Upload
amit-kaul
View
59
Download
0
Embed Size (px)
Citation preview
5/24/2016
STUDY ON CONSUMER SHIFT TOWARDS AUTOMATIC TRANSMISSION FROM MANUAL TRANSMISSION
INTERNSHIP PROJECT
Amit KoulMagneti marelli
STUDY ON CONSUMER SHIFT FROM MANNUAL TRANSMISSION TO AUTOMATIC TRANSMISSION
EXECUTIVE SUMMARY The automobile industry, one of the core sectors, has undergone metamorphosis with the advent of new business and manufacturing practices in the light of liberalization and globalization. The sector seems to be optimistic of posting strong sales in the couple of years in the view of a reasonable surge in demand. The Indian automobile market is gearing towards international standards to meet the needs of the global automobile giants and become a global hub .A detailed analysis of Automobile industry has been covered in respect of past growth and performance .Under this project to better understand the Industry we have used Fundamental and Technical tools to make it more authentic n meaningful. An E.I.C approach has been followed under Fundamental Analysis which covered effect of Recession, the impact of inflation, FDI’s, Export, GDP etc. on Automobile Industry. The Industry Analysis has been done with the help of five forces model, BCG Matrix, SWOT analysis, industry life cycle and the industry specific index. For Company Analysis as a part of Fundamental tool we have undergone with the comparative analysis of TATA Motors as our leading company with Maruti Suzuki India’s largest Car manufacturer. The fundamental aspect consists financial and Non-Financial analysis of both the company. In the Technical aspect we have considered Share price analysis, moving average, moving average crossover, Bollinger bands and M.A.C.D. of both the company by keeping TATA Motors as our leading company. This report attempts to answer some questions regarding consumer shift from manual transmission to automatic transmission by conducting the market research. This report is categorised in to parts, deals with introduction to brand personality, companies selected, product and the industry.
This personality sketching will help us in knowing what a customer thinks about a given brand of car and what are the possible factors guiding a possible purchase. Similarly the idea of measuring customer satisfaction will serve the same purpose of determining the consumer behaviour. Thus by measuring the measuring the willingness of existing users of a car to recommend it to others will help the car buyers to chalk out the entire customer behaviour.
The report shall attempt to answer some of the questions regarding consumer behaviour in buying automatic transmission from manual transmission by conducting market research. The market research will be helpful for the new car entrant companies in India to find out possible gaps between customers expectation and the present market offering. This way these companies will able to find there share in the ever-expanding Indian market.
The research will track the customer satisfaction level in two layers:-
Product related parameters Dealers related parameters
The customer satisfaction index will be calculated for the car brands taken in to consideration
INTRODUCTION
The Indian auto industry is one of the largest in the world. The industry accounts for 7.1 per cent of the country's Gross Domestic Product (GDP). As of FY 2014-15, around 31 per cent of small cars sold globally are manufactured in India.The Two Wheelers segment with 81 per cent market share is the leader of the Indian Automobile market owing to a growing middle class and a young population. Moreover, the growing interest of the companies in exploring the rural markets further aided the growth of the sector. The overall Passenger Vehicle (PV) segment has 13 per cent market share.India is also a prominent auto exporter and has strong export growth expectations for the near future. In April-January 2016, exports of Commercial Vehicles registered a growth of 18.36 per cent over April-January 2015. In addition, several initiatives by the Government of India and the major automobile players in the Indian market are expected to make India a leader in the Two Wheeler (2W) and Four Wheeler (4W) market in the world by 2020.Market SizeThe auto industry produced a total 19.84 million vehicles in April-January 2016, including passenger vehicles, commercial vehicles, three wheelers and two wheelers, as against 19.64 million in April-January 2015.Domestic sales of Passenger Vehicles grew by 8.13 per cent in April-January 2016 over the same period last year. Within the Passenger Vehicles, Passenger Cars rose by 10.18 per cent, during April-January 2016 over April-January 2015.The domestic sales of Commercial Vehicles increased by 9.43 per cent in April-January 2016 over the same period last year. Sales of Medium & Heavy Commercial Vehicles (M&HCVs) increased at 30.19 per cent.InvestmentsIn order to keep up with the growing demand, several auto makers have started investing heavily in various segments of the industry during the last few months. The industry has attracted Foreign Direct Investment (FDI) worth US$ 14.32 billion during the period April 2000 to December 2015, according to data released by Department of Industrial Policy and Promotion (DIPP).Some of the major investments and developments in the automobile sector in India are as follows:
Japanese two-wheeler manufacturer Honda Motorcycle and Scooter India (HMSI) has opened its fourth and world’s largest scooter plant in Gujarat, set up to initially produce 600,000 scooters per annum to be scaled up to 1.2 million scooters per annum by mid-2016.
