A

Project Report
ON

“Marketing Strategies Of Ford Motors”

SUBMITTED IN PARTIAL FULFILLMENT FOR

THE AWARD OF THE
DEGREE OF BACHELOR OF BUSINESS
ADMINISTRATION

UNDER THE GUIDANCE OF

Dr. Amit Gupta
Project Co-ordinator
SUBMITTED BY:
VIPUL
Batch BBA III (A)
Enrollment No
 STUDENT UNDERTAKING

This is to certify that I have completed the Project titled “ Marketing Strategies of
Ford Motors ” in Maharaja Agrasen Institute of Management Studies under
the guidance of Dr. Amit Gupta in partial fulfillment of the requirement for the
award of degree of Bachelor of Business Administration at Maharaja Agrasen
Institute of Management Studies, Delhi. This is an original piece of work & I have
not submitted it earlier elsewhere.

VIPUL
BBA-3(A)
Enrollment no.
 CERTIFICATE

This is to certify that the project titled “ Marketing Strategies of Ford Motors ” is

an academic work done by Vipul submitted in the partial fulfillment of the

requirement for the award of the degree of Bachelor of Business Administration

from Maharaja Agrasen Institute of Management Studies, Delhi, under my guidance

& direction. To the best of my knowledge and belief the data & information

presented by him in the project has not been submitted earlier.

Dr. Amit Gupta

PROJECT CO-ORDINATOR
 Acknowledgement

I would like to thank my Project Guide Dr. Amit Gupta for his immense guidance,
valuable help and the opportunity provided to me to complete the project under
her guidance.

I would like to thank all faculty members of Maharaja Agrasen Institute of

Management Studies for guiding and supporting me in the completion of project
from time to time.

Last but not the least, my gratitude to great almighty and my parents without
whose concerned and devoted support the project would not have been the way it
is today.

Vipul
BBA-3(A)
Enrollment no.
INTRODUCTION
 INTRODUCTION TO THE TOPIC

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

towards it, there are drastic changes 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 compensate. 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 it

objectives and goals. To maximize the profits and longterm 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 relationship-building

goals by itself. It must partner closely with other departments in the 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:

1. BUILDING AND MANAGING PORFITABLE CUSTOMER RELATIONSHIPS.

2. BUILDING AND MANAGING STRONG BRANDS.

3. HARNESSING NEW MARKETING TECHNOLOGIES IN THIS DIGITAL AGE.

4. MARKETING IN A SOCIALLY RESPONSIBLE WAY AROUND THE GLOBE.

What marketing is what it does and what it offers?

“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, that is, to find

individuals all groups of people with unmeet needs or latent interest in some products or

service.
[3]
 The marketing process consists of the following:

1. Analyzing marketing opportunities.

2. Developing marketing strategies.

3. Planning marketing programs

4. Managing the marketing efforts.

Before taking any decision and achieving the goals, it has to make analysis of

what to do, how to do, when to do, where to do and who is to do it. This is nothing but

strategic planning. Goals indicate what a business units wants to achieve whereas

strategy is how to get there.

Marketing strategies in simple terms are the complete and unbeatable plans

designed specifically for attaining the marketing objectives of the firm. Marketing can

be called as a game plan for achieving its goals. Strategy choice will depend on whether

the firm or the marketer plays the following roles:

 Market leader

 A challenger

 A follower

 A nicher

The identification of objectives, both in quantitative and qualitative terms, is an

essential backdrop to strategy formulation. Goals have a quality and time frame attached to

them. These are typically spelt out in terms of financial return, market share, market

presence, etc.

Thus, the concept of market oriented strategic planning arises with the link between

the products the link between the products the manufacturer is dealing in and the market
[4]
conditions. In this direction, our study deals only with the marketing strategies i.e.

promotional strategies of the Ford automotives.

OBJECTIVES

[5]
 OBJECTIVES OF THE STUDY

Primary Objective:
To know the influence of various Marketing Strategies, Promotional Activities towards the
customers of four wheelers(cars).

Secondary objective:

• To know the effective factors for preferring 4 wheelers(CARS)

• To know the factor of awareness of the cars.
• To Study and analyze the Promotional Strategies of Ford
• 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 find the area to be improved
• To find out satisfaction of the customers.
• To find the reasons for the dissatisfaction
[6]
• To study the channel levels involved in the promotion of Ford
• TO study and analyze the customer's perception regarding the usefulness/utility of
Ford cars.
• TO study and analyze the distributors perception regarding the
promotional and distributional strategies of Ford.

[7]
 INTRODUCTION TO AUTOMOBILE
IINDUSTRY

INTRODUCTION TO AUTOMOBILE INDUSTRY

One of the fastest growing industries in the world is automobile industry. This
automobile industrieseven 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 market.
Nearly 18% of the total national income is being incurred from the automobile industry.
From this we can estimate how important is the automobile industry in the improvement of
GDP of a country. In India automobile industry has a growth rate is at the average of 10-
12%.

[8]
INDIAN AUTOMOBILE INDUSTRY SINCE 1947:
Its 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 Indiawas
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 not improvements for
decades. The automotive industry stagnated under the government’s 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!
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 know-how 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 Indiaand 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 Maruthi 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

[9]
carmakers to be innovative and develop products frugally. India’s frugal engineering skill
has now caught the world’s imagination, and an increasing number of carmakers are
preparing to setup major capacities here.
Indiais 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’s 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 a
long journey but to see where the Indian car industry is going. We have to see where it has
been.

AUTOMOBILE INDUSTRY IN PRE-INDEPENDENCE:

The first motorcar on the streets of India was seen in 1898, Bombayhad it first
taxicabs by the turn of the century. In 1903, an American company began a public taxi
service with afleet 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 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.

[10]
BROADBANDING 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-wheeled
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-litre Vanguard engine. HM bought in a 1972 Vauxhall Victor in 1985, transplanted its
ageing Ambassador engine into it and the Contessa was born.

THE BIRTH OF THE AMBASSADOR:

In 1957, a small tail fin was added on either side of the rear fenders, along with a
new, dimpled hood, and the car was re-christened the Ambassador Mark I. The car cost
Rs.17,000. In 1963, it underwent a frontal facelift with a closely checkered grille and was
named the Ambassador Mark II. It would be another 12 years before the Ambassador got a
facelift. In 1975, another minor facelift to the same grille and a much bigger frontal facelift
turned out as the Mark III. The Mark IV, launched in 1979, was the last of the Mark cars.
The Ambassador Novawas launched in 1990, followed by Ambassador 1800
ISZ three years later. The Nova was the last Ambassador powered by the 1489cc petrol
engine. In 2004, HM launched the cosmetically-revised Ambassador under the Avigo name.
Designed by Mavendra Singh, the retro look Avigo had classic touch internals like a centrally
mounted console, beige-colored seats and wood finish interiors.

THE CONTESSA YEARS:

[11]
 The Hindustan Contessa, launched in 1982, was one of the few luxury cars
manufactured in the country in the 1980s and 1990s. It was based on the 1970s vintage
Vauxhall victor. While it was initially launched with the 1489cc engine found in the
Ambassador, the Contessa was soon given the Isuzu engines. There were three versions of
this car - 1.8GLX (Isuzu petrol), 2.0DLX (Isuzu diesel) and the rare 2.0T (Isuzu diesel,
turbo). The last Contessa rolled out in 2002, phased out by the demand for cheap Japanese
cars.
Some of the leading Indian auto players in Indian automobile industry are:

➢ Premier,
➢ Tata
➢ Mahindra and Mahindra
➢ Maruthi
➢ Hindustan motors

Premier:
The story of premier is the story of one mans vision, Seth Walchand Hirachand. He
not only give India its first car factory but also the country’s first aircraft factory – Hindustan
Aeronautics Limited and the country’s first modern ship yard, Hindustan Shipyard Limited

Building India’s first auto factory

Seth Walchand Hirachand has first started the trails to establish an Indian car
manufacturing plant in Indian for which he went to U.S.A. where three largest car
manufacturing companies are located. He wants Indian company to be completely
independent, with Indian management capital and employees, paying royalty or technology
transfer payment to western countries.
After approaching General Motors they insisted on part ownership. Seth Walchand
then moved to second largest automaker Ford; Henry agreed, but delegated the project to
Ford of Canada, which refused. Finally the third largest automaker Chrysler agreed and
singed in an agreement in Bombay in 1940.

[12]
The arrival of FIAT:

In 1951, PAL singed up with Fiat to assemble the Fiat 500 in India. In 1952, the tariff
commission spelled out future for the auto industry – indigenize or get out. Companies like
Ford and GM, which had assembly operations in India, packed their bags and went home.
But fiat decided to stick it out and committed itself full-fledged manufacture of the
Millicentoin 1954. In sep 1964, PAL and FIAT launched the Fiat 1100 DELITE in India.
The biggest customers for PAL’s were Bombay’s taxi drivers. The Padminies were
easy for maintenance in terms of spares and labour cost, low on running cost, easy to drive
and reasonably tough. It was everything that a taxi driver wants.

TATA Motors:
Established in 1945, Telco or the Tata Engineering and Locomotive Company, as its
full name suggests, started out making steam locomotives for the Indian Railways. Telco’s
tryst with vehicle manufacture came in 1945 when it signed a 15-year agreement with

Daimler-Benz AG of Germany to manufacture commercial vehicle. The director in charge

from the Tata side was Sumant Moolgaonkar.
This period was a shared birthing time for the Indian commercial vehicle industry –
Premier Automobiles in league with Chrysler, Hindustan Motors with General Motors and
Ashok Leyland with British Leyland – which all started truck production around the same
time.
Telco’s biggest triumph came in 1985 in the LCV segment. The Tata 407, a brand
new product from bumper to tail-light, was designed and marketed by Telco to take on the
technically superior Japanese products. The 407 immediately captured 70 per cent of the
market.
The TATA SUMO, launched in 1994, turned out to be the success story of the decade.
The Sumo was conceptually a brilliant vehicle. And it was also a product of the
government’s eccentric excise duty regulations at that time.
1998 was a landmark year for Tata – it launched the Tata Safari. Unlike the Sierra,
Estate and Sumo that were designed and developed using rudimentary manual methods, the
Safari was made with modern manufacturing and design processes to ensure new-found
[13]
levels of quality and to take the company a step closer to its ambition of becoming a global
carmaker.

