SUMMER TRANING PROJECT REPORT ON TATA MOTORS

Consumer perception and future potential for TATAS CAR.

Submitted To PUNJAB TECHNICAL UNIVERSITY JALANDHAR

In partial fulfillment of the requirement for the award of degree of Master Of Business Administrator (MBA)

SUBMITTED TO:Miss Supreet Kaur Lecturer in Marketing

SUBMITTED BY:Ganesh Dutt MBA -3rd sem. Roll NO. 95162239030 SESSION (2009-2011)

SATYAM INSTITUTE OF MANAGEMENT & TECHNOLOGY NAKODAR

CERTIFICATE

This is to certify that the project A study on consumer perception and future potential for TATA submitted to Supreet Kaur in partial fulfilment of the requirement for the award of Master of Business Administration (MBA) is a bona fide work carried out by Ganesh Dutt II SEM, under my supervision and guidance. The project was carried during 15.03.2010 to 31.05.2010 in Koshmo Vehicle PVT LTD.

ACKNOWLEDGEMENT
It is a proud privilege on my part to express my sincere and humble gratitude to all those people who have helped me directly or indirectly in the completion of this project. I thank venerated Mr. PANKAJ SHARMA who gave me an opportunity to undergo my project in KOSHMO VEHICLE PVT LTD and extend their valuable help and I also thankful to my carports guide for supporting me and guiding me throughout the project. I pay sincere thanks who spent his valuable time and knowledge and gave me wholehearted support and encouragement in carrying out this project. I thank all those executives and non executives of KOSHMO VEHICLE PVT LTD who spent their valuable time in interacting and giving their personal time in interviewing them. I am thankful to my faculty supervisor Miss Supreet Kaur for supporting me and guiding me throughout the project.

CONTENTS

Chapter 1 Introduction

1-19

Chapter 2 - Objective & Methodology

20-22

Chapter 3 Conceptual Discussion (Theoretical backdrop & Literature Review) Chapter 4 - Data Analysis 30-46 20-22

Chapter 5 - Findings and Recommendations

47-51

BIBILOGRAPHY

52

Chapter- 1 Introduction to project

INTRODUCTION

1.1 Overview of Indian Automobile Industry The automotive industry in India grew at a computed annual growth rate (CAGR) of 11.5 percent over the past five years, the Economic Survey 2008-09 tabled in parliament on 2nd July09 said. The industry has a strong multiplier effect on the economy due to its deep forward and backward linkages with several key segments of the economy, a finance ministry statement said. The automobile industry, which was plagued by the economic downturn amidst a credit crisis, managed a growth of 0.7 percent in 2008-09 with passenger car sales registering 1.31 percent growth while the commercial vehicles segment slumped 21.7 percent.

Indian automobile industry has come a long way to from the era of the Ambassador car to Maruti 800 to latest TATA nano. The industry is highly competitive with a number of global and Indian companies present today. It is projected to be the third largest auto industry by 2030 and just behind to US & China, according to a report. The industry is estimated to be a US$ 34 billion industry. Indian Automobile industry can be divided into three segments i.e. two wheeler, three wheeler &four wheeler segment. The domestic two-wheeler market is dominated by Indian as well as foreign players such as Hero Honda, Bajaj Auto, Honda Motors, TVS Motors, and Suzuki etc. Maruti Udyog and Tata Motors are the leading passenger car manufacturers in the country. And India is considered as strategic market by Suzuki, Yamaha, etc. Commercial Vehicle market is catered by players like Tata Motors, Ashok Leyland, Volvo, Force Motors, Eicher Motors etc.

Key Facts: India ranks 12th in the list of the worlds top 15 automakers Entry of more international players Contributes 5% to the GDP

 Production of four wheelers in India has increased from 9.3 lakh units in 2002-03 to 23 lakh units in 2007-08 Targeted to be of $ 145 Billion by 2016 Exports increased from 84,000 units in 2002-03 to 280,000 units in 2007-08

1.2 PROFILE OF THE ORGANIZATION Tata Motors Limited is India's largest automobile company, with consolidated revenues of Rs.70, 938.85 crores (USD 14 billion) in 2008-09. It is the leader in commercial vehicles in each segment, and among the top three in passenger vehicles with winning products in the compact, midsize car and utility vehicle segments. The company is the world's fourth largest truck manufacturer, and the world's second largest bus manufacturer. The company's 24,000 employees are guided by the vision to be "best in the manner in which we operate best in the products we deliver and best in our value system and ethics." Established in 1945, Tata Motors' presence indeed cuts across the length and breadth of India. Over 4 million Tata vehicles ply on Indian roads, since the first rolled out in 1954. The company's manufacturing base in India is spread across Jamshedpur (Jharkhand), Pune (Maharashtra), Lucknow (Uttar Pradesh), Pantnagar (Uttarakhand) and Dharwad (Karnataka). Following a strategic alliance with Fiat in 2005, it has set up an industrial joint venture with Fiat Group Automobiles at Ranjangaon (Maharashtra) to produce both Fiat and Tata cars and Fiat powertrains. The company is establishing a new plant at Sanand (Gujarat). The company's dealership, sales, services and spare parts network comprises over 3500 touch points; Tata Motors also distributes and markets Fiat branded cars in India. Tata Motors, the first company from India's engineering sector to be listed in the New York Stock Exchange (September 2004), has also emerged as an international automobile company. Through subsidiaries and associate companies, Tata Motors has operations in the UK, South Korea, Thailand and Spain.

