A

Final Project Report

On

“Analysis of the consumer’s buying Perception towards

Purchasing a House or Property”

Submitted for the partial fulfillment of the requirement for the award

Of

Master of Business Administration UNDER THE GUIDANCE OF SUBMITTED BY

Mr. Arun Kumar Singh Girish Kumar Sharma

Assistant Manager Roll No. 1015170016

Jaypee Greens, Noida MBA-3rd SEM

GLOBAL INSTITUTE OF INFORMATION TECHNOLOGY

32-A, Knowledge Park-I

Greater Noida-201308 (NCR)

1

DECLARATION

I hereby declare that the project report titled “Analysis of the

consumer’s buying perception towards purchasing house or

Property” submitted for the master of Business Administration is

my original work and the project report has not formed the basis

for award of any degree, diploma, associate ship or other similar

titles.

Date: Submitted by:

Place: Sec-128, Noida Girish Kumar Sharma

2

GLOBAL INSTITUTE OF INFORMATION TECHNOLOGY

32-A, Knowledge Park-I

Greater Noida-201308 (NCR)

This is to certify that Girish Kumar Sharma has worked on the project entitled

“Analysis of the consumer’s buying behavior perception towards when

purchasing a House or Property” for the partial fulfillment of the requirements of

MBA (batch 2010-12) for period of 42 days. This bonafied work has been done by

him under our supervision.

Signature of the guide

3

ACKNOWLEDGEMENT

I take this opportunity to express my sense of gratitude to all those who helped me in

completing this project. The successful task would be incomplete without the mention of the

people whose constant guidance and encouragement crown all efforts with success.

I would like to express my sincere gratitude to Mr. Arun Kumar Singh (Assistant Manager)

for giving me the opportunity to work and learn with JAYPEE GROUP. I would also like to

thank Mr. Manoj Gaur (Executive Chairman & CEO)) who extended to me all the support and

cooperation I required during working in the field in various areas from time to time.

The individual and personal efforts of everyone concerned were memorable and I am once

again sincerely thankful to the whole team of JAYPEE GROUP and IPEC for their cooperation

and providing me the required information and resources and helping me throughout for the

successful completion of this project.

Girish Kumar Sharma

MBA 3rd SEM

Roll No. 1015170016

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TABLE OF CONTENTS

1. Introduction………………………………………………………………………...

2. Company Profile…………………………………………………………………...

History of the Organization

3. About Jaypee Group………………………………………………….....................

The Role of Jaypee Group

Jaypee Infrastructure Limited

Jaypee Greens

4. Real Estate Industry in India………………………………………….....................

5. A View of NCR Region……………………………………………………………

6. Research Design……………………………………………………………………

Research Problem

Research Objective

Sample Size

Sample Techniques

Data Collection

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7. Data Analysis………………………………………………………………………

8. Data Interpretation…………………………………………………………………

9. SWOT Analysis…………………………………....................................................

10. Recommendations………………………………………………………………...

11. Conclusions………………………………………………………….....................

12. Key-Learning……………………………………………………..........................

13. Annexure…………………………………………………………….....................

14. References ………………………………………………………………………..

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EXECUTIVE SUMMARY

Jaypee Group is a promising well diversified infrastructural conglomerate in India expanding

rapidly to an increasing demand from market on differentiated areas including:

Engineering and Construction

Cement

Power

Hospitality

Real Estate

Education

Expressways and Highways

Sports

The objective of this project is to understand the investor’s perception about their Real Estate

investments in the cities of NCR and the role of the third party in Real Estate sector. The study

is a research based project upon primary data collected with the help of questionnaires.

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The report provides insight to the various factors considered by the investors while making a

Real Estate investment in the cities of NCR. The study also aims to the determine the possible

causes for the people to shift from their current location to one of the aforementioned cities.

The reports suggest to the various plausible factors for the investors to invest into Real Estate in

the NCR. The study aims to maximize the possibilities of increasing such investments by

analyzing the collected data. The project incorporates various analytic tools and techniques.

The research reveals that one of the most important First-Pull factors for the investors is the

location of the site. The most basic factor that affects the choice of a particular housing complex

for an individual investor is its price range. The basic amenities such as Water and Power

backup are implied to be existent by the investors while maintenance and safety/security along

with quality of construction play a major role in the investment process.

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Chapter-1

Introduction

General background

Jaiprakash Associates Limited (JAL) is a leading industrial house for civil construction and

hydropower projects. M/s JAL has entered into cement sector during 1986 for diversification.

Presently, the group owns two cement plants having annual production of 3.5 and 2.5 million

tonnes, which are located in Rewa district, M.P. The limestone from proposed

ChormariDegarhat limestone mine (102.983 Ha) falls in village hormari-Degarhat, Tehsil

Rampur-Baghelan in District Satna of Madhya Pradesh. In first five years of mining 3 to 5 lakh

tonne per year will be the production from this ML area, which will cater part of requirement of

Jaypee Rewa plant. The ultimate production of 0.5 MTPA is envisaged from this mine. The

mining lease has been granted for 30 years from the date of mining lease agreement.

Location and communication

The Mining lease area is located 20 km NW of Rewa town and 40 km NE of Satna town. The

area is 5 km NW of Jaypee Rewa plant. The study area falls in survey of India top sheet No. 63

H/2 and is bounded between Latitude 24° 34' 47" - 24° 35' 39" N and Longitude 81° 07' 09" -

81° 08' 36".

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The M.L area may be approached through metal topped road from Satna via Janardanpur-

Karmau-Sajjanpur (45 km) or from J.P. Nagar via Garhwa (6 km) or Sagauni-Chormari (10 km)

by fair weather Road. The nearest Railway Station “Turki Road” is situated on Satna-Rewa

Broad gauge line at a distance of 10 km from the ML area. The Rewa Railway Station is

situated at a distance of 20 km from the ML area and Satna railway station is situated at 45 km

on Allahabad – Katni/Mumbai main line of central railway. The Company’s siding at Turki

Railway Station is only 5 km away from J.P. Nagar. Allahabad and Khajuraho are the two main

nearest airports situated at a distance of 130 km and 200 km respectively from the mining lease

area.

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Chapter-2

COMPANY PROFILE

The Jaypee Group was founded by Mr. Jaiprakash Gaur. Jaypee Group is five decade old

conglomerate based in Noida, India, involved in various industries that include Engineering,

construction , Cement, Power, Hospitality, Real Estate, Expressways, Highways, Education and

Social Commitment. Shri Jaiprakash Gaur, Founder Chairman of Jaiprakash Associates

Limited after acquiring a Diploma in Civil Engineering in 1950 from the University of Rookie

(now Indian Institute of Technology Rookie), had a stint with Govt. of U.P. and branched off on

his own, to start as a civil contractor in 1958, group is the 3rd largest cement producer in the

country. The groups cement facilities are located today all over India in 10 states, with 18 plants

having an aggregate cement production capacity of 24 Million Tonnes and same is poised to

become 36 Million Tonnes before October 2011.

