1

INTRODUCTION

The importance of consumer sales promotion in the marketing mix of the Automobile Industry
category throughout the world has increased. Companies spend considerable time in planning
such activities. However, in order to enhance the effectiveness of these activities, manufacturers
should understand consumer and retailer interpretations of their promotional activities. A study
of these perceptions will reveal their preferences, their knowledge, and motivations. The study
here pertains to consumers perceptions as well as retailer perceptions regarding sales promotion.
Some past researches have suggested that promotion itself has an effect on the perceived value of
the brand (1Cotton and Bobb 1978, Dodson, Tybout and Sternthal, 1978, Guadagni and Little
1983, Jones and Zufryden 1980, Rothschild and Gaidis 1981, Shoemaker and Shoaf 1977). This
is because promotions provide utilitarian benefits such as monetary savings, added value,
increased quality and convenience as well as hedonic benefits such as entertainment, exploration
and self-expression (2Chandon, Laurent, and Waensink 1997).

In India Automobile Industry category has witnessed an outburst of sales promotion activities in
the post-liberalization era. Very little literature has focussed on sales promotion perceptions. This
study is an attempt to address the gap in literature by providing empirical support through
exploration. In the U.S. context several aspects of consumer perceptions of deal frequency and
deal prices have been studied (3Aradhna Krishna, Imran S. Curriuun and Robert W. Shoemaker
1991). Whereas 4Page Moreau, Aradhana Krishna, Bari Harlam (2001) studied differing
perceptions with respect to price promotion from the point of manufacturers, retailer and
consumers. Effects of promotions on variety seeking and reinforcement behaviour has also been
studied. (5Barbara Khan and Jagmohan Raju 1991).

All the above researches have focused on sales & Distribution Services and their response. Our
study though exploratory has considered perceptions for price as well as non-price promotions in
Automobile Industry category. The reasons for the study were:

i) The widespread use of sales & Distribution in Automobile category.

2

ii) Historically, whenever there was a downward trend in growth, sales promotion activities took
the front seat of promotional mix.

iii) Companies planned these activities with inward looking view hence it was felt that it would
be useful to understand the perceptions of consumers and retailers regarding sales and
distribution activities to improve the effectiveness of these activities.

Marketing is the moving and exciting activity in everybody activities. The sellers, distributors,
advertising agencies, consultants, transporters, financers, store agencies and every one as a
counter are part of the marketing system. Any exchange process be it consumer, goods,
intermediary goods, services of ideas, comes under the preview of marketing. It is very often
regarded that the development of markets and marketing is synonymous with the economic
development of account. Through marketing is an action discipline. In the ever-growing
corporate world, marketing is being regarded as a crucial element for the success of an
Enterprise.
The marketing discipline is undergoing fresh re aparisal in the light of the vast global,
technological, economic and social challenges facing todays companies and countries. Marketing
at its best is about value creation and raising the worlds living standards. Todays winning
companies are those who succeed most in satisfying, indeed delighting their target customers.
As quoted by P.P.Drucker Marketing is so basic that it cannot be considered a separate
function. It is whole business seen from the point of view of its final result, that is, from the
customers point of view. Business success is not determined by the producer but by the
customer.
Philip Kotler has therefore defined marketing as it is a social and managerial process by
which individuals and groups obtain what they need and want through creating, offering and
exchanging products of values with others. Many Indian companies espouse a satisfied
customer philosophy and describe marketing as customer-satisfaction engineering. Since the
economy in this country has changed from a primary condition of scarcity to gradual and steady
3

stage of affluence, largely giving consumers the opportunity to choose among many varied
alternatives, satisfaction has become a major concern of business.























4

INDUSTRY PROFILE

Demographically and economically, Indias automotive industry is well-positioned for growth,
servicing both domestic demand and, increasingly, export opportunities. A predicted increase in
Indias working-age population is likely to help stimulate the burgeoning market for private
vehicles. Rising prosperity, easier access to finance and increasing affordability is expected to
see four-wheelers gaining volumes, although two wheelers will remain the primary choice for the
majority of purchasers, buoyed by greater appetite from rural areas, the youth market and
women.

Domestically, some consolidation or alliances might be expected, driven by the need for access
to better technology, manufacturing facilities, service and distribution networks. The components
sector is in a strong position to cash-in on Indias cost-effectiveness, profitability and globally-
recognized engineering capabilities. As the benefits of collaborations become more apparent,
super-specialists may emerge in which the automobile is treated as a system, with each specialist
focusing on a sub-system, akin to the IT industry. Though this approach is radical, it could prove
an important step in reducing complexity and investment requirements, while promoting
standardization and meeting customer demands.

Manufacturers are already planning for the future: early advocates of technological and
distribution alliances have yielded generally positive results, enabling domestic OEMs to access
global technology and experience, and permitting them to grow their ranges with fewer financial
risks.

This exciting outlook for the industry is set against a backdrop of two potentially game-changing
transportation trends the gradual legislative move towards greener, gas-based public transport
vehicles, and a greater requirement for urban mass mobility schemes to service rapidly-
expanding cities.


5

Green Revolution: In a price-conscious economy such as Indias, the shift towards green
vehicles will be slow unless spurred by government mandates. Although the major players are
already equipped with the necessary capabilities to develop cleaner vehicles, they do not see
much merit in commercializing these technologies until the green revolution gains momentum
most likely through changes in political legislation and it achieves the market scale required for
commercial viability.