Among them is Jaguar Land Rover, a business comprising the two iconic British brands that was acquired in 2008. In 2004, it acquired the Daewoo Commercial Vehicles Company, South Korea's second largest truck maker. The rechristened Tata Daewoo Commercial Vehicles Company has launched several new products in the Korean market, while also exporting these products to several international markets. Today two-thirds of heavy commercial vehicle exports out of South Korea are from Tata Daewoo. In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a reputed Spanish bus and coach manufacturer, and subsequently the remaining stake in 2009. Hispano's presence is being expanded in other markets. In 2006, Tata Motors formed a joint venture with the Brazil-based Marcopolo, a global leader in bodybuilding for buses and coaches to manufacture fully-built buses and coaches for India and select international markets. In 2006, Tata Motors entered into joint venture with Thonburi Automotive Assembly Plant Company of Thailand to manufacture and market the company's pickup vehicles in Thailand. The new plant of Tata Motors (Thailand) has begun production of the Xenon pickup truck, with the Xenon having been launched in Thailand in 2008. Tata Motors is also expanding its international footprint, established through exports since 1961. The company's commercial and passenger vehicles are already being marketed in several countries in Europe, Africa, the Middle East, South East Asia, South Asia and South America. It has franchisee/joint venture assembly operations in Kenya, Bangladesh, Ukraine, Russia, Senegal and South Africa. The foundation of the company's growth over the last 50 years is a deep understanding of economic stimuli and customer needs, and the ability to translate them into customer-desired offerings through leading edge R&D. With over 3,000 engineers and scientists, the company's Engineering Research Centre, established in 1966, has enabled pioneering technologies and products. The company today has R&D centers in Pune, Jamshedpur, Lucknow, Dharwad in India, and in South Korea, Spain, and the UK. It was Tata Motors, which developed the first indigenously developed Light Commercial Vehicle, India's first Sports Utility Vehicle and, in 1998, the Tata Indica, India's first fully indigenous passenger car. Within two years of launch,

Tata Indica became India's largest selling car in its segment. In 2005, Tata Motors created a new segment by launching the Tata Ace, India's first indigenously developed mini-truck. In January 2008, Tata Motors unveiled its People's Car, the Tata Nano, which India and the world have been looking forward to. The Tata Nano has been subsequently launched, as planned, in India in March 2009. A development, which signifies a first for the global automobile industry, the Nano brings the comfort and safety of a car within the reach of thousands of families. The standard version has been priced at Rs.100, 000 (excluding VAT and transportation cost). Designed with a family in mind, it has a roomy passenger compartment with generous leg space and head room. It can comfortably seat four persons. Its mono-volume design will set a new benchmark among small cars. Its safety performance exceeds regulatory requirements in India. Its tailpipe emission performance too exceeds regulatory requirements. In terms of overall pollutants, it has a lower pollution level than two-wheelers being manufactured in India today. The lean design strategy has helped minimize weight, which helps maximize performance per unit of energy consumed and delivers high fuel efficiency. The high fuel efficiency also ensures that the car has low carbon dioxide emissions, thereby providing the twin benefits of an affordable transportation solution with a low carbon footprint. In May 2009, Tata Motors introduced ushered in a new era in the Indian automobile industry, in keeping with its pioneering tradition, by unveiling its new range of world standard trucks called Prima. In their power, speed, carrying capacity, operating economy and trims, they will introduce new benchmarks in India and match the best in the world in performance at a lower life-cycle cost. Tata Motors is equally focused on environment-friendly technologies in emissions and alternative fuels. . It has developed electric and hybrid vehicles both for personal and public transportation. It has also been implementing several environment-friendly technologies in manufacturing processes, significantly enhancing resource conservation

Through its subsidiaries, the company is engaged in engineering and automotive solutions, construction equipment manufacturing, automotive vehicle components manufacturing and supply chain activities, machine tools and factory automation solutions, high-precision tooling and plastic and electronic components for automotive and computer applications, and automotive retailing and service operations. Tata Motors is committed to improving the quality of life of communities by working on four thrust areas employability, education, health and environment. The activities touch the lives of more than a million citizens. The company's support on education and employability is focused on youth and women. They range from schools to technical education institutes to actual facilitation of income generation. In health, our intervention is in both preventive and curative health care. The goal of environment protection is achieved through tree plantation, conserving water and creating new water bodies and, last but not the least, by introducing appropriate technologies in our vehicles and operations for constantly enhancing environment care.

HISTORY OF TATA MOTORS The Company was incorporated on 1st September 1945 at Mumbai to manufacture diesel vehicles for commercial use, excavators, industrial shunter, dumpers, heavy forgings and machine tools. The commercial diesel vehicles which were known `Tata Mercedes Benz' (TMB) is now called `Tata' vehicles after the expiry of the collaboration agreement with Daimler-Benz AG, West Germany. In 1960 the company's name, which was Tata Locomotive & Engineering Company Ltd. was changed to Tata Engineering & Locomotive Company Ltd. In the year 1987 the company undertook to set up a new forge shop, a high output foundry line, a new paint shop as well as augmentation of engine and gearbox manufacturing facilities, all at Jamshedpur

In 1991 during the year the company entered into a collaborative agreement with an internationally renowned engine research and development organization to jointly develop higher horsepower, fuel efficient diesel and petrol engines to meet the future requirements of the company. The last quarter saw the company launching two new passenger vehicles, the SIERRA and the ESTATE totally designed and manufactured in India. The company acquired a BIFR company, M/s Noduron Founders Maharashtra Ltd. The total cost for Telco worked out to Rs.18 crores as against setting up of similar critical castings foundry. During the year company launched new earth moving equipment TWK-3036 Tata Front End Wheel Loader. Two new models in the EX series of hydraulic excavators were launched. A 10 tonne pick and carry articulated crane, designed and developed in-house was also introduced. During the year company entered into an agreement with Nachi-Fujikoshi Corporation, Japan to manufacture arc and spot welding robots suitable for automobile manufacturing applications. During the year, company undertook to set up a joint venture with Asian Glass Co. Ltd., Japan to manufacture float glass to be used as wind shields for automobiles. ACC along with Tata Exports Ltd. participated in the joint venture. The joint venture named as Floathlass India Ltd., the Company would have a stake of 16.33%. Tata Cummins Ltd., Mercedes-Benz (India) Ltd., Tata Holset Ltd., Tata Precision Industries, Singapore and Nita Company Ltd., are the joint Ventures of the Company

Taking advantage of the broad banding policy announced by the Government of India, the Company entered into a collaboration agreement with Honda Motor Co. Ltd., Japan, for the manufacture of their `ACCORD' model of cars in India. On 22nd April, an agreement was entered into between Daimler-Benz AG and Mercedes Benz AG, Germany to setup a joint venture company Mercedez-Benz India to manufacture `E' class paneyer cans and engines in India.

