1.

INTRODUCTION

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1.1 Introduction to the Topic of the Study

The prosperity of every business unit depends on the efficiency with which its goods
are marketing. Marketing occupies an important position in the organization of a business
unit. If the marketing functions are not fruitfully carried out, it will affect the existence of an
ultimate customer at all time. All activities which are involved in the process of transferring
floods from the place of its manufacture to the ultimate consumer some under the purview of
marketing.

A marketing strategy is a consistent appropriate and feasible set of principles through

which particular company hope to achieve it long-run customer and profit objectives in a
particular competitive environment.”

Nowadays it become necessary develop new marketing techniques in maintaining the

existing customers and in meeting the new ones. The most important changes is that the
present day market is that quality standards earliest determined by the marketer have been
now determined by the customer. Marketing begins with assessment of customer concerns
and end up with the evolution.

During the years of growing complexities the management needs more and more
information to reduce the uncertainties involved in introducing the new product. It is related
with needs , wants and demands , products ,value and satisfactions.

The automobile industry designs, develops, manufactures, markets, and sells motor
vehicles, and is one of the world's most important economic sectors by revenue. The
competitive nature of the automobile industry has prompted the companies to take up new
and innovative market strategies towards the competition. The automobile industry in India
has witnessed a rapid growth over the last couple of decades and in recent years it has also
captured the attention of the whole world with some innovative products. It includes
manufacturing of cars, two-wheelers like motorcycles, scooters, bikes, passenger cars, trucks,
tractors, defence vehicles and buses. The automobile industry can be widely divided into car
manufacturing, heavy vehicle manufacturing and two-wheeler manufacturing.

The study has been conducted to know the Customer Satisfaction level towards
Honda Two Wheelers With Special Reference to AM Wings Honda Palakkad. They want to
know the factors that lead to the preference of a particular brand by the customers. This study

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will be useful for the organization to understand the reasons for the preference of the Honda
bike.

Customer Satisfaction

The modern marketing concept is customer oriented backed by integrated marketing aimed
at generating customer satisfaction as the key to satisfying organizational.

THEORETICAL BACKGROUND OF TOPIC

Satisfaction

It is no longer enough to satisfy customers. You must delight them Satisfaction is a

person feeling of pleasure or disappointment resulting from comparing the products to
comparing product received performance is or (outcome) in relation to his or her expectation

As this definition makes clear satisfaction is a function of received performance and

expectations. With the performance falls sharp expectation, the customer is dissatisfied. If the
performance matches the expectations the customer is satisfied. With the performance
exceeds expectations, the customer is highly satisfied or delighted Mini companies are for
high satisfaction because customers who are just satisfied still find it easy to switch when a
better offer comes along. Those who are highly satisfied are much less ready to switch

High satisfaction is delight creates an emotional brand with the brand. Not a just
rational performance the result is high customer loyalty Xeroxes senior managers believes
that a very satisfied or delighted customer is worth tent times as much to the company as a
satisfied customer .a very satisfied customer very satisfied is likely to stay with Xerox many
more years and buy more than a satisfied customers

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2. COMPANY PROFILE

4
Automobile Industry Profile

The automobile industry designs, develops, manufactures, markets, and sells

motor vehicles, and is one of the world's most important economic sectors by revenue.
The term automotive industry usually does not include industries dedicated to
automobiles after delivery to the customer, such as repair shops and motor fuel filling
stations.

Consumption trends

About 250 million vehicles are in use in the United States. Around the
world, there were about 806 million cars and light trucks on the road in 2007,
consuming over 260 billion gallons of gasoline and diesel fuel yearly. In the opinion of
some, urban transport systems based around the car have proved unsustainable,
consuming excessive energy, affecting the health of populations, and delivering a
declining level of service despite increasing investments. Many of these negative
impacts fall disproportionately on those social groups who are also least likely to own
and drive cars. The sustainable transport movement focuses on solutions to these
problems.

The Detroit branch of Boston Consulting Group predicts that, by 2014,

one-third of world demand will be in the four BRIC markets (Brazil, Russia, India and
China). Other potentially powerful automotive markets are Iran and Indonesia.

Automobile industry in India

The Automobile industry in India is one of the largest in the world and
one of the fastest growing globally. India manufactures over 17.5 million vehicles
(including 2 wheeled and 4 wheeled) and exports about 2.33 million every year. It is the
world's second largest manufacturer of motorcycles, with annual sales exceeding 8.5
million in 2009. India's passenger car and commercial vehicle manufacturing industry
is the seventh largest in the world, with an annual production of more than 3.7 million
units in 2010. According to recent reports, India is set to overtake Brazil to become the
sixth largest passenger vehicle producer in the world, growing 16-18 per cent to sell

5
 around three million units in the course of 2011-12 In 2009, India emerged as Asia's
fourth largest exporter of passenger cars, behind Japan, South Korea, and Thailand.

As of 2010, India is home to 40 million passenger vehicles and more than

3.7 million automotive vehicles were produced in India in 2010 (an increase of 33.9%),
making the country the second fastest growing automobile market in the world.
According to the Society of Indian Automobile Manufacturers, annual car sales are
projected to increase up to 5 million vehicles by 2015 and more than 9 million by 2020.
By 2050, the country is expected to top the world in car volumes with approximately
611 million vehicles on the nation's roads.

The Indian Automobile Industry is manufacturing over 11 million vehicles

and exporting about 1.5 million every year. The dominant products of the industry are
two wheelers with a market share of over 75% and passenger cars with a market share
of about 16%. Commercial vehicles and three wheelers share about 9% of the market
between them. About 91% of the vehicles sold are used by households and only about
9% for commercial purposes. The industry has attained a turnover of more than USD
35 billion and provides direct and indirect employment to over 13 million people.