(a) History of the Organization

With a single minded focus in mind, to achieve pioneering myriads of feat in civil

engineering Shri. Jaiprakash Gaur, Founder Chairman of Jaiprakash Associates Limited after

acquiring a Diploma in Civil Engineering in 1950 from the University of Roorkee, had a

11

stint with Govt. of U.P. and with steadfast determination to contribute in nation building,

branched off on his own, to start as a civil contractor in 1958, group is the 3rd largest cement

producer in the country. The groups cement facilities are located in the Satna Cluster (M.P.),

which has one of the highest cement production growth rates in India

Milestones

Year Events

1979 Jaiprakash Associates Pvt Ltd formed and sets foot in Iraq.

1981 Commenced Hotel Business with first hotel in Delhi – Siddharth

1982 Hotel Vasant Continental was set up

1986 Commissioning of 1st unit of 1 MTPA Jaypee Rewa Plant (JRP) in District Rewa,

MP

Formation of Jaiprakash Industries Ltd (JIL) by amalgamation of Jaiprakash

Associates Pvt Ltd with Jaypee Rewa Cement Ltd

Public Issue of JIL. 2,25,00,000 shares issued at a price of Rs. 10/-

1987 JIL listed on Bombay Stock Exchange

1991 Commissioning of 2nd unit of 1.5 MTPA Jaypee Rewa Plant

1992 Jaiprakash Hydro Power Ltd established to operate 300 MW Baspa II HE Project

Jaiprakash Power Ventures Ltd established to operate 400 MW Vishnuprayag HE

project

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1993 JIL signs MOU to develop & operate 1000 MW Karcham Wangtoo HE Project

1995 Bela Cement Ltd incorporated to establish 3rd Cement Plant at Bela

Hotel Jaypee Residency Manor set up

1996 Commissioning of the 3rd cement plant 1.7 MTPA Jaypee Bela Plant in District

Rewa, MP

1999 Hotel Jaypee Palace, Agra set up

2000 Jaypee Greens Ltd – 458 acre golf centric real estate company comes into being

2001 Jaypee Institute of Information Technology (deemed University since Nov 1 2004)

set up at NOIDA

All 3 cement plants were brought under one roof by hiving off Cement Business by

JIL under Jaypee Cement Ltd

2002 Jaypee Karcham Hydro Corporation Ltd established to operate 1000 MW Karcham

Wangtoo HE Project

Jaypee University of Information Technology (State university), Waknaghat set up

2003 1st Captive Thermal Power Plant of 25 MW commissioned at JRP

Formation of Jaiprakash Associates Ltd (JAL) by merging JIL with Jaypee Cement

Ltd

Jaypee Institute of Engineering & Technology, Guna Set up

Awarded the NOIDA-Agra Expressway project on BOOT basis

300 MW Baspa-II commissioned and begins power generation

2004 Commissioning of 2nd Captive Power Plant of 25 MW at Jaypee Bela Plant

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2005 Shares of JHPL listed on BSE/NSE. First hydropower company to be listed in the

country

2006 Setting up of Madhya Pradesh Jaypee Minerals Corporation Ltd (MPJMCL) in JV

with MP State Mineral Development Corporation Ltd for Coal Mining at Amelia

Coal Block in Sidhi district of MP

Setting up of 1320 MW Nigrie Thermal project in Singrauli district in the State of

Madhya Pradesh is expected to comprise two 660 MW units, each deploying

supercritical technology and is expected to be commissioned in 2013.

Commissioning of 3rd Captive Power Plant of 38.5 MW at Jaypee Bela Plant

Acquisition of Cement Plants & Assets of UP State cement corporation Ltd (in

Liquidation) of 2.5 MTPA capacity

Acquisition of Gujarat Anjan Cement Ltd for setting up a green field cement plant

of 1.2 MTPA capacity in Bhuj, District Kutch Gujarat

400 MW Vishnuprayag Hydropower Station of JPVL, commissioned and begins

power generation

MOU signed with Govt of Arunachal Pradesh for setting up of 2700 MW HE

project on Siang river and 500 MW HE project on Syon river on BOOT basis

2007 Signing of a joint venture agreement with Steel Authority of India Ltd for setting

up a 2.0 MTPA slag based cement plant at Bhilai.

Himalayan Expressway Ltd incorporated for implementation of 27.14 km Zirakpur

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Parwanoo Expressway awarded by NHAI

Mandla North Coal Block in District Chindwara allotted to the company for

captive requirement of cement business

JAL in consortium with Prize Petroleum company Ltd secures the south Rewa

block for Oil & Gas exploration under the NELP VI round

JHPL signs MOU with PGCIL for formation of a Joint Venture company to lay a

230 km (approx.) long transmission system to evacuate power from the 1000 MW

Karcham-Wangtoo Hydro Electric Project in Himachal Pradesh.

Jaypee Greens launched ‘Wish Town’ a historic residential township in India.

Slated to be the India’s largest township development in over 1162 acres.

Signed an agreement with the Formula One Administration (FOA) to host the very

first F1 Race in India in the year 2011.

2008 Jaypee Ganga Infrastructure Corporation Ltd incorporated for implementation of

1047 Km long 8 lane Access controlled expressway between Greater Noida and

Ballia in UP

Chunar and Dalla cement plants (UPPCL) in UP commissioned

1.5 MTPA Grinding unit at Panipat, Haryana, commissioned

Bokaro Jaypee Cement Ltd incorporated for implementation of 2.1 MTPA slag

based cement plant at Bokaro, Jharkand in JV with SAIL

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2 MTPA cement capacity plant at Sidhi (M.P.) and 1.20 MTPA cement plant at

Sewagram (Gujarat) has also been successfully commissioned.

Acquired Bina Power Supply Company Limited (BPSCL) from the Aditya Birla

Group to set up a 1250 MW coal fired Thermal Power Plant at Bina, Madhya

Pradesh.

2009 Amalgamation of four Group Companies, namely, Jaypee Cement Limited, Gujarat

Anjan Cement Limited, Jaypee Hotels Limited and Jaiprakash Enterprises Limited

with flagship company JAL.

Acquired Sangam Power Generation Company Ltd. for setting up

3 x 660 MW Karchana Thermal Power Project (Phase – I : 2x660 MW) &

Prayagraj Power Generation Company Ltd. for 5 x 660 MW Bara Thermal Power

project (Phase – I : 3x660 MW) from UP Power Corporation Ltd. on BOO basis.

Signing of MOU for setting up a 2.0 million tonnes per annum capacity cement

plant in joint venture with Assam Mineral Development Corporation Limited

(AMDC).

Group is setting up a Jaypee Hitech Casting Centre with capacity of 

18,000 TPA at Rewa, M.P.

Jaiprakash Associates’ 2.4 million tonnes per annum capacity cement plant in

Sewagram, Kutch, Gujarat was dedicated to the nation.

Amalgamation of Jaiprakash Power Ventures Ltd. with Jaiprakash Hydro-Power

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Ltd.; the name of the Company i.e. Jaiprakash Hydro-Power Ltd. changed to

Jaiprakash Power Ventures Ltd.

2010 Commissioning of 2.00 MnTPA Jaypee Himachal Cement Grinding and Blending

Plant, Bagheri (H.P.).

Commissioning of 1.20 MnTPA Jaypee Wanakbori Cement Grinding Unit,

Wanakbori, Gujarat.

Commissioning of 2.2 MnTPA Bhilai Jaypee Cement Ltd., Satna (Madhya

Pradesh) & Bhilai (Chattisgarh).

1.2 million tonnes Jaypee Roorkee Cement Grinding Unit (JRCGU) at Roorkee,

Uttarakhand. 

Jaypee Infratech Limited listed on NSE/BSE.

Jaypee Rewa Cement Plant and Jaypee Bela Cement Plant in Madhya Pradesh of

the Group have been awarded with renowned and most prestigious “SWORD OF

HONOUR” award by the British Safety Council, UK. This is a well acclaimed and

celebrated international award in the field of Health and Safety management

system. 3.00 MnTPA Rewa and 2.40 MnTPA Bela are the only cement plants to be

bestowed with this honour in India.