During the year 1995 a new double pick-up and Army Version of various Telco Vehicles were developed. A new petro engine and turbo diesel engine, an up-graded 709 LCV, new sports utility vehicle Safari expected to be launched shortly. A 25 tonne 6 X 2 truck and a bus with cummins engine were launched. Tata Engineering and Locomotive Company (TELCO), has acquired a second hand paint shop, machine line and cylinders from the Australian unit of the Japanese auto giant, Nissan. TELCO is believed to have picked up the unit for Rs. 70 crore. The total cost of import duty would be Rs 100 crore. During the year a machine tool division was expanded so as to double its machine building capacity and significantly reduce production times. The Company has launched "TATA SAFARI" in its Multi utility vehicle segment. Tata Holset's turbo charger plant inaugurated on November 25, 1996. In 1997, the Tata Engineering and Locomotive Company Ltd. (TELCO) have emerged as numerous uno in the Review 200 survey conducted by the Far Eastern Economic Review in association with Citi Bank. The Company introduced a 9-tonne vehicle which was well received in the market. A 40 tonne tractor trailer powered by a Tata Cummins Engineering was introduced. The Company developed a low floor bus chassis to meet the specific needs of urban transport. The Company signed a new agreement with Hitachi for manufacture of upgraded versions of existing range of excavators. The year 1998- Tata Engineering and Locomotive Company Ltd (Telco) announced a tie-up with Tata Finance Ltd and ANZ Grindlays Banks as the official financiers for its small car "Indica" to be launched in December. Tata Engineering Locomotive Company Ltd (Telco) sold its construction equipment business into a new subsidiary company, Telco Construction Equipment Company Ltd.

The Company in its small car segment has launched "Tata Indica" which evoked an overwhelming response in the Indian market. A new range of cummins engine powered vehicle which include a 35 tonne and a 40 tonne articulated truck and two variants of buses.

To make substantial improvement in the quality of bus bodies available with TATA vehicles, the Company encouraged collaboration between Fuji Heavy Industries of Japan and the Automobile Corporation of Goa. The new project undertakes production of bodies on TATA chassis, conforming to the most exacting international standards. Concorde Motors Ltd., a Joint Venture between Tata Engineering and Jardine International Motors (Mauritius) Ltd. was appointed as dealer for the Company's passenger cars in several cities across the country, in Feb 1998.

The year 1999-Telco became the first Indian manufacturer to offer commercial vehicles meeting euro-I emission norms, a year before they are due to be introduced in the country. It is proposed to make TCECL a one-stop shop for construction equipment and earthmoving machinery. In Oct 1999, the Company won the National award for R&D Efforts in Development of Indigenous Technology in the Mechanical Engineering Industries Sector instituted by Department of Scientific and Industrial Research, Ministry of Science and Technology for the year 1999. SKF Bearings India Ltd has signed an agreement with Telco to supply hub bearings for its latest model .

Tata Indica. 2000 saw the Company working towards introducing two new petrol-driven variants of its small car Indica, powered by a multi-point fuel injection engine. The Company launched the Indica 2000, the Euro II Complaint, 75 BHP multi-point fuel injection (MPFI) version of Indica. The Company has won the National Technology Award for indigenous development and commercialization of the Tata Indica car. The Company has launched its new hi-tech Indica 2000 car with MPFI petro engine in Guwahati.Tata Engineering & Locomotive Co. is renamed as Tata Engineering Ltd. It replaced its three-shift production line with a one-shift daily schedule starting from 26th June.

In the same year FICCI-SEDF- Business world-Compaq award for social responsiveness was awarded to the company. The Central Pollution Control Board for Environmental Technology award has been presented to Tata Engineering in recognition of its contribution towards efforts to conserve the environment. TATA Engineering on September 10 announced the addition of MPFI petrol version to the Indica V2 range.

In year 2002 Foreign Institutional Investors (FII) hike stake in the company to 13.34% launches six new products in light, medium and heavy vehicles segments on Jan 15 during Auto Expo. Announces financial restructuring. Displays its Tata Sedan car at the Geneva Motor Show. Indica adjudged top selling B-segment car in 2002.Launches two new motorsport cars (The Zero and Double Zero Pace cars). High Court Approves Tata Engineering's Financial Restructuring. Tata Engg, BPCL tie up to market co-branded lubricants.Tata Steel's investment in Tata Engineering has been hiked to Rs 117.98 crore over the last year. Telco names Sedan as Tata Indigo.Unveils 'EX' series of medium and heavy commercial vehicles. Indica sales cross twolakh mark .Collaborates with Nippon-Arcelor for technical knowhow on CR steel. Receives Teri's (The Energy and Resources Institute) CoRE-BCSD (Corporate roundtable on development of strategies for sustainable development and environment-business council for sustainable development) corporate social responsibility (CSR) awards for '01-02. Unleashes Safari's petrol version; priced at Rs 9.35 lakh.

