A Survey on Consumer Perception of Hero Honda Splendor Plus

A survey on Consumer Perception of Hero Honda Splendor +

PROJECT

ON

CONSUMER PERCEPTION OF HERO HONDA SPLENDOR PLUS

Submitted to: Prof. Prashant Mustagi Submitted by: Amir Faisal M.B.A. 3rd semester

College: KRUPANIDHI BUSINESS SCHOOL

DRAVIDIAN UNIVERSITY KUPPAM

Amir Faisal Krupanidhi B. School Bangalore


INTROUDCTION TO AUTOMOBILE INDUSTRY03

TWO WHEELER AUTOMOBILES 08

COMPANY PROFILE 10

HERO HONDA'S MISSION 13

KEY POLICIES FOLLWED BY HERO HONDA 13

HERO HONDA FOLLOWS 3E’s IN FORM OF ETHICS 17

COMPETITERS 23

AWARDS 25

PRODUCT PROFILE 28

RESEARCH METHDLOGY 32

CONCLUTION 39

SUGGESTIONS AND RECOMMENDATIONS 40

SWOT ANALYSIS 43

QUESTIONNAIRE 44

BIBLIOGRAPHY 46



CHAPTER 1

INTROUDCTION TO AUTOMOBILE INDUSTRY

History of two wheelers:

The Britannica Encyclopedia describes a motorcycle as a bicycle or tricycle

propelled by an internal-combustion engine (or, less often, by an electric engine).

The motors on mini-bikes, scooters, and mopeds, or motorized velocipedes, are

usually air-cooled and range from 25 to 250 cubic cm (1.5 to 15 cubic inches) in

displacement; the multiple-cylinder motorcycles have displacements of more than

1,300 cubic cm. The automobile was the reply to the 19th-century dream of self-

propelling the horse drawn carriage. Similarly, the invention of the motorcycle

created the self-propelled bicycle. The first commercial design was a three-wheeler

built by Edward Butler in Great Britain in 1884. This employed a horizontal

single-cylinder gasoline engine mounted between two steer able front wheels and

connected by a drive chain to the rear wheel.

The 1900s saw the conversion of many bicycles, or pedal cycles by adding

small, centrally mounted spark ignition engines. There was then felt the need for

reliable constructions. This led to road trial tests and competition between

manufacturers.

Tourist Trophy (TT) races were held on the Isle of Man in 1907 as reliability or

endurance races. Such were the proving ground for many new ideas from early

two-stroke-cycle designs to supercharged, multivalent engines mounted on

aerodynamic, carbon-fiber reinforced bodywork.



Invention of Two Wheelers

The invention of the first two-wheeler is a much-debated issue. "Who invented the

first motorcycle?" may seem like a simple question, but the answer is quite

complicated.

Two-wheelers owe their descent to the "safety" bicycle, i.e., bicycles with front

and rear wheels of the same size, with a pedal crank mechanism to drive the rear

wheel. Those bicycles, in turn descended from high-wheel bicycles. The high-

wheelers descended from an early type of pushbike, without pedals, propelled by

the rider's feet pushing against the ground. These appeared around 1800, used iron-

banded wagon wheels, and were called "bone-crushers," both for their jarring ride,

and their tendency to toss their riders.

Gottlieb Daimler (who later teamed up with Karl Benz to form the Daimler-

Benz Corporation) is credited with building the first motorcycle in 1885, one wheel

in the front and one in the back, although it had a smaller spring-loaded outrigger

wheel on each side. It was constructed mostly of wood, the wheels were of the

iron-banded wooden-spoke wagon-type, and it definitely had a "bone-crusher"

chassis!

This two-wheeler was powered by a single-cylinder Otto-cycle engine, and may

have had a spray-type carburetor. (Wilhelm May Bach, Daimler's assistant, was

working on the invention of the spray carburetor at the time). If two wheels with

steam propulsion can be called a motorcycle, then the first one may have been

American. One such machine was demonstrated at fairs and circuses in the eastern

US in 1867.

This was built by one Sylvester Howard Roper of Roxbury, Massachusetts. There

is an existing example of a Roper machine, dated 1869.



A charcoal-fired two-cylinder engine, whose connecting rods directly drive a

crank on the rear wheel, powers it.

This machine predates the invention of the safety bicycle by many years, so its

chassis is also based on the "bone-crusher" bike.

Origin of Motor-Scooters

Edward Butler, an Englishman, built the first motor tricycle in 1884. The first

gasoline-engine motorcycle to appear publicly was built by Gottlieb Daimler, of

Bad Constant, Germany, in 1885. The first practical engines and motorcycles were

designed by the French and Belgians, followed by British, German, Italian, and

American makers. The popularity of the vehicle grew, especially after 1910.

During World War I the motorcycle was used by all branches of the armed forces

in Europe, principally for dispatching. After the war it enjoyed a sport vogue until

the Great Depression began in 1929. After World War II a revival of interest in

motorcycles lasted into the late 20th century, with the vehicle being used for high-

speed touring and sport competitions.

The practice of attaching auxiliary engines to bicycles in Western Europe and

parts of the United States led to the development during the 1950s of a new type of

light motorcycle, the moped. Originating in Germany as a 50-cubic-centimetre

machine with simple controls and low initial cost, it was largely free of licensing

and insurance regulations except in Great Britain.

The more sophisticated motor scooter originated in Italy soon after World War II,

led by manufacture of a 125-cubic-centimetre model. Despite strong competition

from West Germany, France, Austria, and Britain, the Italian scooters maintained

the lead in the diminishing market. The scooter has small wheels from 20 to 36 cm



(8 to 14 inches) in diameter, and the rider sits inside the frame. Power units are

placed low and close to the rear wheel, which is driven by bevel gearing or chain.