Yet, the most important landmark of 1998 was not the Safari. On 30 December 1998,
Tata officially launched the much-awaited Indica. 2001 also saw the company exit its joint
venture with Daimler-Benz. In 2002, Tata launched the Indigo saloon, based on the Indica
platform. On 29 July 2003,J R D Tata’s birth anniversary, the company was renamed Tata
Motors Limited. The Tata juggernaut continued to roll across the Indian auto industry with
the launch of the Indigo Marina in 2004.

MAHINDRA & MAHINDRA:

The story starts some time in the 1940’s. Pandit Nehru has a dream of building a
modern, industrially advanced nation. And inspired by Nehru’s vision are two brothers,
Kailash Chandra Mahindra and Jagadish Chandra Mahindra. K.C.Mahindra during his
tenure in the United Stateshad met Berney Roos. Roos was the inventor of rugged ‘General
Purpose’ vehicle or the Jeep. The Jeep had earned reputation in the battle fields of World
War II. On October 2nd 1945, the Mahindra brothers joined hands with Ghulam Mohammed
to set up a company to assemble American Willys Jeeps in India. The collaboration between
M&M and its original partner Kaiser Jeep Corporation and later American Motor
Corporation is for the phased manufacture of CJ3B Jeep. The company is named Mahindra
and Mohammed.
But after Independence Ghulam Mohammed migrates to Pakistan. With his departure
Mahindra & Mohammed is renamed by Mahindra & Mahindra in 13 January 1948. The first
th

vehicles are assembled in Mazaogaon in Bombay.

The first M&M built Willys Overland Jeeprolled out of the Mazaogaon plant on 3
June 1949. Five years later, in 1954, the first completely indigenous Jeep rolled out of the
factory floor. At one point 70 per cent of the sales were assured by army and government.

Vehicle model Year of launching

[14]
 Mahindra MM 540 1985
Commander 1991
Mahindra Armada 1993
Voyager van 1996
Escort (M&M-ford) 1996
Bolero 1996
Scorpio 2002

Scorpiolaunched in 2002, a completely indigenous product that took Mahindra & Mahindra
6 long years to design and develop. The Scorpio has played a critical role in changing the
perception and brand image of the country. The 2.6 litre turbo-diesel engine developed
109bhp. The Scorpio has been the vehicle of M&M’s change, from a utility vehicle-maker to
a lifestyle SUV manufacturer.

MARUTHI:

It began with the promise of being the ‘People’s Car’. The car never went into
production and the company went belly-up in 1977. Six years later, it rose like a phoenix
from the ashes and changed the Indian automotive sector forever. The company – Maruthi
Udyog Limited. The story of Maruthi dates back to the 1970’s. Indira Gandhi was the prime
minister of India. Her son, Sanjay Gandhi, envisioned the manufactured of an indigenous
cost-effective, low-maintenance compact car for the Indian middle-class. The Cabinet passed
a unanimous resolution for the development and production of a ‘People’s Car’. The name
of the car was chosen as ‘Maruti’.

The Car that changed India:

The Maruthi 800 was essentially a Suzuki SS80, which was called the Fronte in Japan
and Altoin most of the other markets. The 796cc, in-line, three-cylinder power plant
produced 39.5bhp at 5500rpm.
Maruthi marked the beginning of a revolution in the Indian automobile industry. The
Maruthi 800, with its compact size, nimble handling and perky engine, offered the Indian
motorist a cheaper, friendlier alternative. On 14thDecember 1983, Harpal Singh became

[15]
Maruthi’s first customer as he received the keys of his Maruthi 800 car from Prime Minister
Indira Gandhi. The car cost Rs.48,000. The new Maruthi, launched in June 1986, cost
approximately Rs 15,000 more than the outgoing model.

The new Maruthi:

In 2005, Maruthi launched the Swift, for the first time in its 20-year history. The
Swift signaled the importance of the Indian market in the world. A team of engineers from
Maruthi worked on the design of the Swift in Hamamatsu, Suzuki’s headquarters in Japan.

Model Year of launching

Maruthi 800 1983
Maruthi Omni 1984
Maruthi Gypsy 1985
Maruthi 1000 1990
Maruthi Zen 1993
Maruthi Esteem 1994
Maruthi Baleno 1999
Maruthi Wagon R 1999
Maruthi Alto 2000
Maruthi Versa 2001
Maruthi Swift 2005
Maruthi Zen Estilo 2006
Maruthi SX4 2007
Maruthi Suzuki Grand Vitara 2007

The other cars which have their share in the Indian Auto Mobile industry
are:
The Indian auto industry has exploded in the last 14 years. And car markers are
learning some very hard truths. While the economic reforms process was kicked of f in

[16]
1991, it was only in 1993 that the automobile industry was finally delicensed 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:
➢ Daewoo Motors India.
➢ General Motors India
➢ Mercedes-Benz
➢ Hyundai Motors
➢ Honda SIEL
➢ Toyota
➢ Skoda India

[17]
[18]
 COMPANY PROFILE

Ford Motor Company

Type Public (NYSE: F)

Founded June 17, 1903
Founder Henry Ford
Headquarters
Dearborn, Michigan, USA
Area served worldwide
William Clay Ford, Jr - Executive
Key people Chairman
Alan Mulally - President, CEO
Industry Automotive
Products Automotive goods and services
RevenueUS$120.1 billion (2006) [1]
[19]
Operating incomeUS$-15.0 billion (2006)[1]

Net incomeUS$-12.6 billion (2006)[1]

Employees 283,000 (2007)[2]
Ford Credit
Ford division
Divisions Lincoln
Mercury
Premier Automotive Group
Automotive Components Holdings
Jaguar
Subsidiaries Land Rover
Volvo (cars only)

Bold Moves

Have you driven a Ford lately?

Built Ford Tough

Slogan

Built for Life in Canada

Feel the difference

Make Everyday Exciting
Website www.ford.com
Ford Motor Company is an American multinational corporation and the world's third
largest automaker based on worldwide vehicle sales.
In 2006, Ford was the second-ranked automaker in the US with a 17.5% market
share, behind General Motors (24.6%) but ahead of Toyota (15.4%) and DaimlerChrysler
(14.4%). Ford was also the seventh-ranked American-based company in the 2007 Fortune
500 list, based on global revenues of $160.1 billion. In 2006, Ford produced about 6.6
million automobiles, and employed about 280,000 employees at about 100 plants and
facilities worldwide. In 2007, Ford had more quality awards from J.D Power than any other
automaker.
Based in Dearborn, Michigan, a suburb of Detroit, the automaker was founded by
Henry Ford and incorporated in June 16, 1903. Ford now encompasses many global brands,
including Lincoln and Mercury of the US, Jaguar and Land Rover of the UK, and Volvo of
Sweden. Ford also owns a one-third controlling interest in Mazda.
[20]
 Ford has been one of the world's ten largest corporations by revenue and in 1999
ranked as one of the world's most profitable corporations, and the number two automaker
worldwide.
Ford introduced methods for large-scale manufacturing of cars and large-scale
management of an industrial workforce, especially elaborately engineered manufacturing
sequences typified by moving assembly lines. Henry Ford's combination of highly efficient
factories, highly paid workers, and low prices revolutionized manufacturing and came to be
known around the world as Fordism by 1914.

History

Henry Ford (ca. 1919)

Ford was launched in a converted factory in 1903 with $28,000 in cash from twelve
investors, most notably John Francis Dodge and Horace Elgin Dodge who would later found
the Dodge Brothers Motor Vehicle Company. During its early years, the company produced
just a few Model T's a day at its factory on Mack Avenue in Detroit, Michigan. Groups of
two or three men worked on each car from components made to order by other companies.
Henry Ford was 40 years old when he founded the Ford Motor Company, which would go on
to become one of the largest and most profitable companies in the world, as well as being
one of the few to survive the Great Depression. The largest family-controlled company in the
world, the Ford Motor Company has been in continuous family control for over 100 years.

[21]
Corporate governance:
Members of the board as of early 2007 are: Chief Sir John Bond, Richard Manoogian,
Stephen Butler, Ellen Marram, Kimberly Casiano, Alan Mulally (President and CEO), Edsel
Ford II, Homer Neal, William Clay Ford, Jr., Jorma Ollila, Irvine Hockaday, Jr., John L.
Thornton and William Clay Ford (Director Emeritus).[8]
The main corporate officers are: Lewis Booth (Executive Vice President, Chairman (PAG)
and Ford of Europe), Mark Fields (Executive Vice President, President [The Americas]),
Donat Leclair (Executive Vice President and CFO), Mark A. Schulz (Executive Vice
President, President [International Operations]) and Michael E. Bannister (Group Vice
President; Chairman & CEO Ford Motor Credit).[9]. Paul Mascarenas (Vice President of
Engineering, The Americas Product Development)

FORD IN INDIA:
Ford started its innings with the Mahindra-Ford joint venture formed in 1994, which
produced the Escort out of M&M Nashik plant. After meeting initial success, sales of the
Escort was finally replaced by the Ikon in 1999.
The Ikon marked a new beginning for Ford in India. It rolled out of the
Marajmalaingar plant near Chennai and by now, the company had parted ways with M&M
and was renamed Ford India Ltd in 1998. The Ikon was the first model by a multinational to
be developed specifically for India. Though it was based on the Fiesta, it was a unique body
style and was offered and was offered with an option of three engines, including a diesel.
The car was a big hit. The Ikon underwent several face-lifts and price cuts to keep demand
high. However, fresher competition and a reputation for high-maintenance saw sales
gradually decline. After the arrival of the modern and highly-capable Fiesta, another made-
for-India car, with state-of-the-art engines, the Ikon has been marginalized. The Fiesta has
picked up where the Ikon left and is selling well.
Though the Ikon and Fiesta have been the mainstays of Ford’s production in India,
the company has had limited success with other models. The Mondeo, launched in 2001,
was a very talented car by was simply not suited to Indian conditions and earned a reputation
for being exorbitant to maintain.
The Endeavour SUV was launched in early 2004 and has sold well for its niche. The
Endeavour has recently been upgraded in 2007 and this has boosted the appeal of the big

[22]
SUV. In 2004, Ford launched the Fusion, which has received a lukewarm response though
the recent diesel variant has perked up sales.
Fortune Ford is an authorized dealer for Ford India Limited, who are one of the
leading manufacturers of top quality cars in India, with many variants in the offering.