The year 2003- Tata Unveils CityRover .Tata Motors Ltd signed a binding Memorandum of Understanding (MoU) with Deawoo Commercial Vehicle Company Ltd (DWCV), Korea for the acquisition of this company. It introduces Tata SFC 407 EX Turbo Light Commercial Vehicle (LCV). The Company changed from 'TELCO ' to 'TATAMOTORS' w.e.f December 24, 2003. In the same year Tata Safari ranks No 1 in MUV/SUV segment.

2004:- The year of glory. Tata Motors launch an upgraded version Indica on January 15, 2004, in a bid to shore up sales of the small car.

Auto Expo: Tata unveils new version of Indica. Tata Motors unveils Indica V2. Tata Motors launches new Indica V2 in Kerala. Tata Motors introduces new 'Indicab' for tour operators. The

much hyped Rs one lakh passenger car project of Tata Motors was going ahead as planned. Tata Motors enters agreement with Ukraine bus building firm. Tata Motors enters into agreement with Etalon. In a move to consolidate its presence in the light commercial vehicles segment, Tata Motors has launched a new variant of its 407 series with increased pay load capacity called SFC 407EX. Tata Motors buys Daewoo truck unit for Rs 465 crore. Tata Motors unveils Tata SFC 407 EX. Tata Motors inks agreement with Austrian, French companies. Acquires Daewoo Commercial Vehicle Company Ltd (DWCV), Korea. Tata Motors launches most anticipated new 6-tn truck in India.

Tata Motors, the country's largest commercial vehicles manufacturer unveiled the new LPT 909EX Turbo Truck in Tamil Nadu. Tata Motors and Tata Africa unveiled a range of passenger cars, utility vehicles, pick-ups, trucks and buses for the South African market. Tata Motors has launched a face lifted version of its multiutility vehicle, Tata Sumo. Tata motors rolls out Tata SFC 407EX BS II turbo light commercial vehicle.

Tata Motors unveils Tata Safari DICOR in Kerala market on August 11, 2005. Tata Motors rolls out 2 luxury variants of Indigo. Tata Motors unveiled new Indica V2 Turbo with a price tag of Rs 4.10 lakh for DLG variant and Rs 4.31 lakh for DLX. Tata Motors ropes in CVTech to make parts for its small car. Tata Daewoo inks pact with Pakistan co.

Tata Motors has been presented the Golden Peacock Global Award for Corporate Social Responsibility (CSR) in the Large Business category by the Institute of Directors in 2007. Tata Motors buys Nissan facility in S. Africa. Tata Motors has got a prestigious order from the Delhi Transport Corporation (DTC) for 500 non-AC, CNG-propelled buses. Tata Motors Ltd has appointed Mr. P M Telang as Executive Director (Commercial Vehicles).

Price List

Sl.N O.

MODEL

Ex SHOWROOM PRICE INSURANCE RERISTRATION ANT

INDICA (XTRA PETROL )

1 GL 2 GLE 3 GLS 4 XETA GLS SPORTY

277941 304587 322629 322628

9711 10364 10807 10807

11200 12138 12678 12216

INDICA DIESEL

1 DL 2 DLE 3 DLS 4 DICOR DLG

339071 361397 384046 432331

10820 11757 12313 13496

12695 13842 14521 15970

INDIGO DIESEL

1 CS LE 2 CS LS 3 CS LX 4 CS LS DICOR 5 CS LX DICOR 6 CS LX TDI LTD. EDI. 7 LS TC

427290 455172 478619 489594 508066 507307 530316

13373 14057 14631 14901 15353 15335 15899

15818 16655 17358 17687 18241 18219 18909

8 LX TC 9 LS DICOR 10 LX DICOR 11 GLASSIC DICOR 12 GRAND DICOR 13 INDIGO XL TDI

569164 549300 611409 644610 764647 548954

16852 16365 17887 18701 21645 16356

20074 19479 21342 22338 25939 19468

INDIGO PETROL

GS GLE CS GLS CS GLX CS GLX LTD EDI GLS GLX CLASSIC GRAND

389961 408404 426094 454782 493257 527028 0 0

12458 12910 13344 14055 14990 15818 0 0

14698 15252 15782 16644 18271 18810 0 0

MARINA DIESEL

VS LS LX LX DICOR

500077 530316 569164 611409

15158 16260 17247 18476

17715 18690 19875 21350

MARINA PETROL

GLS GLX

493257 527028

15112 15980

INDICA VISTA (DIESAL)

TERRA TDI AQUA TDI TERRA QUDRAJET VISTA AURA Q. PLUS VISTA AURA Q. ABS AQUA QUDRAJET AQUA QUDRAJET(P.W) AURA QUDRAJET LTD. AURA QUDRAJET(P.W) AURA QUDRAJET

395513 417487 440992 550317 518793 463748 466805 524506 499436 46379

12594 13133 13709 16389 15616 14268 14342 15757 15142 15067

14865 15524 16229 19500 18560 16913 17005 18735 17983 15067

INDICA VISTA (PETROL)

TERRA SAFARI VISTA AURA SAFARI VISTA AURA SAFARI ABS AURA SAFARI AQUA SAFARI AURA SAFARI P.W LTD

361640 466767 434462 387481 412050 439537

11764 14341 13549 12397 12999 13673

13850 17004 18034 14624 15361 16186

MANZA PETROL

AQUA SAFIRE AURA SAFIRE

496109 530675

15060 15908

17883 18920

AURA ABS SAFIRE AURA + SAFIRE

555125 604587

16507 17720

19653 21137

MANZA DIESAL

AQUA QUADRAJET AURA QUADRAJET AURA ABS QUADRAJET AURA+ QUADRAJET

584916 613748 648513 689180

17238 17945 18797 19794

20548 21412 22455 23675

1.3 Growth of the organization

The Tata Motors Group global sales, comprising of Tata, Tata Daewoo and Hispano Carrocera range of commercial vehicles, Tata passenger vehicles along with distributed brands in India, and Jaguar and Land Rover, were 101,712 nos. in March 2010, a growth of 39% over March 2009. Cumulative sales for the fiscal (April 2009 March 2010) are 872,951 higher by 19% compared to the corresponding period in 2008-09.

