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A

STUDY

ON

CONSUMER BUYING BEHAVIOUR AT TIME TO

PURCHASE HERO HONDA BIKE.

A Report submitted in partial fulfillment of the requirements for the awardof the degree of

BACHELO OF BUSINESS ADMINISTRATION

TO

SOUTH GUJARAT UNIVERSITY, SURAT

Submitted By:TARANG P PATIL

T.Y.B.B.A. (SEM-VI) ROLL NO.-23

Under the guidance ofMR.HORMAZ.D.PATEL

Submitted To:THE CO-ORDINATOR

THE SURAT PEOPLES CO-OP. BANK COLLEGE OF

BUSINESS ADMINISTRATIONUDHNA (SUART)

March 2007

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THE SURAT PEOPLES CO-OP. BANK COLLEGE OF

BUSINESS ADMINISTRATION

CERTIFICATE OF THE FACULTY GUIDE

This is to certify that the project entitled A STUDY ON CONSUMERBUYING BEHAVIOUR AT TIME TO PURCHASE HERO

HONDA BIKE. Submitted in partial fulfillment for the award of the

degree of BACHELOR OF BUSINESS ADMINISTRATIONTO SOUTH GUJURAT UNIVERSITY, SURAT is a record of

bonafide research work carried out by TARANG P PATIL under mysupervision and guidance.

Signature Signature

Project Guide Co-Ordinator(Prof .H.D.Patel) (MRS. DAISY S.T)

DECLARATION

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I , TARANG P PATIL , here by declare that the project report entitledA STUDY ON CONSUMER BUYING BEHAVIOUR ATTIME TO PURCHASE HERO HONDA BIKE. under theguidance of Prof H. D. PATEL submitted in partial fulfillment ofthe requirement for the award of the degree of Bachelor ofbusiness administration to south Gujarat university ,Surat is my original Work - research study - carried out during 1st

January, 2008 to 1st March ,2008 and not submitted for any otherdegree/ diploma/ fellowship or other similar titles or prizes to any otherinstitute or university by any other person.

Place: udhna signatureDate:

TARANG PATIL .P.ROLL NO. 23

ACKNOWLEDGEMENT

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INDEX

This is the pleasure movement for me to explicate my energizedintelligence. Thanks to Co-Coordinator Prof S.Z. daisy and to my guide

prof. H.D.Patel from the Surat peoples co-op. bank college of businessadministration udhna, Surat. For accommodating advice during theresearch and help provided by them in preparation of this report. This reportis guided by their co-operation and practicable suggestion. This study workcould be finished with in the period.

I got chance to recognize my aratitute to all staff to B.B.A.department for making available all facilities to complete the researchwork. As well as to all others who extended the precious co-operation by

providing all documents and details required for this work.

Place: - Surat TARANG P PATIL

Date: - T.Y.B.B.ARoll No.:-23

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NUMBER SUBJECTPAGE

NO.

1 INTRODUCTUION 7

INTRODUCTUION OF INDUSTRY 8-9

HISTORY OF COMPANY 10-14

2 THEORETICAL BACKGROUND 15-20

CONSUMER BUYING BEHAVIOUR

3 PROBLEM DEFINATION 21-23

PROBLEM DEFINATION

SCOPE OF STUDY

OBJECTIVES OF STUDY

LIMLTATIONS OF STUDY

4 RESEACH METHODOLOGY 24-31

INTRODUCTION

RESEARCH DESIGN

SOURCES OF DATA

RESEARCH INSTRUMENT SAMPLING PLAN

DATA COLLECTION METHOD

5 DATA ANALYSIS ANDINTERPRETATION

30-48

6 TESTING OF HYPOTHESIS 49-51

7 FINDINGS 52-53

8 SUGGESTIONS 54-55

9 SWOT ANALYSIS OF HERO HONDA 56-58

10 REFERENCE MATERIAL 59

BIBLIOGRAPHY 60-61

APPENDIX 62-66

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LIST OF TABLE AND GRAPH

No. Name of Tables And Graphs PageNo

1 Age wise Classification 332 Occupation wise Classification 343 Income wise Classification 354 Sources of finance 365 Analysis of Preferring Auto Mobile 37

6 Sources of Purchasing Bike 387 Age V/S usage of companies Bike 398 Decision maker for purchasing Bike 409 Feature Consideration when purchasing

Bike42

10 Attributes of Showroom 4411 Schemes that Attract most 46

12 Features of Purchasing Bike 48

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CHAPTER :1

INTRODUCTION

INTRODUCTION OF INDUSRY

HISTORY OF COMPANY

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INTRODUCTION OF INDUSTERY

Throughout the centuries man has striven to expand hiscapabilities through the use of machine. His ever inventive mindhas constantly devised ways to use tool to increase his abilities toexplore the world around him. To go faster, deeper, higher andfurther than before. Coupled with his need to find new thrills, newadventures and new modes of transportation, the inventionrefinement of the motorcycle seems an inevitable out come.

