6 billion in
India.

Isuzu Motor & Nissan Motor belonging to Hitachi Ltd. Of Japan would begin
manufacturing cars in India.

Tata Motors is setting up its novel small car production facility near Kolkata. Hyundai
plans to make India an export base for small cars. Telecon is investing about US$ 54
million for production of earth moving vehicles/components at Kharagpur in India. Also,
Honda Motorcycles & scooters have ambitious plan for making this sub-continent a hub
for two wheelers exports. All These forward towards further increase in demand for auto
components.

12
Auto Components Production Range In India

India is bestowed with excellent infrastructure for production of auto components. There
are various national and multinational companies in the country that have put up state of
art auto component manufacturing facilities. The production range of auto components in
India. For many of the auto components, steel remains the dominant material due to its
versatility providing a wide range of properties through the choice of appropriate
combination of composition and processing.

Along with The above, long term availability of raw materials, good recycling ability, a
relatively favourable price and The large experience based knowledge favour steel as a
choice for use in auto component manufacturing.

The steel requirements in general for engine parts such as fan, pulley, piston pin & oil fan
are met by low carbon steels, medium carbon steels/alloy steels based on requisite
mechanical properties are applied for crankshafts, connecting rods, rocker arm shafts etc.
While low carbon/low carbon alloy case hardening steels are used for
moderately/severely stressed components. Transmission parts such as input shaft, output
shaft, front axle, rear axle, kick down & reverse bands, pinion shafts, clutch discs &
plates, automatic transmission components etc. are made with medium carbon/alloy
steels while The gears are made of low carbon/low carbon alloy case hardening steels.
Suspension and steering parts such as knuckle ball studs, arm sector shafts, arm parts,
pitman & idler arms, struts, tie rod ends, ball joint studs, center link etc. are either made
of medium carbon steel or alloy steel depending upon The conferred properties, spring
steels for suspension springs while low carbon case hardening steels are applied for
components that require wear resistance. Various low carbon/low carbon alloy steels are
used for rivets, bolts, nuts & other fastener items. Steel required for chassis components
are met with cold forming & wieldable low carbon/micro alloyed steel sheets/plates
while deep drawing & extra deep drawing varieties of steel sheets are employed for body.

13
Steels are shaped, formed, heat treated and/or machined into automotive components
fulfilling The specific design criteria requiring critical set of properties like strength &
toughness, fatigue & fracture resistance, wear resistance, corrosion resistance etc.
Technology of machining, fabricating or forming of engineering components has
undergone rapid changes with the advent of Computer

Aided Manufacturing systems and robotics. Consequently, the auto component

manufacturers require the highest degree of consistency in the quality of the steels both
metallurgical and dimensional. Also, the changes in customer expectations for lighter,
more powerful & fuel efficient vehicles with greater degrees of reliability & safety will
continuously drive The steel industry towards development and manufacturing of steel
with closer band of metallurgical properties, physical properties, leaner alloy
compositions, higher strength to weight ratio etc. at The most competitive prices.

Today, automobile sector accounts for 7% of the total steel consumed in India. The
sparkling growth of the automotive component industry and the automobile industry in
India translates into a tremendous potential and opportunity for domestic steel producers
to cater to the needs of these industries where steel is the most vital input.

India Emerging as Hub for Auto Components Indian auto component industry is fast
emerging as an attractive OEM & Tier 1 supplier. The auto component exports from India
rose from a mere US$ 0.760 billion in 2002-03 to US$ 1.8 billion in 2005-06 showing
growth @ 45.61% per annum from 2002-03 onwards. In 2005-06, about 36% of the
component exports headed for Europe, 26% for America, 16% for Asia, 10% to Africa,
10% to Middle East, 1.5% to Oceania and others account for 0.5% of the total exports.

