MASTER OF BUSINESS ADMINISTRATION

SESSION

(2017-19)

MINOR RESEARCH PROJECT

ON

“CONSUMER BUYING BEHAVIOUR ON FOUR WHEELER INDUSTRY”

GUIDED BY: SUBMITTED BY

Guide Name: Professor NAGADEEPA Student Name: PATAN MANSOOR

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TITLE PAGE:-CONSUMER BUYING BEHAVIOUR ON FOUR WHEELER
INDUSTRY

STUDENT NAME:-PATAN MANSOOR

REG.NO:-GCU0117MBAD1228
SEMESTER:-ii SEMSETER MBA
PROGRAMME:-MASTER OF BUSINESS ADMINISTRATION
(DUAL SPECIALISATION)
UNIVERSITY NAME:-GARDEN CITY UNIVERSITY
UNIVERSITY EMAIL:-patan171228@gcu.ac.in
PROJECT GUIDE:- DR. C NAGADEEPA
DESIGNATION:- PROFFESSOR
UNIVERSITY NAME:-GARDEN CITY UNIVERSITY
OFFICIAL EMAIL: nagadeepa.c@gardencity.university

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 TABLE OF CONTENT
PAGE
CONTENT NO
Abstract 4
Introduction 4-5
Objectives of the study 6
Literature review 6
Research methodology 7
Body 7-8
Findings 8-9
Conclusion 9-10
Reference 11

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ABSTRACT:-

In Present Marketing Scenario, the Study of Consumer Behaviour has become essential. Consumers are the
kings of markets. Without consumers no business organization can run. All the activities of the business
concerns end with consumers and consumer satisfaction. Customer behaviour study is based on consumer
buying behaviour, with the customer playing the three distinct roles of user, payer and buyer. Consumer
buying behaviour has become an integral part of strategic market planning. In order to develop a framework
for the study consumer behaviour it is helpful to begin by considering the evolution of the field of consumer
research and the different paradigms of thought that have influenced the discipline. Consumer behaviour
involves the psychological processes that consumers go through in recognizing needs, finding ways to solve
these needs, making purchase decisions, interpret information, make plans, and implement these plans.
Consumers often buy products not because of their attributes per se but rather because of the ultimate
benefits that these attributes provide, in turn leading to the satisfaction of ultimate values. A market comes
into existence because it fulfils the needs of the consumer. Consumer behaviour is a complex, dynamic,
multidimensional process, and all marketing decisions are based on assumptions about consumer behaviour.
Models of consumer behaviour play a key role in modern empirical Industrial Organization.

INTRODUCTION

Individual thoughts in general are very hard to anticipate at the time of choice or decision making.
Occasionally it may get easier and sometimes difficult to simplify about human behaviour. Predicting the
behaviour of people is a very complex task because it loaded with lots of doubts possibilities and surprises.
Correct estimation or prediction can gives you good returns but incorrect predictions can results in the loss
of business. In Today’s scenario consumer is the king of the market at globally. By studying the perception
and behaviour of consumer it helps the dealer & manufacture to know how to make changes in existing
items or product which types of items are required/demanded in the market & how to draw buyer’s
interest to purchase their items.

India is an upcoming market for world auto-giants. As make in India concept initiated and due to low work
cost numerous multinational companies are capitalizing their business in India market as automobile
industry grows very quickly from the middle era of liberalization from 1990’s. India is one of the biggest
democratic countries in the word where its own automobile sector has having huge demands. This demand
also invites the other giant automobile manufacturers across world to come and invest in Indian car industry.
Two important characteristics about cars help us to make better understanding of automobile industry in our
county. First, 4 wheels are durable products, we generally buy a car with the expectation of keeping it for an
extensive period of time; even, we can also purchase a utilized or a new car, since it is an industry with a
well-developed secondary market.

In today’s competitive market car manufacturers can authenticate their presence only if they can able to
recognize buyer’s needs, requirements and also able to satisfy them. Contemporary marketing theory for any
successful organization is to study the customer/buyer as the central of their professional activity.