INTRODUCTION:

An automobile is transport equipment, which is made up of a frame supporting the

body certain power developing and transmitting units and there are further

supported by wheelers and tires through the springs and axis. The power is

supported through the engine. The automobile moves through the friction of the

contact between the road and the wheel. The protection and comfort is given by the

body of the vehicle. Initially man tamed and trained certain animals for carrying

heavier loads to greater distance at speeds higher than the man could carry. These

means of transport provided by nature to man has a limited regard in terms of load

to carry, distance covered with the load and also the speed of traveling with are

with out luggage’s.

DEVELOPMENT:

Capitan Nicholas Cuglot, A French man is considered to be the father of “the

automobile’’. He was the first to built the self-propelled road vehicle with a three

wheeled coach fitted with a steam engine in 1769-70. in 1802, Richard Trevitluch

built the first practical steam engine, which co7uld move at a speed 21/2 miles per

hour only for a period of 15 minutes. In 1863, a French invited Lenoir, invented

and automobile propelled by gas engine. And during the next few years there was a

large amount of experimental work carried out both on engine and carriages. It was

during the year 1876, Otto and Langen in Germany invited and designed and

internal combustion engine. The actual development of the modern automobile



dates back to 1885. Gottlieb Daimler in Germany patented and internal combustion

engine. Daimlers engine is considered as the first high speed, light construction

engine and this development is considered as the greatest achievement in the

history of automobiles. It was not before 1900 that the improved design of

automobiles fully awakened the public to the greater utilities if this new form of

transportation. The production and sales of vehicles became a real business during

1900-1906, where in various great names in automobile industries started

appearing Packard, olds mobile, ford, overland, white etc.

The year that followed 1906-1920 are considered the 3rd era mass production

and inter changeability methods permitting lower price production. With the year

1920 bean the period of gradual change and refinement in the automobile design.

The spark ignition gasoline engine was power plant of motor vehicle. The steam

and electric engines were already discarded. The engines were located in the front

of chassis. Water-cooled engines had established their university. The main idea in

the designers mind has established to create a vehicle running under all conditions

of weather and time, increasingly comfortable and easy to operate. The main

changes had been the increased tire life, replacement or rigid front axle with

independent front-wheel hydraulic brakes, increased engine compression ratios and

use of stronger and cheaper new materials.

In India, before partition some assembly plants were only established at Bombay,

Calcutta and madras by leading foreign manufactures. In order to create &

manufacture indigenous products, two Indian factories, the premier automobiles

ltd. And Hindustan motors ltd was setup was the progressive manufacturer instead

of assembly from imported components. On recommendation of the traffic

commissions, government of India discouraged the activities of assemblers to

ensure economic output of the automobiles in 1953 and provided a further



protection to the industry in 1956 with priority for manufacturer of commercial

vehicles, expansion of capacity of existing units and increased production of diesel

vehicles.

TWO WHEELER AUTOMOBILES

Introduction:

Since the time of captain Nicholas cugnot, considered father of “the automobile”

(1769-70), these had been a demand and search for a minimum cost motoring and a

low cost travel vehicle. Its evaluation was further necessitated by requirement of a

personal transport of lightweight for moving smaller distances or short journey

travel with just the driver. The resulted in the development of two scooters,

motorcycles and other similar vehicles. In the field of personal transport, the

development of two wheelers is a major revaluation. It is highly maneuverable in

addition to begin safe and easy to drive. It combine the extremely low operating

costs of the single cylinder two-stroke engine with the comfort and cleanliness

usually associated with a motorcar. They are the man of economic transport for

different purposes.

History of two wheelers:

The bombing of the Piaggio aircraft works at Pontedeara, Italy during the second

world war resulted in its worsen conditions. The main problem of the staff was

movement from one end of the vast factory to other end as well as to different

section of the factory.

Piaggio decided to build a tiny run about powered by a 98 cc Two-Strock Engine

placed along side the rear wheel. This tiny run about having a modest amount of



body work with an open frame and a platform for the rider to put his feet as well as

small wheels and a front shield was the proto type of modern Vespa scooters., due

to market this product with certain modifications. The capacity was raised from 98

cc to 125cc and styling was improved. First production version of the Vespa

appeared in 1946.

Vespa and Lambretta designed by brilliant engineers applying original ideas to

a set of required conditions were the original trend setters. Since their first

appearance in most war Italy as a popular from of personal and low cost transport,

they have been developed to a high degree of reliability and in a variety of forms

and design.

The post war period witnessed the development of various types of two wheelers

and appearance of different manufacturers in different countries from Italy to

continental Europe, Britain, America, Asia and Russia. Although each country has

its own specific operational requirements like cost, regulations, road and weather

conditions, yet the scooters of Italian origin were the pace setters, and met majority

of the demand. But they had certain advantages as well as disadvantages outside

Italy. The original scooters being quite bare without any provision to protect the

rider against the weather had poor lighting and complete absence of parking lights.

Although they were acceptable in country like Italy yet in France and continent,

they were a rarity.

Reliability of a particular design of two wheelers is assessed by experience.

Certain weaknesses or limitations are liable to be present in new or relatively

unknown designs. In case a particular design is backed by a good spares and

servicing system, the limitations are not serious.



BRIEF HISTORY OF HERO-HONDA MOTORS

Hero Honda motors limited is a joint venture between hero groups, the world’s

largest bicycle manufacturers and the Honda motor company of Japan id today the

leading manufacturing of India’s largest selling motorcycle. On 12th December

1983 the shareholders agreement was signed and in 1984 January 19th the

company was incorporated at Dharuhera. Hero Honda limit5ed gave India nothing

less than a revolution on two wheels. Made even more famous by the “FILL IT,

SHUT IT, and FORGET IT” campaigns, driven by the trust of over 40 lakh

customers. The Honda product range today commands as much as 47% making it a

veritable giant in the industry add to that technological excellence an experience

dealers network and reliable of the sale companies.