Sales of all commercial vehicles were 47,936 nos. in March 2010, a growth of 53%. Cumulative sales for the fiscal are 413,057 nos., a growth of 37%. Sales of all passenger vehicles were 53,776 nos. in March 2010, a growth of 28%. Cumulative sales for the fiscal are 459,894 nos., a growth of 6%. Tata passenger vehicle sales, including those distributed, were 30,238 nos. for the month, a growth of 18%. Cumulative sales for the fiscal are 265,912 nos., a growth of 24%.

Jaguar Land Rover global sales in March 2010 were 23,538 vehicles, higher by 43%. Jaguar sales for the month were 4,642, higher by 8%, while Land Rover sales were 18,896, higher by 55%. Cumulative sales of Jaguar Land Rover for the fiscal are 193,982 nos., lower by 11%. Cumulative sales of Jaguar are 47,418 nos., lower by 24%, while cumulative sales of Land Rover are 146,564 nos., lower by 6%.

1.4 SWOT analysis of the Organization

STRENGTH:

Strong Presence in the Marketplace:-Tata Motors is the only company in India with a broad based presence across the industry, in all segments of the commercial vehicles market heavy and medium commercial vehicles, light commercial vehicles, pick-ups, sub one-tonne mini-trucks - and key segments - compact, midsize car and utility vehicle segments - of the passenger vehicles market.

Unique Understanding of Customer Need: - With 50 years presence in the automotive business, Tata Motors understands customer needs and develops products that meet their Needs. To consider a few examples, as early as 1980s, the company launched Light Commercial Vehicles, amidst Japanese competition, in which it today strongly leads. In the 1990s, Anticipating the need for an affordable family car, it launched the now famous Tata Indica, which occupies a leading position among compact cars.

Skill Base Developed over the Last 40 Years:-Tata Motors is also very well-placed on technology capability. The company had set up its Engineering Research Centre as early as 1966.With 1400 scientists and engineers and state-of-the-art development, testing and validation facilities, it is this technology capability which has, allowed Tata Motors, over the decades, to offer indigenously developed products. This strength has been accentuated, with the inclusion of TMETC, TDCV and Hispano Carrocera in the R&D network, besides several other specialist external agencies. The company no longer needs to develop every necessity itself. Today it just has to manage the process of product creation, drawing upon already available R&D and skills from different sources.

People Strength: - The Companys key strength is its people. The over 22,000 employees comprise a very broad talent base, with the required skills in every aspect of the industry. With increasing international initiatives by the company, this talent base is

now getting enriched with the necessary competencies to respond to meet world-class standards of quality and cost. The company will achieve this by developing and marketing relevant products, on its existing platforms and new ones, which delight consumers in every market they are introduced in. Tata Motors linkages in Europe through Subsidiary Companies: - In October 2005, Tata Technologies Ltd, a 100 per cent subsidiary of Tata Motors, acquired a 94.3 per cent stake in INCAT International Limited. INCAT is a supplier of engineering & design, product lifecycle management and product-centric IT services to the automotive, aerospace and durable goods industries.

Tata Motors R&D in Europe: - Deepening its engagement with the European R&D space, in September 2005, Tata Motors set up the Tata Motors European Technical Centre, a 100 per cent subsidiary, in the UK. It is engaged in design engineering and development of products for the automotive industry. Working synergistically, TMETC provides the company with design engineering support and development services, complementing and strengthening the companys skill sets and providing European standards of delivery to the companys passenger vehicles.

The internationalization strategy so far has been to keep local managers in new acquisitions, and to only transplant a couple of senior managers from India into the new market. The benefit is that Tata has been able to exchange expertise. For example after the Daewoo acquisition the Indian company leaned work discipline and how to get the final product 'right first time.'

WEAKNESS: The current financial situation of its recently acquired firms like Corus and Land Rover-Jaguar is very big headache for the company and it should be back to the track in the near future.

The high ratio of debt equity ratio is also weakness of the company. The small car segment is still not good for the company due to maruti-suzuki so, it need to tap this section also.

The CV segment is becoming highly competitive by new player like Volvo,and rival M &M are coming with new products to cater the TATA in the market as the rural area has given thumps up to M&M during this year.

The company's passenger car products are based upon 3rd and 4th generation platforms, which put Tata Motors Limited at a disadvantage with competing car manufacturers.

Despite buying the Jaguar and Land Rover brands (see opportunities below); Tat has not got a foothold in the luxury car segment in its domestic, Indian market. Is the brand associated with commercial vehicles and low-cost passenger cars to the extent that it has isolated itself from lucrative segments in a more aspiring India?

OPPORTUNITIES: Indias huge geographic spread-This is one aspect where the company is looking for and its diversified range of cars suits very much this area of car or say auto industry in country.

Easier finance schemes- The current fiscal stimulus and easy loan will surely guide the company to post good sales as the current trend shows the cars sales has been boosted by easy loan norms in the country.

Replacement of aging four wheelers-One of very important reason where the car industry and commercial vehicle can take advantage in coming days.

Increasing Road Development, Golden Quadrilateral-as we all know the infrastructure will surely boost the auto industry as it is directly related to the this industry and the government policy in spending the money ion infrastructure will create good demand.

Increasing dispensable income of rural agri sector-Somehow this year the rural demand was very enthusiastic than the urban market which drive the auto industry so, the development of rural infrastructure and condition will create handsome demand from the rural area.

Higher GDP growth-With standing tall during the slowdown our economy has shown the industry that demands will gain momentum in near future very soon.