2011 Amalgamation of Jaypee Karcham Hydro Corporation Limited (JKHCL) and Bina

Power Supply Company Limited (BPSCL) with Jaiprakash Power Ventures

Limited (JPVL) with effect from April 1, 2010, being the Appointed Date

Jaypee Group

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Type :- Private

Industry:- Conglomerate

Founded:- 1957

Founder(s):- Jaiprakash Gaur

Headquarters:- Noida, India

Key people:- Jaiprakash Gaur (Chairman)

Products:- Engineering

Construction

Cement

Power

Hospitality

Real Estate

Expressways and Highways

Education

Sports

Revenue:- Rs.11,671 crore (US$2.6 billion)(2009-10)

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Net income:- Rs.2,381 crore (US$530.96 million)(2009-10)

Employees:- Over 20,000

Vision of the Company

“As a group, we are committed to strategic business development in infrastructure,

as the key to nation building in the 21st century. We aim to achieve perfection in

everything we undertake with a commitment to excel. It is the determination to

transform every challenge into opportunity; to size every opportunity to ensure

growth and to grow with a human face.”

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Mission of the Company

“Our solitary Mission is to achieve Excellence in every sector that we in – be it

Engineering & Construction, Cement, Real Estate or Consultancy, Education, Sports.

To augment our core competencies’ and adopt the most comprehensive modern

technology to overtake the obstacles in our path of achievement. To obtain

sustainable development and simultaneously enhancing the shareholders value and

fulfilling our obligations towards building a better India”

Values

Happiness is the harmony of body, mind and spirit. Happiness is man’s

relation with his environment. The happiest is he who finds inner peace and

who promotes the happiness of the others.

Hope enables us to ensure the hardships of the life with courage and

contentment. It emboldens us to encounter difficulties and overcome

obstacles. Hope sustains and stimulates, comforts and cheers, encourages and

inspires us.

Character is the foundation stone upon which one must build to win respect.

Fundamental requirement for success is humanity.

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The best leaders lead by demonstrating how it is done.

Quality Policy of the company

Initially, the Jaypee Group started as civil engineering contractors. Jaiprakash Associates Ltd.,

the flagship company of the Group, is a leader in Construction of river valley and hydropower

projects on turnkey basis for more than 4 decades. The company is currently executing various

projects in hydropower / irrigation / other infrastructure fields and has had the distinction of

executing simultaneously 13 hydropower projects spread over 6 states and the neighbouring

country Bhutan for generating 10,290 MW of power.

Achievements – JPA last 5 years

The 3rd largest cement company in India

One of the largest land-bank holders in India

A power capacity holder of repute with a coal mine

An Engineering and Construction company without dependence on external orders

A road asset holder

An executor of a Formula 1 project.

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Chapter-3

About Jaypee Group

(a) The Role of Jaypee Groups

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The Jaypee Group, with an annual turnover of over 6500 Crores (US$ 1.5b), is an infrastructure

conglomerate with a strong belief in the country’s huge potential. The Group’s business

interests are in Engineering & Construction, Power, Cement, Expressways, Real Estate,

Hospitality and Education (not for profit). The group companies have been well entrenched in

infrastructure projects for over four decades. Group’s indomitable spirit and uncompromising

execution capability has made it complete some of the largest projects in India as on date.

Empowered with self belief & determination to excel and make the organization contribute in

Nation building through entrepreneurial daring, it focuses on all round growth.

The group’s commitment is to grow with a human face.

(b) GROWTH AND DEVELOPMENT OF THE ORGANIZATION

Transforming challenges into opportunities has been the hallmark of the Jaypee Group, ever

since its inception four decades ago. The group is a diversified infrastructure conglomerate and

has a formidable presence in Engineering & Construction along with interests in the power,

cement and hospitality. The infrastructure conglomerate has also expanded into real estate &

expressways.

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(i) ENGINEERING & CONSTRUCTION

The Engineering and Construction wing of the group is an acknowledged leader in the

construction of multi-purpose river valley and hydropower projects. It has had the unique

distinction of executing simultaneously 13 hydropower projects spread over 6 states and the

neighboring country Bhutan for generating 10,290 MW of power. The group has been assigned

“CR1” grade by ICRA Ltd indicating very “Strong Contract Execution Capacity with best

prospects of timely completion of projects without cost overruns etc. for projects with average

value of Rs.2500 crores.” It is the only group in India, which pre-qualifies on its own for the

bidding of various projects that are awarded in the country. A leader in engineering &

construction of hydropower projects in India, the Company has the largest market share in the.

Indian hydropower, E&C and EPC sector having participated in 54% of hydropower projects

developed in 10th 5-Year Plan in different capacities.

24

The company also has the distinction of executing three out of five hydropower projects

contracted on an EPC basis in the country till March 2007. Two of these, 300 MW Chamera - II

and 520 MW Omkareshwar, have been completed ahead of schedule. The 900 MW Baglihar

(Stage-I and II) hydroelectric project in Jammu & Kashmir, in the challenging environment of

the State with 22 million cubic meters of concrete, has been the largest EPC project executed in

the country in hydropower sector, so far. The key non-EPC projects completed/under execution

across India are .

1450 MW Sardar Sarovar Project, the largest water resource project in India,

1000 MW Tehri Dam, Asia's highest rockfill dam.,

1000 MW Indira Sagar Power House, second largest surface power house in the country.

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1500 MW Nathpa Jhakri Power House, the largest underground surface power house in

the country.

The in house Design and Consultancy company, Jaypee Ventures Pvt. Ltd. (JVPL), gives JAL a

competitive edge over its rivals. The design and engineering arm has been awarded “CT1”

grade by ICRA with CIDC (The Construction Industry Development Council). This is the

highest rating assigned to consultants in the field of engineering.

26

(ii)CEMENT

Jaypee group is the 3rd largest cement producer in the country. It produces Ordinary Portland

Cement and Pozzolana Portland Cement under the brand names “Buland” and “Buniyad”. Its

Cement Division currently operates modern, computerized process control cement plants with

an aggregate capacity of 9.0 MTPA. The company is in the midst of capacity expansion of its

cement business in Northern, Southern, Central, Eastern and Western parts of the country and is

slated to be a 25 MTPA cement producer by the year 2010 and 30.5 MTPA by 2011 with

Captive Thermal Power Plants totaling 308MW.

Post expansion the Group will have 8 integrated cement plants supported by 308 MW of

Captive Thermal Power, 8 split location plants, 11 railway sidings and one jetty giving the

Group a pan India presence in cement sector.

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(iii) POWER

Jaypee Group, an integrated power player in the country after having established a strong

presence in the Hydro-Power Sector has initiated its entry into Thermal Power Generation,

Power Transmission and also forayed into Wind Power. The group with its operational projects

of 300 MW Baspa-II (Himachal Pradesh) and 400 MW Vishnuprayag (Uttarakhand) is India’s

largest Private sector Hydro-power producer. Besides this, 1000 MW Karcham Wangtoo

project (Himachal Pradesh) is under advanced stage of implementation. In addition to these,

with 2900 MW projects (2400 MW Lower Siang & 500 MW Hirong ) coming up in Arunachal

Pradesh and

720 MW (270 MW Umngot and 450 MW Kynshi Stage –II) in Meghalaya , the Group will

have total hydro-power generation capacity of over 5000 MW. The Group is also in the process

28

of implementing 2 x 660 MW pit head based Nigrie Thermal Power Plant in District Singrauli

of M.P. and is setting up through M/s Suzlon, 50 MW of Wind Power in two phases of 25 MW

each in Maharashtra. The Group is setting up Transmission System associated with 1000 MW

Karcham Wangtoo Hydro Electric Project. The Transmission Project will consist of a 230 km

long transmission line between Wangtoo in Himachal Pradesh and Abdullapur in Haryana.

