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Sales and Distribution for Tata Motors and Fiat in India Sales and Distribution for Tata Motors Summer Training Report on Sales and Distribution for Tata Motors Submitted Partial fulfilment for the award of degree of Master of Business Administration Academic Session: 2011-13 Submitted By: Vikas Singal MBA 3 rd Semester Roll No:736/MBA/11 P.D.M.COLLEGE OF ENGINEERING Maharshi Dayanand University, Rohtak2011
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Tata motors final project on consumer satisfaction.

Sep 09, 2014

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Page 1: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Sales and Distribution for Tata Motors

Summer Training Report on

Sales and Distribution for Tata Motors

Submitted Partial fulfilment for the award of degree of Master of Business Administration

Academic Session: 2011-13

Submitted By: Vikas SingalMBA 3rd Semester

Roll No:736/MBA/11

P.D.M.COLLEGE OF ENGINEERINGMaharshi Dayanand University, Rohtak2011

Page 2: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

DECLARATION

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Sales and Distribution for Tata Motors and Fiat in India

CERTIFICATE

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Sales and Distribution for Tata Motors and Fiat in India

ACKNOWLEDGEMENT

I express my sincere gratitude to my industry guide Mr.Abhishek Grover ,

DIRECTOR, Grover Motors, for his able guidance, continuous support and

cooperation throughout my project, without which the present work would not have been

possible.

I would also like to thank the entire team of Grover Motors, for the constant support and

help in the successful completion of my project.

Also, I am thankful to my faculty guide Mr T.V.Raman of my institute, for his

continued guidance and invaluable encouragement.

Page 5: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Contents

Declaration

Certificate from Faculty guide

Acknowledgement

Executive Summary PAGE NO.Chapter 1. INTRODUCTION 71.1. Objectives1.2. Industry Profile 1.3. Company Profile

Chapter 2: Distribution of Tata Motors 34

Chapter 3. Research Methodology 443.1 Types of Research3.2 Data Collection Procedures Used in my Research3.3 Data Collection Techniques

Chapter 4. Findings and Analysis 47

Chapter 5. Conclusion 77 5.1 Conclusion and Recommendations 5.2 Learning from the Internship

References 80

Annexure (Sample Questionnaire) 82

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Sales and Distribution for Tata Motors and Fiat in India

EXECUTIVE SUMMARY

My Study will be limited to speedometers with reference to Sales and Distribution for

Tata Motors in India. To analyze the sales and distribution of TATA motors, I had taken

a dealership as a case study. By working in a dealership I came to know about the

distribution channel of the company.

The main purpose of pursuing my Summer Internship at Tata Motors was to get a better

understanding of the Indian Automobile Industry. Also, I wanted to specifically get an

overview of Tata Motor’s business group- the kind of customers it caters to, the attributes

which influence the sales of cars; and the strategies which may improve the sales of the

same.

The research started by conducting a small pilot study on a few respondents- this

process easily detects the errors in the questionnaire which may otherwise be overlooked.

I applied the tool of Questionnaires to collect data. I conducted the survey on the existing

customers of the company towards the sales and service of the vehicles. Consumers, from

eclectic age groups, were also surveyed to get a broader picture of their preferences.

Page 7: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

INTRODUCTION

1.1 Objectives

To study the distribution channel of Tata motors.

To conduct sales of cars of Tata Motors.

To analyze the customer's satisfaction by conducting a research.

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Sales and Distribution for Tata Motors and Fiat in India

1.2 INDUSTRY PROFILE

AUTOMOBILE INDUSTRY IN INDIA

In the fast moving world with the biggest countries with huge economies India has

managed to be the eleventh in the world for annual production of 2 million units

approximately. This sector in India is growing at a very fast rate and it has crossed China

in terms of selling the Units. In the matter of population India is the second largest

country in the world with a population of 1.1 billion. In this respect it is just next to

China. But it has a very small land mass as compared to China. India has become an

attraction for car manufacturers around the Globe as a graph of its ownership of car i.e. 7

per 1000 people.

Automobile industry in India comprises of 13 million direct and indirect employees. It

contributes 3.1% of India’s GDP (nominal) and the valuation of the industry is about US$

34 billion. India's motorcycle market with an annual sale of 5 million units is the second

largest around the globe. India has Fourth largest commercial vehicle market, Eleventh

largest passenger car market, Fifth largest bus & truck market (by volume) around the

globe.

With this growing pace India by 2016 is expected to be the seventh largest automobile

market and by 2030 worlds 3rd largest behind US & China.

Late 1890’s is the time when Automobile was introduced in India but it came into

existence only after the independence in 1947. Until 1980’s Hindustan Motors and some

small manufacturers Premier Automobiles, Tata Motors, Bajaj Auto, Ashok and Standard

Motors held an oligopoly till the time when Maruti Udyog Suzuki came into existance

after the death of the great Indian politician Sanjay Gandhi who championed the need for

a "people's car". It quickly gained over 50% of the market share. The Maruti 800 became

popular because of its low price, high fuel efficiency, reliability and modern features

relative to its competition at the time.

From the decades in the Indian automotive industry there were only few vehicle models

but then also there is a good lead time to get a car after the booking. So with changing

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Sales and Distribution for Tata Motors and Fiat in India

economy, competition, and urge to grow big we are here with more than 100 Models and

every moth with a new model to offer. Keeping in mind the comfort of the people and

their choice the models are prepared. Performance of vehicle is increasing day by day, its

fuel efficiency and reliability has no match with others around the globe.

Inspite of having manufacturing of major foreign automakers based in India our Indian

Domestic Automobile Companies are leading in the Market. Tata Motors is the largest

commercial vehicle company, Maruti Suzuki is the largest passenger vehicle company &

Hero Honda is the largest motorcycle company in India. Mahindra & Mahindra, Ashok

Leyland and Bajaj Auto are some more leading automobile manufacturers.

Automobile Domestic Sales Trends (Number of Vehicles)

Category 2006-07 2008-09 % change

Passenger Car 882208 1076408 22.01

Total Passenger Vehicles 1143076 1379698 20.7

Total Commercial Vehicles 351041 467882 33.28

Three Wheelers 359920 403909 12.22

Total Two Wheelers 7052391 7857548 11.41

Grand Total 8906428 10109037 13.5

Source: Society of Indian Automobiles Manufacturers.

Maruti Udyog Ltd, the biggest car maker of the country, selling 2, 93,536 vehicles

as against 2,43,211 in the corresponding year last year. having a growth rate of

about 20.7 per cent during April-August,2009

Mahindra & Mahindra Ltd's (M&M) cumulative sales with exports were 1,06,094

units compared to 78,144 units in the corresponding period last fiscal during the

April-September having a growth rate of about 35.8 per cent

Honda Siel Cars India Ltd. (HSCI), leading manufacturer of premium cars in

India, selling 41,638 units against 35,853 units. having a growth of 16.1 % in

cumulative sales for the period January to August, 2009.

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Sales and Distribution for Tata Motors and Fiat in India

DaimlerChrysler sold 1,681 units in India from January to August, growth of over

22 per cent from a year ago.

Car-maker General Motors India (GM), totally owned subsidiary of General

Motors Corporation, reported a 114 % increase in domestic sales during August at

5,817 units against 2,720 units in the same month last year.

Hero Honda crossed the 2 million unit sales mark during the Jan-Aug period.

Motorbike exports from India have grown to 3 to 21 to 321 units in the April-

August period this fiscal from 2 to 37 to 103 units in the same period last year.

CARS BY PRICE RANGE

Under Rs. 3 Lakhs

Maruti 800, Alto, Omni

Reva

Nano

Rs. 3-5 Lakhs

Ambassador

Fiat Palio

Hyundai Santro, Getz

Chevrolet Opel Corsa

Maruti Zen, Wagon R, Versa, Esteem, Gypsy

Ford Icon & Fiesta

Tata Indica, Indigo XL, Indigo Marina

Rs. 5-10 Lakhs

Chevrolet Swing, Optra Magnum, Tavera

Hyundai Accent, Elantra

Mahindra Scorpio

Maruti Baleno

Toyota Innova

Tata Safari

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Sales and Distribution for Tata Motors and Fiat in India

Mitsubishi Lancer, Mitsubishi Cedia

Honda City ZX

Mahindra Bolero

Hyundai Sonata Embera

Rs. 10-15 Lakhs

Toyota Corolla

Ford Mondeo & Endeavour

Chevrolet Forester

Skoda Octavia & Combi

Honda Civic

Rs. 15-30 Lakh

Honda CR-V

Maruti Suzuki Grand Vitara

Terracan & Tucson, Captiva

Mitsubishi Pajero

Audi A4

Opel Vectra

Honda Accord

Mercedes C Class

Toyota Camry

Major Companies

List of automobile manufacturers in India

Indian companies

Force Motors

Force Motors was formerly known as Bajaj Tempo Ltd. Founded in 1958, it is located in

Akurdi, a Pimpri-Chinchwad neighbourhood of Pune, India. They manufacture three

wheelers, multi utility and cross country vehicles, light commercial vehicles, tractors and

now heavy commercial vehicles.

Gama, Cruiser

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Sales and Distribution for Tata Motors and Fiat in India

Trax, Toofan, Challenger

Ashok Leyland

Ashok Leyland is a commercial vehicle manufacturing company based in Chennai, India.

In 1948, Ashok Motors was set up in what was then Madras, for the assembly of Austin

Cars. The Company's destiny and name changed soon with equity participation by British

Leyland and Ashok Leyland commenced manufacture of commercial vehicles in 1955.

For over five decades, Ashok Leyland has been the technology leader in India's

commercial vehicle industry, moulding the country's commercial vehicle profile by

introducing technologies and product ideas that have gone on to become industry norms.

