A SUMMER TRAINIG PROJECT REPORT ON TOPIC AT CUSTOMERS ATTTITUDE TOWARD FORD Submitted in partial fulfillment of the requirement For

the award degree Of POST GRADUATE DIPLOMA IN MANAGEMENT SESSION 2011-2013

SUBMITTED TO:Prof. Nageshwar Singh

SUBMITTED BY:Name:- Neha Sharma Class:-PGDM (11-13) Roll No. :-7041

ACKNOWLEDGEMENT

It is my pleasure to be indebted to various people, who directly or indirectly contributed in the development of this work and who influenced my thinking, behavior and acts during the course of study. I express my sincere gratitude to Prof. Irfan Ul Haq Worthy principal for providing me an opportunity to undergo summer training at Prem Ford. I am thankful to Mr Sanjay Bansal for his support, cooperation and motivation provided to me during the training for constant inspiration, presence and blessing. I also extend my sincere appreciation to Mr. Abhishek who provided his valuable suggestion and precious time in accomplishing my project report.

Lastly, I would like to thank the almighty and my parents for their moral and support and my friend with whom I shared my day to day experience and received lots of suggestions that improved my quality of work.

DECLARATION

I Neha Sharma, hereby declare that the project titled Customer attitude towards Ford is an original work carried out under the guidance of Prof. Nageshwar Singh. The report submitted is a bonafide work of my own effort and has not been submitted to any institute before.

NEHA SHARMA

Date: 20 June 2012 Place: Agra

Faculty Guide Certificate

I Prof.certify Ms.Neha Sharma that the work done and the training undertaken by him/her is genuine to the best of my knowledge and accepted.

Date:

INDEX

CHAPTER NO.

CONTENT

PAGE NO.

CHAPTER 1

INTRODUCTION

8-14

CHAPTER 2

COMPANY PROFILE INDUSTRY PROFILE LITERATURE REVIEW

21-46 47-49 49-50

CHAPTER 3

RESEARCH METHODOLGY

52-53

CHAPTER 4

ANALYSE & INTERPRETATION

55-64

CHAPTER 5

FINDING RECOMMENDATION CONCLUSION

64-68 68-69 70

BIBLIOGRAPHY

BOOKS/ARTICLES

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JOINING REPORT ON SUMMER TRAINING

Date: 7th May 2012

NEHA SHARMA, batch 2011-13, a student of vishwa Vishwani Institute of systems & management, Boston House, Hyderabad-78 has been given the permission to do his/her summer training Programme at our organization for the period of 7th May to 20th June under the guidance of Mr.

Name of company: PREM FORD Address: Date of joining: 7th May 2012 Telephone No. Area Assigned: Marketing Topic of the Project: Customers Attitude Towards FORD

Corporate guide

CHAPTER 1st

INTRODUCTION

Objective:
The aim of the project was, to study and find the preferences of consumer for FORD cars. Up to the end of nineties it was the monopoly of the Maruti Udyog but now Indian Car Industry is one of the most competitive industries of the world. So the consumer is also differentiating while purchase. We surveyed that on what points the consumers where differentiating between various models and brands of FORD and other competitors. The main motive was to know what consumer wants in the car these days. NEED FOR THE STUDY : To understand the buying roles of the consumer. To analyze the consumers decision making process. To know growing market segments of company for consumers. To know what features or product design acceptable by consumer.

SCOPE OF THE STUDY : To distinguish different groups and develop product that satisfies the needs. To understand how customer make purchasing choice among all competitors of product. To know how consumers will respond to different product features, prices, advertisement appeals.

what is consumer behavior?

Consumer behavior holds a great important in marketing field because if look over the modern philosophy of marketing in that CUSTOMER is treated as the KING, his needs and wants are being studied for making any product, and above that is always been seen while looking for opportunities for a product development that which product is brought most and what are the factors that result in purchase of a product. We can say easily understand its importance if we look around our environment. Consumer behavior is made up of two words consumer and behavior. Consumer is the person who consume the product. He may or may not be a buyer and behavior means the aggregate of all the responses made by an organism in any situation. So consumer behavior means the aggregate of all the responses made by the consumer. It make us know the reasons behind the purchase of product.

Need to understand:

why consumers make the purchases that they make? what factors influence consumer purchases? the changing factors in our society.

Consumer Buying Behavior refers to the buying behavior of the ultimate consumer. A firm needs to analyze buying behavior for:

Buyers reactions to a firms marketing strategy has a great impact on the firms success.

The marketing concept stresses that a firm should create a Marketing Mix (MM) that satisfies (gives utility to) customers, therefore need to analyze the what, where, when and how consumers buy.

Marketers can better predict how consumers will respond to marketing strategies.
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Stages of the Consumer Buying Process Six Stages to the Consumer Buying Decision Process (For complex decisions). Actual purchasing is only one stage of the process. Not all decision processes lead to a purchase. All consumer decisions do not always include all 6 stages, determined by the degree of complexity...discussed next. The 6 stages are: 1. Problem Recognition (awareness of need)-- Difference between the desired state and the actual condition. Deficit in assortment of products. Hunger--Food. Hunger stimulates your need to eat. Can be stimulated by the marketer through product information--did not know you were deficient? I.E., see a commercial for a new pair of shoes, stimulates your recognition that you need a new pair of shoes. 2. Information search:o o

Internal search, memory. External search if you need more information. Friends and relatives (word of mouth). Marketer dominated sources; comparison shopping; public sources etc.

A successful information search leaves a buyer with possible alternatives, the evoked set. Hungry, want to go out and eat, evoked set is
o o o

chinese food indian food burger king etc

3. Evaluation of Alternatives--need to establish criteria for evaluation, features the buyer wants or does not want. Rank/weight alternatives or resume search. May decide that you want to eat something spicy,
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indian gets highest rank etc. If not satisfied with your choice then return to the search phase. Can you think of another restaurant? Look in the yellow pages etc. Information from different sources may be treated differently. Marketers try to influence by "framing" alternatives. 4. Purchase decision--Choose buying alternative, includes product, package, store, method of purchase etc. 5. Purchase--May differ from decision, time lapse between 4 & 5, product availability. 6. Post-Purchase Evaluation--outcome: Satisfaction or Dissatisfaction. Cognitive Dissonance, have you made the right decision. This can be reduced by warranties, after sales communication etc. After eating an indian meal, may think that really you wanted a chinese meal instead.

Types of Consumer Buying Behavior Types of consumer buying behavior are determined by:

Level of Involvement in purchase decision. Importance and intensity of interest in a product in a particular situation.

Buyers level of involvement determines why he/she is motivated to seek information about a certain products and brands but virtually ignores others.

High involvement purchases--Honda Motorbike, high priced goods, products visible to others, and the higher the risk the higher the involvement. Types of risk:

Personal risk Social risk Economic risk

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The four type of consumer buying behavior are:

Routine Response/Programmed Behavior--buying low involvement frequently purchased low cost items; need very little search and decision effort; purchased almost automatically. Examples include soft drinks, snack foods, milk etc.