The supply chain of this industry in India is very similar to the supply chain of the
automotive industry in Europe and America. This may present its own set of opportunities
and threats. The orders of the industry arise from the bottom of the supply chain i. e., from
the consumers and go through the automakers and climbs up until the third tier suppliers.
However the products, as channelled in every traditional automotive industry, flow from
the top of the supply chain to reach the consumers. Interestingly, the level of trade exports
in this sector in India has been medium and imports have been low. However, this is
rapidly changing and both exports and imports are increasing. The demand determinants
of the industry are factors like affordability, product innovation, infrastructure and price of
fuel. Also, the basis of competition in the sector is high and increasing, and its life cycle
stage is growth. With a rapidly growing middle class, all the advantages of this sector in
India are yet to be leveraged.

a new journey in 1991 with de-licensing of the sector and subsequent opening up for 100%
foreign direct investment (FDI). Since then almost all global majors have set up their
facilities in Indian taking the level of production from 2 million in 1991 to over 10 million

6
in recent years. The exports in automotive sector have grown on an average compound
annual growth rate of 30% per year for the last seven years. The export earnings from this
sector are over USD 6 billion.

Even with this rapid growth, the Indian automotive industry’s contribution in global terms
is very low. This is evident from the fact that even thought passenger and commercial
vehicles have crossed the production figures of 2.3 million in the year 2008, yet India’s
share is about 3.28% of world production of 70.53 million passenger and commercial
vehicles. India’s automotive exports constitute only about 0.3% of global automotive
trade.

INDIAN TWO WHEELER INDUSTRY

Automobile is one of the largest industries in global market. Being the leader in
product and process technologies in the manufacturing sector, it has been recognized as one
of the drivers of economic growth. During the last decade, well directed efforts have been
made to provide a new look to the automobile policy for realizing the sector's full potential
for the economy. Steps like abolition of licensing, removal of quantitative restrictions and
initiatives to bring the policy framework in consonance with WTO requirements have set the
industry in a progressive track. Removal of the restrictive environment has helped
restructuring, and enabled industry to absorb new technologies, aligning itself with the global
development and also to realize its potential in the country. The liberalization policies have
led to continuous increase in competition which has ultimately resulted in modernization in
line with the global standards as well as in substantial cut in prices. Aggressive marketing by
the auto finance companies have also played a significant role in boosting automobile
demand, especially from the population in the middle income group.

INDIA is the second largest producer of two-wheelers in the world. In the last few
years, the Indian two-wheeler industry has seen spectacular growth. The country stands next
to China and Japan in terms of production and sales respectively.

Majority of Indians, especially the youngsters prefer motorbikes rather than cars.
Capturing a large share in the two-wheeler industry, bikes and scooters cover a major
segment. Bikes are considered to be the favorite among the youth generation, as they help in
easy commutation.

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 Large varieties of two wheelers are available in the market, known for their latest
technology and enhanced mileage. Indian bikes, scooters and mopeds represent style and
class for both men and women in India. However, few Indian bike enthusiasts prefer high
performance imported bikes. Some of the most popular high-speed bikes are Suzuki
Hayabusa, Kawasaki Ninja, Suzuki Zeus, Hero Honda Karizma, Bajaj Pulsar and Honda
Unicorn. These super bikes are specially designed for those who have a zeal for speedy drive.

FAMOUS INDIAN TWO WHEELER DEALERS

 BAJAJ AUTO LTD.

 HERO MOTOCOP LTD.
 HMSIL
 HERO ELECTRIC
 KINETIC MOTOR CO. LTD.
 LML INDIA LTD.
 MONTO MOTORS
 ROYAL ENFIELD MOTORS INDIA LTD.
 SUZUKI MOTOR CORPORATION
 TVS MOTOR CO.
 YAMAHA MOTOR INDIA PVT.LTD.
 MAHINDRA 2 WHEELERS LTD.

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HONDA MOTORCYCLES & SCOOTERS INDIA LTD

SHUBH HONDA

TARACHAND MANDHAN :

The group was promoted by Mr. Tarachand Mandhan, eldest son of Late Shri
Bhimandas Mandhan, who migrated from Pakistan in 1964. He started hisjourney, as A
Philips Dealer. He is the head of the Family. At present he is Managing Director of Karancity
Automobiles Pvt Ltd, Dealer for Honda Siel Cars India Ltd. for Chhattisgarh .

MandhanGroup comprises of the following companies/ firm with an annual turnover

crossing in the finacial year ended 31st Mar 2009 , taken together . The Group operates from
7 Locations with a team of 180 dedicated staff . A brief profile of the companies / firm and
there businesses are as following ,

Karancity Automobiles Pvt. Ltd., Raipur :

The dealer for Honda siel Cars India Ltd, for Raipur (C.G), is the only dealer for
Honda Cars in Chhattisgarh with an annual sales of 390 Units/Cars in the last finacial year
ended . Very soon Karancity Automobiles Pvt. Ltd , will be starting its new 35 dealership at
Bilaspur.

Ravi Commercials Pvt. Ltd., Raipur:

This Company basically deals in Real Estate, Commercial Leasing and finance
Business in and around Raipur.

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 Sai Automobiles , Bhilai :

Dealer for Bajaj Auto Ltd., for Bhilai District with an annual sales of 4800 Units/
bikes.

Beesons :

Distributor for SONY CAV Products , for entire Chhattisgarh.

fairdeal :

The dealer for SONY CAV Products, with SONY STORES at Raipur and Bilaspur.

Our Values :Team Work , Fairness of deal , Excelllence in Work , Customer

Satisfaction

Group Targets, Customer Satisfaction , Human Resource Satisfaction & Revenues.

Best Workshop Services by latest Up gradations , Online Working & Reporting.Honda
Motorcycle & Scooter India Pvt. Ltd (HMSI) is a fully owned subsidiary of Honda Motor
Company Limited, Japan. Honda is the world's largest manufacturer of two wheelers. Set up
in 1999, it was the fourth Honda automotive venture in India, after Hero Honda, Kinetic
Honda Motor Ltd and Honda Siel Cars India Limited. Headquarters of the company are
located at Gurgaon in Haryana state of India. In December 2002, HMSI got ISO 14001
certification.

