A

PROJECT REPORT
ON
CONSUMER BUYING BEHAVIOUR AT TIME TO
PURCHASE HERO HONDA BIKE.

SUBMITTED TO
PUNJAB TECHNICAL UNIVERSITY

Submitted by submitted to
Manohar Mr. Kamaldeep singh
BBA-III Lecturer In management
Uni. Roll no. 81409320060

GNA INSTITUTE OF MANAGEMENT AND

TECHNOLOGY
(2008-11)

1
 CERTIFICATE
This is to certified that Manohar lal student of
BBA 3rd sem GNA-IMT Phagwara ,has
undergone this project of “CONSUMER BUYING
BEHAVIOUR AT TIME TO PURCHASE HERO HONDA
BIKE” under the supervision of Mr. Kamaldeep
singh and submitted satisfactory project report
during session 2008-11.
This report satisfies entire practical
fulfillment for the Punjab technical university
examination.
In the sincere efforts of the student hard-
work, this report satisfies the practical study of
them certified by Punjab technical university.

………………
Teacher sign

2
 PREFACE

Beginning of the system project is entirely creative. This does not come all of a sudden,
but it comes by result of discussion, consultation and contemplation. Problem unsolved
here can never be satisfactory eliminated later. It is therefore a slow process.

Moreover practical training is an important part of management courses. The

theoretical studies are not sufficient to get into the corporate world. Only practical
knowledge can help us to understand the complexities of large scale organizations.

To develop healthy managerial and administration skill in potential managers, it is

necessary that theoretical knowledge must be supplemented with exposure to the real
environment. Actually, it is life for, a management itself is realized.

In my case I confronted myself to CONSUMER BUyING BEHAVIOR AT

THE TIME OF PURCHASE OF HERO HONDA BIKES. And the exposure

that I could not have gained from the books. I found it very interesting and challenging.i
take knowledge about this project from net and make this project in my own way.

3
 ACKNOWLEDGEMENT

We are heartily great-full to Mr. Kamaldeep singh .He

have always been an invaluable source of inspiration,
hard work, sincerity and dedication.
It gives me immerse pleasure in submitting this
project on “consumer buying behavior at the time of
purchasing hero Honda bikes”. I have developed this
project from GNA-IMT.
I would like to express my sincere ineptness to my
project guide Mr. Kamaldeep singh for his constant
guidance and valuable support during the project
work. Encouragement and excellent guidance in this
successful completion of the project work.

Manohar

4
 INDEX

PAGE
NUMBER SUBJECT NO.

1 • INTRODUCTUION 7
• INTRODUCTUION OF INDUSTRY 8-9
• HISTORY OF COMPANY 10-14
2 THEORETICAL BACKGROUND 15-20
• CONSUMER BUYING BEHAVIOUR
3 PROBLEM DEFINATION 21-23
• PROBLEM DEFINATION
• SCOPE OF STUDY
• OBJECTIVES OF STUDY
• LIMLTATIONS OF STUDY
4 RESEACH METHODOLOGY 24-31
• INTRODUCTION
• RESEARCH DESIGN
• SOURCES OF DATA
• RESEARCH INSTRUMENT
• SAMPLING PLAN
• DATA COLLECTION METHOD
5 • DATA ANALYSIS AND 32-46
INTERPRETATION
6 • TESTING OF HYPOTHESIS 47-49
7 FINDINGS 50-52
8 SUGGESTIONS 53-54
9 SWOT ANALYSIS OF HERO HONDA 55-56
10 REFERENCE MATERIAL 57
• BIBLIOGRAPHY5 58
• APPENDIX 59
 LIST OF TABLE AND GRAPH

No. Name of Tables And Graphs Page

No
1 Have a bike 33
2 Company 34
3 Media 35
4 Advertisement influence 36
5 Knowledge from buying 37
6 Decision maker 38
7 Mode of purchase 39
8 Features considered 40
9 Time period 41
10 Schemes that Attract most 42
11 Want to change bike 43
12 Test drive 44
13 Satisfaction 45

6
CHAPTER :
1
INTRODUCTION

• INTRODUCTION OF INDUSRY

• HISTORY OF COMPANY

7
 INTRODUCTION OF INDUSTERY

Throughout the centuries man has striven to expand his

capabilities through the use of machine. His ever inventive mind
has constantly devised ways to use tool to increase his abilities to
explore the world around him. To go faster, deeper, higher and
further than before. Coupled with his need to find new thrills, new
adventures and new modes of transportation, the invention
refinement of the motorcycle seems an inevitable out come.