Limited Decision Making--buying product occasionally. When you need to obtain information about unfamiliar brand in a familiar product category, perhaps. Requires a moderate amount of time for information gathering. Examples include Clothes--know product class but not the brand.

Extensive Decision Making/Complex high involvement, unfamiliar, expensive and/or infrequently bought products. High degree of economic/performance/psychological risk. Examples include cars, homes, computers, education. Spend alot of time seeking information and deciding. Information from the companies MM; friends and relatives, store personnel etc. Go through all six stages of the buying process.

Impulse buying, no conscious planning.

The purchase of the same product does not always elicit the same Buying Behavior. Product can shift from one category to the next. For example: Going out for dinner for one person may be extensive decision making (for someone that does not go out often at all), but limited decision making for someone else. The reason for the dinner, whether it is an anniversary celebration, or a meal with a couple of friends will also determine the extent of the decision making.

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Categories that Effect the Consumer Buying Decision Process A consumer, making a purchase decision will be affected by the following three factors: 1. Personal 2. Psychological 3. Social The marketer must be aware of these factors in order to develop an appropriate MM for its target market.

Personal Unique to a particular person. Demographic Factors. Sex, Race, Age etc. Who in the family is responsible for the decision making. Young people purchase things for different reasons than older people. Psychological factors Psychological factors include: Motives-A motive is an internal energizing force that orients a person's activities toward satisfying a need or achieving a goal. Actions are effected by a set of motives, not just one. If marketers can identify motives then they can better develop a marketing mix. MASLOW hierarchy of needs!!
o o o o

Physiological Safety Love and Belonging Esteem

13

Self Actualization

Perception--

What do you see?? Perception is the process of selecting, organizing and interpreting information inputs to produce meaning. IE we chose what info we pay attention to, organize it and interpret it. Information inputs are the sensations received through sight, taste, hearing, smell and touch. Selective Exposure-select inputs to be exposed to our awareness. More likely if it is linked to an event, satisfies current needs, intensity of input changes (sharp price drop). Selective Distortion-Changing/twisting current received information, inconsistent with beliefs. Ability and Knowledge-Need to understand individuals capacity to learn. Learning, changes in a person's behavior caused by information and experience. Therefore to change consumers' behavior about your product, need to give them new information re: product...free sample etc. South Africa...open bottle of wine and pour it!! Also educate american consumers about changes in SA. Need to sell a whole new country. When making buying decisions, buyers must process information. Knowledge is the familiarity with the product and expertise. Inexperience buyers often use prices as an indicator of quality more than those who have knowledge of a product. Non-alcoholic Beer example: consumers chose the most expensive six-pack, because they assume that the greater price indicates greater quality.

14

Learning is the process through which a relatively permanent change in behavior results from the consequence Attitudes--

Knowledge and positive and negative feelings about an object or activitymaybe tangible or intangible, living or non- living.....Drive perceptions Individual learns attitudes through experience and interaction with other people. Consumer attitudes t oward a firm and its products greatly influence the success or failure of the firm's marketing strategy.

Personality--

all the internal traits and behaviors that make a person unique, uniqueness arrives from a person's heredity and personal experience. Examples include:

Workaholism Compulsiveness Self confidence Friendliness Adaptability Ambitiousness Dogmatism Authoritarianism Introversion Extroversion Aggressiveness Competitiveness.

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Traits effect the way people behave. Marketers try to match the store image to the perceived image of their customers. There is a weak association between personality and Buying Behavior, this may be due to unreliable measures. Nike ads. Consumers buy products that are consistent with their self concept. Lifestyles-Recent US trends in lifestyles are a shift towards personal independence and individualism and a preference for a healthy, natural lifestyle. Lifestyles are the consistent patterns people follow in their lives. EXAMPLE healthy foods for a healthy lifestyle. Sun tan not considered fashionable in US until 1920's. Now an assault by the American Academy of Dermatology.

Social Factors
Consumer wants, learning, motives etc. are influenced by opinion leaders, person's family, reference groups, social class and culture. Opinion leaders-Spokespeople etc. Marketers try to attract opinion leaders...they actually use (pay) spokespeople to market their products. Michael Jordon (Nike, McDonalds, Gatorade etc.) Can be risky...Michael Jackson...OJ Simpson...Chevy Chase Roles and Family Influences--

16

Role...things you should do based on the expectations of you from your position within a group. People have many roles. Husband, father, employer/ee. Individuals role are continuing to change therefore marketers must continue to update information. Family is the most basic group a person belongs to. Marketers must understand:
o o o

that many family decisions are made by the family unit consumer behavior starts in the family unit family roles and preferences are the model for children's future family (can reject/alter/etc)

family buying decisions are a mixture of family interactions and individual decision making

family acts an interpreter of social and cultural values for the individual.

The Family life cycle: families go through stages, each stage creates different consumer demands:
o o o o o o

bachelor stage...most of BUAD301 newly married, young, no children...me full nest I, youngest child under 6 full nest II, youngest child 6 or over full nest III, older married couples with dependant children empty nest I, older married couples with no children living with them, head in labor force

empty nest II, older married couples, no children living at home, head retired

o o o

solitary survivor, in labor force solitary survivor, retired Modernized life cycle includes divorced and no children.
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Reference Groups-Individual identifies with the group to the extent that he takes on many of the values, attitudes or behaviors of the group members. Families, friends, sororities, civic and professional organizations. Any group that has a positive or negative influence on a persons attitude and behavior. Membership groups (belong to) Affinity marketing is focused on the desires of consumers that belong to reference groups. Marketers get the groups to approve the product and communicate that approval to its members. Credit Cards etc.!! Aspiration groups (want to belong to) Disassociate groups (do not want to belong to) Honda, tries to disassociate from the "biker" group. The degree to which a reference group will affect a purchase decision depends on an individuals susceptibility to reference group influence and the strength of his/her involvement with the group. Social Class-an open group of individuals who have similar social rank. US is not a classless society. US criteria; occupation, education, income, wealth, race, ethnic groups and possessions. Social class influences many aspects of our lives. IE upper middle class Americans prefer luxury cars Mercedes.

Upper Americans-upper-upper class, .3%, inherited wealth, aristocratic names.

Lower-upper class, 1.2%, newer social elite, from current professionals and corporate elite

18

Upper-middle class, 12.5%, college graduates, managers and professionals

Middle Americans-middle class, 32%, average pay white collar workers and blue collar friends

Working class, 38%, average pay blue collar workers Lower Americans-lower class, 9%, working, not on welfare Lower-lower class, 7%, on welfare

Social class determines to some extent, the types, quality, quantity of products that a person buys or uses. Lower class people tend to stay close to home when shopping, do not engage in much prepurchase information gathering. Stores project definite class images. Family, reference groups and social classes are all social influences on consumer behavior. All operate within a larger culture. Culture and Sub-culture-Culture refers to the set of values, ideas, and attitudes that are accepted by a homogenous group of people and transmitted to the next generation. Culture also determines what is acceptable with product advertising. Culture determines what people wear, eat, reside and travel. Cultural values in the US are good health, education, individualism and freedom. In american culture time scarcity is a growing problem. IE change in meals. Big impact on international marketing. So that was discussion about the consumer behavior basics.

