MBA PROGRAM SOLAPUR UNIVERSITY, SOLAPUR

1.1 Introduction:

Today’s society is warm with urbanization and demonstration effect. With a

view towards it, there is a drastic change coming up in all sectors even in the

automobile industries. The following information gives an insight about it. In the

present context the companies operate on the principle of natural selection “survival

of the fittest”. Only those companies will succeed which at best match to the current

environmental imperatives – those who can deliver what people are ready to buy. But

real marketing does not involve the art of selling what the manufacturers make.

Organizations gain market leadership by understanding consumer needs and

finding solutions that delight consumers. If customer value and satisfaction are absent,

no amount of promotion or selling can be compensating. Hence the aim of marketing

is to build and manage profitable customer relationship .this is a part of the strategic

marketing done by every company to achieve its objectives and goals. To maximize

the profits and long term plans every organization has to follow a strategic planning.

Marketing is much more than just an isolated business function – it is a

philosophy that guides the entire organization towards sensing, serving and satisfying

consumer needs. The marketing department cannot accomplish the company’s

customer company and with other organization throughout its entire value – delivery

network to provide superior customer value and satisfaction. Thus marketing calls

upon everyone in the organization to “think customer” and to do all they can to help

build and manage profitable customer relationship. Marketing is all around us, and we

need to know that it is not only used by manufacturing companies, wholesaler and

retailers, but also by all kinds of individuals and organizations.

There are four major, powerful themes that go to the heart of modern marketing

Theory and practice, they are:

Building and managing profitable customer

Relationships. Building and managing strong brands

What marketing is what it does and what it offers?

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“Marketing is a social and managerial process whereby individual and groups obtain

what they need and want through creating and exchanging products and value with

others.”

“Marketing management is the process of planning and executing the conception,

pricing, promotion and distribution of ideas, goods and services to create exchanges

that satisfy individual and organizational goals.”

“Marketing offers some combination of products, services, information, or

experiences offered to a market to satisfy a need or want” marketing is an orderly and

insightful process for thinking about and planning for markets. The process starts with

researching the market place to understand its dynamics. The marketer uses research

methodologies to identify opportunities.

1.2 Objectives of the study:

Primary objective:

To know the effective factors of awareness and preferring Volkswagen cars.

Secondary objectives:

To study and analyze the promotional strategies of Volkswagen

To know whether the customers are satisfied with the offers given by the

dealer.

To know which kind of offers can attract the new customers.

To study and analyze the customer's perception regarding the

usefulness/utility of Volkswagen cars.

Importance of the study:

It is helpful in winning over their customers’ loyalty and to combat trade unionism.

It builds up a stable labor force by reducing labor turnover and absenteeism.

It raises the morale of customers. A feeling is developed among the workers that they

are being looked after properly.

One of the reasons for provision of welfare activities in recent times by

certain customers is to save themselves from heavy taxes on surplus. The motive

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behind provision of welfare activities by some companies is to enhance their image

and to create an atmosphere of goodwill between the customers and management and

also between management and the public.

1.3 SCOPE OF THE STUDY

Volkswagen Pvt. Ltd. Sales of Volkswagen four wheeler have not been

catching the market very well. In spite of being a well-known brand and

company’s self-direct marketing could not able to boost the sales of

Volkswagen four wheeler.

This study gave a fair outlook of market for its products and reasons for not

catching its market share.

This research will help the company to know about, where potential of the

Volkswagen four wheeler lies in the market and to give the suggestions to the

company about buildup their market share.

This survey is confined to standard model of Volkswagen four wheeler.

Limitations Of The Study:

The information given in the above part is based on market survey, meeting with the

people, and phone calls, and the other medium like internet. My project is based upon

the interaction with the people.

We have to target only a particular segment (higher class & upper middle

class) sometimes customers don’t give time.

Sometimes customers give fake information.

Customers like doctors don’t have much time to visit showroom for test drive

so we have to go to them at the time at which they are free.

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RESEARCH METHODOLOGY:

“Marketing research is the function which links the customer and public to the

Marketer through information – information used to identity and define marketing

Opportunities and problems generate define and understanding of marketing as

Process”.

Objectivity in research is all-important. The heart of scientific method is the

Objective gathering of the information. Function as marketing research within the

Company as to provide the information and analytical necessary for effective.

Planning of the future marketing activity. Control of the marketing operation in the

present. Evaluation of marketing results.

Research design:

Descriptive research design includes survey & fact finding inquiries of

different kinds. The major purpose of descriptive research is description of state of

affairs as it exists at present.

Sample size

The sample size of research is 100

Methods of data collection

Data is the significant part of the research. Your all research depends upon

your data. Whatever data is collected by me during the internship in the Volkswagen,

i can divide the method the collection of my data into two parts which are thus:-

A) Primary data

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Primary data are those which are collected fresh and for the first time and thus

happen to be original in chapters.

I have collected my data through direct face to face

Communication with respondents in one form or another or through personal

interviews. Through observation method i was able to record the natural behavior of

group. Sometimes i verified the truth of statements made by respondents in the

context of a questionnaire.

B. Secondary data

Secondary data are those data which are being already collected by someone else and

which have already been passed through the statistical process. I have collected my

published date form internet and the books, magazines and newspaper, Journals

and websites.

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Research Methodology

Type of Research used Descriptive Research

Research Approach Survey

Research Instrument Questionnaire

Sample Design

Sample Area

Sample Size

Sample Segment

Sample Unit

Sample method

ABS wheels Solapur Pvt. Ltd.