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(iv) HOSPITALITY

The Group owns and operates 4 Five Star Hotels, two in New Delhi and one each in Agra and

Mussoorie with a total capacity of 643 rooms. Another state-of-the-art resort and SPA of 250

rooms is being set up in collaboration with SIX SENSES at Greater Noida.

30

(v) REAL ESTATE

The Group is a pioneer in the development of India’s first golf centric Real Estate. Jaypee

Greens - a world class fully integrated complex consists of an 18 hole Greg Norman Golf

Course. Stretching over 450 acres, it also includes residences, commercial spaces, corporate

park, entertainment and nature in abundance.

31

(vi) HIGHWAYS

The Group is constructing 165 km long 6 lane Yamuna Expressway project from Noida to Agra

and ribbon development on 6250 acres at five or more locations along the expressway for

commercial, industrial, institutional, residential and amusement purposes, will also be

undertaken as an integral part of the project. In addition to this, 1047 km long 8 lane Ganga

Expressway from Greater Noida to Ballia (Eastern Uttar Pradesh) will also be developed by the

Group which will be the largest private sector infrastructure project in India.

32

(vii) SOCIAL COMMITMENTS

The group has always believed in growth with a human face and to fulfill its obligations it has

set up Jaiprakash Sewa Sansthan (JSS), a ‘not-for- profit trust’ which primarily serves the

objectives of socio – economic development, reducing the pain and distress in society and

providing education at all levels of the learning curve with sixteen schools, two ITI’s and three

universities. For over 3 decades now Jaypee Group has supported the socio-economic

development of the local environment in which they operate and ensure that the economically

and educationally challenged strata of the work surroundings are also benefited from the

group’s growth by providing education, medical and other facilities for local development.

Apart from this sustaining the ecological balance is of paramount importance. Our ecological

management approach has led to efficient and optimum utilization of available resources,

minimization of waste. Our group has also taken green initiatives, afforestation drives,

resources conservation, water conservation, air quality control & noise pollution control and

created a “green oasis’’ amidst the limestone belt at our cement complex in Rewa. Because we

know, the environment is the prime essence of healthy life and healthy living as what we do

today will be reaped by the next generation

33

(viii) EDUCATION

“ Education is the most powerful weapon which can be used to change

the world”

- Nelson Mandela

At Jaypee we firmly believe that Education is the cornerstone to economic development and the

strength of 1 billion Indians can be channelized by education alone to build India into a

developed nation. With this prospective in mind we believe that quality education on an

affordable basis is the biggest service we can provide to our country.

The 21st century has brought to our doorstep the technology of tomorrow, which when

harnessed effectively can lead to economic growth and prosperity of all mankind. With this

thought in mind the visionary beacon of light Sh. Jaiprakash Gaur, the Founder Chairman, set

up 3 technical institutes of engineering and information technology, in order to prepare the

youth of today for the challenges of tomorrow. These technical institutes host the best of

faculty, students and educational infrastructure to ensure creation, generation, dissemination

and application of knowledge through an innovative teaching – learning process, to mould the

world leaders of tomorrow.

34

It is the belief of the Founder Chairman that imparting quality education is the best service that

an organization can provide to the society’. The group supports various educational initiatives at

all levels of the learning curve through Jaiprakash Sewa Sansthan (JSS) - a not-for-profit trust.

Today with 17 schools, 3 ITIs, 2 Polytechnics, and 3 Universities (JIIT, JUIT and JIET), THE

Jaypee Education System is touching the lives of over 25,000 students. The System plans to

take the vision of service to society through quality education to another plane by expanding its

infrastructure to provide education to approximately 100,000 students over the next 5-year

period.

35

(ix) Sports

The Group is well on its way to complete the construction of India’s premier motorsports

destination, which is expected to host India’s first ever F1 Grand Prix on 30th October, 2011. In

addition to F1, the track is also expected to host other top-level international motorsports events

from 2012 onwards.

36

(b) Jaypee Infrastructure Limited

Jaypee Infratech Limited (JIL) incorporated as a Special Purpose Vehicle for implementation of

165 km long 6-lane Access-Controlled Yamuna Expressway in the state of Uttar Pradesh

connecting Noida and Agra. The company shall also undertake the ribbon development on 6175

acres at five locations along the expressway for commercial, industrial, institutional, residential

and amusement purposes. 

The Jaypee Group is a diversified infrastructure conglomerate in India with interests in civil

engineering and construction, cement, power, real estate, expressways, hospitality, Golf courses

and education (not-for-profit).

37

Jaypee Infratech Limited (JIL) incorporated as a Special Purpose Vehicle for implementation of

165 km long 6-lane Access-Controlled Yamuna Expressway in the state of Uttar Pradesh

connecting Noida and Agra. The company shall also undertake the ribbon development on 6175

acres at five locations along the expressway for commercial, industrial, institutional, residential

and amusement purposes. 

The Jaypee Group is a diversified infrastructure conglomerate in India with interests in civil

engineering and construction, cement, power, real estate, expressways, hospitality, Golf courses

and education (not-for-profit).

38

(c) Jaypee Greens

Jaypee Group - Jaypee Group is a well-diversified infrastructural and industrial group with

a turnover of over Rs. 4000 crores (US Dollar 975 Million). Jaiprakash Associates Limited

(JAL) is the flagship company of the Group and an acknowledged leader in construction of

river valley and hydropower projects.

The company has a cement production capacity of over 7 million tonnes per annum in and

around Madhya Pradesh and is setting up a large integrated cement plant of 3 million tonnes

capacity in Himachal Pradesh. The Taj Express Project of the Group is undertaking

construction of a 160 km road between Noida and Agra including the development of land

along with the six lanes Express Way.

Step out of your home onto 1162 acres of cascading greenery. A 18-hole signature Graham

Cooke golf facility & 9-hole facilities along with numerous lakes & water bodies. Enjoy all the

luxuries of life with our modern world-class residences that range from low-rise & mid-rase

apartments to hi-rise skyscrapers. Indulge your senses in the infinite glory of nature with a

number of landscaped parks, thematic gardens, lush green open spaces with variety of flora &

funna.

39

Jaypee Green the real estate division of the Jaypee Group has been creating lifestyle

experiences from building premium golf-centric residences to building mega townships and self

sustained mega cities since its inception in the year 2000.

Jaypee Greens, Greater Noida is a maiden real estate project of the Jaypee Group and it has

undeniably established its position amongst the finest developers in Asia with having been

awarded the highest possible accolade in the international property arena. It is a premium 452-

acre golf-centric lifestyle real estate development situated in Greater Noida integrating homes

with golf course, landscaped emerald spaces, resort living and commercial developments. The

project is created to offer a lifestyle at par with world-class residential spaces.

40

India's first 'Wish Town' at Jaypee Greens, Noida has been developed as a diverse,

progressive, vital community spread over 1162 acres that combines sophisticated living with

pure natural surroundings. A picturesque community with numerous golf facilities, mixed with

world class residences, recreational areas, commercial and institution spaces. It offers excellent

education facilities, international standard health care facilities, recreational and entertainment

centers, various art and cultural galleries, museums, spiritual centers, hotels, multiple shopping

complexes, corporate offices, IT parks and public services. 

