CHAPTER 1
INTRODUCTION
1.1 INTRODUCION
Electronics goods are becoming a basic need rather than a luxury. There is a rapid growth witnessed by the
companies producing electronic goods since the last decade. The manufacturers have brought out numerous
models of superior technology. Several electronic goods are available in the market today with different
features. Therefore, consumers have a wide choice of electronic goods. Before the liberalization of the Indian
economy, only a few companies' durable market. After the Liberalization foreign players like Samsung, LG,
Sony, whirlpool and AAIWA came onto the picture. Today these players have the major share of the consumer
durable market. People are now living in the age of electronics.Using electronics today is so much a part of their
daily lives, they can hardly think of the way the world would be without electronics. Everything from cooking
to music uses electronics or electronic components in some way or other. A car has many electronic
components, as does the cooking stove laptop and cell phone. It is hard to find an electrical item in people's
home that does not have electronics parts with it in some way.
Millions of people in the world every day depend on the television set for news and entertainment. Consumer
preference is a general term applied to all faces of marketing products and services. This is not to be confused
with the more specific term brand preference, which relates to consumer preferring one brand over competing
brands. If one brand is unavailable, the consumer will likely choose another brand to fill the gap.
Consumers today are far too astute to purchase their needs in a variety of ways. However, before purchasing
their requirements, they research product performance and price on various online sites and social media
platforms. While surfing this information, they will be able to assess its true value and cost advantages, as
online businesses do not have to pay for a showroom or staff. Consumers do not need to go from store to store
to evaluate the product's performance and price. Moving from one location to another is a tedious and time-
consuming process. It's also difficult to know whether or not the models they need are available. Furthermore,
consumers can view upcoming new models on the manufacturer's website, whereas showrooms may not be able
to provide this information.
Customer satisfaction is a crucial aspect of any business organization, as it plays a pivotal role in its success. It
is a measure of how well a company's products, services, and overall customer experience meet customer
expectations. High customer satisfaction leads to greater customer retention, higher lifetime value, and a
stronger brand reputation. Conversely, low customer satisfaction scores can reveal customer pain points and
provide data-backed insights on how to improve your product, service, and overall customer experience.
A study on customer satisfaction can help businesses understand the level of satisfaction of their customers in
terms of their product, service, place, and price. This information can be used to identify areas of improvement
and to develop strategies to enhance customer satisfaction. For instance, a study on customer satisfaction can
help a restaurant owner understand the level of customer satisfaction in terms of their product, service, place,
and price. This information can be used to improve the quality of food, service, and ambiance, and to set
competitive prices.
In conclusion, the significance of the study of customer satisfaction lies in its ability to provide valuable insights
into customer preferences and opinions, which can be used to improve the quality of products and services,
enhance customer satisfaction, and ultimately drive business growth.
1.2 REVIEW OF LITERATURE
The following reviews are made based on the past studies in this area
• Research Business Analysis Model (2013) This research paper provided insights into the firm’s business
model and gave an analysis of its strength and weakness. It provides information using the quantitative analysis
technique and presented data on the sources of revenue generation of the company.
• Marketing Research on Samsung mobile phones, (2020) This research paper dealt with the marketing
strategy that Samsung uses to make its mobile phones more publicfriendly. It also provided information about
the promotion and distribution of ideas, goods, and services for satisfying the individual’s needs and achieving
the organization’s objectives.
• Case Study of Samsung Electronics-2020 by University of Central Lancashire This research paper
provides a SWOT analysis concerning Samsung and insights on what the company amend in its policy and
business model that would help the company to expand even further.
• Sustainability Report, 2020 This report deals with the CSR activities that the company engages in as a part of
its marketing strategy.
• Samsung Innovation and Development This paper deals with the future innovations of Samsung and how it
can make the most of 5G era.
• Preeti Mehra (2011) In her article noted the UN report information’s (The progress of the World Women –
2011 – 2012). She said that the maximum 60 per cent of the women in India have no say in simple decision
making in the rural family, but working women have distinct advantage over non working or unpaid working
women decision making for purchasing of consumer durable goods.
• Ministry of Commerce (2011) Released the data that the sales of home appliances in rural China rose 128
percent during the first four months, boosted by a nationwide subsidy program for Chinese rural consumers. The
sales value of home appliances covered by the rural subsidy program reached 94.43 billion yuan (14.3 billion U
S. dollars) from January to April, according to a statement on the MOC during this period, the sales of home
appliances in the countryside reached 39.515 million units, an increase of 91 percent from one year ago.
• Lu Yongxi (2010) Has pointed out in his report that, Indian markets are ready to accept white goods even the
price are changing at the global level. But is very difficult to compare with the international market. He also said
that Indian rural consumers are also eager to buy goods for their self satisfaction.