100

Customers of ABS wheels

ABS wheels Solapur

Simple Random Sampling

Data Collection Primary And Secondary Data

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2.1 Introduction to the organization:

One of the fastest growing industries in the world is automobile industry. This

Automobile industry even has its influence on the Indian market. Probably automobile

Industries occupy a large market share in the worlds market as well as in the Indian

Industry. From this we can estimate how important the automobile industry in the

Improvement of GDP of a country is. In India automobile industry has a growth rate

is at the average of 10-12%.

Indian automobile industry since 1947:

It’s fascinating drive through history, which begins as a story of isolation and

Missed opportunities to one of huge potential and phenomenal growth.

India’s fixation with socialism and planned economies had a crippling impact on

The automotive industry in its formative years. The goal at that time for independent

India was self-sufficiency. Issues like quality and efficiency were simply not

considered.

Dependence of foreign technology was banned and manufacturers were forced

To localize their products; import substitution became the order of the day. Though

we

Learnt to localize, the cars we made were all outdated designs with little or no

Improvements for decades. The automotive industry stagnated under the governments

Stifling restrictions and the Indian car buyer was saddled with cars of appalling

Quality and even then there was a waiting list that at one point stretched to eight

years!

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This attempt at self-reliance failed miserably because of the industry’s

isolation

From the best technology. The Japanese and later Korean auto industries were also

Highly protected in their formative years but they never shut the door on technology.

Instead, they relentlessly tapped the best talent pools in the world to absorb the

Knowhow to produce good cars.

One of the most important chapters in the Indian automotive industry’s history was

Written by maruti. It marked the Indian government getting into the far business in

the

Early 1980’s, a radical shift in thinking after decades of treating cars with disdain.

The

Maruti 800 went on to become the staple car of India and put a nation on wheels. This

Little car set a benchmark for price, size and quality and structured India as small car

Market.

It wasn’t till 1993 that things really started to change for the Indian car buyer.

With the liberalization of the economy, a host of international carmakers rushed in.

But most of them were in for a shock as Indian customers rejected their product.

Indian customers refused to allow the glitter of prestigious brands blind them to the

outdated

And overpriced products they were offered.

The Indian consumer wanted super value, and rewarded the brands that

delivered it, handsomely. Hyundai and Maruti delivered, and profited. The period also

saw the emergence of the Indian players like Tata motors and Mahindra & Mahindra.

They rose to the challenge of the MNC‟s and responded brilliantly with the indica and

the Scorpio this was ironically due to the license raj that forced Indian carmakers to

be innovative and develop products frugally. India’s frugal engineering skill has now

caught the world “imagination and an increasing number of car makers are preparing

to setup major capacities here.

India is changing. and changing fast. It’s moving forward. India’s largest-selling

Car is not its cheapest car, the 800. It is the alto. People’ aspirations are rising and

So are their mistakes, have got their finger on the pulse of the market. Get the right

Product and the rewards are handsome.

The Indian auto industry is today bubbling with promise and confidence. It’s been

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A long journey but to see where the Indian car industry is going. We have to see

where

It has been.

VISION:

Volkswagen is expanding the research and development program for long term

electrification of drives with this commitment. The three essential goals of the fleet

trial are:

The electric motor used in the test fleet should be powered with regenerative

electricity.

The test vehicle stores this energy using the latest battery technology.

These batteries need to be particularly durable and low cost to allow the

electric used drive to make the breakthrough to mass production.

Mission:

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Company supports the protection of the species in equal measure at all its plants.

Accordingly, nature conservation areas and national parks should not be put to

economic use.

Automobile industry in pre-independence:

The first motorcar on the streets of India was seen in 1898, Bombay had it first

Taxicabs by the turn of the century. In 1903, an American company began a public

Taxi service with a fleet of 50 cars. For about 50 years after car arrived in India, cars

Were directly imported.

Before world war i, around 40,000 motor vehicles were imported. During the

Years between the wars, a small start for an automobile industry was made when

Assembly plant were established in bombay, calcutta and madras.

The import/assembly of vehicles grew consistently after the 1920s, crossing

30,000 units by 1930. It was during the end of the war that the importance of

Establishing an indigenous automobile in India was realized. Premier motors,

Hindustan motors and Mahindra & Mahindra set up factories in the 1940s for

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Progressive manufacture rather than assembly from imported components.

The cars. They chose to make were the latest in the world when they were introduced

in India in The formative years of the industry.

Post- independence:

The government clamped down on imports and foreign investments.

Companies like Gm and ford packed their bags and left. India’s clock, thereafter,

stood still while the world raced on ahead. It would take nearly 50 years before the

Indian auto industry could catch up with the rest of the world again.

Broad banding era:

In January 1985, the government announced its famous „broad banding‟ policy

Which gave new licenses to brad groups of automotive products such as two and

Four-wheeler vehicles.

Through a liberal move, the licensing system was very much intact. A

Manufacturer had to submit a phased-manufacturing programme to the ministry of

Industry specifying the indigenization progress and allowing for almost complete

Indigenization within five to seven years. The biggest hurdle was the

Foreign exchange clearance required for these projects. Except for mul, which had?