American car maker Ford has unveiled its iconic Ford Mustang in India and will make its debut in second quarter of FY2016 within the price band of Rs 45 lakh (US$ 66,146) and Rs 50 lakh (US$ 73,496) in the Indian market.
Nissan Motor Co. Ltd is in discussion with Government of India to bring electric and hybrid technologies to India as the government plans to reduce air pollution caused by vehicles.
Global auto Major Ford plans to manufacture in India two families of engines by 2017, a 2.2 litre diesel engine codenamed Panther, and a 1.2 litre petrol engine codenamed Dragon, which are expected to power 270,000 Ford vehicles globally.
The world’s largest air bag suppliers Autoliv Inc., Takata Corp, TRW Automotive Inc. and Toyoda Gosei Co are setting up plants and increasing capacity in India.
General Motors plans to invest US$ 1 billion in India by 2020, mainly to increase the capacity at the Talegaon plant in Maharashtra from 130,000 units a year to 220,000 by 2025.
US-based car maker Chrysler has planned to invest Rs 3,500 crore (US$ 513.5 million) in Maharashtra, to manufacture Jeep Grand Cherokee model.
Mercedes Benz has decided to manufacture the GLA entry SUV in India. The company has doubled its India assembly capacity to 20,000 units per annum.
Germany-based luxury car maker Bayerische Motoren Werke AG’s (BMW) local unit has announced to procure components from seven India-based auto parts makers.
Mahindra Two Wheelers Limited (MTWL) acquired 51 per cent shares in France-based Peugeot Motorcycles (PMTC).
Government InitiativesThe Government of India encourages foreign investment in the automobile sector and allows 100 per cent FDI under the automatic route.Some of the major initiatives taken by the Government of India are:
Mr Nitin Gadkari, Minister of Road Transport, Highways & Shipping has announced plans to set up a separate independent Department for Transport, comprising of experts from the automobile sector to resolve issues such as those related to fuel technology, motor body specifications and fuel emissions, apart from exports.
Government of India aims to make automobiles manufacturing the main driver of ‘Make in India’ initiative, as it expects passenger vehicles market to triple to 9.4 million units by 2026, as highlighted in the Auto Mission Plan (AMP) 2016-26.
In the Union budget of 2015-16, the Government has announced to provide credit of Rs 850,000 crore (US$ 124.71 billion) to farmers, which is expected to boost the tractors segment sales.
The Government plans to promote eco-friendly cars in the country i.e. CNG based vehicle, hybrid vehicle, and electric vehicle and also made mandatory of 5 per cent ethanol blending in petrol.
The government has formulated a Scheme for Faster Adoption and Manufacturing of Electric and Hybrid Vehicles in India, under the National Electric Mobility Mission 2020 to encourage the progressive induction of reliable, affordable and efficient electric and hybrid vehicles in the country.
The Automobile Mission Plan (AMP) for the period 2006–2016, designed by the government is aimed at accelerating and sustaining growth in this sector. Also, the well-established Regulatory Framework under the Ministry of Shipping, Road Transport and Highways, plays a part in providing a boost to this sector.