In fact, every second bike sold in India today is hero Honda customer

satisfaction. A high quality product, the strength of Honda technology and hero

groups dynamism have helped hero Honda motors limited scale new frontiers and

exceed limits. In the words of Mr. BRIJ MOHAN LALL MUNJAL, chairman

cum managing director of Hero Honda Motors Limited. “we continue to make

every effort required for the development of the motor cycle industry through new

product development, technological innovation, investment in equipment and

facilities and through sufficient management”.

COMPANY PROFILE

The Hero Honda story began with a simple vision – the vision of a mobile and an

empowered India, powered by Hero Honda. This vision was driven by Hero

Honda’s commitment to customer, quality and excellence, and while doing so,

maintains the highest standards of ethics and societal responsibilities. Twenty five

years and 25 million two wheelers later, Hero Honda is closer to fulfilling this



dream. This vision is the driving force behind everything that we do at Hero

Honda. We understood that the fastest way to turn that dream into a reality is by

remaining focused on that vision.

There were many unknowns but we kept faith, and today, Hero Honda has been

the largest two wheeler company in the world for eight consecutive years. Our

growth has kept compounding. The company crossed the ten million unit milestone

over a 19-year span. In the new millennium, Hero Honda has scaled this to 15

million units in just five years! In fact, during the year in review, Hero Honda sold

more two wheelers than the second, third and fourth placed Two-wheeler

Company put together. With Hero Honda, the domestic two wheeler market was

able to show positive growth during the year in review. Without Hero Honda, the

domestic market would have actually shrunk.

Over the course of two and a half decades, and three successive joint venture

agreements later, both partners have fine-tuned and perfected their roles as joint

venture partners. What the two partners did was something quite basic. They

simply stuck to their respective strengths. As one of the world's technology leaders

in the automotive sector, Honda has been able to consistently provide technical

know-how, design specifications and R&D innovations. This has led to the

development of world class, value - for- money motorcycles and scooters for the

Indian market. On its part, the Hero Group has taken on the singular and onerous

responsibility of creating world-class manufacturing facilities with robust

processes, building the supply chain, setting up an extensive distribution networks

and providing insights into the mind of the Indian customer. Since both partners

continue to focus on their respective strengths, they have been able to complement

each other. In the process, Hero Honda is recognized today as one of the most



successful joint ventures in the world. It is therefore no surprise that there are more

Hero Honda bikes on this country's roads than the total population of some

European countries put together!

The company's meteoric growth in the two-wheeler market in India stems from

an intrinsic ability to reach out and come closer to its customers, with every

passing year. Hero Honda's bikes are sold and serviced through a network of over

3500 customer touch points, comprising a mix of dealers, service centers and

stockiest located across rural and urban India. Hero Honda has built two world-

class manufacturing facilities at Dharuhera and Gurgaon in Haryana, and its third

and most sophisticated plant at Haridwar has just completed a full year of

operations. It is difficult to imagine that all this has happened in the span of just

two and a half decades!

The best is yet to come. During the year in review, Hero Honda powered its way in

a market that, for all practical purposes, was feeling the full effects of the

economic slowdown in India. With an economic recovery now clearly on the

cards, Hero Honda is all set to ride into another summit. As Brijmohan Lall

Munjal, the Chairman, Hero Honda Motors succinctly puts it, "We pioneered

India's two wheeler industry, we've steered it through difficult times; now it is our

responsibility to set the pace again”.

Few key points about Hero Honda:

Incorporated in January 1984

World’s largest motorcycle manufacturer

Two manufacturing plant in Haryana

Record sales of 2.6 million bike in 2004



Actively involved in road safety.

HERO HONDA'S MISSION

Hero Honda’s mission is to strive for synergy between technology, systems and

human resources, to produce products and services that meet the quality,

performance and price aspirations of its customers. At the same time maintain the

highest standards of ethics and social responsibilities.

This mission is what drives Hero Honda to new heights in excellence and helps the

organization forge a unique and mutually beneficial relationship with all its stake

holders.

KEY POLICIES FOLLWED BY HERO HONDA

AN ENVIRONMENTALLY AND SOCIALLY, AWARE COMPANY

At Hero Honda, our goal is not only to sell you a bike, but also to help you every

step of the way in making your world a better place to live in. Besides its will to

provide a high-quality service to all of its customers, Hero Honda takes a stand as a

socially responsible enterprise respectful of its environment and respectful of the

important issues.

Hero Honda has been strongly committed not only to environmental conservation

programmers but also expresses the increasingly inseparable balance between the

economic concerns and the environmental and social issues faced by a business. A



business must not grow at the expense of mankind and man's future but rather must

serve mankind.

"We must do something for the community from whose land we generate our

wealth."

A famous quote from our Worthy Chairman Mr.Brijmohan Lall Munjal.

Environment Policy

We at Hero Honda are committed to demonstrate excellence in our environmental

performance on a continual basis, as an intrinsic element of our corporate

philosophy.

To achieve this we commit ourselves to:

Integrate environmental attributes and cleaner production in all our business

processes and practices with specific consideration to substitution of

hazardous chemicals, where viable and strengthen the greening of supply

chain.

Continue product innovations to improve environmental compatibility.

Comply with all applicable environmental legislation and also controlling

our environmental discharges through the principles of "alara" (as low as

reasonably achievable).

Institutionalize resource conservation, in particular, in the areas of oil, water,

electrical energy, paints and chemicals.

Enhance environmental awareness of our employees and dealers / vendors,

while promoting their involvement in ensuring sound environmental

management.

Example of ethical practice: Among the two and three wheelers, both

selected models of Hero Honda (Splendor and CD 100) are the most eco



friendly two wheelers. They have scored above average in vehicle and engine

design and are one of the very few four-stroke two wheeler fitted with any kind

of pollution control equipment.