19

CHAPTER 2
ND

20

Company Profile
Thinking of the Ford Motor Company conjures up many imagesdurable trucks that are "built Ford tough"; fancy coupes like the Thunderbird; fast cars, such as the Mustang; and sport utility vehicles (SUVs) like Explorers. Ford cars are part of American culture, and have been since company founder, Henry Ford, designed and built his first Model T in 1908. In the twenty-first century, Ford Motor continues to expand its empire, which includes not only Ford, but Lincoln, Mercury, Aston Martin, Jaguar, Land Rover, Mazda, and Volvo. The Birth of the Automobile In the last decades of the nineteenth century, the world was rapidly changing. Many modern conveniences were invented, including the typewriter and telephone, electric lights, and the first automobiles. Inventors had been experimenting with steam-powered vehicles since the late 1700s, but these early cars were noisy, hard to operate, and sometimes dangerous since they had the potential to explode. In 1885, German engineer Karl Benz (18441929) is credited with building the first automobile of modern design. Benz's three-wheeled vehicle was very primitive and could only travel about eight miles per hour. Every passing year, however, inventors and engineers from all over the world continued to make advancements. In Germany, Gottlieb Daimler (1834-1900) and William Maybach (1846-1929) together were inspired to build motor-powered vehicles to replace the slow, bumpy rides of horse-drawn carriages. And, in the United States, Henry Ford built his first car, called the "Quadricycle," in 1896. While Ford, Benz, Daimler, and a host of others were building these early automobiles, the buying public was not terribly interested. Ford entered several of his early cars in races just to gain attention for his increasingly sophisticated vehicles. The strategy worked and over the next few years he
21

was involved in the start-up of three new companies. The first was the Detroit Automobile Company, a partnership Ford formed in 1899 with the city's mayor and a local lumber baron. It was the first official auto manufacturer in Detroit, Michigan. The company lasted only a year, but was reorganized in 1901 as the Henry Ford Company. Ford and his investors disagreed about the kinds of cars their company should build. In 1902, Ford resigned to design and build his own race cars, including the "Arrow" and the "999." The "999" won a local competition and set a new record by racing five miles in five minutes and twenty-eight seconds. This exposure led to financial backing, and soon Ford and Alexander Malcomson, a local coal merchant, formed the Ford Motor Company on June 16, 1903. It was the very same year that brothers Orville (1871-1948) and Wilbur Wright. Timeline 1903: Ford Motor Company is founded. 1906: Henry Ford takes over presidency of the company. 1908: Model T is introduced. 191 3: The assembly line is introduced. 1919: Henry's son, Edsel, takes over as president. 1922:
22

Ford acquires Lincoln Motor Company. 1925: Company builds first airplane, the 199 Ford TriMotor. 1927: Last Model T is produced. 1932: First V-8 (eight-cylinder) engine is produced. 1939: Edsel's Lincoln Continental causes a sensation. 1943: Edsel dies and Henry retakes the presidency. 1945: Henry steps down again; grandson Henry II replaces him. 1947: Henry Ford dies at age eighty-three. 1948: First F-Series pickup trucks produced. 1955: Ford Thunderbird sports car introduced. 1964: Ford Mustang launched at World's Fair.

23

1968: Jacques Nasser joins company. 1979: Company buys stake in Toyo Kogyo (later Mazda). 1980: Henry Ford II resigns as chairman. 1985: Ford Taurus introduced. 1986: Company buys stake in Kia Motors of Korea. 1989: Buys British luxury carmaker jaguar. 1999: William "Bill" Clay Ford Jr., great-grandson of Henry Ford, becomes chairman. 2001: Bill Ford becomes CEO and president after Nasser leaves. 2003: Ford celebrates its one-hundredth anniversary. (1867-1912) flew their first airplane at Kitty Hawk, North Carolina.

24

Vision and values of FORD:Ford has a vision to become one of the world's leading consumer companies for automotive products and services. Apart from that, its vision is to provide personal mobility for people all over the world. Four goals of Ford are:

To be a consumer-needs driven company. To respect and value each team members contribution. To be an environmentally responsible company that lives up to the standards of society.

To constantly improve in everything the company does.

A New Era of Car Making Ford Motor was a company with a simple goal: to produce and sell well-built cars at a competitive price. Using an old wagon shop on Mack Avenue in Detroit, Michigan, Ford designed the company's first vehicle called the "Model A." He sold his first car about a month later to a local doctor. As chief engineer, Ford improved on his design and developed new cars. He named the cars by following the alphabet. For example, the Model A was followed by Models B, C, E, and F. By 1904, the Ford Motor Company had done so well that the partners were able to finance their first manufacturing plant outside the United States in Ontario, Canada. The company also moved from the converted wagon shop to larger quarters at the intersection of Piquette Avenue and Beaubien Street in Detroit. With success, however, also came failure. Although the Model A and its successors had been quite popular, the new Model K brought out in 1906 was not. This caused trouble between Ford and his business partners, who quarreled with the direction Henry seemed to be taking the company. Ford
25

insisted that the company make less expensive vehicles so average people could afford to own a car. The result was a major shift in management, with Ford taking over as president and buying out many of his original investors and their shares of the business. In 1906, the Model N was introduced. It was a four-cylinder car that sold for just $700, as opposed to the alarming price tag of the Model K, which was $2,800. The Model N brought Ford into a new era, with profits reaching $1 million for the first time. Having outgrown its plant in Detroit, the company began construction on a huge new facility in Highland Park, north of the Detroit city limits. As builders broke ground on the new plant, Ford used the Model N as a base for his next new automobilewhich was destined to change the Ford Motor Company forever. The Model T was introduced in 1908 as Henry Ford's idea of a "universal" cara stylish, sturdy automobile that was affordable to all Americans who wanted to drive. Solid, dependable,