Fortune Ford is a 50:50%

Joint Venture set up between two well
known and reputed families in
Hyderabad, the Modis and the Babu Khans.
Fortune Ford is a blend of experience and youth. The experience and good will that Mr.
Misbahuddin Babu Khan and Mr. Pramod Modi enjoy blend very well with the youth and
energy of the youngsters Bashir, Ashish, Nirav and Siraj to make Fortune Ford a truly world
class Ford Dealership.
Fortune Ford markets and services the recently launched truly European Ford
Fiesta, the ever-popular Ford Ikon Flair, the No non-sense car Ford Fusion and the macho
SUV the Ford Endeavour through its sales and service outlets at Hyderabad. The sales outlet
is located strategically at Somajiguda next to Eanadu. We have two service centers, one at
Chapel Road, Abids opposite Stanley College and other one at Fathebagh, Santhnagar. These
centrally located outlets provide convenient and easy access to both the proud owners as well
as prospective buyers. The workforce at Fortune Ford is committed to excellence in serving
all esteemed customers.
The Sales Team is made up of dedicated showroom and field executives who are
professionally trained by Ford India Limited. They are adept at guiding the customer through
the entire sales process right from assisting in the choice of model, colour and features to
lending a helping hand in providing attractive buyback options and also arranging finance at
competitive rates.

[23]
 The Service Centre is armed with the state-of-the art equipment and is in-line with
Ford's exacting Global standards. The service team is technically qualified and trained to
analyze and provide solutions adhering to Quality Care, in order to satisfy even the most
demanding customers.
The Fortune Ford dealership maintains a high standard of excellence in sales and
services by sending its personnel for training on a regular basis to Ford India Limited, to
update them with the latest technological advances in the automotive sphere.
SHOWROOM
We have 5000 sft centrally air conditioned showroom, located in the heart of the city in
Somajiguda, adjacent to Eenadu office and just opp. to Khairtabad RTA. This makes
convenient for almost every one residing in and around Hyderabad and Secunderabad.
The facilities offered from the showroom are :
1. Very easy finance facility with in-house finance team to cater to your every car finance
requirements. All the leading finance counters are available like ICICI, HDFC, KOTAK,
SUNDARAM, SBI, etc.
2. Exchange offer for any of your used car. Free spot evaluation for any usedcar.
3. Professionally trained and courteous sales staff to take care of every relevant needs of the
customers.
4. Ford preferred insurance for cashless transactions in the event of claims. Special offers on
Insurance renewals. You can also renew your insurance by just making call to our Service
marketing help line 9848885962.
Showroom @ Somajiguda

[24]
5.Full range of Ford cars with all
colors and models to choose
from.
6. A good stock of Ford genuine
accessories to make your Ford ownership more delightful and safe.
7. A well maintained fleet of test drive cars to give you the feel and experience the drive
dynamics on actual driving conditions before take the purchase decisions. You can call our
sales help line for test drive or fill the on-line test drive requisition form.

Significant milestones
• The first Indian built Ford Escort rolled off the assembly line in 1996.
• The Company was able to deliver Ford Escorts in seven major cities simultaneously,
in just a month after booking.
• The Special Value Pack program was launched in 1997, with commemorative
'Freedom', followed by the petrol and diesel driven 'Anniversary'. Recent SVPs have
included the Orion, Alpha and Sport - E.
• Ford Escort won the J D Power Award in India Quality Survey in 1997.
• Ford topped the Customer Satisfaction Index (CSI) ratings in 1997 and 1998, in the
Customer Satisfaction Survey.
• QualityCare, Ford's branded service initiative, provides car owners with superior
services at its dealership countrywide.
• The new, integrated manufacturing plant was dedicated in March 1999, where FORD
IKON is manufactured.
• Ford India launched Ford Assured on April 24 2000, a new initiative to buy and sell
used cars of all makes.

[25]
 • On September 11, 2000. Ford India launched the Ford IKON SXi – the stylish ‘josh’
machine
• Ford India has started exporting Ford IKON
2001 Ford India launched the Ford Mondeo.
2002
• Ford India show cases a wide spectrum of exciting cars at the Auto Expo
• Ford India Limited announced a strategic partnership with Hindustan Motors Limited
(HML).
• Certified QS 9000: 1998, 3rd edition on March 21, 2002 Ford India received the QS
9000 award from TÜV Süddeutschland.
• New Ikon Variant 1.6 EXi was launched
2003:
• The New Ford Ikon NXT launched - The Next Level of Josh.
• Adding Refinement to Josh- Ford India launches Ikon NXT ‘Finesse.’
• Ford Celebrates Centennial in India.
• Ford India launches Ikon NXT SXi.
• Ford India Ranks Highest in J.D. Power India Sales Satisfaction Study.
• Ford launches Ikon Flair at Rs. 4.95 Lakhs.

2004: Autocar SUV of the Year – Winner Ford Endeavour.

2007:
• FORD Motor Company of Southern Africa achieves three wins and two seconds on
this year total economy run
• DOE AWARDS FORD two grants for vehicle fuel efficiency research .
• FORD MONDEO IS AUTO EXPRESS car of the year.
• LAND ROVER DISCOVERY 3 scoops category win at TOWCAR AWARDS 2007
• FORD MONDEO is the Caravan Club TOWCAR of the year 2008 .

[26]
MANAGEMENT PROFILE:
ARVIND MATHEW – Managing Director and President
Arvind Mathew is the Managing Director and President of
Ford India. He took this position in August 2005.

LUCY MILLAR – Vice President, Finance & IT

Lucy is the Vice President of Finance and IT at Ford India. She took up this
position in May 2005. She reports to Arvind Mathew, President and
Managing Director, Ford India.
SCOTT McCORMACK – Vice President, Marketing, Sales & Service
 Scott McCormack is the Vice President, Marketing, Sales and
Service at Ford India. He took this position in July 2006.
Scott reports to Arvind Mathew, President and Managing
Director, Ford India.

NANCY REISIG – Vice President, Human Resources

Nancy Reisig is Vice President, Human Resources at Ford
India. She took this position in March 2005. Nancy reports
to Arvind Mathew, President and Managing Director, Ford
India.

SANDIP SANYAL – Vice President, Supply and Total

Value Management
Sandip Sanyal is the Vice President, Supply and Total Value
Management (TVM) at Ford India. He took this position in
September 2005. Sandip reports to Arvind Mathew, President
and Managing Director, Ford India.
STEVE BRIDGMAN – Country Manager, Ford Credit

[28]
 PRODUCT PROFILE

Fusion:

[29]
PRICE(lacs) 6.59

Engine:
Type 4 Cyl. In – Line, 16 – V DOHC
Construction All Aluminium Alloy
Fuel System SEFI
Displacement (cc) 1596
Compression Ratio 9.75:1
Max. Power (ps/rpm) 101 / 6500
Max. Torque (nm/pm) 146 / 3400
Emission Stage Bharat Stage III
Kerb Weight (Kg) 1143
Transmission Manual 5 Speed
MaxSpeed (Kmph) 174
Mileage 11.3

[30]
Endeavour:

PRICE(lacs) (4X2) 16.16

(4X4) 17.17

Engine:
Type 2.5 litre, 4 Cylinder in-line, Turbocharged & inter-cooled diesel
Displacement (cc) 2499
Max. Power (PS/rpm) 116/3500
Max. Torque (kgm/rpm) 28.5/2000
Ignition System Compression
Valve System SOHC, 12 Valves
Fuel System Indirect Injection Mechanical Pump
Emission Exhaust Gas Recirculation (EGR) Meeting Bharat Stage III
Norms
Kerb Weight (Kg) 1933/1958
Transmission Manual 5 Speed
MaxSpeed (Kmph) 142
Mileage 8.2

[31]
Fiesta:

Engine 1.4 EXI 1.6 ZXI 1.6 SXI 1.4EXI 1.4 ZXI 1.4 SXI
(TDCi) (TDCi) (TDCi)
Price(in lacs) 6.76 7.28 8.28 8.00 8.52 9.19
Type 4 Cylinder in-Line, 16 Valve 4 Cylinder in-Line, 8 Valve
DOHC SOHC
Construction All-aluminium Alloy
Fuel System SEFI High Pressure Common Rail
Displaceme cc 1388 1596 1596 1399 1399 1399
nt
Compression Ratio 9.75:1 9.75:1 9.75:1 18:1 18:1 18:1
Max. ps/rpm 82/6000 101/650 101/650 68/4000 68/4000 68/4000
Power 0 0
Output
Max. Nm/rp 127/400 146/340 146/340 160/200 160/200 160/200
[32]
Torque m 0 0 0 0 0 0
Emmision Bharat Stage III
Compliance
Transmission Type 5 Speed Manual
Kerb Weight (Kg)
MaxSpeed (Kmph) 170/178
Mileage 14.75/13.6

Ikon:

PRICE(lacs) 5.50

Engine:
Type 4 Cylinder, 8-V SOHC, Rocam Petrol
Fuel system SEFI
Displacement (cc) 1299
Max. Power (ps/rpm) 70/5500
Max. Torque (Nm/rpm) 105/2500
Transmission Type 5 Speed Manual
[33]
Kerb Weight (Kg) 978
MaxSpeed (Kmph) 148
Mileage 10.8

Mondeo:

PRICE(lacs) 6.59

Engine:
Engine type 2.0L 16V DOHC Petrol
Displacement 1999 cc
[34]
Max. power 142.7 PS/6000 rpm
Max. torque 185 Nm/4500 rpm
Compression ratio 10:8:1
Valves 16V DOHC
Fuel injection Sequential electronic fuel injection (SEFI)
Emission level Bharat Stage III
Construction All Aluminium Alloy
Transmission Type Ford MTX-75 manual 5-speed with
synchromesh
Kerb Weight (Kg)
MaxSpeed (Kmph) 200
Mileage 8.6

[35]
 SOURCE OF DATA

Marketing strategy and analysis:

A marketing strategy is a process that can allow an organization to concentrate its
limited resources on the greatest opportunities to increase sales and achieve a sustainable
competitive advantage.