Quality Policy

Excellence in quality is the core value of Hero Honda's philosophy.

We are committed at all levels to achieve high quality in whatever we do,

particularly in our products and services which will meet and exceed customer's

growing aspirations through:

Innovation in products processes and services.

Continuous improvement in our total quality management systems.

Teamwork and responsibility.

Example of ethical practice: On the comparative performance undertaken

for two-stroke and four-stroke two wheelers, the outcome clearly established

that four stroke two-wheelers are better that two stroke two-wheelers with

respect to both emission and fuel efficiency. The carbon monoxide (CO) and

hydrocarbons and nitrogen oxides (HC+NOx) emitted by two-stroke two-

wheelers (with catalytic converter) are 23 per cent and 38 per cent, respectively

higher than their equivalent four-stroke two-wheelers without catalytic

converter.

Safety Policy

Hero Honda is committed to safety and health of its employees and

other persons who may be affected by its operations. We believe that the



safe work practices lead to better business performance, motivated

workforce and higher productivity.

We shall create a safety culture in the organization by:

Integrating safety and health matters in all our activities.

Ensuring compliance with all applicable legislative requirements.

Empowering employees to ensure safety in their respective work places.

Promoting safety and health awareness amongst employees, suppliers and

contractors.

Continuous improvements in safety performance through precautions

besides participation and training of employees.

Example of ethics followed: The performance and safety of your

bike not only depends on the world class design and workmanship

assured by Hero Honda 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 Honda.

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 Honda bike owner, we recommend that for

your safety, long life and high performance of your bike, use only Hero

Honda genuine parts.



HERO HONDA FOLLOWS 3E’s IN FORM OF ETHICS

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 Honda 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

Honda 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

Honda motorcycles continue to meet the most stringent pollution control norms at

every level – as they have since the very beginning?

Education –Here are simple steps to a healthy bike, healthy environment, and a

healthy you. 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 Honda family that ‘We Care’ to drive home the message of

Road Safety and a Healthy Environment.

Our Hero Honda, 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.



Health and Environment

Safety

Facts and Information

Social Responsibility

We are certain that you too will take pride in being a true Hero Honda Good Rider.

CODE OF CONDUCT FOR DIRECTORS AND SENIOR MANAGEMENT

1. INTRODUCTION

This Code of Conduct has been adopted by the Board of Directors of Hero

Honda Motors Limited for its members and the senior executive’s one level

below, the Directors, including all functional heads (hereinafter referred to as

"Specified employee").

There are certain clauses of the Code, which are meant for Directors only such

as attending meetings of the Board and Committee thereof. The Specified

employees need to ignore such clauses.

The principal duty of the Board of Directors, along with management, is to

ensure that the Company is well managed in the interests of its shareholders.

The Board of Directors plays the central role in the Company's governance. It is

the Company's decision-making authority on all matters except those reserved

to shareholders or delegated to the management. The Board of Directors is not

expected to assume an active role in the day-to-day management of the

Company.



II. GUIDELINES FOR CONDUCT

Each director and Specified Employees seek to use due care in the performance of

his/her duties, be loyal to the Company, act in good faith and in a manner such

Director and Specified employee reasonably believes to be not opposed to the best

interests of the Company. A Director and Specified employee should seek to also:

Make reasonable efforts to attend Board and committee meetings.

Dedicate time and attention to the Company.

Comply with all applicable laws, regulations, confidentiality obligations and

corporate policies of the Company.

Be independent in judgment and actions and to take all reasonable steps to

be satisfied as to the soundness of all decisions taken by the Board of

Directors.

III. CORPORATE BUSINESS OPPORTUNITIES

In carrying out their duties and responsibilities, Directors and Specified employees

should avoid:

Appropriating corporate business opportunities for themselves that are

discovered through the use of Company property or information or their

position as Directors and Specified employees.

Using Company property or information, or their position as Director and

Specified employees, for personal gain.

Competing with the Company.



A corporate business opportunity is an opportunity:

1. Which is in the Company’s line of business or proposed expansion or

diversification?

2. Which the Company is financially able to undertake.

3. Which may be of interest to the Company?

A Director and Specified employee, who learns of such a corporate business

opportunity and who wishes to avail of it should disclose such opportunity to the

Company's Board of Directors. If the Board of Directors determines that the

Company does not have an actual or expected interest in such opportunity, then,

and only then, may the Director and Specified employee avail of it, provided that

the Director and Specified employee has not wrongfully utilized the Company's

resources in order to acquire such opportunity.

Example of ethical practice: Hero Honda commences production at its new

manufacturing plant in Haridwar. Hero Honda and its ancillaries have

already generated direct employment opportunities for over 2,000 people in

the state. Along with employment, emphasis has also been laid on training

and learning. The plant has set up a Gurukul within the complex, which

serves not only as a learning centre for all employees who join the plant, but

also for their continuous development and up gradation of skills.

IV. CONFLICTS OF INTEREST



Each Director and Specified employee should Endeavour to avoid having his

or her private interests interfere with:

i) The interests of the Company or

ii) His or her ability to perform his or her duties and responsibilities

objectively and effectively.

They should avoid receiving, or permitting members of their immediate

family to receive, improper personal benefits from the company, including

loans from or guarantees of obligations by the Company, except as may be

provided in their employment contract.

They should make a full disclosure to the entire Board of any transaction or

relationship that such a Director and Specified employee reasonably expects could

give

Mission Statement:

“We, at Hero Honda, are continuously striving for the synergy between

technology, systems, and Human resources to provide products and services that

meet the quality, performance, and price aspirations of our customers. While doing

so, we maintain the highest standards of ethics and societal responsibilities,

constantly innovate products and processes, and develop teams that keep the

momentum going to take the company to excellence in new millennium”

Dealers and service out lets;

Hero Honda Motor Limited has got the reputations in all over the India. For, To

cover all the customers and the parts of India. They had a network of 405 dealers

and 169 service out lets, spread all over India apart from 10 stockiest for spare

parts.



