m

“A STUDY ON MARKETING STRATEGIES OF MARUTI UDYOG LTD. CONDUCTED AT

BIMAL AUTO AGENCY.

BANGALORE”

Submitted in partial fulfillment for requirement of Bangalore University for the award of Degree of Bachelor of Business Management

By

SUBRATO KUMAR DEYReg. No. 06XECO8042

UNDER THE GUIDANCE OFMs.Priya

(Faculty of E.P.C.H.E)

DEPARTMENT OF MANAGEMENT STUDIESEAST POINT COLLEGE OF HIGHER EDUCATION

BIDARAHALLI, VIRGONAGAR POST, OLD MADRAS ROAD,BANGALORE – 560049.

2008-09.

BIMAL AUTO AGENCY #60/2, Mahadevapura, Whitefield Road, Bangalore – 560049.Email:[email protected]

TO WHOM SOEVER IT MAY CONCERN

This is to certify that Shri. SUBRATO KUMAR DEY Final Year B.B.M student of East

Point college of higher education, Bangalore undertook a project work on

“MARKETING STRATEGIES OF MARUTI UDYOG LTD” during the month of February

2008.

The character and conduct of Shri. SUBRATO KUMAR DEY during the above period

was good and successfully completed the project. We wish him all success in

future.

Mr.Sanjay Singh (Manager)

EAST POINT COLLEGE HIGHER EDUCATIONBANGALORE-560049.

2008-09.

GUIDE CERTIFICATE

This is to certify that the project report titled “A Study on Marketing strategies of

Maruti Udyog Ltd. Conducted at Bimal Auto Agency, Bangalore is a bonafide

report prepared by Mr.Subrato Kumar Dey, under my guidance. In partial

fulfillment of the requirement of the award of Bachelor of Business Management

for the academic year 2008-09 of Bangalore University.

This is an original project and has not formed any basis for the award of any

Degree/Diploma by any university earlier.

Place:Bangalore Certificate by

Date: Project Guide

EAST POINT COLLEGE HIGHER EDUCATIONBANGALORE-560049.

2008-09.

DECLARATION

I, Subrato Kumar Dey, declare that this project report titled “A study on Marketing

strategies of Maruti Udyog Ltd. Conducted at Bimal Auto Agency, Bangalore”

carry out an original and bonafide work by me in partial fulfillment of the

requirements for the degree of bachelor of Business Management under

Bangalore University.

This project has not been submitted to any other university for the award of any

degree of any degree or diploma.

Place:Bangalore SUBRATO KUMAR DEY

Date: Reg No.:06XEC08042

SL. NO CONTENTS PAGE NO.

1 INTRODUCTION

2 RESEARCH DESIGN

3 COMPANY PROFILE

4 DATA ANALYSIS& INTERPRETATION

5 SUMMARY OF FINDINGS & CONCLUSIONS

6 RECOMMENDATIONS & SUGGESTIONS

7 BIBLIOGRAPHY

8 ANNEXURES

INDEX OF TABLES

TABLE

NO.

TABLE NAME PAGE

NO1 Table showing the age group of respondents

2. Table showing the income of Respondents

3. Table showing the brand preference of the respondents

4. Table showing the rating price of maruti

5. Table showing respondents satisfaction towards the

Features of brand6. Table showing the features preferred the most by the

respondents7. Table showing the rating of spares concerned with performance

8. Table showing the rating of spares concerned with price

9. Table showing the changes in pricing policy

10. Table showing the test drive provided to the respondents

11. Table showing sales convinces the buying motive

12. Table showing the factors of awareness of brand

13. Table showing the level of awareness of Maruti Insurance Scheme

14. Tables sowing applied for Maruti Insurance Scheme

15. Table showing the satisfaction level with customer care service

16. Graph showing the factors of awareness of the brand

17. Graph showing the awareness of Maruti Insurance Scheme

18. Graph showing the applied for Maruti Insurance Scheme

19. Graph showing the satisfaction with customecare services

LIST OF GRAPHS

Graph Graph Name Page

No 1 Graph showing the J.D.Power 2005 rating of Initial Quality Study.

2 Graph showing the J.D.Power 2005 rating of Automotive

performance execution and layout study.3 Graph showing the J.D.Power 2005 rating of Customer Satisfaction

Index study.4 Graph showing the J.D.Power 2005 rating of Sales Satisfaction

Index. 5 Graph Showing age group of respondents.

6 Graph showing the income group of respondents

7 Graph showing the Brand preference of respondents

8 Graph showing the rating of price of Maruti

9 Graph showing the respondents satisfaction towards features

10 Graph showing features preferred by the respondents

11 Graph showing rating of spares concerned with performance

12 Graph showing rating of spares concerned with price

13 Graph showing changes in pricing policy

14 Graph showing test drive provided

15 Graph showing sales convenes the buying motive.

CHAPTER 1

INTRODUCTION

MARKETING STRATEGIES OF MARUTI UDYOG

HISTORY OF CARS

The story of car is one of the most important and exciting chapters in the

history of transport. Worldwide, there are more than 400 million living or to

travel for pleasure. People in the United States often refer to cars as automobiles.

In Britain and many other countries, they are sometimes called motor cars.

Most of the world’s cars are in the United States, Canada, Japan, and

Western Europe. Ways of life have changed greatly in all those countries because

of the car. The development of the car has meant that city dwellers can travel into

the country for a relaxing break, and people can visit relatives living in remote or

distance areas.

Before people had cars to drive, they generally walked or rode bicycles when

travelling short distances. Most long-distance travel was by railway, tram, or

some king of horse drawn carriage. In fact, the early cars were called “Houseless

carriages.”

The origin of the car can be traced to Europe. But it became a major from

of transportation first in the United States. Most European cars were built by

hand, and were expensive. Only rich people could afford them.

East Point College of Higher Education 1 2008-09


During the late 1700’s, the development of steam-powered engines

progressed rapidly in Europe. Inventors dreamed of a “Houseless carriages” –a

vehicle that could travel under its own power – and steam seemed the obvious

power source.

Nicolas-Joseph Cugnot, a French military engineer built the first self

propelled road vehicles in 1769 and 1770. One was designed to carry passengers,

while the others was three-wheeled steam tractor for hauling artillery. In 1801

and 1803, Richard Trevithick of the England demonstrated four – Wheeled steam-

propelled road vehicles (steam car) to carry passengers. But he lacked the money

to continue his work.

Numerous attempts in Britain to promote the use development of stream

cars failed because of competition from railway and stagecoach companies. In

1865, the “Red Flag Law” ended further development of cars in Britain for about

30 years.

Steam cars had big disadvantages. At first, it took too long for the fire to

heat the boiler. Inventors solved that problem, but other remained. The steam

engines had to be practical for cars and so they had to be high pressure engines to

produce the required power.



Electric cars were at first more successful than steam cars. Batteries

powered them. Electric cars quickly became popular because they were quiet,

easy to operate, and free of smelly fumes. But the batteries limited how far or fast

electric cars could go. Few electrics could travel faster than 32 kilometers per

hour, and the batteries had to be recharged at least every 80 kilometers.

The petrol-engine car as we know today resulted from the development of

the internal-combustion engine. Gases powered the first internal-combustion

engines. In 1820, the British inventor W.Cecil designed an engine driven by the

explosion of mixture of hydrogen and air.

In 1885 Gottlieb Daimler and Karl Banz, two Germans working separately,

developed the first successful four-stroke petrol engines. The general design of

present-day cars was developed in France. Emil laves and Rene Pan Hard,

partners in a carriage firm, built their first car in 1890. A Daimler’s engine

powered it.

In the early 1900’s, Ransom E, Henry Ford, and other pioneers began mass-

Producing cars. Although some people disliked the “Houseless Carriage,” many

welcomed the introduction of the new machine because it would replace horse-

drawn carriage. Unsightly horse droppings would no longer litter the street,

creating a terrible stench and attracting disease-tearing flies. No longer would



people be burdened by the need to keep horses or be limited to travelling short

distances.

Today, the United States has about 130 million cars, more than any other

country. In the U.S.A, Australia, and France there is approximately one to every

two people. The United Kingdom has approximately one car for every three and

Japan one for every four.

Other important car manufacturing countries include Germany, Japan,

France, Italy and Spain. Australia, the Czech Republic, India, South Korea,

Malaysia, Sweden and the United Kingdom also have motor Industries.



IMPORTANCE OF CARS

The development of cars had an enormous effect on people’s way of life

throughout much of the world. Probably no other invention, discovery, or

technological advance has created greater or more rapid changes in society.

Impact of Society: The has given many people freedom of movement. The

car influences where people live and work how they spend their leisure

time. The striking changes in people’s lives created by the car began in the

United States and have since spread across much of the globe, especially in

industrialized countries. Before the development of cars, urban workers

walked, cycled, or rode on railway trains or horse-drawn vehicles to their

jobs. But as roads improved and car ownership expanded during the 1920’s,

people increasingly moved to the suburbs because of freedom provided by

car owner. By the mid 1950’s even factories had begun to relocate in the

suburbs.