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ABOUT THE COMPANY

Honda Motorcycle & Scooter India Pvt. Ltd was founded on August 20, 1999 at
Manesar near Gurgaon in Haryana. The foundation stone for the Honda factory was laid on
December 14, 1999 and the factory was completed in January 2001.

The company initially ventured into scooters as its joint venture agreement with the
Hero Group precluded its entry into the motorcycle segment for five years. The company set
benchmarks in the Indian scooter industry with the launch of its gearless scooter Honda
Activa. Honda Dio, launched after it, was a slightly upgraded and trendier version of Activa.
Honda Eterno was another addition to the repertoire of Honda scooters. First bike launched
by HMSI was Honda Unicorn. It was followed by Honda Shine. All the products launched by
HMSI were runaway hits in the market.

HMSI factory at Manesar is built on 52 acres of land. Its initial production capacity was
100,000 scooters per year, which has now been upgraded to 6,00,000 scooters. The bike
production capacity is 10,00,000 per annum. Initial investment behind the factory was Rs.215
crores and has now grown to 800 crores.

About AM MOBIKES

AM Honda, one of the unit of AM Mobikes is an authorized dealer of Honda

Motorcycles & Scooters in Malappuram and palakkad Dt. It was established in the year -2004
at Angadipuuram near Perinthalmanna as a partnership firm. The Managing Partner,
Mr.Jamsheed KM is the CEO of the firm .As the business grew the establishment also
developed.

Branches of AM Honda

 AM WINGS HONDA palakkad

 AM HONDA Tirur
 AM HONDA Angadippuram
 AM HONDA Kondotty
 AM HONDA Manjeri

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INFRASTRUCTURE

The Head Office is functioning at 2 floored owned building. It has separate sections
for servicing, PDI, showroom etc. Its spacious area for the exclusive display of new bikes
itself attracts customers and it will give a new buying experience to the customers. Service
section has the capacity of servicing more then -50 vehicles per day. The branches are
structured like Head Office.

MISSION

The mission differs from organization to organization. It is designed to work together

for a common aim for the successful performance of the organization not only in the short run
but also for a long run. It identifies the scope of the company’s operations, describes
company’s products, market & technological areas of thrust and reflects the values and
priorities of its strategic decision makers.

According to the Management officials of AM group, their success is their team work
and loyalty to the customers. They are always trying to give 100% satisfaction to the
customers. The mission is clearly defined by them as follows.

“Our mission is not just the art of selling vehicles, but the satisfied customer which we
believe that the best advertisement than everything.”

ORGANISATIONAL OBJECTIVES

 To be dynamic and growth oriented

 To create a distinguished climate within the organization

 To protect the environment.

 To be law abiding and comply with all statutory requirements

 To protect the right of the customers

 To be a front runner in providing match less services.

 To create good employment opportunity

 To protect the right of employees.

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KEY POLICIES

HMSI ENVIRONMENTAL POLICY

Honda has always wanted to pass on the beautiful natural environment to the next
generation, and will continue its environmental conservation activities, meeting the high
goals that it has set independently.

HMSI got ISO 14001 certification in Dec. 2002, which is committed to achieve,
HMSI will establish its environmental management system following PDCA cycle and
continuously work to make it more effective. The policy will be well disseminated to our
employees as well as to the public at large.

Other Environmental activities of Honda Motorcycle & Scooters India Pvt Ltd
(HMSI) are described below:

 Developing Green Vehicles

“At Honda, we are striving towards developing zero-emission in all our vehicles. We
are the first company in Japan to meet the most recent exhaust emission regulations. To
reduce the environmental burden of four-stroke engines, we have developed a unique exhaust
air injection system and a programmed fuel injection (PGM- F1) (PGM-F1) system, which is
currently in use in the HONDA VFR motorcycle. On the other hand, the Giorno Crea, is a
new generation, environment friendly 50cc scooter that is highly fuel-efficient”.

Eco-Friendly Factory.

Honda's production facilities across the world also actively pursue energy-efficient
methods and prevent water pollution by reducing industrial waste. Honda has taken
aggressive initiatives to reduce the environmental impact of its manufacturing operations, by
implementing its concept of the "Green Factory". HMSI too is actively working towards
establishing an environment management system.

 Conserving environment through preventing pollution at its source of generation and

strengthening our existing pollution control system.

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  Promoting conservation of resources such as energy, water, oil and grease and other raw
materials, by reusing, recycling and minimizing the waste generation.
 Complying with all applicable legal/regulatory requirements and strive to go beyond
wherever possible.
 Regular monitoring and reviewing of environmental objectives and targets.

 Increasing environment awareness and competence amongst our employees and

encourage vendors & dealers to adopt EMS.

The "Green Dealer Concept"

Started by Honda is a step further in the direction of conservation of the environment.

The "Green Dealer Concept" would not only help in proper and efficient use of resources
such as water, electricity, paper etc. by constantly monitoring and improving the existing
systems thus doing lots of cost cutting but also reducing the polluting activities to minimum.
Increasing environment awareness amongst the employees and the general public is also
feature of this unique concept.

SAFTEY POLICY

Enhancing safety on the roads is one of Honda's top priorities. They firmly believe
that the realization of a comfortable and an enjoyable mobile society depends on the mutual
trust that automobile manufacturers like them, share with the consumers and society. At
Honda, they use a three prong approach, based on preventing accidents from happening in the
first place, minimizing injury in the unlikely event of an accident and their Driving Safety
Promotion operations.

Honda's safety philosophy emphasizes the development of appropriate technologies

for its products, so as to ultimately achieve maximum riding comfort for its customers. Honda
was the first manufacturer in Japan to develop and apply the anti-lock brake system.
Educating the world, Honda is actively involved with driving education across the world for
promoting traffic safety.