Based on The sparkling growth in demand for auto components, global auto majors and
domestic giants have been investing heavily in India because of India's competitive
advantage. Accordingly, the total investment in Indian auto component industry has been
showing a tremendous growth @ 22.12% per annum from 2002-03 onwards. The
investment is expected to rise further with huge strides. Among various investments

14
pumping in India, auto parts maker Robert Bosch of Germany will investment US$ 201.4
million in its Indian subsidiaries over two years with bulk of investment in Motor
Industries Co. Ltd.(MICO). Hitachi Ltd. of Japan is planning to start auto component
manufacturing in India with its O E M s - I s u z u Motor & Nissan Motor to begin
manufacturing cars in India. GKN Driveline, a wing of UK based auto c o m p o n e n t
manufacturer GKN plans to open a new manufacturing facility in India. Dubai based auto
ancillary Parts International Company plans to invest about US$ 3.6 million in India over
three years which includes setting up a manufacturing facility to service exports to CIS &
SAARC countries. Fiat India has been taking various measures to become a global
sourcing hub for components by exporting components worth US$ 8.3 million last year
to its operations in South Africa and plans to source components worth US$ 200 million.
Hyundai already invested US$ 197 million to supply transmission system, gear boxes,
axles, propeller shafts and aluminium pressure die casting products to global operations.
Delphi is planning to source components such as piston rods, steering system, drive
shafts, catalytic converter, stampings in power train, sheet metal/stampings for chassis
and electrical parts like wiring harnesses & armature motors worth US$ 250 million by
2007. General Motors which presently is sourcing components worth US$ 6 million from
Indian suppliers intends to ship parts worth US$ 1 billion for its global production units
by 2010 and The components include crankshaft forgings, radiator caps, gear boxes, leaf
springs, wiring harnesses & cables. Ford Motors plan to source components like steering
columns, alloy wheels, crankshafts, exhaust parts, complete engines for IKON model,
radiators, springs, castings, forgings, leaf springs, body panel, horns, dash board
assembly, starters, alternators & door trims from The present level of US$ 150 million to
around US$ 600 million by 2009 from India. Visteon which had already invested US$ 56
million is sourcing components for exterior, instrument, cluster assembly & bumpers, AC
system, starters, motors, alternators and panel instrument assembly from India.

Along with this, over 20 OEMs have set up International Purchasing Offices (IPOs) in
India for components and the figure is expected to double by 2010.

Considering the above, Indian auto component manufacturers are substantially increasing
investments in production capacities, establishing partnerships in India & abroad and

15
have been investing in or acquiring companies overseas. In continuation with this, global
multi nationals are shifting automotive design centers into India with India evolving as an
excellent automotive R & D base for prototyping, testing, validating and production of
auto components caused by excellent IT skills & exemplary automotive domain
knowledge.

Conclusions

With increased role of outsourcing in an integrated global economy and India being
considered as a low cost automotive component producer possess a greater edge in the
global market aspiring to capture 10% share of the global market which translates into an
export target of US$20 billion by 2015. Also, by the current trends in the domestic
automotive industry, the indigenous demand for auto components is estimated to reach
US$20 billion in The next 10 years. This is expected to increase the demand for alloy
steels providing a great opportunity for alloy steel producers in the country to capitulate
on it.

16
 CHAPTER 2

About The Organization

COMPANY PROFILE

17
1.1 ABOUT HYUNDAI MOTORS INDIA LIMITED

Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai

Motor Company (HMC), South Korea and is the largest passenger car exporter
and the second largest car manufacturer in India. HMIL presently markets 6
models of passenger cars across segments. The A2 segment includes the Santro,
i10 and the i20, the A3 segment includes the Accent and the Verna, the A5
segment includes the Sonata Transform.

HMIL’s fully integrated state-of-the-art manufacturing plant near Chennai boasts

of the most advanced production, quality and testing capabilities in the country.
To cater to rising demand, HMIL commissioned its second plant in February
2008, which produces an additional 300,000 units per annum, raising HMIL’s
total production capacity to 600,000 units per annum.

In continuation with its commitment to providing Indian customers with cutting-

edge global technology, HMIL has set up a modern multi-million dollar research
and development facility in the cyber city of Hyderabad. It aims to become a
centre of excellence for automobile engineering and ensure quick turnaround
time to changing consumer needs.