Ashok Leyland has six manufacturing plants - the mother plant at Ennore near Chennai,

two plants at Hosur (called Hosur I and Hosur II, along with a Press shop), the assembly

plants at Alwar and Bhandara.

From 18 seater to 82 seater double-decker buses, from 7.5 tonne to 49 tonne in haulage

vehicles, from numerous special application vehicles to diesel engines for industrial,

marine and genset applications, Ashok Leyland offers a wide range of products.

Hindustan Motors

Hindustan Ambassador

Hindustan Motors is one of the oldest Indian car manufacturers. It is best known for the

Ambassador which has been virtually unchanged for about 30 years. It is still very

popular as a taxi and is widely used by Indian politicians. Many people have come to

associate India with Ambassador and is a prominent part of the Indian landscape.

Trekker (Discontinued)

Landmaster (Discontinued)

Contessa (Discontinued) - 5th Generation Vauxhall Victor

Ambassador - a version of the 1950s Morris Oxford

Mahindra & Mahindra Limited

Mahindra Classic

The automotive section of Mahindra started off when a first batch of seventy five Utility

Vehicles (UVs) was imported in CKD condition from Willys in 1947. It has come a long

way, not just manufacturing Jeeps but also agricultural equipment and light trucks.

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Sales and Distribution for Tata Motors and Fiat in India

Armada (Discontinued)

Voyager Discontinued)

Bolero

Commander

CL

MaXX

Scorpio

Mahindra and Mahindra Classic This was an open jeep with good off roading

capabilities, a 4*4 and 4*2 option, huge headlamps and roof mounted lights. ==

Maruti Suzuki

Maruti 800

Maruti Gypsy

Maruti Udyog was formed as a partnership between the Government of India and Suzuki

of Japan. It brought India its first "affordable" car, the Maruti 800. It is the biggest car

manufacturer in India and especially dominant in the small car sector. Then it brought out

The Maruti 1000, made by Maruti Udyog was the first ever contemporary sedan-type car

launched in India. The car (which Suzuki sold in other countries as the Cultus/Swift/Geo

Metro with a 1.3 L or 1.6 L engine) was introduced in October, 1990. Sold at Rs. 3.81

lakh, it was back then the costliest car released in the Indian market. Then the company

replaced it with Esteem and from that days on a line of Suzuki cars rolled out in the

Indian market.

800

Omni

1000 (Discontinued)

Maruti Zen (Discontinued, but revived and re-branded as the Zen Estilo)

Alto

Esteem(Discontinued)

Baleno - (Discontinued)

Baleno Altutra - (Discontinued)

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Sales and Distribution for Tata Motors and Fiat in India

Gypsy

Swift

SX4

WagonR

Versa

Zen Estilo - First Generation Suzuki MR Wagon

Grand Vitara - First Generation Suzuki Grand Vitara

Eigo

Multi-national companies

BMW

BMW is manufacturer of prestigious sport sedans that are known for their nimble

handling. BMW enjoys good brand recognition in India, thanks to Indian movies and the

rich who have been importing these cars for decades. It has set up a plant in Chennai,

Tamil Nadu, to manufacture cars locally exclusively for the local market with no plans

for export. It set up the plant to circumvent high import duties.

3 Series

5 Series

7 Series

Fiat

Fiat India has struggled in India since its inception. The Fiat Uno was one of the first

products to be introduced. The Fiat Palio was later introduced and was initially a big hit

with its style and ride comfort coupled with solid build but has slowly lost its sheen due

to low fuel efficiency. Other models were introduced such as the Palio Weekend and

Siena. Fiat tried re-branding of the Fiat Siena to Fiat Petra without much success. It roped

in Sachin Tendulkar as one of its brand ambassadors. Even Michael Schumacher

appeared in an ad for the Palio. It has entered now into an alliance with Tata Motors to

jointly manufacture cars at its plant in Ranjangaon, near Pune. The facility will enable the

two companies to make about 200,000 cars per annum, and also house an engine

manufacturing unit with a capacity of 250,000 units per annum. The alliance will also see

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Sales and Distribution for Tata Motors and Fiat in India

Tata Motors use Fiat's diesel technology - the 1.3 litre multijet diesel engine - for its own

vehicles. The two companies also have a distribution and service partnership.

Uno(Discontinued)

Palio

Palio Stile

Siena(Discontinued)

Siena Weekend (Discontinued)

Petra(Discontinued)

Adventure

Punto

Linea

Ford Motors

Ford entered India in collaboration with Mahindra & Mahindra in 1995 with a major

plant in Tamil Nadu. The first model was the Escort.

Escort (Discontinued) - It was offered with a 1.3 Liter petrol termed Alpha and

1.5 Liter Diesel engine termed Orion, and at a time when the car wars in India had

just begun. The diesel version was fancied by many due to the fact that diesel was

available at half the price of petrol(gasoline/gas) in India at that time. Among the

famous owners of the Ford Escort was Azim Premji who drove a black one for

almost eight years until he traded it for a Toyota Corolla. The Ford Escort 1.8 was

ranked the highest in the J.D. Power and Associates 1997 Indian Customer

Satisfaction Study. It was also voted the Best Quality Car in the J.D. Power India

Initial Quality Study.

Ikon - Was launched to phase out the Escort, known for the Rocam engine,

available with a choice of petrol and diesel version, the car did well. Ford is

known for launching new versions with some minor cosmetic changes every now

and then.

Mondeo (Discontinued) - Was Ford's offering to the D segment in India in 2001,

was brought in as a CBU from Belgium with Ghia being the only trim version

available. It was available with both 2.0L Duratorq diesel and 142 bhp 2.0L petrol

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Sales and Distribution for Tata Motors and Fiat in India

Duratec engines. It was the first car to be offered with Xenon HID headlamps in

India. It is alleged that the Mondeo performed better than the 2.3 L Accord

available in India at that time. But buyers stayed away as it was more expensive

than the Accord. The diesel version was phased out in 2003.

Endeavour - Sold as the Ford Everest in other parts of Asia and based on the

Ranger pickup, it was offered in both 4X4 and 4X2 options but with only a 2.5 L,

4 Cylinder In-line, Turbocharged & Inter cooled Diesel Engine and manual

transmission.

Fusion - was launched as an Urban Activity Vehicle available with a 1.6 L , 4 cyl

101 bhp (75 kW/102 PS) engine with 5 speed manual transmission. In 2007 a

diesel version was launched which has the same 1.4 L 68 bhp (51 kW/69 PS)

engine as the Fiesta.

Fiesta - Launched in November 2005 and was Ford's fifth model in India, and is

available in 1.6 L petrol and 1.4 L diesel engines. Bill Ford made a personal visit

to launch the car in India.

General Motors

Chevrolet has been one of the most recognized brands in India for several decades. They

were made popular as the vehicle of choice of the heroes in Bollywood movies. The

model lineup consists of vehicles from cheaper sister brands like Daewoo. General

Motors initially entered India with the Opel brand, but the Opel brand was dropped in

March 2006 because sales were at an all time low due to high prices and General Motors

wanted to focus more on their Chevrolet brand. Since the Chevrolet brand was introduced

in India, there have been no new Opel products.

GM's Indian operations were originally a JV between Hindustan Motors and GM, with

most of GM's vehicles assembled at Hindustan's plant in Halol, Gujarat. Since then, GM

India is now wholly owned by GM.

Cars from Chevrolet are:

Tavera - Rebadged Isuzu Panther

Forester - (Discontinued) Rebadged First Generation Subaru Forester

Aveo - Second Generation Daewoo Kalos sedan

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Sales and Distribution for Tata Motors and Fiat in India

Aveo UV-A - First Generation Daewoo Kalos hatchback

Optra - Rebadged Daewoo Lacetti

SRV - Rebadged Daewoo Lacetti

Spark - Formerly Daewoo Matiz in India

Cruze

Captiva

Honda

Honda Siel Cars entered India in 1995. It sells 4 cars in India - the City, Civic, Accord,

and CR-V. The manufacturing plant of Honda Siel is located in Greater Noida. The

model of Accord sold in India is the 2003 model. The most inexpensive car from Honda -

The City. The most Expensive - The Honda Accord V6.

Accord - It was introduced in India in July 2001. It is sold in three versions -

Accord VTi-L M/T, Accord VTi-L A/T and Accord V6 A/T. Both the engines,

the standard i-4 and V-6 have be de-tuned which produce less power compared to

the American models, the I-4 produces 142 bhp (106 kW/144 PS) while the V6

produces 221 bhp (165 kW/224 PS), de-tuned for better fuel efficiency.

City - Was launched in India in December 1997 ,initially offered in two options.

A 1.3 liter engine producing 90 bhp (67 kW/91 PS) and a bigger 1.5 liter

producing 100 bhp (75 kW/101 PS). Two years later a VTEC option was also

offered. All were four cylinder engines. In October 2003 the City underwent a

major revamp and is popularly called as New Honda City (NHC). Surprisingly

Honda gave the new City less powerful engines and decided to improve the fuel

efficiency. The new City features a 1.5 liter engine producing 77 bhp

(57 kW/78 PS). It offered more interior space and with bright and refreshing

interiors. About two years later, a face lifted version - CITY ZX - was introduced.

At the same time, a VTEC engine model too was introduced.

Civic - Was launched in July 2006 in India 6 months after the international debut.

The car is the first in this segment in India to offer unprecedented safety features

like ABS, EBD as standard. It is also the first in its class to feature reverse swing

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Sales and Distribution for Tata Motors and Fiat in India

windshield wipers. The only problem with the car with respect to India is its low

ground clearance.