Any organization that wants to exchange its products or services in the market place
successfully should have a Strategic Marketing plan to guide the allocation of its resources.
A strategic marketing plan usually evolves from an organization’s overall corporate strategy
and serves as a guide for specific marketing programs and policies. Marketing strategy is
based on a situation analysis- a detailed assessment of the current marketing conditions
facing the company, its product lines, or its individual brands. From this situation analysis, a

[36]
 firm develops an understanding of the market and the various opportunities it offers, the
competition and the market segments or target markets the company wishes to pursue.

Marketing strategy is the complete and unbeatable plan, designed specifically for
attaining the marketing objectives of the firm/business unit. The marketing objectives
indicate what the firm wants to achieve; the marketing strategy provides the design for
achieving them.

For example, if the marketing objectives of a business unit stipulate that next year, it
should achieve a sales revenue of Rs. 1,000 crore and a net profit of 15 percent of sales
revenue, it is the job of marketing strategy to indicate how and wherefrom this sale and profit
will come, which product lines/products/brands will accomplish this task and how.

Marketing strategy forms an integral part of marketing planning. A marketing

strategy is most effective when it is an integral component of corporate strategy, defining
how the organization will successfully engage customers, prospects, and competitors in the
market arena. It is partially derived from broader corporate strategies, corporate missions,
and corporate goals. As the customer constitutes the source of a company's revenue,
marketing strategy is closely linked with sales. A key component of marketing strategy is
often to keep marketing in line with a company's overarching mission statement.

MARKETING AND PROMOTIONS PROCESS MODEL:

Development of marketing program requires an in-depth analysis of the market. This

analysis may make extensive use of market research as an input into the planning process.

Marketing
Strategy and Target marketing Market planning
analysis process program development target market

[37]
 promot-
Identifyin ion
Opportunit Product to Ultimate
g markets
final consumer
Promotional
buyer
decisions
Cons
ume
Pricing ➢ Adver rs
Market decisions tising Busi
Competitiv segmentati ➢ Direct ness
e analysis on marke es
ting
➢ Intera
ctive
marke
Channel ting
➢ Sales
Target Purchase
marketing Target distributi otion
on ➢ Public
marketing
Promotion
to
trade
Positioning relati Resellers
through ons
marketing ➢ Perso
strategies nal
sellin
g

This input, in turn, provides the basis for the development of marketing strategies in
regard to product, pricing, distribution and promotion decisions. Each of these steps requires
a detailed analysis, since this plan serves as the road map to follow in achieving marketing
goals. Once the detailed market analysis has been completed and marketing objectives have
been established, each element in the market mix must contribute to a comprehensive
integrated marketing program. Of course, the promotional program element must be
combined with all other program elements in such a way as to achieve maximum impact.

Formulating the marketing strategy:

[38]
 Basically, formulation of marketing strategy consists of three main tasks:

1. Selecting the target market,

2. Positioning the offer,
3. Assembling the marketing mix.

This implies that the essence of the marketing strategy of a firm for a given
productor brand can be grasped from the target market chosen, the way it is positioned and
how the marketing mix is organized. The target market shows to whom the unit intends to
sell the products; positioning and marketing mix together show how and using what
uniqueness or distinction, the unit intends to sell. The three together constitute the marketing
strategy platform of the given product.

SELECTING THE TARGET MARKET:

To say that target market selection is a part of marketing strategy development is just
stating the obvious. It does not fully bring out the import of the inseparable likage between
the two. When the selection of the target market is over, an important part of the marketing
strategy of the product is determined, defined and expressed.

Marketing targeting simply means choosing one’s targetmarket. It needs to be

clarified at the outset that market targeting is not synonymous with market segmentation.
Segmentation is actually tee prelude to target market selection. One has to carry out several
tasks besides segmentation before choosing the target market.

Through segmentation, a firm divides the market into many segments. But all these
segments need not form its target market. Target market signifies only those segments that it
wants to adopt as its market. A selection is thus involved in it.
Marketing segmentation is a process that throws up not one but several market
segments. There may be segments that are sizeable and the ones that are not so sizeable.
There may be segments assuring immediate profits and the ones that call for heavy
[39]
investments in market development. There may also be segments that show great potential,
but display tough barriers to entry. As such, the question, which segment/segments, the firm
should select as its target market, assumes crucial importance.

STRATEGIC MARKET SEGMENTATION:

Market Segmentation is “dividing up a market into distinct groups that (1) have
common needs and (2) will respond similarly to a marketing action”, which was said by Eric
N.Berkowitz, Roger A.Kerin, and William Redulius.
The Segmentation process involves five distinct steps:
➢ Finding ways to group consumers according to their needs.
➢ Finding ways to group the marketing actions – usually the products offered –
available to the organization.
➢ Developing a market-product grid to relate the market segments to the firm’s
products or actions.
➢ Selecting the target segments toward which the firm directs its marketing actions.
➢ Taking marketing actions to reach target segments.

Markets can be segmented using several relevant bases. For example, demographic
characteristics of consumers, such as age, sex, income/purchasing capacity, education level
etc, form one base for segmentation. Geographic characteristics constitute another; and
buying behavior of the consumers forms yet another base.
The various types of segmentations are

 Geographic segmentation
 Demographic segmentation
 Psychographic segmentation
 Buyer behavior
 Benefits segmentation
 Volume of purchase segmentation

[40]
POSITIONING:

Positioning is a platform for the brand. It facilitates the brand to get through to the
target consumers.
It is defined as “the art and science of fitting the product or service to one or more
segments of the broad market in such a way as to set it meaningfully apart from
competition.”
Positioning is the act of fixing the locus of the product offer in the minds of the target
consumers. In positioning, the firm decides how and around what parameters, the product
offer has to be placed before the target consumers. The significance of product positioning
can be easily understood from David Ogilvy’s words: “The results of your campaign
depends less on how we write your advertising than on how your product is positioned”.

Definitions of product positioning:

Sengupta, in his book Brand Positioningsays, “ The aim of product positioning is to create a
perception for our brand in the prospect’s mind so that it stands apart from competing
brands… we must cover that space in the consumer’s mind as if we had won a long-term
lease. We must find a strong position in that mind and sit on it….”

Micheal Rothschild, in his book Marketing Communications – From Fundamentals to

Strategiessays, “Positioning refers to the place a brand occupies in the mind in relation to a
given product class. This place was originally a product-related concept…. Concerning
market structure. The concept now refers to the place that the brand holds in the consumer’s
mind related to perceptions and preferences”.

Developing a Positioning Strategy:

To create a position for a product or service, Trout and Ries suggest that managers ask
them selves six basic questions.
1. What position, if any, do we already have in the prospect’s mind?
2. What position do we want to own?
3. What companies must be outgunned if we are to establish that position?
[41]
 4. Do we have enough marketing money to occupy and hold the position?
5. Do we have the guts to stick with one consistent positioning strategy?
6. Does our creative approach match our positioning strategy?

PRODUCT POSITIONING AND BRAND POSITIONING:

It is essential to understand the relationship between products positioning and brand
positioning. Though in discussions, the two terms are synonymously and interchangeable
used, technically they are different.
Product positioning denotes the specific product category/product classin which the
given product is opting to compete. And brand positioning denotes the positioning of the
brand viz-a viz the competing brands in the chosen product category.
It is evident that for any product, before entering the market it has to sequentially
carry out the two exercises, product positioning and brand positioning. In the first step, the
product category where the new entrant should enter and compete, i.e. against what all
products it has to compete, has to be decided. In this step, it is the broad function that the
product is trying to serve that matters. This choice of product category will decide the nature
of the competition the product is going to face. Once product category positioning is
decided, the position for the new entrant against competing brands in the chosen product
category has to be analyzed and fixed.

ISSUES IN PRODUCT POSITIONING:

Where is the new offer going to compete? As what?
Which product function/customer need is it trying to meet?
What other product categories serve this need? In other words, what are the
substitute products that serve the same need?
Where is the real gap, where is such a new offer most welcome and wanted by
the market?
What are company’s competencies to fight here?

ISSUES IN BRAND POSITIONING:

[42]
 In deciding the Brand positioning, the issues are:
Which are the competing brands in the chosen product category?
What are the unique claims/strengths of the various brands?
What position do they enjoy in consumer’s evaluation and perception?
What is the most favoured position…? And yet vacant?
Can the new brand claim the needed distinction and take the position and
satisfy the need?

The major dimension of marketing strategy relates to positioning of the offer. The
firm has already selected the target market and decided its basic offer. Now, what is the
conjunction between these two entities? How do they get connected? What is the interface?
In other words.
What is the locus the firm seeks among the customers in the chosen targer market with its
offering?
How would the firm want the consumer to view and receive the offer?
These are the issues the firm has to grapple with in positioning. And, while
formulating the marketing mix too, the firm will agitate over these issues. The Product
Differentiation and Positioning discusses the multifarious issues involved in the subject.

PRODUCT REPOSITIONING :
Products do undergo ‘repositioning’ as they go along their life cycle. In some cases,
even products that are fairing well are repositioned. This is done mainly to enlarge the reach
of the product offer and to increase the sale of the product by appealing to a wider target
market. The product is provided with some new features or it is associated with some new
target segments.