As HMC’s global export hub for compact cars, HMIL is the first automotive
company in India to achieve the export of 10 lakh cars in just over a decade.
HMIL currently exports cars to more than 110 countries across EU, Africa,
Middle East, Latin America, Asia and Australia. It has been the number one
exporter of passenger car of the country for the sixth year in a row.

To support its growth and expansion plans, HMIL currently has a 290 strong
dealer network and 580 strong service points across India, which will see further
expansion in 2010.

18
To support its growth and expansion plans, HMIL currently has a 290 strong
dealer network and 580 strong service points across India.

1.2 COMANY’S HISTORY

The beginning of Hyundai Motor Company dates to April 1946 when founder, Ju-Yung
Chung established Hyundai Auto Service in Seoul, South Korea at The age of 31 years.
The name Hyundai was chosen for its meaning which in English translates to “modern.”
The Hyundai logo is symbolic of The Company's desire to expand. The oval shape
represents The Company's global expansion and The stylized "H" is symbolic of two
people (The Company and customer) shaking hands.

Hyundai Motor India Limited was formed in 6 May 1996 by The Hyundai Motor
Company of Korea. The first production plant was established in Irrungattukotai
near Chennai, India.

HMIL's first car, The Hyundai Santro was launched in 23 September 1998 and was a
runaway success. Within a few months of its inception HMIL became The second largest
automobile manufacturer and The largest automobile exporter in India.

Hyundai sells several models in India, The most popular being The Santro Xing, i10 and
The i20.OTheR models Include Getz Prime, Accent, Verna TRANSFORM, Tucson, and
The Sonata Transform.

19
1.3 COMPANY’S VISION

The company’s motto is "Innovation for Customers". The company’s vision is five core
strategies: global orientation, respect for human values, customer satisfaction, technology
innovation, and cultural creation. They have a desire to create an automobile culture of
putting customer first via developing human–centered and environment–friendly
technological innovation.

The company’s strive’s to create a more affluent lifestyle for humanity, and contribute to
the harmony and co-prosperity with shareholders, customers, employees and other
stakeholders in The automobile industry.

The spirit of creative challenge of the company has been a driving force in leading HMIL
to where it is today. It is the permanent key factor for HMIL to actively respond to
change in the company’s the management system and seek creative and self–innovative
system. The spirit of creative challenge, creates profits, The primary objective of a
private enterprise. Furthermore, the company’s takes responsibility for The environment
and society and provide benefits to all stakeholders including shareholders, customers,
executives, employees, suppliers, and communities.

20
Corporate Philosophy

Management Philosophy

With the spirit of creative challenge, we will strive to create a more affluent lifestyle for
humanity, and contribute to the harmony and co-prosperity with shareholders, customers,
employees and other stakeholders in the automobile industry.

The spirit of creative challenge has been a driving force in leading HMC to where it is
today.
It is the permanent key factor for HMC to actively respond to change in the management
system and seek creative and self–innovative system. With the spirit of creative
challenge, we create profits, the primary objective of a private enterprise. Furthermore,
we take responsibility for the environment and society we belong to, and offer
sustainable mobility in order to implement our corporate philosophy and provide benefits
to all stakeholders including shareholders, customers, executives, employees, suppliers,
and communities. Vision We announced "Innovation for Customers" as

our mid–to long–term vision with five core strategies: global orientation, respect for
human values, customer satisfaction, technology innovation, and cultural creation. We
desire to create an automobile culture of putting customer first via developing human–
centered and environment–friendly technological innovation.

21
22
Management Policy

23
Based on a respect for human dignity, we make efforts to meet the expectations of all
stakeholders including customers and business partners by building a construct

24
Mid-and Long-term Strategies. We developed five mid–and long–term strategies: global
management, higher brand values, business innovation, environmental management, and
strengthening product competitiveness. Especially, we selected environmental
management as one of our strategies to meet the needs of our stakeholders and the
society we belong to. We also intend to promote sustainability development and
preservation of the environment.