It would seem that Michelangelo conceived of the bicycle asearly 14th century. And his drawing shows a remarkableresemblance to he modern day bike. It had wheels of similar sizeand even pedals and chain. Albeit without any apparent means ofsteering.

Through never built, it was a remarkably clever design, andearly bicycle makers would have done well to study his concepts,

there have, in fact been 4 machines built based on his drawing,attesting to the viability of his design.

It wasnt until 1869 that the first serious attempts were madeto produce motor driven bicycles. These very first were powered

by steam, and driven by leather belts or as in the case of the ropersteam velocipede of 1869 by a system of levers attached to a crankon the driven wheel.

In 1885 the Daimler, Europe this is consider by many as thefirst true motorcycle or motor bicycle, as it was the first to employan internal combustion engine and was designed from the groundup to be motor powered. Designed by gottlibe Daimler it was

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powered by an Otto cycle engine producing about horse powers.Note this design again employed wooden wheels and Daimler

dropped the twist grip controls from his 1877 design in favor of

leavers on the frame.

In 1894 Hildebrand and Wolfmuller, France Worlds firstproduction motorcycle. It came with a 1428 cc water cooled four-stroke motor producing 2.5 bhp. And speed of 25 mph.

In 1898 orient-Aster, USA the American made productionmotorcycle was this entry built by the Metz Company, in Waltham,

mass, it used an aster engine that was a French copy of the MetzCompany, in Waltham, mass.

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History OF COMPANY

Type : Public company

Founded : January 19, 1984

Headquarters : Haryana, Indian

Key People : Brijmohan lall munjal

(Chairman and managing Director)Industry : Automotive

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Produce : Motorcycle, Scooters

Hero Honda Motorcycles limited is an Indian manufacturer

of motorcycles and scooters. Hero Honda is a joint Venture thatbegan in 1984 between the Hero Group of India and Honda From

Japan. It has been the worlds biggest manufacturer of 2-wheeledmotorized vehicles since 2001. When it produced 1.3 millionmotorbikes in a single year. Hero Hondas splendor is the largestselling motorcycle its 2 plants are in Dharuhera and Gurgaon, bothin Haryana India. It specializes in dual use motorcycles that arelow powered but very fuel efficient.

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India has the largest number of two wheelers in the world with41.6 million vehicles. India has a mix of 30 percent automobiles

and 70 percent two wheeler in the country. India was the secondlargest two wheeler manufacturer in the world starting in the1950swith the birth of Automobile products of India (API) thatmanufactured scooters. API manufactured the lambrettas but,another company, Baja Auto Ltd. Surpassed API and remainedthrough the turn of the century from its association with piaggio ofItaly (manufactured of vespa)

The license raj that existed between the 1940s and 1980s inIndia. Did not allow foreign companies to enter the market andimports were tightly controlled. Customers in India were forced towait 12 years to buy a scooter from Bajaj. The CEO of Bajajcommented that he did not need a marketing department, only adispatch department. By the year 1990, Bajaj had a waiting list thatwas twenty-six times its annual output for scooters.

In the mid-1980s, the Indian government regulation changedand permitted foreign companies to enter the Indian marketthrough minority joint ventures. The two wheeler market changedwith four indo-Japanese joint ventures: Hero Honda, TVS Suzuki,Bajaj Kawasaki and Kinetic Honda. The entry of these foreigncompanies changed the Indian market dynamics from the supplydemand side. With a larger selection of two-wheelers on the Indianmarket, consumer started to gain influence over the products they

bought and raised higher customer expectations. The industryproduced more models, styling options, price, and different fuelefficiencies. The foreign companies new technologies helped makethe products more reliable and with better quality. Indiancompanies had to change to keep up with their global.