Direct access to policy-makers, every other manufacturer still

Faced a series of obstacles.

several new products were launched during this period. All three traditional

Carmakers added new models to their ranges – standard motors returned to the car

Business after 10 years, when in 1985 it introduced the standard 2000, a rover sd1

Body with the old two-liter vanguard engine. Him bought in a 1972 vauxhall victor in

1985, transplanted its ageing ambassador engine into it and the contest was born.

The arrival of Volkswagen:

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Recently Volkswagen paved the way for sustainable market activities in India.

With the investment agreement signed at the end of 2006 the brand sets a new course

That unites two success stories – Volkswagen and India – in a common future.

The German brand and Europe’s largest automotive manufacturer will be entering

The Indian market to meet the rapidly growing demand for mobility. Volkswagen will

Be developing a vehicle in the foreseeable future specifically tailored to the needs of

the Indian market offering all the features of a genuine Volkswagen. It is essential to

ensure “Volkswagen quality built in India” as a genuine unique selling proposition

and a Symbol of quality.

The other cars which have their share in the Indian automobile Industry is:

The Indian auto industry has exploded in the last 14 years. And car makers

are

Learning some very hard truths. While the economic reforms process was kicked of

In1991, it was only in 1993 that the automobile industry was finally relicensed and

the

Restrictions were removed.

Between 1993 and 95, government regulations limited a foreign company’s stake

To a maximum of 51 percent of the equity. Hence the only method of entry for an

mnc

Then was through a joint venture with a local partner. The most preferred partner was

an Existing automaker. In 1994-95 saw the announcement of quite a few jv‟s

.

Premier and peugeot to form pal-Peugeot. Gm and ck Birla to form gm India.

Mercedes Benz and Tata motors. M&m and ford to form Mahindra-ford India.

In 1995, the government announced its decision to allow foreign auto

companies

To enter with a 100% stake or wholly-owned subsidiaries. This changed the

dynamics Of joint ventures in India. The other automobile industries which play a

crucial role in The Indian automobile industry are:

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Daewoo motors India

General motors’ India

Mercedes-benz

Hyundai motors

Honda siel

2.2 Company profile:

The Volkswagen group with its headquarters in Wolfsburg is one of the

world's

Leading automobile manufacturers and the largest carmaker in Europe. In 2006, the

Group increased the number of vehicles delivered to customers to 5.734 million

(2005:

5.243 million), corresponding to a 9.7 percent share of the world passenger car

market.

In Western Europe, the largest car market in the world, nearly every fifth new car

(19.9 percent) comes from the Volkswagen group. Group sales rose in 2006 to 104.9

Billion Euros (2005: 95.3 billion). Profit after tax in the 2006 financial year amounted

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To 2.75 billion Euros (2005: 1.12 billion.

Volkswagen is a part of group made up of eight brands from six European countries.

Including

Eight brands with own character

The group is made up of eight brands from six European countries:

Volkswagen, Audi, Bentley, Bugatti, Lamborghini, seat, Skoda and Volkswagen

commercial vehicles. Each brand has its own character and operates an independent

entity on the market. The product range extends from low consumption small cars to

luxury class vehicles. In the commercial vehicle sector, the product offering spans

pickups, busses and heavy trucks.

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44 manufacturing facilities in 18 countries worldwide

The group operates 44 production plants in twelve European countries and

further six countries in the Americas, Asia and Africa. Around the world, almost

325,000 employees produce over 24,500 vehicles or are involved in vehicle-related

services each working day. The Volkswagen group sells its vehicles in more than 150

countries. It is the goal of the group to offer attractive, safe and environmentally

sound vehicles which are competitive on an increasingly tough market and which set

world standards in their respective classes

Volkswagen makes automotive history

When in 1937 the company known as "Gesellschaft zur vorbereitung des

Deutschemark Volkswagens MBH" was founded, no one could have guessed that it

would one day be Europe's largest carmaker. The history of the company - with all its

trials and tribulations - is first and foremost a story of impressive success.

1937-1945

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On may 28th, 1937 the "gesellschaft zur vorbereitung des deutschen

Volkswagens mbh" company is founded, and on September 16th, 1938 it is renamed

"volkswagenwerk gmbh". In early 1938, in what is today Wolfsburg, work begins on

Construction of the volkswagenwerk plant which is to house production of the new

Vehicle designed by Ferdinand porsche.

During the Second World War volkswagenwerk production is switched to

Armaments. Some 20,000 forced laborers, prisoners of war, and later also

Concentration camp prisoners, work at the plant.

In September 1998, in recognition of the events of that time, Volkswagen

established a humanitarian fund on behalf of the forced laborers compelled to work at

Volkswagen during the Second World War. By the end of 2001 more than 2,050

people

In 26 countries had received humanitarian aid from the fund. Furthermore, a memorial

In remembrance of the forced labor employed at the volkswagenwerk plant is

currently being established at wolfsburg, involving contributions from present-day

Volkswagen apprentices.

1945-1949

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After the end of the second world war, in mid June 1945, responsibility for

Volkswagen work is placed in the hands of the British military government. Under

the

Management of Major Ivan Hirst, mass production of the Volkswagen beetle is

Started.

1949-1960

On march 8th, 1950 the type 2 goes into production, expanding the company's

Product range. The Volkswagen bus, still today known to many as the "vw bully",

Soon creates rising demand thanks to its multifunctional capabilities. In 1956 a

Separate manufacturing base for the transporter is established in Hanover, at the

Same time setting down the roots of today's Volkswagen commercial vehicles brand.

