Analysis of New Honda City Customer Profile & Satisfaction Level

A
SUMMER TRAINING REPORT

ON
Analysis of New Honda City
Customer Profile & Satisfaction
Level
Submitted in Partial Fulfillment of the Requirement for

The Degree of BACHELOR OF BUSINESS ADMINISTRATION
Submitted by:
MS. NIDHI GUPTA
BBA (Gen) – Vth Sem
Roll No. 0511341708
Under Guidance:
MR. SAROJ KUMAR DASH
Faculty
1
IDEAL INSTITUTE OF MANAGEMENT &
TECHNOLOGY
NEW DELHI
2
ACKNOWLEDGEMENT
“Acknowledgement is an art, one can write glib stanzas without meaning a word, on
the other hand one can make a simple expression of gratitude.”
Though the language is a poor substitute for the sentiments, yet there is no way out
to recover to it for expressing my profound gratitude, indebtedness and sincere
regards to Ideal Institute of Management & Technology for giving me this platform
from where I could pursue this internship.
I am immensely grateful to Mr. Saroj Kumar Dash, Faculty member, IIMT, New
Delhi for his constant support and suggestion during the period of my training.
Nidhi Gupta
3
TABLE OF CONTENTS
Chapter Topic
No.
1. Introduction
1.1 Customer
1.1.1 Definition of customer
1.2 Customer Profiling
1.3 Customer satisfaction
1.3.1 The purpose of business
1.3.2 Definition of customer satisfaction
1.3.3 Measuring customer satisfaction
1.3.4 Importance of customer satisfaction
1.3.5 Customer satisfaction model by N. Kano
2. Review Of Literature
3. Problem Statement
3.1 Justification of the problem
3.2 Scope of the project
3.3 Objective of the project
3.4 An Industry overview
3.4.1 The four wheeler industry in India
3.4.1a Background
3.4.1b Current scenario
3.4.1c Market share scenario
3.5 Company profile
3.5.1 An overview
3.5.1.a Honda world wide
3.5.1.b Principles of Honda
3.5.1.c Honda in India
3.6 About the car
3.6.1 The all new Honda City
3.6.2 Importance of the all new Honda city for the company
4. Research Methodology
4.1 Research method
4.2 Data source
4.3 Target population & Sampling plan
4.4 Target areas
4.5 Data processing
5. Results & Discussions
5.1 Building of customer profile
5.1.1 Gender
5.1.2 Age
5.1.3 Family status
5.1.4 Educational qualification
5.1.5 Occupation
4
5.1.6 Monthly household income
5.1.7 Budget decision
5.1.8 Driving scenario
5.2 Analysis of customer profile
5.3 Other important information regarding the City customers
5.3.1 Purchase criteria
5.3.2 Source of information
5.4 Competitive analysis
5.5 Analysis of customer satisfaction
5.5.1 Audio system
5.5.2 Overall styling of the car
5.5.3 Additional features
5.5.4 Exterior styling of the car
5.5.5 Interior styling of the car
5.5.6 Luggage space
5.5.7 Performance of the car
5.5.8 Overall performance of the car
5.5.9 Safety features
5.5.10 Pricing of the car
5.5.11 Accessory package
5.5.12 Strengths & shortcomings of the car
5.6 Findings
5.7 Limitations
6. Recommendations & conclusions
6.1 Recommendations
6.2 Conclusions
7. Appendix
Annexure I – Questionnaire
Annexure II – Reference
5
CHAPTER I:
Introduction
6
1.1 CUSTOMER:
Customers are the most important people for any organization. They are the resource on
which not only the success, but the entire existence of any business depends.
A customer, also client, buyer or purchaser is usually used to refer to a current or potential
buyer or user of the products of an individual or organization, mostly called the supplier or
seller. However the term customer also includes by extension anyone who uses or
experiences the services of another.
The word derives from "custom," meaning "habit"; a customer was someone who frequented
a particular shop, who made it a habit to purchase goods of the sort the shop sold there rather
than elsewhere, and with whom the shopkeeper had to maintain a relationship to keep his or
her "custom," meaning expected purchases in the future.
The clichés "customer is king" or "customer is god" or "the customer is always right" are
most frequently used in the marketing world and also indicate the importance of customers to
businesses.
The importance of the customers for any business can be understood by looking at the huge
expenditures that are being incurred by various companies for satisfying and retaining their
customers.
Before discussing further about customer and customer satisfaction we should first try and
understand the meaning of the word “Customer”.
1.1.1 DEFINITION OF CUSTOMER:
DEFINITION 1:
According to Shri. Mohandas Karamchand Gandhi, the father of nation,
“A customer is not an outsider to our business. He is a definite part of it. A customer is not
an interruption of our work. He is the purpose of it. A customer is doing us a favour by
letting us serve him. We are not doing him any favour. A customer is not a cold statistic; he
is a flesh and blood human being with feelings and emotions like our own. A customer is not
someone to argue or match wits with. He deserves courteous and attentive treatment. A
customer is not dependent on us. We are dependent on him. A customer brings us his wants.
It is our job to handle them properly and profitably – both to him and us. A customer makes
it possible to pay our salary, whether we are a driver, plant or an office employee”.
7
DEFINITION 2:
Peter Drucker, a well known management expert, defined customers as:
A person who purchases the product from the marketer or from the retailer or from the
wholesaler.
DEFINITION 3:
John marsh, Director General, British Institute of management, defines customer as:
A person or organization that a marketer believes will benefit from the goods and services
offered by the marketer’s organization.
As these above definitions suggest, a customer is not necessarily someone who is currently
purchasing from the marketer. In fact, customers may fall into one of three customer groups:
• Existing Customers – Consists of customers who have purchased or otherwise used

an organization’s goods or services, typically within a designated period of time.
Existing Customers are by far the most important of the three customer groups since they
have a current relationship with a company and, consequently, they give a company a
reason to remain in contact with them. Getting these Existing Customers to purchase
more is significantly less expensive and time consuming than finding new customers
mainly because they know and hopefully trust the marketer and, if managed correctly,
are easy to reach with promotional appeals.
• Former Customers – This group consists of those who have formerly had relations
with the marketing organization typically through a previous purchase. However, the
marketer no longer feels the customer is an Existing Customer either because they have
not purchased from the marketer within a certain timeframe or through other
indications. The value of this group to a marketer will depend on whether the
customer’s previous relationship was considered satisfactory to the customer or the
marketer.
• Potential Customers – The third category of customers includes those who have yet
to purchase but possess what the marketer believes are the requirements to eventually
become Existing Customers. These requirements to become a customer include such
issues as having a need for a product, possessing the financial means to buy, and having
the authority to make a buying decision. Locating Potential Customers is an ongoing
process for two reasons. First, Existing Customers may become Former Customers and,
thus, must be replaced by new customers. Second, while we noted above that Existing
Customers are the best source for future sales, it is new customers that are needed in
order for a business to significantly expand.
8
Once we have understood who a customer is, it is necessary to understand what
customer satisfaction is and why it is important.
1.2 Customer Profiling:

Customer profile may be defined as customer description that includes demographic,
geographic and psychographic characteristics, buying pattern, creditworthiness, purchase
history etc. This description may include information pertaining to the income level,
Occupation, level of education, age, gender, hobbies, and/or area of residence. For
example, magazine advertising salespeople provide advertisers with customer profiles
describing the type of person who will be exposed to the advertisements in that
magazine. The description may include income, occupation, level of income, occupation,
level of education, age, gender, hobbies, area of residence etc.
These customer profiles which are built by the companies help them to understand their
customers better. Using this customer profile the companies are able to identify and
segment their potential customers.
1.3 CUSTOMER SATISFACTION:

The word "satisfaction" comes from the Latin words ‘satis’ (enough) and ‘facere’ (to do
or make). These words suggest the true meaning of satisfaction, which is fulfillment.
Managerially, fulfillment usually translates to solving problem & satisfying the
customer is not enough. To produce high level of customer loyalty, businesses need to
move beyond more satisfaction, to customer delight.
1.3.1 The Purpose of Business:

Peter F. Drucker , considered to be one of the leading management gurus in the world,
believes that the purpose of business to create and then retain a satisfied customer.
Although firms have to make money, Drucker argues that making money is a necessity
and not a purpose. It is, in fact, the end result, a desirable outcome of creating a satisfied
customer. Theodore Levitt, a Harvard Business School Professor, who explains this by
an analogy with human beings, expresses similar sentiment - all humans have to eat to
survive, but eating is not their purpose. Furthermore, making money does not provide a
legitimate reason for society to support the moneymaking enterprise. A society supports
businesses because they serve its member by catering to their needs to leave them
satisfied. If a firm dissatisfies customers, then not only will these specific customers stop
9
buying from the firm, but the society at large will condemn the firm and may even
penalize it - to the point of its extinction. In response to such messages, co part of the
corporate mission, and utilizes an understanding of customer behavior as input to all its
marketing plans & decisions.
1.3.2 Definition of Customer satisfaction:
Rather than a single definition, it would be appropriate to have a look at various definitions
given by some of the leading management gurus of the world. As it would help us to
understand the concept of Customer satisfaction in a better manner.
DEFINITION 1:
A famous economist, Karl E. Case defines Customer satisfaction as:

Equivalent to making sure that product and service performance meets customer
expectations.
DEFINITION 2:
According to K. Keller :
Customer satisfaction is the perception of the customer that the outcome of a business
transaction is equal to or greater than his/her expectation.
DEFINITION 3:
According to Sir Peter Parker:

Customer satisfaction occurs when the acquisition of products and or services provides a
minimum negative departure from expectations when compared with other acquisitions.
DEFINITION 4:
As Leon G. Schiffman says:

Customer satisfaction is an individual’s perception of the performance of the product or
service in relation to his or her expectations.
10
DEFINITION 5:
Whereas according to Dr. Philip Kotler:
Customer satisfaction occurs when the perception of the reward from the purchase of
goods or services by the customer meets or exceeds his/her perceived sacrifice. The
perception is a consequence of matching past purchase and consumption experience
with the current purchase.
1.3.3 Measuring customer satisfaction:
There are several ways to gather input from customers. The simplest way to find out how
customers feel and what they want, is to ask them. If you have only 20 customers, you can
talk to each one personally. The advantage of this approach is that you'll get a personal "feel"
for each customer. The disadvantage is that you'll gather different information from each
customer depending on how the conversation goes. Some of the ways in which you can
approach the customer are listed below:
I.Customer Survey
Customer surveys with standardized survey questions insure that you will collect the same
information from everyone. Remember that few of your customers will be interested in
"filling out a questionnaire". It's work for them without much reward. By launching a
customer survey as an attempt to find out "how we can serve you better" -- your customers
will feel less put upon.
Here are a few of the possible dimensions you could measure:
• quality of service
• speed of service
• pricing
• complaints or problems
• trust in your employees
• the closeness of the relationship with contacts in your firm
• types of other services needed
• your positioning in clients' minds
II.Focus Groups
Focus groups are good ways to get informal input from a group of customers or prospects.
You bring in 5-10 customers or prospects and ask them questions or have them react to
material. You can pay a professional facilitator and videotape the whole session, or just lead
an informal discussion yourself. In either case, you have a chance to gather ideas about
customer needs, reactions to your company, suggestions for new services, and so forth. In
11
addition to individual responses, you get ideas that develop as the group reacts to each other's
responses.
III.Client Advisory Groups
One way to get regular input from customers is to put together an advisory group. This can
act like a focus group, but is set up to provide input over time. You may pay members, or
simply buy them dinner every quarter.
There are many benefits to such groups. They give you a source of input from the customer
viewpoint. They provide a sounding board for specific questions. They enhance your
relationship with good customers who become more committed to your success. And they
can move relationships with prospects ahead.
1.3.4 Importance of customer satisfaction:
Why Customer Satisfaction:
A customer is satisfied only when he is getting quality product and quality service which he
perceives. If a company is able to provide both, this will lead to customer satisfaction. A
satisfied customer will develop loyalty towards the company and will buy product of same
company again and again. At the same time he will recommend company's product to others.
This will help company in getting new customers. As a result company's sale will increase
and profits will rise.
Dissatisfied customer on an average will tell 12 others not to buy a product of the company.
With internet and other information technology tools this number could go up to 10,000.
This will affect the image of the company and will result in loss of sale and profit.
The cost of acquiring new customer is 5 times more than keeping the old one. The old
customer will remain with a company only if they are satisfied with the services provided by
the company.
If a customer has a major complaint, 91 % of such customers will not buy from the company
again. If the problem is resolved quickly, 82% of them will return. So a company should see
that it is able to meet expectations of each and every customer and should not delay in
solving customer's complaint.
12
1.3.5 CUSTOMER SATISFACTION MODEL by N.Kano:
The customer satisfaction model from N.Kano is a quality management and marketing
technique that can be used for measuring client happiness.
Kano’s model of customer satisfaction distinguishes six categories of quality attributes,

from which the first three actually influence customer satisfaction:
1. Basic factors (Dissatisfiers, Must have): the minimum requirements that will cause
dissatisfaction if not fulfilled, but do not cause any satisfaction if they are fulfilled (or
exceeded). The customers take these as prerequisites and take these for granted.
2. Excitement factors (Satisfiers, Attractive): the factors that increase customer

satisfaction if delivered but do not cause dissatisfaction if they are not delivered. Such
factors surprise the customers and generate ‘delight’.
3. Performance Factors: The factors that cause satisfaction if the performance is high,
and cause dissatisfaction if the performance is low. Here the attribute performance-
overall satisfaction is linear and symmetric. Typically these factors are directly
connected to customer explicit needs and desires and a company should try to be
competitive here.
The additional three attributes which Kano mentions are:
4. Indifferent attributes: the customer does not care about these features.
5. Questionable attributes: it is unclear whether these attributes are expected by the
customer.
6. Reverse attributes: the reverse of this product feature was expected by the customer.
13
14
CHAPTER II:
Review Of
Literature
15
In today’s competitive world where every company is striving to retain and capture market
the importance of satisfying the existing customers has increased. And almost every company
realizes this, it is only because of this reason that the companies are spending huge amounts
for finding out the level of customer satisfaction and trying to improve this level by providing
better products and services.
Some of the researches that have been done by various companies in different sectors, in the
field of customer satisfaction have been discussed below.
Customer Survey I :
A survey was conducted by The University of Michigan to find out the level of customer
satisfaction for Lexus car owners and users.
According to the report the customers rated Lexus as 87 on a scale of 100. It was also found
that the major criteria for satisfying the customer were not the incentives but the quality of
the cars.
The report suggested the company to reduce the production runs and concentrate on
improving the quality.
Customer Survey II:

A customer satisfaction survey was conducted by the SKY(Satellite TV), which found out
that approximately 62% of the respondents were very dissatisfied (along with another 25%
who were dissatisfied) with the cost of cable television service.
A majority of the respondents were satisfied with the friendliness and courtesy of customer
service personnel, however, approximately 30% of the respondents rated the cable company's
performance as poor. With regard to open-ended comments, respondents felt that the cost of
the cable service was too high, a need for cable competition existed and the desire for a basic
cable package offering was desired.
Customer Survey III:

According to a survey conducted by J.D. Power Asia Pacific, to find the level of customer
satisfaction among the MarutiSuzuki car owners, the company scored 838 points on a scale of
1000.The study assesses the overall contentment of the owners of the vehicle who visited
their official dealer or service centre for maintenance or repair work in the initial 12 to 18
months of ownership.
The report suggested that the overall satisfaction level of the customers is determined by
utilizing seven measures including service quality; user-friendly service; service advisor;
service initiation; service delivery; and in-service experience.
16
Customer Survey IV:
A customer satisfaction survey was conducted by the Institute of Air Navigation Services
to find out the level of satisfaction among the students.
The survey accounted 2774 students, it was found that around 90% of the students were
satisfied with the modules and more than 88% students indicated that the modules met the
objectives.
However about 23% of the students recommended a change in the structure of the modules.
The analysis of the open ended questions showed that around 56% of the students wanted
changes in the e-learning & training programmes.
Customer Survey V:
Another customer satisfaction survey was conducted by LaCHIP (Louisiana Children’s
Health Insurance Program), which showed that although more than 76% of the customers
were satisfied with the services provided but nearly 38% of the customer thought that the
process of applying for the program was very cumbersome and time consuming.
Customer Survey VI:

National Centre For Education Statistics (NCES) conducted a customer satisfaction
survey to find out the level of customer satisfaction related to the NCES publications, NCES
databases & user tools and other services provided by the NCES.
The survey concluded that about 90% of the customers were either satisfied or very satisfied
with the publications & the services provided by the NCES.
And not more than 5% of the customers reported dissatisfaction with such publication aspects
as overall quality of report, comprehensiveness, ease of understanding, relevance of
information, and accuracy. However, 15% of users reported dissatisfaction with timeliness.
Customer Survey VII:

A customer satisfaction research conducted by Don Dewees and David Duff in the field of
automobile insurance sector in the U.S.A. According to this report although it was thought
that Monetary compensation for the vehicular accidental claims was the path to customer
satisfaction, however the customers thought that a bundle of small things such as promptly
answered telephone calls or mails, recognition that the person applying for the claim is going
through a stressful and emotional period, contribute a great deal in customer satisfaction.
17
Customer Survey VIII:
Another customer satisfaction survey was conducted at the Marina Mall. This survey was
conducted using a questionnaire as the research instrument, with a sample size of 300 people
visiting the mall, which included 150 males & 150 female respondents. Questions relating to
different aspects of the mall in the areas of design, service, atmosphere, quality, selection,
variety, products, and sales people, as well as parking and time preferences for visiting the
mall. Findings in this study include gender differences in the types of shops, food
establishments, entertainment, etc. however, the Marina Shopping Mall is rated by the
respondent/consumers participating in this study as having satisfied their expectations in most
areas and totalling a majority percentage as well.
Customer Survey IX:

NBRI(National Business Research Institute) conducted a research for the HYATT
HOTELS, U.S.A. After the terrorist attack of 9/11, as the sales for the hotel were falling
drastically, the leading hotel chain engaged NBRI to a customer satisfaction survey to find
the level of customer satisfaction and ways to improve the same.
The survey revealed that price was no longer the factor effecting the perception or the level of
satisfaction of the customers. However, according to more than 86% of the customers
security arrangements and the friendliness of the staff were the main reasons for customer
satisfaction or dissatisfaction.
Customer Survey X:
Another research in the field of evaluation of customer satisfaction was conducted by
Starbucks’ indicated that customer satisfaction, not just customer service, had to be improved
quickly and that Starbucks' head office had failed to see a changed customer base. The report
points out that, inspiring customer loyalty requires local store level efforts to remove the
public's perception of a corporation only interested in generating more stores.
Customer Survey XI:

A customer satisfaction survey conducted by Yamaha Motor India Pvt. Ltd. revealed that
more than 78% of the customers were either highly satisfied or satisfied. Out of these 56% of
the highly satisfied or satisfied customers turned out to be the repeat purchasers of the
Yamaha bikes.The main reasons of satisfaction among the customers were the fuel economy
& power of the bikes.
18
CHAPTER III:
Problem Statement
19
After the review of literature in the previous chapter the importance of customer satisfaction
was quite evident. However the researcher felt that with the dynamic nature of the Indian
market and the shortening life cycle of various products, there was a need for an elaborated
study of the likes and dislikes of the Indian consumer. With launch of various brands and
models waiting at the horizon, the Indian auto industry is expected to become highly
competitive in the coming years. So in order to retain and increase their market shares the
companies need to satisfy their customers in the best possible manner.
After carefully studying the current scenario of the auto industry in India, the researcher
decided to conduct a detailed study for evaluating the level of customer satisfaction and
identifying the reasons for the same. This study was conducted using a customer survey,
targeting the current users of the all new Honda City i-VTEC car launched by HSCI on the
25th Sep. 2008.
3.1 Justification of the Problem:

After de-licensing in 1991, the auto industry in India has grown at an average rate of 17%.
Currently the industry contributes nearly 5% of the GDP, and is expected to grow nearly five
folds and account over 10% of India’s GDP.
Over the last 5 years, the production of the four wheeler industry has increased from 9.3 lakh
units in 2002-03 to 23 lakh units in 2007-08, reporting a CAGR of 20%. Even the exports
have increased immensely from 84,000 units in 2002-03 to 2, 80,000 units in 2007-08.
However, despite the commendable growth of the auto sector, HSCI has not really been able
to make a mark in the Indian market. It had been able to capture only 5.52% of the total
market in FY07, which has fallen further to 4.93% in the FY08 and with the launch of new
cars such Nano, Jaguar, Land Rover etc. The situation is expected to get worse.
The main rational behind this survey report is that HSCI needs to retain the existing
customers and attract new ones. This can be done only by satisfying the customers to the
maximum possible extend. As this would not only prevent the existing Honda customers
from shifting to the other competitive brands but would also help in capturing new ones. This
is because, when a customer perceives good service he typically tell nine to ten people.
According to Griffin (1995), improvement in customer retention by even a few percent can
increase the profits by 25% or more. The University of Michigan found that for every
percentage increase in customer satisfaction there is an increase of 2.37% in return on
investment (Keiningham & Varvra, 2001).
20
By this report the researcher aims at developing a customer profile for the all new Honda City
users. The report also aims at evaluating the levels of customer satisfaction, identifying the
reasons for such satisfaction or dissatisfaction and recommending changes that would help
the company in improving this level of satisfaction.
After deciding the industry, company and product for which the survey was to be
conducted, the researcher took the following decisions regarding
i. The scope of the project &
ii. The objective to be attained from the project
3.2 Scope Of The Project:

i. A detailed study of the four wheeler industry in India,
ii. A brief study about functioning of Honda in India(i.e.HSCI),
iii. Understanding the customer profile for the new Honda City,
iv. Understanding and analyzing the level of satisfaction or dissatisfaction among the
customers of the new Honda city & the reasons for the same.
3.3 Objectives Of The Project:
i. To understand the detailed profile of the customers of the All New Honda City
ii. To evaluate the level of satisfaction or dissatisfaction among the customers of the new
Honda city & the reasons for the same.
In order to achieve the above stated objectives the researcher found it necessary to gather
information pertaining to the following:
i. Indian four-wheeler Industry,
ii. Honda and
iii. All new Honda City I-VTEC.
21
3.4 AN INDUSTRY OVERVIEW:
3.4.1 The four wheeler industry in India:

3.4.1(a) Background
Source: FADA (Federation Of Automobile Dealers Association) & ICRA (Investment Information And Credit
Rating Agency Of India Limited) Sectoral Review
The four wheeler industry in India has not quite matched up to the performance of its
counterparts in other parts of the world. The primary reason for this has been the all-
pervasive regulatory atmosphere prevailing till the opening up of the industry in the
mid-1990s. The various layers of legislative Acts sheltered the industry from external
competition for a long time. Moreover, the industry was considered low-priority as
cars were thought of as "unaffordable luxury".
Until the early 1990s, the automotive sector in India was highly protected. This was in
the form of steep import tariffs and measures that restricted the participation of
foreign companies. Hindustan Motors (HM) and Premier Automobile (PAL) that were
set up in 1940's dominated the vehicle market and industry. In the 1950s, the arrival of
Tata Motors, Bajaj Auto, and Mahindra & Mahindra led to steadily increasing vehicle
production in India, while the 1960s witnessed the establishment of the two- and
three-wheeler industry in India. However, the automotive industry witnessed
tremendous growth after the entry of Maruti Udyog in the 1980s. In 1983, the
government permitted Suzuki - for some time, the only FDI player - to enter the
market in a joint venture with Maruti - a state operated enterprise at the time. Ten
years later, as part of a broader move to liberalise its economy, India de-licensed
passenger car manufacturing and opened it up further to foreign participation. That
brought a wave of FDI to India's vehicle industry. Import barriers have been
progressively relaxed. Today, almost all of the major global players are present in
India. The automotive industry is today a key sector of the Indian economy and a
major foreign exchange earner for the country.
3.4.1(b) Current scenario of the four wheeler industry in India:
Source: FADA & ICRA Sectoral Review
The Indian economy has grown at an annual rate of more than 8% over the last five
years and the industrial production has made an outstanding contribution to this
growth. Auto industry was licensed, controlled and restricted in the early years of
independent India and had a limited contribution to the economy. But post delicensing
in 1991 the industry has grown at an average rate of 17%. The industry currently
contributes about 5% of the GDP and it is targeted to grow fivefold by 2016 and
account for over 10% of India’s GDP. Automotive mission plan (AMP) expects the
22
industry to reach a turnover of $150-200 billion in the next ten years from the current
$45 billion levels. Over the last five years the production of four wheelers in India has
increased from 9.3 lakh units in 2002-03 to 23 lakh units in 2007-08 reporting a
CAGR of 20%. Vehicle manufacturers are increasingly adopting an outward looking
approach and exploring new markets & territories, ranging from Middle East, Europe,
South Africa, Algeria, Latin America, Russia, etc. Exports have increased immensely
from 84,000 units in 2002-03 to 280,000 units in 2007-08. CRISIL (Credit Rating
Information Services Of India Ltd.) estimates the passenger vehicle exports to cross 7
lakh units by 2011-12.
3.4.1(c) Market Share scenario in the car industry:
(i) Passenger Cars segment:
(ii) Utility Vehicles:
23
3.5 COMPANY PROFILE:
3.5.1 An Overview:
3.5.1(a)HONDA WORLDWIDE:
The history of the Honda Motor Company began with the vision of one man - Soichiro
Honda. His dream was personal mobility for everyone.
Soichiro Honda founded the Honda Motor Company in 1948. In the same year, he designed
and engineered the first product of this company - a 50 cc motorised bike on a bicycle frame -
in his small shed at Hamamatsu.
Soichiro's vision was international in character. His desire was to lead the world in
technology, and make a significant contribution to the creation of a better society. As a result,
most of the products that Honda developed started out by making a difference. Whether it
was the CVCC engine in the sixties or the solar powered car of the nineties, they all sought to
challenge and overcome conventional wisdom.
3.5.1(b) PRINCIPLES OF HONDA:
Honda Motor Co., Ltd. operates under the basic principles of "Respect for the Individual"
and "The Three Joys" — commonly expressed as The Joy of Buying, The Joy of Selling and
The Joy of Creating. "Respect for the Individual" reflects our desire to respect the unique
character and ability of each individual person, trusting each other as equal partners in order
to do our best in every situation.
3.5.1(c) Honda in India:
Honda Siel Cars India Ltd., (HSCI) was incorporated in December 1995 as a joint venture
between Honda Motor Co. Ltd., Japan and Siel Limited, a Siddharth Shriram Group
company, with a commitment to providing Honda’s latest passenger car models and
technologies, to the Indian customers. The Honda City, its first offering introduced in 1997,
revolutionized the Indian passenger car market and has ever since been recognized as an
engineering marvel in the Indian automobile industry. The success of City as well as all its
other models has led HSCI to become the leading premium car manufacturer in India. The
total investment made by the company in India till date is Rs. 1620 crores, further investment
of RS. 1000 crore is planned and being currently invested for the coming second plant in
Rajasthan. The company has a capacity of manufacturing 100,000 cars.
24
7HSCI’s state-of-the-art manufacturing unit was set up in 1997 at Greater Noida, U.P with an
investment of Rs. 450 crore. The green-field project is spread across 150 acres of land (over
6,00,000 sq. m.).
The initial installed capacity of the plant was 30,000 cars per annum, which was thereafter
increased to 50,000 cars on a two-shift basis. The capacity has further been enhanced to
1,00,000 units annually in February 2008 . The capacity expansion was necessitated by the
excellent performance of all the Honda models, particularly the growing demand for City in
India. Several modifications were done by the company with the objective of offering higher
quality products to its customers, faster and quicker. The expansion process also included
expansion of the covered area in the plant, from 1,07,000 sq. m. to 1,31,794 sq. m.
HSCI currently produces the newly launched Honda Jazz, All New City, Civic and Accord
models in India and the premium SUV, CR-V is sold as a fully imported unit from Japan.
The company operates under the stringent standards of ISO 9001 for quality management and
ISO 14001 for environment management.
3.6 About the Car:

3.6.1 The all new Honda City:
The third generation of the concept design “arrow-shot” or arrows, make All New Honda
City looks very different from the generation predecessor. Overall view All New Honda City
more impressive. With exterior design changes so that the overall look sporty luxury at a
time.
All New Honda City is a perfect evolution of a mini-class sedan. The latest generation of
Honda City will continue success in the automotive market. Honda City has this
revolutionary view, and the more luxurious for a mini-class sedan.
Design front bumper and spoiler made refers to the cars racing to the level of Aerodynamics
can be maximum. In addition, also made a whole big enough air on the spoiler to reduce
barriers when its winds, also as Feed of fresh air to the engine room. The larger size of the
headlight to make Honda call it “The Eagle Eye”.
Behind, All New City is designed according to “tail” arrows. An effect of arrows is
established by design decks high and the trunk cut off, which also contribute to the smooth
flow of air to the rear body. In addition, the form of bumper diffuser also added to create the
25
effect HANDICAP style press and the road surface in order to maintain stability when the car
was on high speed.
The shape of the rear lights also changed, now mica lamp made in two colors, red and white
three-dimensional. Interior also participate improvement, Honda wants to apply the concept
of “cozy Lounge” in the car cabin. This is possible with the dimensions of space that is longer
and more widely each 5mm from the previous generation (4.395mm and 16.95mm) and less
than 15mm (1.470mm).
There are also features reclining seat, which allows rear seat passengers could be laid down
sitting position to get more comfortable. This technology may be applied first in a sedan,
usually because the rear seat passengers with what is required baggage.
3.6.2 Importance of the all new Honda City for the Company:
According to the management of HSCI, Honda City has been the most important car in the
Honda line up. HSCI claims to sell around 60,000 cars every year. Out of these 2/3rd of the
cars sold are City i.e. Honda sells 40,000 City every year.
The City has been the star performer for HSCI since the time it was launched. However now
it is taking the position of a cash cow for the company. i.e. it is generating the maximum sales
for the company despite its small & stagnant market share.
26
CHAPTER IV:
Research
Methodology
27
RESEARCH METHODOLOGY:
There were several methodologies of research that the researcher could have utilized to
collect information regarding customer satisfaction. Some of the more commonly used
strategies are: i) written survey, ii) telephone surveys, iii) focus groups, iv) in-depth
interviews etc. However factors such as information need, resources, accessibility to
customers, sample to be used, time etc. had to be considered prior to selection of a
methodology.
4.1 Research Method:

For this particular study, the method of acquiring information from the customer needed to be
both easy to use and understand. Therefore the researcher decided to use the written survey
method. Under this method, the information was collected from the customers using a
research instrument called a Questionnaire(which was prepared by the researcher himself).
This questionnaire was a structured questionnaire, which had definite, concrete and
predetermined questions. These questions were presented with exactly the same wording and
in the same order to all the respondents. The questionnaire consisted of both closed ended &
open ended questions.
4.2 Data Source:

The research makes use of both Primary & Secondary Data.
a. Primary Data: The customer survey was based on the primary data which was
collected by the researcher through one to one interaction with the customers, using
the questionnaire.
b. Secondary Data: use of secondary data was also made in the research. The purpose
was to gather information as to who is a customer, what is customer satisfaction, information
pertaining to four-wheelers market, company profile & research papers on customer
satisfaction. This secondary data was collected from various websites, Magazines &
broachers, management books and articles.
28
4.3 Target population & Sampling plan:
The target population consisted of all the existing customers of the all new Honda City I-
VTEC and the research area was Delhi & NCR. Out of the entire target population the
researcher decided to draw a sample of 200 customers, for the purpose of this report. These
samples were chosen on the basis of simple random sampling.
4.4 Target Areas:

In order to conduct the survey and meet the targeted audience the researcher visited various
places. These places included: i) Company Dealerships & Service Centres (Ace Honda &
Prime Honda), ii) Petrol pumps (Kargil Fill up station Vasundhra encl. & Indian Oil
Mayur vihar PH-I), iii) Shopping malls, (which included the Great Indian Mall & Centre
Stage Mall).
4.5 Data processing:

The data collected from the respondents, through the questionnaire, was recorded in an excel
sheet which was then converted into SPSS database for analysis procedure. This data has
been displayed in the report using graphical presentations (pie-charts, bar diagrams,
histograms etc.) and tabulations.
29
CHAPTER V:
Results &
Discussions
30
RESULTS:
On the basis of the survey conducted under the project, using the questionnaire
(Refer to Annexure), the following data was collected.
This data has been analysed using various software such as Microsoft Excel,
Microsoft Word & SPSS and has been depicted using various Graphs, tables etc.
5.1BUILDING OF CUSTOMER PROFILE:
5.1.1 GENDER:
Table 1.1
Frequency Percentage
Male 175 87.50%
Female 25 12.50%
Total 200 100%
Fig. 1.1
31
As shown above out of 200 respondents 175 were Males, where as only 25 respondents were
Females. i.e. 87.50% of the respondents were male. The main reason for this may be the fact
that only 25.6% of the women in India are working.
5.1.2 AGE:
Table 1.2
Cumulative
Frequency Percent Valid Percent Percent
21 to 30 21 10.5 10.5 10.5
31 to 40 59 29.5 29.5 40.0
41 to 50 73 36.5 36.5 76.5
51 to 60 39 19.5 19.5 96.0
More than 60 8 4.0 4.0 100.0
Total 200 100.0 100.0
32
Fig. 1.2
On the basis of the responses from the respondents, it was found that more than 36% of the
customers belong to the age group ranging from 41 to 50 years, nearly 30% of the customers
lie in the age group of 31 to 40 years & nearly 20% of the customers belong to the age group
of 51 to 60 years.
HSCI Ltd. had launched this car with an aim of capturing the customers of a younger age
group i.e. 25 to 45 years. However, as the survey revealed that the majority of the customers
belong to the age group of 40 to 50 years. This is mainly due to the fact that the all new
Honda City has ended up costing much more than what was planned at the time of its launch
in India.
5.1.3 FAMILY STATUS:
Table 1.3
Married
(With Kids) 161 80.50%
Married
(Without Kids) 27 13.50%
33
Unmarried 12 6%
Total 100 100%
Fig. 1.3
The figure above shows that out of the 200 respondents 161 were married and had kids.
Whereas 27 respondents were married but did not have kids. And the rest of the
respondents (i.e. 12) were yet unmarried.
5.1.4 EDUCATIONAL QUALIFICATION:
Table 1.4
Under graduate 6 3%
Graduate 148 74%
Post Graduate 34
46 23%
Total 200 100%

Fig. 1.4
The data above shows that 148 out of 200 all new Honda City customers were Graduates,
whereas 46 customers were Post Graduates & only 6 customers were Under Graduates.
5.1.5 OCCUPATION:
Table 1.5
35
Business 139 69.50%
Service 38 19%
Self-Employed 19 9.50%
Students 4 2%
Total 200 100
Fig. 1.5
As shown above out of 200 respondents, 139 respondents were businessmen, 38 respondents
belonged to the service class, 19 respondents were self employed (i.e. were professionals
such as Charted Accountants, Doctors, Lawyers etc.).
One of the main reasons behind businessmen being the major buyers of the All New Honda
City could be the higher average income of the businessmen in India i.e. around
Rs.1,00,000 per annum(Source: Invest India Incomes & Savings Survey 2007)
5.1.6 Monthly Household Income:
36
Table 1.6
Level of income Frequency Percentage
50,000-75,000 37 18.5%
75,001-1,00,000 96 48%
1,00,001-1,25,000 55 27.5%
1,25,001-1,50,000 11 5.5%
1,50,001-1,75,000 0 ----
More than 1,75,000 1 0.50%
Total 100 100%
Fig. 1.6
As shown in the above graph, nearly half of the customers lie in the income segment of
Rs.75,001 to 1,00,000 and more than 27% of the customers belong to the income of
Rs.100,001 to 1,25,000.
37
In India where more than 25% of the people live below the poverty line (Source: CIA
Factbook 2008) and the average income is only around Rs.29500 (Source: Financial
Express) this car (costing more than Rs.7.5 lakhs) seems to cater an extremely small segment
of customers.
5.1.7 BUDGET DECISION:
Table 1.7(a)
Cumulative
Pre decided 154 77.0 77.0 77.0
Not decided 46 23.0 23.0 100.0
Total 200 100.0 100.0
Table 1.7(b)
Amount Frequency Percentage