Economic impact: Such industrialized nations as the United States, Japan,

Germany, the United Kingdom, and Italy depend on car production to

provide jobs for millions of workers. But even in industrialized nations with

little or no car production- Batteries, and grading. They carefully plan

bypass, road junctions, and slip roads leading into major motorways,traffic

signals, and the number of lanes.



CAR INDUSTRY

During the early 1920’s, the United States made 90 percent of the world’s cars. By

the late 1900’s, it made only about 20 percent. Yet U.S output has generally

climbed since the 1920’s. What has happened is that a worldwide production has

boomed-from about 101.2 million motor vehicles in 1950 to more than 45 million

in the 1990’s.

Japan and the United Stated are the largest car producers. Japan replaced the

United States as the top passenger car manufacturer from 1980 to 1983. It

regained the top spot in 1987 and still holds first place. Other major producers

include Germany and the United Kingdom. In general, the largest car

manufacturing countries also have the largest markets for cars. The United States

has the biggest car market by far. Such countries as Japan, Italy and France follow

well behind. A famous British quality car is the Rolls Royce, built ever since 1904.

William Morris was the first British car manufacturer to copy the mass production

methods of Henry Ford. Germany owes much of its success in the world market to

the production of the Volkswagen. In1960, Germany over took Britain and France

top become the second largest car producer in the world market, largely due to

the success of companies like BMW and Mercedes-Benz. Its main competitors

were Italy and Japan.



Japan, the major car manufacturing companies in Japan includes Honda,the

motorcycle manufacturers, who began producing cars in 1962. Mazda, who took

over Chrysler in 1982, Nissan and Toyota. Nissan was set up in 1915, but

produced only trucks until 1931. In 1986, they became the first Japanese

manufacturers to build cars in Europe when they opened their factory in

Sunderland, Britain.

United States, the “big three” motor manufacturers in the United States are

General Motors, Ford and Chrysler. Their largest suppliers number about 200

major companies, and there are thousands of smaller suppliers. Each

manufacturer produces, under different trade names, a variety of cars and light

trucks. The car industry also aids many countries economy by its huge

consumption the output of other industries. For example: the typical car requires

more than 770 kg of steel; 180 kg of iron 110 kg of aluminum; and 60 kg of

rubber.

World War I (1914-1918) demonstrated the values of car and other petrol-

powered vehicles for military purposes. The war also proved the importance of

the car industry’s mass production methods. Car production increased greatly

during the 1920’s. During most of that period, business conditions were good and

jobs were plentiful. As a result, greater number of people than ever before could



afford to buy cars. In the hard times of the 1930, the car industry suffered

severely during the Great Depression, which began in the October 1929. In the

United States, production of all vehicles fell by 36 percent in 1930 and by a

further 29 percent in 1931. In 1932, output fell by an additional 44 percent to

about 1,300,000 vehicles. This was the lowest volume of cars produced since the

war year of 1918. Production then increased, recovering to about 4,800,000

vehicles by 1941. Car manufacture in Europe was halted in 1939 by the outbreak

of the World War II(1939-1945). In the United States, as in the United Kingdom,

the car industry turned out war materials, including not only military trucks, jeeps,

and personnel carriers, but also tanks, aircrafts and marine engines, artillery and

ammunition.

Until the 1970’s many car buyers in the United States preferred large, luxuries

cars. In other countries, cars were generally smaller but there was still a

preference for larger cars. Sales of small cars had began to increase in the mid

1960, because more and more families bought small cars as second cars. And as

the Arab oil embargo of the mid 1970’s caused a serious petrol shortage in the

petrol consuming nations. As the price of petrol increased, more increased, more

families switched to smaller, lightweight cars, which gave more economical fuel

consumption than large models.



Cars of tomorrow will probably be increased fuel-efficient and less polluting.

Internal combustion engines will probably still power most cars. But worries

about pollution will probably increase the use of electric vehicles. Computerized

controls will do more and more tasks in tomorrow’s cars. With the

flick of a switch, computerized suspension systems will adjust to changes in the

road surface. Computer will also pay an increasing role in creating tomorrow’s

cars, from the designing to the engineering to the assembling. The selling and

servicing of cars will also be more and more computerized.



The Indian passenger car industry was a staid, low growth market with very few

players till the early 1980’s. It had a sheltered existence due to the various

controls and restriction. The consequent lack of domestic competition meant that

were few changes made to the design of the existing cars. For over two decade

the Indian customershad to choose from the Ambassador, the Fiat the standard

or a Dolphin. There were very little incentive to innovate or even plagiarize.

In mid 1980’s saw a revolution in the passenger car market when the

government decides to issue license to all automobile manufacturers to produce

allied vehicles as well. This moves saw the entry of Maruthi Udyog Ltd., which

launched the Maruthi 800. This model was the considered a modern car with

contemporary styling went on to become the market leader and has retained a

dominant presence in the Indian market for more than a decade.

Maruthi spectacular success did not however mean that its competitors failed to

respond to the challenge. The late 1980’s and the early 1990’s at least saw the

emergence of marketing orientation. Passenger car manufacturers tried to

position themselves in various segments. A few models were introduced mostly

with foreign collaboration. Following the liberalization of the passenger car

industry. This can be called the second revolution in the passenger car market.

For



the first time, international car manufacturers began to evince keen interest in

the Indian car market. The early birds among them were Daimler-Benz and

Daewoo. Others aspirants included General Motors, Ford, Fiat and Peugeot.

Marketing is a comprehensive term and it includes all resources and a set of

activities necessary to direct and facilitate the flow of goods and service from

producer to consumer. In the process of distribution businessmen refer marketing

process as distribution process. Human efforts, finance and management

constitute the primary resource in marketing.

Marketing is defined in different ways. A few definitions of notable authorities are

given below:

“Marketing is so basic that it cannot be considered a separate function. It is the

whole business seen from the point of view of its final result, which is from the

customers point of view… business success is not determined by the producer but

by the customer.”

Peter Drucker

“Marketing is a social and managerial process by the which individuals and groups

obtainwhat they need and want through creating, offering and exchanging

products of value with others.”



Philip Kotler

“Marketing consists of all activities by which a company adapts itself to its

Environment creatively and profitability.”

Ray Corey

“Marketing’s job is to convert societal needs into profitable opportunities.”

ANONYMOUS

Thus marketing comprises an integrated system of business activities in order to

plan, price, promote and distribute goods and services to melt consumer needs

within the limits of society. We can evolve a planned system of action dealing

with the problem of moving large volume of products, by looking to ultimate

customers and backward to suppliers and by linking customers and suppliers

together in a sequence of proper steps.

IMPORTANCE OF MARKETING

Marketing is recognized as the most significant activity in our entire economic

life, a wide range of marketing activities continuously affects our life styles. The

food we eat, the clothes we wear, the housing that shelter us the comforts and

amenities we enjoy in our home and at work places, the health and welfare



activities which give us peace of mind all these are profoundly affected each day

by the marketing system. Marketing alone can put goods and service we want and

need at our doorsteps, and satisfy and varied and innumerable needs and wants.

Our entire economic life shall be simply paralyzed if marketing system fails to

shoulder its main responsibility, viz., discovering and servicing the market

demand.

Marketing has achieved social importance because it is entrusted with task of

creation and delivery of standard of lignin to society. Marketing studies

continuously consumer demand, which is, varied and dynamic. On the basis of up-

to date knowledge of nature, character and magnitude of market demand, the

firm produces wanted goods and services which are offered to consumers at fair

prices through distribution channels.

Marketing is the vital connecting link between producers (production) and

consumers (Consumption). It is primarily responsible to keep the wheels

production and consumption constantly moving or running at their optimum

speed.

Optimum production and optimum consumption can secure optimum standard of

living in an economy. Marketing is directly responsible to maintain the equilibrium



between mass production and ass consumption. Then only we will have economic

stability.

Industrial revolution offered mass production in the 19th century. Marketing

revolution is called upon to provide mass distribution machinery in the 20th

century for effective distribution in every expanding Markets. We have get to

evolve a smoothly operating system of physical distribution. Consumer oriented

marketers can and must play an important role in mass distribution. Better

marketing can raise living standards of all people in any country.

Marketing system plays a unique role in transforming the benefits of mass

production in terms of rising living standards and life styles all people through the

best systems of physical distribution. The number one problems in economic

marketing has tremendous importance to solve this burning problem of mass

distribution. The problem of marketing today is greater than the problem of the

production.

Marketing must divide a comprehensive marketing system, which would deliver

(at profitable prices) all the goods we could produce or manufactured goods

would raise substantially. We live in dynamic economy and equilibrium between

supply and demand in such an economy. If the two flows viz., goods flow



(representing supply) and the money flow (representing demand) balance each

other, we have of national output, employment and income. This is an ideal and

desirable state of national economy.

STRATEGY

It is the art of science of the planning and conduct of a war; a long term plan for

success, especially in business. It is about the development of long-term plans and

policies within the organization, which will lead to or enable it to continue its

success, it should involve the most senior executives within the organization. This

is process or activity goes under a variety of names within the organization.