Manufacturers are placing greater faith in dual-fuel technologies than in battery-powered
alternatives because the necessary support infrastructure, such as recharge stations, is not yet in
place for the widespread adoption of the latter. The launch of electric motorcycles could have a
significant impact on the market, given that motorcycles account for the majority of two-wheeler
sales in India.

Manufacturers of four-wheelers and commercial vehicles in particular stress the importance of
optimizing conventional combustion engines before experimenting too radically with costly new
technologies.

Mobility Revolution: Use of public transport in India has waned as private vehicle ownership
has boomed, but increasing strain on the road infrastructure in major cities means public
investment is likely in Urban Mass Mobility Schemes such as metro systems and buses. The
automotive industry is unlikely to lose much of its customer base in the near-term, even as these
schemes become more prevalent, because the socio-economic statement of car ownership will
continue to make private vehicles desirable.

At present there is a lack of clarity in the automotive industry over the role it will play in any
mobility revolution. Although some industry experts believe the impact of the mobility
revolution will be minimal in the short-term, there may be opportunities for manufacturers to
become involved with the public sector in areas such as improving links between different modes
of transport.

6

Conclusion: Current low car penetration, rising prosperity and the increasing affordability of
private vehicles offer a healthy prognosis for the Indian automotive industry. The companies
benefiting most from this evolving landscape will be those who forge judicious alliances and
resource-sharing agreements, who prepare for the growing importance of green technologies, and
who remain flexible enough to respond to the twin needs of private light transport and mass
transport schemes.

India is home to a vibrant automobile of more than 40 million vehicles. It has been one of the
few worldwide which saw growing passenger car sales during the recession of the past two
years. In fact, in 2009-10 it has recorded its highest volumes ever. It is believed this upward
trend will be sustained in the foreseeable future due to a strong domestic market and increased
thrust on exports.

The Indian economy has grown at an average rate of around 9 percent over the past five years
and is expected to continue this growth in the medium term. This is predicted to drive an increase
in the percentage of the Indian population able to afford vehicles. Indias car per capita ratio
(expressed in cars per 1,000 population) is currently among the lowest in the worlds top 10 auto
markets. The twin phenomena of low car penetration and rising incomes, when combined with
increasing affordability of cars, are expected to contribute to an increase in Indias automobile
demand.

Growth

Indias automobile market has grown steadily over the last seven to eight years, with the
exception of the previous two years where the effects of the global downturn were felt, primarily
in sales of commercial vehicles. However, even during the downturn, the two-wheeler and
threewheeler segments, which were until then experiencing low growth or losing volumes,
bucked the trend. As Figure 5 shows, Indias vehicle demand is quite different from other top
automobile markets with the exception of China in that two-wheelers constitute a significant
portion of vehicle demand (more than 3/4
th
of the Indian market is in two-wheelers). In the
7

context of the unique characteristics of the Indian automobile market, growth is expected to be
driven by the following:



Affordability
While quite a few new vehicles launched in the Indian market have been developed locally,
vehicle affordability remains a significant concern as seen in Figure. Although the price of an
average motorcycle in India (about USD 900) is comparable to the average per capita income,
the prices of passenger cars have a long way to go. Although the entry level car (Nano) is priced
at around USD 2,500, the passenger car market could grow multi-fold if there is a break-through
of another price level in the years to come.


8



John Flintham, global CEO of Amtek Auto, believes four-wheelers are particularly wellplaced to
take advantage of these changing trends. If you look at the Tata Nano, people buying two-
wheeler bikes who have a bit more disposable income and can now afford to buy a car instead. I
think youre going to see a doubling of sales over the next three to four years and I think thats
going to be driven by both domestic demand and by India becoming a small car export hub.
Ford India Managing Director, Michael Boneham, believes changing demographics in India will
see auto sales scale new heights. He argues that the increasing number of educated people
entering the working age bracket will provide a fertile environment for a buoyant economy and
healthy demand for private light transport. The Indian auto industry should have double digit
growth levels for the next five years and beyond, depending on taxation, legislation,
infrastructure and global conditions,






9

COMPANY PROFILE
Founded in 1945 as a Automobile trading company, we entered automotive manufacturing in
1947 to bring the iconic Willys Jeep onto Indian roads. Over the years, weve diversified into
many new businesses in order to better meet the needs of our customers. We follow a unique
business model of creating empowered companies that enjoy the best of entrepreneurial
independence and Group-wide synergies. This principle has led our growth into a US $16.5
billion multinational group with more than 180,000 employees in over 100 countries across the
globe.

Today, our operations span 18 key industries that form the foundation of every modern
economy: aerospace, aftermarket, agribusiness, automotive, components, construction
equipment, consulting services, defense, energy, farm equipment, finance and insurance,
industrial equipment, information technology, leisure and hospitality, logistics, real estate, retail,
and two wheelers.

Our federated structure enables each business to chart its own future and simultaneously leverage
synergies across the entire Groups competencies. In this way, the diversity of our expertise
allows us to bring our customers the best in many fields.

Since 1945, weve built our company around the core idea that people will succeed if they are
just given the opportunity. Employees across the Group constantly challenge conventional
thinking to create solutions that make a significant difference in the lives of our customers.
Thats why everything we buildbe it a tractor, financial service, solar-powered lamp, or
softwareis designed to empower you to reach your potential.