6,00,00 to 8,00,000 12 7.8%
8,00,001 to 10,00,000 76 49.3%
10,00,001 to 12,00,000 66 42.9%
Total 154 100%
38
Fig. 1.7(b)
Table 1.7(a&b) and Fig. 1.7 (a&b) show that 77% of the respondents decided their budget
before going to purchase the car and out of these nearly 50% of the people had set their
budgets between Rs.8,00,000 to Rs.10,00,000.
5.1.8 DRIVING SCENARIO:
Table 1.8
Valid
Driver Frequency Percent Percent Cumulative Percent
Myself 139 69.5 69.5 69.5
Chauffer 45 22.5 22.5 92.0
Family
16 8.0 8.0 100.0
members
Total 200 100.0 100.0
39
Fig. 1.8
As shown above nearly 70% of the respondents interviewed drive their car on their own,
whereas for around 22% of the respondents their car was driven by the chauffers (drivers).
5.2ANALYSIS OF CUSTOMER PROFILE:
By analyzing the data collected above, it can be said that usually the profile of an
all new Honda City customer would look as follows:
The Customer would usually be a Male, who belongs to the age group of 41 to 50
years, is married and has kids.
He would usually be a Graduate who runs his own business and earns a monthly
income of around Rs. 75,000 to 1,00,000(or higher).
The analyses also show that while buying the car the customers have a pre-decided
budget of around Rs.8 lakhs to 10 lakhs.
The city customers usually drive their car on their own.
40
5.3 Other important information regarding the City customers:
5.3.1 PURCHASE CRITERIA:
Key Factors Considered Before Buying A Car:
1. Brand Name:
Table 3.1(a)
Cumulative
Yes 126 63.0 63.0 63.0
No 74 37.0 37.0 100.0
Total 200 100.0 100.0
Section I.1
2. Price Of The Car:
Table 3.1(b)
Cumulative
Yes 60 30.0 30.0 30.0
No 140 70.0 70.0 100.0
Total 200 100.0 100.0
3. Exterior Styling:
41
Table 3.1(c)
Cumulative
Yes 52 26.0 26.0 26.0
No 148 74.0 74.0 100.0
Total 200 100.0 100.0
4. Interior Styling:
Table 3.1(d)
Cumulative
Yes 39 19.5 19.5 19.5
No 161 80.5 80.5 100.0
Total 200 100.0 100.0
5. Performance:
Table 3.1(e)
Cumulative
Yes 27 13.5 13.5 13.5
No 173 86.5 86.5 100.0
Total 200 42
100.0 100.0
6.
When the customers were asked that, what were the key factors that they considered while
buying the car?
i. 126 out of 200 respondents agreed that Brand Name was a key factor that was
considered while buying the car.
43
ii. 60 out of 200 respondents said that price of the car was an important while
buying the car.
iii. 52 out of all the respondents agreed that Exterior styling was an important
criteria while buying the car.
iv. 39 out of 200 respondents considered interior styling to be a key factor.
v. 27 respondents believed that the performance of the car was an important

consideration for buying the car.
The possible reason behind the importance of Brand name while purchasing a car is the fact
that Brand name is considered an indicator of the performance and quality of the product.
It can also be seen that price of the car is also among the top priorities for the price sensitive
Indian customer. However the fact that the Brand name comes before the price, shows that
the Indian customers are willing to pay lavish amounts if such prices are justified by the
quality provided.
Similar results were depicted by a research conducted by The National Council of Applied
Economic Research in automobile industry, which broke the myth that Maruti 800 (A.C.
variant) & Hyundai Santro (A.C. variant with power steering) would not sell due to their high
prices. However both the cars were welcomed by the Indian customers with open arms.
5.3.2 Source of Information:
44
Internet
Cumulative
Yes 103 51.5 51.5 51.5
No 97 48.5 48.5 100.0
Total 200 100.0 100.0
Word of mouth
Cumulative
Yes 111 55.5 55.5 55.5
No 89 44.5 44.5 100.0
Total 200 100.0 100.0
45
T.V.
Cumulative
Yes 29 14.5 14.5 14.5
No 171 85.5 85.5 100.0
Total 200 100.0 100.0
As shown above, according to more than 55% of the respondents who were interviewed,
while buying a car they consult their friends and family for the information about the car.
This shows that Word Of Mouth is the most important source of information for a buyer
while buying the car.
Word of mouth is considered to be one of the most economical yet immensely important
sources of advertisement for any company but in order to spread a positive word of mouth the
company needs to provide maximum possible satisfaction & value to the customers.
46
The survey also shows that internet & T.V. were among the other important sources for
information. However these forms of media still remain under used in India, by Honda.
5.4 Competitive Analysis:
Other cars considered
Name of the car Frequency Percentage

Hyundai Verna 136 68%
Sx4 95 47.5%
Fiat Linea 63 31.5%
Chevrolet Optra 58 29%
Accent 31 15.5%
47
The survey reveals that 68% of the customers considered Hyundai Verna as one of the
options while purchasing their cars. According to most of them the main reasons for
considering Verna were the Brand Name “Hyundai” & the after sales services provided by
the company.
The Sx4 was the other most mentioned car and nearly 48% of the people considered it as a
purchase option. They found the sporty & masculine look of the car very attractive.
The new Fiat Linea & Chevrolet Optra were also among the other options considered by the
customers.
Another reason which was given unanimously, in the favour of these cars, was that all of
these cars came with a diesel variant. However, Honda still does not have a diesel car in their
line up.
5.5 Analysis Customer Satisfaction:
5.5.1 Audio System:
48
Level of satisfaction from the audio system
Cumulative
N/A 15 7.5 7.5 7.5
Highly satisfied 28 14.0 14.0 21.5
Satisfied 113 56.5 56.5 78.0
Neither satisfied nor
22 11.0 11.0 89.0
dissatisfied
Dissatisfied 16 8.0 8.0 97.0
Highly dissatisfied 6 3.0 3.0 100.0
Total 200 100.0 100.0
Fig. 5.1
49
The customer survey revealed that out of all the respondents, more than 56% of the
respondents were satisfied with the performance of their cars audio system and 14% of
them were highly satisfied. Whereas around 11% of the respondents were indifferent
towards the same. Another 8% of the respondents were dissatisfied with the performance and
3% of them seemed to be highly dissatisfied. The leftover 7.5% of the respondents did not
comment as they owned the 1.5E variant of the all new Honda City which does not have an
audio system.
Despite the high rate of satisfaction among the respondents, regarding the performance &
sound quality of the audio system, more than 78% of the respondents complained about the
absence of a CD/Cassette player in 1.5 S(MT & AT). And almost all the 1.5E variant
owners suggested that an audio system should be added to the car as a basic feature.
5.5.2 Overall Styling & Features:
50
Frequency of Scores allotted (in percentage)
Features 1 2 3 4 5
Exterior Styling --- --- 46% 53.50% 0.50%
Interior Styling --- --- 51% 49% ---
Spaciousness --- --- 43% 57% ---
Riding Comfort --- --- 43.50% 56% 0.50%
Safety --- --- 46% 54% ---
Image --- 1.50% 43.50% 54.50% 0.50%
Handling --- --- 39.50% 60.50% ---
Fuel Efficiency --- --- 57% 43% ---
Fig 5.3
51
When the customers were asked to score the main features of their all new Honda City on a
scale of 1 to 5. The above responses were observed by the researcher.
On the basis of the data collected above it can be seen that almost everybody is happy with
the main features of the car.
52
5.5.3 Additional features:
Table
S. NO. Requested Frequency Percentage Price

Feature willing to
pay(in Rs.)
CD/Cassette Nil
1. player 197 98.5% (Free of
cost)
12,000 to
2. Alloy Wheels 191 95.5% 15,000
3. Side Air 132 66% 5,000 to

Bags 7,000
Rear
4. Parking 96 48% 1,800 to
Sensors 3,000
10,000 to
5. Navigation 82 41% 15,000
When the respondents were asked whether they would like some new features to be
introduced as standard to their all new Honda City & the price they were willing to pay for
the same, the researcher found the above stated results.
53
Although both the CD/Cassette player & the Alloy wheels are available in the accessory
packages provided by Honda, the customers feel that both the things are being sold at a very
high price. The cost of alloy wheels in the accessory package is Rs.42,000 while they are
available in the aftermarket for Rs.15,000 to 20,000.
5.5.4 Exterior Styling of the Car:
Front styling
Cumulative
Score Frequency Percent Valid Percent Percent
3 84 42.0 42.0 42.0
4 115 57.5 57.5 99.5
5 1 .5 .5 100.0
Total 200 100.0 100.0
Side styling
Cumulative
3 103 51.5 51.5 51.5
4 95 47.5 47.5 99.0
5 2 1.0 1.0 100.0
Total 200 100.0 100.0
54
Rear styling
Cumulative
3 83 41.5 41.5 41.5
3.5 1 .5 .5 42.0
4 116 58.0 58.0 100.0
Total 200 100.0 100.0
55
The results show that almost all the respondents were happy with the styling and exterior
looks of the car. As none of the respondents rated the car below 3 on a scale of 5.
Due this fact the All New Honda City has also won the UTV Autocar award 2009 for the
best design.
5.5.5 Interior Styling:
(a) Accessing from the Driver’s seat:
Interior colour scheme
Cumulative
score Frequency Percent Valid Percent Percent
3 126 63.0 63.0 63.0
4 74 37.0 37.0 100.0
Total 200 100.0 100.0
56
Instrumental Panel (Design & Visibility)
Cumulative
Score Frequency Percentage Percentage
3 100 50% 50%
4 99 49.50% 99.50%
5 1 0.50% 100%
Total 200 100%
Seating posture
Cumulative
3 100 50.0 50.0 50.0
4 100 50.0 50.0 100.0
Total 200 100.0 100.0
Leg & Head Room
Cumulative
3 100 50% 50%
4 99 49.50% 99.50%
5 1 0.50% 100%
Total 200 100%
Audio (Performance & Control)
Cumulative
3 125 62.50% 62.50%
4 74 37% 99.50%
57
5 1 0.50% 100%
Total 200 100%
Air conditioner
Cumulative
Score Frequency Percentage percentage
2 5 2.5% 2.5%
3 74 37% 39.5%
4 118 59% 98.5%
5 3 1.5% 100%
Total 200 100%
Road Visibility
Cumulative
3 85 42.5 42.5 42.5
4 113 56.5 56.5 99.0
5 2 1.0 1.0 100.0
Total 200 100.0 100.0
58
When the customers were asked to mark certain interior features of their all new Honda city
on a scale of 1 to 5, they gave the above stated responses.
The results show that although the customers are happy with these features, some customers
have complained about the inefficient performance of the air conditioner. According to such
people the cooling of the air conditioner does not match their expectations.
(b) Accessing from the rear seat:
Rear seat comfort

Cumulative
Score
3 108 54.0 54.0 54.0
4 91 45.5 45.5 99.5
5 1 .5 .5 100.0
Total 200 100.0 100.0
59
Shoulder & Leg Room
Score Frequency Percentage Cumulative