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During the 80s, Hero Honda became the first company in India toprove that it was possible to drive a vehicle without polluting theroads. The company introduced new generation motorcycles thatset industry benchmarks for fuel thrift and low emission. A

legendary 'Fill it - Shut it - Forget it' campaign captured theimagination of commuters across India, and Hero Honda soldmillions of bikes purely on the commitment of increased mileage.Hero Honda has consistently grown at double digits sinceinception; and today, every second motorcycle sold in the countryis a Hero Honda. Every 30 seconds, someone in India buys HeroHonda's top -selling motorcycle - Splendor. This festive season,the company sold half a million two wheelers in a single month-a

feat unparalleled in global automotive history.

Hero Honda values its relationship with customers. Its uniqueCRM initiative - Hero Honda Passport Program, one of the largest

programs of this kind in the world, has over 3 million members onits roster. The program has not only helped Hero Hondaunderstand its customers and deliver value at different price points,

but has also created a loyal community of brand ambassadors.

Performance vis--vis Industry

The Indian two wheeler industries has seen a paradigm shift frombeing a regime of regulation and tight control in the 1980s to amore liberalized and a competitive present day era. After missingout on the initial boom in two wheeler segment during the periodof 1993-1996, Hero Honda has emerged as a world leader. The gap

between motorcycles sold by Hero Honda and its closest rival isapproximately 1 m units (23% of industry size). One of the reasonsfor the tremendous performance of Hero Honda is the significantincrease of share of motorcycles in the two-wheeler segment, from42% in FY99 to 77% in FY04. No doubt, that the shift in

preference of Indian populace from scooters and mopeds towards

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motorcycles has facilitated the growth of Hero Honda. However itsperformance vis--vis industry indicates that the performance ofHero Honda was better than the industry peers, barring two years.In the seven-year period ending FY04, it has achieved a CAGR of

30% in two-wheeler volumes against 11% of the industry.

Excellent Collaborator Relationship:

Hero Honda is now the leading two-wheeler Company in India interms of net sales (sales less excise duty value, which was Rs 3171crores). It is both the leading two wheeler manufacturer andsales operation among Honda's worldwide operations. TheCompany has maintained excellent relationship with all

stakeholders including its collaborators. Hero Honda has emergedas the most successful joint venture Company of Honda in theworld, their relationship over 116 years old now.

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CHAPTER:2

THEORITICAL BACKGROUND

CONSUMER BUYING BEHAVIOUR

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CONSUMER BUYINGBEHVIOUR

The main aim of marketing is meet and satisfy targetcustomers need and wants buyer behavior refers to the peoples ororganization conduct activities and together with the impact ofvarious influence on them towards making decision on purchase of

product and service in a market. The field of consumer behaviorstudies how individuals, groups and organization select, buy, useand dispse of goods, service, ideas, or experience to satisfy theirneeds and desires understanding consumer behavior and knowingcustomer are never simple. The wealth of products and service

produced in a country make our economy strong. The behavior ofhuman being during the purchase is being termed as BuyerBehavior. Customer says one thing but do another. They may not

be in touch with their deeper motivations. They are responding toinfluences that change their mind at the last minute. A buyer makestake a decision whether save or spend the money.

Definition of Buyer Behavior:-

Buyer behavior is all psychological, Social and physicalbehaviors of potential customers as they become aware of evaluate,

purchase, consume and tell others about product & service.

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Consumer Buying Decision Process

There are following five stages in consumer buying decisionprocess.

1. Problem identification:-The buying process starts when the buyer recognizes a problem orneed. The need can be triggered by internal or external stimuli.Marketers need to identify the circumstances that trigger a

particular need. By gathering information from a number of

consumers, Marketers can identify the most frequent stimuli thatspark an interest in a product category. They can then developmarketing strategies that trigger consumer interest.

2.Information Search:-The consumer tries to collect information regarding various

products/service. Through gathering information, the consumerlearns about completing brands and their features. Information may

be collected form magazines, catalogues, retailers, friends, familymembers, business association, commercial, chamber ofcommerce, telephone directory, tradefair etc. Marketers shouldfind out the source of information and their relative degree ofimportance to the consumes.Personal Sources: Family, friends, neighbor, asquittances.Commercial Source: Advertising, sales persons, dealers,

packaging, displays.Public sources: mass media, consumer, rating organizations.Experimental sources: Handling. Examine, using the product.

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3. Evaluation of alternative:-

There is no single process used by all consumers by one consumer

in all buying situations. There is several First, the consumerprocesses, some basic concepts are:First, the consumer is trying to satisfy need.Second, the consumer is looking for certain benefits from the

product solutions.The marketer must know which criteria the consumer will

use in the purchase decision.

4 . Choice of purchasing decision:-

From among the purchase of alternatives the consumer makes thesolution. It may be to buy or not to buy. If the decision is to buy.