It corporate planning, strategy is the grand design or a dynamic action-oriented

formal general plan to accomplish company mission, basic objection as well as

functional objectives. It involves the choice of a general type of plan. At the

highest level is the corporate strategy, which is the long- term plan for the success

of the enterprise. Larger organizations frequently consist of a number of

(Strategic) business units, which are effectively self contained serving a particular

market with a somewhat limited range of services. Each business unit could have

it’s own business strategy, which would be its own term plan linked to its own



environment and markets, within the context of achieving the strategy of the

organization as a whole.

A strategy of a company is designed in such a way that it way it matches of fits

with:

1.Future environmental marketing opportunities.

2.Capacities of company’s human and material resources.

3.Top management values and brief.

4.Desired socio-economics objectives.

NEED FOR A STRATEGY

An organization without s strategy is like a motorist on a long journey without a

map. Moreover, given the uncertainty and complexity of the commercial

environment, to continue the analogy with the motorist, at best the road signs

have been removed, and at worst they have been relocated again, at a random.

However before starting to plan the route, it is necessary to determine the

destination. Thus before starting the strategic planning process, the organization

must ask some fairly fundamental questions about where it is, what it is doing,

what it wants to be what it wants to do.



It is important for an organization to recognize the significance of the life cycle

associated with a product or service.

Typically, demand or sales grow from a zero base at launch through a period of

rapid growth, which will require significance resources, through to a steady state,

which comes with maturity, to gradual decline. This ‘maturity/gradual decline’ can

some as a result of a change in customer requirements or expectation; or

therefore a competitor offers a ‘better’ service. Profit normally follow the product

life cycle, with these typically being made after the launch period, growing,

reaching a peak, and then falling during the decline. This introduces the need for

a ‘successor’, which should be part of the long-term plan or strategy of the

organization. Lack of planning can result in a period of satisfaction for the

organization with low income, low contribution and poor resource utilization. The

new service development process should be such that, ideally, the new service

should be launched before the existing service has fallen significantly into decline.

MARKETING STRATEGY

It is the heart of a marketing pal. The concept of strategy usually comes from two

planes. We have grand strategy dealing with company mission and company

objectives or goals as well as functional objectives i.e. sub objectives adopted for



each functional area of the business.

Marketing strategy is the functional strategy. It is related to marketing as

one functional area of business. The corporate strategy plan is the master

company plan that provides guidance to all managers about the direction in which

the firm wants to go and the position its wants to objective. The strategic plan

sets the boundaries for all other functional planning.

PHILIP KOTLER defines marketing strategy as s consistent appropriate, and

feasible ser of principles through which a particular through which a particular

company hopes to achieve its long-term customer satisfaction and profitability

objectives in a particular competitive environment. Marketing strategy is a

comprehensive plan of action designed to meet the needs of a certain enterprise

operation in a particular environment. Marketing strategy is based on corporate

marketing objectives and its is implements by a coordinated marketing action

optimum utilization of all resources of the firm.

MARKETING STRATEGY CAN BE DIVIDED INTO TWO SUB-DIVISIONS.

1.Marketing objectives, e.g., choice of markets, sales volume sales revenue, and

profitability targets.



2.Marketing mix in the form of marketing program to achieve the set marketing

objective as well as overall company objectives. Marketing mix covers; products,

price, physical distribution, and promotion.

Marketing mix acts as a stimulus and resulting variables such as consumer

satisfaction, market share, return on investment and company image as

responses. The marketing objectives represent desired responses.

Outsiders on the basis of results achieved will judge the firm. Under customer

oriented marketing plans and strategies, main marketing objectives are naturally

consumer citizen satisfaction and profitability through serving the demand, viz.,

customer and customer needs.

Characteristics of Strategic decisions

1.They are concerned with scope of an organizations activities, and hence with

the definition of an organizations boundaries.

2.They relate to the matching of the organizations activities with the

opportunities of its substantive environment. Since the environment is

continuously changing it is necessary for this to be accommodated via adaptive

decision making that anticipates out comes as in playing a game of chess.



3.They require the matching of an organizations activity with its resources. In

order to take advantages of strategic opportunities it will be necessary to heave

funds, capacity, personnel,etc., available when required.

4.they have major resource implication for organizations such as acquiring

additional capacity, disposing of capacity, or reallocating resources in a

fundamental way.

5.They are influenced by the values and expectations of those who determine the

organizations strategy. Any repositioning of preferences and conceptions as much

as by environmental possibilities.

MARKETING STRATEGY

PRODUCT STRATEGY

The product is the most tangible and important single component of the

marketing program. The product policy and strategy is the cornerstone of a

marketing mix. Without a product, there is nothing to distribute, nothing to

promote, nothing to price. It the product fails to satisfy consumer demand, no

additional cost on any of the other ingredients of the marketing mix will improve

the product performance in the market place.



A product strategy is a company plan for marketing its products. We lay down

product objectives. We have a product program suitable to the product’s position

in the life cycle. Product plan or strategy involves a number of issues to be

resolved; product line, product mix, packaging, labeling, branding, service after

sale, organizing for product planning and development, product research and

improvements.

Product line is a group of product that are related either because they satisfy

similar needs of different marker segments, or because they satisfy different but

related needs of a given market segment.



PRODUCT LIFE CYCLE

The product life cycle concept derives from the fact that a product’s sales volume

and sales revenue follows a typical pattern of five-phase cycle. The life cycle is a

fact of existence for every product. It is similar to the human life cycle, the

duration of each phase and the shape of the curve vary for different products.

During a product’s life, a company will normally reformulate its marketing

strategy several times. Not only are economic conditions changing and

competitors launching new assaults but, in addition, the product is passing

through new stages in the role that it plays in its market. Consequently the

company needs to plans for a succession of strategies appropriate to each stage

in the product’s life cycle. The company must think about how to extend the

product’s life and profitability in the face of knowing that it will not last forever.

Most discussion of product life cycle portrays the sales history of a typical

product as following an S shaped curve. The curve is typically divided into 4 stages

known as Introduction, Growth, Maturity and decline.

1.INTRODUCTION STAGE:

The introduction stage starts when the new product is first distributed and

made available for purchase. It takes time to fill the dealer pipelines and roll out

the product in several marker; so sales and heavy distribution and promotion



expenses. Much money is needed to attract distributors and “fill the pipeline”.

Promotional effort to inform potential consumers of the new and unknown

product, induce trial of the product, and service distribution in retail outlets”.

Marketing Strategies in the introduction stage:

In the launching a new product, marketing management can set a high or a low

level for each marketing variable, such as price, promotion, distribution, and

product quality. Considering only price and promotion, management can pursue

on of the 4 strategies as follows:

Rapid skimming strategy: it consists of lunching the new product at a high

price and a high promotional level. The firm charges a high price in order to

recover as much gross profit per unit as possible. It spends heavily on

promotion to convince the market of the product’s merits even at the high

price level.

Rapid penetration strategy: Consists of launching the product at a low price

and spending heavily on promotion. This strategy promises to being about

the fastest market penetration and the largest market share. This strategy

makes sure when, the market is large: market is unaware of the product;

most buyers are price sensitive; there is strong potential competition. This

period in which the product has turned into a commodity and buyers no

longer pay a price premium, and the suppliers earn only on average rate of

return. As the pioneer through the various stages of this competitive cycle,

it must formulate new pricing and marketing strategies if it is to succeed.



2.GROWTH STAGE:

A period of rapid market acceptance and substantial profit improvement.

The early adapter like the products, and middle majority consumers start

following their lead. New competitors enter the market, attacked by the

opportunities for large-scale production and profit. They introduce new product

features and this further expends the market. Price remains where they are or fall

only slightly in so far as demand is increasing quite rapidly. Companies maintain

their promotional expenditures at the same or at a slightly raise level to meet

competition and continue educating the market sales rise much faster, causing a

decline in the promotion sales ratio. Profits increase during the states as

promotion costs are spread over a larger volume, and unit manufacturing costs

fall faster than price declines owing to the “experience curve” effct.

Marketing strategies in the Growth stage:

During this stage, the firm uses several strategies to sustain market growth as

long as possible:

1.The firm improves product quality and adds new product features and

improved styling.

2.It enters new market segments.

3.The firm adds new distribution channels.

4.The firm adds new models and flankers products.

5.It shifts some advertising from building products awareness to bringing about

product conviction and purchase.

6.It lowers prices at the right time to attract the next layer of price sensitive

buyers.



The firm that purpose this market –expanding strategies will strengthen its

competitive position.

3.MATURITY STAGE:

At some point a product’s rate of sales growth will slow down, the product

will enter a stage of relative maturity. This stage normally lasts longer than the

previous stages, and it poses formidable challenges to marketing management.

Most products are in the maturity stage of the life cycle, and therefore most of

marketing deals with the mature product.

The maturity stage can be divided into three phases. In the first phase,

growth maturity, the sales growth rate starts to decline. There are no distribution

channels to fill, although some laggard buyers still enter the market. In third

phase, decaying maturity, the absolute level of sales now starts to decline and

customers starts moving towards other product and substitutes.