Jaypee Greens Sports City, the company is working with a vision to create one of the world's

premier sports destinations, in sync with the vision to craft India’s foremost sporting world with

top of the line infrastructure. Conceptualized as an integrated city, where one gets everything

that he dreams of in his neighborhood, it includes world-class sports venues with latest

facilities, a proposed calendar of international sporting events - providing a platform. Built on

2,500 acres of land within the sports development zone, Jaypee Sports City will feature a

magnificent long motor racing track- first time ever in the country, a of dedicated cricket

stadium with 100,000-seat capacity and other sports facilities.

41

The Jaypee Greens advantage

(i) Other projects in the area already developed residential project there are ATS

Village, Parsvnath Prestige, Eldeco Utopia, Omaxe’s premium project ‘The Forest’

Etc. Unitech Grand is also another premium project in the vicinity.

(ii) Developments in the Area - This is one of the most organized and planned

Developments happening in these new sectors of Noida. The Commercial sectors and

Institutional sectors are all coming up in a planned way around the area. Most of the

Educational institutes, super specialty world-class hospitals, Sports Complexes, 5-Star Hotels

and a large numbers of commercial/industrial units are being planned in the area.

(iii) Entry at best rates – The residential property rates in the Noida expressway area have

increased over 3 times in the last 4 years. The entry at the current rates is very lucrative And a

very good investment proposition and would fetch you very high returns. The Pace and plan of

development here is so fast and of the international standard, that Future living with these world

class infrastructures will be a phenomenal experience. Jaypee Greens has launched the high

end, premium specification apartments at only Rs6100 per sqft. Whereas their competitor

Unitech Grand is selling their apartments at Rs7750/- per sqft. The current prices being the first

rate of this project will give immediate investment returns.

42

Chapter-4

INDUSTRY ANALYSIS

(a) Real Estate Industry in India

JIL has the right to develop 6,175 acres of land with a 90-year lease, which is expected to

consist of 1,235 acre parcels, at each of five different locations along the Yamuna Expressway:

one location in Noida, two locations in District Gautam Budh Nagar (part of NCR) and one

location each in District Aligarh and District Agra. The real estate is presently marketed under

the “Jaypee Greens” brand and the Company has planned future real estate development under

this brand or one or more other brands,

Of the total 6,175 acres for real estate development, the Company has taken possession of

approximately 3,745 acres as of March 31, 2010, all of which is located in Noida, two other

land parcels in District Gautam Budh Nagar and in District Agra. Across our five land parcels

for real estate development, it is expected that approximately half of the land that is develop

will be sold for residential use, approximately one-third will be for commercial use and the

balance will be for institutional use and open space.

The Company commenced development of parcel at Noida and has sold or sub-leased over 349

acres from Noida land parcel, and plan to develop the remaining approximately 885 acres of

land. The master plan for the Jaypee Greens development in Noida calls for development of a

43

road network of over 20 kilometres, 126 MVA of captive power generation facilities as well as

sewage treatment plants with an aggregate capacity of 30,000 kilolitres per day. Over 70% of

the Jaypee Greens development in Noida is planned to be green area, including multiple golf

courses under development. The master plan also provides for the development of

approximately 40 educational facilities and a variety of retail shopping facilities.

Real Estate- A piece of land, including the air above it and the ground below it, and any

building, structures on it. Real estate is a legal term that encompasses land along with

improvements to the land, such as buildings, fences, wells and other site improvements that are

fixed in location. Real estate development is a multifaceted business, encompassing activities

that range from the renovation and re-lease of existing buildings to the purchase of raw land and

the sale of improved parcels to others. Developers are the coordinators of the activities,

converting ideas on paper into real property.

Real estate development is different from building. Developing is the keyword. Builders don’t

build themselves. Developers buy the land, finance the deal, and then have the best builders

build under bond at a fixed cost.

Developers buy land, finance real estate deals, build or have builders build projects, create,

imagine, control and orchestrate the process of development from the beginning to end.

Developers usually take the greatest risk in the creation or renovation of real estate—and

receive the greatest rewards.

44

Typically, developers purchase a tract of land, determine the marketing of the property, develop

the building program and design, obtain the necessary public approval and financing, build the

structure, and lease, manage, and ultimately sell it. Developers work with many different

counterparts along each step of this process, including architects, city planners, engineers,

surveyors, inspectors, contractors, leasing, agents and more.

The size of the real estate industry in India is estimated by FICCI, to be around US$ 12 billion.

This figure is growing at a pace of 30% for the last few years. Almost 80 % of real estate

developed in India, is residential space and the rest comprise office, shopping malls, hotels and

hospitals. This double-digit growth is mainly attributed to the off shoring business, including

high-end technology consulting, call centres and software programming houses which in 2003-

04, is estimated to have accounted for more than 10 million square feet of real estate

development. This is the ideal time to invest in the country as policy makers have begun to

emphasize on developing adequate infrastructure for the country. Real estate companies would

also do well to maximize their own performance and operational efficiency.

The future of the real estate sector in India is going to be guided by two important factors,

namely suitable amendments in the Foreign Direct Investment (FDI) guidelines in townships,

housing, built-up infrastructure and construction –development projects as well as abolition of

Service Tax on the construction industry especially the housing sector. Conversely, if the

abolition per se is not possible then drastic modifications in the existing Service Tax norms is

the need of the hour. This Sector is already overburdened with taxes; any further imposition of

taxes in any form would adversely affect the growth of this sector of the economy.

45

The importance of the Real Estate sector, as an engine of the nation’s growth, can be gauged

from the fact that it is the second largest employer next only to agriculture and its size is close

to US $ 12 billion and grows at about 30% per annum. Five per cent of the country’s GDP is

contributed by the housing sector. In the next three or four or five years this contribution to the

GDP is expected to rise to 6%. The Real Estate Industry has significant linkages with several

other sectors of the economy and over 250 associated industries. One Rupee invested in this

sector results in 78 paise being added to the GDP of the State. A unit increase in expenditure in

this sector has a multiplier effect and the capacity to generate income as high as five times. If

the economy grows at the rate of 10% the housing sector has the capacity to grow at 14% and

generate 3.2 million new jobs over a decade.

Furthermore, this sector has witnessed a spurt in demand not just in residential property but also

in commercial property. A fast growing area is the I.T. and I.T.-enabled services along with the

BPO boom. Estimates worked out show that 42 million sq. ft. of space will be required every

year till 2008, only in I.T. and I.T.-

Enabled services especially in the cities like Bangalore, Chennai, Hyderabad and Pune, which

is also now gradually shifting to North India. To achieve the much desired growth and

development in the Real Estate Segment, FICCI would like to submit the following 10 points

for consideration:

Infrastructure Status to Housing: Infrastructure status should be provided to housing

sector. This will enable easier access to low cost institutional funds as also allow the sector to

tap long term funds.

46

Real Estate Mutual Funds: The Government should consider setting up of Real Estate

Mutual Funds/ Investment Trusts to provide the much needed support to the cash starved

housing sector, similar to the structures adopted for Estate Mutual Funds/ Investment Trusts in

developed real estate markets such as, USA, Singapore. Hong Kong, etc. Real Estate Mutual

Funds/ Investment Trusts would be an efficient mode for providing equity financing as against

debt, which is currently the norm for financing real estate developments in India.