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Honda Training Program

The Honda Riding Trainer is a state-of-the-art, compact, computer driven machine

that puts riders in real life road traffic situations through a wide variety of options. The
Riding Trainer can reproduce various traffic situations that occur on roads, offering the user a
safe way to experience hazardous situations. Further, users can repeatedly play back and view
from various angles the dangers concealed in road traffic and the processes leading to
accidents and hazardous situations, confirming them with their own eyes. The Trainer
therefore allows users to deepen their understanding of safety and functions as an effective
training tool for hazard prediction for all riders from beginners to advanced riders. It also
gives beginners a chance to practice clutching and other motorcycle operations before riding
an actual motorcycle. Till date we have 125 Riding Trainer across India. 

1.2.3 PRODUCTS PROFILE

HONDA CBR 250R

Honda CBR250R was launched in India to cater to growing demand in the entry-level
performance segment. It is one of the most affordable 250cc motorcycles in India and is
applauded for comfortable riding position that would suit most conditions from city traffics to
touring.

The fully-faired onda CBR 250R gets an integrated sporty cowl that adds some style and
enhances its aerodynamic design. It is inspired from its big daddy, the VFR 1200 and looks
very neat and impressive. The Honda CBR 250R is powered by a 249cc single cylinder liquid
cooled fuel injected engine that churns out 26bhp at 8500rpm and 22.9Nm at 7000rpm. This
engine is mated to a 6-speed gearbox with 1 down and 5 up as its gear shift pattern. The
motorcycle gets telescopic at the front and 5-step-adjustable mono shock absorber at the rear
whiHch makes the rides very comfortable.

The CBR 250R is sold in two variants in India – non-ABS and ABS. Both the variants get

15
296mm disc in the front and 220mm disc at the rear. It gets 13 litres fuel tank capacity which
is quite decent for a 250cc motorcycle and has a kerb weight of 167 kg. The motorcycle is
sold in five variants in India, including recently introduced REPSOL edition.

HONDA CBR 150R

Honda has gone very aggressive in the Indian 2-wheeler market. The Japanese
automaker was quick in bringing in the new Honda CBR250R to India, pricing it very
aggressively in the performance motorcycle segment. The company showcased a range of
products at the 2012 Auto Expo, one of which was theHonda CBR150R. The CBR150R is
an entry level sports bike and Honda believes it is a ‘true racing sensation’. We take it for a
quick spin to find out if it really has the CBR DNA in it.

Styling – The Honda CBR150R looks very similar to its elder sibling, the CBR250R. The
styling is quite appealing and the bike looks quite big for a 150cc machine. The VFR1200
inspired Y-shaped headlight has black surrounds around the twin pilot lights, while the
CBR1000RR inspired fairing adorns graphics, which extend to the tank. These minor changes
differentiate it from its elder sibling. Even the tail light of the Honda CBR150R is the same
as the Honda CBR250R, which is a non-LED unit. In fact the only difference between the
150R and 250R is the slightly shorter yet differently shaped exhaust and black colored alloy
wheels in the 150R.

However look closely and you will realize the Honda CBR150R is a more compact
motorcycle. The shorter wheelbase gives it a very sporty stance. The front tyres are 100/80-
17 and the rear tyres are 130/70-17, which are smaller than the ones found on the CBR250R.
The number plate mounting is not at a good position, as the front mudguard hits it when you
go over potholed roads. Honda has also given the CBR150R very different colors, which are
not available on the CBR250R. These colors have a dual paint scheme, giving the baby CBR
a very youthful appearance. The colors are the only difference between Standard and Deluxe
variants of the bike.

HONDA SHINE

The CB Shine is a 125cc commuter motorcycle developed by Honda for the mass
market segment. The Shine caters to a segment of buyers who are ok with understated looks

16
but expect respectable performance and efficiency. This coupled with Honda’s refinement
and reliability makes the Shine a solid all round package.

The CB Shine gets some nice graphics that can be seen running all over the fuel tank. A 3D
Honda emblem on the fuel tank gives it a distinct class and style. The motorcycle gets a
lightweight advanced diamond frame and is powered by 124cc single cylinder air-cooled
engine. The engine churns out 10.12bhp at 7500 rpm and 10.54Nm at 5500 rpm and is mated
to a four speed gearbox with all back (N-1-2-3-4) shift patterns. The CB Shine gets spring
loaded hydraulic suspension at both the front and rear, along with 18-inch wheels. 80/100
tubeless tyres for both the front and the rear are standard on this bike. The CB Shine gets
240mm front disc and 130mm rear drum that provide decent traction under braking. The CB
Shine has a kerb weight of 120kg which is pretty decent for a 125cc motorcycle.

The Honda CB Shine is sold in five colours – Force Silver Metallic, Black, Geny Grey
Metallic, Rebel Red Metallic and Monsoon Grey Metallic. It is available in three different
variants – Self-Disc-Alloy, Kick-Drum-Spoke and Self-Drum-Alloy.

HONDA DREAM YUGA

Honda launched the Dream Yuga motorcycle in 2012. With its launch, the Japanese
manufacturer forayed into the volume segment where most of the manufacturers are trying to
gain as much market share as they can. The Dream Yuga was inspired from the CB Twister
and the CB Shine motorcycles and is extremely reliable (like most of the Honda engines) and
is known for its low cost of ownership. The motorcycle is little bulky unlike the CB Twister
to give it big motorcycle feeling. The Dream Yuga has a very nice ergonomics making the
rider easy to ride in traffic. The bikini front fairing and the graphics on the exterior makes the
motorcycle look attractive.