Percentage
3 104 52% 52%
4 96 48% 100%
200 100%
Cabin space
Cumulative
3 115 57.5 57.5 57.5
4 84 42.0 42.0 99.5
5 1 .5 .5 100.0
Total 200 100.0 100.0
A.C.
Cumulative
2 1 .5 .5 .5
3 70 35.0 35.0 35.5
4 126 63.0 63.0 98.5
5 3 1.5 1.5 100.0
Total 200 100.0 100.0
60
Audio System
Cumulative
3 89 44.5 44.5 44.5
4 110 55.0 55.0 99.5
5 1 .5 .5 100.0
Total 200 100.0 100.0
61
While scoring the interior features in context to the rear seat although most of the customers
seemed to be satisfied, some very unhappy with the performance of the air conditioner. A
similar response from respondents was seen while accessing the performance from the rear
seat.
5.5.6 Luggage Space:
Frequency of using luggage space

Cumulative
Very often 11 5.5 5.5 5.5
Often 54 27.0 27.0 32.5
Sometimes 52 26.0 26.0 58.5
Rarely 49 24.5 24.5 83.0
Very rarely 34 17.0 17.0 100.0
Total 200 100.0 100.0
62
Frequency of using luggage space & Spaciousness
Spaciousness
Frequency of using
luggage space 3 4 5 Total
Very often 2 8 1 11
Often 11 40 3 54
Sometimes 9 40 3 52
Rarely 16 30 3 49
Very rarely 16 17 1 34
Total 54 135 11 200
Frequency of using luggage space & Ease of Loading& Unloading

Frequency of using luggage space Ease of Loading& Unloading
3 4 5 Total
Very often 2 5 4 11
Often 14 37 3 54
Sometimes 19 28 5 52
Rarely 23 20 6 49
Very rarely 16 18 0 34
Total 74 108 18 200
63
As shown above, 9% to 10% of the respondents who use the luggage space very often,
marked the spaciousness of the luggage cabin as 5 out of 5, whereas 6% of the respondents
who either use the space often, sometimes or rarely also marked the luggage cabin a 5 on 5.
This shows that out of all the respondents the maximum customers who were highly satisfied
with the space provided were the people who used it very often, which means that the space
is large enough to satisfy the very frequent users.
64
According to data collected above, nearly 36% of the very frequent users (of the luggage
cabin) have marked the luggage space a 5 on 5 for the ease of loading & unloading the
luggage in the space provided. As the people who make use of this space very frequently can
be the best source of knowing about the ease or difficulty involved in loading or unloading
the good, we can assume that the luggage cabin has been designed in such a way that it is
very convenient to load or unload luggage in the cabin.
5.5.7 Performance Of The Car:
65
Performance of the car
Cumulative
Powerful 66 33.0 33.0 33.0
Adequately
118 59.0 59.0 92.0
powerful
Under power 16 8.0 8.0 100.0
Total 200 100.0 100.0
66
Nearly 60% of the respondents considered the all new Honda City to be an adequately
powerful car, and another 33% of the respondents consider the car to be really powerful.
The main reason behind could be the use of the Japanese technology & the 1.5L i VTEC
engine which delivers 118 PS.
5.5.8 Overall Performance:
Engine performance
Cumulative
3 79 39.5 39.5 39.5
4 121 60.5 60.5 100.0
Total 200 100.0 100.0
Transmission(Gear)
Cumulative
3 97 48.5 48.5 48.5
4 101 50.5 50.5 99.0
5 2 1.0 1.0 100.0
Total 200 100.0 100.0
67
Suspension
Cumulative
2 1 .5 .5 .5
3 117 58.5 58.5 59.0
4 82 41.0 41.0 100.0
Total 200 100.0 100.0
68
Mileage
Cumulative
2 1 .5 .5 .5
3 123 61.5 61.5 62.0
4 72 36.0 36.0 98.0
5 4 2.0 2.0 100.0
Total 200 100.0 100.0
Brake
Cumulative
3 92 46.0 46.0 46.0
4 105 52.5 52.5 98.5
5 3 1.5 1.5 100.0
Total 200 100.0 100.0
69
Noise & Vibration
Cumulative
1 1 .5 .5 .5
3 91 45.5 45.5 46.0
4 106 53.0 53.0 99.0
5 2 1.0 1.0 100.0
Total 200 100.0 100.0
70
According to the survey nearly every respondent has ranked the all new Honda City, atleast a
3 out of 5. This shows that almost all the customers are happy with the performance of their
car.
71
5.5.9 Safety Features:
(a) Importance of Safety Aspect Of a car :
Significance of safety
Cumulative
Very
70 35.0 35.0 35.0
important
Important 121 60.5 60.5 95.5
Not important 9 4.5 4.5 100.0
Total 200 100.0 100.0
72
When the customers were asked about the significance of the safety aspect of the car, more
than 95% of the customers’ rated safety as very important or important.
(b) Awareness about the safety features of the City:
Awareness of safety features

Cumulative
Yes 89 44.5 44.5 44.5
No 111 55.5 55.5 100.0
Total 200 100.0 100.0
73
The survey revealed that although 60.5% & 35% of the customers considered the safety
aspect of a car to be important & very important respectively, more than 55% of the
respondents were not even aware about the safety features of the car, and out of the rest, the
most recalled feature were the Air Bags. This is not good from the company’s prospective as
the company makes huge investments to make the cars as safe as possible by using the latest
technology. But has not been able to generate the awareness among the customers for the
same.
5.5.10 Pricing Of The Car:
Is Honda City "value for money"

Cumulative
Strongly agree 43 21.5 21.5 21.5
Agree 88 44.0 44.0 65.5
Neither agree nor
37 18.5 18.5 84.0
disagree
Disagree 32 16.0 16.0 100.0
Total 200 100.0 100.0
74
When the respondents were asked if they thought that all new Honda City was value for
money, nearly 21% of the respondents said that they strongly agreed whereas another 44% of
them said that they agreed. However around 19% of the customers were not sure and the rest
16% disagreed with the statement. This means that nearly 35% of the customers are either not
sure or think that the car is overpriced.
5.5.11 Accessory Package:
(a) Awareness & Response:
Did you purchase it

Awareness No Yes Total
Yes 31 20 51
No 149 0 149
Total 180 20 200
75
This survey shows that out of all the respondents only 51(i.e.25.5%) respondents were aware
about or had knowledge about the accessory package being offered by the company. And out
of those who were aware only 20 (i.e. 10% of the total no. of respondents) actually bought the
accessory package.
Another 15.5% of the respondents who were aware about the accessory packages but did not
buy it. The major reasons given by these people for not buying the packages were:
i) Although they thought that the Elegance pack consisted of utility accessories, but
they believed that the same should be provided by the company as standard
features. They also felt that the same accessories could be bought from the market
at much reasonable price.
ii) According to them, the accessories provided in the Illumination pack have mere
decorative value and provided no utility.
(b) Is the accessory package “Value for money”:
76
"Value for money"
Awareness about
accessory package N/A Strongly agree Agree Disagree Total
Yes 31 4 7 9 51
No 149 0 0 0 149
Total 180 4 7 9 200
The graph above shows that, out of 31 customers who were aware about the accessory pack,
20% strongly believed that the pack was “value for money” and 30% of them also agreed to
the same. However, the rest 45% of the respondents believed that the pack was not “value for
money”.
5.5.12 Strengths & Shortcomings of the car:
Strengths
Strengths Frequency Percentage

Styling & Design 124 62%
Brand Name 112 56%
Comfort 74 37%
77
When the respondents were asked to name any three strengths of the all new Honda City,
62% of the customers stated that the styling & design of the car were its biggest strengths.
This shows that the new Arrow Shot Design that was introduced by the company has been
successful to attract the customers.
However, nearly 56% of the customers thought that the Brand Name “Honda” was the
biggest strength of the car and the main reason for its success.
Whereas 37% of the respondents mentioned overall comfort as one of the strengths of the all
new Honda City.
Weakness
Weakness Frequency Percentage

Low Ground
Clearance 73 36.5%
Light Weight 54 27%
78
According to the survey, although most of the people seemed to be happy with the
performance of the car, but when asked to mention a weakness about the car nearly 37% of
the customers showed concern about the low ground clearance of the car.This concern of the
customers is justified if we look at the ground clearance provided by the other competitive
cars:
Name of the Competitive Car Ground Clearance

Hyundai Verna 170(mm)
Sx4 180(mm)
Fiat Linea 165(mm)
Whereas, the ground clearance of Honda City is just 160(mm) which is less than all its
competitors.
However here it is worth mentioning that, HSCI has taken a step and requested RTOs to
release a regulation specifying the dimensions and designs of the speed breakers for each
state, across the country.
Another 27% of the respondents pointed that the light weight of the car made it look unsafe.
But according to the company the light weight helps in providing more fuel efficiency & the
GCON Design of the car helps in providing maximum possible safety to the passengers,
despite the light weight of the car.
5.6 Findings:
The major findings of the project are as follows:
Customer Profiling:
1. 87.5% of the respondents were male.