Road AheadIndia’s automotive industry is one of the most competitive in the world. It does not cover 100 per cent of technology or components required to make a car but it is giving a good 97 per cent, as highlighted by Mr Vicent Cobee, Corporate Vice-President, and Nissan Motor’s Datsun.Leading auto maker Maruti Suzuki expects Indian passenger car market to reach four million units by 2020, up from 1.97 million units in 2014-15.The Indian automotive sector has the potential to generate up to US$ 300 billion in annual revenue by 2026, create 65 million additional jobs and contribute over 12 per cent to India’s Gross Domestic Product, as per the Automotive Mission Plan 2016-26 prepared jointly by the Society of Indian Automobile Manufacturers (SIAM) and government. Exchange Rate Used: INR 1 = US$ 0.0147 as on March 01, 2016
Source : http://www.ibef.org
TABLE OF CONTENT S.NO. PARTICULARS PAGE
NO.CHAPTER 1. EXECUTIVE SUMMARY OF THE PROJECT CHAPTER 2. ACKWNOLDGEMENT CHAPTER 3. CERTIFICATE CHAPTER 4. PROJECT DESCRIPTION
1. AUTO COMPONENT INDUSTRY IN INDIA 2. BIG PLAYERS GO HIGH TECH.3. GOVERNMENT INITIATIVES4. FUEL COMPOSITION (DIFFERENT TYPES OF
FUELS AND FUTURE SCOPE) 5. FDI SCNERIO 6. DOMESTIC SALES – HOW IS INDIA MARKET
PERFORMING 7. EXPORTS 8. INDIAN COMPONENT INDUSTRY IS FAST
EMERGINH AS AN ATTRACTIVE OEM/ TIER 1 SUPPLIER
9. AUTO COMPONENT- MAJOR PLAYERS 10. DATA ANALYSIS AND INTERPRETATION
CHAPTER 5. CONCLUSION
Source : http://www.ibef.org/
List of automotive plants in India
State Location Manufacturer Class
Andhra Pradesh
Sri City Isuzu Motors Commercial vehicles
Andhra Pradesh
Satyavedu Hero MotoCorp Two wheelers
Gujarat Sanand Tata Motors Passenger vehicles
Gujarat Sanand ford motors Passenger vehicles
Gujarat HalolGeneral Motors India Private Limited
Passenger vehicles
Gujarat BhujAsia Motor Works AMW
Commercial vehicles
Haryana Manesar Maruti Suzuki Passenger vehicles
Haryana Manesar Honda Two wheelers
Haryana Gurgaon Suzuki Two wheelers
Haryana Gurgaon Hero Honda Two wheelers
Haryana Gurgaon Harley-Davidson India Two wheelers
Haryana Gurgaon Maruti Suzuki Passenger vehicles
Haryana FaridabadIndia Yamaha Motor Private Limited
Two wheelers
Haryana Dharuhera Hero Honda Two wheelers bihar list
Himachal Pradesh
Parwanoo TAFE Tractors Commercial vehicles
Himachal Pradesh
Nalagarh TVS Motors Two wheelers
Himachal Pradesh
AmbInternational Cars & Motors Limited
Passenger vehicles
List of automotive plants in India
State Location Manufacturer Class
Jharkhand Jamshedpur Tata Motors Commercial vehicles
Karnataka Mysore TVS Motor Two wheelers
Karnataka KolarScania Commercial Vehicles India Private Limited
Commercial vehicles
Karnataka Kolar Honda Motorcycles Two wheelers
Karnataka HoskoteVolvo Buses India Private Limited
Commercial vehicles
Karnataka Doddaballapur TAFE Tractors Commercial vehicles
Karnataka Dharwad Tata Motors Commercial vehicles
Karnataka BidadiToyota Kirloskar Motor Private Limited
Passenger vehicles
Karnataka BangaloreToyota Kirloskar Motor Private Limited
Passenger vehicles
Karnataka BangaloreMahindra REVA Electric Vehicles
Passenger vehicles
Madhya Pradesh
Pithampur Hindustan Motors Commercial vehicles
Madhya Pradesh
Pithampur Eicher Motors Commercial vehicles
Madhya Pradesh
Pithampur Mahindra & Mahindra Two wheelers
Madhya Pradesh
PithampurMAN Force Trucks Private Limited
Commercial vehicles
Madhya Pradesh
Pithampur CNH IndustrialExcavators,back hoe loaders.