Internally, we follow three basic tenetsaccepting no limits, thinking alternatively, and driving
positive change in everything we do. These brand pillars guide all our actions and business
decisions from deciding whether or not to enter a new field or planning a portfolio of services.

We hope youll take what we do and make it your own.
10


We accept no limits, and ask the same of everyone else. In return, we work relentlessly to
provide the tools, information, and inspiration to push past limitations and comfort zones.

This challenger spirit galvanized us to meet the oil crisis in the 1970s by re-engineering our fuel
efficient tractor engines for utility vehicles. It led us to take on the challenge of designing the
Scorpio utility vehicle at a cost that many industry experts thought was impossibly low. Weve
created completely new business models to enter areas others had written off or ignored, like our
leading hospitality business and our rural financial services.

This determination influences every aspect of our culture and our employees. As a result, each
Mahindra business constantly pushes the envelope and raises the bar as we strive to deliver better
value to our customers.

Alternative thinking means solving problems in ways no one has thought of before,by using
fewer resources and entering markets thought to be unreachable.

Take the XUV 500 for examplewe developed our best-in-class utility vehicle from the ground
up using a process that put drivers needs first. Our Energy Solutions help businesses keep going
when everyone elses lights go out. We build two wheelers that provide affordable mobility
solutions to more people. And our extensive array of innovative IT services are increasing
productivity at some of the worlds leading companies.

Thinking alternatively isnt always easy, but its always worth it.





11


We provide access to financial services to people in rural areas

Results
Funding for vehicles, construction
equipment, personal loans, and
homes
Employment of over 9,000 local
people to facilitate customer
service and trust
Over 2.5 million customers served
We believe that the fastest and most
sustainable way to raise living standards is
through individual empowerment. We built our
business model to address a critically
underserved population, designing a viable
plan for entry into an area largely ignored by
formal financial institutions. Were working
hard to expand credit access to low-income
customers in rural and semi-urban India, and
our customer base is ever-widening. Today,
Mahindra Finance is Indias largest rural non-
banking financial company (NBFC).

We designed the first multi-utility tractor in India in answer to our customers usage
patterns.

Results
AE50 Outstanding Innovation Award
from the American Society of
Agricultural and Biological
Conceptualized from the ground up, the
Shaan has revolutionized tractor technology
and marketing in India. It began when an
observant Mahindra employee noted that
Indian farmers are increasingly managing
one crop per year and looking for
supplementary income. He also saw farmers
using tractors for transport and for hauling
items such as construction materials and
vegetables off the farm. Our Farm
12

Engineers, 2007
The Shaan is the subject of a Harvard
Business Review case study on
innovation
Equipment business put together a creative
team to design and produce a multi-utility
tractor in direct response to usage on the
ground. With a built-in trolley, the Shaan is
ready-made for both farming and hauling.
At the same time, we set about changing the
way tractors are perceived, redefining them
as a lifestyle product, and engaging the
youth who were increasingly leaving
agriculture.

Mahindra is a business with a conscience. Every product we make and each market we
explore must make sound economic sense, but it just so happens that smart business decisions
are often good for people and communities as well.

We strive to spread positive impact through our products and services by greening our
manufacturing process and by being a good employer. We want to be counted among the global
companies that make incredible products and services, but we also wish to be recognized for
creating a better world.

From building green homes with the most eco-friendly materials to providing loans to rural
entrepreneurs, from designing goods carriers that run on compressed natural gas (CNG) to
offering educational programs and supporting Indian theater, we strive to make a positive impact
on all the lives we touch.
We helped the global airline industry apply green initiatives with emissions and fuel
analytics.

13


Results
Compliance50 percent
reduction in CO
2
emissions
Cost reduction7.5 percent
improvement in fuel efficiency
Competitive advantage
Branding as climate conscious
Global warming and rising fuel costs
are driving airline operators all over
the world to adopt greener
technologies. At Mahindra Satyam,
we created an IP-based model called
iDecisions to help airline operators
reduce emissions and optimize fuel
usage. iDecisions considers the three
key drivers of emissions and fuel
usagecompliance, cost, and
competitive advantageto identify
opportunities for climate-positive
business transformation.
We created a tractor designed for small farming that is enabling farmers to mechanize for
the first time.


Results
Farmers are reaping tremendous
productivity gains of up to 4x times
their original yields
Golden Peacock Award
Innovative Products and Services,
2010
Four out of five Indian farms are smaller than
five acres (<2 hectares), and tractor size and
cost means that only a small percentage of
these farms are mechanized. Providing access
to mechanization became the mandate for
designing the Yuvraj 215, a 15 HP tractor that
delivers trusted Mahindra quality at a fraction
of the cost of other tractors. Through
aggressive sourcing and four years of careful
design, we were able to create a small, fuel
efficient tractor with the same hydraulics as
our larger tractors and able to haul up to 1.5
tonsat a price competitive with buying and
14

feeding a pair of bullocks. The Yuvraj is
making mechanization and a quantum leap in
productivity possible for small farmers across
India.
We make family holidays fun and affordable for thousands of families and individuals
every year.