Marketing strategies in the Maturity stage:

Some companies give up on mature products, feeling there is little they can

do. They think the best thing is to conserve their money and spends it on newer

products in the developments pipeline. This ignores the low success rate or new

products and the high potential that many old products still have. Marketers

should systematically consider strategies of market, product, and marketing –mix

modification.



Market Modification

The company should seek to expand the market for its brand by working

with the two factors that make up sales volume.

Volume=No. of brand users Usage X Usage rate per users.

The company can try to expand the number of brand users in three ways:

Convert Non users

Enter new markets segments

Win competitors customers

The company can work to attract competitor’s customers to try or adopt the

brand.

For Example: Pepsi-Cola is constantly coaxing Coco-Cola users to switch to Pepsi,

throwing out one challenge volume can also be increased by getting current

brand users to increase their usage of brand. There are three strategies:

More frequent use: The company can try to get customers to use the product

more frequently.

More usage per occasion: The Company can try to interest users in using more of

the product each time it is used.

New and more varied uses: The Company can try to discover new uses for the

product and convince people to make more varied use of it.

Product Modification:

Managers also try to turn sales around by modification the product’s

characteristics in a way that will attract new users and/ or more usage from

current users.

Strategy of quality improvement aims at increasing the functional

performance of the product –its durability, reliability, speed, taste. A

manufacturer can often overtake its competitors by launching the “new and



improving” machine tool, automobile, television set or detergent. This strategy is

effective to the extent that the quality can be improved the buyers believe the

claim of improved, and the buyers want higher quality of improved quality and a

sufficient number of buyers want higher quality.

Strategy of feature improvement aims at adding new features viz., size

weight, and materials, additives, accessories that expand the product’s versatility,

safety, or convenience.

Strategy of style improvement aims at increasing the aesthetic appeal of the

product. The periodic introduction of new car models amount to style

competition rather than quality or feature competition.

Marketing Mix modification:

The product manager should also try to stimulate sales though modifying

one or more marketing-mix elements.

Price: Would a price cut attract new tries and users? If so, should the list price

lowered or should prices be lowered through price specials, volume or early-

purchase discounts, freights absorptions or easier credit terms?

Distribution: Can the so company obtain more product support and display in the

existing outlets be penetrated? Can the company get the product into some new

types of distribution channels?

Advertising: Advertising should expenditure be increased? Should the advertising

message or copy be changed? Should the media vehicle mix be changed?Should

the timing, frequently, or size of ads be changed?

Sales Promotion: Should the company step up sales promotion trade deals,

cents-off, rebates, warranties, gifts, and contests?



Personal selling: Should the number or equality of sales people be increased?

Should the basis for sales for sales-force specialization be changed? Should sales

territories be revised?

4.DECLINE STAGE:

The period when sales shoe a strong downward drift and profits erode.

Designation where each stage begins and ends is somewhat arbitrary. Usually the

stage are marked where the rates of sales growth or decline become pronounced.

Sales decline for a number of reasons, including technological advances,

consumer shifts in tastes, and increased domestic and foreign competition. All if

these to overcapacity, increased price cutting, and profit erosion.

Marketing strategies during Decline Stages:

1. Increasing the firms investment (to dominant or strengthen its competitive

position)

2. Decreasing the firms investment level selectively, by sloughing off the

unpromising customer groups, while simultaneously strengthening the

firms investment posture within the lucrative niches of enduring customer

demands.

3. Maintaining the firms investment level until the uncertainties about the

industry are resolved.

4. Harvesting the firm’s investment to recover cash quickly, regardless of the

resulting investment posture.

5. Diverting the business quickly by disposing of its assets as advantageously

as possible.



The appropriate decline strategy is a function of the industry’s relative

attractiveness and the company’s competitive strength in that industry and yet

has competitive strength should consider shrinking. However if it should consider

increasing or maintaining its investment level.

BRAND STRATEGY:

A company has 4 choices when it comes to brand strategy. It can introduce

line extension (existing brand names extended to new forms, sizes, and flavors of

an existing, product category), brand extensions (existing brand names extended

to new product category), or new product categories).

Line extensions:

It occurs when a company introduces additional items in a given product category

under the same brand name, such as new flavors, forms, colors, ingredients, or

package sizes. A company might introduce line extension for any of several

reasons. It might want to consumer desires for variety, or it might recognize a

latent consumer want and try to capitalize on it.

Brand extensions: A brand extension involves the use of a successful brand name

to launch new of modification products in a category. The brand extensions



capture greater market share and realize greater advertising efficiency than

individual brands. A well-regarded name helps the company enter new product

categories more easily and gives a new product instant recognition and faster

acceptance.

Multi Brands: Companies often introduce additional brands in the same category.

Multi branding offers a way to establish different features and appeal to different

buying motives.

Brand Repositioning: However well a brand is initially positioned in a market, the

company may have to reposition it later. A competitor may launch a brand

positioned next to the company’s brand and cut into its marker share, or

customer wants may shift, leaving the company’s brand with less demand,

marketers should reposition existing brands before introducing new ones. In this

way, they can build on existing recognition and consumer loyalty.

Packing: Developing a good package for a new product requires marketing many

decisions. The first take is to establish the packaging concept. The package must

be consistent with product’s advertising, pricing and distribution.

Companies usually consider several different package designs for a new

product. To select the best package, they usually test the various designs to find



the one that stands up best under normal use, in easiest for dealers to handle,

and receives the most favorable consume response.

Labeling: Labeling has social significance. Consumer criticism centers round

charge of false, misleading and defective packaging and labeling. They give helpful

on the brand name, name and address of producer, weight, measure, ingredients

where possible, direction for the proper use of the product, etc. Labeling system

must enable consumers to determine quality and compare products. The unit cost

helps easy comparison. Hence consumer’s welcome unit pricing on the label, e.g.,

cost per 100 grams.

Labeling in general is not a very reliable guide to quality or an assurance of

uniformity. The printing of levels costs very little. But the superlatives given on

the label cost nothing. Hence, consumers should against deceptive labels. On the

whole consumers to welcome informative labels.

Pricing strategies:

Usually changes as the product passes through its life cycle. The introductory

stage is especially challenging. We can distinguish between pricing a product that

imitated existing products and pricing and innovative, patent-protected product

face the challenge of selling prices for the first time. They can choose between

two strategies, market skimming pricing and market penetration pricing.



Market skimming Pricing:Many companies that invest new products initially set

high prices to skim revenue layer by layer from the market. Market skimming

makes sense only under certain conditions. First, the product’s quality and image

must support its higher price, and enough buyers must want the product at that

they cancel the costs of producing a smaller volume cannot be so high that they

cancel the advantage of charging more. Finally, competitors should not be able to

enter the market and other cut the high price.

Market Penetration pricing: Rather than setting a high initial price to skim off

small but profitable market segments, some companies use market penetration

pricing. They a low initial price in order to penetrate the market quickly and

deeply to attract a large number buyer quickly and win a large market share. The

high sales volume results in falling costs allowing the company to cut its price

even further.

Several conditions favor a low price produce the more market growth.

Second, Production and distribution costs must fall as sales volume increases.

Finally, the low price must help keep out the competition otherwise the price

advantage may be only temporary.



Product mix pricing strategies: The strategy for setting a product’s price often has

to be changed when the product is part of a product mix. In this case, the firm

looks for a set of prices that maximizes the profits on the total product mix.

Pricing is difficult because the various because the various products have related

demand and costs and face different degrees of competition.

PROMOTIONAL STRATEGY

Strategy lays down the board principle by which a company hopes to secure an

advantage over competitors, exhibit attractiveness to buyers, and lead to full

exploitation of company resources. Each kind of promotion has strengths and

weakness as a communication medium. Each mode of market development and

stage of the buyer’s decision-making. The promotional strategy also depends o

the channel or route through which products of the firm flow to consumers.

There are pull and push strategies in promotion.

Pull Strategies depends upon mass communication. Products are literally

pulled by buyers through the channels on the basis of mass promotional efforts.

In a pull strategy the product is pulled through the channel by creating end user

channel. Customers force retail shops those mass promoted products. In turn,

retailers demand the highly advertised product from wholesalers. The firms have



well known brands can exercise control over channels through pull promotion

strategies. Personal salesmanship plays a secondary role in pull promotion.

Marketers rely on intensive distribution. Dealer margins are also lower on pull

promotion.

Pull strategy is that promotional strategy that call for spending a lot on

advertising and consumer promotion to build up consumer demand. If the

strategy is successful consumer will ask their retailers for the product, the

retailers will ask the wholesalers, and the wholesalers will ask the products.

Push strategy is s promotion strategy that calls for using the sales force and

trade promotion to push the product through channels. The producer promotes

the product to wholesalers, the wholesalers promote to retailers and the retailers

promote to consumers.

ADVERTISING STRATEGY

Consists of two major elements creating advertising messages and advertising

media. In the past, most companies developed messages and media plans

independently. Media planning often was seen as secondary to the message

creative process. The creative a department first created good advertisements to

desired target audiences. This often caused friction between creative and media



planners.