In 1955 employees and dealers from Germany and abroad celebrate the

Production of the one millionth Volkswagen beetle in wolfsburg.

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1960-1980

On February 17th, 1972 Volkswagen breaks the world car production

record: with 15,007,034 units assembled, the beetle surpasses the legendary mark

achieved by the ford motor company's model t, popularly known as the "tinlizzy",

between 1908 and 1927.

In 1973 the pass at is the first model of the new generation of Volkswagen

Vehicles to go into production - with front-wheel drive, a water-cooled four-cylinder

Engine and a range of engines up to 110 bhp. The pass at is built in line with the

Modular strategy, by which standardized components usable in a range of different

Models provide significant rationalization in January 1974 the first golf is built at

the wolfsburg plant. The compact saloon quickly becomes a hit, and advances to

become the legitimate heir to the legendary beetle. The same year also sees the launch

of the sporty sirocco, which was to continue in production until 1981.

In 1976 the first golf rolls off the production line. The car, with its110 php

engine, creates a real furor on the roads - and lays the foundations for the birth of a

legend.

1980-1990

In June 1983 production of the second-generation golf begins. The car is

Designed for a largely automated assembly process, and in the specially erected

Final assembly hall, designated hall 54, robots are deployed for the first time in

Vehicle manufacture.

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2000-2003:

In august 2002, at Volkswagen Slovakia, as. In Bratislava, mass production

of

The Touareg, a luxury-class off-road vehicle, is started, marking the Volkswagen

Brand's move into an entirely new market segment

1990-2000:

With the production launch of the Lupo 3l Tdi, the first production car to

offer fuel consumption of just three liters per 100 kilometers, in July 1999,

Volkswagen

Once again makes automotive history.

In December 2002 The "Auto 5000 Gmbh" Company, Operating A Plant At

The Group's Site In Wolfsburg, Starts Production Of The Touran Compact Van. A

Special Collective Pay Model Has Been Developed, Aimed At Implementing Lean

Production And Involving Flat Hierarchies, Team Working, Flexible Working Hours

And The Deployment Of More Process Expertise By The Workforce.

In 2003 Production Of The Fifth-Generation Golf Is Started, Embodying

A New Dynamism In Its Design And Engineering.

2.2 COMPANY PROFILE

Volkswagen its subsidiaries, is a German multinational automotive

manufacturing company headquartered in wolfsburg, lower Saxony, Germany. It

designs, manufactures and distributes passenger and commercial vehicles,

motorcycles, engines, and turbo machinery and offers related services including

financing, leasing and fleet management. In 2012, it produced the second-largest

number of motor vehicles of any company in the world, behind Toyota and ahead

of general motors. It has maintained the largest market share in Europe for over two

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decades. As of 2013, it ranked ninth in the fortune global 500 list of the world's

largest companies. In 2014, it reached production output of 10.14 million vehicles.

Volkswagen group sells passenger cars under the Bentley,  Bugatti,

Lamborghini, Audi, porsche, seat, Skoda and Volkswagen Marques; motorcycles

under the Ducati brand; and commercial vehicles under the man,  Scandia,

Nepean and Volkswagen commercial vehicles marquees. It is divided into two

primary divisions, the automotive division and the financial services division, and has

approximately 340 subsidiary companies. The company has operations in

approximately 150 countries and operates 100 production facilities across 27

countries. VW has two major joint-ventures in china (faw-Volkswagen and shanghai

Volkswagen).

Volkswagen held a 19.9% non-controlling shareholding in Suzuki between

2009 and 2015. An international arbitration court ordered Volkswagen to sell the

stake back to Suzuki. Suzuki paid $3.8bn to complete the stock buy-back just hours

prior to the Volkswagen emissions violations which engulfed Volkswagen.

Volkswagen is a public company and has a primary listing on the Frankfurt

stock exchange, where it is a constituent of the euro stock market index, and

secondary listings on the London stock exchange, Luxembourg stock exchange, new

York stock exchange and six SWISS exchange. As of September 2012, the state

of lower Saxony holds 12.7% of the company's shares, granting it 20% of the voting

rights.

2.3Subsidiaries of company:

Volkswagen commercial vehicles manufacturing company Volkswagen

commercial vehicles is a German multinational commercial vehicles manufacturer

Headquartered in Hannover, lower Saxony, Germany, and a wholly owned subsidiary

of Volkswagen group.

Founded: 1995

Parent organization: Volkswagen group

Audi

Automobile manufacturer

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Audi is a German automobile manufacturer that designs, engineers, produces, markets

and distributes luxury automobiles. Audi oversees worldwide operations from its

headquarters in Ingolstadt, Bavaria, Germany. 

Founder: August Horch

Founded: July 16, 1909, Zwickau, Germany

Ceo: Rupert Stadler

Stock Price: Nsu (Etr)€ 797.35 -2.65 (-0.33%)

11 Sep, 5:36 Pm Gmt+2 - Disclaimer

Headquarters: Ingolstadt, Germany

Parent Organization: Volkswagen Group

Subsidiaries: Seat, Lamborghini, Ducati,Audi India, Quattro Gmbh, Faw-

Volkswagen, Cosworth, Audi Of America,Audi Senna

Automobile Manufacturer

Škoda Auto, More Commonly Known As Škoda, Is A Czech Automobile

Manufacturer Founded In

1895 As Laurin & Klement. It Is Headquartered In Mladá Boleslav, Bohemia, Czech

Republic.