Increasing disposable income with the service sector-As the consumers have money in their hand definitely there will be demand from their side so, this is also very good opportunity for this sector.

Graduating from two wheeler to four wheeler-The dream of NANO will boost demand for four wheeler in the auto industry.

Chapter- 2 Objective & Methodology

Objective & Methodology

2.1. MANAGERIAL USEFULLNESS The marketing department can use this study to enhance their marketing strategies for better sales. This report helps the marketing department in taking decisions to what change in distribution channels and what should be done so that marketing problem could be sorted out and how to sell their range of product in the competitive market.

The very essence of every project related to marketing is providing a view to management for chalk out the organization, so that they can maintain a viable fit between the organizational objectives, skills and resources and its changing market opportunities. Also give a proper shape to company's target profit and growth. It provides feedback to the organization about their sales, sales schemes and what impact does it has on the dealers and consumers. Every market research provides useful suggestions to the organization. Marketing research helps the firm in every component of the total marketing task. It helps the firm acquire a better understanding of the buyer, the competition and the marketing environment. It also aids the formulation of the marketing mix, Product, Distribution and pricing needs. It also helps in taking the information of competitor's strategies and their impact on the buyer. the study reveals the fact that may have come up during the project and these facts can either be used a opportunities in exploring and expanding the business as well as can be used as safeguard against threats by competitors to prepare an effective marketing strategy. Every market research proves useful to the organization. Marketing research helps the firm in every component of total marketing task. 2.2. OBJECTIVES To understand the market potentiality for TATA cars. To determine the acceptable price of the product. To determine the requirements and needs of the potential customers. To know what people perceive and thinking about Tata cars and its products. To analyze the brand repositioning strategies of Tata cars. To study consumer awareness and perception about the brand repositioning strategies of Tata cars.

To find out the satisfaction level of people. To find out the awareness level of customer.

2.3 LIMITATIONS

The study is confined to Gaya area only. There is possibility of sampling errors in the study. The responses of the consumers may not be genuine. The questions included in the questionnaire may not be comprehensive. Continuous and reliable information was not available. Some of the information was confidential so much information was not revealed. The time span of the survey was short and hence only major aspects were considered. Availability of the respondents amidst their busy schedule did not permit detailed study This study will be limited to only some areas of Gaya.

2.4 SCOPE OF THE STUDY These are some of the scope of the study: 1. From the research analysis we can find that, whats a person first look in a dream car. 2. The study can be used to know the perception of consumer about Tata Motors. 3. The present study can be extended to access the present marketing condition of Indian automobile sector. 4. The study can be used to design a proper product, price, place and promotional strategy for the market. 5. From the present study we can know the market share of different products and accordingly formulated strategy to enhance it. This study can be applied to find out an effective distribution channel to enhance the sale of various products of Tata motors

ANALYSIS: The important factors and datas collected were sequentially analyzed and graphed.

FIELD WORK:

I have collected the data through medium called questionnaire collecting the responses from 100 (50 for showroom) people in all. I had done my field work in the following area.

CIVIL TOWNSHIP,CANT AREA. KOIRIBARI, RAMSAGER TANK ROAD, NEAR GAYA COLLEGE.

I started my project very first educating the respondents about my entire project, and ask them to cooperate with me. Mostly all the respondent were aware of this type of surveys. So I didnt face any type of difficulty during my project in the process of explaining and taking their responses on the questionnaire.

CHAPTER 3 CONCEPTUAL DISCUSSION MARKETING

CONCEPTUAL DISCUSSION MARKETING

What is marketing? There are many different definitions of marketing. Consider some of the following alternative definitions: The all-embracing function that links the business with customer needs and wants in order to get the right product to the right place at the right time The achievement of corporate goals through meeting and exceeding customer needs better than the competition The management process that identifies, anticipates and supplies customer requirements efficiently and profitably Marketing may be defined as a set of human activities directed at facilitating and consummating exchanges Which definition is right? In short, they all are. They all try to embody the essence of marketing: Marketing is about meeting the needs and wants of customers; Marketing is a business-wide function it is not something that operates alone from other business activities; Marketing is about understanding customers and finding ways to provide products or services which customers demand. To help put things into context, you may find it helpful to often refer to the following diagram which summarises the key elements of marketing and their relationships:

Figure 1.2

Marketing Concept and Orientation It is a fundamental idea of marketing that organisations survive and prosper through meeting the needs and wants of customers. This important perspective is commonly known as the marketing concept. The marketing concept is about matching a company's capabilities with customer wants. This matching process takes place in what is called the marketing environment. Businesses do not undertake marketing activities alone. They face threats from competitors, and changes in the political, economic, social and technological environment. All these factors have to be taken into account as a business tries to match its capabilities with the needs and wants of its target customers. An organisation that adopts the marketing concept accepts the needs of potential customers as the basis for its operations. Success is dependent on satisfying customer needs. What are customer needs and wants? A need is a basic requirement that an individual wishes to satisfy. People have basic needs for food, shelter, affection, esteem and self-development. Many of these needs are created from human biology and the nature of social relationships. Customer needs are, therefore, very broad. Whilst customer needs are broad, customer wants are usually quite narrow. A want is a desire for a specific product or service to satisfy the underlying need. Consider this example: Consumers need to eat when they are hungry. What they want to eat and in what kind of environment will vary enormously. For some, eating at McDonalds satisfies the need to meet hunger. For others a microwaved ready-meal meets the need. Some consumers are never satisfied unless their food comes served with a bottle of fine Chardonnay. Consumer wants are shaped by social and cultural forces, the media and marketing activities of businesses. This leads onto another important concept - that of customer demands. Consumer demand is a want for a specific product supported by an ability and willingness to pay for it.