They add 25 to 30 dealers every year. The Hero Honda Motors Limited provides

good and better services to the customers through dealers service station and

through service out lets. The dealers provide the services with all the spare parts to

the customers. They provide free services after the customers. They with in a year,

mobile services and regular services to its customers. If the hero Honda purchased.

They are also eligible for the 2 years warranty, and the company provides 6 free

services and 9 paid services.

Competitors:

1. TVS

2. Bajaj

3. Honda

4. Yamaha

5. Suzuki

Hero Honda began operations with establishment of the Dharuhera plant in

1985. Covering a total area of over 58000 sq mts., this fully automated plant is

equipped with state-of-the-art machinery, an in-house research and development

set up, and today it produces a bike every 30 seconds.

To meet the growing demand, Hero Honda opened another unit at Gurgaon, using

FMS technology. Spread over 47000 sq metes., it is rated as one of the most

modern motorcycle manufacturing plants in the world. The plant produces 1800

bikes every day. The spirit of excellence has permeated all their ancillaries and

vendors. Today, they consistently meet and exceed all requirements on quality,

cost and delivery. All this gives a unique joy, a joy that happens when all aspects

of the manufacturing process and supply chain, seamlessly translate into the joy

experienced by their many satisfied customers and dealers.



BRIEF DESCRIPTION OF SPLENDOR PLUS

The world’s best-selling motorcycle just got better. The splendor plus, a bike that

will stop you right in your tracks. Both by its looks and performance. Consider its

new, clear, bright multi-reflector head light, multi-reflector tail light and stylish

graphics which give it, its contemporary looks. Next, feel the ergonomics of it as

you cruise along. A well-cushioned low-slung seat helps you rest and ride at the

same time.

Not to mention, the suspension that works so well that you’ll probably never

find out what happens between the tires and those bumpy roads. Needless to add,

owning a splendor plus means a lot of other things too. Like getting admiring

looks. Or the pride of riding a motorcycle that meets the pollution control

standards of this decade.

That’s the splendor plus. The new face of trust.

1) Multi-Reflector Head Light

2) Multi-Reflector Tail

Sales Data of S.S MOTORS

year Units sold

2006- Financial 2007 2,458

2007-2008 2,869

2008-2009 3,387

2009-2010 3,810

Unique facilities:

Hero Honda trained technicians.

Innovative bikes care solutions to meet individual’s needs.

Personalized service for a total ownership experience.



Mobile service.

Availability of spares.

Quick service.

It also provides mobile service to its customers. The enterprise has skill and

company trained mechanics.

The financial facilities provided by the institutions for purchasing of Splendor plus

1. ICICI Bank.

2. HDFC Bank.

3. Centurion Bank

4. S.B.M and other financial institutions.

AWARDS

Brijmohan Lall , Chairman of Hero Honda, receives the Padma Bhushan from

the President A P J Abdul Kalam….. Monday, March 28, 2005

Dr. Brijmohan Lall Munjal has been conferred the prestigious Padma Bhushan

Award, for his contribution to the Trade and Industry, by the President A P J Abdul

Kalam at the investiture ceremony held at the Rashtrapati Bhavan on28.3.02 Dr.

Munjal is considered to have led Hero Honda from the front to establish it as a

‘World No. 1’ two – Wheeler Company.

A true entrepreneur, he set up Hero Cycles factory in 1956, which engaged in

manufacturing complete bicycles and went on to become the world’s largest

bicycle producer in 1986, a position it has held since then. In 1984 he started Hero

Honda, the joint venture of Hero with Honda Motor Co. Japan. The company

heralded the two-wheeler revolution in India and became the world’s largest two –

wheeler company in 2001 and continues to hold that position ever since.

Today more than a crore satisfied Hero Honda customers bear the testimony to

Dr. Munjal’s philosophy – create a judicious world class blend of



performance,quality, cost and service, reinforce it with mutually beneficial

relationships and you will be a winner.

Presently, Dr. Munjal is the Chairman, Hero Group which straddles Indian

industrial landscape with 20 companies in diverse fields including auto parts,

bicycles, motorcycles, education, BPO, IT software etc. He has nurtured the

growth of a large number of world-class suppliers and ancillaries. He is an active

Rotarian, a Rotary District Governor and a member of Rotary International

Committees. He has held important positions on the panel of various prestigious

bodies like President of Confederation of Indian Industry (CII), President of

Society of Indian Automobile Manufacturers (SIAM).

Dr. Brijmohan Lall Munjal is a great philanthropist. Under his guidance, the

Hero Group operates several charitable trusts, schools, hospitals, adult education

programs, vocational training for rural women, mobile medical facilities for remote

villages etc. He has been long associated with Business Management education in

India and is presently Member, Board of Governors, and Management

Development Institute (MDI) Gurgaon.



He has been conferred with numerous accolades and recognitions including

Honorary. Membership of Indian Institution of Industrial Engineering Award

(1992),The Businessman of the Year (1994) – Business India, National Award for

Outstand in Contribution to the Development of Indian Small Scale Industry by

President of India

(1995), Sir Jehangir Ghandy Medal for Industrial Peace (2000) – XLRI,

Entrepreneur of the Year (2001) – Ernst & Young, Entrepreneur of the Year (2002)

– Business Standard, Lifetime Achievement Award for Management (2003) – All

India Management Association, Degree of “Doctor of Letters” Honoris Causa

(2004) – Banaras Hindu University.

SHOWROOM PROFILE SS MOTORS PVT LTD

Was established in the year 2002 with the aim of trading automobiles. Now SS

motors private limited have become one of the main dealer of M/s. Hero Honda

Auto Limited in Bangalore, having most of all models of two wheeler motorcycles.