The other additional decisions are:Which types of bike he must buy?From whom to buy a bike?How the payment to be made? And so on.

The marketer up to this stage has tried every meansto influence the purchase behavior, but the choice is properlyconsumers. In the evaluation stage the consumer forms preferencesamong the brands in the choice set. The consumer may also forman intention to but the most preferred brand.

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5. Post Purchase Behavior:-

After purchase the product, the consumer will experience the samelevel of product. The Marketers job not end when the product is

buying must monitor post-purchase satisfaction, post-purchaseaction, post-purchase use and disposal

Post Purchase Satisfaction:-

The buyer, S satisfaction is a function Of closeness between the

buyer, S expectation and the products Perceiver performance.The larger the gap between expectation and performance, theg greater the consumer dissatisfaction.

Post purchase Action:-

The Consumer, S satisfaction or dissatisfaction with the productinfluence subsequent behavior. If the consumer satisfied, he or she

will exhibit a higher probability of purchasing the product again.Dissatisfaction consumer may abandon and return the product.

Post-Purchase Use or Disposal:-

The marketer should also monitor new buyers use anddispose of the product. If the consumer store the product in a close,the product is probably not very satisfying. If the consumer throwsthe product away, the marketer needs to know how they dispose ofit; especially it can be hurt the environment.

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Characteristic of Buyer Behaviors

The chief characteristics of the buyers behaviors are asfollow:-

(1) It consists of mental and physical activities which consumersundertake to get goods and services and obtain satisfaction fromthem.

(2) It includes both observable activities such as walking throughthe market to examine merchandise and making a purchase andmental activities-such as forming attitudes, perceiving advertisingmaterial, and learning to prefer particular brands.

(3) Consumer behaviors are very complex and dynamic toconstantly changing. And therefore, management need to adjustwith the change otherwise market may be lot.

(4) The individuals specific behaviors in the market place isaffected by internal factor, such as need , motives, perception, andattitudes, as well as by external of enviourmenatal influences suchas the family social groups, culture, economics and businessinfluences.

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CHAPTER:3

PROBLEMDEFINATION

PROBLEM DEFINATION

OBJECTIVE OF STUDY

LIMITATIONS OF STUDY

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PROBLEM DEFINATIONTo know the best consumer buying behavior and demand into

the minds of consumer of Surat city because always consumer saysomething and does something. There are many companiesmanufacturing motorcycles into the market, at the same time asthere are many companies manufacturing motorcycles, idea aboutthinking of customer on whether, what, how, and for whom to

purchase the motorcycle.

Therefore, research is required to measure present consumer buying behavior at the purchase of Hero Honda bike. so theresearcher problem is to identify what are the criteria that

prospective customer takes into consideration before buying themotorcycles.

SCOPE OF STUDY The main scope of the study is limited to Surat city.

It also analysis the benefits accruing to the company as aresult of those service.

This study has been made to find the level of satisfaction thecustomer has regarding the service provider by bike place.

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OBJECTIVES OF STUDY

To know market position of Hero Honda bike in themarket.

To know consumer behavior for purchase of two wheelerbike.

Limitations of study

When the buyers are busy we cant get accurate data fromthem.

According to the time limit of our project we can coveronly the some area.

During survey some respondents may not give answer in aproper manner.

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CHAPTER:-

4RESEARCH METHDOLOGY

INTRODUCTION

RSEARCH DESIGN

SOURCES OF DATA

SAMPLING PLAN

DATA COLLECTION METHOD

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RESERCH METHODOLOGY(A)Introduction

Marketing research is the function which links theconsumer, customer and public to the marketers throughinformation used to identify and define marketing, opportunitiesand problems, generates refine marketing action; monitormarketing performance; and improve understanding of marketing

as a process.Marketing research specifies the information required

to address these issues; designs the method for collectioninformation manages and implements the data collection process;analysis the results and communication the findings and theirimplication.

Research definition:Research is careful inquiry or examination to discover

new information and relationship and to expand and to verifyexiting knowledge,

Research always starts with questions or a problem. Itspurpose is to find answer to questions through the application ofthe scientific method. It is a systematic and intensive study

directed towards a more complete knowledge of the subjectstudies.

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(B) Research design

Research design is the plan, structure and strategy ofinvestigation conceived so as to obtain answer to research questionand to control variance.

- BY KERLINGERFrom definition it is evident that research design is ore or less a

blueprint of research.