Results
40 stunning resorts built
Over 160,000 member families
Unrivalled market leadership in
the vacation ownership space
Mahindra Holidays has made the vacation
getaway possible in India. Weve created a
network of world-class resorts and experiences
at extremely affordable prices. From an urban
professional seeking adventure to a small-town
family looking for a relaxing holiday, our
offerings suit all tastes and pockets. Our resorts
also contribute to job creation and sustainable
local economies, bringing new opportunities to
remote locations.

Our motivation to give our best every day comes from our core purpose: we will challenge
conventional thinking and innovatively use all our resources to drive positive change in the lives
of our stakeholders and communities across the world, to enable them to Rise.

Our products and services support our customers ambitions to improve their living standards;
our responsible business practices positively engage the communities we join through
employment, education, and outreach; and our commitment to sustainable business is bringing
green technology and awareness into the mainstream through our products, services, and light-
footprint manufacturing processes.

15

This commitment to sustainabilitysocial, economic, and environmentalrests upon a set of
core values. They are an amalgamation of what we have been, what we are, and what we want to
be. These values are the compass that guides our actions, both personal and corporate. They are:

Professionalism
We have always sought the best people for the job and given them the freedom and the
opportunity to grow. We will continue to do so. We will support innovation and well-reasoned
risk taking, but will demand performance.


Good corporate citizenship
As in the past, we will continue to seek long-term success, which is in alignment with the needs
of the countries we serve. We will do this without compromising ethical business standards.


Customer first
We exist and prosper only because of the customer. We will respond to the changing needs and
expectations of our customers speedily, courteously and effectively.

Quality focus
Quality is the key to delivering value for money to our customers. We will make quality a
driving value in our work, in our products and in our interactions with others. We will do it 'First
Time Right.'

Dignity of the individual
We will value individual dignity, uphold the right to express disagreement and respect the time
and efforts of others. Through our actions, we will nurture fairness, trust, and transparency.
We have always believed that ethics and good governance coupled with vision and grit are
fundamental to being a successful business, and our leadership team embodies these beliefs.

16

Youll find many interesting personalities here; people that have helped shape the evolution of
our businesses and continue to guide our destiny. Youll come across achievements and awards
that we believe are merely a by-product of the work that we do.

Were proud that our people drive change and lead from the front.
Keshub Mahindra

Meet Keshub Mahindra, the Chairman Emeritus of our flagship company, Mahindra &
Mahindra.

Anand Mahindra

Get to know Anand Mahindra, the Chairman & Managing Director of Mahindra & Mahindra.

Group Executive Board

Learn about the executive leaders who drive positive change in our businesses.



17

Hinking global is part of our identity. From our founding in 1945, weve been connected
internationally by business partnerships, a multinational workforce, and the boundless ambition
to integrate ourselves with global communities and bring opportunity to customers across the
world.
s to IT consulting, we support key American industries and bring better products and services to
thousands of Americans every year.

South America

We provide South American consumers with important products and services in transportation,
defense, energy, and farm equipment.

Europe

Learn how our farm equipment, agribusiness, automotive products and services, motorcycle
racing, and consulting services are supporting prosperity in Europe.

Middle East & Africa

Our energy, farm equipment, Automobile, and aerospace businesses are helping catalyze growth
in emerging markets in the Middle East and Africa.
18

Asia

Our activities in Asia span almost the entire range of our business activities.

Australia

We build aircraft, supply rugged SUVs, and provide trustworthy tractors in the Australian
market.
Product Profile

19

ENGINE
Type
mHawk140, Direct injection diesel engine 5th generation
Variable Geometry Turbo
charger (VGT)
Cubic Capacity 2179 cc
Max Gross Power 140 Bhp(103kW) @ 3750 rpm
Max Gross Torque 330 Nm @1600-2800rpm





VEHICLE DIMENSIONS
Wheelbase, mm 2700
Overall width, mm 1890
Overall length, mm 4585
Overall height, mm 1785



Tyres
P235/65 R17, Radial Tubeless
20






Fuel Tank Capacity
70 Liters

Turning Circle Radius
5.6 m

Gross Vehicle Weight
2450 Kg

0-60 KMPH
5.4 seconds

Gear Box
6 speed synchromesh manual
Brakes
All Disc brakes Front Disk &
Caliper type Rear Disk & Caliper
type
Suspension
Independent Suspension
Front McPherson type with anti-roll bar
Rear Multilink type with anti-roll bar


21

0-100 KMPH
12.5 seconds

Top Speed
175 kmph

Mileage
15.1 KM per liter (as per ARAI test)





TOP Competitors for Mahindra XUV500 W8 AWD


TATA ARIA

TATA SAFARI
22


FORCE-ONE-SX 5+D

FORD-ENDEAVOUR-2.5L 4*2











23

J S Four Wheel Motors Pvt Ltd
Near Octroi Post, Delhi Road
Alwar, Rajasthan
301001

Landline:

Mobile: 0144-2371275

Fax:

Email: js4w@dil.in

About J.S. Fourwheel Motors Pvt. Ltd.

Authorised Mahindra & Mahindra Car Dealer in Alwar


J.S. Fourwheel Motors Pvt. Ltd. was incorporated in September 1985, and started functioning as
a Mahindra & Mahindra Dealership at Alwar. It initially represented the Automotive Divisions
for the district of Alwar, Bharatpur, Dholpur and Karoli in eastern Rajasthan.

After making steady progress, the company also took dealerships of LML two-wheelers, Avanti
mopeds, Shriram Honda generators and Enfield motorcycles. Now the company has a turn over
of Rupees Hundred Crores and has employed over two hundred people on regular full-time basis.