The Car Manufacturer Was Acquired By Škoda Works In 1925.Wikipedia

Founded: 1895, Mladá Boleslav, Czech Republic

Ceo: Winfried Vahland

Parent Organization: Volkswagen Group

Founders: Václav Laurin, Václav Klement

Seat

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Seat, Is A Spanish Automobile Manufacturer With Its Head Office In Marmoreal,

Spain. It Was Founded On May 9, 1950, By The Institute National De Industrial, A

State-Owned Industrial Holding

Company.Wikipedia

Founder: Instituto Nacional De Industria

Founded: May 9, 1950, Barcelona, Spain

Ceo: Jürgen Stackmann

Parent Organization: Audi, Volkswagen Group

Lamborghini

Manufacturing Company Automobile Lamborghini S.P.A. Is An Italian Brand And

Manufacturer Of Luxury Sports Cars And, Formerly, Suvs, Which Is Owned By The

Volkswagen Group Through Its Subsidiary Brand Division

Audi. Wikipedia

Founder: Ferruccio Lamborghini

Founded: May 1963, Sant'agata Bolognese, Italy

Ceo: Stephan Winkelmann

Parent Organization: Audi, Volkswagen Group

Bentley Motors Limited:

Automaker Company Bentley Motors Limited Is A British Luxury Automaker, And

A Wholly Owned Subsidiary Of The German Company Volkswagen Ag.

Ceo: Wolfgang Dürheimer

Founded: January 18, 1919, Cricklewood, United Kingdom

Parent Organization: Volkswagen Group

Founders: H. M. Bentley, W. O. Bentley

Bugatti:

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Car Manufacturer Automobiles Ettore Bugatti Was A French Car Manufacturer Of

High-Performance Automobiles, Founded In 1909 In The Then German City Of

Molsheim, Alsace By Italian-Born Ettore

Founder: Ettore Bugatti

Founded: 1909, Molsheim, France

Defunct: 1963

Parent Organization: Volkswagen Group

MAN SE:

Automotive industry company man se, formerly man is a German mechanical

engineering company and parent company of the man group. Man is based in

Munich. Its primary output is for the automotive industry, particularly heavy trucks. 

CEO: Georg Pachta-Reyhofen

Stock Price: Man (Etr)€ 94.91 +0.21 (+0.22%)

11 Sep, 5:35 Pm Gmt+2 - Disclaimer

Headquarters: United Kingdom

Founded: 1758, Germany

Subsidiaries: Nepean, Man Truck & Bus, Man Diesel, More

Parent Organization: Volkswagen Group

SCANIA AB:

Automotive industry company Scandia aktiebolag, commonly referred to as scania

just Scandia, is a major swedish automotive industry manufacturer of commercial

vehicles – specifically heavy trucks and buses.

Headquarters: Sodertalje, Sweden

CEO: Per Hall berg

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Founder: Gusted Erikson

Founded: 1891, Malmo, Sweden

Number Of Locations: 10

Parent Organization: Volkswagen Group

Bugatti automobiles:

Automobile manufacturer bugatti automobiles S.A.S. is a French high-

performance luxury automobiles manufacturer and a subsidiary of Volkswagen with

its head office and assembly plant in Molsheim, Alsace, France.

Founded: 1998

Parent Organization: Volkswagen Group

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2.4 Company Structure:

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3.1 BASIC CONCEPTS

Review Of Literature & Theoretical Framework

Product features can be easily copied and that is why markets have considered

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brands as a major tool for creating product differentiation. Even when it is possible to

differentiate a product with characteristics, consumers are not able or don´t feel

motivated to analyze them (Kotler and Gartner 2002).

Image and brand

A person´s attitudes and actions towards an object are determined by what a person

knows or assumes to know about the object (blanch 1996), in other words the person

´s attitudes are determined by their beliefs. The fishbone model explains that there is a

link between beliefs and attitudes. There are three kinds of beliefs:

• Descriptive

• Inferential

• Informational.

A study by fishbone and AJZEN (1975) describes the descriptive beliefs as those that

derive from a direct experience with the product. “The informational beliefs are those

influenced by outside sources of information such as advertising, friends, relatives

and so on. The inferential beliefs are formed by making inferences (correctly or

incorrectly) based on past experience as this experience relates to the current

stimulus”.

In marketing it is common to talk about an image. An image is “the set of

beliefs, ideas and impressions that a person holds of an object” (Kotler 1991, cited in

blanch 1996). According to Papadopoulos (1993) the image of an object results from

peoples’ perceptions. Each perception occurs at an individual level and therefore

each object has a different image for each individual observer. A customer bases his

actions on what he thinks he knows (beliefs) therefore the image is very important to

a company. The image is an asset of the company in which the company has invested

time and money (blanch 1996). Competent food technologists could replicate coca

cola’s “secret formula”, but what differentiate coca cola from all other cola

beverages are its distinctive logo or brand and packaging, which is the work of many

years of promotion and advertising and also supported by near-universal availability.

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(baker and Belington 2002). Brand names are very important. There are some

products where the brand image has great significance, which is why choosing a

brand name for a product is not easy. A word can have a symbolic function arising

from all the associations it produces in consumer´s minds. Certain words derive their

functional significance by being associated with particular objects. (Collins 2007). A

brand is “a name, term, sign, symbol, or de-sign, or combination of them which is

intended to identify the goods and services of one sellers and to differentiate them

from those of competitors” (Kotler 1992 p442; cited by Keller 1993 p2).