Consumer buying behaviour is one of the very significant aspects for any business because it emphases on
how individuals person make choices to spend their existing incomes. That includes what, why, when,
where, how often they buy it, how they evaluate it after the purchase and the impact of such evaluation on
future purchase decision. The objective to study consumer behaviour is to comprise an examination of
variables that affect purchase decisions and items usage by consumer.
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 Purchase decision of any consumer is most essential tool for any car manufacturer, to recognize how
customers makes their purchase decisions helps marketing executives in various ways. Even if manufacturer
can’t modify the design in short time, then they can use advertising as a tool to change buyer’s decision
making criteria. Four wheeler can satisfy the requirement of buyer for their conveyance. As
Consumer similarly acquire mental satisfaction by obtaining ownership of products like a car.

The industries have generated thousands of job opportunities to the people and give birth for to many
entrepreneurs, leaders, and businessman. They satisfy for the most essential needs and the ability to move
freely. To the well-known expert are actualities they are automobile Industry for foundation stone to some of
the large part for noteworthy financial side in the world.

The design of any car is not easy task for a one day fairly if we looking the history of four wheelers making
company and transport industries. The construction plus utilization of cars in Indian market as specially
depend upon of earning power and use of people as well as interfere to political policy. In India all industries
has creating the employment and increasing level of income, and also the government of India encourage to
develop foreign direct investment with help to go upward of Indian economy. In the present day the
automobile industry is scrutinizing and concern with consumer requirement for making, design the car as
well as four wheelers they put their effort for build even efficient in market.

Every company are wants to increasing the sales, so they should analysis the market as specially they have
to identify consumer behaviour, their wants, needs after the analysing how to make satisfy them with
launching innovative, safety, and attractive product in the market.

Now a day sales are increasing due to there are four wheelers company is introduce different-different
scheme like zero present interest rate for first two-three month, easy finance available, exchange offer etc.
The fresh promotion idea, thought, to make victorious management of a firm involves expert, marketers to
judge the customer is a core part to position of their selling activity and action. It is vital to be aware of
consumer behaviour their satisfaction to preferences to any product so it is help to the company to launch the
product in the market. For whole process that is buying four wheelers and selling it to the consumer, the
Dealer are play most important part they not just selling the product in the market but also the providing
after sales service to the customer hence the consumer are satisfy with them.

Satisfaction of the consumer is the key to every business and industry. Each Dealer and their service
superiority is an imperative phase influencing buyer satisfaction. The customer those have a good
knowledge with the concern dealer may probably use the same dealer for next time. While those customers
who have experiences problems with a dealer they may not use the same dealer for next time.

Basically the psychological feelings are customer pleasure or beliefs for to perceive presentation surpass the
consumer’s prospect and preferences for the invention. For instance, a house and four wheelers give more
satisfaction than a branded cloth.

Four wheelers satisfy to the need of owner for revenue of transportation. They also acquire psychological
fulfilment from the tenure of product like car. Our understanding for consumer going away from looking at
the act of buying only, other than now it’s both having and creature as well. Consumer satisfaction is much
more than buying things.

With the end of this study, the individual variables like age, income, qualification, profession etc., have
been chosen and the impact of these individual variables on the on the consumer’s perception, their
purchasing behaviour and the decision making process have been analysed.

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Objective of the Study:

1. To know the factors attracting customer to buy the four wheeler.

2. To know about the purchase decision process

3. To examine the reasons for preferring a four wheeler by the customers

4. To demographic analysis on consumer

Literature Review:

Dr.Purshotham.M [2013] has conducted research on consumer buying behaviour towards four wheeler
industry .The paper over view on the concepts of buying behaviour of the customers. The main objective of
that study was the various features considered by the people while they make purchase of four wheeler . By
that study the research had found that all the varieties of car available in all the segment small cars are most
preferred. Customers who are in that segment wants to change their life style.

Mahatma jyoti Rao[2016] has conducted a research on a study on consumer buying behaviour regarding
four wheeler. The study of consumer behaviour has become essential. Consumers are the kings of market
.The main objective of the study was to know the important variables that influence the consumer while
purchasing a car. By the study the research had found that focus of manufacturers of four wheeler is
concentrated on improving fuel efficiency, prices the consumer do not prefer low priced product which gives
low utility value.