In June of 1999, the company was also selected by the Farm Equipment Section of Mahindra &
Mahindra Limited for dealership of its tractors in Alwar District.

The company was also awarded a Hero Honda dealership in the year 2005.

The company has shown exemplary performance in the field of sales and has been recognised by
almost all its principals for outstanding sales and service, and providing only genuine spares to
customers.

Mr. Nikunj Sanghi is the Managing Director of the company and he is assisted by Mrs Sunita
Sanghi.


24

THEROTICAL BACKGROUND AND LITRETURE REVIEW

Distribution in the Wider Marketing Context
Although the focus of this thesis is on distribution, it is important to see distribution as a critical
aspect of an organisations wider marketing strategy. Hudson (2008: 8) cited Kotlers (1984)
definition of marketing which reflected the importance of distribution as a major aspect of the
marketing process:

The process of planning and executing the conception, pricing, promotion, and distribution of
ideas, goods, and services to create exchange that satisfy individual (customer) and
organizational objectives.

Doyle and Stern (2006) emphasised product, price, place (distribution) and promotion as
the four classical strategic elements of the marketing mix (4Ps). In considering the marketing of
intangible services, rather than tangible products, these four elements were expanded by Wearne
and Morrison (1998) in the light of their interest in hospitality marketing to include: people and
positioning. Smith and Chaffey also added physical evidence; processes; partnership
(alliances) to the service product marketing mix. Doyle and Stern (2006) highlighted staff and
service as elements in the service products marketing mix to the classical 4Ps. Actually, these
two latter elements, which were added by Doyle and Stern (2006), were included in the previous
elements - the service element is the main component of the product element in service
products and the staff element is reflected in the people element. In this study, the marketing
mix will be considered as including: product, price, place, promotion, people, positioning;
process; physical evidence; partnership. Distribution was located by different authors under the
place element in an organisations marketing mix (e.g. Wearne and Morrison, 1998). Doyle and
Stern (2006) went further and considered distribution as synonymous with the term place in
the marketing mix. Smith and Chaffey (2005) supported this point of view and emphasised the
critical importance of distribution in the marketing mix. Distribution has been a critical aspect in
the international success of Coca Cola and Amazon. For instance, Amazon has achieved
incredible success as an online bookseller. Hollensen (2007) clarified that the importance of
25

distribution as part of the marketing mix lies in an organisations need to get access to the
international markets.

Generally, there are critical questions relating to an organisations marketing strategy: What is
your market? How do you get there? What is the best channel? These questions will be answered
in below.

Peterson et al. (1997) stated that all marketing functions are carried out through three distinctive
types of marketing channels: communication channels, transaction channels, and distribution
channels. By definition, communication channels enable the flow of various types of information
between buyers and sellers. Transaction channels realize ordering and payment activities
between buyers and sellers, and distribution channels facilitate the physical exchange of products
and services between buyers and sellers. Stewart, Frazier, and Martin incorporated marketing
functions into two types of channels: communication channels and distribution channels. The
latter has a broader definition, meaning a mechanism through which a product or service can be
selected, purchased/ordered, and received by a segment of the firm's customers.

Sometimes distribution tasks are equal to marketing flows. Eight generic marketing flows exist,
namely, physical possession, ownership, promotion, negotiation, financing, risking, ordering and
payment. Physical possession refers to all storage activities, including transportation between
two channel members (Coughlan et al., 2001).

Distribution Channels have become the most important component of marketing today and are
receiving increased attention. Channels not only add value to products and services, but also
create customer and shareholder value, brand equity and market presence for a company. For
most service organizations, consumer marketing and industrial marketing firms, the distribution
channel, or inter organizational network of institutions, comprising of agents, wholesalers,
distributors, and retailers (Gorchels, 2004; Pelton et al., 2002; Lambart et al., 1998) play a
significant role in the flow of goods from producers to consumers. According to Cespedes
(2006), demand generation, inventory storage, distribution of goods, providing credit to buyers,
after sales service, product modification and maintenance are some of the functions that a
26

channel performs. The channel member also called as an intermediary is a member of the
distribution channel excluding the manufacturer and the consumer.

Intermediaries come between these two and perform one or more of the above functions. The
shifting of channel power from manufacturers to retailers, wholesalers, and distributors has had a
great impact on distribution. In many cases, the consumer perceives all of the top brands as
substitutes for each other leading to a lower brand loyalty, which in turn decrease the
manufacturers power. This actually increases the distributors power because sales are then
determined by what is in stock and most often what is recommended by the distributor and not
by what particular brand offers (Lambart et al., 1998).

The marketing channel may be defined as: "The external contractual organization that
management operates to achieve its distribution objectives" (Rosenbloom, 2004).
From the viewpoint of the manufacturer, a key aspect of marketing strategy is to determine how
best to go to market (Bowersox & Cooper, 1992). Marketing channel decisions are among the
most critical decisions facing management. The channels chosen intimately affect all the
marketing decisions (Kotler, 2003). As a strategic marketing tool marketing channels had, for
many years, taken something of a "back seat" to the other three strategic areas of the marketing
mix: product, price, and promotion. Many firms viewed marketing channel strategy as somewhat
of a "leftover" after the more "important" product, price, and promotional strategies had been
considered. Although termed the long neglected side of marketing this attitude appears to be
changing.