Initially, as modest beginning, M/s SS Motors Private limited dealt only with

Motors Parts, but today it has come long way in the automobile world. SS Motors

Private Limited has always moved with time and expanded its transactions in

accordance with current market scenario and wide its products range, joining hands

with M/s. Hero Honda Auto Limited.

One of the largest two and four wheeler manufacturers in all models in the

world. This was a giant step forward and ensured the company's growth to the auto

market word.

SS Motors is also the pioneer in farm mechanization, dealing I with Farmtrac and

Escorts Tractors, manufactured by M/s. Escorts Limited. SS motors have

established that it is one of the best Dealers in this field. It has also tied up with



other two wheeler manufactures, by this it is able to provide wide range of vehicles

to its customers & also increase its sales.

SALIENT FEATURES OF “SS MOTORS”

Simplicity is the nature of truth

We reduce all complex problems to their simple elements. We go to the root, to

the essence, and come out with simple solutions, easy to implement.

Honesty is the manifestation of truth.

Honesty is transparency, trustworthiness, and dependability in cost, time and

quality.

Humility is the understanding and acceptance of truth, both strength and

weaknesses.

.

We learnt that there is a requirement of Hero Honda 2 Wheeler for BSF Personnel.

We have a tie-up with financial institutions like ICICI Bank, hire purchase special

schemes for Defense Personnel. Kindly avail the special scheme. The other reasons

behind the successful growth of the SS Motors is :

There are good interacting sales personals who give good information to the

customers.

Bikes are brought from customers place if they have to be repaired

There are different good sale offers through out the year which keeps the

sales of the showroom above the mark.

Showroom atmosphere attracts the customers.

Have good advanced technical equipments for servicing the vehicles & the

servicing is provided all the 7day of the week.

Board of directors

Chairman & Managing Director: B.S. Patel



Director: Verandra patel

Product Profile

Hero Honda Ltd. is India’s leading motorcycle manufacturer despite being world’s

largest motorcycle sellers, with am amazing records over the past. It has produced

a wide range of motorcycles to suit every individual in the society. Because Hero

Honda is collaborated with Japan’s leading auto major Honda to give their best

hand in India.

Various Models of Vehicles:-

Cd Dawn

Hero Honda Pleasure

CD Deluxe

Splendor NXG

Splendor super

Splendor Plus

Passion Plus

Glamour

Hero Honda Achiever

Hunk

CBZ Xtreme

Karizma R

SPLENDOR PLUS

Features:



Both by its looks and performance, with a new, clear, bright multi-reflector head

light, multi-reflector tail light and stylish graphics which give it, its contemporary

looks. A well-cushioned low-slung seat helps to rest and ride at the same time. The

suspension that works so well that one probably never find out what happens

between the tires and those bumpy roads. Needless admiring looks a motorcycle

that meets the pollution control standards of this decade. That's the new face of

trust.

The Splendor+ is a newly designed bike which differs from its predecessors in

various facts including multi-reflector head light Disc brake (optional) Multi-

reflector tail light.

Technical Specifications:

Engine 4-Stroke OHC, Single Cylinder, Air

Cooled

Bore X Stroke 52.4 X 57.8 mm

Displacement 124.7 cc

Compretion ratio 52.4 X 57.8 mm

Max Power 6.72 Kw (9 BHP) @ 7000 rpm

Torque 10.35 Nm @ 4000 rpm

Max Speed 90 Kmph

Clutch 4 - Speed Constant Mesh

Final Drive Roller Chain

Ignition Digital - CDI Ignition (AMI) Advanced

Micro procecer

Starting Kick Start Self Start (Optional)



Wheel Base 1265 mm

Ground Clearance 150 mm

Kerb Weight 117 Kg (Kick Version) 121 Kg (Self

Version

Tires Front : 2.75 X 18 - 4 PR / 42P

Rear : 2.75 X 18 - 6 PR / 48P

Fuel Tank Capacity 12 Liters. (Min)

Head Light 12V - 35W Multi Reflector Halogen

Bulb - AC Type

PASSION PLUS Hero Honda – CBZ

Both by its looks and performance, with a new, clear, bright multi-reflector head

light, multi-reflector tail light and stylish graphics which give it, its contemporary

looks. A well-cushioned low-slung seat helps to rest and ride at the same time. The

suspension that works so well that one probably never find out what happens

between the tires and those bumpy roads. Needless admiring looks a motorcycle


http://techostingydominio.com/wp-content/uploads/2009/11/hero-honda-cbz-extreme-05.jpg


that meets the pollution control standards of this decade. That's the new face of

trust. The Splendor+ is a newly designed bike which differs from its predecessors

in various facts including multi-reflector head light Disc brake (optional) Multi-

reflector tail light.

CD-Dawn CD DELUXE

CHAPTER 2

Research Methodology

Statement of the Problem:

The knowledge of post purchase consumer perception of a product and level

of satisfaction with a product is essential for the manufacturers of a product in



order to get an idea about what the general consumer perceives about the product.

This helps the manufacturer to know where his product is lacking as compared

with a competitor.

Now a days the competitors are Bajaj, Suzuki,Yamaha,Honda and TVS , in the

two-wheeler market. It is much important to any manufacturer to understand th3e8

A survey on Consumer Perception of Hero Honda Splendor plus level of

satisfaction to their product and they should manufacture and provide the services

to their customers in such a way that it should provide complete satisfaction to it’s

customers. Then only they can compete in this competitive world. Hence today

study aims at analysis of “consumer perception towards splendor plus ’’ in S.S

MOTORS, Bangalore.

Title of the report:

“Consumer Perception of Hero Honda Splendor Plus.”

Objectives of the study:

The Primary Objectives are:-

1. To understand, analyze and evaluate the opinion of the consumers’ perception

on splendor plus.

2. To know, what are the factors influencing the consumer’s while deciding to

purchase the Splendor plus.