At the outset may be noted that there are several ways ofstudying and tackling a problem. There is no signal perfect design.The research design can be classified in to true broad categories:

(A) Exploratory(B) Descriptive(C) Casual

Exploratory research is focus on the discovery of ideas.

Exploratory research is carried out to define problems anddeveloped hypothesis to test later. An exploratory study isgenerally based on the secondary data that are reading available. Itdoes not have to change his focus of direction, depending on theavailability of new ideas and relationship among variables.

Descriptive studies are undertaken in many circumstances.Descriptive studies can be complex, determining a high degree of

scientific skill on the part of the researcher.Casual research helps in determined cause and effect

relationship. Between two or more variables.

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The present study seeks to find out the consumers attitude

towards buying of bike. The study also aims at findings out thedrawbacks of the marketing set up of Hero Honda PVT. LTD. Sothis makes the study a descriptive one.

(D) Sources of Data

The sources of data collection methods are as follows.

a) Primary data:-

The primary data is that which details we collect first timefrom the market and also used first time in the research. We alsosay that the information is first time in the research decision. Tocollect the primary data questionnaire is prepared structure non-disguise questionnaire is prepared.

b) Secondary data :-

Secondary data are those data which are already collected bysomeone for some purpose and are available for the present study;secondary data are already collected by the companys records andother librarys books. When the secondary data are sufficient, theresearcher has to be satisfied with the primary sources of data.Secondary data can be used as bases for comparison with primarydata have been collected by questionnaire.

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(E) Data Collection Method

Researcher instruments is the tool by which the researchercan do research on specific problems or objective. The most

popular researcher instrument for collection data isQuestionnaire for a particular investigation. It is simple for amoiled set of questions presented to respondents for their answers.Due to this flexibility, it is most common instrument used tocollect the primary data. During the pre- testing of questionnaire, I

seen the reaction of respondents and suggestions required to makechange in research instrument.

The questionnaire contains three types of questions.

Open-ended question :-

It is helpful in knowing what is uppermost in the mind of the

respondents. It gives complete freedom to the respondent.

Dichotomous questions :-

It has only two answers in form yes or n, true or false,use or do not use. So the respondent is offered two or morechoice.

Multiple-choice question:-In this, the respondent is offered two or more choice.

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(F) Sampling plan

Sampling is a process of obtaining. The information aboutthe entire population by examine a part of it .The effectiveness ofthe research depends on the sample size selected for the survey

purpose.

(A) sample Site:-

The survey was conducted in SURAT CITY.

(B)Sampling Unit:-

It means Who is to be surveyed. Here target populationis decided and it is who are interested to purchase Bike and

sampling frame is developed so that every one in the targetpopulation has known chance of being sampled. So the survey isconducted particularly in Surat City.

(C)Sample size:-

For the purpose of proper survey, there is need of perfect

research instruments to find out sample size for more accurateresult about buying behavior of bike. The sample size is 100respondents.

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Statically Formula for Sample Size is:-

n=p*q (z/e) 2

Were,

n=Sample Size

p=0.80(probability of satisfied customer)

q=0.20(I-p)

z=1.96(The z (95%) score associated with the degree ofConfidence)

e=0.05 (tolerable error)

n= (0.84)*(016)*(1.96/0.05)2

= (0.1344)*(1536.64)

=206.52

Sample Size n=206.52

Here, from calculation n=206.52 is found but for the simplicity of

the study n=206.52have taken.

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(D)Sampling Method:-

A Stratified random sample is one where the population isdivided in to mutually exhaustive strata or sub-group and then asimple random is selected within each of strata on age groups,occupation etc. It may be noted that stratification does not meansabsence of randomness. I use a simple random sampling method.

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1. AGE WISE CLASSIFICTION

Age (in year) No. of respondents Percentage (%)

18-20 30 3021-25 37 3726-30 15 1531-35 06 0636-40 07 07

41& above 05 05Total 100 100

Age wise Classification

30, 30%

37, 37%

15, 15%

6, 6%

7, 7% 5, 5%

18-20

21-25

26-30

31-35

36-40

41& ab

(Sources: Questionnaire-personal Detail)

Comment:-Above Graph shows are 30% of respondent in age group

of 18-20, 37%of respondent in age group of 21-25, 15% ofrespondent in age group of 26-30, 7% and 5% respondent are comein 36-40 and 41&above.