Mallen (1963) said that there are six basic channel decisions with which the marketing manager
must concern himself or herself, and for which he or she might be held responsible.
These are as follows:
1. Direct or indirect channels
2. Single of multiple channels
3. Length of channel
4. Types of intermediaries
5. Number of distributors at each level.
27

6. Which intermediaries

These decisions are made by an overall planning analysis within five basic frameworks. First is
economic orientation, which basically has to do with efficiency. It focuses on costs and
economic outputs and is generally a short-term view. Second is a behavioral framework.
This orientation is more social and looks to power and conflict. It is much longer range than the
economic framework mentioned previously. Third is a political economic framework.

This is a newer orientation and looks at the distribution system or channel as a social system
consisting of interacting sets of major economic and social political forces that affect behavior
and performance (Stern & Reve, 1980). Another framework is ecological. This approach focuses
on the interaction between the firm and its environment. Finally, we have a strategic managerial
system approach that emphasizes decision making and a developed system of strategy planning.
Thus, this framework for looking at channel alternatives is concerned with the integrated and
coordinated use of channel and marketing resources to achieve specific objectives (Michman,
1983).

In considering the six basis channel alternatives, the marketing manager should consider these
five analysis frameworks in making decisions to focus on four basic tactical considerations that
must be made. These four are (1) an evaluation of the relative power of the various channel
members, (2) an organization of channel commitments as well as a formulation of channel
procedures (3) accurate measurement of channel performance, and finally, (4) evaluation of
change potential within the channel and management of the change when appropriate (Bowersox
et al.,1980).

One alternative channel decision that the business marketing manager can make is the selection
of a direct channel of distribution. Direct channels involve direct selling (that is, no external
intermediary involved) to the industrial user, with or without the use of sales branches. A direct
sale would include both generalists and specialists (Sutton, 1986).


28

Some manufacturers have set up their own retail outlets to sell their goods directly to consumers.
This way they bypass the cost of both wholesalers and independent retailers. This strategy is
feasible, however, only it manufacturers can perform the wholesalers and retailers functions
more economically. When IBM began introducing personal computers in 1980, it established
two channels, large computer retailers such as Computer land and its own retail stores, called
Product Centers. But the Product Centers were soon plagued with inefficient inventory control
and high overhead, prompting IBM to conclude that it was more efficient to distribute through
intermediaries rather than direct to consumers (High Tech Marketing, 1986-A).

Compaqs use of the manufacturers-to-retailer channel system has helped it establish a
competitive advantage in the personal computer market by offering retailers a margin of 36
percent of sales, about 10 percent higher than average. It is also responsive to retailers,

Adding product features and adjusting inventory levels based on their feedback. As a result,
Compaq has won the loyalty of computer retailers and is the only company other than IBM and
Apple to win substantial shelf space in computer stores (Fortune, 1985).
Wholesalers began to be used by retailers in selling computer software because they could
evaluate and screen the many offerings from software manufacturers, both large and small.
Few computer retailers had the time or expertise to do so (Business, 1985).
Manufacturers also use brokers to distribute items. When Mr. Coffee, the first electric-drip
coffeemaker, was introduced the company used manufacturers agents to sell both the
coffeemaker and filters to appliance and department stores. It soon became apparent, however,
that Mr. Coffee users found it inconvenience to go to appliance and department stores to buy the
filters; it was much easier to buy the filters in the same food stores where coffee was sold. The
company did not have the resources to sell to the 165,000 retail food stores in the United States,
so it hired a number of food brokers (brokers who sell a food manufacturers products on a
permanent basis for a commission) to sell the filters to supermarkets and food stores (Advertising
Age, 1982).



29

Industrial goods require different types of distribution systems than consumer goods. One
producer of factory automation equipment summarizes the problems of distributing through
intermediaries: You have lots of very fine equipment, lots of industries that can use the
equipment, and just about no middlemen who understand how to implement the equipment to the
particular needs of customers (High Tech Marketing, 1986).

Business products distributors are intermediaries who buy and take title to business products,
who usually keep inventories of their products, and who sell and service these products. As
mentioned in Industrial Distribution (1987), they are the most important single force in
distribution channels, numbering approximately twelve thousand and accounting for
approximately $50 billion in sales volume.

Another method of integrating distributive functions is through contractual systems. Franchise
systems are the most important types of contractual arrangements. The franchisor may assist the
retailer in establishing the store, promoting it, and training personnel and usually establishes
strict guidelines as to how the store is to be laid out and operated. Almost one-fourth of all retail
establishments in the United States are franchised, accounting for about one-third of all retail
sales (Franchising in the U.S. Economy, 1984).

Sales Management as defined by
American Marketing Association is Planning, direction and control of Personal selling
including recruiting, selecting, equipping assigning, routing, Supervising, paying and motivating
as these task apply to personal Salesforce.

Sales Managers are responsible for organizing the sales effort, both within and outside their
Companies. Within the Company the Sales Manager builds formal and informal organizational
structures that ensure effective communication not only inside the sales department but in its
relations with other organizational units.

Outside the Company, Sales Manager serves as a key contact with customers and other external
publics and is responsible for building and maintaining an effective distribution network.
30


Sales Managers have still other responsibilities. They are responsible for participating in
preparation of information critical to the making of key marketing decisions, such as those on
budgeting quotas and territories. Sales Management helps to respond proactively and effectively
to customers, the key to winning business and processing orders during the pre-sales, order
management and post shipment phases.