Stamp Duty: In some States the Stamp Duty is as high as 14- 15 % of the value of the

transaction. Astonishingly in the Indian context, not only are the rates high, but also the levy of

Stamp Duty is applicable in every subsequent transaction, be it the initial transfer purchase of

land or on further sale of the same land after development or any other succeeding transaction.

Opportunely some states have brought the Stamp Duty down to between 6-8 %, this should

ideally be further brought down to 2-3 % and made uniformly applicable across all states.

However, if the above suggestion is not acceptable then if stamp duty has already been paid on

one transaction, there should be a mechanism in the law, whereby there is a provision for

concession or a system of credit for any subsequent transactions. This would avoid the resultant

cascading effect of Stamp Duty, thereby reducing the cost of a property. The concept of credit

for taxes paid on subsequent transactions already exists in other statutes such as CENVAT,

VAT, Minimum Alternate Tax (MAT), etc.

Public Private Partnership: There is a need to evolve a regulatory framework that

encourages participation of the private sector in bringing technical and managerial expertise in

formulating and delivery of basic amenities like water, sanitation, sewerage, transport and

electricity.

47

Archaic Laws: Availability of land for housing projects has been constrained by a variety of

laws like the Rent Control Act and Urban Land Ceiling and Regulation Act, which must be

repealed in all the States. A necessary legal and policy framework has to be put in place to

restrict growth of slums and at the same time to re-develop the slums into hygienic and livable.

Foreclosure Laws: The existing foreclosure laws are cumbersome as well as time

consuming and make it practically impossible for Housing Finance Institutions (HFIs) to

repossess a dwelling unit financed. HFIs are reluctant to take risk and continue to land primarily

on salaried urban borrowers. Amendment of (National Housing Board) NHB Act has already

been initiated. The implementation process needs to be expedited to bring in the required

changes.

Environmental Impact Assessment Notification: The notification specifies that no

construction activity to be taken up, inspite of the approval of plans by the Competent

Authority, till the environmental clearance has been sought. In cases where approval has

already been granted it is suggested that construction activities should be allowed. In the

intervening period the builder / developer can obtain the environmental clearance certificate. In

the case of the environmental clearance certificate being denied then appropriate action if

necessary and warranted can be taken against the developer / builder and builder be given time

to get clearance before he applies for completion certificate, otherwise the completion

certificate will not be given Furthermore, in the case of future proposed projects the

environmental clearances should be taken by the States themselves or by the planning bodies

and not b individual builders.

48

Land Acquisition: The Land Acquisition Act of 1894, still, to a large extent, governs the

procurement of raw land. With the changing investment scenario it has become necessary to

review the existing law, in order to ensure that private developers and colonizers procure the

land directly from farmers and land owners without putting undue financial burden on State/

Central Governments on land acquisition for public purposes. Today, a builder is governed by

“Agriculture Land Ceiling Act” even after the land have been urbanized in the zonal plans /

master plans. This makes builders to create several companies in order to circumvent the

archaic laws. It is submitted that once the land has been urbanized and incorporated in the

master plan, then Agriculture Land Ceiling Act should not apply and builders should be

permitted to acquire lands as per their requirements, for the development of townships.

Foreign Direct Investment (FDI): Suitable modifications in the FDI guidelines are

required, particularly in repatriation of funds, clarification on the basic definition of “built-up

area”, streamlining of Clearance procedures as well as the opening up of the Retail Segment to

FDI. This aspect has been discussed in detail in Section II of this paper.

Service Tax : Service tax in relation to construction of residential complexes having more

than 12 houses have been proposed to be introduced as a new service. However, no rationale

has been provided for exclusion of services in relation to construction of residential bungalows,

which may not form part of ‘residential complexes’.

49

(b) GROWTH STORY OF INDIAN REAL ESTATE - PRESENT &

FUTURE

Real Estate Industry Snapshot

Indian real estate industry is growing with a compounded growth rate (CAGR)

of more than 30%on the back of robust economic performance of the country.

Almost five per cent of the country's GDP is contributed to by the housing

sector.

Real Estate sector is subservient to the development of 269 other industries.

Real Estate – Second largest employment driver in India.

The nationwide housing shortage is estimated at 22.4 million residential units

and continues to increase. Rapid population growth and the growth of India’s middle

class is creating the demand for housing.

Household formations are increasing and to increase homeownership, a vibrant

mortgage market is under development Considering that mortgages account only for 2

percent of India’s GDP, compared with 54 percent in the United States there is enough

room for growth in the future.

Market is getting more organized with presence of overseas developers.

50

New avenues of investment – hospitality, health care, integrated townships,

infrastructure corridors and others.

Investments flowing from multiple sources – FDI/PE/Institutional

Investors/Debt

Stages of Evolution – Past

Lack of Industrial Status.

Finance being arranged mainly from pre-selling of the units.

Limited purview of the government.

Quality of construction average.

Lack of transparency.

Stages of Evolution-Present

In line for industrial stats.

Multiple sources of funding- Debt, PE, VC etc.

51

Enjoys strong attention of the central as well as government.

Remarkable improvement in the quality and designs of construction.

Improvement in the transparency level.

Emergence of well-defined categories

52

Chapter-5

A View of NCR Region

Delhi is now more or less saturated and the high demand for residential property has got the,

property rates soaring, making investors wary of investing in the related real-estate deals in the

region. As a result, the suburban towns within the NCR: Gurgaon, Noida, Greater Noida,

Faridabad and Ghaziabad have become destinations for new residential projects that offer

affordable quality housing to the middle class as well as luxury housing for high end users. As

these suburbs are now increasingly generating employment, they will decide the future growth

of the NCR.

The business and trader class still largely dominate old residential areas in west and northwest

Delhi. Similarly the large multi-storey societies in East Delhi in Mayur Vihar and Patparganj

have have founded preferences with the service class. The blue collar segment remains limited

to apartments and society developments while big and small traders occupy the whole of West

Delhi including Rohini. The elite class, in terms of social-status, i.e. politicians, bureaucrats and

celebrities are generally residents of Central and South Delhi. Suburban areas like Noida and

Gurgaon have thus come up as alternative housing solutions and are inhabited mostly by

professional and service class people, as well as an increasing upper class segments.

Noida has experienced rising prices in its existing commercial, retail and residential real estate.

The new developing residential sectors are along the Greater Noida expressway. Occupancies in

53

Noida are good and the real estate prices are going north. It is a good destination for the middle

class, as for accessibility, social and physical infrastructure and growth perspective are

concerned. With a large number of builders stepping up to the task, a number of integrated

townships and housing complexes are being developed in the region. The city has also seen a

recent boost in the commercial activity in the region especially alongside the Noida, Greater

Noida expressway. A large number of firms have set up corporate offices in the region

generating huge employment opportunities and attracting the service class populations along

with a large number of reputed schools and colleges catering to the needs of the students

community especially in areas such as Knowledge Park at Grater Noida are a major reason for

the students being keen upon residing in the vicinity.

Gurgaon offers a good quality of living with many high-end residential projects by private

developers. These new developers offer uninterrupted power supply, community and health

care centers along with facilities like a swimming pool, clubhouses and other services. As per

industry estimates, projects with approximately 5000 dwelling units have been announced in

Gurgaon. Since, it will be maturing as an independents city, occupancies will improve but in the

present context, it is an oversupply situation.

54

Chapter-6

Research Design

Research methodology Design mean the procedure used and method applied for the collection

of data used in the completion of the project report. The research design spell out how you are

going to achieve the stated research objectives.