Automobiles displayed at the Henry Ford Museum in Dearborn, Michigan. Reproduced by permission of the Henry Ford Museum & Greenfield Village.
26

and popular with buyers, the Model T became the sole car built by Ford. The company produced around eight thousand Model T's in 1908. That number more than doubled over the next year, and by 1912, Ford was manufacturing approximately seventy-eight thousand cars. Celebrating Success The reason why Ford could sell his cars cheaper was that he had developed a way to make cars faster. In 1913, he introduced the assembly line method of production, which revolutionized the automotive industry. In an assembly line, the framework of a car rests on a moving surface called a conveyor belt. The belt passes by different workers, each of whom is responsible for a single task. With the assembly line, the time required to build a new car was reduced from over twelve hours to an hour and a half. This means that a manufacturer could produce many cars in a single day instead of just one or two. Because he could "mass produce," Ford was soon selling about half of all the cars sold in the United States. At the same time, more assembly plants were built to keep up with consumer demands and dealerships popped up across the country to sell Ford cars. Ford not only streamlined the work in his companies, he also paid his employees well. In 1914, hoping to build loyalty and worker pride, he doubled wages to $5 per day. The work day was also cut to eight hours. This change made Ford a famous man; his face and business policies were soon written about in countless newspapers and magazines. With the assembly line method in full use by thousands of well-paid workers, Ford production soared over the next few years, reaching nearly half a million cars in 1916. During this time Ford also began designing farm equipment, beginning with tractors and small trucks. Yet as World War I (1914-18) raged in Europe, it became apparent America would soon join the war effort. When the United States officially declared war on Germany in April 1917, Ford turned the use

27

of his factories over to the government and the company began building trucks, ambulances, small tanks, airplane motors, and even helmets. A Son Takes the Helm After the war ended in November 1918, Henry Ford announced his retirement. In 1919, his son Edsel (1893-1943) took over the company. That same year, Ford Motor broke ground for an immense plant on the Rouge River in Dearborn, Michigan. In 1922, Ford purchased rival automaker Lincoln Motor Company, which had introduced the first V-8, or eight-cyclinder, engine the year before. The first automobiles were very expensive to manufacture and only the very rich could afford to buy them. In 1900, an average worker earned less than $500 a year. When the Model T was introduced, it sold for around $900, which was almost twice as much as an individual's yearly salary. By the 1920s, the price of a Model T was less than $300, which made it affordable for the average middle class worker. Ford Motor also shifted into the aircraft industry. Convinced that airplanes were the transportation of the future, Edsel

28

The 1922 Lincoln limousine. Reproduced by permission of AP/Wide World Photos. Ford bought the Stout Metal Airplane Company in 1925. Ford's first plane, the 199 TriMotor, was produced the same year. In 1927, after nineteen years of production, Ford decided to discontinue the Model T. Although it had been extremely popular, the Model T was facing stiff competition, most notably from Chevrolet, which had come out with faster, more luxurious cars. After the last Model T rolled off the assembly line in May, Ford closed down its plants while engineers went to work on a new vehicle. After several months of sitting idle, the factories began work on the Model A, an updated version of the original. The new and improved car had a more powerful engine, more space, and a "safety glass" windshield that resisted shattering. The new Model A was introduced in December 1927 and was a favorite with buyers until the Great Depression hit in 1929. Although the Depression financially devastated much of the United States and its citizens, Ford survived. The company did, however, suffer losses since most people had no money to buy cars. The United States was drawn into World War II (1939-45) and Ford supported the war effort by manufacturing airplane motors and parts for a bomber called the "Liberator." Two years into the war, tragedy hit the Ford family when Edsel died of cancer at the age of forty-nine. Henry, whose own health had been declining, came back to run the company as president, then turned the reins over to grandson Henry II (1917-1987) in 1945. In 1947, Henry died and his legacy was carried on by Henry II, whose guidance helped turn the family company into a huge international corporation. Two other Ford grandsons, Benson and William Clay, also joined the business and lent a hand.
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A New Era Over the next years, Ford had its ups and downs: the rugged F-Series trucks were launched in 1948 to much acclaim; a fancy two-seater called the Thunderbird excited the industry with its power and luxury in 1955; the Edsel sedan flopped in 1958; and the speedy Mustang, introduced in 1964, was an extremely hot seller, especially with young people. Ford then entered the mostly ignored off-road category of vehicles with four-wheel or all-wheel drive. To compete with Jeep and Land Rover, which had been in business since the 1940s, Ford introduced the Bronco in 1965. At the end of the 1960s a young man named Jacques Nasser joined Ford's training program while a college student in Australia. During the 1970s, Nasser moved around the world, working at various Ford divisions and earning a reputation as a sharp businessman with leadership qualities. As Ford opened new assembly plants and expanded operations in Asia and Europe, Nasser steadily climbed the corporate ladder. Legend has it that while vacationing in Florida in 1939, Edsel Ford was seen driving a flashy new car called a Lincoln Continental. He caused quite a commotion, and hundreds of hopeful buyers called Ford Motor Company to ask about the car. The Lincoln Continental was soon a major hit in the automotive industry. In 1979, Ford bought part of the Japanese firm Toyo Kogyo, which later became known as Mazda. The next year, 1980, Henry II stepped down as president. In 1985, in order to

30

Jacques Nasser, former president and CEO of Ford Motor Company, raises his hand to be sworn in at the start of a House Commerce Committee hearing in June 2001. The committee was looking into Ford's recall of vehicles outfitted with Firstone tires after reports of multiple tire blow-outs on Ford Explorers. Reproduced by permission of AP/Wide World Photos. compete in the family market, Ford launched two mid-sized sedansthe Ford Taurus and Mercury Sable. The company also pushed into the ultra luxury market when it purchased two British automakers, Aston Martin and Jaguar, in 1989. In the 1990s, Ford started to produce minivans and SUVs, and by 1992 the Ford Explorer ruled the sport utility market. Ford bought into the rental car industry in 1992, acquiring Hertz and then rival Budget in 1996, supplying these firms with thousands of Ford-made cars, trucks, and sport utility vehicles. Budget was sold in 1997, but Ford held on to Hertz, the nation's number-one rental car company.

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Hit by Scandal In 1999, William "Bill" Clay Ford Jr., great-grandson of founder Henry, was named chairman and Jacques Nasser became chief executive officer (CEO) and president. That same year, Ford faced perhaps the biggest crisis in the company's history. Ford Explorers, the country's top SUV, were involved in rollover accidents injuring and sometimes killing occupants. After intense investigation, the problems were attributed to the Firestone Wilderness AT tires, which were installed on all Explorers at Ford factories. Forced to recall and replace thirteen million tires, both Ford and Bridgestone/Firestone were faced with scores of lawsuits and lost billions. The Explorer and Firestone tire crisis, as well as other problems, brought an end to Jacques Nasser's long career at Ford. He left the company in late 2001 and Bill Ford assumed his responsibilities as CEO. Bill Ford was determined to get back to business as usual, yet this required several immediate measures, including the discontinuation of the Lincoln Continental, the Mercury Cougar and Villager, and the Ford Escort compact car. The model cutbacks were just the beginning of a major rehaul for the company, which included layoffs and the closing of three assembly plants in the United States and Canada. Gearing Up for the Future As Ford Motor prepared to hit its one-hundredth anniversary in 2003, the company was ranked as the world's largest truck manufacturer and the second-largest producer of cars with operations in thirty countries around the globe. With annual sales of more than $160 billion, today's Ford Motor Company is a giant of the automotive industry. After one hundred years, Ford has changed a great deal but remains in the familyfounded by Henry Ford in 1903 and run by Bill Ford in 2003.