Collins (2007) concludes in her study that there are six to seven points what

make a good brand name:

a) Be unique, original;

b) Be distinctive, but possibly remindful of the product category it is to go in;

c) Be easy to read in all the countries in which the brand is to be marketed;

d) Be easy to say in all the countries in which the brand is to be marketed;

e) Be of such a verbal form as to have semantic and/or symbolic

under-tones/overtones, to convey the intended “feeling tone” to the

consumer, and so elicit a consumer response, in line with the marketing

objectives of the brand have staying power (Collins 2007 p361).

The brand name is a commonly used cue to simplify the evaluation of a product

or ser-vice. Using a familiar word as a name is advantageous because it is easy to

recall but using a distinctive word is easier to recognize (Keller 1993).

According to Grabby, (1993) brand image is the collection of ideas, feelings,

emotional reactions and attitudes, which arise from the evocation of the brand.

Company image takes part in the brand image.

Marion and Michel (1986, cited by Grabby 1993) exposed that there are three

concepts of image that are necessary to understand and can be applied to brands,

companies or

COUNTRIES:

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1. “Desired image” refers to the target image that emerges from the strategic

planning process of the company.

2. “Diffused image” concerns the execution of plans by such actors as

company employees and associated agents (e.g., advertising agencies,

retailers), and al-most always varies to a greater or lesser degree from the

first.

3. “Registered Image” Refers To The Image Actually Held By Consumers And

Other Publics. It is formed on the basis of actions of the company and the

actors it controls, but also of inputs from other actors in the general business

environment (e.g., governments, trade unions, and the media).

The brand is very important for a company because the most valuable asset for a

company is perhaps the knowledge that has been created about the brand in

consumers’ minds through marketing. Brand awareness in general is when consumers

think about a product category and associate it with a brand. High levels of brand

awareness and a positive brand image increase the probability of brand choice. Brand

awareness on people’s minds consists of brand recognition and brand recall

performance. Brand recognition is the ability of consumers to confirm prior exposure

to the brand when given the brand as a cue. Brand recall is the ability of consumers to

retrieve the brand when it is given a product category. (keller 1993)

Keller (1999) defines brand image as, “the perceptions about a brand as reflected by

the brand associations held in consumer memory.” Brand associations are divided into

attributes, benefits and attitudes. The attributes are the descriptive features that

characterize a product. There are the product-related attributes that are the ingredients

necessary for performing the service or product, commonly unknown by a consumer,

and the non-product-related attributes that are the external aspects of a product. The

main types of non-product-related attributes are the price information and packaging

or product appearance information. The benefits are what consumers think a product

or service can do; there are three kinds of benefits: functional benefits (what a product

can do), experiential benefits (what it feels like to use the product) and symbolic

benefits (social approval or personal expression) (Keller 1993).

Figure 1.2: dimensions of brand knowledge

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Country Equity, Country Image And Country Of Origin

Studies from Petra Zeugner-Roth Et al. (2008) and Hsieh et al. (2004) show

that the image of a particular country influences the consumer’s attitudes and

behavior towards products or brands from that country. The name of a country can

act in a similar way as the name of the brand. (Petra Zeugner -Roth Et Al. 2008). For

example “made in Japan”, “made in the U.S.A.” or “made in Germany” are labels

that are generally better evaluated by consumers than products with the label “made

in Hungary” or “made in china”.

according to Iverson and hem (2001 p14 cited In Petra Zeugner-Roth Et

al. 2008) a country’s equity is the “commercial value that a country possess due to

positive or negative product related associations and affect in a given target market.”

Other researches papadopoulos and heslop say (2003, cited in petra zeugner-roth et al.

2008) that the country equity is the real or perceived assets and liabilities that are

associated with a country and distinguish it from others. Conclusively, marketers use

country of origin cues in order to add value and differentiate their products (baker and

belington 2002).

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People often judge a foreign product before the purchase even though they

don’t know the true quality of a product if they don´t buy it. Consumers use the

country image as a halo when they are not familiar with the country’s products. They

infer about a brand’s product attributes and this affects their attitude toward the brand

indirectly through product attribute rating. That means that the national image is

transported to the product (Han 1989). While obviously not all products without a

known brand name that are produced in one country have bad quality, the image of

that country that may not be favorable is transferred and this prejudices the products

from that country.

On the other hand if a consumer is familiar with a country’s products,

country image becomes a construct that summarizes consumer’s beliefs about

product attributes and this affects their attitudes toward the brand (han 1989). As

han (1989 p223) says “country image, like brand image can be viewed as a

summary construct. Consumers may abstract information about a country’s

products because brands with identical country of origin have very similar product

characteristics”. Nevertheless not all the

Products of a country have good quality but those products are benefiting from the

favorable country image they have.

Hsieh et al. (2004) summarizes the country image definition into three groups:

• Overall country image

• Aggregate product country image

• Specific product country image.

They define the overall country image as the total of all descriptive, inferential and in-

Formational beliefs that a consumer has about a country.

“Aggregate product country image is the entire cognitive ‘feel’ associated with a

particular country’s products or with the perceived overall quality of the products

from a particular country. Specific product country image is the overall perception

consumer’s form of specific product categories from a particular country” (Hsieh et

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al. 2004 p253)

In other words county image is what consumers know or think they know about a

country’s technological innovativeness, manufacturing ability, and flair for style and

design

(Roth And Romeo 1992).