The Honda Dream Yuga is powered by 109cc single cylinder air-cooled engine which churns
out 8.25bhp at 7500rpm and 8.63Nm of torque. The engine is mated to four-speed constant
mesh gearbox which has all-up gearshift pattern. The motorcycle has telescopic suspension in
the front and 5 step spring loaded suspension at the rear and features 8 litre fuel tank. The

17
company recently updated the motorcycle with a 2013 variant which features the Honda Eco
Technology (HET). With a claimed fuel efficiency of 72kmpl, the motorcycle can travel for
approximately 576kms on a single tank. It gets 18 inch allows wheels and tubeless tyres at
both, front and rear

The Honda Dream Yuga is available in three variants in India – Self start-drum-alloy, Kick
start-drum-spoke and Kick Start-drum-alloy. Its sold in India in five colours – Maple Brown
Metallic, Force Silver Metallic, Monsoon Grey Metallic, Alpha Red Metallic and Black.

HONDA UNICORN

The Honda CB Unicorn is the Japanese automaker’s mid-weight 150cc champion. On sale in
the Indian market since 2005, it is now currently in its fourth avatar as the CB Unicorn. It
carries a similar design as the original bike but now in a sportier avatar.

The bike is powered by a 149cc air cooled engine that produces 13bhp and 12Nm of torque.
It employs a chain drive that has been connected to a five-speed sequential transmission.
Standard features on the CB Unicorn include a front disc brake, mono shock rear suspension,
digital speedo with analogue tachometer, button star alloy wheels and a digital fuel gauge.
.

The Honda CB Unicorn competes with the Bajaj Pulsar 150, Hero Hunk and the Yamaha SZ-
S in the 150cc commuter segment.

HONDA TWISTER

Honda CB Twister was launched in 2010 keeping in growing entry level motorcycle segment
in mind. The segment at which the CB Twister is placed in attracts the maximum number of
sales and volumes. The Japanese manufacturer wanted to give a stylish entry level scooter to
this mass market segment with the CB Twister. The motorcycle has a fresh and sporty design
which makes the motorcycle look young and stylish. The CB Twister gets sporty headlamp,
screen less front cowl and curvy fuel tank that help this machine look aggressive.

The Honda CB Twister is powered by a 109cc air cooled single cylinder engine that
generates 9bhp at 8000rpm and 8.97Nm at 6000rpm. The engine is mated to a four speed
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gearbox with 1-down and 3-up as is gear shift pattern. The CB Twister has 8 litres of fuel
tank capacity and has a kerb weight of 108kg. The CB Twister has telescopic suspension in
the front and spring loaded hydraulic shock absorber at the rear. It gets 17 inch allow wheels
and tubeless tyres at the front and the rear.

The CB Twister is sold in three variants in India, drum brakes with kick start, drum brakes
with electric start and front disc brake with electric start. Four colour options are available for
this motorcycle – Heavy Grey Metallic, Electric Yellow Metallic, Sports Red and Black.

HONDA ACTIVA

The Honda Activa is the highest selling scooter from the Japanese auto maker and has
been a leader in its segment since a long time.

It was launched in 2000 and since then it has gone through few improvements with latest
being the Honda Eco Technology which helps the scooter deliver fuel efficiency of 60kmpl

The scooter is powered by 109cc air-cooled engine that develops 8bhp at 7500rpm and
8.74Nm at 5500rpm. The Honda Activa competes with the Hero Maestro and the TVS Wego.
The Activa is a value for money scooter to buy but the problem comes during the delivery of
the scooter as most of the time, there is a long waiting period.

HONDA DIO

The Honda Dio has been developed keeping in young consumers of India in mind.
The Japanese manufacturer has placed this scooter below the Aviator and the Activa in order
to reach wide range of consumers. The Dio that has a young design is very dynamic and
unisex in nature.

It is powered by a 109cc air-cooled single cylinder that churns out 8bhp at 7000rpm and
8.77Nm at 5500rpm. The Dio gets the Honda Eco Technology (HET) that helps the scooter
deliver fuel efficiency of 60kmpl.

19
The scooter sport the combi-brake system (CBS) with which both front and rear brakes are
applied when the rear brake lever is pressed. It has 18-litres of storage space under the seat
and is equipped with zero-maintenance battery and a viscous air filter that requires
replacement only after 16,000kms.

HONDA AVIATOR

Honda Aviator is the third scooter that Japanese maker offers in India after the Activa
and the Dio. The Aviator with its tallish look and ‘Live your style’ slogan targets is mainly
targeted towards male riders.

Sitting at the top of current Honda scooters line-up in India, the Aviators gets the same
engine that powers the Dio and the Activa. The 109cc single cylinder air-cooled engine
churns out 8bhp at 7000rpm and maximum torque at 8.77Nm at 5500rpm. The scooter gets
the V-Matic transmission and can be started using kick start as well as self-start option. With
the recently updated Honda Eco Technology (HET) the scooter has company claimed
efficiency of 60kmpl.

The Aviator is sold in two variants in India, STD and DLX. The only difference between the
two is that the STD version gets drum brakes, whereas for the DLX variant gets a front disc
with Combined Braking System (CBS).

The Aviator is sold in two variants in India, STD and DLX. The only difference between the
two are that the STD version gets drum brakes, both at the front and the rear whereas for the
DLX variant, the scooter gets a front disc with Combined Braking System (CBS) which is a
good safety feature to have.

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 2. MAIN THEME OF THE PROJECT

2.1 Need for the Project

The researcher aims at finding ways of improving customer satisfaction of AM wings

Honda. In this case the actual vehicles are very much aware of AM wings Honda and other
dealers of Honda two wheelers in the market therefore the firm which want to improve its
performance to make the customer satisfaction

2.2 Review of Literature

The literature pertaining to relationships among customer satisfaction, customer

loyalty, and profitability can be divided into two groups. The first, service management
literature, proposes that customer satisfaction influences customer loyalty, which in turn
affects profitability. Proponents of this theory include researchers such as Anderson and
Fornell (1994); Gummesson (1993); Heskett et al.(1990); Heskett et al. (1994); Reicheld and
Sasser (1990); Rust, et al. (1995); Schneider and Bowen (1995); Storbacka et al. (1994); and
Zeithaml et al. (1990). These researchers discuss the links between satisfaction, loyalty, and
profitability. Statistically-driven examination of these links has been initiated by Nelson et
al. (1992), who demonstrated the relationship of customer satisfaction to profitability among
hospitals, and Rust and Zahorik (1991), who examine the relationship of customer
satisfaction to customer retention in retail banking. The Bank Administration Institute has
also explored these ideas, in particular Roth and van der Velde (1990, 1991)