Today, however, media fragmentation, soaring media costs, and more

focused target marketing strategies have promoted the importance of the media

planning function. In some cases, an advertisement campaign might start with a

great message idea, followed by the choice of appropriate media. In the other

cases, however, a campaign might begin with a good media opportunity, followed

by advertisements designed to take advantage of that opportunity. Increasingly,

companies are realizing the benefits of planning these two important elements

jointly. Messages and media should blend harmoniously to create an effective

overall advertising campaingn.

DISTRIBUTION STRATEGIES

Distribution means to distribute, spread out or disseminate. In the field of

marketing, channels of distribution indicate routes or pathways through which

goods and services flow, or move from producers to consumers.

By convention channel of distribution included only merchant middlemen,

agents and brokers. Facilitating agencies such as bank, common carriers,

advertising agencies, warehousing companies were excluded from the channel

concept, as these would not take title to or negotiate the purchase and sale of



products. Under the systems approach the channel is now recognized as system

involving flow of information, marketing communications (promotion), materials,

manpower, capital equipment and money. It is no longer merely a collection of

independent business establishments. It is a system of flows: flows of promotion,

ordering, payment and financing, flow of negotiation and transaction. Ownership,

possession and promotion move forward.



Channels of Distribution

I Direct channels

Manufacturer-Consumer(Direct Sales)

II Indirect Channels

Manufacturer-Retailer-Consumer

Manufacturer-Wholesaler-Retailer-Consumer

Manufacturer-Agent-Wholesaler-Retailer-Consumer

Manufacturer-Wholesaler-Consumer

Channel Choice

The problem of selecting the most suitable channel of distribution for a

product is complex. The most fundamental factor for channel choice and channel

management is economic criteria, viz., and cost and profit criteria. Profit

organization are primarily interested in cost minimized in distribution and

assurance of reasonable profit margin. However, channel decisions are not made

entirely on the basis of rational economic analysis. We have to consider a number

if factors such as the nature of the product, market trends, competition outlook,



pricing policies, and typical consumer needs, as well as needs of the manufacturer

himself. Following are other critical factors:

Products: If a commodity is perishable or fragile, a producer prefers few and

control levels of distribution. For perishable goods speedy movements needs

shorter channel or route of distribution, for durable and standardized goods

longer and diversified channel may be necessary. System approach needs package

deal and shorter channel serves the purchase.

Market: For consumer market, retailer is essential, whereas in industrial market

we can eliminate retailer, if the market size is large, we have many channels,

whereas in a small market direct selling may be profitable, for highly

concentrated markets, direct selling is enough but for widely scattered and

diffused markets, we must have many channels.

Market means people with money and willing to purchase want satisfying

goods. Age, income group, sex, vocation, religion of customers will have to be

studied to secure adequate information of markets segments of targets markets.

Buying habits of consumer and dealer will give us data on the number, type,

location, buying habits of consumers and dealers. Channels choice needs this



information. If ultimate buyers are numerous the order frequencies is great and

buyer insists on the right to choose from a wide variety of brands/goods, we must

have three or even more one dealer.

Middlemen: Middlemen who can provide wanted marketing services would be

given first preference. Of course, they must be available, the selected middlemen

must offer maximum co-operation particularly in promotional services. They must

accept marketing policies and programs of the manufacturers and actively help

then implementation. The channel generating the largest sales volume at lower

unit cost will be top priority. This minimizes distribution cost.

Company: The company’s determines the size of the market, the size of its larger

accounts and its ability to get middlemen’s co-operation. A big firm may have

shorter channels. The broader the product line, the shorter will be the channel. If

the product mix has greater depth, or specialization, the company can favor

selective or exclusive dealerships. Companies with substantial financial resources

need not rely too much on the middlemen and can afford to reduce the levels of

distribution. A weaker company has to depend on middlemen to secure financial

and warehousing relief. New companies rely heavily on middlemen due to lack of

experience and ability of management. A company desiring to exercise greater



control over channel will prefer short channel, as it will facilitate better co-

ordination, communication and control. Heavy advertising and sales promotion

can motivate middlemen to handle displays and join enthusiastically in the

promotion campaign and co-operate publicity.

Market Environment: Marketing environment can also influence the channel

decision. During recession or depression, shorter can cheaper channel is always

preferable. In times of prosperity, we have a wider choice of channel alternatives.

Technological invention also have impact on distribution. The distribution of

perishable goods evening distant markets become a reality due to cold storage

facilitate in transport and warehousing.

Competitors: Marketers closely watch channels used by rivals. Many a time

similar channel may be desirable to bring about distribution of your products also.

However, sometimes marketers deliberately avoid customary channel (dominated

by rivals) and adopt different channel strategy. For instance, you may by pass

retail (usually used by rivals) and adopt door-to-door, sales (where there is no

competition).


CHAPTER 2

RESEARCH DESIGN


TITLE OF STUDY

“Marketing Strategies of Maruti Udyoug”

Conducted at

Bimal Auto Agency, Bangalore

STATEMENT OF PROBLEM

It is very essential to know the preference or the attitudes towards the

products in order to formulate a suitable marketing strategy. Keeping this view,

this project aims to study, what is influencing the customer to buy a particular

brand.

Also the strategy adopted by the manufacturers as to see that there

product remain in the market and fetching the needs and desires of the

consumers.

The comparative study is done to know what kind of market strategy is

adopted to enhance their products in the market and how are they creating

awareness of their products.



SCOPE OF STUDY

The study covers the comparative study of marketing strategies of Maruti Udyog,

at Bimal Auto Agency in Bangalore City.

The data which is collected are from various sources is analysed in detail. Then

conclusion are drawn from it and suitable suggestions are given.

OBJECTIVES OF STUDY

To determine the target group among the customers with respect to age,

income.

To estimate potential buying power.

To indicate the distribution methods best suited to the product and

Market.

To know customers acceptance of products.

To study the price trends and Market size.

To adopt the promotional aids.

To know the factors affecting brand preference.

To seek suggestions from consumers about further improvements on the

product.



LIMITATION OF THE STUDY

Limitations of the study are the constraints in the time frame available. In

addition the scope of the study has been limited to Bangalore City only. Findings

of the study are brand on the assumption that respondents have divulged correct

information. In some cases perception plays an important role in shaping the

answer given by respondents but to the extent possible the questions have been

framed and administered is such away as to eliminate misinterpretation. However

on this study, if necessary the database can be augmented through additional

Survey.



METHODOLOGY OF STUDY

A Structured questionnaire is printed and distributed in the first phase. In

the second phase informal interviews are conducted together with circulating a

structured questionnaire. This is for collecting divergent viewpoints of the

respondents regarding the quality aspects as well as for not restricting them

within the limits of structured answers. Besides this secondary data is collected

through library resources. Scanning through the old issues of various newspapers,

magazines.

Tools of Data Collection:

Primary Data: To gather primary data a structured questionnaire was drafted and

later modification made to arrive at a final questionnaire.

The Questionnaire was formulated with following objectives:

1) To give the respondents a clear comprehension of the questions.

2) To induce the respondents to co-operate and to trust that answer will be

treated confidentially.

3) Give instructions on what is needed and the manner of responding.

Identify what needs to be known to classify and verify the interview. The data

was collected with help of questionnaire, which was administered to customers.



OVERVIEW OF THE STUDY

CHAPTER 1: INTRODUCTION

This chapter contains about background of the industry and theoretical aspects.

CHAPTER 2:RESEARCH DESIGN

Title of the study, statement of the problem, objectives of the study, scope of the study, limitations of the study, methodology of the study, research instruments.

CHAPTER 3:COMPANY PROFILE

Origin of the company, organization chart, function of the firm, finance department, prospectus of the company.

CHAPTER 4:DATA ANALYSIS AND INTERPRETATION

Title of the table, data table, analysis of the table, inference of the table, graphic representation.

CHAPTER 5:SUMMARY OF FINDINGS AND CONCLUSIONS

Begins with objectives and scope of the study, findings summarized and project conclusion.

CHAPTER 6:RECOMMENDATIONS AND SUGGESTIONS

Specific reasons and recommendations to objectives of the project work.

CHAPTER 7:ANNEXURES

This chapter includes the Questionnaire, which had informally interviewed for the study.

CHAPTER 8:BIBLIOGRAPHY


CHAPTER 3

COMPANY PROFILE


INTRODUCTION

Maruti Udyog Limited (MUL) was established in February 1981. Through an

act of parliament. Maruti Udyog Limited “ is a public limited company

incorporated under the Companies Act of 1956. Maruti Udyog Limited is a joint

venture of Government of India and Suzuki Motor Company of Japan. Suzuki

motor company was chosen from seven prospective partners worldwide. A

license and a joint venture agreement were signed between the government of

India and Suzuki Motors on October 1982.

December 1983 herald a revolution in the Indian car industry. Maruti

collaborated with Suzuki of Japan to produce the first affordable car for the

average Indian. At this time, the Indian car market has stagnated at a volume of

30,000 to 40,000 cars for the decade ending 1983. This was from where Maruti

took over.

Maruti Udyog Limited created history by going into production in a record

13 months.