Almost all of the studies on country image use only a single measure of product

quality

Rating. Roth and romeo (1992) summarized the research from authors who used more

Than one measure. Their work is cited in almost all the researches of coo (country-of-

Origin) from 1993 to the present. They defined the country image dimensions in four

Points:

a) “innovativeness: use of technology and engineering advances

b) Design: appearance, style, colors, variety

c) Prestige: exclusivity, status, brand name reputation

d) Workmanship: reliability, durability, craftsmanship, manufacturing

quality.”(roth and romeo 1992 p5)

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Table no: 1: Which car (fuel based) do you prefer?

Customer preference No of Respondents Percentage

Petrol 34 34

Diesel 50 50

L.P.G. 16 16

Total 100 100

(Source: Market Survey)

Graph -1

Petrol Diesel L.P.G.0

10

20

30

40

50

60

Series1

Interpretation:

The above table shows that, respondents go for diesel one with sound quality. 34

Percent respondents preferred petrol cars, 50 Percent Respondents preferred diesel cars

and 16 Percent customers preferred L.P.G cars.

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Table No. 2: What do you feel great about your car when compared to other cars in

the market?

Customer perspective No of customers Percentage

Fuel efficiency 30 30

Low maintenance 18 18

Sound quality 22 22

Safety 30 30

Total 100 100

Source: market survey

Graph-2

Fuel efficiency Low maintenance Sound quality safety0

5

10

15

20

25

30

35

Interpretation:

The above table and graph shows that 30 percent respondents prefer the Fuel

efficiency, 18 percent respondents prefer the Low maintenance, 22 percent respondents

prefer the Sound quality and 30 percent respondents prefer the safety.

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Table No. 3:What kinds of offers do you like or expect from the dealer?

Offers No. Of Respondents Percentage

Free insurance 16 16

Special discount on sale of cars 14 14

Extending the service the period 40 40

Finance availability with % interest 30 30

Total 100 100

(Source: Market Survey)

Graph-3

1 2 3 40

5

10

15

20

25

30

35

40

Free Insurance Special Discount Extending The Finance Availability

On Sales Of Cars Service Period With 0% Interest

Interpretation:

The above table and graph shows that 16 percent respondents prefer the Free

Insurance, 14 percent respondents prefer the special discount on sales of cars, 40 percent

respondents prefer the Extending The Service Period and 30 percent respondents prefer

the Finance Availability With 0% Interest.

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Table No. 4: What more do you expect from your dealer?

Expectations of customer No. Of Respondents Percentage

Information about new cars 20 20

Information about service and mileage 36 36

Assistance regarding loan and insurance 20 20

Understanding customer needs 24 24

Total 100 100

(Source: Market Survey)

Graph-4

Informati

on About New

cars

Informati

on about se

rvice

and m

ileage

Assista

nce reg

arding l

oan an

d insu

rance

Understan

ding custo

mer nee

ds0

10

20

30

40

Series1

Interpretation:

The above table and graph shows that 20 percent respondents Information about

new cars, 36 percent respondents prefer the Information about service and mileage, 20

percent respondents prefer Assistance regarding loan and insurance and 24 percent

respondents prefer the Understanding customer needs.

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Table No. 5: Where do you get your car serviced regularly?

Place of service No .of Respondents Percentage

At authorized service center 70 70

At a local workshop near home 30 30

Total 100 100

(Source: Market Survey)

Graph-5

At authorized service center At a local workshop near home0

10

20

30

40

50

60

70

80

Series1

Interpretation:

The above table and graph shows that 70 percent respondents prefer At authorized

service center, 30 percent respondents prefer At a local workshop near home.

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Table No. 6: What other brand(s) will you seriously consider before making this car

Purchase?

Brand name No of Respondents Percentage

Honda 24 24

Merc 30 30

Skoda 36 36

Volkswagen 10 10

Total 100 100

(Source: Market Survey)

Graph-6

Interpretation:

The above table and graph shows that 20 percent respondents prefer Honda, 36

percent respondents prefer the MERC, 20 percent respondents prefer Skoda and 24

percent respondents prefer the Volkswagen.

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Table No 7: Can you share your experience with after sale service support?

Post service experience No of customers Percentage

Very satisfied 10 10

Satisfied 60 60

Ok 18 18

Not satisfied 12 12

Total 100 100

(Source: Market Survey)

Graph-7

Very satisfied satisfied Ok Not satisfied0

10

20

30

40

50

60

70

Series1

Interpretation:

The above table and graph shows that 10percent respondents are very satisfied, 60

percent respondents are satisfied, 18 percent respondents are ok and 12 percent

respondents are not satisfied.

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Table No 8: Which bank do you prefer in getting financial help while purchasing a car?

Name of the bank No. of Respondents Percentage

ICICI 42 42

HDFC 12 12

SBI 40 40

OTHERS 6 6

Total 100 100

(Source: Market Survey)

Graph-8

ICICI HDFC SBI Others0

5

10

15

20

25

30

35

40

45

Series1

Interpretation:

The above table and graph shows that 42 percent respondents prefer ICICI loans,

12 percent respondents prefer the HDFC loans, 40 percent respondents prefer SBI loans

and 06 percent respondents prefer the others loan service.

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Table No. 9: How do you feel when an unknown sales person approaches you knowing your

full details to demonstrate about any product?