CR-V - It was introduced in India along with the Accord. It was and is still

offered with a 2.4 liter i-VTEC engine producing 152 bhp (113 kW/154 PS).

Hyundai

When Hyundai entered India, the brand was virtually unknown in the Indian market.

They signed up Bollywood actor Shah Rukh Khan and their excellent advertising

campaign made Hyundai a household name and helped it reach the second place behind

market leader Maruti Suzuki.

Santro - second generation Hyundai Atos

Accent - second generation Hyundai Accent sedan

Sonata - sold as the Sonata Embera

Verna - third generation Hyundai Accent sedan

Getz - sold as the Getz Prime

Elantra - 3rd generation Hyundai Elantra sedan

Terracan (discontinued)

Tucson

i10 - brand new small car, global launch in India in 2007.

I20

Renault-Nissan

Logan In partnership with Mahindra and Mahindra

Mercedes-Benz

M-Class

S-Class

E-Class

C-Class

Mercedes-Benz has had to cater to the ever growning luxury segment in India, in a much

better fashion now, especially after the arrival of the other luxury German manufacturers.

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Now, Mercedes-Benz cars are launched in India soon after the worldwide launch and

homologation as opposed to earlier, when Mercedes-Benz had monopolized the niche

Indian market.

Mitsubishi Motors

Lancer - Sixth Generation Mitsubishi Lancer

Cedia - Seventh Generation Mitsubishi Lancer

Pajero - Second Generation Mitsubishi Pajero

Montero - Third Generation Mitsubishi Pajero

Škoda

Škoda is an important car manufacturer of India. It recently launched the Laura, the

Octavia still continues to exist. Skoda also offers the Superb in India but it's not too

popular.

Octavia

Superb

Laura

Fabia

Toyota

Toyota Kirloskar sells 4 car models in India. It stopped producing the Toyota Qualis to

make way for the Toyota Innova, which was launched in India in 2005. The most

expensive car from Toyota is a very powerful SUV - The Land Cruiser Prado. Toyota

Kirloskar Motors LTD is a joint venture between Toyota Motor Corporation and the

Kirloskar Group.

Qualis (Discontinued) - 3rd Generation Toyota Kijang

Camry - 6th Generation Toyota Camry

Corolla - 9th Generation Toyota Corolla

Innova

Land Cruiser Prado - 3rd Generation Toyota Prado

SWOT

STRENGTHS

Largest production base about cars per day

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Different model exported to different country.

Well established networking and distribution system in 30 countries of the world.

Market share of 30% in the Indian car industry.

Good technical support and service abroad.

Produces the most fuel efficient vehicles.

Highly efficient and technical staff abroad.

Good customer support.

Good infrastructure in Europe.

WEAKNESS

Low emphasis on research and development

Technology in automobile is out dated.

OPPORTUNITIES

Largest market in Europe and also good market in India.

THREATS

Competition from the automobile industry of the world.

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1.3 COMPANY PROFILE

a. Review of literature on the company

Tata Motors

Tata Motors Limited (formerly known as TELCO (TATA Engineering and Locomotive

Company), (NYSE: TTM) - is India's largest passenger automobile and commercial

vehicle manufacturing company. It is a part of the Tata Group, and has its headquarters in

Mumbai, Maharashtra.

One of the world's largest manufacturers of commercial vehicles and known for its

hatchback passenger vehicle Tata Indica, Tata Motors has its manufacturing base in

Jamshedpur, Lucknow, Pune and Singur. The OICA ranked it as the world's 21st largest

vehicle manufacturer, based on figures for 2006.[1]

Tata Motors was established in 1945, when the company began making trains. Tata

Motors was first listed on the NYSE in 2004. Tata Motors gained Rs. 320 billion during

2001-2006 which was among the top 10 corporate profits in India. In 2004 it also bought

Daewoo's truck manufacturing unit, now known as Tata Daewoo Commercial Vehicle, in

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Sales and Distribution for Tata Motors and Fiat in India

South Korea. In March 2005, it acquired a 21% stake in Hispano Carrocera SA, giving it

controlling rights in the company. On 10 January 2008, Tata Motors launched their much

awaited Tata Nano, noted for its Rs 100,000 price-tag, at Auto Expo 2008 in Pragati

Maidan, Delhi.

Tata Motors commences distribution of Fiat Cars across India

Tata Motors and Fiat India Private Limited announced the commencement of the new

Tata-Fiat dealer network to sell both Tata and Fiat branded cars, along with service and

sales of spare parts, in 11 cities across India.

The Tata-Fiat dealer network comprises 25 existing Tata Motors Passenger Vehicles

dealers and 3 existing Fiat India dealers. The 28 Tata-Fiat dealers will sell the Fiat Palio

(1.2 EL PS, 1.2 ELX, 1.6 Sports) and the Fiat Adventure (1.6 Sports), and all Tata

Motors Passenger Vehicles - the Tata Indica, the Tata Indigo, the Tata Indigo Marina, the

Tata Sumo and the Tata Safari.

The beginning of operations of the Tata-Fiat dealer network follows the agreement,

announced by the Fiat Group and Tata Motors on January 13, 2006, to cooperate on

dealer network sharing. The execution of the distribution arrangement is the first

initiative post the signature of the Memorandum of Understanding signed between the

Fiat Group and Tata Motors in September 2005. Discussions are on to explore other

areas of co-operation, on which specific announcements can be expected once their

feasibility is established.

Commenting on the commencement of the Tata-Fiat dealer network, Mr. Rajiv Dube, Sr.

Vice-President (Manufacturing & Commercial - Passenger Cars Business Unit), Tata

Motors, said, “Tata Motors is delighted to be partnering Fiat India in bringing a larger

portfolio of products under a single roof at our joint dealerships. Between the Tata and

Fiat brands, the company is in a position to offer one of the widest product offerings in

the Indian market with the promise of several exciting options to come.”

Mr. Giovanni de Filippis, Managing Director of Fiat India Private Limited, said, “The

coming together of Tata and Fiat through the dealer network sharing signifies better

service, after sales support and more convenience to Fiat customers. Our customers have

always been delighted with the superior build quality of our cars. The after sales support

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Sales and Distribution for Tata Motors and Fiat in India

that comes with the Tata trust will complement this, and Fiat is confident of serving its

customers better.”

Existing Fiat dealers will continue to retail the full range of Fiat offerings, including the

Fiat Petra.

About Fiat

One of the pioneer companies in the automobile industry, Fiat has produced more than 85

million passenger cars and light commercial vehicles, including no less than 400 models,

since 1899, when the company was founded in Turin, Italy. Some of them have

represented milestones in the automotive industry. The Fiat Group’s Automobiles Sector

operates world-wide with the following brands: Fiat, celebrated for value, economy, and

innovation and whose mass produced cars are distributed over almost the entire price

class spectrum; Lancia (acquired in 1969) means prestige cars noted for their elegant

styling, and comfort; Alfa Romeo (acquired in 1986) is famous as a maker of sport and

luxury vehicles of style and distinction; Maserati (acquired in 1992) represents a

landmark in the history of the automobile; Ferrari (acquired in 1969), well renowned for

unsurpassed design, performance, and luxury, is a legendary automobile that imparts

special cachet to its owner.

Fiat India Private Limited, with its renewed brand strategy for the Indian market, is

focused on the premium end of the B & C category in the growing automobile sector.

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Fiat Adventure Sport is the latest offering targeted at the new generation of customers

who enthusiastically seek out the latest trends in style, safety, engine and performance.

Fiat’s superiority in design and technology has been re-emphasized from the fact that its

1.3-multi jet has been chosen as the “Engine of the Year 2005” in the 1 to 1.4 litres by the

Jury of the “International Engine of the Year” award.

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b. Historical analysis

Background

Tata Motors is a company of the Tata and Sons Group, founded by Jamshetji Tata. It is

currently headed by Ratan Tata.

The company has the workforce of 24000 employees working in its four plants and other

regional and zonal offices across the country.

Tata Motors' range of passenger cars is still not comprehensive by international

standards. In commercial vehicles, Tata Motors commands an imposing 65% market

share in the domestic heavy commercial market. The company is trying to modernise its

range of commercial vehicles. Tata Motors hived off its vehicle finance business into a

separate subsidiary, TML Financial Services (TMLFS), in September 2006.

Time line and milestones

Tata Motors launches its first truck in collaboration with Mercedes-Benz

1960-1986

Tata Motors is the 2nd largest commercial vehicle maker in India. World over it is the

world's fifth largest medium and heavy commercial vehicle manufacturer. It started its

journey in 1960 with the manufacturing of first commercial vehicle (a copy of a Daimler

Benz model) in Pune. It took five years for the company to begin the commercial

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Sales and Distribution for Tata Motors and Fiat in India

production of heavy commercial Vehicles. Considering the road infrastructure of the

country which does not support heavy vehicles the company adopted a route for light

commercial vehicles (LCV). It came out with its first LCV, Tata 407, in 1986.

1987-1996

Tatamobile introduced in 1989. Post liberalization, in order to expand rapidly, the

company adopted the route to joint ventures. In 1993 it signed with Cummins Engine

Co., Inc., for the manufacture of high horsepower and emission friendly diesel engines. It

was an effort made to reduce the pollution in the existing Tata engines and to produce

more environmentally friendly engines. Furthering the trail of JVs it signed a joint

venture agreement with Tata Holset Ltd., UK, for manufacturing turbochargers to be used

on Cummins engines.

1997-2006

In 2000, it launched compressed natural gas (CNG) buses and also filled the product line

gap through the introduction of the 1109 vehicle which is an intermediate commercial

vehicle and is useful for medium tonnage loads. Post 2000, the company introduced a

variety of new models. It introduced the Ex- series vehicles with high tonnage capacity

and high pick up and also came out with the entirely new LCV (207 DI) with direct

ignition technology to cater to the customers' requiring one and same vehicle for

commercial as well as personal use.