The service management literature argues that customer satisfaction is the result of a
customer’s perception of the value received in a transaction or relationship - where value
equals perceived service quality relative to price and customer acquisition costs (see
Blanchard and Galloway, 1994; Heskett et al., 1990) - relative to the value expected from
transactions or relationships with competing vendors (Zeithaml et al., 1990). Loyalty
behaviours, including relationship continuance, increased scale or scope of relationship, and
recommendation (word of mouth advertising) result from customers’ beliefs that the quantity
of value received from one supplier is greater than that available from other suppliers.
Loyalty, in one or more of the forms noted above, creates increased profit through enhanced
revenues, reduced costs to acquire customers, lower customer-price sensitivity, and decreased

21
costs to serve customers familiar with a firm’s service delivery system (see Reicheld and
Sesser, 1990).

The second relevant literature is found in the marketing domain. It discusses the
impact of customer satisfaction on customer loyalty. Yi’s “Critical review of customer
satisfaction” (1990) concludes, “Many studies found that customer satisfaction influences
purchase intentions as well as post-purchase attitude” (p. 104).

The marketing literature suggests that customer loyalty can be defined in two distinct
ways (Jacoby and Kyner, 1973). The first defines loyalty as an attitude. Different feelings
create an individual’s overall attachment to a product, service, or organization (see Fornier,
1994). These feelings define the individual’s (purely cognitive) degree of loyalty.

The second definition of loyalty is behavioural. Examples of loyalty behaviour

include continuing to purchase services from the same supplier, increasing the scale and or
scope of a relationship, or the act of recommendation (Yi, 1990). The behavioural view of
loyalty is similar to loyalty as defined in the service management literature. This study
examines behavioural, rather than attitudinal, loyalty (such as intent to repurchase). This
approach is intended, first, to include behavioural loyalty in the conceptualization of
customer loyalty that has been linked to customer satisfaction, and second, to make the
demonstrated satisfaction/loyalty relationship immediately accessible to managers interested
in customer behaviours linked to firm performance.

Both the service management and the marketing literatures suggest that there is a
strong theoretical underpinning for an empirical exploration of the linkages among customer
satisfaction, customer loyalty, and profitability. The relatively small quantity of empirical
research performed on these relationships to date (Storbacka et al., 1994) is probably the
result of the paucity of organizations’ measuring “soft” issues, as customer satisfaction in
meaningful ways.

22
2.3 OBJECTIVES OF THE STUDY

1)To find out the customers satisfaction of Honda two wheelers

2) To find out the factors that influence on customers, when they purchasing Honda

3) To find out the expectation of the customers

4) To help service provider of Honda to find out the satisfaction of customers with
respect to after sales service provided by AM Wings Honda

2.4 RESEARCH METHODOLOGY

Research methodology is a systematical way to solve the research problem.

In this we studied various steps that are generally adopted by a researcher in studying
his research problem along with the logic behind them.

2.4.1 RESEARCH DESIGN

The project is based on descriptive research design.

2.42 SAMPLE DESIGN

Sample Unit : The population involved in this project is the customers from the
palakkad district.

SAMPLE SIZE

This refers to number of items to be selected from universe to constitute a sample. In

this research sample size consist of 250 customers.

SAMPLING TECHNIQUE

Convenient sampling technique has been used for the study.

2.4.3 DATA COLLECTION METHOD

Both primary and secondary data has been used to satisfy the objectives of the study.

23
PRIMARY DATA

The study is mainly based on primary data collected through a personal interviews from
the existing respondents own Honda two wheeler.

SECONDARY DATA

The data regarding company profile, industry profile etc has been collected from the by
laws of organization, office records and also information available on the web.

2.4.4 STASTACAL TOOLS USED

For analysis and interpretation of primary data, percentage analysis is used mainly due
to qualitative nature of data Bar diagrams and pie charts are used to represent them in
pictorial form.

Percentage Analysis

The collected data was analyzed by using percentage analysis method . percentage was
calculated by taking the number of respondents for a particular parameter against the
total number of respondents. The answers for questions asked in the questionnaire were
tabulated and analyzed using simple percentage

Weighted average analysis

Another tool used in this study is weighted average method for analyzing the rating and
ranking scales. It is know that a mean is considered to be the most represented figure for the
entire mass of data. This means for more realistic average is calculated by considering the
weighted average for the same.

Weighted average = sum of the frequency times the column weight

Response count

24
2.4.5 SCOPE OF THE STUDY

The study focuses on customer satisfaction towards the Honda two wheelers It
includes availability level of products , quality of the products , customer’s expectations
towards the products and problems faced by customers if any at Honda.

Customer satisfaction is a feeling of pleasure or disappointment resulting from

comparing a product’s perceived performance or outcome in relation to his or her
expectations. So, satisfaction is a function of perceived performance and expectations. If the
performance falls short of expectation, the customer is dissatisfied. If the performance
matches the expectations, the customer is satisfied. If the performance exceeds expectation,
the customer is highly satisfied or delighted.

When viewing the industrial sector we can see that all the corporate houses focusing on
retaining the customers without compromising on organizational objectives, ethics and
values. Customers are individuals and the organizations have to make each and every
customer feel that they are highly compassionate to them. Hence Customer Relationship
Management is having a wide scope in modern world.

2.4.6 LIMITATIONS OF THE STUDY.

 The study was restricted only to Palakkad District area.