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Technology: Ford has launched two new technologies: the global avatar and the Sync. The Sync is in collaboration with Microsoft. The global avatar is in an effort to reduce costs. Ford has launched an animation technology which allows the company to create a global avatar that will design the car in an online environment. This will allow the company to design and test many parts of the car without incurring the huge costs of physical building and testing. The avatar will assemble the vehicle parts and build a digital prototype. Ford has also launched a technology called the Sync. The Sync is developed by Microsoft and is a voice-control technology that allows the user to give commands via voice. The system listens to the commands and gives the output. For example, if you want directions to a restaurant near your house, you speak out Please find the way to Pizza Hut and the Sync technology system will process your voice and give you directions. Sync also changes radio channels and updates your Twitter status when you tell it to. It works with Map quest for directions, Pandora for radio and the iPod, for music. Alan Mullaly, Chief Executive Officer of Ford feels that this new technology will improve sales of Ford vehicles and plans to introduce this technology in many new models of the car. If you are stuck on the road and have a flat tyre, or if you are alone in some area and need protection, you can call 911 from Sync. Unfortunately, the Sync is not available yet in Indian models. Sync is offered in 14 Ford vehicles in North America, 5 Lincoln vehicles and the Mercury Milan. It is available as an add-on at a retail price of $395, according to the company.

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Future plan : Ford plans to bring more global products to the Indian market which will increase its sales thereby making up for its dull sales in Europe and the United States. The car manufacturer plans to launch a new car every 12-18 months in India and open 28 dealerships. Ford plans to convert India into an export hub for the Figo and launch new models in India. Ford is also planning to invest more money in operating production plants, dealerships and customer sales in India. Apart from making India the export hub Ford also plans to invest US$ 350 million on the JV truck in Thailand in partnership with Mazda. Ford announced a 1million scholarship program called the Ford Blue Oval Scholarship Programme for sponsoring university students in 2011. The great grandson of the worlds fifth largest car manufacturer, Mr. Ford started this program in order to sponsor each student for each year that Ford has been in Britain, which is a total of 100 years. The program will be funded by the Ford Motor Company Fund, which is an arm of Ford Motor Company and Ford of Britain. Ford Fund is working with the Society of Manufacturing Engineers Education Foundation in order to fund this program. FORD profile in India Ford India was established in 1995 as a wholly-owned subsidiary of Ford Motor Company, a global automotive industry leader. Since then, Ford has announced plans to invest more than US$ 2 billionin India to expand its manufacturing facilities and sales and service networks to meet rapidly rising demand in one of the world's fastest-growing auto markets. Ford India currently operates a modern, integrated manufacturing facility at Maraimalai Nagar, near Chennai, which produces the Ford Figo, Ford Fiesta Classic, Ford Endeavour and the recently launched, world-acclaimed All-New Fiesta.
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As part of its aggressive global expansion, Ford Motor Company recently announced plans to build two new manufacturing facilities in Gujarat state. Ford will invest approximately US$ 1 billion in two facilities: stamping, body, paint and assembly operations for vehicle manufacturing, and machining and assembly operations for engine manufacturing, and will add almost 5,000 people to its current workforce of more than 10,000. Ford is also expanding its powertrain facility in Chennai to further support its sales and export growth plans in India. When the expansion is completed in mid-2012, the engine plant's annual production capacity will increase from 250,000 to 330,000 units per year. To facilitate greater customer convenience and reach, Ford India is constantly expanding its nationwide dealership network and continues to enhance its world-class after-sales offerings. Ford India has 200 sales and service outlets in 110 cities and continues to grow aggressively. Ford has also earned multiple accolades in India, including the 'Most Dependable SUV' for the Endeavour in the JD Power Asia Pacific Vehicle Dependability Study 2011, and the Indian Car of The Year 2011 (ICOTY) award for the Figo. Ford India is also embarking on an accelerated export strategy with its new small car and engines to be exported to markets across Asia Pacific and Africa. The Figo, which has quickly become India's most awarded car ever, is being shipped to 27 international markets and will eventually be exported to 50 international markets. Since its inception, Ford India has also been heavily involved with Corporate Social Responsibility initiatives, working across communities on projects such as road safety, education, and health care. Ford has also introduced its award-winning Driving Skills For Life (DSFL) programme, which has trained

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thousands of Indian drivers on safer, economic and eco-friendly driving practices. Ford's operations in India also include Global Business Services, comprised of Ford Business Services Center and Ford Technology Services

India. Located in Chennai and Coimbatore, these units employ more than 5,000 people who support Ford globally in the areas of IT, accounting and finance, financial services and automotive operations support, global analytics and engineering services. Below mentioned is the SWOT analysis of Ford Motors which tells us how this company works and what are its opportunities as well as threats. Strengths Ford Motors recorded the strongest as well as effective operation performance in 2005 Ford motors is the second largest automobile manufacturer Ford Motors is termed as one of the supportive tool after various attacks Ford Motors is one of the best auto manufacturer which are offering credit services Ford Europe along with PAG also known as premier automotive group also recorded the strongest revenue in year 2005 Extensive supply chain is the leading and the best contributor towards the betterment of the company Ford motor is termed as the best manufacturer in terms of diversity

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Weaknesses Due to the competition with the Japanese company, Ford Motors suffered a lot and thus went far away from fuel based light trucks Due to the product recalls, Fords brand image was also harmed and thus the company suffered a lot Cash reserves was ruined to around $4.1 Billion Ford Motors stock prices suffered greatly to $14.70 Ford motors suffered lack of diversification Ford Motors have a very small share of market which results in a great loss to the company Various obligations are termed as the weakness of Ford motors Opportunities Restructuring plan was launched in order to improve the performance of the Ford Motors. Various products were predicted to switch towards the hybrid electric engines Ford tried to diversify their market towards India and china in order to diversify their revenues Ford motor is termed as environment friendly Generosities is one of the best opportunity which results in betterment for the company

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 Well researched programs are under consideration in order to gain more popularity Other companies doing well oriented task is also the greatest opportunity for Ford Motors Threats Rising oil prices are one of the major contributor towards the loss of the company Rising raw material prices Rise in competition is one of the major threat towards the productivity of the company Another important threat for Ford Motor is the low capital spending Other automobile manufacturers ideas and programs are the biggest threat for Ford Company Competition is one of the major threat. Ford Motor is thus trying to generate automobiles with best technology in order to minimize this Working with different techniques is one of the major threat All the above-mentioned strengths, weaknesses, opportunities and threats are the major factors, which contribute a lot towards the betterment of the company. If these all are rectify properly and at proper stage then the outcomes can be easily generated without facing any further difficulty.