For example, many consumers around the globe want a Mercedes. But relatively few are able and willing to buy one. Businesses therefore have not only to make products that consumers want, but they also have to make them affordable to a sufficient number to create profitable demand. Businesses do not create customer needs or the social status in which customer needs are influenced. It is not McDonalds that make people hungry. However, businesses do try to influence demand by designing products and services that are Attractive Work well Are affordable Are available Businesses also try to communicate the relevant features of their products through advertising and other marketing promotion. MARKETING MIX The marketing mix is generally accepted as the use and specification of the four Ps describing the strategic position of a product in the marketplace. One version of the origins of the marketing mix starts in 1948 when James Culliton said that a marketing decision should be a result of something similar to a recipe. This version continued in 1953 when Neil Borden, in his American Marketing Association presidential address, took the recipe idea one step further and coined the term 'Marketing-Mix'. A prominent marketer, E. Jerome McCarthy, proposed a 4 P classification in 1960, which would see wide popularity. The four Ps concepts are explained in most marketing textb ooks and classes.

DEFINITION Although some marketers[who?] have added other Ps, such as personnel and packaging, the fundamentals of marketing typically identifies the four Ps of the marketing mix as referring to: Product -An object or a service that is mass produced or manufactured on a large scale with a specific volume of units. A typical example of a mass produced service is the hotel industry. A less obvious but ubiquitous mass produced service is a computer operating system. Typical examples of a mass produced objects are the motor car and the disposable razor. Price The price is the amount a customer pays for the product. It is determined by a number of factors including market share, competition, material costs, product identity and the customer's perceived value of the product. The business may increase or decrease the price of product if other stores have the same product. Place Place represents the location where a product can be purchased. It is often referred to as the distribution channel. It can include any physical store as well as virtual stores on the Internet. Promotion Promotion represents all of the communications that a marketer may use in the marketplace. Promotion has four distinct elements - advertising, public relations, word of mouth and point of sale. A certain amount of crossover occurs when promotion uses the four principal elements together, which is common in film promotion. Advertising covers any communication that is paid for, from television and cinema commercials, radio and Internet adverts through print media and billboards. One of the most notable means of promotion today is the Promotional Product, as in useful items distributed to targeted audiences with no obligation attached. This category has grown each year for the past decade while most other forms have suffered. It is the only form of advertising that targets all five senses and has the recipient thanking the giver. Public relations are where the communication is not directly paid for and includes press releases, sponsorship deals, exhibitions, conferences, seminars or trade fairs and events. Word of mouth is any apparently informal communication about the product by ordinary individuals, satisfied customers or people specifically engaged to create word of mouth momentum. Sales staff often plays an important role in word of mouth and Public Relations (see Product above). Broadly defined, optimizing the marketing mix is the primary responsibility of marketing. By offering the product with the right combination of the four Ps marketers can improve their results and marketing effectiveness.

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

CRITICISMS Peter Doyle claims that the marketing mix approach leads to unprofitable decisions because it is not grounded in financial objectives such as increasing shareholder value. According to Doyle it has never been clear what criteria to use in determining an optimum marketing mix. Objectives such as providing solutions for customers at low cost have not generated adequate profit margins. Doyle claims that developing marketing based objectives while ignoring profitability has resulted in the dot-com crash and the Japanese economic collapse. He also claims that pursuing a ROI approach while ignoring marketing objectives is just as problematic. He argues that a net present value approach maximizing shareholder value provides a "rational framework" for managing the marketing mix.

Some people claim the four Ps are too strongly oriented towards consumer markets and do not offer an appropriate model for industrial product marketing. Others claim it has too strong of a product market perspective and is not appropriate for the marketing of services.

An expanded system based on Seven Ps stresses the importance of Place, Product, Price, Promotion, People, Process, and Physical evidence

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

For starting up a business there are a few things that are important: Market information Market information is making known the prices of the different commodities in the market, the supply and the demand. Information about the markets can be obtained in several different varieties and formats. Examples of market information questions are: Who are the customers? Where are they located and how can they be contacted? What quantity and quality do they want? When is the best time to sell? Market segmentation Market segmentation is the division of the market or population into subgroups with similar motivations. Widely used bases for segmenting include geographic differences, personality differences, demographic differences, use of product differences, and psychographic differences. Market trends The upward or downward movements of a market, during a period of time. The market size is more difficult to estimate if you are starting with something completely new. In this case, you will have to derive the figures from the number of potential customers or customer segments. [Ilar 1998]

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

Customer analysis Choice Modelling Competitor analysis Risk analysis Product research Advertising research

CHAPTER 4 DATA ANALYSIS

DATA ANALYSIS
Perception about Tatas showroom

Q.1 Knowledgeable salesperson (about product)

Fig 4.1

INFERENCE: 77% of the Respondents were strongly agree with knowledgeable salesperson 18% of the Respondents were agreeing at the same time. 5% of the respondent were disagree with this questionnaire

Q.2 Employees spent enough time with you before sales and during sales

fig. 4.2

INFERENCE: 55% of the respondent were strongly agree and says that employ spend enough time before sales. 36% of respondent were agree with this questionnaire. 5% of respondent were neither agree nor disagree. 4% of respondent were disagree they said that employ not spend enough time during sales or
before sales.

Q.3 Availability of the product in showroom (Pareena motors)

Fig 4.3 INFERENCE: 50% of the respondent were strongly agree and says that products are available in showroom (Pareena motors ltd.). 36% of respondent were agree with availability of product in showroom (Pareena motors ltd.). 14% of respondent were neither agree nor disagree.

Q.4 Attractive discounts offered

Fig 4.4 INFERENCE: 55% of the respondents were strongly agreed with attractive discount offered. 41% of respondent were agree with discount offered. 4% of respondent were neither agree nor disagree.