On 14th December 1983, the Prime minister of India, Smt.Indira Gandhi,

released the first car by handing over the key of Maruti 800 to Mr. Harpal Sing of

Delhi.



Maruti Udyoug limited exceeded the volume targets, sales figure for the

year 1993 reached upto 1,96,820. In march 1994 Maruti became the first Indian

company to manufacture one million cars, a landmark yet to achieved by any

other company in India. It crossed the two million mark in 1997.

India’s largest automobile company, Maruti entered the Indian car market

with avowed aim to provide high quality, fuel-efficient, low-cost vehicles. Its cars

operate on Japanese technology, adapted to Indian condition and Indian car

users, Maruti comes in variety of models in the 800 segment.

To fend off growing competition, Maruti has recently completed Rs.4 billion

expansion project at the current site, which has increased the total production

capacity to over 3,20,000 vehicles per annum. It has further plans to modernize

the existing facilitied and to expand its capacity by 1,00,000 units in the year

1998-99. The total production of the company will exceed 4,00,000 vehicles per

year.



Maruti Udyog Limited is holding equity in 19 Group Companies.

Some of them are:

1)J.J.Impex(New Delhi) Pvt.Lts., - 49%

2)Mark Auto Industries Lts., - 33.90%

3)Maruti Countrywide Auto Financial Services Lts., - 26%

Core Values

Customer obsession

Fast, flexible and first move

Innovation and creativity

Networking and partnership

Openness and learning

Vision of Maruti Udyog Limited

To be leader in Indian automobile industry

Creating customer delight and shareholder wealth



Objectives of Maruti Udyog Limited

Modernization of Indian automobile industry.

Production of fuel efficient vehicles to conserve resources.

Production of large number of motor vehicles that was necessary for

economic growth.

To provide small cars for single families.

The existing cars in Indian market were not able to satisfy the customers

with regards to fuel efficiency and hence, Maruti 800 was introduced.

Consumer satisfaction through quality of products and services, achieved

by consisted adherence to producers and systems.

Teamwork and recognition that each employee is important for the

company’s growth and prosperity.

Organisational and individual discipline.

Respects for laws, ethics and human beigns.

To have a long-term objectives, policies and goals.

Strengths of Maruti Udyog Limited

Expertise in small car technology

Extensive product portfolio.

Quality products.

Extensive sales and services network.

Brand strength.

Integrated manufacturing facility.



Mission of Maruti Udyog Limited

1.Maruti cars are winning combinations of Suzuki compact car technology.

All Maruti vehicles are the products of Suzuki’s worldwide leadership in compact

car technology.; A technology that has fine timed the art of maximizing the

minimum of providing compact car with sufficient interior spaces, performances

and durability. This is the expression of phenomenal engineering strength that has

taken the lead in designing and entirely new category of new cars, worldwide.

2.High value and low maintenance

All Maruti cars are packed with value added features. They are engineered

to give you maximum fuel efficiency and require very little maintenance, so we

get is superior quality at a right price.

3.Reliable quality.

With a growing customer’s base of over two million people, it goes, without

saying that Maruti is synonymous with reliability. It is also a car company that

constantly upgrades its product to suit your changing needs with changing times.

4.The largest Network

The company has strong support base of 178 Maruti showroom and 1029

Maruti authorized service outlets across 488 cities assuring the best possible

service everywhere. Providing with the state-of-art workshop, Maruti genuine

parts and over 30,000 trained personnel, to make the maintenance of Maruti a

non-worry proposition.



5.A range to suit every need

Today, Maruti is the only Indian automobile company that can promise its

customers a wide range of cars to suit a host of different lifestyles.

THE MANAGEMENT TEAM

The key people of Maruti Udyog Limited

Chairman – Shinzo Nakanishi

Managing Director-Jagadish Khattar

Director Marketing & Sales-Kinji Saito

MILESTONES OF 2004

Market share grew from 42% to 54% in the competitive A2 segment (with

the WagonR, Zen and Alto)

Overall sales increased by 23%. The Alto became India’s new best-selling

car.

Business World ranked us among the country’s five most respected

automobile company.

Business Today-AC Nielsen ORG-MARG declared us one of India’s Greenest

Companies.

Hindustan Times Power Jobs proclaimed us the company with ‘the Most

Innovative Human Resource Practices’.



J.D.POWER ASIA PACIFIC 2005 RATINGS.

J.D.POWER ASIA PACIFIC

2005 India Initial Quality StudySM (IQS)

Top Three Vehicles per Segment in Initial Quality

(lower score reflects better quality performance)

Production per 100 vehicles 0 100 200 300

Compact car segment

Maruti Alto 93 Maruti Zen 101

Maruti WagonR 104 Compact car Segment Average 127

Entry midsize car Segment Maruti Esteem 144 Opel Corsa/Swing 174

FordIcon 185 Entry middle car segment Average 185 Mid size Car Segment Honda city Midsize Car Segment Average Hyundai Accent Maruti Baleno Premium Midsize Car segment Skoda Octavla Chevrolet Optra Premium Midsize Car Average Toyota Coralla Utility Vehicle Segment Toyota Innova Maruti Omni UtiltiyVehicle Segment Average Cehrolet Tavera


PRODUCT LINE OF MARUTI UDYOG LIMITED

1.Maruti Alto

2.Maruti 800

3. Maruti Baleno

4. Maruti Esteem

5. Maruti Omni

6. Maruti Gypsy

7. Maruti Zen

8. Maruti WagonR

9. Maruti Versa

10. Maruti Grand Vitara

11. Maruti Swift

12. Maruti SX4

13.ZEN ESTELO

14.A STAR



MARUTI ALTO

This compact car has a 796cc petrol engine, with dimensions of 3495(L) X 1495(W)

X 1460(H) mm and weights 725kg. It has a ground clearance and wheelbase of

166mm and 2360mm respectively, a turning radius of 4.6 meters. It ahs features

like AC molded floor and trunk carpets, cabin lamp, electronic multi trip meter

and is available in 7 colors. It has safety features like collapsible steering column,

high mounted stop lamp, side impact beams and childproof rear door locks.

Variants available are Standard, LX, LXi, VX, VXi and AX



MARUTHI 800


X 1405(H) mm and weights 655kg. It has a ground clearance and wheelbase of

170 mm and 2175mm respectively, a turning radius of 4.4 meters. It also comes

with a factory fitted air conditioner and has additional features like sun visor,

molded floor and trunk carpets and is available in 5 colors. It has safety features

like front and rear side impact beams. It has an average of 15 m per litre n the city

and 17 km per litre on the highway. Euro 1 version of this model is also available.

Variants available are Standard, EX, DX, Super Deluxe and Limited Edition.



MARUTHI BALENO

This luxury car has a 1590cc petrol engine, with dimensions of 4225(L) X 1690(W)

X 1390(H) mm weights 975 kg. it has a ground clearance and a wheelbase of

170mm and a wheelbase of 170mm and 2480mm respectively, a turning radius of

4.9 meters. It also comes with a factory fitted air conditioner, heater and has

additional features like power steering, power windows (front and rear),

adjustable steering wheel, electrically adjustable side view mirrors, cigarette

lighter, mud flaps, digital clock, tachometer, light on off reminder, key not

removed warning buzzer, body colored bumpers, wheel caps and is available in 5

colors. It also has security features features like collapsible steering column,

central door locking system, high mounted stop lamp, childproof rear door locks,

front and rear seatbelts and side impact beams. Variants available are GLX, GLX

Alturas, LXi-BSll, VXi-BSll, LXi-BSlll, and VXi-BSlll.



MARUTHI ESTEEM

This mid-size car has a 1296cc petrol engine, with dimensions of 4090(L) X

1575(W) X 1395(H) mm and weights 860kg. it has a ground clearance and

wheelbase of 170mm and 2365mm respectively, a turning radius of 4.8 meters. It

has average of 11km per litre in the city and 12.5km per litre on the highway. It

also come with a factory fitted air conditioner heater and has additional features

like tachometer, body colored bumpers, molded floor and trunk carpets and is

available in 5 colors. It has security features like collapsible steering column,

childproof rear door locks and side impact beams. Euro1 version of this model is

also available. Variants available are LX, LXi, VX, VX Limited Edition, AX.



MARUTHI OMNI

This utlity car has a 796cc petrol engine, with dimensions of 3370(L) X 1410(W) X

1630(H)mm and weights 735 kg. It has a ground clearance, wheelbase and turning

radius of 165mm, 1840 and 4.1m respectively. It has features like steering lock,

sun visor, mud flaps, molded floor and trunk carpets and is available in 4 colors. It

has security features like front seat belts and side impact beams. It is a 5-seater

vehicle. Variants available are Standard (5seater and 8 seater), XL (5 seater and 8

seater), and STC CNG.



MARUTHI GYPSY

This soft-top multi utility vehicle has a 1298cc petrol engine, with dimensions of

4010(L) X 1540(W) X 1875(H) mm and weights 985kg. It has a ground clearance

and wheelbase of 210mm and 2375mm respectively. It has a fuel tank of 40 ltr. It

has features like flaps, split and folding rear seat, moulded trunk and floor carpets

and is available in 4 colors. It has security features like front seat belt, side impact

beams. Variants available are King ST and King HT.