• According to Zairi (2000) The feeling of pleasure and expectation fulfilment is known as satisfaction. If the
product cannot satisfy customer feelings they will be dissatisfied, and if product satisfies them after the use
customer will be satisfied and become loyal to that product or brand. In other words customer satisfaction is
about those goods or services which fulfill the customer's expectation in terms of quality and service for which
he has paid. If customer satisfaction develops they will become loyal to that product or brand and their loyalty
will be good for the company in sense as a profit. Customer satisfaction is the part of marketing and play
important role in the market. In any organization satisfaction of customer is more important, because if your
customer is satisfied with your services or products, your position will be good in the market.
• Oliver (1981) Describes in his study that customer is the part of marketing and play important role in the
market. In any organization satisfaction of customer is more important, because if your customer is satisfied
with your services or products, your position will be good in the market. In old times customer satisfaction was
not too much important and people were not focused on quality. But nowadays competition is taught and
customer is aware of all the products and companies due to education and learning environment and this is the
reason that every business is concern to fulfill properly customers need and wants.
• Churcill (1982) Customer satisfaction has overall reaction of expectation of consumption with a product or
services on the base of perception, evaluation and psychological reaction. According to kottler (2000)
Satisfaction is the sum of attributes of product or service.
• Das Prasun, 2009 Literature on customer satisfaction is voluminous and spans several areas such as
marketing, management and accounting. For example, numerous papers use the ACSI (American Customer
Satisfaction Index) to study customer satisfaction at the company, industry and macroeconomic levels. This
paper focuses only on customer satisfaction studies that are related to retailing and does not survey the literature
that studies the design of satisfaction survey instruments, as there is no control over survey design. The basic
tenet of this research stream is that higher service quality improves customer satisfaction, resulting in better
financial performance, Although the mechanisms by which this improvement happens vary.
• Ittner and Larcker (1998) Provide empirical evidence at the customer, business-unit and firm level that
various measures of financial performance ( including revenue, revenue change, margins, return on sales,
market value of equity and current earnings) are positively associated with customer satisfaction. However, in
the retail industry they find a negative relationship between satisfaction and profitability which may be because
benefits from increase to satisfaction can be exceeded by the incremental cost in retai
1.3 SIGNIFICANCE OF THE STUDY
In earlier days telecommunication field had many obstacles. The number of mobile cellular phone users are
increasing day to day in India. Companies make aggressive marketing, advertising and promotional efforts
which compel other manufacturers to focus on their marketing efforts as well. These companies resort to price
reductions, new function additions, value addition and focus advertising and promotional campaigns.Customer
satisfaction is essentially a judgement levied by the customer after the service has been procured and consumed.
It is basically a customer’s “fulfilment” response .Customer satisfaction refers to the emotional response that
people feel after making a purchase from a company .The more positive the level of customer satisfaction ,the
more likely the purchaser is to come back and buy again and to recommend that company to others who are
looking for what the seller has to offer.
Satisfaction of buyer depends on the product or service performance in relation to buyers' expectations. In
general, satisfaction is a person's feelings of pleasure or disappointment, resulting from comparing products
perceived performance in relation to his or her expectations. If the performance falls short of expectations, the
customer is dissatisfied. If the performance matches the expectations, the customer is satisfied. If the
performance exceeds expectations, the customer is highly satisfied.
• To determine the awareness of Brand Awareness of LG Electronics
• To get ideas for improvement from customers
• To know the attitude of the customers about Brand Awareness of LG Electronics
• To spares & services from authorized dealers
1.4 STATEMENT OF THE PROBLEM
Electronics, considered an essential part of modern life. Now in the present century, new technologies
introduces new brand of electronic items every day the new arrival of electronic items has made the companies
constantly engaged in gaining the attention of the customers like price, offers etc., The Customer satisfaction
towards selective LG brand products has been made by the researcher in Trivandrum city for studying the
necessity of customer needs and their satisfaction.
After sales service refers to various processes which make sure customers are satisfied with the products and
services of the organization after they are bought. The needs and demands of the customers must be fulfilled by
the company for positive feedback. In this scenario, the post sales service provided by Two-Wheelers should be
satisfactory so that customers get a good post sales experience and spread positive feedback.
1.5 OBJECTIVES OF THE STUDY
1.5.1 PRIMARY OBJECTIVES
The primary objective of the study is to analyze the market share and understand the distribution channel
relationship with reference to SAMSUNG ELECTRONICS INDIA PVT LTD
The objective of this research is to understand the sales and distribution mechanism of LG electronics (more
particularly refrigerator as the product category) and perform a field study to understand the management
principles of the distribution channel as well as the field force. We have preferred Godrej as the competive of
LG and have compared both with respect to their financial aspects. The report will reflect our study at the
retailer sub-dealer level as well as give an approximate du at distributor level.
1.5.2 SECONDARY OBJECTIVES
• To find out the counter share of SAMSUNG LCD TV
• To find out the counter size of the dealer as well as the different beands kept by different dealers.