Madhya Mandideep TAFE Tractors Commercial vehicles
List of automotive plants in India
State Location Manufacturer Class
Pradesh
Maharashtra Talegaon DabhadeCASE NEW HOLLAND INDIA
Agriculture Equipment,combines
Maharashtra Talegaon DabhadeGeneral Motors India Private Limited
Passenger vehicles
Maharashtra Ranjangaon Tata Motors Passenger vehicles
Maharashtra Pune, AhmednagarKinetic Engineering Limited
Two wheelers
Maharashtra PuneFiat India Automobiles Limited
Passenger vehicles
MaharashtraPimpri-Chinchwad (Pune)
Jaguar & Land Rover Passenger vehicles
MaharashtraPimpri-Chinchwad (Pune)
Premier Automobiles Limited
Passenger vehicles
MaharashtraPimpri-Chinchwad (Pune)
Bajaj Auto Commercial vehicles
MaharashtraPimpri Chinchwad (Pune)
Premier Automobiles Limited
Commercial vehicles
Maharashtra Nashik Mahindra & Mahindra Passenger vehicles
Maharashtra Nagpur Mahindra & Mahindra Farm Tractors
Maharashtra Kandivali, Mumbai Mahindra & MahindraPassenger vehicles, Farm Tractors
Maharashtra Chakan (Pune) Mahindra Navistar Commercial vehicles
Maharashtra Chakan (Pune) Force Motors Commercial vehicles
Maharashtra Chakan (Pune) Force Motors Commercial vehicles
Maharashtra Chakan (Pune) Volkswagen India Passenger vehicles
List of automotive plants in India
State Location Manufacturer Class
Private Limited
Maharashtra Chakan (Pune) Mercedes-Benz India Passenger vehicles
Maharashtra Bhandara Ashok Leyland Commercial vehicles
Maharashtra Baramati (Pune) Piaggio & C. SpA Two wheelers
Maharashtra AurangabadSkoda Auto India Private Limited
Passenger vehicles
Maharashtra Aurangabad Audi India Passenger vehicles
Punjab Nawanshahar SML Isuzu Limited Commercial vehicles
Punjab HoshiarpurInternational Tractors Limited (Sonalika Group)
Farm Tractors & Agri Equipments
Rajasthan Tapukara Honda Two wheelers
Rajasthan Tapukara Honda Cars India Passenger vehicles
Rajasthan Neemrana Hero MotoCorp Two wheelers
Rajasthan Jaipur Mahindra & Mahindra Farm Tractors
Rajasthan Alwar TAFE Tractors Commercial vehicles
Rajasthan Alwar Ashok Leyland Limited Commercial vehicles
Tamil Nadu Tiruvallur Mitsubishi Passenger vehicles
Tamil Nadu ThiruvallurCaterpillar India Pvt. Ltd.
Commercial vehicles
Tamil Nadu Thiruvallur Hindustan Motors Passenger vehicles
Tamil Nadu SriperumbudurHyundai Motor India Limited
Passenger vehicles
Tamil Nadu Oragadam Nissan Motor India Passenger vehicles
List of automotive plants in India
State Location Manufacturer Class
Private Limited
Tamil Nadu OragadamRenault India Private Limited
Passenger vehicles
Tamil Nadu Oragadam BharatBenz Commercial vehicles
Tamil Nadu Maraimalai NagarFord India Private Limited
Passenger vehicles
Tamil Nadu Kalladipatti TAFE Tractors Commercial vehicles
Tamil Nadu Hosur TVS Motor Two wheelers
Tamil Nadu Hosur TVS Motor Commercial vehicles
Tamil Nadu HosurKamaz Vectra Motors Limited
Commercial vehicles
Tamil Nadu Hosur Ashok Leyland Commercial vehicles
Tamil Nadu Ennore Ashok Leyland Commercial vehicles
Tamil Nadu Chennai TAFE Tractors Commercial vehicles
Tamil Nadu Chennai Royal Enfield Two wheelers
Tamil Nadu Chennai Yamaha Two wheelers
Tamil Nadu Chennai DaimlerManufactures trucks and buses
Tamil Nadu Chennai BMW India Passenger vehicles
Telangana Zahirabad Mahindra & Mahindra Commercial vehicles
TelanganaKodakachani, Medak District
Deccan Auto Bus Manufacturing Plant
Uttar Pradesh Lucknow Tata Motors Commercial vehicles
Uttar Pradesh Greater Noida India Yamaha Motor Two wheelers
List of automotive plants in India
State Location Manufacturer Class
Private Limited
Uttar Pradesh Greater NoidaNew Holland Agriculture / CHN
TACTORS
Uttar Pradesh Greater Noida Honda Siel Cars India Passenger vehicles
Uttarakhand Pantnagar Tata Motors Commercial vehicles
Uttarakhand Pantnagar Ashok Leyland Commercial vehicles
Uttarakhand Pantnagar Bajaj Auto Two wheelers
Uttarakhand Haridwar Hero Honda Two wheelers
Uttarakhand Haridwar Mahindra & Mahindra Commercial vehicles
West Bengal Hindmotor Hindustan Motors Passenger/Commercial