It would seem that Michelangelo conceived of the bicycle as

early 14th century. And his drawing shows a remarkable
resemblance to he modern day bike. It had wheels of similar size
and even pedals and chain. Albeit without any apparent means of
steering.

Through never built, it was a remarkably clever design, and

early bicycle makers would have done well to study his concepts,
there have, in fact been 4 machines built based on his drawing,
attesting to the viability of his design.

It wasn’t until 1869 that the first serious attempts were made
to produce motor driven bicycles. These very first were powered
by steam, and driven by leather belts or as in the case of the roper
steam velocipede of 1869 by a system of levers attached to a crank
on the driven wheel.

In 1885 the Daimler, Europe this is consider by many as the

first true motorcycle or motor bicycle, as it was the first to employ
an internal combustion engine and was designed from the ground
up to be motor powered. Designed by gottlibe Daimler it was

8
powered by an Otto cycle engine producing about ½ horse powers.
Note this design again employed wooden wheels and Daimler

dropped the twist grip controls from his 1877 design in favor of
leavers on the frame.

In 1894 Hildebrand and Wolfmuller, France Worlds first

production motorcycle. It came with a 1428 cc water cooled four-
stroke motor producing 2.5 bhp. And speed of 25 mph.

In 1898 orient-Aster, USA the American made production

motorcycle was this entry built by the Metz Company, in Waltham,
mass, it used an aster engine that was a French copy of the Metz
Company, in Waltham, mass.

9
History OF COMPANY

Type : Public company

Founded : January 19, 1984

Headquarters : Haryana, Indian

Key People : Brijmohan lall munjal

(Chairman and managing Director)

Industry : Automotive

10
 Produce : Motorcycle, Scooters

Hero Honda Motorcycles limited is an Indian manufacturer

of motorcycles and scooters. Hero Honda is a joint Venture that
began in 1984 between the Hero Group of India and Honda From
Japan. It has been the world’s biggest manufacturer of 2-wheeled
motorized vehicles since 2001. When it produced 1.3 million
motorbikes in a single year. Hero Hondas splendor is the largest
selling motorcycle its 2 plants are in Dharuhera and Gurgaon, both
in Haryana India. It specializes in dual use motorcycles that are
low powered but very fuel efficient.

11
 India has the largest number of two wheelers in the world with
41.6 million vehicles. India has a mix of 30 percent automobiles
and 70 percent two wheeler in the country. India was the second
largest two wheeler manufacturer in the world starting in the1950s
with the birth of Automobile products of India (API) that
manufactured scooters. API manufactured the lambrettas but,
another company, Baja Auto Ltd. Surpassed API and remained
through the turn of the century from its association with piaggio of
Italy (manufactured of vespa)

The license raj that existed between the 1940s and 1980s in
India. Did not allow foreign companies to enter the market and
imports were tightly controlled. Customers in India were forced to
wait 12 years to buy a scooter from Bajaj. The CEO of Bajaj
commented that he did not need a marketing department, only a
dispatch department. By the year 1990, Bajaj had a waiting list that
was twenty-six times its annual output for scooters.

In the mid-1980s, the Indian government regulation changed

and permitted foreign companies to enter the Indian market
through minority joint ventures. The two wheeler market changed
with four indo-Japanese joint ventures: Hero Honda, TVS Suzuki,
Bajaj Kawasaki and Kinetic Honda. The entry of these foreign
companies changed the Indian market dynamics from the supply
demand side. With a larger selection of two-wheelers on the Indian
market, consumer started to gain influence over the products they
bought and raised higher customer expectations. The industry
produced more models, styling options, price, and different fuel
efficiencies. The foreign companies new technologies helped make
the products more reliable and with better quality. Indian
companies had to change to keep up with their global.

12
During the 80s, Hero Honda became the first company in India to
prove that it was possible to drive a vehicle without polluting the
roads. The company introduced new generation motorcycles that
set industry benchmarks for fuel thrift and low emission. A
legendary 'Fill it - Shut it - Forget it' campaign captured the
imagination of commuters across India, and Hero Honda sold
millions of bikes purely on the commitment of increased mileage.
Hero Honda has consistently grown at double digits since
inception; and today, every second motorcycle sold in the country
is a Hero Honda. Every 30 seconds, someone in India buys Hero
Honda's top -selling motorcycle - Splendor. This festive season,
the company sold half a million two wheelers in a single month-a
feat unparalleled in global automotive history.