PROMOTIONAL DECISIONS:
Promotion has been defined as the coordination of all seller initiated efforts to set up
channels of information and persuasion in order to sell goods and services or promote an
idea. While implicit communication occurs through the various elements of the marketing
mix, most of an organization’s communications with the market The basic tools used to

[43]
 accomplish an organization’s communication objectives are often referred to as the
promotional mix.

The promotional mix

Advertisin Direct Interactiv Sales Publicity/ Personal

g marketin e/ promotio Public selling
g n
internet relations
➢ Advertising:

Advertising is defined as any paid form of non personal communication about an

organization, product, service, or idea by an identified sponsor. The paid aspect of this
definition reflects the fact that the space or time for an advertising message generally must be
bought. An occasional exception to this is the public service announcement, whose
advertising space or time is donated by the media.
Advertising is the best-known and most widely discussed form of promotion,
probably because of its pervasiveness. It is also very important promotional tool, particularly
for companies, whose products and services are targeted at mass consumer markets.
It is a very cost-effective method for communicating with large audiences. It can be
used to create brand images and symbolic appeals for a company or brand.

➢ Direct Marketing:
One of the fastest-growing sectors of the U.S. economy is direct marketing, in
which organizations communicate directly with target customers to generate a response and a
transaction. It has become such an integral part of the IMC program of many organizations
and often involves separate objectives, budgets, and strategies, we view direct marketing as a
component of the promotional mix.
Direct Marketing is much more than direct mail and mail order catalogs. It involves
a variety of activities, including database management, direct selling, telemarketing and
direct response ads through direct mail, the Internet, and various broadcast and print media.
[44]
 One of the major tools of direct marketing is direct response advertising, whereby a
product is promoted through an ad that encourages the consumer to purchase directly from
the manufacturer.

➢ Interactive/Internet Marketing:
Interactive media allow for the back-and-forth flow of information whereby users
can participate in and modify the form and content of the information they receive in real
time. Unlike traditional forms of marketing communications such as advertising, which are
one-way in nature, the new media allow users to perform a variety of functions such as
receive and alter information and images, make inquiries, respond to questions and of course
make purchases. In addition to the Internet, other forms of interactive media include CD-
ROMs, Kiosks, and interactive television.

➢ Sales Promotion:
The next variable in the promotional mix is sales promotion, which is generally
defined as those marketing activities that provide extra value or incentives to the sales force,
the distributors, or the ultimate consumer and can stimulate immediate sales, sales
promotion is generally broken into two major categories:
Consumer-oriented and
Trade-oriented activities
Consumer-oriented sales promotion is targeted to the ultimate user of a product
or service and includes couponing, sampling, premiums, rebates, contests, sweepstakes,
and various point-of-purchase materials.
Trade-oriented sales promotions are targeted towards marketing intermediaries such
as wholesalers, distributors and retailers.

➢ Publicity/Public Relations:
Publicity refers to non personal communications regarding an organization, product,
service, or idea not directly paid for or run under identified sponsorship. It usually comes in
the form of a news story, editorial or announcement about an organization and its products
and services. Like advertising, publicity is not directly paidfor by the company.
[45]
 An advantage of publicity over other forms of promotion is its credibility. Another
advantage of publicity is its low cost, since the company is not paying its time or space in a
mass medium such as TV, radio or newspapers.
Public relations are defined as “the management function which evaluates public
attitudes, identifies the policies and procedures of an individual or organization with the
public interests and executes a program of action to earn public understanding and
acceptance”. Public relations generally have a broader objective than publicity, as its
purpose is to establish and maintain a positive image of the company among its various
publics.

➢ Personal Selling:
It is a form of person-to-person communication in which a seller attempts to assist
and persuade prospective buyers to purchase the company’s product or service or to act on an
idea. Unlike advertising, personal selling involves direct contact between buyer and seller,
either face-to-face or through some form of telecommunications such as telephone sales.
Personal selling involves more immediate and precise feedback because the impact of the
sales presentation can generally be assessed from the customer’s reactions.

ASSEMBLING THE MARKETING MIX:

Assembling the marketing mix means assembling the four Ps of marketing in the best
possible combination. Involved in this process are the choice of the appropriate marketing
activities and the allocation of the appropriate marketing effort/resources to each one of
them. The firm has to find out how it can generate the targeted sales and profit. It considers
different marketing mixes with varying levels of expenditure on each marketing activity and
tries to figure out the effectiveness of different combinations in terms of the possible sales
and profits. It then chooses the combination/mix of products, price, place and promotion that
is best according to its judgment.
Since marketing is essentially an interaction between the marketing mix and
environmental variable, and since the latter and non-controllable, marketing becomes
synonymous with assembling and managing the marketing mix. Of course, while assembling
the marketing mix, the marketing manager will take due note of the environmental variables.
[46]
Not only will he take due not of them, he will ensure that his marketing mix suits the
environmental variables. And, its it factor that renders tha task much more complex.

MARKEGING MIX: THE SOLE VEHICLE FOR CREATING AND DELIVERING

CONSUMER VALUE

The four elements mentioned above- product, distribution, promotion and pricing
constitute the marketing mix of the firm. The marketing mix is the sole vehicle for creating
and delivering customer value.
It can be easily seen that all activities and programmes, which a marketer designs and
caries out in his effort at winning customers, relate to one or the other of the above four
elements- product, place, promotion and pricing. It can also be seen that in each of these
elements, there are several sub-elements. For example, packaging is one of the sub-elements
of product and warehousing is one of the sub-elements of distribution.

The Four Ps of Marketing:

It was James Culliton, a noted marketing expert, who coined the expression
marketing mix and described the marketing manager as a mixer of ingredients. To quote
him, `The marketing man is a decider and an artist – a mixer of ingredients, who sometimes
follows a recipe developed by others and sometimes prepare his own recipe. And,
sometimes he adapts his recipe to the ingredients that are readily available and sometimes
invents some new ingredients, or, experiments with ingredients as no one else has tried
before.
Subsequently, Niel H.Borden, another noted marketing expert, popularized the
concept of marketing mix.
It was Jerome McCarthy, the well-known American professor of marketing, who first
described the marketing mix in terms of the four Ps. He classified the marketing mix
variables under four heads, each beginning with the alphabet “P”.
• Product
• Place
• Price
• Promotion
[47]
 McCarthyhas provided an easy-to-remember description of the marketing mix
variables. Over the years, the terms – Marketing mix and Four Ps of marketing have
come to be used synonymously.
Assembling and managing the marketing mix is the crux of the marketing task.
And, it is through the marketing mix that the marketing manager achieves the marketing
objectives.

MARKETING STRATEGIES FALL UNDER TWO CATEGORIES:

We have seen that target market selection, positioning and marketing

mixformulation together constitute marketing strategy. We have also seen that a firm can
assemble the marketing mix elements in many different ways, depending on the relative
weightage it assigns to the different elements. The scope to carve out different
combinations is, in fact immense. As a result, business firms are able to employ an
abundance of strategies and strategy stances in their relentless race to stay ahead of
competition. However, a close scrutiny will reveal that all these strategies can be fitted into
two broad categories

1. PRICE ORIENTED MARKETING STRATEGY

2. DIFFERENTIATION ORIENTED MARKETING STRATEGY

In other words, there are only two broad routes available for forging marketing
strategies: any strategy has to be ultimately either a price-oriented strategy or a
differentiation-oriented strategy.

PRICE ORIENTED MARKETING STRATEGY:

Firms taking to the price route in marketing strategy compete on the strength of
pricing. They use price as their competitive lever. They juggle the price of their product to
suit the prevailing competitive reality. They can afford to offer lower prices and still make

[48]
the targeted profits. They elbow out competition with the cushion they enjoy in the matter of
pricing.
Price route requires cost leadership,evidently, a firm opting for the price route will
have to have a substantial cost advantage in their operations. It should be enjoying an overall
cost leadership in the given industry and its lower cost should enable it to secure above
average returns inspite of strong competition. The cost advantage can emanate from different
factors like, scale economies, earlyu entry, a large market share built over a period of time,
locational advantage, or synergy among the different businesses. The firms whole strategy, in
fact will revolve around building such cost advantage.
To successfully practice a price-led strategy, a firm should have consciously taken to
the idea sufficiently early in its evolutionary process and prepared itself for adopting such a
strategy.

DIFFERENTIATION ORIENTED MARKETING STRATEGY:

The differentiation route of strategy revolves around aspects other than price. It
works on the principle that a firm can make its offer distinctive from all competing offers and
win through the distinctiveness. And, a firm adopting such route can price its product on the
perceived value of the attributes of the offer and not necessarily on competition-parity basis.
Maximum scope for exploiting differentiation remains with the product. While all
the 4Ps of marketing are important elements from the point of view of strategy, the other Ps
normally go as elaborations of the offer, while the productforms its core.
Product differentiation is of vital importance in product management and has great
potential in forgoing successful marketing strategies.
The product can be differentiated along two major planks:
1. Tangible product attributes and functions,
2. Intangible characteristics and emotional associations.

The tangible product attributes and functions are

Differentiation based on ingredients,
Differentiation based on functional value,

[49]
 Differentiation based on additional features,
Packaging contributing to differentiation,
Differentiation based on Quality, Operational Efficiency, Technology, Service.

DIGITAL MARKETING:
Digital Marketing is the practice of promoting products and services using digital
distribution channels to reach consumers in a timely, relevant, personal and cost-effective
manner.
Whilst digital marketing does include many of the techniques and practices
contained within the category of Internet Marketing, it extends beyond this by including
other channels with which to reach people that do not require the use of The Internet. As a
result of this non-reliance on the Internet, the field of digital marketing includes a whole
host of elements such as mobile phones, sms/mms, display / banner ads and digital outdoor.

