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A

SUMMER INTERNSHIP PROJECT


ON
A Study on Customer Preference and Satisfaction towards Bajaj Bikes
Submitted to

S.R. LUTHRA INSTITUTE OF MANAGEMENT


IN PARTIAL FULFILLMENT OF THE
REQUIREMENT OF THE AWARD FOR THE DEGREE OF

MASTER OF BUSINESS ADMINISTRATION


In

Gujarat Technological University


UNDER THE GUIDANCE OF
Faculty Guide:

Company Guide:

Ms. Esha Pandya

Mr. Shoban Mulla

Asst. Professor

Branch Manager
(Shivam Bajaj)

Submitted by
Mr. Ajay B. Savaliya [Batch No. 2014-16, Enrollment No.147500592100]
MBA SEMESTER III

S.R. LUTHRA INSTITUTE OF MANAGEMENT 750


MBA PROGRAMME
Affiliated to Gujarat Technological University
Ahmedabad
August, 2015
1

Company Certificate
This is to certify that Mr. Ajay B. Savaliya from S.R. LUTHRA INSTITUTE OF
MANAGEMENT, have carried out the research on the subject titled A study on
Customer Preference and Satisfaction towards Bajaj Bikes at Shivam Bajaj
under the supervision of Mr. Shoban Mulla, from June 2015 to August, 2015. I
also certify that, the above mentioned student has carried the research work
satisfactorily.

Place: - Surat

Date: - ____________

________________
Mr. Shoban Mulla
(Branch Manager)

Students Declaration
2

I, Mr. Ajay B. Savaliya, hereby declare that the report for Summer Internship
Project entitled A study on Customer preference and Satisfaction towards Bajaj
Bikes is a result of my own work and my indebtedness to other work
publications, references, if any, have been duly acknowledged.

Place: Surat

Date: _____________

__________________
(Ajay B. Savaliya)

Institutes Certificate

Certified that this Summer Internship Project Report Titled A study on Customer
Preference and Satisfaction towards Bajaj Bikes is the bonafide work of Mr. Ajay
B. Savaliya (Enrollment No. 147500592100), who has carried out the research
under my supervision. I also certify further, that to the best of my knowledge the
work reported herein does not form part of any other project report or dissertation
on the basis of which a degree or award was conferred on an earlier occasion on
this or any other candidate.
Place: Surat
Date: ________________

___________________
(Esha Pandya)
Asst. Professor

___________________
(J. M. Kapadia)
Director

Preface

In todays intensely competitive environment, companies today are constantly


looking for ways to attract customers by having a better understanding of
changing customer preferences. So, I do this particular research to know about
customer preference and satisfaction towards Bajaj bikes in Surat city those who
use Bajaj bikes.
I have tried my level best to do the proper justification with my work in this
project. I do this research to know which is/are the influencing factors for
purchasing Bajaj bikes.
The time period for conducting the report is starting from 8 th June, 2015 to 18th
July, 2015. I have taken primary and secondary data whereas primary data
throughout questionnaire to study the report.
I have applied Pearson Chi-square test for estimating the customer preference
and satisfaction towards Bajaj bikes.

Acknowledgement

I am very thankful to Gujarat Technological University because they contain


training as an essential part of M.B.A. course & make it compulsorily to each &
every student.
I would like to express my sincere thanks and gratitude to our beloved principal
Dr. Jimmy Kapadia (Director) and Ms. Esha Pandya (Assistant Professor) for
giving innovative ideas, constant help, and encouragement too this project work
& give me better support in the industrial training without whom it would be very
difficult for me to completing this report.
I am highly indebted to Mr. Shoban Mulla (Branch Manager, Shivam Bajaj, Surat)
for their guidance and constant supervision as well as for providing necessary
information regarding the project & also for their support in completing the report.
I would like to express my gratitude towards my parents & member of Shivam
Bajaj for their kind co-operation and encouragement which help me in completion
of this report.
I would like to express my special gratitude and thanks to industry persons for
giving me such attention and time. My thanks and appreciations also go to my
colleague in developing the project and people who have willingly helped me out
with their abilities.

Executive Summary
6

I have selected topic for my project is A study in Customer Preference and


Satisfaction towards Bajaj bikes. I have completed my training at Shivam Bajaj,
Surat. In two-wheeler automobile industry Hero MotoCorp have a highest market
share. The global two-wheeler manufacturing industry grew by 3.3% in 2013.
India is the second largest manufacturer and producer of two-wheelers in the
world. Major players of two-wheeler industry are Hero, Honda, Suzuki, Bajaj,
TVS, Yamaha, and Royal Enfield etc.
The objective of my research is which is/are the most attractive attributes for
purchasing Bajaj bikes; and study the level of satisfaction the same. I have taken
200 samples for the survey. Type of design is descriptive research design; data
collection throughout questionnaire; and sampling method for the study is a nonprobability convenience sampling.
For the tools of data analysis I have used SPSS which analyze data to Pearson
Chi-square for finding there is association between two variables; also prepare a
frequency table for the same. I have used Microsoft Excel for prepare a
frequency charts.
Majority of the customer prefer Bajaj bike on the basis of price, mileage,
maintenance cost, and engine capacity attributes. More than 50% of the
respondents are satisfied with the price and engine capacity. More no. of
respondents has dissatisfied with the resale value and after sales services of
Bajaj. As per survey Hero is a 1st rank and Bajaj is a 3rd rank. There is no
association between customer income and mileage attribute of bike; and
customer occupation and brand image. There is association between customer
age and look & style of Bajaj bikes.

TABLE OF CONTENTS
7

Companys Certificate
Students Declaration
Institutes Certificate
Preface
Acknowledgement
Executive Summary

o
o
o
o
o
o

Sr.

Particulars

Page

No.
1.
2.

3.

No.
Introduction
Industry Profile
a. Global
b. National
c. State
d. PESTEL
e. Current trends
f. Major Players
g. Major Offerings
Company Profile
a. Company Profile
b. Organogram
c. Divisions/ Departments
d. SWOT
e. Market Position

1
5
5
8
12
13
16
18
19
20
22
32
33
34
35

4.
5.

Review of Literature
Research Methodology
a. Problem Statement
b. Research Objective
c. Research Design
i. Type of Design
ii. Types of Data
iii. Instruments for Data Collections
iv. Sample Population
v. Sample Area
vi. Sample Size
vii. Sampling Method
viii.
Tools for Analysis
ix. Limitations of the Study

36
43
4
3
4
4
4
5
4
5
4
5
4

5
4
5
4
5
4
5
4
5
4
5
4
5
6.
7.

8.
9.

Data Analysis and Interpretation


Finding and Conclusion

46
83

a. Findings

83

b. Conclusion

85

Bibliography
Annexure

86
87

LIST OF TABLES
9

Sr. No.

Particulars

Table

Page

No.

No.

February sales and growth of two-wheeler

2.1

10

Age

6.1

46

Occupation

6.2

47

Education

6.3

48

Monthly income

6.4

49

Know about Bajaj bikes

6.5

50

Models of Bajaj

6.6

51

Most attractive attributes of Bajaj

6.7

53

Comparing between other bikes

6.8

55

10

Customer satisfaction towards price

6.9

56

11

Customer satisfaction towards mileage

6.10

57

12

Customer satisfaction towards look & style

6.11

58

13

Customer satisfaction towards pickup

6.12

59

14

Customer satisfaction towards engine capacity

6.13

60

15

Customer satisfaction towards colors

6.14

61

16

Customer satisfaction towards maintenance cost

6.15

62

17

Customer satisfaction towards brand image

6.16

63

18

Customer satisfaction towards resale value

6.17

64

19

Customer satisfaction towards comfortable ride

6.18

65

20

Customer satisfaction towards after sales services

6.19

66

21

6.20

67

22

Rank
Problem facing by user of Bajaj

6.21

69

23

Recommended Bajaj bikes to friends or others

6.22

70

24

Monthly income * Mileage Attribute Cross tabulation


Chi-Square Test between Mileage attribute and

6.23

71

6.24

72

6.25

73

6.26

74

25
26
27

Monthly income
Satisfaction towards Price * Monthly income Cross
tabulation
Chi-Square Test between customer satisfaction
10

28
29
30
31
32
33
34
35

towards price and Monthly income


Satisfaction towards Comfortable ride * Occupation
Cross tabulation
Chi-Square between Satisfaction towards
Comfortable ride and Occupation
Satisfaction towards Look & style * Age(in Years)
Cross tabulation
Chi-Square between Satisfaction towards Look &
style and Age(in Years)
Satisfaction towards Brand image * Occupation
Cross tabulation
Chi-Square between Satisfaction towards Brand
image and Occupation
Education * Maintenance cost Attribute Cross
tabulation
Chi-Square between Education and Maintenance

6.27

75

6.28

76

6.29

77

6.30

78

6.31

79

6.32

80

6.33

81

6.34

82

Figure

Page

No.

No.

cost Attribute

LIST OF FIGURES

Sr. No.

Particulars

February Sales

2.1

10

Current trends

2.2

16

Segment wise two-wheeler Market share

2.3

17

Age

6.1

46

Occupation

6.2

47

Education

6.3

48

Monthly income

6.4

49

Know about Bajaj bikes

6.5

50

Model of Bajaj bikes


Most attractive attributes of Bajaj

6.6

52

6.7

54

10

11

11

Comparing between other bikes

6.8

55

12

Customer satisfaction towards price

6.9

56

13

Customer satisfaction towards mileage

6.10

57

14

Customer satisfaction towards look & style

6.11

58

15

Customer satisfaction towards pickup

6.12

59

16

Customer satisfaction towards engine capacity

6.13

60

17

Customer satisfaction towards colors

6.14

61

18

Customer satisfaction towards maintenance cost

6.15

62

19

Customer satisfaction towards brand image

6.16

63

20

Customer satisfaction towards resale value

6.17

64

21

Customer satisfaction towards comfortable ride

6.18

65

22

Customer satisfaction towards after sales services

6.19

66

23

6.20

67

24

Rank
Problem facing by user of Bajaj

6.21

69

25

Recommended Bajaj bikes to friends or others

6.22

70

12

INTRODUCTION

13

Introduction of Customer Preference and Satisfaction


Who is Customer?
A customer (sometimes known as a client, buyer, or purchaser) is the recipient of
a good, service, product, or idea, obtained from a seller, vendor, or supplier for a
monetary or other consideration. Customers are generally categorized into two
types:

An intermediate customer or trade customer who is a dealer that

purchases goods for re-sale.


An ultimate customer who does not in turn re-sell the things bought but
either passes them to the consumer or actually is the consumer.

A customer may or may not also be a consumer, but the two notions are distinct,
even though the terms are commonly confused. A customer purchases goods; a
consumer uses them. An ultimate customer may be a consumer as well, but just
as equally may have purchased items for someone else to consume. An
intermediate consumer is not a consumer at all.
What is Preference?
Preference refers to certain characteristics any consumer wants to have in a
good or service to make it preferable to him. This could be the level of happiness,
degree of satisfaction, utility from the product, etc
14

Preferences are the main factors that influence consumer demand. Economists
study preferences to perceive the demand for each commodity and the future
implications it may cause.

What is Customer Preference?