Objectives of Sales Management
From the Company View point, there are three general objectives of Sales Management
Sales Volume
Contribution To Profits
Continuing growth

Sales Executives, of course do not carry the full burden in the effort to reach these objectives, but
they make major contributions. Top Management has the final responsibility, because it is
accountable for the success a failure of entire enterprise.



Top Management delegates to Marketing Management, which then delegates to Sales
Management, sufficient authority to achieve the tree general objectives. In the process objectives
are translated into more specific goals.

Top Management

Marketing Management

Sales Management
Objectives are broken down an restated as definite goals that Company has chance of achieving.
Before goat setting Sales Executives provide estimate on market and Sales potentials, the
capabilities of sales force and middlemen. Once goals are finalized it is the Sales Executives who
31

guide and lead Sales Personnel and middlemen who play critical role in implementing selling
plans.

Sales Executives as Coordinator

Why is it necessary to coordinate sales activities with other departments ?

Sales Executives have responsibilities to co-ordinate sales activities with other departments in
the organization. This is essential as the product/service which is the final output of any
organization is to be ultimately sold by the Sales Personnel.

Higher ranking Sales Executives are those most concerned with obtaining effective co-
ordination, but Sales Executives at all organizational levels have some responsibility for
coordinating. Production Department

Advertising Department Sales Department

Human Resource Department

Coordinating with Advertising

Synchronizing personal selling with advertising is important. Advertising may prove
uneconomic unless the sales force capitalizes upon interest aroused. Personal Selling effort is
wasted in explaining details that might be explained by advertising, but when sales personal and
advertising use the same appeals, promotional impact is magnified. The timing and sequence
with which different phases of personal selling and advertising efforts are executed affect firms
chances for marketing success.

Marketing

Advertising Sales
32


Co-ordination with Production
Selling should be coordinated with production. There should be stocks available to be sold in the
market. Sales Personnel A marketing channel is a set of interdependent organizations involved in
the process of making a product or service available for use or consumption.

The definition bears some explication. It first points out that a marketing channel is a set of
interdependent organizations. That is, a marketing channel is not just one firm doing its best in
the market whether that firm is a manufacturer, wholesaler, or retailer. Rather, many entities
are typically involved in the business of channel marketing. Each channel member depends on
the others to do their jobs.

What are their jobs? The definition makes clear that running a marketing channel is a process.
It is not an event. Distribution frequently takes time to accomplish, and even when a sale is
finally made, the relationship with the end-user is usually not over.

For example, think about an end user purchasing a microwave oven and it demands for post sale
service.

Finally, what is the purpose of this process? The definition claims that it is making a product or
service available for use or consumption. That is, the purpose of channel marketing is to satisfy
the end-users in the market, be they consumers or final business buyers. Their goal is the use or
consumption of the product or service being sold. A manufacturer who sells through distributors
to retailers, who serve final consumers, may be tempted to think that it has generated sales and
developed happy customers when its sales force successfully places a product in the
distributors warehouses. This definition argues otherwise. It is of critical importance that all
channel members focus their attention on the end-user.




33

Scope of study

The project is concerned with the Study on after sales service and customer satisfaction of the
Mahindra & Mahindra in Rajsthann. This study is very useful as the automobile market become
more sophisticated and complex, buyers needs a expert intermediary who provides the required
knowledge and his expertise on buying a new car. As after sales service plays a very crucial role
in generating more leads because of obvious reason that it builds customer relationship more
productive.























34

OBJECTIVES OF STUDY


The primary objective of this research was to develop a complete understanding of functioning
of Mahindra sales and distribution network.

Secondary Objective:

To study the different type of Promotional Schemes used by Mahindra to enhance its
sale

To know the distribution strategy adapted by the organization.


To find out the problems faced by the distribution channels.
















35

RESEARCH METHODOLOGY


Methodology adopted for study

Discussion with the executives, managers, employees.
Visiting & surfing websites of company.

Meaning
Research Methodology is a set of various methods to be followed to find out various
informations regarding market strata of different products. Research Methodology is required in
every industry for acquiring knowledge of their products.

Area of study

The study is exclusively done in the area of marketing. It is a process requiring care,
sophistication, experience, business judgment, and imagination for which there can be no
mechanical substitutes.












36

Sources of Data

Primary Source
Secondary Source
Primary Source- The primary data was collected by means of a survey. Questionnaires were
prepared and customers of the Mahindra at two branches were approached to fill up the
questionnaires. The questionnaire contains 10 questions which reflect on the type and quality of
services provided by the MAHINDRA to the customers. The response of the customer is
recorded on a grade scale of strongly disagree, disagree, uncertain, agree and strongly agree for
each question. The filled up information was later analyzed to obtain the required interpretation
and the findings.
Secondary Source- In order to have a proper understanding of the customer service of Mahindra
a depth study was done from the various sources such as books, a lot of data is also collected
from the official websites of the Big bazaar and the articles from various search engines like
Google, yahoo search and answers.com.

RESEARCH DESIGN The research design is exploratory till identification of customer
services parameters. Later it becomes descriptive when it comes to evaluating customer
perception of customer service of the big bazaar.

Descriptive research, also known as statistical research, describes data and characteristics
about the population or phenomenon being studied. Descriptive research answers the questions
who, what, where, when and how.