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COMPANY PROFILE

TYPE Founded Founder Headquarters Area served

Public(NYSE:F) June,17,1903 Henry Ford Dearborn, Michigan, USA Worldwide

Key people

William Clay Ford, Jr. Executive Chairman Alan Mually President, CEO

Industry Products Revenue Operating income Net income Employees

A automotive Automotive goods and services US$136.26 billion (2011) US$8.681 billion (2011) US$20.21 billion (2011) 164,000 (2011)

Divisions

Ford Credit, Ford division, Lincoln, Mercury, Premier Automotive Group

Subsidiaries

Automotive Components Holdings Jaguar, Land Rover, Volvo (cars only)

Slogan

Bold Moves, Have you driven a Ford lately?, Built Ford Tough, Built for Life in Canada ,Feel the difference, Make Everyday Exciting

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Description of ford models:-

FORD ENDEAVOR: PRICE(lacs) 21.16 20.17

Engine Type

2.5 litre, 4 Cylinder in-line, Turbocharged & inter-cooled diesel

Displacement (cc) Max. Power (PS/rpm) Max. Torque (kgm/rpm) Ignition System Valve System Fuel System Emission

2499 116/3500 28.5/200 compression SOHC, 12 Valves indirect Injection Mechanical Pump Exhaust Gas Recirculation (EGR) Meeting Bharat Stage III Norms

Kerb weight (kg) Transmission Max speed (Kmph) Mileage

1933/1958 Manual 5 speed 142 8.2

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FORD FIESTA: Engine 1.4 EXI 1.6 ZXI 1.6 SXI 1.4 EXI (TDCi) Price in (lacs) Type 6.76 7.28 8.28 8.00 1.4 ZXI (TDCi) 8.52 1.4 SXI (TDCi) 9.91

4 Cylinder in-Line, 16 Valve DOHC

4 Cylinder in-Line, 8 Valve SOHC

Construction Fuel System SEFI

All-aluminum Alloy High Pressure Common Rail

Displacement cc Compression Ratio Max. Power Output Max. Torque Emmision Compliance Transmission Type Kerb Weight (Kg) Max Speed (Kmph) m Nm/rp

1388 9.75:1

1596 9.75:1

1596 9.75:1

1399 18.1

1399 18.1

1399 18.1

ps/rpm 82/6000 101/6500 101/6500 68/4000 68/4000 68/4000

127/400 146/340 0 0

146/340 0

160/200 160/200 160/200 0 0 0

Bharat Stage III

5 Speed Manual

170/178 14.75/13.6

Mileage

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FORD FIGO: Ford unveiled its new small car "Figo" in September, 2009 in New Delhi with Alan Roger Mulally, Ford's president and chief executive, making a lightening visit to the country for the unveiling. And now Figo has been launched and will compete with the likes of Maruti Ritz Hyundai i10, Honda Jazz & Skoda Fabia,Maruti Swift VXI, Maruti Suzuki,SwiftVDI (ABS),. The Ford Figo, a new nameplate and a fresh face on the Indian market.The Ford Figo has been launch in 4 variants of both diesel and petrol model. Key dimension overall length mm Width mm Height mm Wheel base mm Ground clearance mm Fuel capacity (L) Turning circle radius (M) Boot space (L) Engine Displacement (cc) Values /OHC Fuel System Max power PS(KW)@RPM Max Torque NM (KGM)@RPM
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3795 1680 without outside mirror 1427 2489 168 45 4.9 284 Petrol 1196 16V DOHC SEFI 71(52.4)@6.250 Diesel 1399 8V SOHC Common Rail 69(50.7)@4.000

102(10.4)@4.000

160(16.3)@2.000

Transmission Wheel &Tyres Wheel Size Type Suspension Front

5 speed Manual Transmission

175/65 R14 Radial , Tubeless

Independent McPherson Strut with Dual path mouth Semi Independent Twist Beam ,Coil Springs

Rear Brakes Front Rear Steering Type Kerb Weight Petrol Diesel

Ventilated Disc Drum

Hydraulic Power Assisted LXI 1040 1090 EXI 1060 1105 ZXI 1075 1115 Titanium 1090 1130

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Ford Figo Petrol Titanium V\S Facing Competitions Features Figo Titanium Ex- Showroom Front power windows Intelligent central locking 5.50 Hyundai i10 sports 5.43 Not intelligent Body color outside mirrors & door headles Rear Wiper Rear washer Rear Defogger Mp3 player +4 speakers + Axin port Bluetooth connectivity Dual airbags ABS + EBD Programmable remote key Driver seat height adjust Electric Adjust Mirrors Electric Boot Release Distance to Empty Anti dripWipping 6 Speed intermittent wipers Maruti Swift VXI 5.47 Not Maruti Ritz VXI 5.61 Not

intelligent intelligent

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Ford Figo Diesel Titanium V\S Facing Competition Features Figo Titanium Ex- Showroom Front power windows Intelligent central locking Body color outside mirrors & door headles ABS + EBD Rear washer Rear Defogger Mp3 player +4 speakers + Axin port Bluetooth connectivity Dual airbags Rear Wiper Programmable remote key Driver seat height adjust Electric Adjust Mirrors Electric Boot Release Distance to Empty 5.79 Maruti Suzuki Swift VDI(ABS) 7.44 Not intelligent Maruti Suzuki Ritz VDI(ABS) 6.30 Not intelligent

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Anti dripWipping

Ford modified its models for the Indian target segments as shown below: Higher ground clearance to make the car more compatible to the rougher road surface in India. Stiffer rear springs to enable negotiating the ubiquitous potholes on Indian roads. Changes in cooling requirement, with greater airflow to the rear. Higher resistance to dust. Compatibility of engine with the quality of fuel available in India. Location of horn buttons on the steering vehicles. (As the India motorist uses the horn more frequently, for cars sold in India, the horn buttons are kept on the steering wheel and not on a lever on the side as in the models sold in Europe.)

Strategic segmentation of cars: The Ford in India has launched the car only for few segments of people. The segmentation of car buyers based on price preferences is. Family car segment: These cars form a reasonably sizeable segment of the market(Around 15 percent).Preferred price range is from 5 lakh to 6 lakh.FORD IKON AND FORD FUSION come under this type of segment. Premium car segment: This segment represents buyers who need a real world-class car and are willing to pay the due price. Preferred price range starts from 4 lakh to 12 lakh. FORD FIESTA, FORD MONDEO and FORD FIGO come under this segment of cars. SUV segment: The buyers of this segment like to have big vehicles. And these cars are also useful for sport riding and even on hill areas. There body is designed similar to off-road vehicles, which can withstand to Indian roads. FORD ENDEAVOUR occupies this segment.
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Quick glance into Indian Car Industry:

Having expanded at a brisk pace in recent years to touch an annual output of 1 million units, the Indian car industry is all set for its busiest ever period of new launches. It is estimated that nearly 50 new models or variants of existing models would be launched over the next year or so, taking the total number of models and variants available to nearly 250, a far cry from the days when consumers had to choose from just two or three models. One of the most competitive industries of the world, Indian car industry is today at a place which is hard to be reached by any industry easily. Most of the consumers are small car buyers. So, small car segment includes a large part of consumers whereas luxury segment only serves a niche market. The country now produces more compact cars than the whole of Europe. If the current growth rate in compact cars is maintained, India would beat Brazil very soon to become the second-largest manufacturer of small cars behind Japan over the next few years. Although the automobile industry in India has come a long way, when compared with many other countries, India does not rank well in many respects like the contribution of the auto sector to industrial output, number of cars per person, auto sector employment as a percentage of industrial employment, number of month income required to purchase a car and penetration of cars.