3. To provide information helpful to S.S MOTOR [Dealers of Splendor plus] in

planning and implementing of marketing approach towards the buying

motives of splendor plus bike owners and to know their satisfaction.

4. To know the level of satisfaction among the owners and users of splendor

plus.



Scope of the Study:

The study covers the over all consumer opinion survey on splendor plus and is

restricted to Bangalore only. The study is done to analyse the consumer

perception towards the splendor plus. The survey was conducted from 25th Feb to

18TH April 2010, and the response relate to that period only.

Sampling Size:

A few people or a unit of population called as sample size was taken to obtain

representative sample of the whole universal.

The data collection of this study was limited to Bangalore city. The researcher has

randomly selected five blocks in Bangalore and each block consists 20 respondents

of splendor plus owners.

METHODOLOGY OF THE STUDY

Sources of Data

Primary Sources.

Secondary Sources.

Primary Sources:

Primary sources are original sources directly collected data that have not been

previously collected.

Primary data in this research was obtained through questionnaires and direct

interview.

Questionnaires, with close ended questions and few open ended questions.



Through personal interviews – to collect information on responses requiring an

explanation and also information vital to the study but not covered in the

questionnaires.

Secondary Sources:

These are sources containing data that have been collected and compiled for

another purpose. Secondary data for the study is obtained through the company’s

brochure and information from library and through internet source [web site of

Hero Honda Company: WWW. Hero Honda.com.

DATA COLLECTION INSTRUMENT:

In this study the main tool used for data collection is questionnaire. The

questionnaire construction consists of 5 steps:-

Specifying the information needed.

Determining the type of questions to be asked.

Deciding the number and sequence of questions are to be asked.

Preparing the preliminary draft of questionnaire.

Revising and pretesting the questionnaire.

DATA PROCESSING AND ANALYSIS:

Validation:

The researches routinely checked the some proportion of questionnaire in order to

check, whether an accurate sample was obtained.

Editing:

In the second step the researches edited the data and some of the questions were

found not necessary in order to extract the relevant information. Hence the

questions prepared are modified in order to extract the relevant information.



Coding:

Pre coding is done which involves identification and classification of each

responses.

Transcription: Since direct tabulation from the edited data is difficult the researcher

used the transcription process [in a long work sheet] rather than obtain tabulation

directly.

Tabulation:

After the Transcription of data is over. Percentages were used to analyze data.

Data collected is depicted through tables, graphs and pie-charts.

OPERATIONAL DEFINITION OF CONCEPTS:

Perception:

It is the process by which people, select, organize and interpret information to

form a meaningful picture of the world.

Consumer Behavior: It is defined as the behavior that consumers display in

searching for, purchasing using and evaluating products ideas and services their

expect will satisfy their needs. In this study behavior of the splendor plus

consumers are studied.

Product:

A product of utilities comprising of various products features and accompanying

services. To my study the product is splendor plus two wheelers.

Marketing:

A human activity directed at satisfying needs and services. Splendor plus to

this study of market area is five Blocks of Bangalore.

Attributes:



The salient features of a product marketing mix. It is a strategy where by all the

elements involved in successful retaining [right product at right price, effective

promotion, advantageous location, etc] are blended together is such a way so as to

satisfy the customer.

Retail Selling:

Retail marketing is a concept in which sales goals are set on the basis of market

potential for the new vehicles increased attention to the behavior of the consumer.

Consumer.

Retail marketing is more concerned with who is buying the splendor plus and the

underlying reasons for this behavior.

Reference Group:

An interactive group of people who influence an individual’s attitudes and

behavior.

Advertisement:

A paid media for non-person communication from the manufacturer/dealer to the

consumer, creating the awareness of product’s activity and services.

Brand Preference:

Is the selective preference a consumer accords to a particular brand of a product in

comparative evaluation with other available brands.

Limitations of the Study:

1.The sample size is restricted to 100 respondents due to time and cost constraints.

2. The responses of 100 respondents considered to be the fair representation of the

universe.

3. As for as secondary data is concerned most of the information and official

records are located in different cities and they are not within the reach.

4. The data collected from the respondents assumed to be fair and unbiased.



5. The study focuses mainly on the consumer who own splendor plus and the

potential consumers.

Data Analysis & Interpretation

Table showing age group of the respondents:

No. of Respondents Percentage (%)

Bellow 20 years 04 04

20 – 30 years 66 66

30 – 40 years 10 10

40 – 50 years 12 12

40 – 50 years 08 08

Total 100 100

1st Qtr 2nd Qtr 3rd Qtr 4th Qtr

Table Showing Marital Status of the Respondents

Marital Status No. of Respondents (%)

Married 38 38%



Un married 62 62%

Total 100 100%

No. of Respondents

marid

un-marid

SUGGESTIONS

Hero Honda should introduce a low price (25000 to 30000) moped.

For the promotion, company makes road-show that will Increase the sales.

Hero Honda should increase in advertisements through TV., newspapers.

The company should give more concentrate on the advertisement.

Hero Honda should expand the targeted market like introducing special

scooter for women and also considering rural market related offers.

Hero Honda should work on sports and pick up bikes.

CONCLUSIONS



My project title being “a study of consumer perception towards splendor plus in

Bangalore” after completion of study and careful analysis of the data can conclude

that the public had a favorable opinion about splendor plus. The respondents were

making the purchase of splendor plus after comparing it with Bajaj, Honda,

Suzuki, Yamaha and TVS, so main comparing are Bajaj, Suzuki and TVS the most

common reason given by the respondents for purchase of splendor plus was its

unique mileage and comfort, which are not available in any other bikes and other

reasons being service and maintenance. In short it is perceived as good performer

in the market. It is possible to say that the respondents have good opinion about the

splendor plus and the “S S Motors” have good name and popular in Bangalore.