Data collection Method

Specific research instrument.

The sampling plan that you will use for collecting the data.

Sampling units

Sampling size

Selection of sampling units

Sampling media

Type of research

I have done my research survey under exploratory research. It is also termed as formulative

research studies. It means I am go to the field for findings the feedback of consumer buying

perception towards when purchasing a house or property.

55

(a) Research Problem

Research problem is the foundation of any research method. Any research cannot be a pure

research. There are always some limitations with the research under which a researcher has to

work. My research has also some limitations which are as follows.

1. Some people don’t give the remarkable answer, so the surveyor has to make his own

assumption.

2. Since the survey has been conducted in Ghaziabad, being so big place it might not give true

picture.

3. The time period allotted for the study was limited as it had to be completed with this

stipulated period of time.

4. The number of respondent covered in the study is limited. Although all efforts has been

taken to make this study a representative of NCR region. The sample size is too small so that

data are not reliable. Most of the customer were busy in their work and saying “sorry I don’t

have time” .So it was very difficult to access information from those people.

5. The respondents were unable to read exact data spontaneously.

It is very difficult to catch the exact word of customers through questionnaire.

56

(b) Research Objective

The paper aims to examine the present scenario of real estate in India. In this broader

framework, an attempt has been made to achieve the following specific objectives:-

To study the fundamental factors affecting the real estate value.

To examine the present factors of real estate boom.

To present the future constraints of real estate investment in India

Understandings the customer needs of requirement when purchasing a house or property.

Finding consumer insight on the understanding of relationship between customer and

property developer.

Guide the consumer towards proper understanding of Real-Estate.

Provide required information to the customer about to Real-Estate.

57

(c) Sample Size

Sample size refers to the numbers of respondents you have selected for finding the feed of my

research. I have selected 100 Customer from different locations in NCR Region mainly Noida,

Greater Noida, Ghaziabad.

58

(d) Sampling Technique

The sample design provides information on the target information and final sample sizes.

Sample design is sometimes used in a clearly defined sense, with reference to a given frame, as

the set of rules or specification for the drawing of a sample.

Type of sampling method

I have chosen non-probability sampling method; I have purposively chosen the particular units

of the universe for constituting a sample. We can also say that this is a haphazard or

convenience sampling.

59

(e) Data Collection Tool

I have used Questionnaire, as the research instrument to conduct the market survey. The

questionnaire consisted of a mixture of open and closed questions designed in such a way that it

should gather maximum information possible.

The questionnaire was a combination of 15 questions. If choices are given it is easier for the

respondent to respond from the choices rather they think and reply also it takes lesser time.

Because the keep on responding and one has tick mark the right choice accordingly.

Sources of secondary data

Company website.

Internet.

60

Chapter-7

Data Analysis

In Real-Estate industry, customers give the preference when purchasing a house or property

according to his requirements like that availability of market, shopping malls, cinemas,

hospitals, colleges, recreational facilities etc and according to his investment budget.

Most of the peoples (56%), household income is between 5 lakhs to 10 Lakhs.

61% Peoples are lives rental property.

The 56%p peoples pay rent below 5000.

51% peoples live 1BHK

61% peoples those live in rental property, is investing budget is below 25Lakhs. It means

74% peoples are investing budget is below 25Lakhs.

There are many factors influence consumer buying perception towards when purchasing

a house or property like that location (25%), Price Range (23%), Connectivity (22%),

others (20%) etc.

There are some “Environmental Factors” those influence customer choice like that

Safety/Security (23%), Healthy Environment (20%), Recreational Facilities (15%) etc.

72% peoples want to purchase plots.

93% peoples prefers to take the loan from a finance institution.

Mostly peoples are interested to shift in Noida (35%), Greater Noida (33%) etc.

61

Chapter-8

Data Interpretation

After collection of data, next task of research process is analysis and interpretation of data.

Questionnaire is processed and edited to make sure that all question are answered. He resulting

data should be logical and consistent. After editing, data are tabulated and analyzed. Data

analysis includes the statistical test which may be editing, coding, tabulation, interpretation.

Coding is the assignment of numbers to the observation so that data can be analyzed, whereas

tabulation refers to classification and cross classification of observed data. The above things are

common in all type of market research project. Statistical tests are applied to certain such

research where data are complex and casual relation is to be established.

Statistical tests are useful to describe the data at hand, test hypothesis and make predictions or

estimates. Descriptive analysis is use to reduce data at hand to a smaller set of number of

summary measure represent information.

62

Household Income

In this given figure, it represents that 40% of the people’s household income is below 5Lakhs

and 56% people’s income are between 5Lakhs to 10Lakhs. 4% people’s income are between

10Lakhs to 15Lakhs

BELOW 540%

5 TO 1056%

10 TO 154%

HOUSEHOLD INCOME (IN LAKHS)

63

Present Residential Property\

In NCR Region, 61%peoples live to rental property and 39% peoples live his own property.

Mostly peoples are job-person in private-sector and they come in NCR Region from different

states and cities

Rent Pay (per month)

64

SELF-OWNED39%

RENTAL61%

PRESENT RESIDENTIAL PROPERTY

0 TO 500056%

5000 TO 1000O35%

10000 TO 150009%

RENT PAY PER MONTH

1BHK51%

2BHK49%

TYPE OF BHK

56% Persons pay rent between 0 to 5000Rs, 35% persons pay rent between 5000 to 10000Rs,

9%pay rent between 10000 to 15000Rs and 49% people’s live in 1BHK and 51% people lives

2BHK flats.

Investment Budget

65

74%

26%

INVESTMENT BUDGET (IN LAKHS)BELOW 25 25 TO 50

The 74% people’s want to invest money below 25Lakhs money purchasing new or own house

or property and 26% people invest to purchasing new house or property above 25Lakhs to

50Lakhs.

There are many factors influence the choice of when a customer wants to purchase a house or

property. There are many types of factors like that connectivity, location, price-range, gentry,

future appreciation and others.

Factors Influencing the Choice of Peoples’

66

LOCATION25%

PRICE RANGE23%

FUTURE APPRECIATION15%

CONNECTIVITY16%

GENTRY7%

OTHERS15%

FACTOTS INFLUENCE CHOICE

In the given diagram, there are many environmental factors influence to the customer’s choice.

A people want to live in healthy environment, safety/security, product specification,

recreational facilities and others surroundings factors etc. There are many types of factors are

directly influence the customer choices.

67

Environmental Surroundings Factors Those Influence for Purchasing a

House or Property

DENSITY4%

SAFETY/SECURITY23%

PRODUCT SPECI-FICATION

5%

QUALITY CONSTRUC-

TION7%

WATER & POWER BACK-UP 9%

LOCALITY10%

RECREATIONAL FACILITIES

16%

HEALTHY ENVI-RONMENT

20%

OTHERS7%

Environmental Surroundings Factors

The person wants to purchase the many types of property like that plots, apartments,

independents homes/villas. 72% of peoples want to invest in plots and 17% peoples proffers to

purchase apartments and 11% peoples prefer to invest in independent homes/villas. This data

show the many persons want to invest in plots.

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Customer interested in Types of Property

Plots72%

Apartments17%

Independent Homes/Villas11%

Interested in Types of Property

In this given diagram, the collection of money is 93% peoples from the financial institution and

just only 7% peoples invest his own money in purchasing house or property.