ABOUT SHREENATH HYUNDAI

Shreenath Motors Pvt. Ltd. a 300 crore plus company established in the year 1998 is an
authorized dealer of Hyundai Motor India Ltd. one of the market leaders in the
automobile industry. Shreenath Hyundai has been associated with HMIL since its
inception and has received several awards for Sales, Service, Parts & Customer
Satisfaction.

Shreenath Hyundai is a leading Hyundai Dealer with 3 state of the art Showrooms , 3
Workshops in Andheri, Chembur & Thane & 2 H Promise (Pre owned) Showrooms in
Andheri & Thane. The company is well placed to strengthen its position as a respected
and viable competitor in the Auto Industry. We have a strong and committed sales staff
that caters to the customers’ needs. We’ve garnered the trust and confidence of our
customers with our flawless Sales & Service making us the most preferred Hyundai
Dealership in the Western Region. Shreenath Hyundai ensures to offer its customers a
unique buying experience and matches that with an equal commitment to offer high
quality customer satisfaction and best in class after sales services.

The Positive Approach, Determination & Vision of the Dealer Principle & the team has

25
been the driving force to achieve our goals. Shreenath Hyundai enjoys a very good
reputation among all the institutions it deals with, like Principal Manufacturers, Finance
Companies, Insurance Companies, Bankers, Customers besides its Employees. Over the
years it has evolved as one of the most admired companies in the automobile retail
industry. It has bagged lot of laurels and awards from its Principals for Excellent Sales,
Exceptional Marketing Strategies and Activities, Best Financial Management and
Customer Satisfaction awards, etc. The Group is known in the auto retail industry and
among its Principals and Financiers as one of the most professionally managed and
transparent organization.

VISION AND MISSION

At a time when India was awakening to the call of freedom, MGF was taking a
revolutionary step that would help hasten the country's development. Today, the MGF
Developments portfolio spans the entire spectrum of small, medium and large-scale
equipment finance as well as big ticket leasing, vehicle financing, Automobiles
dealerships, factoring services, consumer finance, and infrastructural development. The
MGF Developments brings international expertise, cutting-edge technology and global
scale of operations to deliver 100 percent satisfaction to its customers, clients and
employees. The MGF Developments vision is to be recognized as:

The preferred provider of services and integrated solutions in all its areas of operation
A diverse team of talented professionals with expertise in selected segments
An employer of choice, fostering a culture that values Dedication, Respect and
Continuous Improvement

26
MARKETING

What is marketing?

There are many different definitions of marketing. Consider some of The following
alternative definitions:

“The all-embracing function that links The business with customer needs and wants in
order to get The right product to The right place at The right time”

“The achievement of corporate goals through meeting and exceeding customer needs
better than The competition”

“The management process that identifies, anticipates and supplies customer requirements
efficiently and profitably”

“Marketing may be defined as a set of human activities directed at facilitating and

consummating exchanges”

Which definition is right? In short, They all are. They all try to embody The essence of
marketing:

27
• Marketing is about meeting The needs and wants of customers;
• Marketing is a business-wide function – it is not something that operates alone from
other business activities;
• Marketing is about understanding customers and finding ways to provide products or
services which customers demand

To help put things into context, you may find it helpful to often refer to The following
diagram which summarises The key elements of marketing and Their relationships:

28
MARKETING CONCEPT AND ORIENTATION

It is a fundamental idea of marketing that organisations survive and prosper through

meeting The needs and wants of customers. This important perspective is commonly
known as The marketing concept.

The marketing concept is about matching a Company's capabilities with customer wants.
This matching process takes place in what is called The marketing environment.

Businesses do not undertake marketing activities alone. They face threats from
competitors, and changes in The political, economic, social and technological
environment. All These factors have to be taken into account as a business tries to match
its capabilities with The needs and wants of its target customers.

An organisation that adopts The marketing concept accepts The needs of potential
customers as The basis for its operations. Success is dependent on satisfying customer
needs.

What are customer needs and wants?

A need is a basic requirement that an individual wishes to satisfy.