Customer preference is used primarily to mean to select an option that has the
greatest anticipated value among a number of options by the consumer in order
to satisfy his/her needs or desires. Preferences indicate choices among neutral
or more valued options available. The preference of the consumer is the result of
their behavior they show during searching, purchasing and disposing the
products.
Consumer preferences are defined as the subjective (individual) tastes, as
measures by utility, of various bundles of goods. They permit the consumer to
rank these bundles of goods according to the level of utility they give the
consumer. Note that preferences are independent of income and pieces. Ability
to purchase goods does not determine a consumers likes or dislikes. One can
have a preference for Porsches over Fords but only have the financial means to
drive a Ford.
Tailor marketing strategies to customer preferences
To make communications relevant, marketers need information about each
customer's preferences and interests. But where do you get this information?
How do you coax customers to give it to you? A well thought-out preference
center can make all the difference across all channels.

15

First, limit the information requested. Look at your overall marketing strategy and
use that as your guide to decide what data to request. Ask only for the
information you need and you will use to execute your communications strategy.
Don't collect all the information at once. Allow your customers to share only the
data they are comfortable sharing. As you build trust, they'll usually be willing to
share more.
Finally, don't give up. Send periodic follow-ups to customers who haven't
completed their entire profile, and remind them of the advantages of doing so.
Once you have the data, make sure you use it. Customers like it when you talk
about what's important to them, so tailor your offers based on their information. It
helps to ask your customers the day of the week and time of day they prefer to
receive your messages.
Gathering information through preference centers is the first step in building a
meaningful dialogue with your customers. By combining preference information
with data you already have, you can create campaigns that are so relevant that
your customers will consider your marketing communications a value-added,
differentiating service.
What is satisfaction?
It is the customers perceived performance from a product in relation to the
expectations.
Customer satisfaction, a business term, is a measure of how products and
services supplied by a company meet customer expectation. It is seen as a key
performance indicator within business and is part of the four perspectives of a
Balanced Scorecard.

16

In a competitive marketplace where businesses compete for customers,


customer satisfaction is seen as a key differentiator and increasingly has become
a key element of business strategy.
The customer is satisfied if the performance matches the expectations; delighted
if the performance exceeds expectations. Marketing aims for total customer
satisfaction by matching product performance with expectations. Fulfillment of
ones wishes, expectations, or needs, or the pleasure derived from this.

What is Customer Satisfaction?


Customer satisfaction measures how well the expectations of a customer
concerning a product or service provided by your company have been met.
Customer satisfaction is an abstract concept and involves such factors as the
quality of the product, the quality of the service provided, the atmosphere of the
location where the product or service is purchased, and the price of the product
or service. Businesses often use customer satisfaction surveys to gauge
customer satisfaction. Typical areas addressed in the surveys include:

Quality of product
Value of product relative to price-a function of quality and price.
Time issues, such as product availability, availability of sales assistance,

time waiting at checkout, and delivery time.


Atmosphere of store, such as cleanliness, and enjoyable shopping

environment.
Convenience, such as location, parking, hours of operation.

Every human being is a consumer of different produces. If there is no consumer,


there is no business. Therefore, consumer satisfaction is very important to every

17

business person. The consumer satisfaction after purchase depends on product


performance in relation to his/her expectations.
Consumer satisfaction or dissatisfaction is the feeling derived by the consumer
when he compares the product's actual performance with the performance that
he expects out of it. Consumers make their expectations from the service quality,
service, delivery, communications, past experiences and references. These all
are to be judged correctly by the management so that their perceptions match
with consumer expectations. If any of these factors are wrongly interpreted then
the expected level of consumer satisfaction cannot be reached.

INDUSTRY
PROFILE
18

a. Global level
The worlds largest market for two wheelers is china followed by India. These
countries are also hosts to world class plants along with the obviously powerful
and influential Japanese manufacturers and brand names such as Honda,
Suzuki, and Yamaha and so on. It is also seen that the advent of national brands
like Bajaj and TVS, which are also likely to go global, setting up marketing and
manufacturing arrangements in the other populous markets of Asia. The global
market for two wheelers has shown tremendous growth over the past decade.
The geographic spread of this growth has been very uneven. Asia has accounted
for the vast majority of growth. China and India alone account for over half the
worlds two wheeler sales. Other large markets in the region are Japan,
Indonesia, Vietnam and Taiwan. Latin America is another important region and
sales there have more than doubled over the past ten years especially in Brazil.
The major players in the world two-wheeler market could at one time be
categorized simply into two groups: the three global Japanese giants (Honda,
Suzuki and Yamaha) and other players are Hero, Bajaj, TVS, and Royal Enfield.
However, as the industry globalizes further, a further category is emerging,

19

namely other Asian (mostly Indian and Chinese player) and European players
who are seeking to expand their own identities worldwide.
The global two-wheeler manufacturing industry grew by 3.3% in 2013 to reach a
value of $61.5bn representing a compound annual growth rate of 5.8% for the
period spanning 2009-2013.Europe and North America experienced an overall
decline in industry value in 2013. The decline in North America was driven by the
Mexican industry, which saw a decline in production volume of over 20% in 2013.
Two-wheelers are one of the most affordable forms of motorized transport and,
for most of the world's population; they are the most common type of motor
vehicle. About 200 million two-wheelers, including mopeds, motor scooters,
motorized bicycles, and other powered two and three-wheelers, are in use
worldwide, or about 33 motorcycles per 1000 people. In comparison, there are
around 590 million cars in the world, or about 91 per 1000 people. Most twowheelers, 58%, are in the developing countries of Asian - Southern and Eastern
Asia, and the Asia Pacific countries, excluding Japan - while 33% of cars, 195
million, are concentrated in the United States and Japan. There are
approximately 1.5 million active motorcyclists in the UK, representing around 3%
of the UK adult population. Around 3 million people hold a full two-wheeler
licence. Ownership rates indicate there are approximately 22 motorcycles per
1,000 people.
Total demand for two-wheeler in Europe during calendar year 2012 declined
approximately 10% from the previous year to approximately 779 thousand units.
Weak consumer sentiment due to growing economic instability adversely affected
demand. Total industry demand for two-wheelers in Japan in financial year 2013
was approximately 440 thousand units, mostly unchanged from the previous
financial year 2012. Although the number of licensed riders declined in line with
the continued decline in the population of young people in Japan, unit sales
growth was driven by higher demand for scooters and small motorcycles.

20

Total demand for two-wheelers in Asia during calendar year 2012 declined
approximately 3% from the previous year to approximately 41,500 thousand
units. Looking at market conditions by country, demand in India increased
approximately 5% from the previous year, to approximately 13,850 thousand
units while demand in China decreased approximately 10% from the previous
year, to approximately 12,630 thousand units.
In Indonesia, saw demand decline approximately 12% from the previous year, to
approximately 7,060 thousand units and Vietnam saw demand decline
approximately 7% from the previous year, to approximately 3,100 thousand units.
Demand in Thailand rose approximately 8% from the previous year, to
approximately 2,160 thousand units. Harley-Davidson is the leader in the global
to-wheeler industry, and saw two-wheeler retail sales increase 20% in the first
quarter of 2012 year-on-year, with US growth reaching closer to 26%. The
company is increasing its full-year shipment guidance, expecting to ship between
245,000 to 250,000 two-wheelers in 2012 to dealers and distributors throughout
the world.
In two-wheeler industry Honda's consolidated unit sales of two-wheelers in
financial year 2013 totalled 9,510 thousand units, an increase of 9.9% from the
previous fiscal year, mainly due to higher sales in India, Thailand and certain
other countries, despite lower sales in Brazil and Vietnam. Other important
players currently operating in the global two-wheeler market include BMW,
Honda Motorcycle & Scooter India, Yamaha, Triumph, Kawasaki, Bajaj Auto.

21

b. National level
India is a 4th largest economy in the world, 4 th largest commercial vehicle market,
India emerged as Asias 4th largest exporter of automobiles, behind Japan, South
Korea and Thailand. India is the second largest manufacturer and producer of
two-wheelers in the world. It stands next only to Japan and China in terms of the
number of two-wheelers produced and domestic sales respectively. This
distinction was achieved due to variety of reasons like restrictive policy followed
by the Government of India towards the passenger car industry, rising demand
for personal transport, inefficiency in the public transportation system.
Indian two-wheeler industry has got spectacular growth in the last few years.
Indian two-wheeler industry had a small beginning in the early 50's. The
Automobile Products of India (API) started manufacturing scooters in the country.
Bikes are a major segment of Indian two wheeler industry, the other two being
scooters and mopeds. Indian companies are among the largest two-wheeler
manufacturers in the world.
22

Indians prefer the two wheelers because of their small manageable size, low
maintenance, and pricing and easy loan repayments. Indian streets are full of
people of all age groups riding a two wheeler. The Indian two-wheeler industry
made a small beginning in the early 50s when Automobile Products of India (API)
started manufacturing scooters in the country. The two-wheeler industry in India
has been in existence since 1955. It consists of three segments viz., scooters,
motorcycles, and mopeds. Until 1958, API and Enfield were the sole producers.
In 1948, Bajaj Auto began trading in imported Vespa scooters and threewheelers. In the initial stages, API dominated the scooter segment; Bajaj Auto
later overtook it. Although various government and private enterprises entered
the fray for scooters, the only new player that has lasted till today is LML. Under
the regulated regime, foreign companies were not allowed to operate in India.
Notwithstanding the strong revival witnessed early in FY15, volume growth in the
Indian two-wheeler industry has reported deceleration over the last few months
dragged by declining volumes of motorcycles segment. The growth story for the
Indian automobile industry in 2014 rode on the two-wheeler segment and not on
passenger cars or commercial vehicles, as high interest rates and a stuttering
manufacturing industry kept a check on demand.
The two-wheeler segment is the only one that has clocked positive growth at
12.9 percent YoY (year-on-year) to reach sales of nearly 13.5 million units by
October. This can be attributed to the low cost of two wheelers in India.
ICRA said that various structural positives associated with the domestic two
wheeler industry include favorable demographic profile; moderate two wheeler
penetration levels (in relation to several other emerging markets), under
developed public transport system, growing urbanization, strong replacement
demand and moderate share of financed purchases remain intact.
ICRA said the motorcycle volumes faltered after a positive first half of 2014-15
and OEMs lined up new models to woo customers. Accounting for over 65 per

23

cent of two-wheeler industry volumes, performance of motorcycles has a


significant bearing on the overall volumes of the industry.
Consequently, with sluggish volumes in the segment, the overall industry volume
growth was also dragged down during the last four months despite continued
strong performance of scooters. Though the segment grew by 11.6 percent year
over year (YoY) during H1 FY15, growth faltered during FY15 with motorcycle
volumes posting a decline of 5.4 percent YoY and 6 per cent YoY in January
2015. Although fuel prices have started coming down significantly, the enquiry
levels at showrooms have come down and conversions are not taking place at
all. The sales of diesel vehicles are also tapering off because of the narrowing
price gap vis-a-vis petrol. Two-wheeler sector grew 12.9 percent.
The demand environment for the two wheeler industry remained subdued in the
current fiscal. CARE Research believes tough economic scenario owing to high
inflation, depleting growth in all economic activities, coupled with challenges like
firm interest rates and spiralling fuel prices have moderated the growth in near
term. Income levels in urban areas have been affected by the slowdown in the
industrial activities, while rural income is impacted due to below normal
monsoons in most regions that have significantly affected agriculture output.
CARE Research observed in spite of some sort of momentary spurt owing to
festive demand during third quarter of FY13, the two wheeler sales growth
remained around 4 per cent during the April-February period of FY13.
Table 2.1

February Sales and Growth of two wheelers

Two wheelers
Bajaj Auto
Hero MotoCorp
HMSI
TVS Motors co
Royal Enfield

Feb15
216,077
484,769
361,493
164,508
29,491

Feb14
273,323
504,181
328,468
147,580
19,840
24

Value
-57,246
-19,412
33,025
16,928
9,651

%Growth
-20.94%
-3.85%
10.05%
11.47%
48.64%

Suzuki Motorcycle India


Mahindra Two wheelers

30,467
8,289

27,007
17,848
Fig. 2.1

3,460
-9,559

12.81%
-53.56%

Indias largest motorcycle manufacturer, Hero MotoCorp has communicated that


its monthly sales for February 2015 stands at 484,769 units as against 504,181
units sold in February 2014. The company has registered a fall of 3.85 percent
for this month.
February 2015 marked the highest domestic market share of 29 percent for
Honda Motorcycle & Scooter India (HMSI). The company sold a total of 361,493
units during the month, marking a growth of 10.05 percent. HMSIs February
2014 sales stood at 328,468 units.
A continued dip in the motorcycle sales saw Pune-based Bajaj Auto sell 216,077
units (including exports) during February 2015. The company, which marked a
decline in its monthly motorcycle sales of 20.94 percent, had sold 273,323 units
in February 14.