2. OCCUPATION WISE CLASSIFICATION

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Occupation Wise Classification

0

20

40

60

80

100

cemen

tudent

sine

ss

ession

Oth

ers

Occupation

No.ofRespondents

No. of

Perce

(Sources: Questionnaire-personal detail)

Comment:-Above Chart Shows that 47 respondent are Servicemen out

of 100 and 30 are the students. 12 respondents are businessman.

3. INCOME WISE CLASSIFICATION

Occupation No. of respondents Percentage (%)

Servicemen 47 47Student 30 30Business 12 12

Profession 08 08Others 03 03Total 100 100

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Income Wise Classification

54, 54%

25, 25%

11, 11%

7, 7% 3, 3%

5000

5000-10,0

10,000-15

15,000-20

20,000 Ab

(Sources: - Questionnaire Personal Detail)

Comment:-Above graph shows that 54% of respondents are income

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4. SOURCES OF FINANCE

Sources of Finance No. of respondents Percentage (%)By cash 45 45By Loan 55 55

Total 100 100

45 45

55 55

10

20

30

40

50

60

No. of

respo

Perce

(Sources: - QuestionnaireQue.8)

Comment:-Above Graph shows that 55 people purchase Hero

Honda Bike For by Loan and 45 people purchase Hero Honda Bikefrom Cash.

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5. ANALYSIS OF PREFERING AUTO MOBILE

No. of respondents

Shivani

20%

Dhru

17%Siddhi

11%

Other

52%

(Sources: - Questionnaire Que.7)

Comment:-

Above Chart shows that out of 100, 52 % respondentsprefer other Automobile to purchase bike. 20 % respondents prefershivani Automobile to purchase bike.

6. FROM WHICH SOURCE YOU PURCHSEBIKE?

Auto Mobiles No. of respondents Percentage (%)

Shivani 20 20Dhru 17 17

Siddhi 11 11Other 52 52Total 100 100

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No. of respondents

News Paper, 12

Friends, 26

Others, 48

T.V.Adverti

nt, 14

(Sources: - Questionnaire Que.3)

Comment:-Above graph shows that 48 % respondents are come to

know from the other. Then 26 % respondents are come to know

from the friends. 14 % & 12 % respondents are come to knowfrom the T.V.Advertisement & news paper.7 AGE V/S USAGE OF COMPANIES MOTORCYCLE

Age (inyear)

HeroHonda

Bajaj TVS Yamaha Honda Total

Sources No. of respondents Percentage (%)News Paper 12 12

T.V.Advertisement 14 14

Friends 26 26Others 48 48Total 100 100

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18-20 15 05 03 02 05 3021-25 23 06 03 03 02 3726-30 09 02 01 03 00 1531-35 02 00 01 01 02 0636-40 01 2 02 01 01 07

41& above 01 01 00 02 01 05Total 51 16 10 12 11 100

Age V/S Of Companies Motorcycles

5

10

15

20

25

No.

OfRespondents

18-20

21-25

26-30

31-35

36-40

41& ab

(Sources: - Questionnaire personal detail)

Comment: -Above Charts shows that 51 respondents are use Hero

Honda Companys Motorcycle. And 16 respondents are usingBajaj bikes.4. Who is decision maker for purchasing bike in your

family?

Sources No. of respondents Percentage (%)Father 46 46Self 42 42

Mother 10 10

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Others 02 02Total 100 100

Percentage (%)

46

42

10

2

46

42

10

20

10

20

30

40

50

Decision maker for purchasing bike

No.

Perc

(Sources: - Questionnaire personal detail & Que-4)

Comment:-

Above Graph shows that 46 % respondents take decisionby father for purchasing bike. And 42 % respondents are takedecision by self for purchasing bike.

5. WHAT FEATURES YOU CONSIDERSWHEN YOU PURCHASE BIKE PLEASE GIVES

THE RANK.

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Attributes WeightagePrice 426

Less maintenance 358Style 355

Durability 335Mileage 381

Easy Driving 367Brand Reputation 362

Color 406

Weightage 6 5 4 3 2 1Attributes Excellent Very

GoodGood Averag

ePoor Very

PoorTotal Total

score

Price 30 20 18 16 10 06 100 426Lessmaintenance

18 11 17 30 13 11 100 358

Style 21 18 19 10 11 21 100 355Durability 10 17 16 24 21 12 100 335Mileage 24 19 14 17 09 17 100 381

Easy Driving 20 12 21 23 10 14 100 367Brand

Reputation

17 19 14 21 17 12 100 362

Color 28 19 18 13 10 12 100 406Pick up 19 22 15 20 14 10 100 382Total 187 157 152 174 115 115 900 3370

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Pick up 382Total 3370

Feature of purchasing Bike

12%

11%

11%

10%

11%

11%

11%

12%

11% Price

Less

Style

Durab

Milea

Easy

Brand

Color

Pick u


Comment:-

Above chart show that more no of respondents are givemore weightage to the price.