People have basic needs for food, shelter, affection, esteem and self-development. Many
of These needs are created from human biology and The nature of social relationships.
Customer needs are, Therefore, very broad.

Customer needs are broad, customer wants are usually quite narrow.

A want is a desire for a specific product or service to satisfy The underlying need.

29
Consider this example:

Consumers need to eat when they are hungry. What they want to eat and in what kind of
environment will vary enormously. For some, eating at McDonalds satisfies the need to
meet hunger. For others a microwave ready-meal meets the need. Some consumers are
never satisfied unless Their food comes served with a bottle of fine Chardonnay.

Consumer wants are shaped by social and cultural forces, The media and marketing
activities of businesses.

This leads onto another important concept - that of customer demand:

Consumer demand is a want for a specific product supported by an ability and

willingness to pay for it.

For example, many consumers around the globe want a Mercedes. But relatively few are
able and willing to buy one.

Businesses therefore have not only to make products that consumers want, but They also
have to make Them affordable to a sufficient number to create profitable demand.

Businesses do not create customer needs or The social status in which customer needs are
influenced. It is not McDonalds that makes people hungry. However, businesses do try to
influence demand by designing products and services that are

•Attractive
•Workwell
•Areaffordable
• Are available

Businesses also try to communicate The relevant features of Their products through
advertising and other marketing promotion.

30
MARKETING MIX

The marketing mix is generally accepted as The use and specification of The four Ps
describing The strategic position of a product in The marketplace. One version of The
origins of The marketing mix starts in 1948 when James Culliton said that a marketing
decision should be a result of something similar to a recipe. This version continued in
1953 when Neil Borden, in his American Marketing Association presidential address,
took The recipe idea one step further and coined The term 'Marketing-Mix'. A prominent
marketer, E. Jerome McCarthy, proposed a 4 P classification in 1960, which would see
wide popularity. The four Ps concept is explained in most marketing textbooks and
classes.

DEFINITION

Although some marketers have added other Ps, such as personnel and packaging, The
fundamentals of marketing typically identifies The four Ps of The marketing mix as
referring to:

Product -An object or a service that is mass produced or manufactured on a large scale
with a specific volume of units. A typical example of a mass produced service is The
hotel industry. A less obvious but ubiquitous mass produced service is a computer
operating system. Typical examples of a mass produced objects are The motor car and
The disposable razor.

Price – The price is The amount a customer pays for The product. It is determined by a
number of factors including market share, competition, material costs, product identity
and The customer's perceived value of The product. The business may increase or
decrease The price of product if other stores have The same product.

31
Place – Place represents The location where a product can be purchased. It is often
referred to as The distribution channel. It can include any physical store as well as virtual
stores on The Internet.

Promotion – Promotion represents all of The communications that a marketer may use in
The marketplace. Promotion has four distinct elements - advertising, public relations,
word of mouth and point of sale. A certain amount of crossover occurs when promotion
uses The four principal elements together, which is common in film promotion.
Advertising covers any communication that is paid for, from television and cinema
commercials, radio and Internet adverts through print media and billboards. One of The
most notable means of promotion today is The Promotional Product, as in useful items
distributed to targeted audiences with no obligation attached. This category has grown
each year for The past decade while most other forms have suffered. It is The only form
of advertising that targets all five senses and has The recipient thanking The giver. Public
relations are where The communication is not directly paid for and includes press
releases, sponsorship deals, exhibitions, conferences, seminars or trade fairs and events.
Word of mouth is any apparently informal communication about The product by ordinary
individuals, satisfied customers or people specifically engaged to create word of mouth
momentum. Sales staff often plays an important role in word of mouth and Public
Relations.

Broadly defined, optimizing The marketing mix is The primary responsibility of

marketing. By offering The product with The right combination of The four Ps marketers
can improve Their results and marketing effectiveness. Making small changes in The
marketing mix is typically considered to be a tactical change.