25

c. State level
In Gujarat state, sales of two-wheeler between April and September went down
by 15% to 3.40 lakh units from 4 lakh units in the same period of the previous
year 2011-12. In 201213, sales of two-wheelers were down, Since September
2012, the sales gradually started coming down and hence de-growth in 201213
was marginal. While in 2013 14, sales of two-wheeler were increased. In the
previous year, Gujarat used to buy around 65000 to 70000 two-wheelers every
month. Now, the averaged has come down around 50000 to 55000 units per
month. There are multiple factors that have brought down sales of two-wheelers
in the Gujarat state. Bajaj Automobiles has sold around 11000 bikes per month
between April and September in 2014. Compared to the previous year 2013, the
figures are down from over 13000 units per month.
At present, automobile industry is selling bikes and scooters within the segment
of 75cc to over 500cc of the total sales; over 60% falls in the segment of 100cc to
125cc.This segment provides good mileage and falls in the value segment. Now
26

a day the interest rates for buying two-wheelers have increased which is affecting
ones plan of buying a bike on loan. There are many customers who already own
a bike but want to buy a new bike by selling the existing one. Those customers
have put their plans on hold. They are not getting good resale value and getting
finance for the new bike has become expensive.
Bajaj auto has witnesss good responses from rural markets of Gujarat. In
Gujarat state 2014, total sales, about 45% of two-wheelers were sold on finance.

d. PESTEL Analysis
1. Political factor
Political factors are the level to what the government interferers in the economy.
Specifically, political factors area such as tax liabilities, labour law, environmental
law, trade restrictions, tariffs, and political stability. Political factors include goods
and services which the government wants to provide or be provided government
plays an important role in the economy as well as in taxes to be charged to the
company. These factors are also play an important role in the employment law,
competition regulations as the company cannot make specific prices as they
have to follow the competition regulations. In the next few years, China is saying
that they are going to be investing billions of dollars I to hybrid technology. Bajaj
is a two-wheeler automobile company who is well known for sport bikes.
Traditionally, Government of India has considered the automobile industry as a
luxury segment. But realizing the growing importance of two-wheelers with the
increasing necessity of personal transportation for the middle class in eighties,
priority was given to the sector by favorable foreign policy. This brought about
27

technology revolution to the two-wheelers as Japanese majors entered in


technical and financial participation with Indian majors. Government of India has
a moderate intervention in the operations of two-wheeler industry. Excise duty
structure, emission control, safety of rider, etc. are all policy decisions.
2. Economic factor
Economic factors are those which are influenced by economic growth, interest
rate, exchange rate and inflation rate.
Abundant and low cost labour coupled with local availability of raw material like
steel, aluminium, and natural rubber has placed India amongst the low cost
producing centers of two-wheelers. Consequently, CARE research anticipants
buoyant growth in two-wheelers exports as well, abundance of labour and raw
material gives India an upper hand in the export. Since many auto finance
company laid easy instalment rules with less interest rate it makes more segment
people to go for it.
3. Social factor
Social aspects of two-wheelers industry are popularity, subculture, and safety.
Lifestyle and preferences of people that impact their choice of types of twowheeler bike. In numerous cultures, motorcycles are the primary means of
motorized transport. India is the second largest motorcycle markets in the world
next to china. Socially many motorcycle organization raise money for charities
through organized ride and events. Many people ride motorcycles for various
reasons, those reasons are increasingly practical, with riders opting for a
powered two-wheeler as a cost efficient alternative to infrequent and expensive
public transport system, or as a means of avoiding or reducing the effects of
urban congestion. Motorcycle gives a great advantage to the specified
designation where other buses cannot enter. Since there is a rule in some of the
main states and cities in India to wear helmet while ride two-wheelers to make
them safe from accidents makes two-wheelers riders to have a safety journey.
28

4. Technological factor
A technical aspect in two-wheeler industry includes construction, fuel economy,
electric motorcycle, dynamics and accessories.
Two-wheeler construction is engineering, manufacturing, and assembly of
components and system for two-wheelers which result in performance, cost and
aesthetics desired by the designers. Construction of two-wheeler includes steel,
aluminium frame, telescope forks and disc brakes. Motorcycle is the best fuel
economy mode of transport, now a days two-wheelers is desire to give more than
80km mileage per liter with low maintenance cost. Invention of electric
motorcycle gives an added advantage since the two-wheeler users can avoid
using petrol. Different types of two-wheelers have different dynamics and these
plays a vital role in their performance. Since sufficient bike accessories are
available in many place two-wheeler riders has a privilege to change the broken
parts very easily.
5. Environmental factor
Physical conditions effecting ability to use two-wheeler of different types. This will
also include state infrastructure such as roads for driving vehicles. Physical
infrastructure such as roads and bridges affect the use of two-wheeler industry. If
there is good availability of roads or roads are smooth then it will affect the use of
two-wheelers. Physical conditions like environmental situation affect the use of
two-wheelers. If the environment is pleasant then it will lead to more use of
vehicles.
Technological solutions helps in integrating the supply chain, hence reduce
losses and increase profitability. With the entry of global companies into the
Indian market, advanced technologies, both in product and productions process
have developed.
6. Legal factor

29

Legal provision relating to environmental population by two-wheeler automobile.


Legal provisions relating to safety, measures. In India the Rules and Regulations
related to driving license, registration of two-wheelers, control of traffic,
construction & maintenance of vehicles etc. are governed by the Motor Vehicles
Act 1988 and the Central Motor Vehicles rules 1989. The Ministry of Shipping,
Road Transport & Highways acts as a nodal agency for formulation and
implementation of various provisions of the Motor Vehicle Act and Central Motor
Vehicles Rules.

e. Current Trend
The two wheeler market in India is clearly dominated by top 3 players like Hero
MotoCorp, Honda Motorcycles and Scooters India (HMSI), Bajaj Auto around
86% of the market share. The rest 14% is shared by Yamaha, Suzuki, Royal
Enfield, TVS Motors etc.
Fig. 2.2

30

Hero MotoCrop retains the top spot with 54% market share. Standing next to it is
Bajaj Auto is 18%, Honda is 14%. The other players who are trailing are Suzuki,
Royal Enfield, Yamaha and TVS Motors are covered in rest of 14% market share.

Segment Wise Two Wheeler Market Share


Fig. 2.3

31

There are three segments: Motorcycles, Scooters, and Mopeds. The motorcycle
segment continues to dominate two wheeler markets with a strong hold of 74% in
overall sales volume. On the other hand, scooters segment emerging as a
significant market due to the preferred choice of young adults mainly by females,
currently it holds around 22% of overall two wheeler sales volume. Mopeds
would continue to remain small market and holds a share of around 4%.

f. Major Key Players

32

Major Key players in the Two-wheeler industry are following them.

Hero MotoCorp Ltd

Honda Motor Company Ltd

Suzuki Motor Corporation Ltd

Bajaj Auto Ltd

TVS Motor Company Ltd

Yamaha Motor Company Ltd

Royal Enfield Company Ltd

Mahindra Two-wheelers Ltd

Harley-Davidson Company Ltd

Piaggio

33

g. Major Offering
There are many categories of motorbikes; they offering two-wheeler industry.
1. Sports bikes
A sport bike is a motorcycle optimized to achieve responsive, athletic levels of
acceleration, braking, and cornering, often but not always involving the presence
of a particularly high-performance engine. Riding position is inclined forward,
hands on low or clip-on handlebars. The most popular motorbike class, sports
bikes have fast and powerful engines, sharp styling and handling, and
aerodynamic fairings. Sport bikes emphasize speed, acceleration, braking, and
cornering on paved roads. I.e. Honda CBR 100RR, Yamaha YZF R1, and
Kawasaki Ninja 250R, Pulsar RS200 etc.
2. Sport touring bikes
Sport touring bikes is a type of motorcycle that combines the performance of
sports bike with the long distance capabilities and comfort of a touring
motorcycle. I.e. BMW R100RS, BMW K120GT, Kawasaki ZX-6R etc.
3. Cruiser bikes
A cruiser is a motorcycle in the style of American machines from the 1930s to the
early 1960s, including those made by Harley Davidson, Excelsior and
Henderson. The riding position usually places the feet forward and the hands up,
with the spine erect or leaning back slightly. Typical cruiser engines emphasize
easy ride ability and shifting, with plenty of low-end torque but not necessarily
large

amounts

of horsepower,

traditionally V-twins but inline

engines have

become more common. Cruisers with greater performance than usual, including
more horsepower, stronger brakes and better suspension, are often called power
cruisers. I.e. Bajaj Avenger, Royal Enfield Thunderbird, Harley Davidson Super
Glide etc.

34

4. Touring bikes
Touring motorcycles commonly have large displacement fairings and windshields
that offer a high degree of weather and wind protection, large-capacity fuel
tanks for long ranges between fill-ups, engines with a great deal of low
end horsepower, and a more relaxed, upright than sport bikes. Touring bikes are
built for on-road comfort and many tours have large windscreens, generous
luggage capacity, plush seats, driver/passenger intercom, and heated handlebar
grips. Touring bikes are specifically designed to excel at covering long distances.
I.e. Yamaha Royal Star, Honda Gold Wing, and BMW R1200RT etc.
5. Dual-sport bikes
A dual-sport motorcycle is a type of street-legal motorcycle that is designed for
both on and off-road use. The terms 'All-road' and 'Dual-purpose' are also used.
Dual-sports

are

equipped

with

street-legal

equipment

such

as

lights, speedometer, mirrors, horn, license plate mounting, and muffler and can,
therefore, be registered and licensed. I.e. Kawasaki KLX250S, BMW R100GS,
Yamaha XTZ 750 etc.
6. Standards bikes
Standards, also called naked bikes or roadsters are versatile, general purpose
street motorbike. It is recognized primarily by their upright riding position, partway
between the reclining rider postures of the cruisers and the forward leaning sport
bikes. Naked bikes are often un-faired sports bikes or modern bikes. I.e. Honda
CB1000R, KTM Duke 690, Honda CB500, Ducati Monster 821 etc.
7. Off-road or Dirt bikes
Off-road bikes are also known as dirt bikes; specially designed for off-road
events. Compared to road going motorbikes, off-road machines are simpler and
lighter, having long suspension travel, high ground clearance, and rugged
construction with little bodywork and no fairings for less damage in spills. Wheels

35

(usually 21" front, 18" rear) have knobby tires, often clamped to the rim with a rim
lock. I.e. Enduro, Supermoto, Suzuki Jr50, Endurocross, Erzberg Rodeo etc.