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OVERVIEW OF VARIOUS COMPANIES IN THE INDUSTRY

Maruti Udyog Limited:

The first company in India to mass-produce and sell more than a million cars. It is
largely credited for having brought in an automobile revolution to India. To this day it is the market leader in India in its segment.

GM Motors:
General Motors is one of the largest car manufacturers in the world. In India it produces car with the brand name Chevrolet. It mainly produces luxury cars but also it has a model Chevrolet Spark which is a good competitor in small car market, in luxury market its main car is Chevrolet Optra.

Hyundai Motors:
Hyundai Motors is the world's Sixth Largest Automaker. Hyundai motors has various models of cars in the market. The one flag ship car for Hyundai is Hyundai Santro they are strong competitors for Maruti.

Mitsubishi Autos:
Mitsubishi Autos has limited models in India, its flagship model is Mitsubishi Lancer, which is a luxury car in India.

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Tata Motors:
Tata Motors Ltd, is a part of Tata group. Its flagship model is Tata Indica V2. It is one of the most important car in the small car segment.

Skoda Motors:
Making entry into India with its model Skoda Octavia, Skoda also serves niche segment of luxury car segment. With a very limited number of models in India.

MY LITERATURE
PREM FORD, is an authorized dealer for Ford India Limited, who is one of the leading manufacturers of top quality cars in India, with many variants in the offering. Prem Ford is a 50:50% Joint Venture set up between two well known and reputed families in AGRA, Sanjay Bansal and Wg. Cmdr. P.P. Agarwal. The General Manager of Prem Ford is Mrs. Mona TIwari This showroom was established in 1999, this is the only dealer of Ford cars in Mathura, Agra, Hathras, Firozabaaf zone.The service center of Ford is situated near secunderabad. They have the capability to provide service for 30 cars at the same time. These centrally located outlets provide convenient and easy access to both the proud owners as well as prospective buyers. The workforce at Fortune Fordis committed to excellence in serving all esteemed customers. The Sales Team is made up of dedicated showroom and field executives who are professionally trained by Ford India Ltd. They are adept at guiding the customer through the entire sales process right from assisting in the choice of model, colour and features to lending a helping hand in providing attractive buyback options and also arranging finance at competitive rates. The Service Centre is armed with the state-of-the art equipment and is in-line with Ford's exacting Global standards. The service team is technically qualified and
49

trained to analyze and provide solutions adhering to Quality Care, in order to satisfy even the most demanding customers. The Prem Ford dealership maintains a high standard of excellence in sales and services by sending its personnel for training on a regular basis to Ford India Limited, to update them with the latest technological advances in the automotive sphere. The facilities offered from the showroom are: 1. Very easy finance facility with in-house finance team to cater to your every car finance requirements. All the leading finance counters are available like ICICI, HDFC, KOTAK, SBI, CORPORATION BANK, AXIS BANK,

ORIENTED BANK OF COMMERCE,PNB etc. 2. Exchange offer for any of your used car. Free spot evaluation for any used car. 3. Professionally trained and courteous sales staff to take care of every relevant need of the customers. 4. Ford preferred insurance for cashless transactions in the event of claims. Special offers onInsurance renewals. You can also renew your insurance by just making call to our Service marketing help line 0562 2520427. 5. Full range of Ford cars with all colors and models to choose from. 6. A good stock of Ford genuine accessories to make your Ford ownership more delightful and safe. 7. A well maintained fleet of test drives cars to give you the feel and experience the drive Dynamics on actual driving conditions before take the purchase decisions. You can call our sales help line for test drive or fill the online test drive requisition form.

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CHAPTER 3
RD

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Research methodology: The methods adopted to collect information on small car market, because I mainly concentrate on FORD Figo rather than other products of FORD, were mainly through data. I did a survey in the city Agra which is the most important place of north India. I made questionnaires and did survey. I conducted this survey at PREM motors itself where I was working and at Indian Oil Corporation Limited. But firstly we have to understand all the components and factors related to a research methodology. PRIMARY DATA: It consists of information collected for the specific purpose, survey research was used and he all the details of Ford and their competitors were contacted. Survey research is the approached gathering description and information.

SECONDARY DATA COLLECTION: The secondary data consists of information that already existing somewhere having been collected for another purpose. Any researcher begins the research work by first going through secondary data. Secondary data includes the information available with company. It may be the findings of research previously done in the field. Secondary data can also be collected from the magazines, news papers, internet other service conducted by researchers.

METHODS OF DATA COLLECTION: The study includes in it the data collected through both primary and secondary sources. Primary data is collected with the help of structured questionnaire and personal meeting. Questionnaire is administered on the

52

sample respondents. However there are certain cases where personal interactive method is followed with customers to find the satisfaction level.

RESEARCH METHODOLOGY: The respondents are the car owner of any company or intender of car and different banks managers of different branches. The survey was carried in Agra with the sample size of 40. The survey was carried out with the help of a structured questionnaire, which help in accomplishing the research objective. The respondents by means of personal interview administer during the event shows this structured questionnaire.

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CHAPTER 4
TH

54

ANALYSIS & INTERPRETAION

1. Which of the following Ford car you own?

A> Fiesta

B> Classic

C> Figo

D> Endeavour

Name of the car Fiesta Endeavour Classic Figo Total Table

% of the customer 20 10 25 45 100%

Pie chart

fiesta endeavour classic figo

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Interpretation: This question is meant for taking the information regarding the most preferred car in the Ford cars. From the above graph it is found that most preferred vehicle of Ford cars is Figo.

2. What do you like most about your Ford car? A> Style/design B> Comfort C> Ford brand D> Service

Customers preference Style / design Comfort Ford brand Service Total t Table. No.2

No. of customers (in %) 24 40 23 13 100%

Sales

style comfrt brand service

Interpretation :- This question is meant to know the customers preferences and likes towards the cars. From the data we can position our product to the comfort seeking group of people.

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3.To other cars, what do you feel great about your car when compared in the market? A> Fuel efficiency B> Durability E>Brand name Customer perspective Fuel efficiency Low maintenance Sound quality Brand name Durability Total Table No.3 No. of customers 40 9 18 19 14 100 C> Low maintenance D> Sound quality

Sales

fuel effieciency low maintenanace sound quality brand name durability

Interpretation: From this question we can position the cars according to the customers perspectives. Many of the Ford customers are buying the cars by seeing its Brand Name only. The no. of customers satisfied with the fuel efficiency is good.