Dr. H. S. Adithya [2013] has concluded that consumer behaviour of making purchase decision is based on
all human behaviour. By understanding the concept of consumer behaviour marketer can make marketing
decisions which helps them to suit with consumer needs and wants. The main objective of the study was the
four major classes of consumer behaviour factors are involved namely, cultural, socio-economic, personal
and psychological. The socio-economic factors of consumer behaviour consist of age, marital status,
profession, education, income, family size etc. Understanding the importance of passenger car industry in
the current economic condition, the researcher has examined the perceptions and behaviour of consumers
related to this product.

Shiv Prasad Joshi [2013] has concluded that purchasing of car is mainly been influenced by the
advertisements and recommended by family members and friends. The main objective of the study was to
measure the level of satisfaction and it revealed that nearly fifty percent consumers are fully satisfied from
their brand which they have selected, while around fifty percent of consumers are not satisfied from their
purchasing decision. The study also describe that price factor is also one of the important factor in selection
of car and in India safety measures in car are least preferred criteria.

Shailesh K. Kaushal [March 2014] has concluded the paper identified five dimensions of car buyers’
purchase objectives which are labelled as safety & security, quality, performance, value and technology. The
car buyers purchase intention influenced by several factors. But from this study it will help the automobile
manufacturer and car dealers to understand the buyers buying behaviour and help them to make their
marketing strategies accordingly on the following factors.

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RESEARCH METHODOLOGY:

The research is Descriptive method .the study is to judge the customer purchase behaviour and satisfaction
on four wheelers.

Sampling size: Number of sampling units selected from the population is called sample size and sample of
100 respondents where obtain from the population.

Sample area: Banaswadi

Data collection: Both primary and secondary data

Methods and tools of data collection: Questionnaire, textbook, internet

Body:-

Nature of Consumer Behaviour:-

The wealth of products and services produced in a country makes the economy strong. Almost all the
products that are available to the buyer has a number of alternative supplies. A buyer makes a purchase of a
particular product or a particular brand and this can be termed as “product buying motive”. The reason
behind the purchase from a particular seller is “patronage motive”.

More or less after the Second World War, the seller - markets have come up. The firms’ attention has
switched from the products to the consumers and specially concentrates on the consumers’ behaviour. The
firm possesses no control over the behavior of the consumer. The firm first tries to understand the consumer
and his / her responses, and then studies about the basic characteristics of his / her behaviour. It can be said
that consumer is a pivot around whom the whole marketing system revolves. The selection of choice of
products or services by consumer greatly determines the fate of the firms. As such, the firm must know the
consumer more and more in order to manufacture the products, which give him / her satisfaction in the way
of his / her need.

The marketing programmes and policies depend on the consumer behaviour. If one makes out the marketing
programme, neglecting the consumer behaviour, then one will naturally invite failure. Consumer behaviour
results from individuals and environmental influences. Consumer often purchases the goods and services,
which he wants others to accept. Behaviour is therefore determined by the individual’s psychological
makeup and the influence of others.

Thus, behaviour is the result of interaction between the consumer’s personal influence and pressures exerted
upon him / her by outside forces in the environment. An understanding of consumer behaviour is essential in
marketing and planning programmes.

Types of Consumer Decision Behaviour:-

Consumer usually has the general objective of creating and maintaining a collection of goods and services
that provides current and future satisfaction. To accomplish this objective, buyers make many purchasing
decisions. They can be classified into three broad categories:

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 (a) Routine Response Behaviour:
Consumer adopts routine response behaviour when buying frequently purchased, low cost items that
require very little search and decision effort. These items are sometimes called low-involvement
products. Products bought through routine response behaviour are purchased quickly with very little
effort.

(b) Limited Decision - Making:

It is employed for products that are purchased occasionally and also when a buyer needs to acquire
information about an unfamiliar brand in a familiar product category. This type of decision-making requires
a moderate amount of time for information gathering and deliberation.

(c) Extensive Decision – Making:

A consumer indulges in extensive decision-making when purchasing an unfamiliar expensive product or an

infrequently bought item. This process is the most complex type of consumer decision-making behaviour. A
consumer uses many criteria for evaluating alternative brands and spends a great deal of time for seeking
information to decide on the purchase.

The marketing programmes and policies depend on the consumer behaviour. Understanding consumer
behaviour allows a firm to measure the effects of a strategy. Marketing strategy is an analysis, planning,
implementation and control process designed to satisfy customer needs and wants by providing superior
customer value. The development of marketing strategy begins with an assessment of consumer needs and
wants.