36

COMPANY
PROFILE

37

History of Bajaj Auto


The Bajaj Group was founded in 1926 by Jamnalal Bajaj. The Bajaj group
comprises of 34 companies. The Bajaj Group is amongst the top 10 business
houses in India. Its footprint stretches over a wide range of industries, spanning
automobiles (two-wheelers and three-wheelers), home appliances, lighting, iron
and steel, insurance, travel and finance.
Bajaj Auto came into existence on 29 November 1945 as M/s Bachraj Trading
Corporation Private Limited. The company is into manufacturing of motorcycles,
scooters and threewheelers. In India, Bajaj Auto has a distribution network of
485 dealers and over 1,600 authorized services centers. It has 171 exclusive
dealers for the threewheeler segment .It has total 3750 rural outlets in rural
areas. The Bajaj brand is wellknown across several countries in Latin America,
Africa, Middle East, South and South East Asia. It has a distribution network in 50
countries with a dominant presence in Sri Lanka, Colombia, Bangladesh, Mexico,
Central America, Peru and Egypt.
It started off by selling imported two- and three-wheelers in India. In 1959, it
obtained a licence from the Government of India to manufacture two-wheelers
and three-wheelers and it became a public limited company in 1960. In 1970, it
rolled out its 100,000th vehicle. In 1977, it sold 100,000 vehicles in a financial
year. In 1985, it started producing at Waluj near Aurangabad. In 1986, it sold
500,000 vehicles in a financial year. In 1995, it rolled out its ten millionth vehicles
and produced and sold one million vehicles in a year. With the launch of
motorcycles in 1986, the company has changed its image from a scooter
manufacturer to a two-wheeler manufacturer.
It has technical tie up with Kawasaki Heavy Industries of Japan to manufacture
latest models in the twowheeler space. Bajaj Auto has launched brands
like Boxer, Caliber, Wind125, Pulsar and many more. It has also launched India's
first real cruiser bike, Kawasaki Bajaj Eliminator.

38

a. Company profile of Bajaj auto

Type
Industry
Year of Established

Public company
Automotive -Two & Three Wheelers
November
29,
1945
in
Pune,
Maharashtra, India

Founder
Headquarters
Key people
Products

Jamnalal Bajaj
Pune, India
Rahul Bajaj (Chairman)
Rajiv Bajaj (Managing Director)
Scooters, Motorcycles, Auto rickshaw

Number of employee

9,119 (March 2014)

Presence

Distribution network covers 50 countries.


Dominant presence in Sri Lanka, Peru,
Bangladesh,
Columbia,
Guatemala,
Egypt, Iran and Indonesia.

Business Group
Subsidiaries
Website

Bajaj Group
Bajaj Auto Indonesia
www.bajajauto.com

Plants of Bajaj Auto


Bajaj Autos has in all three plants, two at Waluj and Chakan in Maharashtra and
one plant at Pant Nagar in Uttaranchal, western India.

Waluj Bajaj range of Motorcycles and three-wheelers


Chakan - Bajaj range of Motorcycles
39

Pant Nagar - Bajaj range of Motorcycles

Vision and Mission statement of Bajaj Auto

Vision

To attain world class Excellency by demonstrating value added products to


customers

Mission

Focus on value based manufacturing continual improvement total elimination


wastes pollution free and safe environment

Models of Bajaj Motorcycle

Bajaj CT 100

Bajaj Platina 100

40

Bajaj Discover 100M

Bajaj Discover 125M

Bajaj Discover 150S

Bajaj Discover 150F

Bajaj Avenger 220

Bajaj Pulsar 135LS

Bajaj Pulsar 150

Bajaj Pulsar 150NS

Bajaj Pulsar 180

Bajaj Pulsar AS200

Bajaj Pulsar 220F

Bajaj Pulsar RS200

Timeline of New Releases of Bajaj Auto


19611971 Vespa 150 under the licence of Piaggio of Italy
41

1971 Three-wheeler goods carrier


1972 Bajaj Chetak
1976 Bajaj Super
1975 Bajaj Priya
1977 Rear engine auto rickshaw
1981 Bajaj M-50
1986 Bajaj M-80, Kawasaki Bajaj KB100,
1990 Bajaj Sunny
1991 Kawasaki Bajaj 4S Champion
1993 Bajaj Stride
1994 Bajaj Classic
1995 Bajaj Super Excel
1996 - Bajaj SX Enduro
1997 (Bajaj KB125) Kawasaki Bajaj Boxer, rear engine diesel autorickshaw.
1998 Kawasaki Bajaj Caliber, Bajaj Super 99,
1999 Bajaj Legend, Bajaj Bravo, Bajaj Chetak 99, Bajaj Spirit
2000 Bajaj Saffire, Bajaj Prowler
2001 Eliminator, Bajaj Pulsar, Kawasaki Bajaj Aspire, Caliber Croma
2003 Caliber 115, Kawasaki Bajaj Wind 125, Bajaj Pulsar DTS-i
2004 Bajaj CT 100, New Bajaj Chetak 4-stroke with Wonder Gear, Bajaj
Discover DTS-i

42

2005 Bajaj Wave, Bajaj Avenger, Bajaj Discover 112


2006 Bajaj Platina
2007 Bajaj Pulsar-200 (Oil Cooled), Bajaj Kristal, Bajaj Pulsar 220 DTS-Fi (Fuel
Injection), XCD 125 DTS-Si
2008 Bajaj Discover 135 DTS-i
2009 Bajaj Pulsar 135, Bajaj XCD 135 cc, Bajaj Pulsar 150 DTS-i UG IV, Bajaj
Pulsar 180 DTS-i UG IV, Bajaj Pulsar 220 DTS-i, Bajaj Discover 100 DTSSi, Kawasaki Ninja 250R
2010 Bajaj Discover 150
2011 Bajaj Discover 125
2012 Bajaj RE 60, mini car for intra-city urban transportation
2012 Bajaj Pulsar 200 NS, launch of 200 cc bike, Discover 125ST
2013 - Bajaj Discover 125ST discover 100T
2014 - Bajaj Discover 150F, 150S
2015 - Bajaj Platina 100 ES, Bajaj CT 100 (Re introduced), Pulsar RS 200,
Pulsar AS200 & AS150, Pulsar NS150

Awards and Recognition

43


Bajaj Pulsar 135 LS received Bike of the Year 2010 award from BBC Top Gear
and Bike India.

Pulsar 220 DTS-Fi received the Bike of the Year 2008 award by all major Indian
automobile magazines like Overdrive, Auto Car, Business Standard Motoring
and Bike Top Gear.

In 2006, Bajaj Auto won the Frost & Sullivan Super Platinum Award for
manufacturing excellence in its Chakan Plant.

It received award for The Most Customer Responsive Company in Automobiles


category in a survey conducted by Economic Times for the years 2004, 2006
and 2008.

Bajaj Auto received the Bike Maker of the Year award in ICICI Bank Overdrive
Awards 2004.

Bajaj Pulsar 180 DTS-i won the BBC World Wheels Viewers Choice 2 Wheeler
of the Year 2003 award.

44

Management team of Bajaj Auto


Board of Directors
Rahul Bajaj
Madhur Bajaj
Rajiv Bajaj
Sanjiv Bajaj
Pradeep Shrivastava
Abraham Joseph
R C Maheshwari
Rakesh Sharma
Eric Vas
Kevin P Dsa
S Ravikumar
Amrut Rath
Ranjit Gupta
N H Hingorani
C P Tripathi
J. Sridhar

Designation
Chairman
Vice chairman
Managing Director
Executive Director
Chief Operating Officer
Chief Technology Officer
President (Commercial Vehicle Business)
President (International Business)
President (Motorcycle Business)
President (Finance)
President (Business Development & Assurance)
President (Human Resources)
President (Insurance, BFSL)
Advisor (Materials)
Advisor (Corporate Social Responsibility)
Company Secretary

45

Introduction of Shivam Bajaj


Shivam Bajaj is started on 1 st November, 2013. Shivam Bajaj is a presently new
make show room of a Bajaj executive authorized dealer of the south Gujarat. It
exclusively handles Bajaj two-wheelers and promotes business activities based
on policies that focus on customer satisfaction. Shivam Bajaj in its respective
markets and provide 4S facilities under one roof as per Bajaj's worldwide
standards. Like sales, services, spare parts, safe riding etc.
Company profile of Shivam Bajaj
Company Name

Shivam Bajaj

Established

1st November, 2013

Address

FF-1, Mansarovar Heights Opp. Bhaktidham


temple, Puna Kumbhariya Road, Puna Patia
Magob, Surat-395010.

Phone No.

(0261) 2645577

Mobile No.

+918866770101, +918866550202

E-mail

Shivambike77@gmail.com

Owner Name

Mr. Dharmeshbhai Palsanawala


Mr. Hirenbhai Patel

Manager Name

Mr. Shoban Mulla

Authorized Dealer

Bajaj Auto limited

Number of employee

30

Products
CT-100, Platina, Discover, Avenger, Pulsar
Two more authorized dealers of Bajaj Motorcycle are available in Surat
city.
Name

Fortune Bajaj
46

Address

M/s Fortune Bajaj,G-5, Deepkamal Complex, Near

Phone no.
E-mail

Sarthana Zoo, Nana Varachha-395009


(0261) 2575708
d11803@baldealer.com

Name

Surat Bajaj

Address

M/s, Gujarat Motors Pvt. Ltd. , Opera House, Opp.

Phone no.
E-mail

Sanghvi Road, Gujarat Gas Circle-395009


(0261)2789595, 2789555
d10971@baldealer.com

b. Organogram

Owner
47

Sales
Manager

Sales
Executive

Marketing
Manager

Back Office

Service
Manager

Workshop
Manager

Workshop
Person

c. Division/ Departments
There are many departments. Name of the departments are following them:
Sales Department
Service Department
Accessories Department
Finance Department
HR Department

48

d. SWOT Analysis

Strengths
Highly experienced management.
Widespread distribution network.
Good experience workers.
Excellent marketing.
Excellent reputation in market.

Weaknesses
After sales services is very poor.
49

Lag in the distribution of products or payment delays.

Opportunities

Cheaper variants for tapping more in the rural segment.


Premium sport bikes for urban areas.
Constant growth in the two-wheeler segment.

Threats
Cheaper imports from countries like China.
Entry of international brands.
Other motorcycle players have a strong brand presence.

e. Market Position
In two wheeler market, Bajaj Auto faces stiff competition from new and existing
players. Various product launches by Hero Motor Corp, Honda, Yamaha and TVS
are expected over the medium term and this could put pressure on the domestic
market share of the Company. Bajaj Auto sales declined by 4% to 301,826. Bajaj
Auto being in the list of downfall.
Bajaj Auto is the worlds largest three-wheeler manufacturer. The domestic three
wheeler industry has three major participants namely Bajaj Auto, Piaggio
Vehicles, Mahindra and Mahindra. For FY 2014, the Company has a leadership
position in the segment with 53.7% market share. To maintain its position, the
Company has launched a number of new product variants focusing on best
mileage, competitive pricing, and low maintenance cost.