BUZZ MARKETING (WORD OF MOUTH):

Word of mouth, is a reference to the passing of information by verbal means,
especially recommendations, but also general information, in an informal, person-to-person
manner. Word of mouth is typically considered a face-to-face spoken communication,
although phone conversations, text messages sent via SMS and web dialogue, such as online
profile pages, blog posts, message board threads, instant messages and emails are often now
included in the definition of word of mouth. There is some overlap in meaning between
word of mouth and the following: rumor, gossip, innuendo, and hearsay; however word of
mouth is more commonly used to describe positive information being spread rather than
negative, although this is not always the case.

Word-of-mouth promotion, also known as buzz marketing and viral advertising, is

highly valued by advertisers. It is believed that this form of communication has valuable
source credibility. Research points to individuals being more inclined to believe WOMM
than more formal forms of promotion methods; the receiver of word-of-mouth referrals
tends to believe that the communicator is speaking honestly and is unlikely to have an
ulterior motive (i.e. they are not receiving an incentive for their referrals). In order to
[50]
promote and manage word-of-mouth communications, marketers use publicity techniques
as well as viral marketing methods to achieve desired behavioral response. Influencer
marketing is increasingly used to seed WOMM by targeting key individuals that have
authority and a high number of personal connections.

EVANGELISM MARKETING:
It is an advanced form of word of mouth marketing (WOMM) in which companies
develop customers who believe so strongly in a particular product or service that they freely
try to convince others to buy and use it. The customers become voluntary advocates,
actively spreading the word on behalf of the company.
Evangelism literally comes from the three words of 'bringing good news' and the
marketing term justly draws from the religious sense, as consumers are literally driven by
their beliefs in a product or service, which they preach in an attempt to convert others.

EFFECTIVE SALES PROMOTION:

Sales promotion consists of diverse collection of incentive tools mostly short
term, designed to stimulate quicker and greater purchase of particular products of services
by the consumer. Sales promotion is the only method that makes use of incentives to
complete the push-pull promotional strategy of motivating the sale force, the dealer and the
consumer in transacting a sale.

Price-Offs Offer:
Price-off offers refers to offering the product at lower than the normal price. This
encourages immediate sales, attracts non-users, induces product trail and counters
competition.

Premium:
Premium refers to the offer of an article of merchandise as an incentive in or
to sell the product.

[51]
Coupons:
In order to encourage product trail, stimulate re-purchase rate and build
loyalty through news papaers.

Dealer stock display contests:

It is a type of point of purchase advertising which uses the show windows of
the dealer for providing exposure to the sponsor’s products.
Dealer participating enthusiastically and creatively are awarded

DEFENDING MARKET SHARE:

While trying to expand total market size, the dominant firm must continuously defend
it current business against rival attacks. This step is very much essential for the market
leader firm because the challenger firms are constantly to exploit the weaknesses of the
leader firms.

EXPANDING MARKET SHARE:

Market leaders can improve their profitability by increasing their market share. But
for few market leaders whose share in the total market is insignificantly high, the expansion
of market share n the total market may be proved both as expensive and risky. Therefore it
is better for such leader firms in spending their time in building up the market size rather
than expanding the market share. The reason for this action may be attributed to two
factors:
1. The market leader firms might attract the provisions of various anti-trust
legislations. The rival competitors will try to force the Government to bring
legislations against the “MONOPOLISATION”
2. The second reason being the economic factors. The cost of making further gains in
the market share after a large share has been achieved may rise fast and reduce the
profit margin.

HARASSMENT STRATEGY:

[52]
 The market leader firm will resort to anharassment strategy in order to promote its
market share. As a part of this strategy, the leader form might approach the suppliers and
threaten to reduce its purchases. If the latter supply the upstart firm, sometimes it might put
pressure on distributors not to carry the competitorsproduct. The salesman of leader firm
might speak negatively about competitors. It may also try to hire away the better executives
of an aggressive firm. Sometimes, the market leader firm will try to restrain these
competitions through legal devices. It might push legislation that would be more
unfavorable to the competitors than to itself.
The aim of defensive strategy is to reduce the profitability of attack, divert attacks to
less threatening areas, and lessen the intensity of attack. Any attack is likely to hurt profits.
But the defender’s form and speed of response can make an important difference in the
profit consequences.

There are 6 defense strategies that a dominant firm can use:

1. Position Defense:
The basic idea of defense is to build an impregnable fortification around one’s
territory.
2. Flank Defense:
The market leader should not only guard its territory but also erect outposts to protect
a weak front or possibly serve as an invasion base for counter attacking.
3. Preemptive Defense:
A more aggressive defense maneuver is to launch an attack on the enemy before the
enemystarts its offense against the leader. Preemptive defense assumes that an ounce of
prevention is worth more than a pound of cure.
4. Counteroffensive Defense:
Most market leaders, when attacked will respond counterattack. The leader cannot
remainpassive in the face of a competitor’s price cut, promotion blitz, product improvement,
or sales territory invasion. The leader has the strategic choice of meeting the attacker
frontally, maneuvering against the attacker’s flank, or launching a princer movement to cut
off the attacking formation from their base operation.
5. Mobile Defense:
Mobile defense involves more than the leader aggressively defending it territory. In
[53]
mobile defense, the leader stretches it domain over new territories than serve as future
centers for defense and offense.
6. Contraction defense:
Large companies recognize that they can no longer defend all the territory. Their
focus are spread too thin, and competitors are nibbling away on several funds. The best
course of action then appears to be planned contraction (also called strategic withdrawal).

INNOVATION STRATEGY:
The market leader may innovateseveral strategies in respect of new product ideas,
customer services, means of distribution, cost cutting discovery. In addition to these, a
leader may discourage its competition particularly challenge firm.

FORTIFICATION STRATEGY:
In order to protect its market share, the market leader may try to keep it product
prices reasonable in relation to the perceived valued of the offer and competitors offer. The
leader produces it brand in a variety of sizes and firms.

CONFRONTATION STRATEGY:
If leader firm faces an extremely aggressive challenger, whose actions demand a
quick and direct response. In such a situation, the market leader will engage any
promotional war, engaging in a massive promotional expenditure that the aggressive
challenger cannot match. The leader firm may engage in the price war whenever a new
challenger is considering to enterin its market. This strategy will frighten the potential
competitions and make then to withdraw from entering the market.

[54]
MARKETING STRATEGIES OF FORD

[55]
 MARKETING STRATEGIES OF FORD:

Product differentiation based on operational efficiency:

FORD EXCELLING THROUGH SERVICE: Ford tries to differentiate its offer on
the plank of service. It has gone in for a new norm in customer service: “fix it right-the
first time-on time”. Ford is also supplying videotapes showing how repairs have to be
done.
Adopting Offer to Suit Target Segment:
Ford modifies its models for India:
Ford modified its models for the Indian target segments as shown below:
➢ Higher ground clearance to make the car more compatible to the rougher road surface in
India.
➢ Stiffer rear springs to enable negotiating the ubiquitous patholes on Indian roads.
➢ Changes in cooling requirement, with greater airflow to the rear.
➢ Higher resistance to dust.
➢ Compatibility of engine with the quality of fuel available in India.
➢ Location of horn buttons on the steering vehicles. (As the India motorist uses the horn more
frequently, for cars sold in India, the horn buttons are kept on the steering wheel and not on
a lever on the side as in the models sold in Europe.)

[56]
 Strategic segmentation of cars:

The Ford in India has launched the car only for few segment of people.
The segmentation of car buyers based on price preferences are

• Family car segment: These cars forms a reasonably sizeable segment of the market
(around 15 percent).
Preferred price range is from 5 lakh to 6 lakh.
‘FORD IKON’ AND ‘FORD FUSION’ come under this type of segment.

• Premium car segment: This segment represents buyers who need a real world-class car
and are willing to pay the due price.
Preferred price range starts from 8 lakh to 12 lakh.
‘FORD FIESTA’, ‘FORD MONDEO’ come under this segment of cars.

• SUV segment: The buyers of this segment like to have a big vehicles.
And these cars are also useful for sport riding and even on hill areas. There body is designed
similar to offroad vehicles, which can withstand to Indian roads.
‘FORD ENDEAVOUR’ occupies this segment.

Strategic Promotions by FORD:

Ford follows the promotions at two levels, they a

1) Promotions of product directly by the manufacturer.
2) Promotions at dealer level.

In the first step the products of vehicles manufactured by the Ford Automotives are directly
promoted by the manufacturer by himself. He follows many promotional strategies like
1. Advertising through television and newspaper.
2. Internet or interactive marketing.
3. Direct marketing.
[57]
 In the second step the dealer of the vehicles promotes the vehicles.

The various promotional strategies followed by the Fortune Ford at dealer are
1. Advertising though news papers, radios, palm plates. In this all the features of the
product and its prices are given in detail to the customer.
2. In televisions the scrolling are given about the product and its features.

Hoardings:
A heavy picture of the product which comprises of its attributes and special features are
displayed on the roadsides in the form of hoardings. It is a bit expensive strategy but attracts
many people who pass by that roadside.
This type of advertisement is prepared for those segments of people who cannot
afford their time in reading newspapers and watching televisions. While travelling from their
home to office, moving on their business activities they may watch these hoardings. These
hoarding are especially setup at the road signal stops.

Maintaining Data Bank:

In this the dealer collects personal/bio-data(address and contact number) of many

people from various organizations and different sector who are ready to buy the vehicles and
who change the vehicles regularly.
These people are met-in person or contacted through their contact number. The
various new features and new offers regarding the vehicles are advocated to them and are
given discounts on group purchase of vehicles, i.e. if 5 or more friends in the group purchase
the cars at a time then they are given special discounts on the vehicles.

Free Insurance:
The Fortune Ford gives a special offer of free insurance on the purchase of each
vehicle to its new customers.

[58]
Relationship Marketing:
Fortune Ford pays a special attention towards its old customers. To retain the old
and existing customers it conducts a corporate meet at a luxurious hotel. The event aims at
knowing the problems of the customers regarding the vehicles and also service feedback.
In this way it maintains an effective relationship with the customers and gains the
reputation and goodwill in the minds of the customers.