MARUTHI ZEN


X 1405(H)mm and weights 765kg. It has a ground clearance, wheelbase and

turning radius radius of 165mm and 2335mm and 4.9 meters respectively. It also

comes with a factory fitted air conditioner, heater and has additional features like

molded floor and trunk carpets, body color bumpers and is available in 6 colors. It

also comes with security features like childproof rear door locks, front and rear

seat belts, front and rear side impact beams and high mounted stop lamp. Euro 1

version of this model is also available. Variants available are LXi, LXi, VX VXi, AX,

1.5D, 1.5D PS.



MATUHI WAGONR

This compact car has a 1061cc petrol engine, with dimensions of 3495(L) X

1495(W) X 1660(H) mm and weights 840 kg. It has a ground clearance and a

wheelbase of 165mm and 2360mm respectively, a turning radius of 4.6 meters. It

takes 6.49secs to reach from 0-60kph and has a fuel economy of 12 kpl on urban

and highway. It also comes with a factory fitted air conditioner, heater, music

system and has additional features like automatic gear transmission, power

steering, power windows (front), body color bumpers, rear windshield wiper and

washer, boot tamp, tachometer, key not removed buzzer, light on or off

reminder, wheel hub caps, moulded floor and trunk carpets, front and rear door

pockets, electronic multi trip meter and is available in 6 colors. It has safety

features like high mounted stop lamp[, collapsible steering column, side impact

beams, central door lacking, front and rear seat belts and childproof rear door

locks. Variants available are LX, LXi PS, VXi, AND AX Auto.



MARUTI VERSA

This utility car has a 1298cc petrol engine, with dimensions of 3675(L) X

1475 (W) X 1905(H) mm and weights 930 Kgs. It has wheelbase and turning radius

of 235mm and 4.5meters respectively. It takes 6.26 secs to reach from 0-60kph

and has a fuel economy of 44kpl/12kpl on urban and highway. It also comes with

factory fitted heater and has additional features like electronic multi trip meter

molded floor and trunk carpets, cabin lamp, and is available in 6 colors. It has

safety features like front and rear seat belts, collapsible steering column, side and

front impact beams and childproof rear door and window locks. Variants available

are 1.3 DX, 1.3 DX2 and 1.3 SDX.



MARUTI GRAND VITARA

This utility car has a 2736cc petrol engine, with dimensions of 4760(L) X 1780 (W)

X 1740(H)mm and weights 1700 kgs. It has a ground clearance and wheelbase of

183mm and 2800mm respectively. It also comes with a factory fitted automatic

air conditioner, heater, music system with cd changer and has additional features

like power steering, tachometer, air filter, body color bumpers, adjustable

steering wheel, cigarette lighter, light, light on or off reminder, 2 accessory

sockets, electrically adjustable outside mirrors, rear windshield wiper, washer and

demister, rear spoiler, leather upholstery, mud flaps, fog lamps, roof rails and is

available in dual 7 colors. It has electric 4 WD(Wheel Drive). It has a sitting

capacity of 7 people. It has security like childproof rear locks, keyless entry,

central door licking system, high mounted stop light, dual air bags, side impact

beams, collapsible steering column. ABS, EBD front and rear seat belts.



MARUTI SWIFT

This utility car has a 2736cc petrol engine, with dimensions of 4760(L) X

1780 (W) X 1740 (H)mm and weights 1700 KG. It has a ground clearance and

wheelbase of 183mm and 2800mm respectively. It also comes with a factory

automatic air conditioner, heater, music system with cd changer and has

additional features like power windows (front and rear), power steering,

tachometer, air filter, body color bumpers, adjustable steering wheel, cigarette

lighter on or off reminder, 2 accessory sockets, electrically adjustable outside

mirrors, rear windshield wiper, washer and demister, rear spoiler, leather

upholstery, mud flaps, fog lamps, roof rails, and is available in dual 7 colors. It has

electric 4WD (wheel Drive). It has a sitting capacity of 7 people. It has security

features like childproof of rear door locks, keyless entry, central door locking

system, high mounted stop light, dual air bags, side impact beams, collapsible

steering column. ABS, EBD and front and rear seat belts.



MARUTI SX4

The utility car ahs a petrol, inline-4 cyclinder, 1586cc engine, with the

dimensions of 4490(L) X 1570(H)mm and weights 1200KGS. It has aground

clearance and a wheelbase of 2500mm, track(front) 1500mm, track(back)

1495mm. It also comes with a factory fitted automatic air conditioner with

climate control, power steering, central/remote locking, power

windows(front/rear), tinted glass, tachometer/tripmeter, rear seat belts 3

numbers. It has a seating capacity of 5 people, fuel capacity of 50 liters and boot

505 liters. It has a electrifying features like 0-60kph, top, top speed of 174kph. It

has a ventilated disc, drum, electric power steering, independent suspension with

gas filled Mcphersonstrut and anti toll bar, semi independent torsion beam with

gas filled shock absorbers. It has a features of like fog , lamps, rear wash pipe,

internal boot release, rear defogger, 2 air bogs, body coloured bumpers.



This is a new compact car which has capacity of 998cc petrol engine,

with dimension of 3500mm(L)X1600(W)X1490(H) and weight 860 kg. it

has a ground clearance 170mm and wheel base of 2360mm, a turning

radius of 5metre. It has a features like A.C, Power steering, Power

Windows, child Lock, cabin Lamp, Molded Floor, trip meter and is

available in 7 metallic colors. It having safety feature like collapsible

steering column. This car available variants are LXi, VXi, & ZXi.


CHPATER 4

DATA ANALYSISAND

INTERPRETATION


1.AGE GROUP OF RESPONDENTS

AGE NO OF RESPONDENTS PERCENTAGE

Less than 25 3 6

25-35 8 16

35-45 15 30

45-55 17 34

More than 55 7 14

TOTAL 50 100

INTERPRETATION

From the above table it is observed about the age group owning the cars.

6% f respondents are less than 25; about 16% of them are between 25-35; 30%

between 35-45; 34% between 45-35 and 14% are above 55 years.



6%

16%

30 %34 %

14%

No 01 AGE GROUP OF RESPONDENTS

less than 25 - 6%25-35 - 16%35-45 - 30%45-55 - 34%more than 55 - 14%

Inference:

Thus it can be Inferred that majority of the respondents are at age group of 45-55 (i.e 34%).



2.INCOME GROUP OF RESPONDENTS

INCOME NO OF RESPONDENTS PERCENTAGE

Less than 2 Lakh 10 20

2 Lakh – 3 Lakh 16 32

3 Lakh- 4 Lakh 15 30

More than 4 Lakh 9 18

TOTAL 50 100

INTERPRETATIONIt is clear from the above table that 20% of the customer’s income is less

than 2 lakh, about 32 % of them have income between 2 Lakh-3 Lakh 30% between 3 Lakh -4 Lakh and 18% more than 4Lakh.



18 %

20%

32%

30%

2.INCOME GROUP RESPONDENTS

LESS THAN 2 LAKH2 Lakh - 3 Lakh3Lakh - 4 LakhMore than 4 Lakh

Inference:Thus it can be inferred that majority of the respondents is 32% Earn

monthly income more than 2-3 Lacs and above.This is an indication of higher standard of living giving rise to desire for

comfortable life.



3.BRAND PREFERENCE OF RESPONDENTS

BRANDS NO OF RESPONDENTS PERCENTAGEMARUTI 800 12 26MARUTI Zen 6 12MARUTI Omni 1 8MARUTI Alto 5 10MARUTI Baleno 6 12MARUTI WagonR 4 8

MARUTI Esteem 9 18MARUTI Gypsy 2 4MARUTI Swift 1 2Total 50 100

INTERPRETATION

From the above table, it is observed that 24% of the respondents own brand Maruti 800, followed by Esteem with 18%, Zen and Baleno with 12%. And Alto with 10% followed by Omni, WagonR, Gypsy, and Swift with 8%, 8%, 4% and 2% respectively.



26%

12%

8%10%

12%

8%

18%4% 2%

BRAND PREFERENCE OF RESPONDENTS

MARTUI 800MARTUI ZENMARUTI OMNIMARUTI ALTOMARUTI BALENOMARUTI WAGONRMATUTIESTEEMMARUIGYPSYMARUTI SWIFT

Inference:From the above analysis, we can conclude that most of the respondents

own Maruti 800 because if its mileage, style & comfortable.



4.PRICE OF MARUTI

RATING NO OF RESPONDENTS PERCENTAGE

High 10 20

Reasonable 35 70

Low 5 10

TOTAL 50 100

INTERPRETATIONIt is inferred that 20% of Respondents rate the Price of the Maruti

as high, 70% of them as Reasonable, and 10% of Respondents rating price of Maruti as low.



20%

70%

10%

RATING OF PRICE OF MARUTI

HIGHREASONABLELOW

Inference:It is inferred from the above that 70% respondents rate price of

Maruti as reasonable..