• To recognize who are the major players of LCD TV's
• To find out which is the largest selling model among all the segments?
• To know whether the dealer is aware of the current pricelist.
• To find out whether the dealer is having brochure of the product.
• To know what benefits a dealer wants so that he is satisfied in selling the products.
• To study the popularity of Samsung mobile phones among different customers.
• To examine the profile of the Samsung mobile communication facilities in the study area.
• To know about innovative technologies in Samsung mobile phones.
• To know about important competitors.
• To understand the demographic profile of the respondents.
• To analyze respondents' opinion regarding after sales service. 3. To analyze customer satisfaction with
after-sales services.
1.6 METHODOLOGY
Method of Study
The study is descriptive and analytical in nature.
Data Source
Both Secondary Data and Primary Data have been used for this study.
Secondary Data
The secondary data for the study is collected basically from Journals, Books, Newspapers, Papers
presentations and Websites.
Primary Data
Primary data for the study have been collected from the people in Trivandrum.
Sampling Technique
Purposive Sampling Technique is used for the study.
Selection of Respondents
A total of 50 respondents are selected by using Purposive Sampling Technique from the people in
Trivandrum. Those public who are using social media for the last two years purposively and selected for the
study
Tools for Data Collection
Primary Data for the study is collected by using an Interview Schedule specifically developed for this
purpose.
Tools or Analysis of Data
For analysis and interpretation of data, simple mathematical and statistical tools like percentages, tabulation
and figures are used.
Period of Study
The study has been undertaken for a period of six months.
1.7 SCOPE OF THE STUDY
Electrical goods are those goods which already exist on the market. Because without it, it is not possible that
anybody can survive with his/her life. We define the scope of Trivandrum region. Scope is a very broad term.
The customers purchase the electrical appliances through market, exhibition, and showroom for fulfillment of
needs.
This report analyzes the markets for Electric Household Appliances in Thousand Units by the following
Segments: Major Electric Household Appliances (Compactors, Dishwashers, Disposers, Dryers, Freezers.
Microwave Ovens, Range Hoods, Electric Ranges, Refrigerators, Vacuum Cleaners, Washing Machines, Water
Heater (Electric), Room ACs, & Other Major Electric Household Appliances), and Small Electric Household
Appliances (Blenders, Bread Makers, Broilers, Can Openers (electric), Coffee Makers, Electric Knives, Food
Choppers, Food Processors, Irons. Mixers. Toaster Ovens, Toasters, Waffle Irons. & Miscellaneous Small
Electric Household Appliances). The report provides separate comprehensive analytics for Trivandrum.
This report has been prepared in Trivandrum region with the help of the owner and customer. It defines the
marketing strategy (product, price, place, promotion) of LG with Samsung.
1.8 LIMITATIONS OF THE STUDY
• Time is limited, so that detailed study cannot conducted.
• Personal bias is arised.
• Limited sample, only 50 samples are used.
• Inexperience in conducting research.
• Respondents did not respond clearly.
• The subjective nature of the study may affect its interpretation by different individuals.
• Regional differences, area differences may change the scope of study also.
• At different places, different implementations of applied CRM (consumer relationship management) can
be seen.
• The information given over the Internet and other sources may be different from the practical
experiences of the customers.
1.9 REFERENCES
Books
1. Philip Kotler. Marketing Management (11 Edition) Peason Education, New Delhi. (Page no. 58]
2. Nargundkar Rajendra (2005), Marketing Research, Tata McGraw-Hill, New Delhi,
3. Donald R. Copper Pamela S. Schinler Business Research Methods 8th Edition McGraw-Hill, New
Delhi, [Page no. 64, 65, 81,146,663)
4. Richard M. Hill, Ralph S. Alexander, James S. Crisis, Industrial Marketing (4th Edition) Publication
AITBS. [page no 1881
5. Thompson Strickland, Strategic Mgt. Concepts & Cases (12th Edition) [Page no. 143-144]
6. Thomas L. Wheelen, David Hunger, Kish Rangarajan Strategic Mgr. & Business Policy Publication
Pearson Education page no 86
7. Research Business Analysis Model (2013) This research paper provided insights into the firm’s business
model and gave an analysis of its strength and weakness.
8. Marketing Research on Samsung mobile phones, (2020)
9. Case Study of Samsung Electronics-2020 by University of Central Lancashire This research paper
provides a SWOT analysis concerning Samsung.
10. Preeti Mehra (2011) In her article noted the UN report information’s (The progress of the World Women
– 2011 – 2012)
11. Das Prasun, 2009 Literature on customer satisfaction is voluminous and spans several areas such as
marketing, management and accounting.
12. Samsung Innovation and Development This paper deals with the future innovations of Samsung and
how it can make the most of 5G era
Website
• https://dictionary.cambridge.org/dictionary/english/after-sales
• https://asq.org/quality-resources/customer-satisfaction