Sales Promotion:
The sales promotion is done in the fortune ford at three levels:
1. Showroom sales:In this the customers walk in to the showrooms to know about the
details of the product. Specially trained sales executives who are present in the
showrooms give a detailed explanation about the product to the customers.
Sales executives give a detailed note on the products features, various offers
givenby the manufacturer and also by the dealer to the customer and enhances
the sales of the vehicles.
2. Corporate sales: A special team of sales executives are sent to some big corporate
sectors and there they personally meet the heads of the organizations like C.E.O’s,
Managersetc., and explain about the vehicles and the offers and special schemes
provided by the dealer to them on bulk purchase of the vehicles and try to promote the
sales of the vehicles.

3. Field sales: The sales executives conduct some events with the corporate working
people and try to demonstrate the product features and its benefits and try to promote the
product and increase its sales.

Conducting Customer Delight Program:

This is a unique program conducted by the Fortune Ford. This is a program
conducted to retain the old customers of the Ford. The old customers of the Fortune Ford
are meetpersonally and they are requested to give their feedback by filling in the
questionnaire which is specially prepared for them. In this questionnaire their problems
[59]
regarding the vehicle and also their post sale service experience are taken. If there exists
any problem, then the Fortune Ford service men try to resolve the problems of their
customers as soon as possible and makes the customer satisfied.
This is a technique to attract the new customers by satisfying the old customers and
gaining goodwill in the market.

STRATEGIC SALES STANDARDS:

Fortune Ford maintains strategic sales standards in the following manner.
! The Sales faculty is clean, tidy and inviting, making customers comfortable while
purchasing products and availing services.
! Customers are courteously acknowledged within two minutes of their arrival and are
advised that a Sales Consultant will be available upon request.
! The Sales Consultant’s appearance and dress will be of the highest standards.
! An advisory relationship is established between the customer and the Sales
Consultant who listens to the customer, identifies their needs and ensures that they
are met.
! A pleasant, non-pressured purchase experience will be provided during which a
thorough demonstration of the vehicle features and benefits will be made.
! A test drive will be offered to all customers.
! Using a check list, the Sales Consultant delivers the vehicle in perfect condition when
promised.
! Customers will be contacted within one week after delivery to ensure total
satisfaction.

MAINTAINING SERVICE STANDARDS:

! An efficient service facility allows a customer to avail all the service provided by
Fortune Ford, in a clean and welcoming environment.
! An appointment is available within 5 working days of the customer’s request.
! Customers are courteously acknowledged within two minutes of their arrival and
the write-up will begin with five minutes.

[60]
 ! Service needs are courteously identified, accurately recorded on the repair order
and verified with the customer.
! The vehicle is serviced right on the first visit.
! The vehicle is ready on the agreed upon time.
! A through explanation of work done, warranty coverage and charges is given to
the customer.
! All service repair work will be followed up within five working days.
! Each vehicle will be washed before being returned to the customer.

EXTENDED WARRANTY:
Fortune Ford gives an extended warranty to its customers where there will be an
extended time duration in the warranty.

What is Extended Warranty?

♦ Factory Warranty covers only for a specific period of time/mileage.
♦ After the factory warranty expires, customer is exposed to the risk of parts failures.
This is applicable for any machine/equipment/vehicle.

Extended Warranty:

♦ Is an extension of Factory Warranty

♦ Offers almost similar coverage as Factory Warranty
♦ Comes with a time-bound (eg. 1yr/2yrs but unlimited mileage cap)
♦ Covers all Mechanical and Electrical Failures
♦ Covers labour

Why is extended warranty needed?

♦ Offers peace of mind motoring

♦ Protects against unexpected and non-budgeted expenses
♦ Can be transferred, hence increases the resale value.

What does it NOT cover?

♦ Does not cover wear and tear of parts

♦ Does not cover scheduled service items
[61]
 ♦ Does not cover accident repairs

Benefits to customer

♦ Protection from manufacturing and material defects

♦ Car can be repaired at any Ford out let across the country
♦ Unlimited number of claims
♦ No excess to pay
♦ One up-front payment only
♦ Inflation protection from rising costs of parts and labour
♦ All repairs carried out by qualified Ford technicians
♦ Warranty can be transferred when vehicle is sold – better resale value
♦ Total peace of mind

TOTAL MAINTENANCE PLAN

What is Total Maintenance Plan?

♦ Cost of ownership is the key factor while considering vehicle purchases

♦ As part of regular maintenance, customers spend on
a) Maintenance parts that are to be replace at specific intervals
b) Replacement of worn out parts
c) Labour charge for the above
♦ A comprehensive maintenance plan by Ford will serve as a good tool to improve the
service experience and minimize concerns on cost of ownership of the vehicle
♦ Total Maintenance Plan (TMP) is a complete service solution provided to the
customer. This enables the customer to have total peace of mind in the form of a
“Maintenance Holiday”

What does it cover?

♦ Scheduled servicing like Engine Oil change, Fuel filter, Oil filter, Spark plugs etc.
♦ Non-scheduled maintenance like Brake Pads/Shoes, Brake Discs, Clutch Plates,
Lower Suspension Arms, Shock Absorbers etc..
♦ Mechanical/Electrical repairs
♦ Labour for all the above

What does it NOT cover?

♦ Accident repairs
♦ Tyres
♦ Fuel
[62]
Benefits to the customer

♦ Total peace of mind

♦ Fixed price for next 2 to 3 years
♦ Increased residual value of the car
♦ Only Ford genuine parts are used
♦ Can avail this service across the country at all Ford authorized outlets
♦ Transferable
♦ Incase of total loss, can be cancelled
♦ Ford factory backed programme
♦ Diagnosis/repairs as per recommended standards and practices
♦ Vehicles serviced by Ford trained and certified technicians

[63]
 RESEARCH METHODOLOGY

[64]
RESEARCH METHODOLOGIES AND LIMITATIONS:

MARKETING RESEARCH:
Definition of marketing research research as approved as by the board of directors of
the association of American marketing association is:
“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”.
Simply, marketing research isthe systematic design collection analysis and reporting
of data finding relevant to a specific marketing situation facing the company. Carefully
planning through all stages of the research is a necessity.
Objectivity in research is all-important. The heart of scientific method is the
objective gathering of the information.
The function as marketing research with in 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.
A research may under take any of the three types of research investigation depending upon
the problem. These type of research included:
1. Basic research
2. Applied research
3. Designated Fact Gathering

BASIC RESEARCH:

[65]
 It is also known as the pure fundamental research, which refers to those studies, sole
purpose of which is the discovery of new information. It is conducted to extend the horizons
on given area of knowledge with no immediate application to existing problems.

APPLIED RESEARCH:
It is attempt to apply the various marketing technique, which have been developed as
research, first and later on they become applied research techniques. It is on attempt to apply
the basic principles and existing knowledge for the purpose of solving operational problems.

DESIGNATED FACT GATHERING:

It refers to a research where the investigation attempts to gather some pre-determined
data.
STEPS IN MARKETING RESEARCH:
Marketing research process can be out through following steps.
Define the problems and research objectives

Develops the research plan

Collect the information

Analysis and interpretation

Present the finding.

RESEARCH METHOD:
It must be classified on the basis of the major purpose of the investigation. In this
problem description studies have been undertaken, as the objective of the project is to
conduct the market shares study to determine the share of market received by the company to
the competitor.

DATA COLLECTION:

[66]
 The information needed to further proceed had been collected through primary and
secondary data.

PRIMARY DATA:
It consists of information collected for the specific purpose, survey research was used
and he all the details of Ford and their competitors were contacted. Survey research is the
approached gathering description and information.

CONTACTED METHOD:
The information was solicited by administering structured questionnaire to the
customer and dealers, thus getting to know directly from the dealers their sales before and
after sales service.

SECONDARY DATA COLLECTION:

The secondary data consists of information that already existing somewhere having
been collected for another purpose. Any researcher begins the research work by first going
through secondary data. Secondary data includes the information available with company. It
may be the findings of research previously done in the field. Secondary data can also be
collected from the magazines, news papers, internet other service conducted by researchers.

METHODS OF DATA COLLECTION:

The basic method adopted in conducting the study is a structured questionnaire.

Questionnaire is administered on the sample respondents. How ever there are certain cases
where personal interactive method is followed with customers to find the satisfaction level.

[67]
[68]
 ANALYSIS AND INTERPRETATION

Analysed Survey Report

1. Which of the following Ford car you own?

a) Fiesta
b) Ikon
c) Endeavour
d) Fusion

Data analysis:
Name of the car % of customers
Fiesta 49
Ikon 27
Endeavour 15
Fusion 9
[69]
 Total 100%

Interpretation: This question is meant for taking the informationregarding the most
preferred car in the Ford cars. From the above graph it is found that most preferred vehicle
of Ford cars is Fiesta.

2. What do you like most about your Ford car?

a) Style/design
b) Comfort
c) Ford brand
d) Service

Data analysis:
Customers preference No of customers

Style/design 9
Comfort 23
Ford brand 13
Service 5

Interpretation: This question is meant to know the customers preferencesand likes

towards the cars. From the data we can position our product to the comfort seeking group of
people.

3. What do you feel great about your car when compared to other cars in the
market?
a) Fuel efficiency
b) Durability
c) Low maintenance

[70]
 d) Sound quality
e) Brand name

Data analysis:
Customers perspective No of customers
Fuel efficiency 2
Durability 7
Low maintenance 9
Sound quality 12
Brand name 20

Interpretation: From this question we can position the cars according to the customer’s
perspectives. Many of the Ford customers are buying the cars by seeing its Brand
Nameonly. The no. of customers satisfied with the fuel efficiency are very low.