Hero Honda values its relationship with customers. Its unique

CRM initiative - Hero Honda Passport Program, one of the largest
programs of this kind in the world, has over 3 million members on
its roster. The program has not only helped Hero Honda
understand its customers and deliver value at different price points,
but has also created a loyal community of brand ambassadors.

Performance vis-à-vis Industry

The Indian two wheeler industries has seen a paradigm shift from
being a regime of regulation and tight control in the 1980s to a
more liberalized and a competitive present day era. After missing
out on the initial boom in two wheeler segment during the period
of 1993-1996, Hero Honda has emerged as a world leader. The gap
between motorcycles sold by Hero Honda and its closest rival is
approximately 1 m units (23% of industry size). One of the reasons
for the tremendous performance of Hero Honda is the significant
increase of share of motorcycles in the two-wheeler segment, from
42% in FY99 to 77% in FY04. No doubt, that the shift in
preference of Indian populace from scooters and mopeds towards

13
motorcycles has facilitated the growth of Hero Honda. However its
performance vis-à-vis industry indicates that the performance of
Hero Honda was better than the industry peers, barring two years.
In the seven-year period ending FY04, it has achieved a CAGR of
30% in two-wheeler volumes against 11% of the industry.

Excellent Collaborator Relationship:

Hero Honda is now the leading two-wheeler Company in India in

terms of net sales (sales less excise duty value, which was Rs 3171
crores). It is both the leading two wheeler manufacturer and
sales operation among Honda's worldwide operations. The
Company has maintained excellent relationship with all
stakeholders including its collaborators. Hero Honda has emerged
as the most successful joint venture Company of Honda in the
world, their relationship over 116 years old now.

14
CHAPTER:2
THEORITICAL BACKGROUND

• CONSUMER BUYING BEHAVIOUR

15
 CONSUMER BUYING
BEHVIOUR

The main aim of marketing is meet and satisfy target

customers need and wants buyer behavior refers to the peoples or
organization conduct activities and together with the impact of
various influence on them towards making decision on purchase of
product and service in a market. The field of consumer behavior
studies how individuals, groups and organization select, buy, use
and dispse of goods, service, ideas, or experience to satisfy their
needs and desires understanding consumer behavior and knowing
customer are never simple. The wealth of products and service
produced in a country make our economy strong. The behavior of
human being during the purchase is being termed as “Buyer
Behavior”. Customer says one thing but do another. They may not
be in touch with their deeper motivations. They are responding to
influences that change their mind at the last minute. A buyer makes
take a decision whether save or spend the money.

Definition of Buyer Behavior:-

Buyer behavior is “all psychological, Social and physical
behaviors of potential customers as they become aware of evaluate,
purchase, consume and tell others about product & service.

16
Consumer Buying Decision Process
There are following five stages in consumer buying decision
process.

1. Problem identification:-
The buying process starts when the buyer recognizes a problem or
need. The need can be triggered by internal or external stimuli.
Marketers need to identify the circumstances that trigger a
particular need. By gathering information from a number of
consumers, Marketers can identify the most frequent stimuli that
spark an interest in a product category. They can then develop
marketing strategies that trigger consumer interest.

2. Information Search:-
The consumer tries to collect information regarding various
products/service. Through gathering information, the consumer
learns about completing brands and their features. Information may
be collected form magazines, catalogues, retailers, friends, family
members, business association, commercial, chamber of
commerce, telephone directory, tradefair etc. Marketers should
find out the source of information and their relative degree of
importance to the consumes.
Personal Sources: Family, friends, neighbor, as
quittances.
Commercial Source: Advertising, sales persons, dealers,
packaging, displays.
Public sources: mass media, consumer, rating organizations.
Experimental sources: Handling. Examine, using the product.

17
 3. Evaluation of alternative:-
There is no single process used by all consumers by one consumer
in all buying situations. There is several First, the consumer
processes, some basic concepts are:
First, the consumer is trying to satisfy need.
Second, the consumer is looking for certain benefits from the
product solutions.
The marketer must know which criteria the consumer will
use in the purchase decision.

4 . Choice of purchasing decision:-

From among the purchase of alternatives the consumer makes the
solution. It may be to buy or not to buy. If the decision is to buy.
The other additional decisions are:
Which types of bike he must buy?
From whom to buy a bike?
How the payment to be made? And so on.
The marketer up to this stage has tried every means
to influence the purchase behavior, but the choice is properly
consumers. In the evaluation stage the consumer forms preferences
among the brands in the choice set. The consumer may also form
an intention to but the most preferred brand.