SUGGESTIONS AND RECOMMENDATIONS

1. In order to attract non users promotional strategies like advertising, free- test

drive camps, demonstration camps may be made use of.

2. Most of the customers look for mileage, safety, style, overall performance and

cost of vehicle and comfort riding. HMSI should try to improve based on these

factors.

3. Most of the respondents feel the free-service period is not sufficient so the

company can look into this factor.

4. Most of the respondents though feel the price of the splendor plus is reasonable

many of them feel it is quite high, so that HMSI should try to cut the cost will

benefit the students. Remember middle income group are the most constituted

population in the country.

5. The company should Decrease the price of spare parts because it is considered

expensive by the respondents.



6. Splendor plus must increase the efficiency of after sales services to one year.

7. Splendor plus must try to hold on to the respondents of the age group of 20 – 30

years and try to capture the market of younger generation.

8. This can be done by changing the design making it more sleek, modern and

stylish.

9. It was found from the stuffy that splendor plus is made for middle class families.

SUMMARY OF FINDINGS

1. Majority of the respondents who know about splendor plus feel it is vehicle

known for comfort.

2. Majority of the respondents have come to know about splendor plus through ads.

3. Majority of the respondents feel that the price of splendor plus is reasonable.

4. Majority of the respondents feel that the service period for the bike should be

extended to 1 year.

5. Majority of the owners of splendor plus are satisfied with the performance of

their vehicle.

6. Majority of the respondents are in the income group of 25000 & Above.

7. Majority of the respondents are influenced by mileage factor.

8. Majority of the respondents have sold their previous vehicles just to purchasing

of new brand.

9. Most of the respondents are aware of splendor plus.

10. Most of the respondents feel that the advertising strategy is excellent.

11. Majority of the respondents are satisfied about after sale service.

12. Most of the users of splendor plus are in the age group 20-30.

13. Majority of the respondents feel splendor plus is the most aware and preferred

brand.



14. Majority of the respondents are influenced and satisfied by the mileage, safety,

service, maintenance, style factor while purchasing a two – wheeler.

15. Majority of the respondents feel that a reasonable price for a bike is in between

Rs. 35,000 – 40,000

ANALYSIS:

Above table shows that, 36 percent of the respondents feel splendor plus is the

most valuable brand, 30 percent of the respondents feel Hero Honda is the most

valuable brand, 16 percent respondents feel Bajaj is the most valuable brand, 12

percent of the respondents feel Yamaha is the most valuable brand, 6 percent of the

respondents feel T.V.S. is the most valuable brand.

Case Update

Hero Honda Today

India and Hero Honda

Fuel Efficient

Pollution Control/Quality

Technology

Customers, Dealers/Vendors

Fiscal Year 2003-2004

Market Share

Distribution & Service Network



Routes/Delivery – MapInfo

Current Models

100 cc plus segment

Super Splendor & Glamour

150 cc plus segment

Achiever

Scooter Segment – wider customer base

“Pleasure”

Fiscal Year 2009-2010

September 30th, 2009 Rs 1,943.60

September 30th, 20010 Rs 1,943.60

SWOT Analysis

Strengths

Ability to understand customer’s needs and wants

Recognized and established brand name

Effective advertising capability

Weaknesses

R&D is not close to the Hero manufacturing plant

Hero is vulnerable in the joint venture because Honda Motor

Company has so much power



Opportunities

Global expansion into the Caribbean and Central America

Expansion of target market (include women)

Become India’s leader in the scooter market

Threats

Honda Motorcycles and Scooters India can take away market share

and cause joint venture to go sour

Bajaj Motors is a strong competitor

QUESTIONNAIRE

1. Name:……………….

2. Age: a)> 20 yr b) 20-30yr c) 30-40yr d) 40-50yr e) <50yr

3. Marital Status: a)Married b)Unmarried

4. Educational Qualification: a) No formal Education b) Matriculation c) PUC d) Graduation and above 5. Occupation: a) Student b) Employed c) Business d) Professional d) Others

6. Monthly Income of your family (in Rs) a) Below 10000Rs b) 10000-15000



c) 15000-20000 d) 20000-25000 e) Above 25000

7. How did you come to know about Hero Honda Splendor +? a) Internet b) Friends c)TV Ads d) Magazines e) News paper Ads f) Others

8. Did you own a Two wheeler prior to purchasing HeroHonda Splendor+? a) Yes b) No

9. Why did you replace your previous two wheeler with Hero HondaSplendor+? a) Problems with Engine b) Problems with spare parts c) High fuel consumption c) Low mileage e) High maintenance cost f) I wanted to buy new brand g) Others

10. What factors influenced you to own Splendor+? a) Style b) Comfort c) Quality d) Safety e) Maintenance f) Mileage g) Service h) Availability of Spares

11. What is your opinion regarding pricing of Splendor +? a) Reasonable b) High c) Too high

12. Do you think Splendor + is a multipurpose vehicle? a) Yes b) No

13. Would you like to recommend others to buy this vehicle? a) Yes b) No

14. How satisfied you are with the performance of Splendor+? a) Fully satisfied b) Satisfied c) Not at all satisfied

15. What is your opinion about advertisement and publicity of Splendor+? a) Excellent b) Good c) Satisfactory d) Not satisfactory

16. How satisfied with the after sales service you received for your vehicle? a) Fully satisfied b) Satisfied c) Unsatisfied



17. Are you satisfied with the duration of service period? a) Yes b) No

18. If you are not satisfied with the duration of free services, what is your preferred extension of service period? a) 6months b) 1year c) 1½ Years

19. Which brand you would like to associate with most valuable brand? a) Hero Honda b) Bajaj c) TVS e) Yamaha f) Others

BIBLIOGRAPHY


A Survey on Consumer Perception of Hero Honda Splendor Plus

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Transcript of A Survey on Consumer Perception of Hero Honda Splendor Plus