Tata Novus

In 2004, it acquired the Daewoo Commercial Vehicle Company of South Korea. The

reasons behind the acquisition were:

Company’s global plans to reduce domestic exposure The domestic commercial

vehicle market is highly cyclical in nature and prone to fluctuations in the

domestic economy. Tata Motors has a high domestic exposure of ~94% in the

MHCV segment and ~84% in the light commercial vehicle (LCV) segment. Since

the domestic commercial vehicle sales of the company are at the mercy of the

structural economic factors, it is increasingly looking at the international markets.

The company plans to diversify into various markets across the world in both

MHCV as well as LCV segments.

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To expand the product portfolio Tata Motors recently introduced the 25MT GVW

Tata Novus from Daewoo’s (South Korea) (TDCV) platform. Tata plans to leverage on

the strong presence of TDCV in the heavy-tonnage range and introduce products in India

at an appropriate time. This was mainly to cater to the international market and also to

cater to the domestic market where a major improvement in the Road infrastructure was

done through the National Highway Development Project On its journey to make an

international foot print, it continued its expansion through the introduction of new

products into the market range of buses (Starbus & Globus).

Joint ventures

In 2005, sensing the huge opportunity in the fully built bus segment, Tata Motors

acquired 21% stake in Hispano Carrocera SA, Spanish bus manufacturing company and

introduced its high-end inter-city buses in the country.

Tata Motors has also formed a 51:49 joint venture with Marcopolo S.A., a Brazil-based

global leader in bus body building. This joint venture is to manufacture and assemble

fully-built buses and coaches targeted at developing mass rapid transportation systems.

The joint venture will absorb technology and expertise in chassis and aggregates from

Tata Motors, and Marcopolo will provide know-how in processes and systems for

bodybuilding and bus body design.

A venture with British carmaker MG Rover saw the launch of the CityRover in 2003.

This car was based on the Tata Indica and built alongside it in India, but sales were not

strong and production finished in April 2005 when MG Rover went bankrupt. MG Rover

was purchased by Nanjing Automobile of China three months later, but when car

production resumed in 2007, the City Rover was not part of the production plans.

Tata Ace

The latest hit of Tata Motors is its mini truck Ace. Ace, India's first indigenously

developed sub-one ton mini-truck, was launched in May 2005. It was an instant hit.

Analysts opined that Ace had changed the dynamics of the light commercial vehicle

(LCV) market in India by creating a new market segment termed the SCV segment. Ace

rapidly emerged as the first choice for transporters and single truck owners for city and

rural transport. By October 2005, since the launch of Ace, LCV sales of Tata Motors had

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Sales and Distribution for Tata Motors and Fiat in India

grown by 36.6 percent to 28,537 units due to the rising demand for Ace. The Ace was

built with a load body produced by Autoline Industries. [3] By 2005, Autoline was

producing 300 load bodies per day for Tata Motors. Autoline

In 2005, Tata Motors became the only major engine manufacturer in the world (aside

from a Briggs & Stratton emissions test) to express any formal interest in the turbulence-

boosting cylinder head grooves invented by Somender Singh (Mysore).

2007

Tata Indigo

Tata Motors, through its joint venture with Fiat, gained access to Fiat’s diesel engine

technology and is likely to gain access to the latter’s strong overseas distribution network

for its passenger cars. Tata Motors is looking to extend this relationship to other segments

like pick-ups and MHCVs. The company also plans to expand its global footprint with

the launch of ‘Global Truck’ and ‘Global Pick-up’ in domestic and international markets

by 2007-08. Tata Motors plans to launch the new pick-up in India, Southeast Asia,

Europe, South Africa, Turkey and Saudi Arabia. The launch of the global truck will mark

the entry of the company into developed markets like Europe and the United States. The

project was initially a collaboration between Tata Motors and its subsidiary Tata Daewoo

Commercial Vehicles, but later Tata Motors decided to work with Iveco as Daewoo’s

design was not in sync with the needs of sophisticated European customers. The company

has formed a joint venture with Thailand’s Thonburi,( Exhibit-1) an independent auto

assembler, in which Tata Motors will hold a 70% stake. The joint venture will set up a

plant with capacity to manufacture pick-ups a year and will sell them in Thailand, the

second largest pick-up market in the world, and in other regional markets. The joint

venture product is likely to be a part of Tata Motors’ ‘Global pick-up’ plans.

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Sales and Distribution for Tata Motors and Fiat in India

2008 onwards

On January 3rd, 2008, The Hindu Business Line reported that Ford Motor Company (US)

named Tata Motors the "preferred bidder for Ford's British marquees Jaguar and Land

Rover ... but a final decision for the sale was yet to be taken".

Auto policy of Government of India (GOI) envisions to establish a globally competitive

automotive industry in India and to double its contribution to the economy by 2010. GOI

policy has rightly recognized the need for modernizing of vehicles to arrest degradation

of air quality. The terminal life policy for commercial vehicles and move toward

international taxing policies linked to age of vehicles, are steps in the right direction

which will lead to increased sales for Tata motors Commercial vehicle division.

Effect of Government Policy on Tata Motors CV Division Commercial Vehicles segment

sector has been at the forefront of the strong showing by the automotive industry over the

past few years. Following factors have led to growth in sales:

The cut in excise duty that enabled manufacturers like Tata Motors to reduce

prices

The attractive financing offers and freebies enabled by low interest rate policies

by Government

the need to transport higher volumes of agricultural and industrial goods

Low interest rates

Tata Xover

New auto policy considered by Government of India last announced an automobile policy

in December 1997. The policy required majority-owned subsidiaries of foreign car firms

to invest at least $50 million in equity if they wished to set up manufacturing projects in

India. It also forced them to take on export obligations to fund their auto part imports and

required them to submit to a schedule for increasing the share of locally made parts in

their cars. Mere car assembling operations were not welcomed.

An Indian cabinet panel will soon consider a new automobile policy that aims to set fresh

investment guidelines for foreign firms wishing to manufacture vehicles in the country.

Investments in making auto parts by a foreign vehicle maker will also be considered a

part of the minimum foreign investment made by it in an auto-making subsidiary in India.

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The move is aimed at helping India emerge as a hub for global manufacturing and

sourcing for auto parts. The policy sets an export target of $1 billion by 2005 and $2.7

billion by 2010. The policies adopted by Government will increase competition in

domestic market, motivate many foreign commercial vehicle manufactures to set up

shops in India, whom will make India as a production hub and export to nearest market.

Thus Tata Motors CV will have to face tough competition in near future, which might

affect its growth negatively

Global competition

Tata Motors have some distinct advantages in comparison to other MNC competitors.

There is definite cost advantage as labor cost is 8-9 percent of sales as against 30-35

percent of sales in developed economies. Tata motors have extensive backward and

forward linkages and it is strongly interwoven with machine tools and metals sectors.

India is an excellent source for IT based engineering solution for products & process

Integration. There are strong supporting industries i.e. auto component industry has world

class capabilities. There is huge demand in domestic markets due to infrastructure

developments and Tata Motors is able to leverage its knowledge of Indian market. There

are favorable Government polices and regulations to boost the auto industry i.e. Incentive

for R&D.

c. SWOT

SWOT Analysis - Tata Motors Limited

The company began in 1945 and has produced more than 4 million vehicles. Tata Motors

Limited is the largest car producer in India. It manufactures commercial and passenger

vehicles, and employs in excess of 23,000 people.

Strengths

The internationalisation strategy so far has been to keep local managers in new

acquisitions, and to only transplant a couple of senior managers from India into

the new market. The benefit is that Tata has been able to exchange expertise. For

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example after the Daewoo acquisition the Indian company leaned work discipline

and how to get the final product 'right first time.'

The company has a strategy in place for the next stage of its expansion. Not only

is it focusing upon new products and acquisitions, but it also has a programme of

intensive management development in place in order to establish its leaders for

tomorrow.

The company has had a successful alliance with Italian mass producer Fiat since

2006. This has enhanced the product portfolio for Tata and Fiat in terms of

production and knowledge exchange. For example, the Fiat Palio Style was

launched by Tata in 2007, and the companies have an agreement to build a pick-

up targeted at Central and South America.

Weaknesses

The company's passenger car products are based upon 3rd and 4th generation

platforms, which put Tata Motors Limited at a disadvantage with competing car

manufacturers.

Despite buying the Jaguar and Land Rover brands (see opportunities below); Tat

has not got a foothold in the luxury car segment in its domestic, Indian market. Is

the brand associated with commercial vehicles and low-cost passenger cars to the

extent that it has isolated itself from lucrative segments in a more aspiring India?

One weakness which is often not recognised is that in English the word 'tat' means

rubbish. Would the brand sensitive British consumer ever buy into such a brand?

Maybe not, but they would buy into Fiat, Jaguar and Land Rover (see

opportunities and strengths).

Opportunities

In the summer of 2008 Tata Motor's announced that it had successfully purchased

the Land Rover and Jaguar brands from Ford Motors for UK £2.3 million. Two of

the World's luxury car brand have been added to its portfolio of brands, and will

undoubtedly off the company the chance to market vehicles in the luxury

segments.

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Tata Motors Limited acquired Daewoo Motor's Commercial vehicle business in

2004 for around USD $16 million.

Nano is the cheapest car in the World - retailing at little more than a motorbike.

Whilst the World is getting ready for greener alternatives to gas-guzzlers, is the

Nano the answer in terms of concept or brand? Incidentally, the new Land Rover

and Jaguar models will cost up to 85 times more than a standard Nano!