50

Bajaj Auto has a diversified product portfolio including motorcycles for all
segments: Platina, Discover, Pulsar and Ninja (sport) and sizeable presence in
three-wheelers segment. The Company derives about one-third of its revenues
from the export of two and three-wheelers. This product diversification helped
Bajaj Auto achieve its highest ever EBITDA in FY 2013-14.
Their sales as compared to May 2014, this year were lower which stood at
301,862 units compared to 313,020 in 2014 reporting a decline of 4%. While its
commercial vehicle saw a rise in sale by 13% to 43,576 units in May 2015 as
compared to the numbers of 38,416 units in May 2014.
The Company has shown consistent growth over the last 5 years (2009-10 to
2013-14). Its net revenue from operations over this period grew at an impressive
CAGR of 9.94 %. For FY 2014, income from operations increased by 0.58 % to
Rs. 20,158.29 Cr. from Rs. 20,041.99 Cr. The Company has a strong dividend
history and has maintained an average dividend yield of 4.48% over the last 5
financial years. For FY 2014, the Company declared a dividend of 500 % i.e. Rs.
50 per share.

51

REVIEW OF
LITERATURE

Mrs.G. Mahalakshami (Nov 2014) studied of customer satisfaction on two


wheelers a special reference with TVs XL in Theni district. And found from
survey that two wheeler brands are taken necessary promotional activities to
increase their demand by introducing new models. In olden days the people used
only the bicycle and rarely used the two wheelers. But now a days each and
every one have the two wheelers in Theni district most of the respondents prefer
the TVs XL for their riding comfort and satisfied with their services.

52

V. Devki & Dr. H. Balakrishnan (Nov 2013) studied of Customer Preference


towards Hero two wheeler after termination if Hero Honda using primary data
and found from survey that the purchase of two wheeler is independent of the
annual income of buyer; this could perhaps be due to the easy loan available and
customer friendly. Majority of the respondents give more importance to price and
prefer the middle ranged bikes like, splendor and passion. It is perceived that
most of the people confirmed that they will miss the Hero Honda and skeptic
about the Hero. The future choice of Hero is only 36 % of the existing customer
who prefer to stay with Hero.
Dr. N.Yesodha Devi, Mrs. C.Gomathy, Mrs.R.Krishnakumari (Oct 2013)
studied of Consumer Preference and Satisfaction towards Sedan Cars in
Coimbatore City using primary data and found from survey that the present
study made an attempt to understand car purchase satisfaction and influential
factors affecting purchase decision. Most of the buyers are satisfied with the
services provided by the dealers and they preferred fiesta brand because of its
comfortability. They also find there is no significant difference between the Age,
Sex, Marital status, Occupation, Monthly income, Number of members in the
family and satisfaction level of cars.
Dr. Duggani Yuvaraju & Prof. S. Durga Rao (May 2014) studied of Customer
Satisfaction towards Honda two-wheelers with reference with Tirupati that
finding from survey that the 90 percent of the customers were completely
satisfied with the mileage and performance of the bike, 10 percent of the
customers are dissatisfied with the mileage. Also the respondents were aware
about this company. Most of the customers agree that Honda is best quality with
reasonable price the attitude 50% of customers towards price of Honda Bikes is
reasonable. But 10% of the customers are asking for improvement in the quality.
Kavita Dua & Savita (April 2013) studied of A study of customer Satisfaction
with reference to Tata motor passenger vehicles and found that mostly Tata
53

customers purchased car on loan, used the Tata car for personal purpose, having
the car from 1-5 year and they are recommended by their friends as well as take
preventive maintenance from authorized dealer. It was found that the customer
are mostly satisfied with price , design, safety, mileage, interior space, status
brand name, comfort level, spares part and after sale service. Finding pertaining
to most influencing show that most influencing factor for customer satisfaction in
case of Tata Motors were price, mileage and interior space.
Mahapatra, kumar and Chauhan (2010) studied on "customer satisfaction,
dissatisfaction on small size passenger cars in India" with the main objectives to
examine the satisfaction and impact on future purchase decision and explore the
performance of different attributes and they revealed from this study that
customers are highly satisfied with the performance of attributes like pickup,
wipers, etc. and other attributes like pollution, engine, quietness, battery
performance, and pick up influence the consumer future purchase decisions and
consumer give the more importance to these factors.

Kurkoti and Prabhu (2011) revealed a study on "Customer Satisfaction with


reference to Tata nano car in Pune city" with the objectives to determine the
customer satisfaction towards Tata Nano, to study the gap analysis and to find
out the impact of fire incidences on Nano car users. They concluded from the
study that Nano car customers are not satisfied with the performance and waiting
period of car but they satisfied with the safety of car and fire incidences report
that has impact on the customer satisfaction.
Sharma, Kiran Sharma and Khan (2011) studied on "analysis of customer
satisfaction of Tata motors in Jaipur, Rajasthan with the objectives to find out the
satisfaction among the customers, market performance and market position of
Tata motors. They find that 73% people feel that safety are affordable whereas
54

12% do not agree, 74% believe that attractive discount are offered but 26% are
not satisfied with the discount offered , but the overall opinion about Tata Motors
is very good.
Singh (2011) study on "An empirical review of the product and customer
satisfaction of Tata commercial vehicles" to find out the quality of service,
performance. These studies they find that consumer prefer the Tata commercial
vehicles due to its better quality, brand image, easy availability of service
stations, spare part quality etc.
Ganesh and Soundarapandiyan (2011) conducted a study on "i10 Hyundai
Chennai: customer satisfaction level" with the sample size of 150 customers and
tools used percentage analysis, chi square and multiple regression analysis. The
objectives of the study was to identify the post purchase behaviour and customer
satisfaction level and find the effectiveness of after sales service of customer of
Hyundai i10. They revealed from the study that customers are satisfied with the
car after purchase because its gives the feel of luxury to customers and a
convenience of smaller car in crowded area. Its most stylish as compared to
others.
Lohana and sharma (2012) conducted a study on "customer satisfaction
towards Hyundai cars in Nanded city" with the objectives is to identify the
customer preferences and parameter about the Hyundai cars. They have taken
the sample of 60. They concluded from the study that 50% customers are
satisfied with the overall performance of their vehicle. The customers are
satisfied with the fuel efficiency, brand image, after sales service and economy in
purchase etc.
Rao and Kumar (2012) revealed study on "Customer satisfaction towards Tata
Motors - A study on Passenger cars in Warangal district of Andhra Pradesh" with
the objectives to study the customer satisfaction with the usage of vehicles, after
sale service, key area of strength, pricing affects, service and quality. They take
55

the sample of 100 respondents and used the percentage technique. They
concluded from the study that majority of customers are satisfied with the safety,
dealer service, customer relationship and availability of spares etc.
Kerav Pandya & H. J. Jani (March 2011) study on Customer Satisfaction
among Two-Wheeler Users an Indian experience with special reference to
motorcycle users and found from survey that few years ago, in two-wheelers,
only the mileage was the main feature for motorcycle purchasers. But now the
situation is not the same. It was found that style and power of motorcycle were
also important reasons for purchasing a motorcycle. As the main factor creating
dissatisfaction was after sales service, companies are recommended to improve
on this factor.
S Saraswathi (2008) study on Customer Satisfaction on Post-Sales Service
with Reference to Two-Wheeler Automobile Industry and found from the survey
mostly customer satisfied with examining the vehicle in presence of the
customer. 80 percent customers are satisfied with the accuracy in delivery time,
41% of the customers are satisfied with examining the vehicle in presence of the
customer.
Ms.M.Shanthini Devi & Ms.S.Arunpriya (Aug 2013) studied on Customer
Satisfaction towards Tata Nano Car with Special Reference to Coimbatore City
and they found from the survey that, the customers have a good preference
towards Tata Nano vehicle. They are mainly motivated by price of the car. The
popularity of the brand also. Overall, it can be concluded that customers are
satisfied with the price, appearance of the vehicle and comfortability in crowded
area but they expect variety of models.
Balasubramani S. & Suganthi M. & Suresh P. (Sept 2013) studied on An
Empirical Study on Consumer Preference towards Hyundai Cars in Salem City
and found from the survey that the majority of the respondents prefer the finance

56

mode of purchase (55.84%) rather than cash mode and in finance respondents
are prefer bank finance rather than private finance.
Ms. Ameer Asra Ahmed & Dr. M.S. Ramachandra & Mr. Siva Nagi Reddy
(Oct-Dec 2014) study on Customer Satisfaction level towards Royal Enfield
Bullet and they found that most of the respondents were not fully satisfied with
the price, performance, utility benefits, aesthetics and service scheme of their
Royal Enfield Bullet Most of the respondents were happy riding Royal Enfield
Bullet and also they were overall satisfied with the performance of their Royal
Enfield Bullet. In younger generation middle age are more interesting to purchase
this bullet.
Devang Desai (2014) study on Customer Satisfaction towards Royal Enfield
Bullet and they found from the survey that it has been more than 50 years now
that bikes have been ruling the Indian automobile sector. 350cc Bullet the super
bike in India of all times, from the Royal Enfield Company of UK were received
and assembled at Chennai. In this bullet; four-stroke engines are thought to be
more fuel efficient motorbikes. They are the main reason for the growth of
motorbikes in India as a segment.
Shivamba M (2014) Study on Customer Satisfaction towards various brands of
two wheelers in India and from these survey they found that the motorcycle
segment was initially dominated by Enfield 350cc bikes and Escorts 175cc bike.
The two-wheeler market was opened to foreign competition in the mid-80s and
then market leaders Escorts and Enfield were caught unaware by the
onslaught of the 100cc bikes of the four Indo-Japanese joint ventures. With the
availability of fuel efficient low power bikes, demand swelled, resulting in Hero
Honda.
Mrs. Beena John & Dr. S. Pragadeeswaran (March- April 2013) studied on
Small Cars Consumer Preference in Pune city and they found that demographic
57

factors like age, gender, education, status, and income influence consumers
indirectly for small car buying preference. Value consciousness & price quality
inference are the important factors which influence small car buying. Male
consumers preferred Diesel cars while female respondents preferred petrol cars
Schiffman and Kanuk, (1997) study on Customer Preference towards Small
Car and this survey then found that how people build their preferences to spend
their resources like time, money, and effort on consumption-related things.
Consumer behavior is a study of the process concerned when people choose,
purchase, use, or eliminate products, services, ideas, or experiences to satisfy
wants and needs.
Sagar and Chandra (2004) study on Customer preference towards small cars
and find that, how Indian car industry has leaped forward technologically with
intensified technological capabilities .the industry is driven by a confluence of
factors such as strong competition, changing consumer preferences, government
policies especially with tightening of emission standards, and the global
strategies of the various players. They detailed about cars manufactured in India
with better designs& incorporating advanced technologies that are often
comparable with those available globally and also commented Indian car exports
are also growing in leaps and bounds.
Banerjee, Ipsita (2011) studied about Car Acquisition & Ownership Trends in
Surat city and found that vehicle choice behavior recognized that household
income is the chief determinant of the number and size of cars that household
possess, and that family size is a much less important factor & smaller vehicles
were preferred even by larger family.
Dr. Mrs. Punithava pandian & A. Arunchala Rajan (Jan 2014) study on
Customer Satisfaction Level towards the Use of Bajaj Bikes with Special
Reference to Tirunelveli Town, Tamilnadu and they found from the survey that
58

full satisfaction over the work that was done by him independently with the
supervision of his Guide. they promote their services so effectively in the days to
come.
Dr. K. Ravichandran & K. Venkatesh & Dr. R. Muruganandham study on
Customer Preference of Automobile and they found that Considering brand and
brake system, consumer preference polo, Considering brand and comfort,
consumer preference polo, Considering brand and mileage, consumer
preference vista, Considering brand and maintenance cost, consumer preference
Figo and Ritz. Customer always gives importance to Mileage and brake systems.
Rachel Dardis and Horacio Soberon-Ferrer(1994) have investigated the
rapport between automobile attributes and household characteristics to
consumer preferences for cars. They found that indicated that the coefficients of
five automobile quality attributes were statistically significant while the
coefficients of most household characteristics were not significant. Households
were interested in more fuel efficient and heavier cars as well as cars with lower
depreciation rates and a lower frequency of repair are more likely to buy
Japanese than non-Japanese cars.