 Many of the respondents have not given proper response
 The information that is provided by the individual may be biased
 Respondents were reluctant to disclose complete and correct information

25
4.0 Data Analysis and Interpretations

26
Table 2.5.1 Age of the respondent

Particulars No of respondents % of respondents

18-20 45 18
20-30 91 36.4
31-40 61 24.4
41-50 38 15.2
50 & above 15 6

Interpretation:
The table shows that 18% of the respondents are 18- 20 age group,36% of the respondents
belongs to 20–30 age group,24% of the respondents are 31-40 age group, 15% of the
respondents are 41- 50 age group and 6% of the respondents 50 & above age group.

27
Q1) To which age group do you belong?

Age group No of respondents Percentage

18-25 37 61.67%

26-35 18 30%

36-45 3 5%

46 and above 2 3.33%

Total 60 100

Percentage

30%
18-25
62% 26-35
36-45
46 and above

5%
3%

It shows the age wise classification of all respondents i.e 61.67% are between 18-25,

30% are between 26-35,

5% are between 36-45 and 3.33% are above 45 years of age

28
Q2) what is your occupation?

Occupation No of respondents Percentage

Students 31 51.67%

Business men 13 21.67%

Professionals 1 1.67%

Working professionals 5 8.33%

Employees 8 13.33

Others b 2 3.33

Total 60 100%

Percentage

13% 3%

8% students
bussiness men
professionals
2% 52% working professionals
employees
others

22%

29
It reveals the occupation of wise classification of all respondents.

With 52% being students, 22% belong to business class, 13% are employees, 8% working
professionals, 3% others

Q3).what is your monthly income?

Monthly income No of respondents Percentage

Less than 5000 4 6.67%

5000-10000 14 23.33%

10000-15000 20 33.33%

Above 15000 22 36.67%

Total 60 100%

Percentage
7%

less than 5000

37% 23% 5001-10000
10001-15000
above 15000

33%

It reveals the monthly income of all the respondents those owing and not owing a two-
wheeler.

30
With 37% earning above 15000, 33% earn between 10000-15000,

23% have monthly income between 5000-10000 and 7 % earn less than 5000

Q4) How do you come to know about the Hondas?

Medium No. of respondents Percentage

Television 10 16.67%

Newspaper 10 16.67%

Family 12 20%

Friends 20 33.33%

Dealers 8 13.33%

Total 60 100%

31
 25

20

15 existing users
friends
print
10 20 newspaper
television
12
5 10 10
8

0
television newspaper family friends dealers

It reveals the main source of information to purchase Honda two-wheelers

33% came to know from their friends,

20% from their family,

16% read it in the newspapers, and 16% saw the adv on television while 13% came to know
about the product from the dealers

Q5) which one product of Honda you like the most?

Product No of respondents Percentage

Not any 2 3.33%

Bikes 17 28.33%

Scooty 41 68.33%

total 60 100

32
 45

40

35

30
scooty
25 41 bikes
20 not any

15
17
10

5 2
0
not any bikes scooty

It reveals the interest of respondents in two main categories of honda’s two wheelers

With 68% showing their liking in scooties

While the remaining 28% liked bikes

And 3% can’t decide

Q6) What do you feel about the quality of the Honda’s products?

Opinion No of respondents Percentage

Very poor 0 0%

Poor 0 0%

Average 5 8.33%

33
 Good 30 50%

Excellent 25 41.67%

Total 60 100%

35

30

25

20 excellent
good
average
15 30 poor
25 very poor
10

5
5
0
very poor poor average good excellent

It reveals how the Honda users rate the overall quality of their product

25% rate the quality as excellent

50% rating the quality as good, 8% are rating the quality as average and no one could find the
quality of their two-wheeler poor or very poor

Q7) How much you are willing to spend on Honda’s two-wheelers?

Amount No of respondents percentage

Upto 70,000 38 63.33%

34
 10,000 to 1,50,000 15 25%

1,50,000 and above 7 11.66%

Total 60 100%

40

35

30

25
1,50,000 and above
38
20 1,00,000 to 1,50,000
upto 70,000
15

10 15

5 7

0
upto 70,000 1,00,000 to 1,50,000 1,50,000 and above

It reveals the overall expenditure of the Honda two-wheelers users

With 63% are willing the spend upto 70000

25% would spend between 100000 to 150000

And 12% will spend above 150000

Q8) How much comfortable you feel while driving Honda’s two-wheelers?
Opinion No of respondents Percentage

uncomfortable 3 5%

35
 Comfortable 34 56.66%

Highly comfortable 23 38.33

total 60 100%

percentage
5%

38% uncomfortable
comfortable
highly comfortable

57%

It reveals the comfort levels of riders

57% feel riding the two-wheeler is comfortable

38% rate the riding experience as highly comfortable

And 5% find it uncomfortable

Q9) Does Diamond Honda’s provide you with test ride services?

Opinion No of respondents Percentage

36
 No 15 25%

Can’t say 8 13.33%

Yes 37 61.66%

Total 60 100%

percentage

25%

no
can't say
yes

62% 13%

It reveals the test ride services provided by the Diamonds Honda

With 62% of the respondents being aware

25% denying any such service exists, while 13% are not sure if they opt for a test ride service

Q10) Have you been provided, the after sale services from Diamond’s Honda?
Opinion No of respondents Percentage

37
 No 5 8.33%

Can’t say 0 0%

Yes 55 91.66

Total 60 100%

percentage
8%

no
can't say
yes

92%

It reveals the after sale services provided by the Diamonds Honda

92% respondents have been provided with the after sale services

And 8% said no

11) Are you satisfied with customer care services?