The new global track platform is about to be launched from its Korean

(previously Daewoo) plant. Again, at a time when the World is looking for

environmentally friendly transport alternatives, is now the right time to move into

this segment? The answer to this question (and the one above) is that new and

emerging industrial nations such as India, South Korea and China will have a

thirst for low-cost passenger and commercial vehicles. These are the

opportunities. However the company has put in place a very proactive Corporate

Social Responsibility (CSR) committee to address potential strategies that will

make is operations more sustainable.

The range of Super Milo fuel efficient buses are powered by super-efficient, eco-

friendly engines. The bus has optional organic clutch with booster assist and

better air intakes that will reduce fuel consumption by up to 10%.

Threats

Other competing car manufacturers have been in the passenger car business for

40, 50 or more years. Therefore Tata Motors Limited has to catch up in terms of

quality and lean production.

Sustainability and environmentalism could mean extra costs for this low-cost

producer. This could impact its underpinning competitive advantage. Obviously,

as Tata globalises and buys into other brands this problem could be alleviated.

Since the company has focused upon the commercial and small vehicle segments,

it has left itself open to competition from overseas companies for the emerging

Indian luxury segments. For example ICICI bank and DaimlerChrysler have

invested in a new Pune-based plant which will build 5000 new Mercedes-Benz

per annum. Other players developing luxury cars targeted at the Indian market

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Sales and Distribution for Tata Motors and Fiat in India

include Ford, Honda and Toyota. In fact the entire Indian market has become a

target for other global competitors including Maruti Udyog, General Motors, Ford

and others.

Rising prices in the global economy could pose a threat to Tata Motors Limited

on a couple of fronts. The price of steel and aluminium is increasing putting

pressure on the costs of production. Many of Tata's products run on Diesel fuel

which is becoming expensive globally and within its traditional home market.

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Sales and Distribution for Tata Motors and Fiat in India

2 Distribution Strategy/ Channels of the Tata Motors and Fiat in India

Distribution of the product

Distribution Method

Distribution always takes place through a cycle but it is different with the products.

There are several steps which complete the entire cycle. It usually starts with

manufacturer then to distributor and then finally reaches in the hand of consumer. This is

the main cycle which is used globally. Retail may takes place before it reaches to the

consumer.

MANUFACTURER – DISTRIBUTOR – CONSUMER

1st distribution channel

 

 

1.   In this type of channel the company uses its sales representatives to deal with the

dealers directly. The dealers place the order through the sales representatives who visit

them periodically, and the products are delivered directly from the company.

Some companies appoint Direct Dealers who act as their Franchisee Outlets or their

Exclusive showrooms.

2nd distribution channel

 2.   In this channel of distribution the company appoints distributors on the basis of

District/ Population /No of Dealers to be handled by one distributor. The area of

operation and its potential is also taken into consideration.

Some of the companies make the distributor totally responsible from appointing the

dealers to providing after sales service.

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Sales and Distribution for Tata Motors and Fiat in India

3rd distribution channel

 3.   In this channel of distribution the company appoints Distributors as well as Direct

Dealers. The company appoints distributors to deal with small dealers who order small

quantities. With the dealers who have good potential and sales the company deals

directly.

4th distribution channel

4.    In this channel the company appoints a C&F agent who acts on behalf of the

company. The C&F agent is totally responsible for appointment of Distributors and

Direct Dealers. He sells to both the Distributors and the Direct Dealers at the same rates.

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TATA MOTORS

S y s t e m I n t e g r a t o r s

D i s t r i b u t o r s

CUSTOMER

R e s e l l e r s

Own sales force

V O L U M ER E S E L L E r R

Value Resel le rs

Sales and Distribution for Tata Motors and Fiat in India

DISTRIBUTION NETWORK TATA MOTORS

TIER I

TIER I

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Sales and Distribution for Tata Motors and Fiat in India

CHANNEL STRUCTURE

Scenario 1 Scenario 2

Company’s warehouse Customer

(Placing

Order (Direct billing)

Directly)

Customer

To save the consumer from paying extra amount in the form of taxes and duties a

consumer can directly place an order with the Tata Motors warehouse is a pictorial

representation of the same, also there maybe a case where all the 4 or any one of the

national Dealers have warehouses in Singapore and consumer places order with these

distributor then in that case these distributors will place the order to Tata Motors which

will have direct billing with the distributors and distributors will have direct billing with

the consumer.

How do the finished products of your company move from your end to

consumer’s end?

In this distribution network a customer with the small requirement reaches the reseller

who buys the product from the big distributors like Ingram, Redington,Tech pacific and

iris.

How the finished products moves from Tata Motors end to consumer’s

end:

CONSUMER RESELLER

CONSUMER RESELLER

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Consumer

Retailer

Distributer

C&F

Tata MotorOrganization

Sales and Distribution for Tata Motors and Fiat in India

In this distribution network a customer with the small requirement reaches the reseller

who buys the product from the big distributors like Ingram, Redington, Tech pacific and

iris.

This model is drawn to show that for named accounts or big business opportunities it is

the companies’ own sales force and system integrators (value resellers), which hunts

down the prospective business.

Distribution Channels

Channel Structure

1. Outside Pune

BUSINESS

SALES FORCE

VALUERESELLER

Tata Motors

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Sales and Distribution for Tata Motors and Fiat in India

2. There are 17 C&F and 50 distributors who directly deal with Tata Motor.

Functions performed by different channel member

1. The main functions of different channel members are to supply goods, to achieve

targets and to increase sales.

2. One of the main functions of C&F is to achieve the targets assigned to them. They are

responsible for all the activities of their areas.

3. The sale of other goods including the sale of its entire outlet is around 150 crores.

Selection of Channel members: -

Channels members are selected if the following facilities are available:-

1. Godown Facilities

2. Experience sale persons.

3. Van, truck, three-wheelers for transportation.

4. Registered office.

5. Proper computer facility of maintaining accounts.

6. Financially strong.

Financial terms and conditions

Tata Motor takes the full payment in advance from the distributor and C&F. Most

probably it takes Cheque if it is local payment and Demand Drafts if it is central

payment. From some distributors Tata Motor also take cash also but always try to avoid

it. No credit facilities are given to any distributor or C&F.

Tata Motor keep some blank cheques from some distributor and C&F even before taking

the order and use the cheque after delivering the goods.

Distributor and C&F mostly sale goods on credit basis which varies from one to another.

Tata Motor give 6-7% discount to C&F and distributor. No margin is given to them. But

they give margin of 10-12% to retailers.

Tata Motor is responsible if any goods spoiled or leak on the way in its transport.

Tata Motor also give 1-2% discount that takes responsibility of spoiled goods. Mainly

these options are given to those who are very far from Raipur and occurred heavy

expense of transport to return back the goods.

To promote sale Tata Motor give extra discount of 2-3 % where the sale is low.

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Order processing

Sale persons of C&F and distributors go to the retailers of their areas and bring the order

daily. After that they give order in the Corporate Office of Tata Motor in Raipur to the

general manager. From corporate office general manager give order in the factory.

the order is ready to deliver and confirming from the corporate office, the goods are

delivered in the trucks.

Order within Raipur and the places near Raipur delivered within 24 hours.

Order outside Raipur delivered according to the distance. It takes from 24 hours to 72

hours.

Every distributor and C&F has a fixed day in a week to give order.

Warehousing

Tata Motor has its own warehouse, which is manage by its own staff. The order of Tata

Motor is delivered by truck. Tata Motors pay expenses for transportation from which the

Tata Motor deals directly.

Sales functioning: -

Factors taken into account while assigning targets and territories

Population of the area.

Income of the consumers in that area.

Sales during festival seasons.

Area cover.

Targets

Targets are decided by the owner of the Tata Motor for every distributor and C&F. Every

year targets are increased by 10-15%. All the Distributor and C&F have to achieve

minimum 90 % of its targets monthly and remaining has to adjust with the next month

target. There is a meeting held every month of C&F and distributors with the General

Manager of Tata Motor where they find reasons for not achieving the targets and how

they overcome by this problem. In this meeting extra benefits are also given for achieving

the targets.

Responsibilities of the sales person

To supply goods.

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Sales and Distribution for Tata Motors and Fiat in India

To make new customers.

To bring the order from retailers of their area.

To promote Tata Motor Tata Car.

To report about the sale.

Performance Appraisal

The manager on the targets basis checks the performance of the sales person. The

performance appraisal is check on monthly basis. It is check as regard to achieve target.

The sales persons give daily report to the manager and on that basis the performance is

checked and new target is assigned.

Functions performed by different channel member

The main functions of different channel members are to supply goods and

give monthly report in the organization.

The channel members also supply goods in the outlets of the Tata Motor

India.

They frequently visit outlet of Tata Motor India within Raipur and outside

Raipur to check the sales and whether the target is achieving or not.

They also promote Tata Motor India Tata Car.

The main role of showroom is to supply goods to the area that are assign to

them.

They are responsible for achieving the target assign to them.

Selection of Channel members: -

Channels members are selected if the following facilities are available:-

Financially strong.

Transport facilities.

Registered office.

Godown Facilities.

Selection of channel member for the Franchise

Asked around 1.5 crore for franchise

Space required – 12000 Sq feet

Preference given in Mall

Transport Facilities

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Sales and Distribution for Tata Motors and Fiat in India

Godown available.

Financial terms: -

In Raipur the Sales of Tata Motor India is done mainly on credit basis. The credit

time is not same for the entire distributor. The Finance department of the

company decides the credit period of the Distributor after consulting by sale

manager.

Outside Raipur the payment is received at the time of delivered of goods.

Maximum 15 days allowed paying the payment.