2. 36.5% of the respondents belonged to the age group of 41 to 50 years.
3. 80.5% of the respondents were married and had kids.
4. 74% of the respondents were graduates.
5. 69.5% of the customers were businessmen.
79
6. 48% of the City customers earned a monthly income of around Rs.75,001 to 1,00,000.
7. 77% of the customers had a pre-decided budget in their mind before purchasing the
car, and out of these nearly 50% of the people had decided a budget of around
8,00,000 to 10,00,000.
8. 69.5% of the respondents drive their car on their own.
Other important information regarding the City customers:
9. 63% of the respondents considered the Brand Name of the car, to be the key
consideration while buying a car.
10. According to 55.5% of the respondents word of mouth was the main source of
information about the cars.
Competitive Analysis:
11. 68% of the respondents considered Hyundai Verna as an option while buying their
car.
Satisfaction from the cars, its features & performance:
12. 56.5% of the customers were happy with the

performance of the audio system of the car, whereas 8% of the customers were found
to be dissatisfied.
13. 60.5% & 54.5% of the customers scored the all new Honda City a 4 out 5 for its
handling & Image, respectively.
14. 98.5% of the customers requested for a CD/cassette player to be provided in the car as
a basic feature and 95.5% of the customers wanted alloy wheels to be added to the
car.
15. 57.5% & 58% of the respondents rated the all new Honda City as 4 out of 5 for the
front & rear styling, respectively. Whereas 51.5% of them gave the side styling a 3
out of 5.
16. Almost all the respondents were happy with the interior styling and design of the car.
However, only some people showed signs of discontentment with the performance of
the A/c of the car.
17. No respondent gave the car less that 3 out of 5 for the luggage space or for the ease of
using it.
18. 59% of the customers thought that the car had adequate power.
19. As far as the overall performance of the car is concerned, only 1 respondent out of
200 gave the car a 2 out of 5 for its millage & suspension and only 1 customer gave
the car 1 out of 5 for the unwanted noise & vibration. Rest all the customers seemed
to be very pleased with the overall performance of the car.
Safety features & the car:
80
20. 60.5% of the respondents considered the safety aspect of the car to be very important.
21. 55.5% of the customers were unaware about the advanced safety features of the all
new Honda City.
Pricing of the car:
22. Although 44% of the respondents agreed that the all new Honda City provides value
for money, nearly 16% of them also thought that it was overpriced.
Accessory Package- Awareness & Purchase:
23. Only 25.5% of the respondents were aware about the availability of the accessory
packages.
24. Only 10% of the total number of respondents actually bought the accessory package.
25. Out of those respondents who bought the accessory package 35% think that the
package is not value for money.
Strengths & Weaknesses of the car:
26. 62% of the respondents believe that the styling & design of the car are its biggest
strengths. Whereas 56% of them think that the Brand Name “Honda” is the cars main
strength and 37% of them thought that the comfort provided by the car was its main
strength.
27. According to 36.5% of the respondents low ground clearance of the car was its main
drawback, whereas 27% of them thought that the light weight of the car was it main
flaw.
81
5.6 Limitations:
The limitations of the survey as perceived by the researcher are as follows:
1. The sample size of the survey was very small and accounted to even less than
2% of the total target population (total all new Honda City customers).
2. The scope of survey was limited to Delhi and NCR.
3. As the questionnaire was lengthy and time consuming, the respondents often
lost interest and became impatient. Hence the answers given by them may
suffer from biasness.
4. Some of the open-ended questions were subject to the knowledge of and

interpretation by the researcher.
5. Most of the respondents had used the car for a period of less than six-months,
therefore their level of satisfaction from the car is expected to fall with the
passage of time.
6. The limited knowledge of the research in the field of research was another
limitation related to this survey.
82
CHAPTER VI:
Recommendations &
Conclusions
83
6.1 Recommendations:
On the bases of the findings of the survey conducted, the researcher

made the following suggestions and recommendations to the Honda Siel
Cars India Ltd. :
1. The all new Honda City has not been able to attract younger
audience, as planned by the company at the time of the launch of
the car. This is mainly due to the high price of the car. Therefore the
company must reduce the price of the car, if it wishes to attract
the younger segment of the market.
2. In order to penetrate deeper into the market of a developing

country like India, where the consumers have limited resources, the
company should try and study the possibility of introducing a Low
Priced Variant of the car.
3. Company should adopt new marketing strategies and

programmes in order to strengthen the brand “Honda”, as the
Brand name seems to be the major criteria for purchasing a car.
4. While all the major competitors of the all new City offer a diesel
variant, HSCI still does not have anything to offer in the same
respect. Thus the company should study the possibility of
introducing a diesel variant in the line up, keeping in mind the
high initial cost of the diesel engine and it should also try and
take steps to reduce the gap between the usage of petrol &
diesel.
5. An audio system should be provided as a basic feature in the 1.5E

variant of the car and a CD/Cassette player should be added to
the audio system of the 1.5S variant, as these were the strongly
requested in the Most Wanted Features.
6. Although alloy wheels are available as a part of the accessory

package customers have strongly requested that they should be
provided with the car as a standard accessory. Moreover the alloy
wheels in the accessory package cost Rs.42,000, whereas they are
available in the aftermarket for just Rs. 15,000 to 20,000. Thus HSCI
not only needs to reduce the price of the alloy wheels present
in the accessory package but also needs to study the possibility of
84
providing them as a standard accessory without charging
extra from the customers.
7. Measures should be taken to improve the performance of the

air conditioner provided in the car, as some of the respondents
seemed to be dissatisfied with it.
8. The company needs to undertake strong steps to educate the

customers about the advanced safety features present in
the car, because although a large number of customers consider
the safety aspect of a car to be important or very important more
than 55.5% of them are unaware about the safety features present
in the car.
9. As a large number of customers were either not sure or did not

consider the all new Honda City to be “value for money”, the
company needs to change this perception of the customers by
either (i) reducing the price of the car or (ii) adding more
features to the car.
10. Serious measures need to be taken for informing customers

about the availability & utility of the accessory packages, as nearly
75% of the present customers are unaware about the same. Thus
the company should try and encourage the dealers to promote
and sell the accessory packages to the customers.
11. Although the customers appreciate the Elegance Pack they

feel that it is overpriced (the elegance package costs: Rs.
23,000). Moreover they feel that the accessories which are being
provided in the package should be provided as standard features.
Therefore the company not only needs to reduce the price of
the accessories but should also try and provide some of the
accessories as a basic feature without charging extra.
12. The customers feel that the illumination package has only
decorative value and no utility. Moreover the lighting effect of the
accessories provided in the package can only be seen in the dark. In
order to solve this problem, the company should ask the dealers to
make arrangements such as a dark room, where the customers
can actually experience the special effects of the accessories. The
company should also try and explain the actual utility of the
package.
13. The main product concern faced by HSCI is the low ground
clearance of the car. Therefore company must take required
steps in order to overcome this problem.
85
14. Customers have also complained about the light weight of the
car, due to which the structure of the car seems to be unsafe. In
order to change this mind set of the people the company must take
steps to educate and inform its customers about the G-CON
technology which has been used in the making of the structure of
the car and how it helps in making the car safe, despite its light
body weight. The company should also inform the customers how
comparatively lighter weight of the car makes it fuel efficient.
6.2 CONCLUSION
Although, post decentralisation in 1991, the auto industry in India has

grown at a commendable average rate of 17%, the increase in
international as well as domestic completion has made it a buyer’s market
rather than a seller’s one. Today the customers have wide brand & model
choice, and with the rising income levels, especially among young adults,
coupled with the low equal monthly instalments (EMIs) almost all these
international and domestic brands & models have come within the reach
of the customers. In order to survive in this highly competitive market the
companies not only need to increase the number of head count of the
customers but also needs to retain the present set of customers. For this,
an in-depth study of the consumer behaviour and their likes & dislikes is
required.
The project titled “Analysis Of New Honda City Customer Profile & Satisfaction Level”
was a step towards providing the Honda Siel Cars India Ltd. with the detailed profiles of the
Honda City customers and an insight about the level of satisfaction among the customers.
This study reveals that the Brand name “Honda” was the basic reason for the customers to
choose the all new Honda City. A large majority of customers are happy with the interior &
exterior features & luggage cabin of the car. However, some customers exhibited
86
dissatisfaction towards the performance of the air-conditioner of the car. The customers also
appreciated the handling, mileage and suspension of the car. It was also found that almost all
the customers strongly feel that the alloy wheels and the CD/Cassette player should be
provided as a basic feature of the car and majority of them also showed concern regarding the
lower ground clearance and lighter weight of the car.
The company should therefore consider the above stated points in order to serve the
customers more effectively and efficiently, as it would not only help the company in retaining
its existing customers but would also help in increasing its market share.
CHAPTER VII:
Annexure
87
Annexure I
Questionnaire
Q1. Name____________
Q2. Gender
i. Male
ii. Female
Q3. Age:
Q4. Family status:

i. Married (with kids)
ii. Married (without kids)
iii. Unmarried
Q5.Educational qualification:
i. Undergraduate
ii. Graduate
iii. Post graduate
iv. None of the above
Q6. Occupation
88
i. Business
ii. Service
iii. Self employed
Q7. Mode of payment:

i. Cash
ii. Credit
iii. Both
Q8.Re payment period

i. 6 – 12 months
ii. 13 – 18 months
iii. 19 – 24 months
iv. 25 – 30 months
v. 31 – 36 months
vi. More than 36 months
Q9. What does your car mean to you? (Multiple choice)
i. Companion
ii. 1St love
iii. 2nd home
iv. Best friend
v. Most prized Possession
vi. Someone you can rely on
vii. Basic need
viii. Other
Q10. What prompted you to buy a car?
i. Tired of previous car
ii. Previous car had trouble
iii. Better off now economically
iv. Family structure changed
89
v. Received as a gift
vi. Became necessary for work
vii. I/ family member got a drivers license
viii. Company gave me a car
ix. Became necessary for commuting
x. Wanted my own car
xi. Disappointed with the previous car dealer
xii. Purchase conditions improved
xiii. Maintenance cost of previous car was high
xiv. Had given the previous car to my family member
xv. Other
Q11. Key factors before buying a car
i. Brand name
ii. Price of the car
iii. Exterior styling
iv. Interiors
v. Driving comfort
vi. Riding comfort
vii. Spaciousness of the cabin
viii. Luggage capacity
ix. Performance
x. Ease of handling
xi. Safety
xii. Fuel efficiency
xiii. After sales services
90
xiv. Cost of spare parts
xv. Other
Q12. Which were the other cars that you considered before buying the all new Honda City?
What were the reasons for considering them & rejecting them?
S. No. Name Price Reason for Reason for