Consumer Buying Decision Process:-

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The five major stages of the consumer buying decision process are problem recognition, information search,
evaluation of alternatives, purchase and post purchase evaluation. For many products and services, buying
decisions are the result of a long, detailed process that may include an extensive information search, brand
comparisons and evaluations and other activities.

FINDINGS:-

GENDER AGE

MALE 73.6% 18-25 84.7%

FEMALE 26.4% 25-35 7.3%

35-45 5%

OCCUPATION ABOVE 45 3%

STUDENTS 54% EDUCATION

PRIVATE EMPLOYEES 24.2% UNDER GRADUATE 22.1%

GOVERNMENT EMPLOYEE 12.6% GRADUATE 39.4%

BUSINESS 9.26% POST GRADUATE 34.6%

PROFESSIONAL 3.8%

The above table shows the demographic profile of the respondents. It shows that 73.6% of the respondents
are males and 26.4% of them are females. Majority of them are students (54%) and very less people are
from business entity. Most of them are completed their UG and PG and very few were from professional
background. 85% of the respondents are young generation fall under the age group of 18-25.

59.25% of male consumers and 52% of female consumers are indicating that the car is important in their
personal life. Least the male are feeling that the car is a part of their life there are not much interested in four
wheelers. 16.6% females are indicating that four wheeler is not important in their personal life.

Maximum the male consumers says that the main motive behind purchasing a four wheeler is need and
transportation and the same thing was accepted by females also. 7.46% of male and 7% of females are
saying that their man motive to purchase is features and design.

Majority of male consumers and female consumers are looking comfort, safety & millage if they are going
to buy any four wheelers. 25% of male and 15.2% of females are saying that they need power and
performance of the car.

70.83% of males and 65.21% of females are indicating that the millage of the four wheeler should be
satisfied. And the remaining 12.3% of males and 9.87% of females indicating the millage is doesn’t matter
to them they need power and performance of the car should be excellent.

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Majority of both male and female students are indicating that the design of the four wheeler should be
satisfied. And business people are saying that they won’t bother about the design they want comfort and rich
look by the features.

80% of consumers are saying that they need Bluetooth connection device in the four wheelers to operate the
music system. Very less people are choosing MP3 player in the four wheelers. So the automobile industry
has to go with the Bluetooth option in four wheelers to satisfy the consumer.

Maximum responds are choosing the black & white colour in the four wheeler and very less people are
going with different colours.

CONCLUSION:-

Consumer Behaviour consists of all human behaviour that goes in making purchase decisions. An
understanding of the consumer behaviour enables a marketer to take marketing decisions which are
compatible with its consumer needs. There are four major classes of consumer behaviour determinants and
expectations, namely, cultural, socio-economic, personal and psychological.

Rising income has enhanced the purchasing power and more and more people are able to afford a car.
Customer demands are dynamic, but its consideration is necessary for every company to make existence in
to the market. Customers are purchasing the four wheeler not only as a means of transport but as a status
symbol also.

Easier and faster mobility of people and goods across the regions, countries and continents is a cherished
yearning of mankind. The automobile industry’s potential for facilitating the mobility is enormous. Wheels
of development across the globe would have to be powered by the industry.

Industry across countries will have to meet challenges of new technologies, alternative fuels and
affordability of automobiles by people at large through constructive co-operation. The earlier we are able to
achieve this the better it would be for the world development.

The Automobile industry across the world has great potential to trigger sustained employment, mobility,
inter-sectorial industrial growth and thus conditions for general economic and social wellbeing. However,
there is need to promote and sustain international co-operation between government and industry. There is
need for coordinated research and development, standardization of designs and broader technologies,
effective cost cutting to enhance affordability and loosening of trade barriers across the globe.

The Automobile industry being the driver of economic growth, we should use it as a lever of accelerated
growth in the country. It is concluded that conscious efforts should be made to fine-tune government policy
to enable the Indian Automobile Industry to realize its potential to the fullest capacity.

This study is discussed in detail the various dimensions of purchasing behaviour of consumers using cars in
Bangalore state. The analysis concludes that referral dimension plays dominant role apart from other
dimensions. So the manufactures of Car have concentrate more on consumers with respect to word of mouth
sales.

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