6. RATE THE FOLLOWING ATTRIBUTES OFSHOW ROOM

Attributes Excellent VeryGood

Good Average Poor Total

Available 30 24 18 16 12 100After Service 16 35 24 15 10 100KnowledgeOf Sales man

20 21 23 20 16 100

Service 25 18 27 19 11 100

Infrastructure 12 29 20 17 22 100Total 103 127 112 87 71 500

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Attribute of show room

30

16 2025

12

24

3521

18

29

18 24

2327

20

16 15

2019

17

12 10 16 11

22

0

10

20

30

40

50

60

70

8090

100

noofrespondents

Po

Av

Go

Ve

Ex


Comment:-

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Above chart shows that 30 respondents out of 100 areavailable who give Weight age on the excellent and second 35respondents out of 100 are after service who gives Weight age on

the Very Good, 23 respondents are Knowledge of salesman whogive Weight age on the good, 27 respondents are service who giveWeight age on the good, 29 respondents are Infrastructure whogives Weight age on the Very Good.

9. RATE THE FOLLOWING SCHEMES THATATTRACT YOU MOST.



FestivalOffer

43 21 12 14 10 100

ExchangeOffer

15 31 29 12 13 100

Special Gift 20 19 30 20 11 100

CashDiscount 11 21 19 34 15 100AnniversaryOffer

14 13 12 20 41 100

Total 103 105 102 100 90 500

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Festival Offer

Exchange O ffer

Spe cial G ift

Cash D iscount

Anniversary Offer

Poo

Ave

Goo

Very

Exce


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Comment:-

Above graph shows that in festival offer 43 respondents

out of 100 are give a excellent, then in exchange offer 31respondents out of 100 are give a very good rank, in special gift 30respondents are give a good rank, in cash discount 34 respondentsare give a average rank

10. RATE THE FOLLOWING FEATURE YOUHAVE PURCHASE HERO HONDA BIKE



Mileage 31 26 15 18 10 100Available 14 25 32 16 13 100

Price 16 22 42 11 09 100After Service 20 31 25 14 10 100

Pick up 21 36 17 15 11 100Style 18 25 15 26 16 100

Color 20 24 26 10 20 100Average 27 24 20 15 14 100

Total 167 213 192 125 103 800

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31

14

16

20

21

18

20

27

26

25

22

31

36

25

24

24

15

32

42

25

17

15

26

20

18

16

11

26

10

13

9

10

11

16

20

1415

10

15

14

Mileage

Available

Price

Afte r S e rvice

Pick up

Style

Color

Average

Exc

Very

G oo

Ave

Poo


Comment:-

Above graph show that respondents give more weightageto the price then after they give more weightage to the mileage

before purchasing motorcycle.

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CHAPTER: 6

TESTING OF HYPOTHESIS

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TESTING OF HYPOTHESIS

A hypothesis is a proposition, which the researcher wants toverify. It is tall test and my null hypotheses are,

H0: P = 0.40H1: P 0.40

With reference to favorable market of Hero Honda Bike.

Now to verify this hypothesis I have taken significantlevel of1 %. It means in the long run risk of making the wrong decision isI out of every 100.

Since the sample size is more than 30 the use of Z test is

most applicable.

Now,P = Probability of Hero Honda is given best by consumer.Q = Probability of other company bike is given best by consumer.X = Hero Honda bike is purchased by consumer.

N = Total no. of Respondents.

P = x/n=51/100=0.51

q =1-p i.e. 0.49

Z calculation = p q

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______________

PQ_______

100= 0.51- 0.40

____________________

0.49*0.4________

100

= 0.11________________

0.00196

= 0.11_______

0.04427

= 2.48

= 2.48 < 2.56

So, How may accepted at 1 % level of significance. It may be

concluded that 40 % of consumer go for other company bike and60 % go for Hero Honda bike.

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CHAPTER: 7

FINDINGS

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Findings

The study shows that 51 respondents are using Hero Honda. The current trend is that respondents give maximum no of point

to price and mileage. The study show that 48 respondents are come to know from

others and 26 respondents are come to know from friendsabout Hero Honda bike. The study shows that 55 respondents are purchase Hero Honda

bike by Loan and 45 respondents are purchase Hero Honda bikeby cash.