5.RESPONDENTS SATISFACTION WITH THE FEATURES OF BRAND

SATISFIED NO OF RESPONDENTS

PERCENTAGE

Yes 38 76

No 12 24

TOTAL 50 100

INTERPRETATION

From the above table it is clear that 72% of the respondents are satisfied with features of the Brand, with remaining 24% respondents are dissatisfied with Features of the Brand.



24

76

RESPOND SATISFIED WITH FEATURES

yesno

Inference:

It is inferred that 76% of respondents are satisfied with the features of the Maruti.



6.FEATURES PREFERRED THA MOST

FEATURES NO OF RESPONDENTS PERCENTAGE

Size 4 8

Price 9 18

Styling 9 18

Efficiency 6 12

Overall 22 44

TOTAL 50 100

INTERPRETATION

It is inferred from the above table, that 44% of respondents are satisfied with Overall features of the Brand they own, whereas 18% of respondents prefer Price and styling of the Brand, followed by size and Efficiency with 8% and 12% respectively.



8%18%

18%

12%

44%

FEATURES PREFERRED BY THE RESPONDTS

SIZEPRICESTYLINGEFFICIENCYOVERALL

Inference:

It is inferred from the above graph that 44%of respondents prefer overall features of the brand.



7.RATING OG SPARES CONCERNED WITH PERFORMANCE


AVERAGE 20 40

GOOD 22 44

FAIR 8 16

TOTAL 50 100

INTERPRETATION

It is observed from the above table that out of 50 respondents,20 of them rate average for spares concerned with performance, followed by 22 of them rate Good and 8 of them as fair.



16%

40%

44%

RATING OFSPARECONCERENEDWITH PERFORMANCE

AVERAGEGOODFAIR

Inference:

It is inferred that 44% of respondents spares as well.



8.RATING OF SPARESCONCERNED WITH PRICE


Costly 14 28

Reasonable 32 64

Cheap 4 8

TOTAL 50 100

INTERPRETATION

It is inferred from the above table,that most of the respondents rate the

price of spares as reasonable with 64%, followed by 28% rating costly and 8% of

respondents rating cheap.



28%

64%

8%

RATING OF SPARES CONCERNED WITH PRICE

COSTLYREASONABLECHEAP

Inference:It is inferred that 64% of respondents, rate spares concerned with

price as reasonable.



9.CHANGES IN PRICING POLICY

YES/NO NO OF RESPONDENTS PERCENTAGE

YES 14 28

NO 36 72

TOTAL 50 100

INTERPRETATION

The above indicates that 72%of respondents does not require any changes in pricing policy, where as 28% prefer to have a change in pricing policy.



28%

72%

CHANGES IN PRICING POLICY

YESNO

Inference:It is clear from the above table that present pricing policy fine,

they do not want any further changes in pricing policy.



10.TEST DRIVE


YES 43 86

NO 7 14

TOTAL 50 100

INTERPRETATIONFrom the survey conducted with 50 respondents it is identified that 43 of

them agree with test drive provided to them and remaining 7 say they had not gone through with test drive.



14%

86%

TEST DRIVE PROVIDED

YESNO

Inference:It is clear from table that most of the respondents are provided with test

drive.



11.AFTER SALES SERVICE


YES 48 96

NO 2 4

TOTAL 50 100

INTERPRETATIONFrom the above table it indicates that the 96% of customers agree that they

had been assured with after sales service, on the other hand 4% of them disagree.



96%

4%

ASSURANCE OR AFTER SALES SERVICES

YESNO

Inference:It is inferred from the above table that 96% of the respondents are

provided with after sales services.



12.SALES CONVINCES YOUR BUYING MOTIVE


YES 26 52

NO 24 48

TOTAL 50 100

INTERPRETATIONThe above table indicates that out 100, 52% of them agree with

statement, on the other hand 48% of them disagree with the statement.



52%48%

SALES CONVINCES THE BUYING MOTIVE

YESNO

Inference:From the above table that 52% respondents buying decisions is

based on the sales of the Brand.



13.FACTOR OF AWARENESS OF BRAND

FACTOR NO OF RESPONDENTS PERCENTAGE

ADVERTISEMENT 30 60

FRIENDS 4 8

DEALERS 10 20

OTHERS 6 12

TOTAL 50 100

INTERPRETATIONIt is observed from the above table, out of 50 respondents, 30 of

them are aware of brand by means of Advertisement, 10 of them are aware by the Dealers of Maruti, followed by friends and others with 4 and 6 respectively.



60%

8%

20%

12%

FACTOR OF AWARENESS OF THE BRANDS

ADVERTISEMENTFRIENDSDEALERSOTHERS

Inference:It is inferred that from the above graph, advertisements are main

factor of awareness.



15.AWARENESS OF MARUTI INSURANCE SCHEME


YES 19 38

NO 31 62

TOTAL 50 100

INTERPRETATIONFrom the above table, it indicates that only 19 put of 50

respondents are ware of the Maruti Insurance scheme, where as nearly 31 out of 50 are not aware of Maruti Insurance scheme.



38%

62%

AWARE OF MARUTI INSURANCE SCHEME

YESNO

Inference:It is inferred that 62% of respondents are not aware of Maruti

Insurance Scheme.



15.APPLIED FOR MARUTI INSURANCE SCHEME


YES 7 14

NO 43 86

TOTAL 50 100

INTERPRETATIONIt is inferred that nearly 86% of respondents have not applied for

Maruti Insurance scheme; where as 7% of respondents have applied.



14%

86%

APPLIED FOR MARUTI INSURANCE SCHEME

YESNO

Inference:It is inferred that 86% of respondents are not aware of Maruti

Insurance Scheme.


CHAPTER 5

SUMMARY OFFINDINGS

AND CONCLUSION


Summary of findings1. According to the study it tell the marketers the style and

durability is the main thing to compete in the market

2. Maruti has provides finance facility for its customer which makes

customer to buy there product faster

3. According to the study it tells that the maruti companies products

are reasonable and stylish

4. Maruti companies products are more satisfied to the customers

than other company products

5. Maruti customers are satisfied with company’s price policy

6. According to the study it tells most of the customers are satisfied

with the features provided by the company

7. According to the study it tells only less percentage of customers

are applied for insurance



CONCLUSIONS

Maruti company is highly popular among the age group of 45-55

Customer are highly satisfied with its price and stylish of the

vehicle

Customers are highly satisfied with the technology of maruti cars

The most liked attributes of this car is easy availability of spares

Its revealed from the survey, majority of the customers are

highly satisfied with the performance of maruti cars.


CHAPTER 6

RECOMMENDATIONSAND

SUGGESTIONS


RECOMMENDATIONS OR SUGGESTIONS

1)The style and power should be increased to attract young age

customer.

2)The price of car is high it is not affordable to lower class people.

3)Maruti company is giving preference to the price and style company

should concentrate overall features.

4)Maruti company is not giving must importance to insurance scheme.

It has to give importance to insurance scheme.

5)Its should increase the service after the sale.


CHAPTER 8BIBLIOGRAPHY



BIBLIOGRAPHY

1)MARKETING MANAGEMENT : PHILIP KOLTER2)CONSUMERBEHAVIOUR : SUJA.R.NAIR3)WEBSITE : WWW.MARUTI.COM4)VARIOUS HANDBOOKS ON MARUTI COMPANY Ltd


CHAPTER

AXXEXURES

MARKETING STRATEGIES OF MARUTI UDYOG QUESSIONARIES

Name:

Address:

Age:

Less than 25( ) 25-35( ) 35-45( )

45-55( ) more than 55( )

Gender:

Male Female

1)Income per Annum?

Less than 2 lakh( ) 2 lakhs( )

2-3Lakhs ( ) more than 4Lakhs( )

2)In maruti which brand you prefer

Maruti 800 ( ) Maruthi Zen ( )

Maruti Omni ( ) Maruti Alto ( )

Maruti Baleno ( ) Maruti WagonR ( )

Maruti Gypsy ( ) Maruti Esteem ( )

Maruti Swift ( ) Maruti SX 4 ( )

3)Is Maruti is affordable or not?

High ( ) Reasonable ( ) Low ( )

4)Have your satisfied with the features of brand?

Yes ( ) No ( )


MARKETING STRATEGIES OF MARUTI UDYOG 5)Features preferred the most or brand preferred the most?

Size ( ) Price ( ) Style ( )

Efficiency ( ) Overall ( )

6)Is rating of spares concerned with preference?

Average ( ) Good ( ) Fare ( )

7)Rating of spares concerned with price?

Costly ( ) Reasonable ( ) Cheap ( )

8)Changes in pricing policy?

Yes ( ) No ( )

9)Is maruti providing test-drive to customers?

Yes ( ) No ( )

10)Sales convince your buying motive?

Yes ( ) No ( )

11)Which media influenced the most to buy the maruti brand?

Advertisement ( ) Friends ( ) T.V ( )

Dealers ( ) Others( )

12)Do you Aware about of maruti insurance scheme?

Yes ( ) No ( )

13)Do you applied for maruti insurance scheme?

Yes ( ) No ( )


m

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