Extra benefit of 1-2% given to distributors who have achieved their annual target.

Order processing

From the main office the order is passed in the factory where production manager

note down the order and report back to the office when the order is ready.

Order within Raipur and the places delivered within 24 hours.

Order outside Raipur delivered according to the distance. It takes from 24 hours to

72 hours.

Warehousing:-

Tata Motor India has its own warehouse, which is manage by its own staff.

Sales Distributions

Factors taken into account while assigning targets and territories

Targets achieve last year.

Area covered by the Distributors.

Sale made during Festivals seasons.

Locations (for outlets).

Targets

The sales manager decides targets of the distributors. There is an increase in target of 5-

10% annually both for distributor. The targets of both are checked quarterly by the sales

manager and if the target are not seen to be achieve then Tata Motor India sent their own

sales person and try to increase the sales.

Responsibilities of the sales person

To supply goods to distributors and in outlets.

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Sales and Distribution for Tata Motors and Fiat in India

To make new customers.

To bring the order from retailers of their area.

To promote Tata Motor India Tata Car.

To report about the sale and steps taken to increase the sale.

Performance Appraisal

The sales manager checks the performance of the sales person on target basis and the area

covered. The performance appraisal is check on quarterly basis and on that basis there

Sales Manager assigns new target.

Comparison of Sales and distribution in Tata Motor and Tata Motor India

In the distribution channels both the organization have same distribution channel. But

in other parts of the country Tata Motor distribute the Tata Car through C&f and Tata

Motor India distribute through Super. But the main functions of both are more or less

same.

Tata Motor doesn’t give franchise but Tata Motor India does and offer around 1-2

crores for that.

Tata Motor take the payment in advance but Tata Motor India takes payment at the

time of delivering of the goods and also gives credit to some dealers.

Both have their own warehouses, which are manage by their own staff.

Tata Motor increases the annual target of Distributor and C&f by 10-15% whereas

Tata Motor India increases by 5 – 10%.

The owner of Tata Motor checks the annual target of all the distributors and C&F

whereas in Tata Motor India Sales manager checks it.

The performance of the Sales person is check on monthly basis in Tata Motor

whereas on quarterly basis in Tata Motor India.

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Research Methodology

3.1 Types of research

Based on the objectives of the study, there are two types of Research:

Exploratory Research- Exploratory research is conducted when one is seeking

insights into the general nature of a situation, the possible decision alternatives,

and the relevant variables that need to be considered. While conducting my study,

I used exploratory research, which was flexible and was aimed at identifying all

the attributes that provides satisfaction to customers before and after buying a

vehicle. I undertook an intensive review of the automobile industry in India, and

screened some issues which I as a researcher felt needed more clarification or

study.

Descriptive research- My exploratory research conducted brought out a host of

factors which affect the customer buying attitude. These factors were then filtered

to form a set of the most important alternatives, which might affect a consumer’s

and a retailer’s decision regarding the purchase of vehicle and which brand they

prefer. The purpose was to find an accurate snapshot of the market environment

of automobiles.

3.2 Data collection procedure used in my research :

Pilot Study

After constructing the questionnaire, the pilot survey was conducted among 6 individuals

from the sales force of the company to find out the errors, if any.

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Questionnaire

The questionnaire method has come to the more widely used and economical means of

data collection. The common factor in all varieties of the questionnaire method is its

reliance on verbal responses to questions, written or oral. The researchers found it

essential to make sure the questionnaire was easy to read and understand to all spectrums

of people in the sample. It was also important as researchers to respect the samples time

and energy hence the questionnaire was designed in such a way, that its administration

would not exceed 4-5 minutes. The questionnaires were personally administered. As far

as possible, the questionnaires were filled by me and not given to the respondents.

Field work

Field work is a general descriptive term for the collection of raw data direct from the

consumers, as opposed to secondary research. It plays an important role in collecting the

data. My sample size was 157. In my research, I had to take the feedback from the

existing customers of Tata Motors to know about their satisfaction level and the areas in

which the company was lagging.

Some important points which I kept in mind while doing the fieldwork-

Making the respondents comfortable before questioning them by introducing

ourselves as students of Amity Business School and ensuring the respondent that

all information collected is only for academic purpose and will be kept absolutely

confidential.

Ensuring that we fill the questionnaires ourselves.

Not leading a person into any preconceived notion.

Not influencing the respondents’ answers in any way/form.

Using simple language, so that the technical language does not intimidate the

respondent.

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3.3 Data collection techniques

Primary data

Pilot Study

Questionnaire

 Secondary data

It refers to the already existing data. I collected them by following methods –

Internet

Books

Published Articles

Journals

Newspaper Articles

 

Data Interpretation Tools

Following software’s has been used during analysis and compiling of data.

SPSS Software

Microsoft Excel

Microsoft Word

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4. FINDINGS AND ANALYSIS

Q 1)

Which of the following best describes your line of work?

Frequency Percent Valid Percent

Cumulative

Percent

Valid services 36 22.9 22.9 22.9

business 66 42.0 42.0 65.0

student 27 17.2 17.2 82.2

Taxi services 28 17.8 17.8 100.0

Total 157 100.0 100.0

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From this we interpret that most of the customers in that area are business people

followed by service class. The housewives do not come to the showroom for the service

or purchase of cars.

Q2)

What parameters do you seek in a car before buying

Frequency Percent Valid Percent

Cumulative

Percent

Valid brand popularity 19 12.1 12.1 12.1

Performance 69 43.9 43.9 56.1

looks & style 69 43.9 43.9 100.0

Total 157 100.0 100.0

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The customers look for performance and looks& style in a car before purchasing it.

Brand name does not play a vital rule in it.

Q3)

how long have you been associated with tata motors

Frequency Percent Valid Percent Cumulative Percent

Valid 0-1 18 11.5 11.5 11.5

1-3 54 34.4 34.4 45.9

3-5 66 42.0 42.0 87.9

more than 5 19 12.1 12.1 100.0

Total 157 100.0 100.0

Q4)

Which company's car do you possess

Frequency Percent Valid Percent Cumulative Percent

Valid Tata 106 67.5 67.5 67.5

Fiat 51 32.5 32.5 100.0

Total 157 100.0 100.0

Most of the customers prefer buying Tata cars over Fiat .

Page 50: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Q 5)

If rebuying would you select Tata of Fiat

Frequency Percent Valid Percent Cumulative Percent

Valid Yes 127 80.9 80.9 80.9

No 30 19.1 19.1 100.0

Total 157 100.0 100.0

The customers are satisfied with their cars . this is the reason they can rebuy this

company’s car .

Q 6)

What parameter important for rebuying

Frequency Percent Valid Percent Cumulative Percent

Valid post sales service 43 27.4 27.4 27.4

Mileage 68 43.3 43.3 70.7

maintenance cost 46 29.3 29.3 100.0

Total 157 100.0 100.0

Of all the customers of TATA motors , most of them consider mileage of the car as an

important parameter for rebuying decision.

Page 51: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Q7a)

rate tata motors on following parameter knowledgeable sales person

Frequency Percent Valid Percent Cumulative Percent

Valid 2 3 1.9 1.9 1.9

3 33 21.0 21.0 22.9

4 108 68.8 68.8 91.7

5 13 8.3 8.3 100.0

Total 157 100.0 100.0

The salesperson at the company are rated fairly knowledgeable.

Q7 b)

employees spend enough time with you before sales

Frequency Percent Valid Percent Cumulative Percent

Valid 3 24 15.3 15.3 15.3

4 121 77.1 77.1 92.4

5 12 7.6 7.6 100.0

Total 157 100.0 100.0

The customers feel that the employees spend sufficient time before the sales

Page 52: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Q7b)

employees spend enough time with you after sales

Frequency Percent Valid Percent Cumulative Percent

Valid 2 6 3.8 3.8 3.8

3 27 17.2 17.2 21.0

4 115 73.2 73.2 94.3

5 9 5.7 5.7 100.0

Total 157 100.0 100.0

The customers also feel that the employees spend good enough time even after sales is

conducted.

Q7 c)

Spare parts availability

Frequency Percent Valid Percent Cumulative Percent

Valid 2 15 9.6 9.6 9.6

3 39 24.8 24.8 34.4

4 84 53.5 53.5 87.9

5 19 12.1 12.1 100.0

Total 157 100.0 100.0

The customer has a mixed opinion to the availability of the spare parts at the service

center .But still the majority has a positive view to it that the spare parts are readily

available.

Page 53: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Q7d)

Is the Vehicle in good condition at the time of delivery

Frequency Percent Valid Percent Cumulative Percent

Valid 3 27 17.2 17.2 17.2

4 109 69.4 69.4 86.6

5 21 13.4 13.4 100.0

Total 157 100.0 100.0

The vehicle delivered at the time of ownership and after sales is presented in good

condition. Representation of anything is an important feature. It leaves a positive

impression on the customers.

Q7e)

Are the prices affordable

Frequency Percent Valid Percent Cumulative Percent

Valid 3 27 17.2 17.2 17.2

4 106 67.5 67.5 84.7

5 24 15.3 15.3 100.0

Total 157 100.0 100.0

The prices of the service, spare parts are rendered affordable by the customers. It is an

important parameter because all the other companies charge high values on spare parts.

The customers become hesitant in getting their cars serviced at the authorized service

center. They rather look for cheaper options elsewhere.

Page 54: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Q7f)

Are there any attractive discounts offered

Frequency Percent Valid Percent Cumulative Percent

Valid 2 21 13.4 13.4 13.4

3 124 79.0 79.0 92.4

4 9 5.7 5.7 98.1

5 3 1.9 1.9 100.0

Total 157 100.0 100.0

This analysis states that there are less attractive discounts offered by the company. This

happens in a condition when a company is following low pricing strategy. The company

has not much scope to offer discounts. This sometimes can even go against you. There is

tendency among people to cherish the discounts that is offered to them. But in the long

run the strategy is beneficial.