59

RESEARCH
METHODOLOGY

a. Problem Statement
In todays intensely competitive environment, companies today are constantly
looking for ways to attract customers by having a better understanding of
changing customer preferences. The ever changing market characteristics have
huge impact on corporate decisions. Therefore this study has been conducted to
find the Customer Preference and Satisfaction towards Bajaj Bikes.

60

b. Research Objective
I. Primary objective
To ascertain the customer preference and satisfaction towards the Bajaj
II.

bikes.
Secondary objective
To determine which is/are the most attractive attribute for purchasing Bajaj

bikes.
To find the areas of improvement of the Bajaj bikes.
To know the respondents problems towards Bajaj bikes.
To study association between demographic variables and different
attributes of Bajaj bikes.

61

c. Research Design
I. Type of Design
Descriptive Research Design
II. Types of Data
Primary data
III. Instrument for data collection
Questionnaire
IV. Sample population
Customers who are using Bajaj bike
V. Sample area
Surat city
VI. Sample size
200
VII.
Sampling Method
Non-probability convenience sampling method
VIII.
Tools for Analysis
Charts with the use of Microsoft Excel 2010
Chi-square test with the use of SPSS 16.0
IX. Limitations of the Study
The study has been conducted only in Surat city and so the opinion of the
respondents in Surat only has been considered. A conclusion is based on
assumption. It has been assumed that the answers given by the
respondents are true and adequate. The time allotted for the study was

short otherwise a more in depth study could be made.


I have taken only 200 respondents which may or may not represent the
whole population.

62

DATA ANALYSIS &


INTERPRETATION

1) Frequency of Age (in years)


Table 6.1

63

Criteria

No. of

Percentage (%)

responden
t
103
90
7
200

18-30
31-45
46-60
Total

51.5
45
3.5
100

Fig. 6.1

3.5
18-30
51.5

45

31-45
46-60

Interpretation
Out of 200 respondents 51.5% of respondents are 18-30 years age and 45% of
respondents are 31-45 years age whereas only 3.5% of respondents are 46-60
years age.

2) Frequency of Occupation
Table 6.2
64

Criteria

No. of

Percentage (%)

responden
t
Businessma

68

34

n
Salaried
Retired
Student
Professional
Total

69
1
61
1
200

34.5
0.5
30.5
0.5
100

Fig. 6.2

1%
31%

34%

Businessman
Salaried
Retired
Student

1%

Professional
35%

Interpretation
Out of 200 respondents 34% of respondents are businessman, 34.5% of
respondents are salaried, and 30.5% of respondents are student. While, 0.5%
out of them are retired and professional.

3) Frequency of Education
Table 6.3
65

Criteria

No. of

Percentage (%)

responden
H.S.C. or

t
27

13.5

below
Undergraduat

48

24

e
Graduate
Postgraduate
Total

117
8
200

58.5
4
100

Fig. 6.3

13.5
H.S.C. or below
24

Undergraduate
Graduate
Postgraduate

58.5

Interpretation
Out of 200 respondents 58.5% of respondents are graduates. While, 24% of
respondents are undergraduate, 13.5% of respondents are H.S.C. or below, and
4% of respondents are Postgraduate.
4) Frequency of Monthly income
Table 6.4
66

Criteria

No. of

Percentage (%)

Less than 15000


15001-30000
30001-50000
Total

respondent
75
88
37
200

37.5
44
18.5
100

Fig. 6.4
50
44

45
37.5

40
35
30
25

Monthly income

20

18.5

15
10
5
0
Less than 15000

15001-30000

30001-50000

Interpretation
Out of 200 respondents 44% of respondents monthly income is 15001-30000,
37.5% of respondents monthly income is less than 15000 and 18.5% of
respondents monthly income is 30001-50000.

5) Frequency of how did you come to know about Bajaj bike.


Table 6.5
Criteria

No. of

Percentage (%)

respondent
67

Friends
Media
Relatives
Others
Total

40
102
58
0
200

20
51
29
0
100
Fig. 6.5

20%

29%
Friends

Media

Relatives

51%

Interpretation
Out of 200 respondents 51% of respondents have known about Bajaj bikes from
media, where as 29% of respondents known about Bajaj bikes from relatives and
20% of respondents have known from friends.

6) Which model did you buy?


Table 6.6
Models of
Bajaj bike
CT 100
Platina 100

No. of

Percentage

respondent
9
22

(%)
4.5
11

68

Discover 100
Discover 100M
Discover 125M
Discover 150S
Discover 150F
Avenger 220
Pulsar 135LS
Pulsar 150
Pulsar 150AS
Pulsar 180
Pulsar 200NS
Pulsar AS200
Pulsar 220F
Pulsar RS200
Total

10
16
21
3
5
18
11
19
4
17
12
12
18
3
200

Fig. 6.6

69

5
8
10.5
1.5
2.5
9
5.5
9.5
2
8.5
6
6
9
1.5
100

Different models of Bajaj


12

10

Model

Pu
ls
ar
RS
20
0

S
Pu
ls
ar
20
0N

Pu
ls
ar
15
0

D
is
co
ve
r1
50
F

D
is
co
ve
r1
00
M

CT

10
0

Interpretation
Out of 200 respondents 22 respondents have using Platina 100, 21 respondents
have using Discover 125M, 19 respondents have using Pulsar 150, 18
respondents have using Avenger 220, 18 respondents have using Pulsar 220F,
17 respondents have using Pulsar 180, 16 respondents have using Discover
100M, 12 respondents have using Pulsar 200NS, 12 respondents have using
Pulsar 200AS, 11 respondents have using Pulsar 135LS, 10 respondents have
using Discover 100, 9 respondents have using CT 100, 5 respondents have
using Discover 150F, 4 respondents have using Pulsar 150AS, 3 respondents
have using Discover 150S, 3 respondents have using Pulsar RS200.
7) Which is/are the most attractive attribute/attributes?

70

Table 6.7
Attributes

Price
Mileage
Stylish look
Pickup
Engine Capacity
Colors
Maintenance cost
Brand image
Comfortable ride
Total

Respondents

Percentage

responses

(%)

out of 200
193
186
32
6
171
10
180
24
11
813

23.74
22.88
3.94
0.74
21.03
1.23
22.14
2.95
1.35
100

Fig. 6.7

71

25.00

23.74

22.88

22.14

21.03

20.00
15.00
10.00
3.94

5.00

2.95

Most Attractive attribute


1.23
0.74

1.35

At
tr
ib
ut
e
rid
e
fo
rt
ab
le

Co
m

M
ai
nt
en
an
ce

co
st

At
tr
ib
ut
e

At
tr
ib
ut
e
Ca
pa
ci
ty

En
gi
ne

lo
ok
St
yl
is
h

Pr
ic
e

At
tr
ib
ut
e

At
tr
ib
ut
e

0.00

Interpretation
Out of 200 respondents 23.74% of respondents have said price is a most
attractive attributes while purchasing a Bajaj bike, 22.88% of respondents have
said mileage is a most attractive attributes while purchasing a Bajaj bike, 22.14%
of respondents have said maintenance cost is a most attractive attributes while
purchasing a Bajaj bike, 21.03% of respondents have said Engine capacity is a
most attractive attributes while purchasing a Bajaj bike, while 3.94% of
respondents have said stylish look is a most attractive attributes while purchasing
a Bajaj bike, 2.95% of respondents have said brand image is a most attractive
attributes while purchasing a Bajaj bike, 1.35% of respondents have said
comfortable ride is a most attractive attributes while purchasing a Bajaj bike, .
1.23% of respondents have said color is a most attractive attributes while
purchasing a Bajaj bike, 0.74% of respondents have said pickup is a most
attractive attributes while purchasing a Bajaj bike.

72

8) While comparing with other bike; the model of Bajaj bike is?
Table 6.8
Criteria

Responden

Percentage (%)

Good
Need to improve
Cant say
Total

t
190
10
0
200

95
5
0
100

Fig. 6.8

Need to improve; 5%

Good; 95%

Interpretation
Out of 200 respondents 95% of respondents have said model of Bajaj bike is
good, but 5% of respondents have said need to improve the model of Bajaj bike.

73

9) Frequency of customer satisfaction towards Price


Table 6.9
Price

No. of

Percentage

Highly satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
Total

respondent
4
114
58
20
4
200

(%)
2
57
29
10
2
100

Fig. 6.9

10 22
Highly satisfied
Satisfied
Average

29
57

Dissatisfied
Highly dissatisfied

Interpretation
From the above table it is clear that 57% of the respondents are satisfied, 29% of
the respondents are average satisfied with the price of Bajaj bike. While 10% of
the respondents are dissatisfied, 2% of the respondents are highly satisfied and,
2% of the respondents are highly dissatisfied.
10) Frequency of customer satisfaction towards Mileage
Table 6.10
74

Mileage

No. of

Percentage

responden

(%)

t
Highly satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
Total

6
99
81
10
4
200

3
49.5
40.5
5
2
100

Fig. 6.10

5 23
Highly satisfied
Satisfied
40.5

49.5

Average
Dissatisfied
HIghly dissatisfied

Interpretation
From the above table clear that 49.5% of the respondents are satisfied and
40.5% of the respondents are average satisfied with the mileage of Bajaj bike.
While 5% of the respondents are dissatisfied, 3% of the respondents are highly
satisfied and 2% of the respondents are highly dissatisfied.
11) Frequency of customer satisfaction towards look & style
Table 6.11

75

Look & style

No. of

Percentag

responden

e (%)

t
Highly satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
Total

11
74
93
16
6
200

5.5
37
46.5
8
3
100

Fig. 6.11

8% 3% 6%

Highly satisfied
37%

47%

Satisfied
Average
Dissatisfied
Highly dissatisfied

Interpretation
From the above table clear that 46.5% of the respondents are average satisfied
and 37% of the respondents are satisfied with the look & style of Bajaj bike.
While 8% of the respondents are dissatisfied, 5.5% of the respondents are highly
satisfied and 3% of the respondents are highly dissatisfied.
12) Frequency of customer satisfaction towards Pickup
Table 6.12

76

Pickup

No. of

Percentag

responden

e (%)

t
Highly satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
Total

11
96
73
10
10
200

5.5
48
36.5
5
5
100

Fig. 6.12

8
31.5

4 4.5
Highly satisfied
52

Satisfied
Average
Dissatisfied
Highly dissatisfied

Interpretation
From the above table clear that 48% of the respondents are satisfied and 36.5%
of the respondents are average satisfied with the pickup of Bajaj bike. While 5%
of the respondents are dissatisfied, 5.5% of the respondents are highly satisfied
and 5% of the respondents are highly dissatisfied.
13) Frequency of customer satisfaction towards Engine capacity
Table 6.13

77

Engine capacity
Highly satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
Total

No. of
respondent
9
104
63
16
8
200

Percentage
(%)
4.5
52
31.5
8
4
100

Fig. 6.13

4 4.5

31.5

Highly satisfied
Satisfied

52

Average
Dissatisfied
Highly dissatisfied

Interpretation
From the above table clear that 52% of the respondents are satisfied and 31.5%
of the respondents are average satisfied with the engine capacity of Bajaj bike.
While 8% of the respondents are dissatisfied, 4.5% of the respondents are highly
satisfied and 4% of the respondents are highly dissatisfied.
14) Frequency of customer satisfaction towards Colors
Table 6.14
Colors