Q.5 offered a test drive

Fig 4.5 INFERENCE: 41% of the respondents were strongly agreed with test drive offered. 32% of respondent were agree with test drive offered. 18% of respondent were neither agree nor disagree. 9%of respondent said that they do not offer test drive.

Q.6 responds to complaints quickly

Fig 4.6 INFERENCE: Only 5% of the respondents were strongly agreed with quickly respond to complaints. 41% of respondents were agreeing with quickly respond to complaints. 36% of respondents were neither agree nor disagree with quickly respond to complaints. 18% of respondents were strongly disagreeing.

Q.7 All the commitments are fulfilled

Fig 4.4 INFERENCE: Only 9% of the respondents were strongly agree with fulfilled of commitments. 23% of respondent were agree with fulfilled of commitment. 45% of respondent were neither agree nor disagree. 18%of respondent were disagree. 5% of respondent were strongly disagree

Q.8 Employees spent enough time with you after sales. (Service)

Fig 4.4 INFERENCE: 32% of the respondent were strongly agree with good service provided by pareena motors. 36% of respondent were agree with good service provided by pareena motors. . 27% of respondent were neither agree nor disagree. 5%of respondent are disagree with service provided by pareena motors.

Consumer perception about Tatas car .The price of the TATA car is reasonable.

CHAPTER -5 FINDINGS AND RECOMMENDATIONS

FINDINGS
Tata Motors is number three in passenger car market after maruti-suzuki & hyundai. Pareena motors LTD have well knowledgeable sales persona and the spend enough time with customer. All model and colors of Tatas car is available in showroom. Pareena motors ltd always offer test drive to every customer and discount offer. But pareena motors LTD are not providing better service after sales. According to sample tata motors are providing better safety than other cars manufacture. Majority of sample think that price of Tatas car parts are not available everywhere, and it is costly than other car parts Fuel mileage of Tata car is good, but not better. Out of the samples, people are highly convinced that TATA MOTORS will yield them better results Customers were educated by me, about fuel efficient cars by Tata Motors. Improving the marketing Strategies Making the decision to capture the rural market. by introducing tata nano is giving better result. More test drives should be offered. Advertisement in mass media such as television, newspapers, and magazines are best means to spread awareness about brand repositioning. And it is a better medium to attract the customer.

Recommendation

Though I am young enough and not that experienced but I have tried my best to come out with suggestion which may be helpful for Pareena motors Pvt. Ltd. Service (after sale) is not good, most of the customer are saying, so company should improve the service facility. And company should fulfill the commitments Pareena motors should takes less time as much as possible to fulfill the commitments. to make a good picture in consumer s mind. Price of parts should be reasonable. And available every where. To increase its visibility so that different segments of the customer will notice the products of Tata motors in varied ways.

Rate the following on a scale of 1-5 1- Strongly disagree. 2- Disagree. 3- Neither agrees nor disagrees. 4- Agree 5- Strongly agree 1. The price of the Tata car is reasonable.

2. Fuel mileage of the Tata car is good.

3. Tata car is easy to maintain.

4. Tata cars seats are very comfortable.

5. My family member feels safe when I drive TATA car.

6. My friends and relatives drive the same car.

7. Driving the Tata car compliments my life style.

8. I feel proud whenever I see the ad for my Tata car on TV, Magazine, and Hoarding.

9. A new feature of Tata cars like ABS (antilock breaking system) motivates the customer to buy.

10. Air bag system in Tata cars gives the better safety.

11. Quadra jet engine of Tata cars gives an extra edge over the

other cars.

12. Tata car gives me comfortable rides.

13. Exterior of Tata car is attractive.

14. Tata has wide range of models.

15. An interior accessory of Tata car is attractive.

16. Power steering in Tata car attracts the people to buy.

17. Tata car is available in wide range of colors.

18. Tata car long last.

How do you rate Tata`s showrooms

KOSHMO VEHICLE PVT

LTD with respect to the following?

Rate the following on a scale of 1-5 1- Strongly disagree. 2- Disagree. 3- Neither agree nor disagree. 4- Agree 5- Strongly agree

(1)Knowledgeable salesperson (about product)

1 1

2 2

3 3

4 4

5 5

(2)Employees spent enough time with you before sales and during sales .

(3) Availability of the product in showrooms

(4)Attractive discounts offered

Conclusion

Conclusion
Accomplishing this project on brand awareness was an excellent and knowledge gaining experience for me.Depsite small size for project helped me to know the view of customer people towards the brand awareness of Tata kosmo vehicle. brand are new a central feature of consumer marketing they are important in building long term relationship with consumer, irrespective of type market. Their importance is now also being reconzied in other markets including service and industrial. Investing in a brand build consumer confidence and loyalty and allow for brand stretching . It requires a consient and long term strategy. In conclusion I would say that the brand(TATA KOSMO VEHILCES)is quite knowto people. Tata kosmo has bults its brand awareness among a relatively large number of people in around Jalandhar. At last I would like to thank my project co-ordiantor MR. PANJAJ SHARMA(AGM) their guidance and support. I would also like to thank all the people who have been so co-operative through out the survey.

BIBLIOGRAPHY

BIBLIOGRAPHY

BOOKS

1) Marketing Management 2) Research Methodology 3) Business Statistics 4) Consumer Behavior INTERNET www.tata.com www.tatamotors.com

Philip Kotler & Kevin Lane Keller C.R. Kothari Gupta & Gupta L.G. Shiffman & L.L. Kanuk

http://en.wikipedia.org/wiki/Tata_motors http://en.wikipedia.org/wiki/Tata_group http://en.wikipedia.org/wiki/Indian_automobile_industry http://www.carwale.com/research/cars/tata http://www.tatamotors.com/our_world/press_releases.php?ID=458&action=Pull http://www.tatamotors.com/our_world/press_releases.php?ID=500&action=Pull www.scribd.com

www.thehindubusinessline.com