Customer Opinion No. Of respondents Per centage

I will not respond 20 20

Lost my privacy 20 20

Interested in knowing (if i fell a need of it) 60 60

Total 100 100

(Source: Market Survey)

Graph-9

I will not respond Lost my privacy Interested in knowing (if i fell a

need of it)

0

10

20

30

40

50

60

70

No. Of respondents

No. Of respondents

Interpretation:

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The above table and graph shows that 20 percent respondents prefer because “I

will not respond”, 20 percent respondents prefer because” Lost my privacy”, 60 percent

respondents prefer because “Interested in knowing”.

Table No. 10: What’s your opinion on a brand ambassador for the cars?

Customer union in ambassador No. Of Respondents Percentage

Very necessary 86 86

Not needed 14 14

Waste of money for manufacturer 00 00

Total 100 100

(Source: Market Survey)

Graph-10

Very Necessary Not Needed Waste of money for manufacturer

0

10

20

30

40

50

60

70

80

90

100

Series1

Interpretation:

The above table and graph shows that 86 percent respondents says very necessary,

and 16 percent respondents says Not needed”.

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Table No. 11: What’s your opinion on the price list of Volkswagen cars?

Respondents opinion No. Of Respondents Percentage

Affordable by common man 12 12

Affordable only by rich man 84 84

Can’t say 04 04

Total 100 100

(Source: Market Survey)

Affordable by common man

Affordable only by rich man

Can’t say0

10

20

30

40

50

60

70

80

90

Series1

Interpretation:

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The above table and graph indicate that More than 80% of customers think that

Volkswagen cars are Affordable only by rich men. These cars are too expensive for an

economic/common Man of the society.

FINDINGS

The above table shows that, respondents go for diesel one with sound quality.

The above table and graph shows that 30 percent respondents prefer the Fuel

efficiency, 18 percent.

The above table and graph shows that 16 percent respondents prefer the Free

Insurance, 14 percent.

The above table and graph shows that 20 percent respondents Information about

new cars, 36 percent.

The above table and graph shows that 70 percent respondents prefer At authorized

service center, 30 percent respondents prefer At a local workshop near home.

The above table and graph shows that 20 percent respondents prefer Honda, 36

percent respondents.

The above table and graph shows that 10percent respondents are very satisfied, 60

percent respondents are satisfied.

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CONCLUSION:

The present research project on the customer awareness and preference of

Volkswagen cars helps to analyze and understand the present market scenario in the

City of Solapur. Merc and Skoda are the strongest competitors so Volkswagen is

Required to work on its weaknesses like offers at the time of convincing customers and

Giving various financial plans.

At last I would like to say that Volkswagen should maintain and improve its market

Share in Maharashtra by improving its services and providing customer satisfaction.

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SUGGESTIONS

Please try to increase the number of service centers.

Keep service stations at main locations of the city where many customers feel

Easy to go to service centers.

The service men in the service centers are unable to understand the problems

Told by us, and they are not resolving the cars problems.

Provide information on service and mileage regularly.

Please provide information about new cars along with their price lists at least once

in 6 months.

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ANAXURE

Dear Sir/Madam,

I am Mr. Vaibhav Arun Bhandare M.B.A.-II year student of SVERI’s College of Engineering, (Department of M.B.A.) Doing my project work entitled ‘customer awareness and preferring ABS wheels Pvt. Ltd."The information furnished by you will be kept confidential and used for academic purpose only.

QUESTIONNAIRE

Name…

Contact No…………………….

Designation/Occupation:………………………….

E-Mail-Id:…………………………

1. Which Car (Fuel Based) Do U Prefer?

A) Petrol

B) Diesel

C) L.P.G.

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2. What do you feel great about your car when compared to other cars in the

Market?

A) Fuel Efficiency

B) Durability

C) Low Maintenance

D) Sound Quality

E) Safety

3. What Kinds Of Offers Do You Like Or Expect From The Dealer?

A) Free Insurance

B) Special Discount On Sale Of Cars

C) Extending The Service Period

D) Finance Availability With 0% Interest

4. What more do you expect from your dealer?

A) Information About New Cars

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B) Information About Service And Mileage

C) Assistance Regarding Loans And Insurance

D) Understanding Customer Needs

5. Where do you get your car serviced regularly?

A) At Authorized Service Centre

B) At A Local Workshop Near My Home

6. What other brand(s) will you seriously consider before making this car

Purchase?

A) Honda

B) Merc

C) Skoda

D) Volkswagen

7. Can you share your experience with after sale service support?

A) Very Much Satisfied

B) Satisfied

C) Ok

D) Not Satisfied

8. Which bank do you prefer in getting financial help while purchasing a car?

A) Icici

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B) Hdfc

C) Sbi

D) Others

9. How Do You Feel When An Unknown Sales Person Approaches You By Knowing

Your Full Details To Demonstrate About Any Product?

A) I Will Not Respond

B) Lost My Privacy

C) Interested In Knowing (If I Feel A Need Of It)

10. What’s Your Opinion On A Brand Ambassador For The Cars?

A) Very Necessary

B) Not Needed

C) Waste Of Money For Manufacturer

11. What’s Your Opinion On The Price List Of Volkswagen Cars?

A) Affordable By Common Man

B) Affordable Only By Rich Man

C) Can’t Say

Thanks for taking the time to fill out this questionnaire and for providing valuable

information which will be used for my project work, market research studies and reports.

We do not share or sell your name, address or any other data with any outside company

for any purpose.

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