38
 Opinion No of respondents Percentage

Dissatisfied 11 18.33%

Partially satisfied 31 51.66%

Satisfied 18 30%

Total 60 100%

percentage

18%

30%
dissatisfied
partially satisfied
satisfied

52%

It reveals the satisfaction level towards the customer care services at Diamond Honda’s

30% of the respondents seem satisfied with the customer care services

52% of the respondents are partially satisfied

And remaining 18% seem somewhat unsatisfied

Q12) What would you like to rate the Honda’s in comparison with Hero, Bajaj,
Yamaha, TVS etc?
39
 Opinion No of respondents Percentage

Very poor 0 0%

Poor 0 0%

Average 5 8.33%

Good 30 50%

Excellent 25 41.67%

Total 60 100%

35

30

25

20 excellent
good
15 30 average
25 poor
10 very poor

5
5
0
very poor poor average good excellent

It reveals the overall comparison of Honda’s with other competitors as narrated by the current
users

42% rated the Honda’s excellent, 50% rated with good,

And 8% found with average when asked to compare

Q13) Did the current product give you enough reason to say with it?

40
 Opinion No of respondents Percentage

No 9 15%

Can’t say 3 5%

Yes 48 80%

Total 60 100%

percentage

15%

5%
no
can't say
yes

80%

It reveals the satisfaction of the respondents towards their current two-wheeler

As 80% seemed satisfied and would stay with their product

While 15% are looking for a change and rest 5% can’t decide and need more time.

Q14) Would you recommend others to purchase the Honda products from
Diamond Honda’s?

41
 Opinion No of respondents Percentage

No 8 13.33%

Maybe 15 25%

Yes 37 61.66%

Total 60 100%

percentage

13%

no
maybe
yes
25%

62%

It reveals the no of respondents willing to recommend Honda’s to others

When asked 62% of the respondents said yes

And 13% said no while the remaining 25% could not decide

Q15).Are you satisfied with the after sale service done in Diamond’s Honda?

42
 Opinion No of respondents percentage

No 9 15%
Can’t say 6 10%

Yes 45 75%
Total 60 100%

percentage

15%

10% no
can't say
yes

75%

It reveals the customer satisfaction towards the services provided by the Diamond Honda’s

With 75% satisfied customers

And 10% unsatisfied ones also 15% of the respondents are not still sure

43
 3. FINDINGS, SUGGESTIONS AND CONCLUSION

3.1 FINDINGS

 36% of the respondents are the age group of 20 to 30

 Majority(85%) of respondents are male

 32% of the respondents occupation is business.

 Majority of the respondents are owed UNICORN and ACTIVA

 36% of the respondents are using Honda two wheeler for a period between 1-3 years.

 27% of the respondents are using Honda two wheeler for below 1 year.

 Mileage is most influencing factor in purchasing diction

 The mean value of rating scale is 4.6, it shows that the customers Highly Influenced
product, service centre & spare part for purchasing

 74 % of respondents have satisfied with Honda two wheelers

 The mean value of rating scale is 4.1, it shows that the customers satisfied with
service provided by AM wings Honda

 83% of respondents willingness to recommend Honda two wheeler

 29% respondents select hero next best choice other than Honda

 32% of respondents come to know about the product from advertisement and
friends .

 38% of respondents are had the problem of long waiting period for delivering Honda
two wheeler .

 The mean value of rating scale is 3, it shows that the customers satisfied with mileage
of Honda two wheeler

 42% of respondents are believe Honda’s service charges are costly

 29% of respondents looking after sale service for selecting a dealer

44
3.2 SUGGESTINS

1. The company shall give more attention to the mileage as it is the most preferred
feature of the bike
2. More attention can be paid to the after sales service provided to the customer as
most of the customers are influenced it.

3. More care should be exercised on advertising.

4. The delivery waiting period should be reduced to increase more customer

satisfaction.

5. Ensure satisfaction of all the customers

6. Implementation of effective sales promotion tools.

7. Give more attention to the feedback from the customers.

8. Clarity in answering should be improved

9. Give training to staffs for better service to customers.

10. All the problems facing while using Honda two wheelers has to be avoided.

11. Service charges should be affordable by all the customers

45
 CONCLUSION

It has been undoubtedly proven that retaining customers is the only way to succeed
in business. The study on the customers satisfaction of Honda two wheelers among the
customers within the palakkad district was conducted in the Am wings honda, a well
known dealer in the palakkad and malappuram districts. The study tries to reveal the
factors responsible for preferring a particular brand. The sample was collected from the
customers who owned the Honda two wheeler and to know about the satisfaction level
of the Honda two wheelers. The study tries to identify the extent of influence of various
informational sources in customer satisfaction .|In this study most of the respondents
are having a good opinion about the Honda two wheelers and the findings and
suggestions of this study will support the company in an effective and better way.

46
BIBLIOGRAPHY

47
Books:

Principles of marketing: KOTLER ARMSTRONG.

Marketing Management: PHILIP KOTLER.

(Analysis, Planning Implementation and Control)

Services Marketing : TATA Mc GRAW HILL.

Marketing Research : G.C.BERI.

Research Methodology: KOTHARI. C.R.

Websites:

http://www.jdpower.co.jp

www.bus.umich.edu

http://www.asq.org

48
QUESTIONNAIRE

49
1. Age group

a) 20-30 b) 30-40 c) 40-50 d) Above 50

2. Occupation?

a) Employee b) business c) NRI d) others

4.which feature is the best one in Honda car?

a) price b) style c) mileage d) quality e) mileage&quality

e) mileage & style

1. How do you feel when you drive Honda car?

a) Good B) better c) best d) Poor
6. Are you satisfied with your vehicle mileage?

a) Yes b) No

7. will you recommend Honda product to anybody?

a) Yes b) No

1. what do you think about Honda’s customer service?

a) Excellent b) Good c) Better d) Poor

50
9. How do you feel about company’s response towards customers?

a) Excellent b) Good c) Better d) Poor

10. did you receive the product on delivery time?

a) Yes b) No

11. are you satisfied company’s after sales service?

a) Satisfied b) not satisfied

12. How do you feel the experience at the showroom?

a) Satisfied b) not satisfied

13. were you offered test drive?

a) Yes b) No

14. Are you satisfy with their usage of the car?

a) fully satisfied b) just satisfied c) not satisfied

15. Please give your comments/suggestions to enable us to improve satisfaction

of customers at this Honda authorized showroom.

51