Q7g)

Is the décor of the waiting area pleasing

Frequency Percent Valid Percent Cumulative Percent

Valid 2 51 32.5 32.5 32.5

3 88 56.1 56.1 88.5

4 15 9.6 9.6 98.1

5 3 1.9 1.9 100.0

Total 157 100.0 100.0

This is the point that the company should improve on. The customers perceive the décor

of the waiting area not up to the standards. The company should give a serious thought on

Page 55: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

improving this .After giving the car for service the customers wait for their cars in the

waiting lounge.

Q7h)

Is post sale follow ups done regularly

Frequency Percent Valid Percent Cumulative Percent

Valid 1 3 1.9 1.9 1.9

2 9 5.7 5.7 7.6

3 45 28.7 28.7 36.3

4 97 61.8 61.8 98.1

5 3 1.9 1.9 100.0

Total 157 100.0 100.0

Post sales follow up is done on regular basis as seen from the analysis

Q7i)

Are the complaints responded quickly

Frequency Percent Valid Percent

Cumulative

Percent

Valid 1 9 5.7 5.7 5.7

2 6 3.8 3.8 9.6

3 34 21.7 21.7 31.2

4 93 59.2 59.2 90.4

5 15 9.6 9.6 100.0

Total 157 100.0 100.0

The complaints are duly attended and responded quickly by the employees. The mean

value of the sample is 3.63 which is above average .

Page 56: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Q7 j)

Is the service at Tata Motors excellent

Frequency Percent Valid Percent

Cumulative

Percent

Valid 1 3 1.9 1.9 1.9

2 9 5.7 5.7 7.6

3 27 17.2 17.2 24.8

4 103 65.6 65.6 90.4

5 15 9.6 9.6 100.0

Total 157 100.0 100.0

When the vehicle is given for servicing, the customers feel that their vehicles have been

properly taken care of. All the complaints have been looked after. The mean value comes

to be 3.75

Q7k)

Are all the commitments fulfilled

Frequency Percent Valid Percent

Cumulative

Percent

Valid 1 6 3.8 3.8 3.8

2 12 7.6 7.6 11.5

3 45 28.7 28.7 40.1

4 70 44.6 44.6 84.7

5 24 15.3 15.3 100.0

Total 157 100.0 100.0

Page 57: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

The mean value is 3.6. Majority of the customers perceive that the commitments by the

company are fulfilled.

Q7 l)

Do you find the car value for money

Frequency Percent Valid Percent

Cumulative

Percent

Valid 2 6 3.8 3.8 3.8

3 24 15.3 15.3 19.1

4 97 61.8 61.8 80.9

5 30 19.1 19.1 100.0

Total 157 100.0 100.0

The customers’ satisfaction is perceived by the parameter whether they find their car

value for money. If this is not the case then the customer is dissatisfied and does not

consider the car for re-buying. But this is not case with the cars of Tata motors, the

customers find the car value for money. The mean is 3.96

Q 8)

payment procedure preference

Frequency Percent Valid Percent

Cumulative

Percent

Valid cash 30 19.1 19.1 19.1

cheque 27 17.2 17.2 36.3

finance 100 63.7 63.7 100.0

Total 157 100.0 100.0

Page 58: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Most of the customers prefer purchasing a car by the method of finance. So the company

should have links with various finance companies at their respective dealership

showroom for the convenience of customers. The easy the method of financing, more

customers are attracted to the company than their competitors. It gives the company an

edge over its competitors.

Q 9)

Are you aware of following facilities offered :Tata Motors Insurance

Frequency Percent Valid Percent

Cumulative

Percent

Valid yes 151 96.2 96.2 96.2

no 6 3.8 3.8 100.0

Total 157 100.0 100.0

Page 59: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

There are various extra facilities that are provided to the customers for extra benefits and

convenience. One of them is Tata Motors Insurance. It is a cashless insurance in which

during the time of claim, the customer does not have to pay cash and latter get it

reimbursed. The majority of the customers were aware of this facility which means that

sales force of the company is efficient .

Extended warranty

Frequency Percent Valid Percent

Cumulative

Percent

Valid YES 157 100.0 100.0 100.0

Here a complete sample knew about the extended warranty facility offered by the

company which is a good sign.

True value

Frequency Percent Valid Percent

Cumulative

Percent

Valid yes 133 84.7 84.7 84.7

no 24 15.3 15.3 100.0

Total 157 100.0 100.0

This was the facility primarily started in the market by Maruti company. The customers

used to face various problems while selling off their cars. So to provide convenience to

the customers the true value concept came into existence. It was a one stop solution for

the customers to get the best value for their used cars. The customers have a confidence

that he will not be cheated. This adds to extra benefits offered by the company to keep the

Page 60: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

customers. They give good exchange offers also if you purchase another car of the same

company. The majority of the customers knew about it.

Tata finance

Frequency Percent Valid Percent

Cumulative

Percent

Valid yes 151 96.2 96.2 96.2

no 6 3.8 3.8 100.0

Total 157 100.0 100.0

The company also introduced the finance counter for the customers to avail car loans at

the dealership showroom. Everything is at customer’s convenience. Customer does not

has to run here and there for getting the financing done. The customers were aware of it.

Autocard

Frequency Percent Valid Percent

Cumulative

Percent

Valid yes 15 9.6 9.6 9.6

no 142 90.4 90.4 100.0

Total 157 100.0 100.0

It is a facility in which a customer get points for every 100 rupees spent with the

company . These points can later be redeemed. These are also applicable for various

offers during the year. The customers were not aware about this facility of Tata Motors.

The company should make an extra effort to familiarize this facility to the customers.

Page 61: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Genuine accessories

Frequency Percent Valid Percent

Cumulative

Percent

Valid yes 151 96.2 96.2 96.2

no 6 3.8 3.8 100.0

Total 157 100.0 100.0

The customers should use genuine accessories. There are many duplicate product that are

available in the market. People use them to save cost. But the customers be made aware

about the negative effects that these duplicate products have on the efficiency of the car.

These lead to early wear and tear. It can also prove fatal. The customers were aware of

the fact to use genuine accessories.

Q 10)

Overall opinion of tata motors

Frequency Percent Valid Percent

Cumulative

Percent

Valid very bad 3 1.9 1.9 1.9

Bad 12 7.6 7.6 9.6

neither bad nor good 21 13.4 13.4 22.9

Good 103 65.6 65.6 88.5

very good 18 11.5 11.5 100.0

Total 157 100.0 100.0

Page 62: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

One-Sample Test

Test Value = 3

T df Sig. (2-tailed) Mean Difference

95% Confidence Interval of the

Difference

Lower Upper

Overall opinion of Tata

motors

11.729 156 .000 .771 .64 .90

The mean value is 3.77. The opinion of customers on Tata motors is towards the positive

side. In t-test we have seen the mean difference to be .771. The customers are happy with

their car and have a good experience.

Page 63: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Q 11)

would you recommend tata motors to anybody else

Frequency Percent Valid Percent

Cumulative

Percent

Valid Yes 127 80.9 80.9 80.9

No 21 13.4 13.4 94.3

Can't say 9 5.7 5.7 100.0

Total 157 100.0 100.0

Most of the customers are ready to take responsibility and recommend the cars to their

family and friends. This is the best method of advertisement i.e. the word of mouth. It

does not cost the company and is most influential. So having such customers is

advantageous to the company. The company should not loose such customers by

dissatisfying them. The company has an advantage by having a great deal of these type of

customers.

Q 12)

Gender

Frequency Percent Valid Percent

Cumulative

Percent

Valid male 145 92.4 92.4 92.4

female 12 7.6 7.6 100.0

Total 157 100.0 100.0

Most of the customers that come to the showroom are males. Even if the cars are being

bought for females, the males come on their behalf.

Q 13)

Page 64: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Age

Frequency Percent Valid Percent

Cumulative

Percent

Valid 18-25 36 22.9 22.9 22.9

26-35 67 42.7 42.7 65.6

36-50 48 30.6 30.6 96.2

Above 51 6 3.8 3.8 100.0

Total 157 100.0 100.0

Page 65: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

People of all age groups come to the showroom but the majority are

of age group 26-35 followed by 36-50 age group .

Q 14)

Income group (in lacs)

Frequency Percent Valid Percent

Cumulative

Percent

Valid below 3 30 19.1 19.1 19.1

3-6 28 17.8 17.8 36.9

6-9 63 40.1 40.1 77.1

9-12 27 17.2 17.2 94.3

Above 12 9 5.7 5.7 100.0

Total 157 100.0 100.0

People of all income groups come to purchase cars. It has become a necessity rather than

luxury. There are all segments of cars available according to the need.

gender * Which company's car do you possess Crosstabulation

Count

Which company's car do you

possess

TotalTata Fiat

gender male 100 45 145

female 4 8 12

Total 104 53 157

Page 66: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

From this we can state that males prefer buying the car of Tata whereas female prefer

buying car of FIAT.

gender * What parameters do you seek in a car before buying Crosstabulation

Count

What parameters do you seek in a car before buying

Totalbrand popularity performance looks & style

gender Male 19 66 60 145

Female 0 3 9 12

Total 19 69 69 157

Page 67: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Males look for performance as a parameter in their decision making to purchase cars

where as female prefer looks and style of the car as a parameter before purchasing.

gender * What parameter important for rebuying Crosstabulation

Count

What parameter important for rebuying

Total

post sales

service mileage

maintenance

cost

gender male 37 65 43 145

female 6 3 3 12

Total 43 68 46 157

Page 68: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Males prefer mileage as a parameter for re-buying followed by maintenance cost and then

post sales service where as females look for post sales service as an important parameter

for making re-buying decision.