No. of
78

Percentag

responden

e (%)

t
Highly satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
Total

29
79
77
10
5
200

14.5
39.5
38.5
5
2.5
100

Fig. 6.14

Dissatisfied; 5% Highly dissatisfied; 3% Highly satisfied; 15%

Average; 39%
Satisfied; 40%

Interpretation
From the above table clear that 39% of the respondents are satisfied and 39% of
the respondents are average satisfied with the colors of Bajaj bike. While 5% of
the respondents are dissatisfied, 14% of the respondents are highly satisfied and
3% of the respondents are highly dissatisfied.
15) Frequency of customer satisfaction towards maintenance cost
Table 6.15
Maintenance cost

No. of
79

Percentage

Highly satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
Total

respondent
16
63
86
28
7
200

(%)
8
31.5
43
14
3.5
100

Fig. 6.15

14

3.5 8
Highly satisfied
Satisfied

31.5

Average
Dissatisfied
Highly dissatisfied

43

Interpretation
From the above table clear that 43% of the respondents are average satisfied
and 31.5% of the respondents are satisfied with the maintenance cost of Bajaj
bike. While 14% of the respondents are dissatisfied, 8% of the respondents are
highly satisfied and 3.5% of the respondents are highly dissatisfied.
16) Frequency of customer satisfaction towards Brand image
Table 6.16
Brand image

No. of

Percentag

responden

e (%)

80

t
Highly satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
Total

11
79
90
13
7
200

5.5
39.5
45
6.5
3.5
100

Fig. 6.16

7 3 5.5

Highly satisfied
39.5

45

Satisfied
Average
Dissatisfied
Highly dissatisfied

Interpretation
From the above table clear that 48% of the respondents are average satisfied
and 39.5% of the respondents are satisfied with the brand image of Bajaj bike.
While 6.5% of the respondents are dissatisfied, 5.5% of the respondents are
highly satisfied and 3.5% of the respondents are highly dissatisfied.
17) Frequency of customer satisfaction towards Resale value
Table 6.17
Resale value

No. of

Percentag

responden

e (%)

81

t
Highly satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
Total

0
6
67
109
18
200

0
3
33.5
54.5
9
100

Fig. 6.17

9% 3%
34%

Satisfied
Average
Dissatisfied
Highly dissatisfied

55%

Interpretation
From the above table clear that 54.50% of the respondents are dissatisfied and
33.50% of the respondents are average satisfied with resale value of Bajaj bike.
While 9% of the respondents are highly dissatisfied and only 3% of the
respondents are satisfied.
18) Frequency customer satisfaction towards comfortable ride
Table 6.18
Comfortable ride

No. of

Percentag

responde

e (%)

82

nt
Highly satisfied
Satisfied
Average
Dissatisfied
Highly dissatisfied
Total

23
74
86
11
6
200

11.5
37
43
5.5
3
100

Fig. 6.18

6% 3%12%
43%

Highly satisfied
37%

Satisfied
Average
Dissatisfied
Highly dissatisfied

Interpretation
From the above table clear that 37% of the respondents are satisfied and 43% of
the respondents are average satisfied with the comfortable ride of Bajaj bike.
While 5.5% of the respondents are dissatisfied, 11.5% of the respondents are
highly satisfied and 3% of the respondents are highly dissatisfied.
19) Frequency of customer satisfaction towards after sales services
Table 6.19
After sales services
Satisfied

No. of
respondent
5
83

Percentage
(%)
2.5

Average
Dissatisfied
Highly dissatisfied
Total

45
135
15
200

22.5
67.5
7.5
100

Fig. 6.19

Highly dissatisfied; 8% Satisfied; 3%


Average; 23%

Dissatisfied; 68%

Interpretation
From the above table clear that 67.5% of the respondents are dissatisfied and
7.5% of the respondents are highly dissatisfied with the after sales services of
Bajaj bike. While 22.5% of the respondents are said average and only 2.5% of
the respondents are satisfied.

20) Frequency of Rank


Table 6.20
Rank
1

Bajaj
32

Hero
140

Hond

Yamah

Suzuk

28

0
84

TVS
0

2
3
4
5
6
Total

51
117
0
0
0
200

43
17
0
0
0
200

105
67
0
0
0
200

0
0
187
13
0
200

0
0
7
167
26
200

0
0
7
19
174
200

Fig. 6.20
200
180
160
140

Rank 1

120

Rank 2

100

Rank 3

80

Rank 4
Rank 5

60

Rank 6

40
20
0
Bajaj

Hero

Honda Yamaha Suzuki

TVS

Interpretation
Out of 200 respondents 32 respondents have given 1 st rank, 51 respondents
have given 2nd rank, and 117 respondents have given 3 rd rank to Bajaj. While
none of the respondents have given 4th, 5th, and 6th rank to Bajaj.

85

Out of 200 respondents 140 respondents have given 1 st rank, 43 respondents


have given 2nd rank, and 17 respondents have given 3 rd rank to Hero. While none
of the respondents have given 4th, 5th, and 6th rank to Hero.
Out of 200 respondents 28 respondents have given 1 st rank, 105 respondents
have given 2nd rank, and 67 respondents have given 3 rd rank to Honda. While
none of the respondents have given 4th, 5th, and 6th rank to Honda.
Out of 200 respondents 187 respondents have given 4 th rank and 13 respondents
have given 5th rank to Yamaha. While none of the respondents have given 1 st, 2nd,
3rd and 6th rank to Yamaha.
Out of 200 respondents 7 respondents have given 4 th rank, 167 respondents
have given 5th rank and, 26 respondents have given 6 th rank to Suzuki. While
none of the respondents have given 1st, 2nd and, 3rd rank to Suzuki.
Out of 200 respondents 7 respondents have given 4 th rank, 19 respondents have
given 5th rank and, 174 respondents have given 6 th rank to TVS. While none of
the respondents have given 1st, 2nd and, 3rd rank to TVS.

21) Frequency of what problem you face while using the vehicle?
Table 6.21
Criteria
Starting trouble

No. of
respondent
35
86

Percentage
(%)
17.5

Mileage problem
Pickup
Battery problem
Total

14
24
127
200

7
12
63.5
100

Fig. 6.21

17.5
63.5

Starting trouble

12

Mileage problem
Pickup
Battery problem

Interpretation
From the above table clear that 63.5% of the respondents are facing battery
problem while using the Bajaj bike. While 17.5% of the respondents are facing
starting trouble, 12% of the respondents are facing pickup problem and, 7% of
the respondents are facing mileage problem while using the Bajaj bike.

22) Frequency of would you recommended Bajaj bikes to your friends or


others?
Table 6.22
Criteria

No. of

Percentage

respondent

(%)

87

Yes
No
Total

170
30
200

85
15
100

Fig. 6.22

No; 15%

Yes; 85%

Interpretation
From the above table clear that 85% of the respondents have recommended
Bajaj bikes to his friends or others while, 15% of the respondents have not
recommended Bajaj bikes to his friends or others.

Chi-square test
23) Chi-square between customer monthly income and mileage attribute of
Bajaj bike
H0: There is no association between customer monthly income and mileage
attribute of Bajaj bikes.

88

H1: There

is

Table 6.24

association

between
Chi-Square Tests

customer
income
mileage
Bajaj
Table 6.23

monthly

Asymp. Sig.
Value
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear

df

7.786a
7.902

and

(2-sided)

attribute of
.020
bikes.
.019

2
2

4.160
1
.041
Association
Monthly
income * Mileage Attribute Cross tabulation
200
Count N of Valid Cases
Mileage Attribute
No
Monthly income Less than 15000

Yes

Total

10

65

75

15001-30000

86

88

30001-50000

2
14

35
186

37
200

Total

Interpretation

89

The value of Pearson Chi-square is 7.786 and associated significant p-value is


0.02 which is less than the significance level (0.05) so, researcher reject null
hypothesis. Thus, it is inferred that there is association between customer
monthly income and mileage attribute of Bajaj bikes.

24) Chi-square between customer satisfaction towards price and customer


monthly income
H0: There is no association between customer satisfaction towards price and
customer monthly income.
H1: There is association between customer satisfaction towards price and
customer monthly income.
Table 6.25
Satisfaction towards Price * Monthly income Cross tabulation
Count
Monthly income

Satisfaction

Highly satisfied

towards
Price

Total

Less than

15001-

30001-

15000

30000

50000

Satisfied

44

44

26

114

Average

21

32

58

20

0
75

2
88

2
37

4
200

Dissatisfied
Highly dissatisfied
Total

90

Table 6.26
Chi-Square Tests
Asymp. Sig.
Value
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases

df

(2-sided)

12.818a
14.840

8
8

.118
.062

.020

.887

200

Interpretation
The value of Pearson Chi-square is 12.818 and associated significant p-value is
0.118 which is greater than the significance level (0.05) so, researcher fail to
reject null hypothesis. Thus, it is inferred that there is no association between
Customer satisfaction towards price and customer monthly income.

91

25) Chi-square between customer satisfaction towards comfortable ride and


customer occupation
H0: There is no association between customer satisfaction towards comfortable
ride and customer occupation.
H1: There is association between customer satisfaction towards comfortable ride
and customer occupation.
Table 6.27
Satisfaction towards Comfortable ride * Occupation Cross tabulation
Count
Occupation

Total

Businessman Salaried Retired Student Professional


Satisfaction Highly
towards

satisfied

Comfortable Satisfied
Average
ride
Dissatisfied
Highly
dissatisfied
Total

23

24

31

19

74

31

20

33

86

11

68

69

61

200

92

Table 6.28
Chi-Square Tests
Asymp. Sig.
Value
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases

df

(2-sided)

17.960
21.860

16
16

.326
.148

.413

.521

200

Interpretation
The value of Pearson Chi-square is 17.960 and associated significant p-value is
0.326 which is greater than the significance level (0.05) so, researcher fail to
reject null hypothesis. Thus, it is inferred that there is no association between
customer satisfaction towards comfortable ride and customer occupation.

26) Chi-square between customer satisfaction towards Look & style and
customer age

93

H0: There is no association between customer satisfaction towards look & style
and customer age.
H1: There is association between customer satisfaction towards look & style and
customer age.
Table 6.29
Satisfaction towards Look & style * Age(in Years) Cross tabulation
Count
Age(in Years)
18-30
Satisfaction towards

Highly satisfied

Look & style

31-45

46-60

Total

11

Satisfied

45

28

74

Average

42

47

93

16

103

90

200

Dissatisfied
Highly
dissatisfied
Total

Table 6.30

94

Chi-Square Tests
Asymp. Sig.
Value
Pearson Chi-Square
Likelihood Ratio
Linear-by-Linear
Association
N of Valid Cases

Df

(2-sided)

17.344
19.424

8
8

.027
.013

14.845

.000

200

Interpretation
The value of Pearson Chi-square is 17.344 and associated significant p-value is
0.027 which is less than the significance level (0.05) so, researcher reject null
hypothesis. Thus, it is inferred that there is association between customer
satisfaction towards look & style and customer age.