69

Finance Collected by the Customer’s

New Loan from Financial Institution93%

Own Funds7%Finance Collection

In NCR region, mostly peoples preference to live in Noida & Greater

Noida. in current days, Noida and Greater Noida is a developing area. Basically Noida

(Gautambuddha Nagar) is a district of Uttar Pradesh but it is an important area of Delhi NCR.

In this area mostly peoples are invest to live here.

70

Customer wants to shift in

Noida35%

Greater Noida33%

Gurgaon8%

Ghaziabad22%

Others2%

Customers Preference to Shift

There are many companies to dealing the real estate property in Noida and NCR region. A

Customer wants to preference in any company according to his affordability, brand name,

location and others recreational facilities then he want to invest his money or capital.

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Customer Prefers to Invest in Company

Jaypee10%

DLF15%

Amrapali13%

Supertech14%Paras

6%

Ajnara6%

Parsvanath15%

Nirala2%

Omexe14%

Others7%

Customers Preference to the Company

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Chapter-9

SWOT Analysis

STRENGTHS

Locational Advantage- Proximity established town Noida and upcoming town Greater Noida.

Excellent Road network.

Nearby micro-locations have emerged as highly preferred Industrial, commercial S. residential locations

for middle, upper middle and upper classes.

Social infrastructure in Noida and Greater Noida has developed at a fast pace in the last 7-8 years.

Size of proposed township (>200 acres) supports residential, commercial, retail and institutional

components to form self sustaining projects.

WEAKNESS

Public transport system yet to be developed to cater to the demand.

Size of the organization is very large.

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STRENGTHS

Proposed Eastern corridor passing Noida would enhance regional connectivity of the

subject properties.

Proposed International airport and Aviation Hub at Jewar (approximately 30 Kms from

subject site) would enhance air-connectivity of the proposed development on subject

property.

Proposed Formula- 1 track in close proximity would enhance property prices in and

around subject site.

THREATES

Large supply is expected in the next 4-5 years in the micro market of Noida and Greater

Noida. This may result into an oversupply thus would be impacting the rentals.

Large Scale size of the project (1362acres)

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Chapter-10

Recommendations

On the basis of study, performance and achievements made by the responsibilities assigned to

me during my summer training tenure, I recommended the higher authorities the following for

their kind consideration:

The company should concentrate more upon the factors which were indicated by the

factor analysis along with the regularly considerable factors. The Density of Locality is

an important factor taken into consideration by the investors looking for residential

estate. This is followed by Maintenance & Safety/Security, Product Specification and

Resale Value which is of utmost importance to investors looking for a return on

investment.

Jaypee’s major projects are concentrated in Noida and Greater Noida only. The study

shows that the cities lacks in basic Law and Order leading to cause a lack of interest in

the investors about purchase of residential property in the region. The firm can

concentrate upon taking care of the security and safety concerns by providing the

investors with gated communities accompanied with proper surveillance.

75

The Jaypee Group lacks in at the commercial property front which is one of the major

source of revenues for its competitors in the real estate segment.

The firm can concentrate more upon providing seller financing to the investors looking

for financial institutions. Seller financing emerged as the second most preferred option

for generating finance for Real Estate related investments just after Loan(s) from a

Financial Institution.

76

Chapter-11

Conclusions

From the study, the following conclusions were observed:

Noida is one of prime locations to invest in real estate while considering the location

factor is being well connected to other cities of NCR as well as Delhi through public

transport and is closely followed by Gurgaon.

Considering the cities as a business hub, Gurgaon tops the list as it caters to each & every

section of the society ranging from the working class to service class, it being a hub for

both the service as well as the manufacturing sector industries. Greater Noida seems to

the upcoming region for the same reasons.

While considering the quality of living, Noida stood out as the most preferred option as

here each and every part of the region is well as maintained & the local residents living in

the region take the responsibility themselves. Greater Noida follows Gurgaon by a short

leap, which has came up as the second option after Greater Noida.

77

Considering the Law and other facility, Gurgaon tops the list. It caters & manages a huge

population which is a tough task but the handling for the same has been exceptional

leading to an excellent law and other situation in the city. The work carried on by the law

enforcement agencies in the region is thus commendable. Noida is far behind as being a

developing city here the population density is low & accordingly the enforcement are not

up the mark.

In the infrastructure section, here Gurgaon is the top most property. The infrastructure

development has been on full swing during the last decade and the city is coming up with

various new projects on its outskirts leading it to take the cap. Closely follow is the city

of Greater Noida as the region is still in the initial phase of its development & there are

ample of opportunities available within the city. It is coming up a lot of projects which

will help the city to complete developed cities of NCR.

A few additional conclusions that were obtained after the study have been summarized below:

The location is the most important First-Pull factor that affects the investors while going

for a Real-Estate investment.

The most adequate factor that determined an initiative towards a housing complex was

the price range. The next closely following factor was determined as being the Amenities/

Facilities provided by the developer within the premises.

78

The In-Locality factor that affects the consumers the most is Water and Power Backup

facility due to there being an acute problem for the same in the cities of NCR. The factor

to fallow was the Maintenance and Safety/Security of the place.

The most preferred investments are those in Condominiums, Rental property and Land.

These were preferred by the investors in almost equal measures.

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Chapter-12

Key-Learning

Business and competitive environment in which the organization.

The major factors the investors considering while investing in Real-Estate projects in the

cities of NCR.

Investor’s preference towards various cities of NCR.

The agriculture land covered into the commercial and residential purpose. But the

population is also increasing day by day. So govt. should steps for the same.

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Chapter-13

Annexure

Questionnaire for the Survey Of “Customer Buying Perception

towards purchasing a House or Property”

1. Name of the Respondents (Mr. /Ms/Mrs.):

2. Address:

3. Occupation: 4. Contact No. :

5. Household income (per annum in laces):

Below 5 5 to 10 10 to 15 15 to 20 Above 20

6. Present residential property:

Self Owned Rental Others

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7. If rental, what rent you pay?

Rent

( per month in thousands)

Type Of BHK

0-5000

5000-10000

10000-15000

15000-25000

25000-35000

35000-50000

Above 50000

8. Investment Budget (in Laces)

Below 25 25to 50 50to 1Cr 1 Cr to 2Cr 2 Cr to 5Cr above 5Cr

9. To what extent do the following factors influence your choice of a

Residential/Office/Commercial?

(a) Location (b) Price Range (c) Future Appreciation

(d) Connectivity (e) Gentry (f) Others

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10. To what extent do the following “Environmental Surroundings” factors influence choice of

Housing/Residential/Office/Commercial/Plots/Apartments?

(a) Density (b) Safety/Security (c) Product Specification

(d) Quality Construction (e) Water & Power Back-up (f) Locality

(g) Recreational Facilities (h) Healthy Environment (i) Others

11. What types of property are you interested in purchasing?

Commercial Plots Apartments Independent House/Villas

12. Your preferred method of financial would be:

New Loan from a Financial Institution Own Funds

13. Out of following which city would you prefer to shift/invest?

Noida Greater Noida Gurgaon

Faridabad Ghaziabad Others

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14. If you prefer to shift/invest, then which company would you consider on the basis of above

mentioned factor?

(a) Jaypee (b) DLF (c) Amrapali (d) Supertech (e) Paras

(f) Ajnara (g) Nirala (h) Parsvnath (i) Omex (j) Others

15.Reason:

………………………………………………………………………………………………..........

.………………………………………………………………………………………...

………………....…………………………………………………………………………………..

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Chapter-14

Reference

Marketing Management (Philip Kotler)

www.googles.com

www.jalindia.com

www.jaypeegreens.com

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