Page 69: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Which of the following best describes your line of work? * Which company's car do you

possess Crosstabulation

Count

Which company's car do you

possess

TotalTata Fiat

Which of the following best

describes your line of work?

services 30 6 36

business 32 34 66

student 17 10 27

Taxi services 25 3 28

Total 104 53 157

People of service class possess more of Tata cars than FIAT.

Customers from business class prefer FIAT cars over Tata.

Students also have an inclination towards Tata cars.

Taxi owners prefer Tata cars because of its mileage.

Page 70: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Which of the following best describes your line of work? * What parameter important for rebuying

Crosstabulation

Count

What parameter important for rebuying

Total

post sales

service mileage

maintenance

cost

Which of the following best

describes your line of work?

services 6 18 12 36

business 25 28 13 66

student 9 3 15 27

Taxi services 3 19 6 28

Total 43 68 46 157

Page 71: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Customers of service class give more importance to mileage than maintenance cost

followed by post sales service.

Customers from business class have an almost equal weightage for mileage and post sales

service but mileage has an upper hand. The least important parameter as maintenance

cost.

In case of students, maintenance cost is the prime parameter followed by post sales

service and mileage.

In case of taxi, mileage plays an important role followed by maintenance cost.

Page 72: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Age * What parameters do you seek in a car before buying Crosstabulation

Count

What parameters do you seek in a car before buying

Totalbrand popularity performance looks & style

Age 18-25 0 6 30 36

26-35 7 33 27 67

36-50 12 27 9 48

Above 51 0 3 3 6

Total 19 69 69 157

Customers from the age group 18-25 goes for looks & style of the car for buying it.

From the age group 26 and above, they give more importance to performance of the car.

Page 73: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Age * What parameter important for rebuying Crosstabulation

Count

What parameter important for rebuying

Totalpost sales service mileage maintenance cost

Age 18-25 12 3 21 36

26-35 13 41 13 67

36-50 15 21 12 48

Above 51 3 3 0 6

Total 43 68 46 157

In making their re-purchase decision, customers from age group 18-25 give importance to

maintenance cost than post sales service and lastly to mileage.

Page 74: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Where as all the customers from other age groups give preference to mileage in rebuying.

Which of the following best describes your line of work? * payment procedure preference

Crosstabulation

Count

payment procedure preference

Totalcash cheque finance

Which of the following best

describes your line of work?

services 6 0 30 36

business 24 27 15 66

student 0 0 27 27

Taxi services 0 0 28 28

Total 30 27 100 157

Page 75: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Customers from service sector, students and taxi service providers prefer finance as a

mode of payment for the purchase of cars. Where as business class prefer payment to be

made either by cash or cheque.

Which company's car do you possess * Spare parts availability Crosstabulation

Count

Spare parts availability

Total2 3 4 5

Which company's car do you

possess

Tata 3 15 76 10 104

Fiat 12 24 8 9 53

Total 15 39 84 19 157

Page 76: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Customers of Tata have given higher rating to the availability of the spare parts than that

of FIAT. The spare parts of FIAT were not available at all times.

Income group (in lacs) * payment procedure preference Crosstabulation

Count

payment procedure preference

Totalcash cheque finance

Income group (in lacs) below 3 0 0 30 30

3-6 0 3 25 28

6-9 21 6 36 63

9-12 9 10 8 27

Above 12 0 9 0 9

Total 30 28 99 157

Page 77: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Customers below the income of 3 lacs finance their vehicles. From 3-6 lacs also

customers go for financing scheme. In the group 6-9 lacs financing is still the majority

but a great deal of rise in cash mode of payment is seen. In 9-12 lacs cash and cheque

mode of payment is seen. Customers above the income group of 12 lacs prefer making

the payment by cheque and do not prefer financing their vehicles.

Page 78: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

5. CONCLUSION & RECOMMENDATIONS

Fiat car is preferred more by females rather than males. Business class also has an

inclination towards Fiat more.

The décor of the waiting lounge is rated less by the customers, the company should

take measures to improve on it.

The availability of spare parts of Fiat cars is less whereas of Tata are readily

available. So the company should pay more attention to it.

Most of the customers purchase the cars by mode of financing. There are many

customers who after purchasing the cars are not able to pay EMI. So they are

considered defaulters. There are many such cases of defaulters. The finance

company has be vigilant as to who to give the consent or not.

There are many enquiries which are cold enquiries. The sales person has to make an

extra effort to convert the cold and warm enquiries to hot enquiries. Due to

negligence of sales man there are many loss of customers

Sales Man

Should be well versed with the pay scale structure.

Incentive slabs should be formulated to endure them for more sales.

Sales man should be friendlier and solve the problems from both the consumer’s and

company's point of view.

Should be motivated to open new outlets, keeping in mind the incentives being

provided on it.

Sales man should clear the schemes as soon as possible.

Should ensure that full product range is available with the ready stock.

Sale man should be energetic, be patients, quick decision maker, problems solver and

ready to do any kind of work related to his job profile.

Stockiest

To maintain more friendly relationship with the sales man and retailers.

Universal launch of scheme along with the arrangement with the company.

Page 79: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

Should have enough of display material for the outlets.

Sales Executive

To attend to complaints/problems being recorded by sales man as soon as possible.

To maintain cordial relationship with the sales man.

Sales Executive should attend all key accounts and regular visit should be made every

week. He should also appreciate them for their good work.

Random /surprise checks to be made at the outlets to access the working of sales man

and whether the schemes are duty fully given to the retailers irrespective of the

category of the outlets.

To increase the coverage of outlets

1) The outlets, which have stopped purchasing from distributors due to any kind of

dispute between stockiest and the retailer, should be solved by the timely action of

sales executive.

2) The company should come out with suggestion Letter's that should be given on a

quarterly basis to all the retailer's and stockiest, so that the sales Executive handling a

particular belt is aware of the problems, grudges, grievances of the retailers. This will

help him in taking timely action, which will save the matters from aggravating

further.

Page 80: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

5.2 REFLECTIONS ON WHAT HAS BEEN LEARNED DURING THE

INTERNSHIP EXPERIENCE

It was great opportunity for me to do my internship from TATA Motor.

I got a project which gave me the opportunity to meet the various people in the

corporate world. I could understand the working culture of corporate as well as

government offices. Before this I never visited such big organizations.

Making plan for the next day and finding the concern department and person allowed

me to increase my communication ability, written as well as verbal.

My confidence to meet people has tremendously gone up. Today I have that much

confidence that I can meet to any big person in any organization.

My boss also helped me very much to learn about corporate world. How to prepare

the proposals and how to give the company offer all I learnt from my boss.

I also attended the customer demonstration which gave me the knowledge about how

the customer can be convinced, how there queries are handled.

I also learnt very small-small things in the organization which is very necessary in

any flat organization like photocopying; Fax the document which I never know

before.

Page 81: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

REFERENCES

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on 24th March 2006]

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[Accessed on 12th may 2006]

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COS, 2006. Statistics: National Accounts [online]. Available from:

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Page 83: Tata motors final project on consumer satisfaction.

Sales and Distribution for Tata Motors and Fiat in India

ANNEXURE

Q.1) Which of the following best describes your line of work :a) Service b) Business c) Student d) Housewife

e) Taxi Services

Q.2) What parameters do you seek in a car before buying a) Brand Popularity b) Performance c) Looks & Style

Q.3) How long have you been associated with TATA Motors?a) 0-1 Year b) 1-3 Year c) 3-5 Year d) More than 5 yrs

Q.4) Which company’s car do you possess?a) Tata b) Fiat

Q.5) If you need to buy a new or another car, would you again select the Tata or Fiat

Brand?

a) Yes b) No

Q.6) What parameter is important for influencing your re-buying decision?

a) Post Sales services rendered by the company

b) Mileage of the car

c) Maintenance costs incurred

Q.7) How would you rate TATA Motors on the following parameter?

1 2 3 4 5i)

Are the sales person knowledgeable

ii)

Do the employees spend enough time with you:Before salesAfter sales

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Sales and Distribution for Tata Motors and Fiat in India

iii) Are the spare parts available

iv)Is the Vehicle in good condition at the time of delivery

v) Are the prices affordable

vi)Are there any attractive discounts offered

vii)Is the décor of the waiting area pleasing

viii) Were you offered a test drive

ix)Is post sale follow ups done regularly

x)Are the complaints responded quickly

xi)Is the service at Tata Motors excellent

xii) Are all the commitments fulfilled

xiii)Do you find the car value for money

Q.8) What type of payment procedure do you prefer?a) Cash b) Cheque c) Demand Draft d)

Finance

Q.9) Are you aware of the following facilities provided by Tata Motors?

FACILITIES Yes Noi) Tata Motors insurance

ii) Extended warrantyiii) True valueiv) Tata financev) Auto card

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Sales and Distribution for Tata Motors and Fiat in India

vi) Genuine accessories

Q.10) What is your overall opinion about Tata Motors?

Very Bad Neither Bad Good VeryBad nor Good Good 1 2 3 4 5

Q.11) Would you recommend Tata Motors to anybody else?

a) Yes b) No c) Cant say

Gender:Male Female

Age:a) Below 18 b) 18-25 c) 26-35 d) 36-50

e)51&above

Income group (in lakhs):a) Below 3 b) 3-6 c) 6-9 d) 9-12 b) e) Above 12

Name: _____________________________

Contact no: ____________________________

Address: ____________________________________________________

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