18
 5. Post Purchase Behavior:-
After purchase the product, the consumer will experience the same
level of product. The Marketer’s job not end when the product is
buying must monitor post-purchase satisfaction, post-purchase
action, post-purchase use and disposal
 Post Purchase Satisfaction:-
The buyer, S satisfaction is a function Of closeness between the
buyer, S expectation and the products Perceiver performance.
The larger the gap between expectation and performance, the
g greater the consumer dissatisfaction.

 Post purchase Action:-

The Consumer, S satisfaction or dissatisfaction with the product
influence subsequent behavior. If the consumer satisfied, he or she
will exhibit a higher probability of purchasing the product again.
Dissatisfaction consumer may abandon and return the product.

 Post-Purchase Use or Disposal:-

The marketer should also monitor new buyers use and
dispose of the product. If the consumer store the product in a close,
the product is probably not very satisfying. If the consumer throws
the product away, the marketer needs to know how they dispose of
it; especially it can be hurt the environment.

19
 Characteristic of Buyer Behaviors
The chief characteristics of the buyers behaviors are as
follow:-

(1) It consists of mental and physical activities which consumers

undertake to get goods and services and obtain satisfaction from
them.

(2) It includes both observable activities such as walking through

the market to examine merchandise and making a purchase and
mental activities-such as forming attitudes, perceiving advertising
material, and learning to prefer particular brands.

(3) Consumer behaviors are very complex and dynamic to

constantly changing. And therefore, management need to adjust
with the change otherwise market may be lot.

(4) The individuals specific behaviors in the market place is

affected by internal factor, such as need , motives, perception, and
attitudes, as well as by external of enviourmenatal influences such
as the family social groups, culture, economics and business
influences.

20
CHAPTER:3
PROBLEM
DEFINATION

• PROBLEM DEFINATION

• OBJECTIVE OF STUDY

• LIMITATIONS OF STUDY

21
 PROBLEM DEFINATION

To know the best consumer buying behavior and demand into

the minds of consumer of Phagwara city because always consumer
say something and does something. There are many companies
manufacturing motorcycles into the market, at the same time as
there are many companies manufacturing motorcycles, idea about
thinking of customer on whether, what, how, and for whom to
purchase the motorcycle.

Therefore, research is required to measure present consumer

buying behavior at the purchase of Hero Honda bike. so the
researcher problem is to identify what are the criteria that
prospective customer takes into consideration before buying the
motorcycles.

SCOPE OF STUDY
 The main scope of the study is limited to Phagwara city.

 It also analysis the benefits accruing to the company as a

result of those service.

 This study has been made to find the level of satisfaction the
customer has regarding the service provider by bike place.

22
 OBJECTIVES
OF STUDY

 To know market position of Hero Honda bike in the

market.

 To know consumer behavior for purchase of two wheeler

bike.

Limitations of study
 When the buyers are busy we can’t get accurate data from
them.

 According to the time limit of our project we can cover

only the some area.

 During survey some respondents may not give answer in a

proper manner.

23
CHAPTER:-
4
RESEARCH METHDOLOGY

• INTRODUCTION
• RSEARCH DESIGN
• SOURCES OF DATA
• SAMPLING PLAN
• DATA COLLECTION METHOD

24
 RESERCH METHODOLOGY
(A)Introduction
Marketing research is the function which links the
consumer, customer and public to the marketers through
information used to identify and define marketing, opportunities
and problems, generates refine marketing action; monitor
marketing performance; and improve understanding of marketing
as a process.

Marketing research specifies the information required

to address these issues; designs the method for collection
information manages and implements the data collection process;
analysis the results and communication the findings and their
implication.

Research definition:
“Research is careful inquiry or examination to discover
new information and relationship and to expand and to verify
exiting knowledge,”

Research always starts with questions or a problem. Its

purpose is to find answer to questions through the application of
the scientific method. It is a systematic and intensive study
directed towards a more complete knowledge of the subject
studies.

25
 (B) Research design

“Research design is the plan, structure and strategy of

investigation conceived so as to obtain answer to research question
and to control variance.”
- BY KERLINGER
From definition it is evident that research design is ore or less a
blueprint of research.

At the outset may be noted that there are several ways of

studying and tackling a problem. There is no signal perfect design.
The research design can be classified in to true broad categories:

(A) Exploratory
(B) Descriptive
(C) Casual

Exploratory research is focus on the discovery of ideas.