Making large changes in any of The four Ps can be considered strategic. For example, a
large change in The price, say from $19.00 to $39.00 would be considered a strategic
change in The position of The product. However a change of $131 to $130.99 would be
considered a tactical change, potentially related to a promotional offer.

32
MARKET RESEARCH

Market research is for discovering what people want, need, or believe. It can also involve
discovering how They act. Once that research is complete it can be used to determine
how to market your specific product. MR-Anywhere is a very good platform for market
research and analysis

For starting up a business There are a few things that are important:

Market information

Market information is making known The prices of The different commodities in The
market, The supply and The demand. Information about The markets can be obtained in
several different varieties and formats.

Examples of market information questions are:

Who are The customers?

Where are They located and how can They be contacted?

What quantity and quality do They want?

When is The best time to sell?

33
MARKET SEGMENTATION

Market segmentation is The division of The market or population into subgroups with
similar motivations. Widely used bases for segmenting include geographic differences,
personality differences, demographic differences, use of product differences, and
psychographic differences.

Market trends

The upward or downward movements of a market, during a period of time. The market
size is more difficult to estimate if you are starting with something completely new. In
this case, you will have to derive The figures from The number of potential customers or
customer segments.

But besides information about The target market you also need information about your
competitor, your customers, products etc. A few techniques are:

 Customer analysis
 Product research

 Advertising research

 Risk analysis

 Product research

 Advertising research

34
 CHAPTER 3

Research Methodology

35
3.1 OBJECTIVES OF THE STUDY

1. To know the feedback of customers regarding the services which are being provided by
the company.

2. To understand the importance of client relationship.

3. To understand customer satisfaction regarding the products offered by the company.

4. To find out the problems faced by customer.

5. To know the customer satisfaction towards the after sales service offers by MGF
Hyundai.

3.2 METHODOLOGY

Research can be defined to be search for knowledge or any systematic investigation to

establish facts. The primary purpose for applied research is discovering interpreting and

36
The development of methods and systems for The advancement of human knowledge on
a wide variety of scientific matters of our world and The universe.

Research Methodology can be defined as:

The analysis of the principles of methods, rules, and postulates employed by a discipline;

The systematic study of methods that are, can be, or have been applied within a discipline
or

A particular procedure or set of procedures.

3.2.1 Population

The main emphasis of the study was on the customers of Shreenath Hyundai in Thane.

3.2.2 Sample Design

Marketing research can classify in one of three categories:

Exploratory research

Descriptive research

Causal research

37
These classifications are made according to the objective of the research. In some cases
the research will fall into one of these categories, but in other cases different phases of
the same research project will fall into different categories.

Exploratory research has the goal of formulating problems more precisely, clarifying
concepts, gathering explanations, gaining insight, eliminating impractical ideas, and
forming hypotheses. Exploratory research can be performed using a literature search,
surveying certain people about their experiences, focus groups, and case studies. When
surveying people, exploratory research studies would not try to acquire a representative
sample, but rather, seek to interview those who are knowledgeable and who might be
able to provide insight concerning the relationship among variables. Case studies can
include contrasting situations or benchmarking against an organization known for its
excellence. Exploratory research may develop hypotheses, but it does not seek to test
them. Exploratory research is characterized by its flexibility.

● Descriptive research is more rigid than exploratory research and seeks to describe
users of a product, determine the proportion of the population that uses a product, or
predict future demand for a product. As opposed to exploratory research, descriptive
research should define questions, people surveyed, and the method of analysis prior to
beginning data collection. In other words, the who,

what, where, when, why, and how aspects of the research should be defined. Such
preparation allows one the opportunity to make any required changes before the costly
process of data collection has begun.

There are two basic types of descriptive research: longitudinal studies and cross-sectional
studies. Longitudinal studies are time series analyses that make repeated measurements
of the same individuals, thus allowing one to monitor behavior such as brand-switching.
However, longitudinal studies are not necessarily representative since many people may
refuse to participate because of the commitment required. Cross-sectional studies sample
the population to make measurements at a specific point in time. A special type of cross-

38
sectional analysis is a cohort analysis, which tracks an aggregate of individuals who
experience the same event within the same time interval over time. Cohort analyses are
useful for long-term forecasting of product demand.