4. How did you come to know about this car before purchasing?
a) From friends, relatives (buzz)
b) Advertisements
c) Car experts
d) Sale’s persons visit
e) Auto magazines

Data analysis:
Source of awareness No. of customers
Friends, relatives 9
Advertisements 25
Car experts 3
Sale’s persons visit 8
Auto magazines 5

[71]
Interpretation: Most of the Ford customers came to know about their vehicle through
advertisementsonly. The major media that attracted the customers is television.

5. Can you share your experience with after sale service support
a) Very much satisfied
b) Satisfied
c) Ok
d) Not satisfied

Data analysis:
Post service experience No. of customers
Very much satisfied 6
Satisfied 15
Ok 25
Not satisfied 4

Interpretation: This question is prepared to know the service levels of the authorized
dealer. Most of the customers are just telling okabout the service. Only a very few customers
are very much satisfied with the service. Even some of the customers are not satisfied with
the service given by the authorized service men.

6. Where do you get your car serviced regularly?

a) At authorized service centre
b) At a local workshop near my home

[72]
 Data analysis:
Place of service No. of customers
At authorized service centre 41
At a local workshop near home 9

Interpretation: Most of the Fortune Ford customers are interested to service their
vehicles only at the authorized dealers. From this we come to know what the importance of
authorized service centers for car is.

7. Which bank do you prefer in getting financial help while purchasing a

car?
a) ICICI
b) HDFC
c) SBI
d) others

Name of the bank No. of customers

ICICI 21
HDFC 6
SBI 20
Others 3

[73]
Interpretation: Most of the customers prefer ICICI and SBI banks for taking
financial help while purchasing a car. Customers are asking for 0% interest on financial
help provided by the banks.

8. Which type of finance do you prefer?

a) In house finance
b) Out house finance
c) No difference between the two

Data analysis:
Type of finance No. of customers
In house finance 30
Out house finance 12
No difference between the two 8

Interpretation: To know the customers opinion about the finance and their interests in
preferring the finance from various sources, this question is prepared. Most of the

customers prefer only In house finance compared to outhouse finance.

9. To which media do you get expose regularly?

a) Televisions
b) Magazines
c) News papers
d) F.M/Radio

[74]
Data analysis:
media No. of customers
Televisions 26
Magazines 7
News papers 16
F.M/Radio 1

Interpretation: From this analysis we come to know that most of the customers are
interested in watching televisions, which is a good media for communicating with people
and delivering our intentions about product.

10. Which kind of T.V. channels do you watch regularly?

a) National news channels
b) Regional news channels
c) Sports channels
d) Entertainment channels

Data analysis:
T.V. Channels No. of customers
National news channels 10
Regional news channel 16
Sports channels 4
Entertainment channels 20

Interpretation: This question is meant to know the interests and preferences of

customers towards T.V. channels. More than quarter of the sample size showed interest
[75]
only on the entertainment channels and next preference goes to the regional news
channels.

11. What’s your opinion on the price list of Ford cars?

a) Affordable by common man
b) Affordable only by rich man
c) Cant say

Data analysis:
Customer opinion on No. of customers
pricelist of ford car
Affordable by common man 6
Affordable only by rich man 42
Cant say 2

Interpretation: More than 80% of customers think that Ford cars are affordable only
by rich men. These cars are too expensive for an economic/comman man of the society.

12. 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

[76]
Data analysis:
offers No. of customers
Free insurance 9
Special discount on sale of cars 3
Extending the service period 27
Finance availability with 0% 11
interest

Interpretation: By the result of this question we come to know about the various
promotional techniques/offers which attract the customers. From the above analysis
many customers are expecting the extension in the service period from the various offers
given to them.
13. What more do you expect from your dealer?
a) Information about new cars
b) Information about service and mileage
c) Assistance regarding loans and insurance
d) Understanding customer needs

Data analysis:
Expectations of customer No. of customers
Information about new cars 2
Information about service and mileage 34
Assistance regarding loans and 4
insurance
Understanding customer needs 10

Interpretation: Most of the customers are expecting the information about service
and mileageregarding the cars from the dealer. From the above analysis we come to
know about the customer’s expectations and their post purchase service demands from
the dealer.
[77]
14. 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)

Data analysis:
Customer opinion No. of customers
I will not respond 11
Lost my privacy 5
Interested in knowing (if I feel a need 34
of it)

Interpretation: This question is prepared indirectly to know about the customer’s

opinion about the Data Bank maintenance by the Fortune Ford. In reply majority of the
customers gave a positive reply by showing interest in knowing about the cars when a
sales person gives a detailed description about the cars.

15. What’s your opinion on a Brand Ambassador for the cars?

a) Very necessary
b) Not needed
c) Waste of money for manufacturer

Data analysis:

[78]
 Customer opinion on No. of customers
ambassador
Very necessary 43
Not needed 7
Waste of money for manufacturer 0

Interpretation: This question is meant to know about the importance of Brand

Ambassador for a car in the customer’s point of view. Most of the Ford customers think
that a Brand Ambassador is very necessary for promoting a car.

16. What’s your opinion about the previous Ambassador Abhishek Bachan for
the car Ford Fiesta?
a) Full filled the purpose
b) Unable to attract customers
c) He was not apt for it.
Data analysis:
Customer opinion No. of customers
Full filled the purpose 38
Unable to attract customers 10
He was not apt for it 2

[79]
Interpretation: Most of the Ford customers think that the previous Brand
Ambassador Abhishek Bachan for the car Ford Fiesta full filled the purpose and he was
able to increase the sales of the cars Fiesta.

17. Whom do you suggest as a right person for promoting a car?

a) Sports person
b) Film stars
c) Car expert
d) Any celebrity
Data analysis:
Customer suggestion No. of customers
Sports person 18
Film star 21
Car expert 7
Any celebrity 4

Interpretation: Most of the customers of Ford suggest a film staras the best
ambassador. Because many of them get attracted only to their favorite film stars other
than other brand ambassadors.

18. What other brand(s) did you seriously consider before making this car
purchase?
a) Hyundai
[80]
b) Chevrolet
c) Maruthi
d) TATA
e) Toyota

Data analysis:
Brand name No. of customers
Hyundai 19
Skoda 12
Maruthi 5
Honda 9
Toyota 5

Interpretation: Most of the Ford customers are opting for Hyundaiwhen they are
asked to consider a brand other than Ford. Skoda occupies the second place in their
preference.

[81]
 SUGGESTIONS

VALUABLE SUGGESTIONS GIVEN BY FORD

CUCUSTOMERS:

! Please try to increase the number of Service centers.

! Keep Service Stations at main locations of the city, like Banjara Hills, Jubilee
Hills, Begumpet etc., where many customers feel it easy to go to service centers.

[82]
! There is no proper response from the service men at service station. Please
recruit efficient service men in the 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.
! Advertisements through televisions can influence many categories of people. So
try to concentrate on this segment. We don’t see or find much of the Ford car
advertisements in T.V except Fiesta.
! Try to provide financial facility at 0% interest.
! Customer should be educated about the maintenance of the vehicle. i.e.
maintenance tips should be provided.
! Mileage of the cars is not up to the expectations.
! Mileage of Fiesta is very worst its giving only 9 to 11 Kms per liter. Please try to
rectify it.
! The quality of the sun proof coating used is of very low quality, vehicle colour is
getting shaded very quickly.
! Please send the specially appointed feed back taking staff on Sunday evenings
only.
! The sales people present in the showroom respond to us properly when we come
to purchase a new car, but they do not respond when we come to tell our
problems regarding the cars.

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 Questionnaire

QUESTIONNAIRE:
Name :

Contact no.
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 Address: E-Mail address:

1. Which of the following Ford car you own?

a) Fiesta
b) Ikon
c) Endeavour
d) Fusion

2. What do you like most about your Ford car?

a) Style/design
b) Comfort
c) Ford brand
d) Service

3. 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) Brand name

4. How did you come to know about this car before purchasing?
a) From friends, relatives (buzz)
b) Advertisements
c) Car experts
d) Sale’s persons visit
e) Auto magazines

5. Can you share your experience with after sale service support

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a) Very much satisfied
b) Satisfied
c) Ok
d) Not satisfied

6. Where do you get your car serviced regularly?

a) At authorized service centre
b) At a local workshop near my home

7. Which bank do you prefer in getting financial help while purchasing a car?
a) ICICI
b) HDFC
c) SBI
d) others

8. Which type of finance do you prefer?

a) In house finance
b) Out house finance
c) No difference between the two

9. To which media do you get expose regularly?

a) Televisions
b) Magazines
c) News papers
d) F.M/Radio

10. Which kind of T.V. channels do you watch regularly?

a) National news channels
b) Regional news channels
c) Sports channels
d) Entertainment channels

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11. What’s your opinion on the price list of Ford cars?
a) Affordable by common man
b) Affordable only for rich man
c) Cant say

12. 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

13. What more do you expect from your dealer?

a) Information about new cars
b) Information about service and mileage
c) Assistance regarding loans and insurance
d) Understanding customer needs

14. 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)

15. What’s your opinion on a Brand Ambassador for the cars?

a) Very necessary
b) Not needed
c) Waste of money for manufacturer

16.What’s your opinion about the previous Ambassador Abhishek Bachan for the
car Ford Fiesta ?
a) Full filled the purpose
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b) Unable to attract customers
c) He was not apt for it.

17. Whom do you suggest as a right person for promoting a car?

a) Sports person
b) Film stars
c) Car expert
d) Any celebrity

18. What other brand(s) did you seriously consider before making this car
purchase?
a) Hyundai
b) Skoda
c) Maruthi
d) Honda
e) Toyota

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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 BIBLIOGRAPHY

[89]
 BIBLIOGRAPHY

REFERANCE BOOKS:

MARKETING MANAGEMENT V.S.RAMASWAMY AND S.NAMAKUMARI

ADVERTISING AND PROMOTIONS GEORGE E.BELCH

&
MICHAEL A. BELCH

WEBLIOGRAPHY::
www.fordindia.com

www.fortuneford.com

www.wikipedia.com

www.google.com

AUTO MAGAZINES:
 AUTOCAR
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 OVERDRIVE

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