4. How did you come to know about this car before purchasing? (A) From friends, relatives (buzz) (B) Advertisements(C) Car experts (d) Sales peoples visit (E) Auto magazines
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Sources of awareness Friends , relatives Advertisement Car experts Sales people visit Auto magazines Total
Table No.4

No of customers 24 50 6 10 10 100

Source of awreness

friends add car expert

sales peopl auto mag

Most of the Ford customers came to know about their vehicle through Advertisements only. The major media that attracted the customers is television.

5. How do you rate the promotion of FIGO by Prem Ford? A> Excellent B> Very good C>Good
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D> Average

E>Poor

Rating Excellent Very good Good Average Poor Total

Table no.5

No. of customers 10 28 52 10 0 100

Sales

excellent

very goo good average poor

According to this Pie Diagram we can understand that Prem Ford did promotion of Figo on excellent level. 6. Where do you get your car serviced regularly?

(A) At authorized service centre (B) At a local workshop near my home Place of service At authorized center At a local workshop near my house Total
Table no 6 59

No. of customers 82 18 100

% of customers

1st Qtr

Most of the Fortune Ford customers are interested to service their vehicles only at the authorized dealers. From this we come to know what the importance of authorized service centers for car is.

7. To which media do you get expose regularly? (A) Televisions (B) Magazines (C) News papers (D) F.M/Radio Media Televisions Magazines News paper FM/ Radio Total
Table No.9

No. of customers 52 14 32 2 100

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media

TV magzine news paper FM

From this analysis we come to know that most of the customers are interested in watching televisions, which is a good media for communicating with people and delivering our intentions about product.

8. Whats your opinion on the price list of Ford cars? (A) Affordable by common man (B) Affordable only by rich man (C) Cant say

Customer opinion on pricelist of ford car Affordable by common man Affordable by only rich man Cant say Total Table. No.11

No. of customers 30 60 10 100

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affordiblity

Affodable by common man Affordable by rich man Cant say

More than 80% of customers think that Ford cars are affordable only by rich men. These cars are too expensive for an economic/common man of the society.

9. Whom do you suggest as a right person for promoting a car? (A) Sports person(B) Film stars(C) Car expert(D) Any celebrity Customer suggestion Sports persons Film star Car expert Any celebrity Total Table No.9 No. of customers 36 42 14 8 100

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Right person for promotion

sports person Film star Car expert Any celebrity

Most of the customers of Ford suggest a film star as the best ambassador. Because many of them get attracted only to their favorite film stars other than other brand ambassadors.

10. What other brands did you seriously consider before making this car purchase? (A) Hyundai (B) Chevrolet (C) Maruthi (D) TATA (E) Toyota

Brand name Hyundai Maruthi Honda Skoda Toyota Total

Table No.10

No. of customers 33 24 18 15 10 100

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Brand Name

Hyund Skoda

Maruth

Honda

Toyota

Most of the Ford customers are opting for Hyundai when they are asked to consider a brand other than Ford. Maruthi occupies the second place in their preference.

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CHAPTER 5
TH

65

FINDINGS

In present day people are becoming more aware about the product and its features, they go through with a detailed study about any product.

Just because of the availability of different brand of products, people are becoming more brand conscious. If any product has good brand image in the market then this factor absolutely affects its selling.

In hatchback cars millage plays a important role on buying behavior. Maximum people always prefer these car because of their limited budget, the people who belongs to middle class level.

In todays time hike in the petrol price totally affect the petrol car sales, but the availability of figo in diesel segment, make its position strong among all its competitors. All the formalities which are required to buy a car like insurance, loan etc .Matters are tackle by Prem Ford itself to make the buying procedure easier for customer. Only difference between Figo Exi model and titanium model is airbag, but the prices varies 80 to 85 thousands. So many people dont show their interest to buy Titanium model except doctors and safety concern people. Prem ford adapted basically four sources to meet their prospective customer. These are 1> Camp 2> Walk in
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3> Phone survey 4> References They divide the customers in the three categories. These are 1> Hot ( They usually take approx more than 1 month to buy a car ) 2> Cold ( They usually take 3 to 4 month) 3> Warm ( They usually take 10 to 25 days ) According to them there is 1 word on which selling of a one car depends, called SPACR. Here S Safety P Performance A Acceleration C Comfort R Reliability. To impress a customer Prem Ford follows these steps. 1> Greeting 2> Need assessment, like customers occupation, daily running, purpose of buying. 3> Product presentation 4> Test drive 5> Appraisal 6> Selling of old car, if they want to sell their old car before buying a new car, for this purpose Prem Ford helps the customer.

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RECOMMENDATION
People are becoming more smarter in their buying decision. So the executives should be well versed about their own company as well as the competitors. They mainly depend on the references to find the customers, they should more work on walk in and telephonic sources. Prem Ford should maintain its own website to provide all the relevant information and services to the customers. They must have more cars for test drive purpose, there were only 1 figo and 1 fiesta model for this. In AGRA city, they should make more tie-up with the other financial companies so that customers can have more options to finance the car. They should launch more options in hatchback category in cars, because Ford has only Figo in that segment, by taking this step they can make a strong position in this category. According to my study many people expect some changes in the look of figo, so Ford can provide new advance model in it. While working in the showroom I felt that people belong to rural place are not safety concern in comparison of urban people, they think that availability of air bag is just for a moment, which may be happen or may not so they believe this is unnecessary to pay more for this. So the Ford people should make them aware about this.
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 I found that there is only one showroom in Agra Mathura Hathras Firozabad region, so they should make more showrooms to increase the sell. The service centre of Ford is not situated at the showroom itself, it is far from that place, so they should make more service centre, and 1 service centre should be near to showroom. Prem Ford has to work on their promotion. They should have to maintain a own website, so the people can get all the relevant information about showroom. There was only 2 car for test drive, and one of them wasnt in the good condition. So they has to provide a better car for test drive. Because this is the most important thing to make a buy decision about a car, it cant be taken lightly. People are still confused between classic and fiesta model of ford, many people have doubt regarding this, so Ford has to make clear about this by providing advertisement and other awareness program.

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CONCLUSION
From above analysis it is very clear that Indian consumers buying behavior and their attitude have changed drastically in the recent past. It is not that only the rich are spending more and more but in fact its the great Indian middle class that's thrown caution to the winds and enjoying themselves like never before and are on a spending juggernaut. The ford brand is now becoming famous in middle class people also, all credit goes to figo. In previous days loans were not forthcoming. Never borrow, never lend was the favorite theme. Banks and credit card companies are vying with each other in offering loans to customers. As we know yesterdays luxuries is todays necessities. Hence in this digital world, car is no longer a luxury.

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BIBLIOGRAPHY
1> www.scribd.com

2> www.google.com

3> www.fordindia.com

4> www.wikipedia.com

5> www.autocarindia.com

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