The study shows that 31 respondents are give point to mileage. The study shows that more no. of respondents gives more

weightage to price. The more no. of serviceman, Students,

Businessmen, and others give more weightage to the price whenProfessionals give more weightage to the mileage. The study shows that 46 respondents are father take a decision

to purchase bike And 42 respondents are self take a decision topurchase bike.

The study shows that 30 respondents are give rank to availablein show rooms and 35 respondents are give rank to after service.

The study shows that 43 respondents are giving excellent tofestival offer and 41 respondents are give poor rank to theanniversary offer.

The study shows that 45 respondents are purchase Hero Hondabike whose salary is below 5000 income.

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SUGGESTIONS

1. Hero Honda should introduce a low price moped

2. For the promotion, company show make road-show that will

3. Increase the sales. The company should give moreconcentrate on the advertisement.

4. Hero Honda Company should implement a new strategy toreduce the competition and lead into the bike market.

5. As people expect more mileage per kilometer, companyshould increase the mileage of the hero Honda bike.

6. Hero Honda should make a sports bike like to KawasakiSuzuki Hyabusa bikes which can run with maximum speeds.

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SWOTAnalysis

OFHERO

HONDA

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SWOT AnalysisSWOT Analysis

Strengths

Ability to understand customers 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

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OpportunitiesOpportunities

Global expansion into the Caribbean and CentralGlobal expansion into the Caribbean and CentralAmericaAmerica

Expansion of target market (include women)Expansion of target market (include women)

Become Indias leader in the scooter marketBecome Indias leader in the scooter market

ThreatsThreats

Honda Motorcycles and Scooters India can takeHonda Motorcycles and Scooters India can take

away market share and cause joint venture to goaway market share and cause joint venture to gosoursour

Bajaj Motors is a strong competitorBajaj Motors is a strong competitor

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CHAPTRE: 8REFERENCE MATERIAL

BIBLOGRAPHY

APPENDICES

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BIBLIOGRAPHY

Marketing research, G.C.Beri, Third Edition, Tata McGrawHill Publishing Company Limited, New Delhi, 2000

Marketing management, Philip Kotler, Twelth (Millennium)

edition, Prentice-Hall of India Private Limited, New Delhi, 2003

www.herohonda.com

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APPENDICES

QUESTIONNAIRE

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A STUDY ON CONSUMER BUYING BEHAVIOURAT TIME TO PURCHASE HERO HONDA BIKE.

1 Do you have own bike?(a) Yes [ ]. (b) No [ ]

If yes than,

2 Which company bike do you have at present?

Company ____________________

3 Whom do you refer to purchasing bike?

(A) News paper [ ] (C) TV advertisement [ ](B) Friends [ ] (D) others [ ]

4 Who is decision maker for purchasing bike in your family?

(A) Father [ ] (B) Mother [ ](B) Self [ ] (D) other [ ]

5 How you purchase bike?

(A) By cash [ ] (B) By Loan [ ]

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6 What features you considers when you purchase bikeplease give the rank.

attributes excellent Verygood

good Average Poor Verypoor

priceLess maintenanceStyleDurabilityMileageEasy driving

Brand reputationColor

7 Rate the following attribute of show room

Attributes 1 2 3 4 5

Available

After sales

Services

infrastructure

8 From where are you purchasing___________?

(A) Shivani Auto [ ] (C) Shiddi Auto [ ](B) Dhruv Auto [ ] (D) others [ ]

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9 Rate the following schemes that attract you most.

attributes 1 2 3 4 5SpecialofferExchangeofferSpecialgiftCashdiscount

10 Rate the following feature you have purchase hero HondaBike.

Attribute 1 2 3 4 5MileageAvailablePriceAfter service

Pick up

11 give your suggestion.

_________________________________________________________________________________________________________________________________________________________

CUSTOMER PERSONAL INFORMATION:-

A. Name: - ___________________________________________

B. Address:-___________________________________________

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______________________________________________________________________________________

C. phone no:-__________________________________________

D. Age (in year):-

18 to 20 [ ] 21 to 25 [ ]26 to 30 [ ] 31 to 35 [ ]36 to 40 [ ] 41 & above [ ]

E. Occupation:-

Services [ ] Businessman [ ]Students [ ] Professional [ ]Others [ ]

F. monthly income:-

5000 [ ] 5000-10,000 [ ]10,000-15,000 [ ] 15,000-20,000 [ ]20,000 Above [ ]

Sing.___________________

Date.___________________

Hero Honda Bike

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