● Causal research seeks to find cause and effect relationships between variables. It
accomplishes this goal through laboratory and field experiments.

The research associated to my project is EXPLORATORY RESEARCH.

3.2.3 Sample Size

How many people should be surveyed? Large samples give more reliable results than
small samples. However, it is not necessary to sample the entire target population or even
a substantial portion to achieve reliable results.

Samples of less than 1 percent of a population can often provide good reliability given a
credible sampling procedure.

A customer-based survey was conducted in which 100 people were asked to fill the
questionnaire.

3.2.4 Sources of Information

Primary Sources

Secondary Sources

Primary Resources

Primary source, (also called original source), is a term used in a number of disciplines to
describe source material that is closest to the person, information, period, or idea being
studied.

39
Secondary Sources

In library and information science, historiography and other areas of scholarship, a

secondary source is a document or recording that relates or discusses information
originally presented elsewhere. A secondary source contrasts with a primary source,
which is an original source of the information being discussed. Secondary sources
involve generalization, analysis, synthesis, interpretation, or evaluation of the original
information.

3.2.5 Data Collection Tool

Primary Sources

Questionnaire – To analyze buying behavior and in order to gain an insight into the buyer
need-satisfaction level, a questionnaire was formulated and administered among 73
people.

3.3 LIMITATIONS OF THE STUDY

 The sample size is limited to 100 of respondent.

 Because the information collected from the customers by meeting them at their
working places, company service centers, the information extracted would not be
sufficient from the respondents.

40
 The opinion now about Hyundai may not be the same after some days because of
new entrants.

 The study is conducted for a period of 2 months.

 Measurement of customer satisfaction is a complex subject, which uses non-

objectives method, which is unreliable.

CHAPTER 4

Findings and Analysis

41
I. ANALYSIS OF HYUNDAI CAR OWNERS AT MGF ON THE BASIS OF THEIR
AGE GROUP.

Age Group Respondents

Upto 25 Years 10

26-35 Years 25

42
36-45 years 30

46-60 20

60 and above 15

Total 100

ANALYSIS:

The maximum buyers of Hyundai cars as per the survey shows that the customers from
the age group of 25-35 and 36-45.The people from age group below 25 and above 60 are
less buyers of the vehicle

II HANDLING OF QUERIES AT THE TIME OF DILEVERY

43
ANALYSIS:

Most of the customers, about 86%, were satisfied with the handling of the queries while
14% were dissatisfied with them.

III. INTERIOR OF THE CAR CLEAN AND UNDAMAGED AT TIME

OF DELIVERY.

44
ANALYSIS:

87% of the customers found car clean and undamaged at the time of delivery while 13%
found the car to be dirty or damaged.

IV. FAST , EASY AND CLEARLY EXPLAINED PAPERWORK.

45
 NO
40%

YES
60%

ANALYSIS:

60% of the customers surveyed found the paperwork to be fast easy and clearly explained
while 40% found the paperwork as delayed and difficult.

46
V. ON TIME CAR DELIVERY WITHALL COMMITMENTS
FULFILLED,

100 85
80
60
40 15
20
0
YES NO

ANALYSIS:

85% people received the car on time with all commitments fulfilled while 15% did not
get the car on time.

47
VI. KNOWLEDGE AND BEHAVIOUR OF SALES CONSULTANT

ANALYSIS:

While 15% customers thought that the knowledge and behavior of the sales consultant
was excellent only 7% thought they were bad. 53% considered them good while 25%
rated them as average.

VII. EXPLANATION OF CAR FEATURES, WARRANTY AND

SERVICE SCHEDULE.

48
ANALYSIS:

22% customers thought that the car features warranty and service schedule was
excellently explained while 8% customers with dissatisfied. 52% considered them good
while 15% rated them as average.