Exploratory research is carried out to define problems and
developed hypothesis to test later. An exploratory study is
generally based on the secondary data that are reading available. It
does not have to change his focus of direction, depending on the
availability of new ideas and relationship among variables.

Descriptive studies are undertaken in many circumstances.

Descriptive studies can be complex, determining a high degree of
scientific skill on the part of the researcher.

26
 Casual research helps in determined cause and effect
relationship. Between two or more variables.

The present study seeks to find out the consumers attitude

towards buying of bike. The study also aims at findings out the
drawbacks of the marketing set up of Hero Honda PVT. LTD. So
this makes the study a descriptive one.

(D) Sources of Data

The sources of data collection methods are as follows.

a) Primary data:-

The primary data is that which details we collect first time

from the market and also used first time in the research. We also
say that the information is first time in the research decision. To
collect the primary data questionnaire is prepared structure non-
disguise questionnaire is prepared.

b) Secondary data:-

Secondary data are those data which are already collected by

someone for some purpose and are available for the present study;
secondary data are already collected by the company’s records and
other library’s books. When the secondary data are sufficient, the
researcher has to be satisfied with the primary sources of data.
Secondary data can be used as bases for comparison with primary
data have been collected by questionnaire.

27
 (E) Data Collection Method
Researcher instruments is the tool by which the researcher
can do research on specific problems or objective. The most
popular researcher instrument for collection data is
“Questionnaire” for a particular investigation. It is simple for a
moiled set of questions presented to respondents for their answers.
Due to this flexibility, it is most common instrument used to
collect the primary data. During the pre- testing of questionnaire, I
seen the reaction of respondents and suggestions required to make
change in research instrument.

The questionnaire contains three types of questions.

 Open-ended question:-

It is helpful in knowing what is uppermost in the mind of the

respondents. It gives complete freedom to the respondent.

 Dichotomous questions :-

It has only two answers in form ‘yes’ or ‘n’, ‘true’ or ‘false’,

‘use’ or ‘do not use’. So the respondent is offered two or more
choice.

 Multiple-choice question:-

28
 In this, the respondent is offered two or more choice.

(F) Sampling plan

Sampling is a process of obtaining. The information about

the entire population by examine a part of it .The effectiveness of
the research depends on the sample size selected for the survey
purpose.

(A) sample Site:-

The survey was conducted in Phagwara CITY.

(B)Sampling Unit:-

It means “Who is to be surveyed”. Here target population

is decided and it is who are interested to purchase “Bike” and
sampling frame is developed so that every one in the target
population has known chance of being sampled. So the survey is
conducted particularly in Phagwara City.

(C)Sample size:-

For the purpose of proper survey, there is need of perfect

research instruments to find out sample size for more accurate
result about buying behavior of bike. The sample size is 40
respondents.

29
Statically Formula for Sample Size is:-

n=p*q (z/e) 2

Were,

n=Sample Size

p=0.80(probability of satisfied customer)

q=0.20(I-p)

z=1.96(The z (95%) score associated with the degree of

Confidence)

e=0.05 (tolerable error)

n= (0.84)*(016)*(1.96/0.05)2

= (0.1344)*(1536.64)

=206.52

Sample Size n=206.52

Here, from calculation n=206.52 is found but for the simplicity of

the study n=206.52have taken.

30
(D)Sampling Method:-

A Stratified random sample is one where the population is

divided in to mutually exhaustive strata or sub-group and then a
simple random is selected within each of strata on age groups,
occupation etc. It may be noted that stratification does not means
absence of randomness. I use a simple random sampling method.

31
32
 1) Have a bike

Result No. of respondent(30)

Yes 28
No 2

2) Company name

33
 Company No. of respondent(30)
Bajaj 11
Hero Honda 9
TVS 3
LML 7

3) Media

Media No. of respondent(30)

34
Newspaper 4
Television 9
Friends 14
Other 3

4) Advertisement influence

Result No. of respondent(30)

Yes 22

35
 No 8

5) Knowledge before buying

Result No. of respondent(30)

Yes 18
No 12

36
 6) Decision maker

Decision No. of respondent(30)

Father 16
Mother 2
Self 11
Other 1

37
 7) Mode of purchase

Mode No. of respondent(30)

By cash 22
By loan 8

38
 8) Features consider
Features No. of respondent(30)
Price 2
Style 9
mileage 8
Easy driving 3
Color 4
Brand reputation 4