consideration rejection
Q13. Where did you get the information about the new Honda city?
i. Newspaper
ii. Television
iii. Internet
iv. Banners/ hoardings
v. Friends/ family
vi. Road shows
Q14. Key reasons for buying the new Honda City
i. Brand name
ii. Affordable price
iii. Exterior styling
iv. Variety of colours available
v. Interior spaciousness
vi. Driving riding comfort
vii. Safety features
viii. Fuel efficiency
91
ix. Power
x. Technology used
xi. I VTEC engine
xii. Dealers’ network
xiii. Good salesmanship
xiv. After sales services
xv. Positive feedback from family/friends
xvi. Other
Q15. Which variant?
i. 1.5 (MT)
ii. 1.5S (MT)
iii. 1.5S (AT)
Q16. Why did you choose this question?
i. Economic constraint
ii. Better social image
iii. Convenience
iv. Suited my budget
v. Other
Q17. Did you decide your EMI before buying your car?
i. Yes
ii. No
Q18. Who drives your Honda city?
i. Myself
ii. Chauffer
92
iii. Family & friends
iv. All of the above
Q19. During weekdays your car is used for
i. Business purpose
ii. By family
iii. Travel and work
iv. Other
Q20. During weekends your car is used for
i. Social visits
ii. Shopping
iii. Long drives
iv. Other
Q21. How often do you use your audio system?
i. Very often
ii. Often
iii. Sometimes
iv. Rarely
v. Very rarely
Q22. How satisfied are you with the audio system?
i. Highly satisfied
93
ii. Satisfied
iii. Neither satisfied nor dissatisfied
iv. Dissatisfied
v. Dissatisfied
Q23. Rank the following features on scale of 1 – 5
i. Exterior styling
ii. Interior styling
iii. Spaciousness
iv. Riding comfort
v. Safety
vi. Image
vii. Handling
viii. Fuel efficiency
Q24. Are there any features that you think should be added to the all new Honda City? If yes,
then at what cost?
S. No. Additional Features Price Charged
1 Alloy wheels
2 Fog lamps
3 Side protectors
4 Bumper protectors
5 Leather seats
6 Side airbags
7 Rear centre arm rest
8 CD/Cassette player
94
9 Navigation
10 Blue tooth
11 Rear parking sensors
12 Any others: -----------------------------------------
---------------------------------------------------------
Q25. What do you think about the exterior design of the new Honda city?
i. Arrow short form
ii. Stylish
iii. Classy
iv. Trendy
v. Advanced
vi. Scientific
vii. Other
Q26. Rate the following on a scale of 1- 5
i. Front styling
ii. Side styling
iii. Rear styling
Q27. When seated on the driver’s seat rank the following on a scale of 1 – 5
i. Interior colour scheme
ii. Visibility of instrument panel
iii. Dashboard design
iv. Seating posture
95
v. Leg room
vi. Head room
vii. Access to audio control
viii. Audio system
ix. Air conditioning
x. Road visibility
Q28. When seated on the rear seat rank the following on a scale of 1 – 5
i. Rear seat comfort
ii. Shoulder room comfort
iii. Leg room
iv. Cabin space
v. Air conditioning
vi. Audio system
Q29. How often do you use your luggage space?
i. Very often
ii. Often
iii. Sometimes
iv. Rarely
v. Very rarely
Q30. Rate the luggage space on a scale of 1 – 5
i. Spaciousness of the luggage cabin
ii. Ease of loading and unloading
Q31. What has been your overall impression about the performance of the new Honda city?
i. Powerful
ii. Adequately powerful
96
iii. Under power
Q32. Rate the following on a scale of 1 -5
i. Engine performance
ii. Transmission
iii. Mileage
iv. Suspension
v. Brake
vi. Noise/ vibration
Q33. In your opinion how important is the safety aspect of the car
i. Very important
ii. Important
iii. Not important
Q34. Are you aware about the safety features of the new Honda city?
i. Yes
ii. No
Q35. If yes, could you name any 3 safety features of the car?
i. ____________________
ii. ____________________
iii. ____________________
Q36. All new Honda city is value for money?
i. Strongly agree
ii. Agree
iii. Neither agree nor disagree
97
iv. Disagree
v. Strongly disagree
Q37. Are you aware about the new accessory package of the new Honda city?
i. Yes
ii. No
Q38. If yes then did you buy the accessory package?
i. Yes
ii. No
Q39. If yes then then which one did you buy?
i. Elegance
ii. Illumination
Q40. How satisfied are you with the accessory package bought by you?
i. Highly satisfied
ii. Satisfied
iii. Neither satisfied nor dissatisfied
iv. Dissatisfied
v. Highly dissatisfied
Q41. Do you think the accessory package is “value for money”?
i. Strongly agree
ii. Agree
iv. Disagree
98
Q42. How has your overall experience with the new Honda city been?
i. Strongly agree
ii. Agree
iv. Disagree
Q43. The 3 major reasons for your satisfaction with your car are:
i. __________________________________
ii. __________________________________
iii. __________________________________
Q44. Is there any dissatisfaction point with your Honda city?
i. Yes
ii. No
Q45. If yes, could you please tell us the main reason for your dissatisfaction:
_________________________________________________________
_________________________________________________________
Q46. Would you like to continue your relationship with Honda in future?
i. Yes
ii. No
iii. Can’t say
99
Q47 what’s your monthly income?
i. 50,000 – 75,000
ii. 75,001 – 1, 00,000
iii. 1, 00,001 – 1, 25,000
iv. 1, 25, 001 – 1, 50,000
v. 1, 50,001 – 1, 75,000
vi. More than 1, 75,000
vii. Other
Annexure II
References
 Websites
iv. www.hondacarindia.com
v. www.academon.com/lib.html
vi. www.hclibrary.org/
vii. www.fadaweb.com
viii. www.icra.in/
ix. www.google.com
 Journals & Magazines

i. Overdrive Magazines, March 2009 Edition
ii. Autocar India, March 2009 Edition
iii. CRISIL journals
iv. Broachers by SIMA
100
 Books
i. Peter Druker: A critical commentary on his philosophy of
management,by C. Northcotr Parkison, Pg.287
ii. Realities of management by John Marsh, glossary, Pg-389
iii. Consumer Behaviour by LeonG. Schiffman,9th Edition, Glossary, G-3
iv. Marketing Management by Philip Kotler, 11th Edition, Chapter3, Pg.70
v. Customer satisfaction by P. Parker, Chapter1, Pg-5
101

Analysis of New Honda City Customer Profile & Satisfaction Level

Uploaded by

Copyright:

Available Formats

Analysis of New Honda City Customer Profile & Satisfaction Level

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Analysis of New Honda City Customer Profile & Satisfaction Level

Uploaded by

Copyright:

Available Formats

A

SUMMER TRAINING REPORT

Submitted in Partial Fulfillment of the Requirement for

1.1.1 DEFINITION OF CUSTOMER:

According to Shri. Mohandas Karamchand Gandhi, the father of nation,

Peter Drucker, a well known management expert, defined customers as:

• Existing Customers – Consists of customers who have purchased or otherwise used

1.2 Customer Profiling:

1.3 CUSTOMER SATISFACTION:

1.3.1 The Purpose of Business:

1.3.2 Definition of Customer satisfaction:

A famous economist, Karl E. Case defines Customer satisfaction as:

According to Sir Peter Parker:

As Leon G. Schiffman says:

1.3.3 Measuring customer satisfaction:

Here are a few of the possible dimensions you could measure:

III.Client Advisory Groups

1.3.4 Importance of customer satisfaction:

Why Customer Satisfaction:

Kano’s model of customer satisfaction distinguishes six categories of quality attributes,

2. Excitement factors (Satisfiers, Attractive): the factors that increase customer

The additional three attributes which Kano mentions are:

5. Questionable attributes: it is unclear whether these attributes are expected by the

Customer Survey II:

Customer Survey III:

Customer Survey VI:

Customer Survey VII:

Customer Survey IX:

Customer Survey XI:

3.1 Justification of the Problem:

i. The scope of the project &

ii. The objective to be attained from the project

3.2 Scope Of The Project:

ii. A brief study about functioning of Honda in India(i.e.HSCI),

3.3 Objectives Of The Project:

i. Indian four-wheeler Industry,

ii. Honda and

iii. All new Honda City I-VTEC.

3.4.1 The four wheeler industry in India:

3.4.1(b) Current scenario of the four wheeler industry in India:

Source: FADA & ICRA Sectoral Review

3.4.1(c) Market Share scenario in the car industry:

(i) Passenger Cars segment:

(ii) Utility Vehicles:

3.5.1(b) PRINCIPLES OF HONDA:

3.5.1(c) Honda in India:

3.6 About the Car:

4.1 Research Method:

4.2 Data Source:

4.4 Target Areas:

4.5 Data processing:

5.1BUILDING OF CUSTOMER PROFILE:

Male 175 87.50%

Total 200 100%

5.1.3 FAMILY STATUS:

Total 100 100%

5.1.4 EDUCATIONAL QUALIFICATION:

Graduate 148 74%

Total 200 100%