VIII. NEW CAR DELIVERY EXPIRIENCE.

49
IX. POST SALES FOLLOW UP DONE REGULARLY.

50
X. RESPONSE TO COMPLAINTS QUICKLY.

51
XI. OVERALL EXPIRIENCE AT MGF HYUNDAI

52
SWOT ANALYSIS

53
Strengths:

 Convenient place.
 Change of genuine spare parts.

 Large space

 Quality service.

 Better after sales service.

 Attending complaints promptly.

 Maintaining customer relationship.

 More sales promotional activities.

Weaknesses:

 Thin mechanic force

 Weak competitive strategies.

 Lack of latest technology

 High maintenance cost.

 Delay in service

54
Opportunities:

 Established brand name.

 Increased purchasing power of Indian Consumer.

 Growing demand

 Launch of new products like i-30 in the pipeline.

Threats:

 Increased competition.
 Loss in market share.

 Lack of latest market information.

55
CHAPTER 5

Conclusion

56
CONCLUSION

From the findings and analysis it is clear that Hyundai Car is highly preferred when
compared to the other brands of car in the same segment.

The findings and analysis shows that 80% of the consumers are happy with the dealer
and also sales service and rest 20% of them says that they are dissatisfied.

Since each customer is like an asset for an organization the company should try to
improve in the area of dissatisfaction.

We know that getting new customer is double the cost of retaining the old customer so
the company should focus on retaining the old customers whom a in the future purchase
the product or recommend others to purchase the product. Thus they help directly or
indirectly for the product sale.

Change is the only think to retain and attract the customers so the company should
identify the needs and dry to fulfill them.

57
 CHAPTER 6

Recommendations

58
RECOMMENDATIONS

Shreenath Hyundai should adopt defensive marketing strategy because as being one of
the largest car dealer in mumbai market.

Hyundai must adapt new technology and train their employees.

Hyundai should adopt an offensive marketing strategy for attracting customers.

Better relationship with customers

India is 11th largest passenger car market in the world. India is the second-biggest market
for small cars after Japan. It accounts for 60 percent of the domestic market.

59
CHAPTER 7

ANNEXURES

60
Questionnaire

Name: ……………………………………………………………………

Address: ……………………………………………...........................

......................................................................................................

Contact Number: ………………………………………………….......

Age: ………………………………………………………………………

(Questionnaire will be used for academically only.)

QUESTIONS YES NO

1. Were all your queries handled during the delivery?

2. Were the interiors of the car clean and undamaged at the time of
delivery?

3. Was the paper work fast easy and clearly explained?

4. Was the car delivered on time with all the commitments fulfilled?

61
QUESTIONS BAD AVERAGE GOOD EXCELLENT

5. How was the knowledge and

behavior of sales consultant?

6. Were the car features, warranty and

service schedule properly explained to
you?

7. How was the ‘new car delivery

ceremony’ experience?

8. Were the post sales follow up done

regularly?

9. Was the response to your complaints

quick, if any??

Thank you so much for your time and support.

62
 CHAPTER 8

BIBLIOGRAPHY

63
Bibliography

1) Books

Kothari, C.R. Research Methodology, 3rd edition, 1997, Vikas Publishing House Pvt.
Ltd., New Delhi.

Kotler, Philip Marketing Management, 13th edition, 2009, Dorling Kindersley (India) Pvt.

Ltd., South Asia.

Varshney & Gupta; Marketing Management, Sultan Chand & Sons, 2005.

Gupta, S.L., Marketing Research, Excel Books, 2004.

Kotler & Armstrong; Principles of Marketing Management, Prentice hall India, 2003.

Aaker; Marketing Research, John Willey & Sons, 2001.

2) Newspapers

Times of India, 04/05/09, New Delhi

Times of India, 06/06/09, New Delhi

3) Websites

64
http://www.nytimes.com/2004/08/04/business/global-growth-gives-Hyundai-29-rise-in-
profit.html

http://money.cnn.com/magazines/fortune/fortune_archive/2007/03/19/8402324/index.htm

http://www.automobile.com/industry-report-Hyundai-plans-for-hybrid-alternative-in-
100-percent-of-models-in-future.html

65