39
 9) Time period

Years No. of respondent(30)

0-1 yr 4
1-2 yr 19
2-3 yr 5
Above 3 2

40
 10)Schemes attracts

Schemes No. of respondent(30)

Special offer 7
Exchange offer 4
Cash discount 13
Festival gift 6

41
 11)Change a bike

Result No. of respondent(30)

Yes 13
No 17

42
 12)Test drive

Result No. of respondent(30)

Yes 25
No 5

43
 13) Satisfaction

Result No. of respondent(30)

Yes 27
No 3

44
CHAPTER: 6

45
 • TESTING OF HYPOTHESIS

TESTING OF HYPOTHESIS
A hypothesis is a proposition, which the researcher wants to
verify. It is tall test and my null hypotheses are,

H0: P = 0.40
H1: P ≠ 0.40

With reference to favorable market of Hero Honda Bike.

Now to verify this hypothesis I have taken significantlevel of

1 %. It means in the long run risk of making the wrong decision is
I out of every 100.

46
 Since the sample size is more than 30 the use of Z test is
most applicable.

Now,
P = Probability of Hero Honda is given best by consumer.
Q = Probability of other company bike is given best by consumer.
X = Hero Honda bike is purchased by consumer.
N = Total no. of Respondents.

P = x/n
=51/100
=0.51
q =1-p i.e. 0.49

Z calculation = p–q
_______
_______
√ PQ
_______
100
= 0.51- 0.40
__________
__________
√ 0.49*0.4
________
100

= 0.11
________
________
√ 0.00196

= 0.11
_______

47
 0.04427

= 2.48

= 2.48 < 2.56

So, How may accepted at 1 % level of significance. It may be

concluded that 40 % of consumer go for other company bike and
60 % go for Hero Honda bike.

CHAPTER: 7
48
 • FINDINGS

Findings

 The study shows that 51 respondents are using Hero Honda.

 The current trend is that respondents give maximum no of point
to price and mileage.
 The study show that 48 respondents are come to know from
“others” and 26 respondents are come to know from “friends”
about Hero Honda bike.
 The study shows that 55 respondents are purchase Hero Honda
bike by Loan and 45 respondents are purchase Hero Honda bike
by cash.
 The study shows that 31 respondents are give point to mileage.
 The study shows that more no. of respondents gives more
weightage to price. The more no. of serviceman, Students,

49
 Businessmen, and others give more weightage to the price when
Professionals give more weightage to the mileage.
 The study shows that 46 respondents are father take a decision
to purchase bike And 42 respondents are self take a decision to
purchase bike.
 The study shows that 30 respondents are give rank to available
in show rooms and 35 respondents are give rank to after service.
 The study shows that 43 respondents are giving excellent to
festival offer and 41 respondents are give poor rank to the
anniversary offer.
 The study shows that 45 respondents are purchase Hero Honda
bike whose salary is below 5000 income.

50
 SUGGESTIONS

1. Hero Honda should introduce a low price moped

51
2. For the promotion, company show make road-show that will

3. Increase the sales. The company should give more

concentrate on the advertisement.

4. Hero Honda Company should implement a new strategy to

reduce the competition and lead into the bike market.

5. As people expect more mileage per kilometer, company

should increase the mileage of the hero Honda bike.

6. Hero Honda should make a sports bike like to Kawasaki

Suzuki Hyabusa bikes which can run with maximum speeds.

52
 SWOT
Analysis
OF
HERO
HONDA

SWOT Analysis

53
 Strengths

 Ability to understand customer’s needs and wants

 Recognized and established brand name

 Effective advertising capability

 Weaknesses

 R&D is not close to the Hero manufacturing plant

 Hero is vulnerable in the joint venture because

 Honda Motor Company has so much power

 Opportunities

54
  Global expansion into the Caribbean and Central
America

 Expansion of target market (include women)

 Become India’s leader in the scooter market

 Threats

 Honda Motorcycles and Scooters India can take

away market share and cause joint venture to go
sour

 Bajaj Motors is a strong competitor

55
CHAPTRE: 8
REFERENCE MATERIAL

• BIBLOGRAPHY

• APPENDICES

56
 BIBLIOGRAPHY

 Marketing research, G.C.Beri, Third Edition, Tata McGraw

Hill Publishing Company Limited, New Delhi, 2000

 Marketing management, Philip Kotler, Twelth (Millennium)

edition, Prentice-Hall of India Private Limited, New Delhi, 2003

57
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