27)Chi-square between customer satisfaction towards brand image and


customer occupation
H0: There is no association between customer satisfaction towards brand image
and customer occupation.
95

H1: There is association between customer satisfaction towards brand image


and customer occupation.
Table 6.31
Satisfaction towards Brand image * Occupation Cross tabulation
Count
Occupation

Total

Businessman Salaried Retired Student Professional


Satisfaction Highly
towards

satisfied

Brand image Satisfied


Average
Dissatisfied
Highly
dissatisfied
Total

11

18

29

30

79

36

30

24

90

13

68

69

61

200

96

Table 6.32
Chi-Square Tests
Value

Asymp. Sig.
(2-sided)

df

15.583a

16

.482

Likelihood Ratio

16.511

16

.418

Linear-by-Linear
Association

2.874

.090

N of Valid Cases

200

Pearson Chi-Square

Interpretation
The value of Pearson Chi-square is 15.583 and associated significant p-value is
0.482 which is greater than the significance level (0.05) so, researcher fail to
reject null hypothesis. Thus, it is inferred that there is no association between
customer satisfaction towards brand image and customer occupation.

28)Chi-square between customer education and maintenance cost attribute of


Bajaj bike

97

H0: There is no association between customer education and maintenance cost


attribute of Bajaj bike.
H1: There is association between customer education and maintenance cost
attribute of Bajaj bike.
Table 6.33
Education * Maintenance cost Attribute Cross tabulation
Count
Maintenance cost
Attribute
No

Yes

Total

21

21

Undergraduate

40

48

Graduate

10

113

123

Postgraduate

20

180

200

Education H.S.C. or below

Total

Table 6.34

98

Chi-Square Tests
Value

Asymp. Sig.
(2-sided)

df

7.182a

.066

Likelihood Ratio

8.426

.038

Linear-by-Linear
Association

.503

.478

N of Valid Cases

200

Pearson Chi-Square

Interpretation
The value of Pearson Chi-square is 7.182 and associated significant pvalue is 0.06 which is greater than the significance level (0.05) so,
researcher fail to reject null hypothesis. Thus, it is inferred that there is no
association between customer education and maintenance attribute of
Bajaj bike.

99

FINDING
&
CONCLUSION

100

a. Findings
Majority of the respondents belong to the age group of 18 30 years.
Majority of the respondents are educated up to graduation level.
The study reveals that most of the respondents who own Bajaj bike earn
from Rs.15001 Rs.30000.
Majority of respondents are come to know about Bajaj bike from media.
From Chi-square test finding that there is association between customer
satisfaction towards look & style and customer age.
From Chi-square test finding that there is association between customer
monthly income and mileage attributes of Bajaj bikes.
From Chi-square test finding that there is no association between
customer satisfaction towards brand image and customer occupation.
From Chi-square test finding that there is no association between
customer satisfaction towards price and customer monthly income.
From Chi-square test finding that there is no association between
customer satisfaction towards comfortable ride and customer occupation.
From the Chi-square finding that there is no association between
customer education and maintenance cost attribute if Bajaj bikes.
Majority of respondents are prefer bike on the basis of price, mileage,
maintenance cost, and engine capacity attribute of Bajaj.
The study reveals that 57% of the respondents are satisfied with price;
whereas 10% of the respondents are dissatisfied with the price of Bajaj
bikes.
As per survey, 52% of the respondents are satisfied with engine capacity
of Bajaj bike.
67.5% of the respondents are dissatisfied with after sales services
provided by Bajaj.
The study reveals that majority of respondents are dissatisfied with resale
value of Bajaj.
The study reveals that majority of the respondents are said average and
majority of the respondents are satisfied with the mileage, look & style,
pickup, colors, maintenance cost, and brand image of Bajaj bikes.
The study reveals that Hero is a 1st rank, Honda is a 2nd rank, Bajaj is 3rd
rank, Yamaha is a 4th rank, Suzuki is a 5th rank, and TVS is a 6th rank.

101

Majority of the respondents are facing battery problem while using Bajaj
bike.

b. Conclusion
From the research work it concludes that majority of the customer prefer Bajaj
bikes on the basis of price, mileage, maintenance cost, and engine capacity
attributes. Bajaj need to improve on battery of their bikes; because customers
102

have facing this problem while using the Bajaj bikes. Bajaj doing very well on its
durability of bikes, comfortable ride, and after sales services for increases their
sales. Most of buyers are satisfied with the price, mileage, look & style provided
by Bajaj. Look & style of bike is associated with age of buyers; whereas there is
no association between occupation and Brand image of Bajaj bikes.

103

BIBLIOGRAPHY

Bibliography
Websites

n.d. 15 6 2015 <http://www.dmnews.com/digital-marketing/tailormarketing-strategies-to-customer-preferences/article/208054/>.


104

n.d. 15 6 2015 <http://study.com/academy/lesson/what-is-customersatisfaction-definition-examples-quiz.html>.


n.d. 20 6 2015
<http://www.companiesandmarkets.com/MarketInsight/Automotiveand-Parts/Global-Motorcycle-Market/NI8576>.
n.d. 20 6 2015 <http://www.autocarpro.in/analysis-sales/india-salesanalysis-february-2015-7829#sthash.gpnBExoP.dpuf>.
n.d. 22 6 2015 <http://www.autocarpro.in/analysis-sales/india-salesanalysis-february-2015-7829>.
www.acedemic.edu. n.d. 25 6 2015.

Journal Articles

Balasubramani S, Suganthi M , Suresh P. "An Empirical Study on


Consumer Preference Towards Hyundai Cars in Salem City." INDIAN
JOURNAL OF RESEARCH (2013).

Balasubramani S, Suganthi M, Suresh P. "An Empirical Study on


Consumer Preference Towards Hyundai Cars in Salem." INDIAN
JOURNAL OF RESEARCH (2013).

Bateson, John E. G. "Customer satisfaction towards Car manufacturer."


International Journal of Multidisciplinary Research (June, 2012).

Dr. K. Ravichandran, K. Venkatesh, Dr. R. Muruganandham. "A STUDY


ON THE CUSTOMER PREFERENCES OF CAR." International Journal in
Multidisciplinary and Academic Research (SSIJMAR) (n.d.).

Dr. Mrs. PUNITHAVATHY PANDIAN, A ARUNACHALA RAJAN. "A Study on


Analysis of the Customer Satisfaction Level Towards the Use of Bajaj
Bikes With Special Reference to Tirunelveli Town, Tamilnadu." INDIAN
JOURNAL OF RESEARCH (2014).

Dr. N.Yesodha Devi, Mrs. C.Gomathy, Mrs.R.Krishnakumari. "A Study on


Consumer Preference and Satisfaction towards Sedan Cars in Coimbtur
City." International Research Journal of Business and Management
(2013).

Jani, Kerav Pandya & H. J. "Customer Satisfaction among Two-Wheeler


Users An Indian experience with special reference to motorcycle
users." SIES Journal of Management (2011).

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CONSUMER PREFERENCE IN PUNE CITY." Asian Journal of Marketing &
Management Research (2013).
105

Kavita Dua, Savita. "STUDY OF CUSTOMER SATISFACTION WITH


REFERENCE TO TATA MOTOR PASSENGER VEHICLES." International
Journal of Advanced Research in Management and Social Sciences
(n.d.).

Mahalakshmi, Mrs.G. "CUSTOMER SATISFACTION ON TWO WHEELERS A


SPECIAL REFERENCE WITH TVs XL IN THENI DISTRICT." INTERNATIONAL
RESEARCH JOURNAL OF MANAGEMENT AND COMMERCE (2014).

Ms. Ameer Asra Ahmed, Dr. M.S. Ramachandra, Mr. Siva Nagi Reddy. "A
STUDY ON CUSTOMER SATISFACTION LEVEL OF ROYAL ENFIELD
BULLET." International Journal of Business and Administration Research
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Ms.M.Shanthini Devi, Ms.S.Arunpriya. "A Study on Customer


Satisfaction Towards Tata Nano Car with Special Reference to
Coimbatore City." GRA - GLOBAL RESEARCH ANALYSIS (2013).

Rao, Dr. Duggani Yuvaraju(PDF-Scholar)& Prof. S. Durga. "Customer


Satisfaction towards Honda Two Wheelers." IOSR Journal of Business
and Management (IOSR-JBM) (2014).

Saraswathi, S. "Customer Satisfaction on Post-Sales Service with


Reference to Two-Wheeler Automobile Industry." Chaitanya Bharathi
Institute of Technology (2008).

Saxena, Aman. "Consumer preference and Automobile Market in India."


International Journal of Interdisciplinary and Multidisciplinary Studies
(IJIMS) (2014).

V. DEVAKI, DR. H. BALAKRISHNAN. "A STUDY ON THE CUSTOMER


PREFERENCE TOWARDS HERO TWO WHEELER AFTER TERMINATION OF
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106

ANNEXURE

107

Questionnaire
I, Ajay Savaliya, am currently pursuing MBA from S. R. Luthra Institute of
Management affiliated to Gujarat Technological University, Surat. As a part of my
curriculum I am conducting a survey on A study on Customer Preference and
Satisfaction towards Bajaj Bikes. I request you to kindly spare few minutes of
your very demanding schedule to fill up this questionnaire. I assure you that the
views given by you will be kept strictly confidential and will be used for academic
purpose only.

1) How did you come to know about Bajaj bike?


[ ] Friends
[ ] Relatives
[ ] Media
[ ] Others______________
2) Which model did you buy?
[ ] CT 100
[ ] Platina 100
[ ] Discover 100
[ ] Discover 100M
[ ] Discover 125M
[ ] Discover 150S
[ ] Discover 150F
[ ] Avenger 220

[
[
[
[
[
[
[
[

] Pulsar 135LS
] Pulsar 150
] Pulsar 150AS
] Pulsar 180
] Pulsar 200NS
] Pulsar AS200
] Pulsar 220F
] Pulsar RS200

3) Which is/are the most attractive attribute for purchasing Bajaj bike as per
your preference? (Multiple tick allowed)
[ ] Price
[ ] Mileage
[ ] Stylish look
[ ] Pickup
[ ] Engine capacity
4) What mileage is your bike giving?
[ ] 60Km/Ltr and above
[ ] 50-60Km/Ltr
[ ] 40-50Km/Ltr
[ ] Below 40Km/Ltr

[
[
[
[
[

] Colors
] Maintenance cost
] Brand image
] Comfortable ride
] Others_______________

5) While comparing with other bike, the model of the Bajaj bike is?
[ ] Good
108

[ ] Need to improve
[ ] Cant say
6) What is your satisfaction level for the following attribute?
(1=Highly satisfied, 2=Satisfied, 3=Average, 4=Dissatisfied, 5=Highly
dissatisfied)

Attribute

Price
Mileage
Look & Style
Pickup
Engine capacity
Colors
Maintenance cost
Brand image
Resale value
Comfortable ride
After sales services

7) Rank the company as per your preference.


(Rank 1 higher to Rank 6 lower)
Companies
Bajaj
Hero
Honda
Yamaha
Suzuki

109

TVS
8) What problem you face while using the vehicle?
[ ] Starting trouble
[ ] Pickup
[ ] Mileage problem
[ ] Battery problem
[ ] Others______________
9) Would you recommend Bajaj bikes to your friends or others?
[ ] Yes
[ ] No
Personal information:
Name: _____________________________________________
Age (in years):
[ ] 18 30
[ ] 46 60

[ ] 31 45
[ ] above 60

Gender:

[ ] Female

[ ] Male

Education:
[ ] H.S.C. or below

[ ] Undergraduate

[ ] Graduate
[ ] Others______________

[ ] Post graduate

Occupation:
[ ] Businessman
[ ] Retired
[ ] Professional

[ ] Salaried
[ ] Student
[ ] Others_______________

Monthly income:
[ ] Less than 15000
[ ] 30001 50000

[ ] 15001 30000
[ ] More than 50000

110