Although the data description is factual, accurate and systematic, the research cannot describe
what caused a situation. Thus, descriptive research cannot be used to create a causal relationship,
where one variable affects another. In other words, descriptive research can be said to have a low
requirement for internal validity.
37

The description is used for frequencies, averages and other statistical calculations. Often the best
approach, prior to writing descriptive research, is to conduct a survey investigation. Qualitative
research often has the aim of description and researchers may follow-up with examinations of
why the observations exist and what the implications of the findings are.

RESEARCH SAMPLE

SAMPLING PLAN:
Since it is not possible to study whole universe, it becomes necessary to take sample from the
universe to know about its characteristics.

g Units: Customers of XUV5oo.


sonal Interview.

SAMPLE SIZE:

The work is a case of Mahindra XUV5oo one of the Automobile Sector industry together
representing great per cent of the market share of Indian automobile sector. The survey was
conducted in the city of Alwar with two branches of Mahindra J. S. Fourwheeler Pvt.Ltd., with
50 customers as respondent.

DATA COLLECTION TOOL Data is collected from various customers through personal
interaction. Some other information is collected through secondary data also. Data was collected
through a structured questionnaire, likert technique is used. Likert scale is simply a statement
which the respondent is asked to evaluate according to any kind of subjective or objective
criteria, generally the level of agreement and disagreement is measured
38

Likert scaling is a bipolar scaling method, measuring either positive or negative response to a
statement
The questionnaire consists of two parts. The first part consists of three questions concerning the
demographic information of the respondent such as the name, age, educational qualifications and
income. The second part consisting of 10 questions exploring the respondents perception about
the customer services of Mahindra.

RESEARCH LIMITATIONS

The study is only for the big bazaar confined to a particular location and a very small sample of
respondents. Hence the findings cannot be treated as representative of the entire retail industry.
Respondents may give biased answers for the required data. Some of the respondents did not like
to respond.
Respondents tried to escape some statements by simply answering neither agree nor disagree
to most of the statements. This was one of the most important limitation faced, as it was difficult
to analyse and come at a right conclusion.
In our study we have included 50 customers because of time limit.












39

DATA ANALYSIS

Management of Sales Territory and Sales Quota
Sales Territory
Mahindra has a wide and well managed distribution network, with each distributor appointed for
taking up the responsibility of distribution of products to a company specified area. The
distribution channels are constructed in such a way that the demands of the customers are
fulfilled at the right place and the right time as per their requirement.
Mahindra Supply Chain

The distributors of the company have a few specified routes to cover the entire assigned area.
Each route is covered at a minimum of thrice a week. A detailed and well organized distribution
system contributes towards low costs, higher sales and higher efficiency thereby leading to
higher profits to the company. In catering to mass customer base of the company different
channels of distribution have been devised.
The various channels formulated by Mahindra for proper distribution of products are as follows:
Key accounts
Institutions

Production
Plant
Warehouse
Distributor
Warehouse
Delears
Stock
Delears
Shelf
Consumer
40

Sales Promotion
Sales Promotion is any initiative undertaken by an organization to promote an increase in sales,
usage or trial of a product or service. Sales promotions can be directed at the customer, sales
staff, or distribution channel members (such a Dealers). Sales promotions targeted at the
consumer are called consumer sales promotions. Sales promotions targeted at retailers and
wholesale are called trade sales promotions. These efforts can attempt to stimulate product
interest, trial, or purchase. Examples of devices used in sales promotion include coupons,
samples, premiums, point-of-purchase (POP) displays, contests, rebates, and sweepstakes.
The Tools used by Mahindra for fulfilling the various purposes of its sales promotional
activities are the following:-
Point of Sale Display
A sensible man does not have to go far to find out whatever a common panwala knows that
people buy with their eyes. Every item on sale in a shop is displayed in front where people can
see it at first sight.
Display is of various types - window display, wall display, counter display, aerial display, or
floor display, depending on where it is fixed. Display materials to constitute a large spectrum,
like posters, danglers, stickers, mobile wobblers, steamers, balloons, etc. To enhance the display
effect, manufacturers use several gadgets and approaches. Illuminated designs, motion displays,
sky writings, etc., add to the display effect.
Dealers Sale Contest
Another method of sales promotion being used by the Mahindra, through its distributors is to
conduct dealers sales contest during the peak seasons i.e. during April to July. In the contest
distributors categorize each dealer in certain class according to demand. And then each
distributor fixes a target of minimum sale for each category to which every dealer according to
his or her category has to achieve during the contest period.

41

Special Event Market
The dealers at special event place the banners and stall of Mahindras product in events like
picnic, fates, cricket test match. It helps in promoting the sale as well as in creating an image
product.
Sales Man Contest
Sales man contest are held to motivate the sales man. Under the scheme salesmen are given
monetary incentive on the basis of sale made in their given route.
Media Planning
Advertising is one of the important factors which all put together results sales. It has to be
backed by the distribution network, effective servicing, dealer, goodwill and so on. Thus
advertising has to be very carefully woven with the entire demands of marketing.
A very important part of advertising is to decide the medium of advertising and how much to
spend in each media:-Newspaper & Magazines, Radio, TV, Hoarding, Product of sales materials
(paintings, glow signs, D. Board).













42

HIGH SALES VOLUME IN AUTOMOBILE INDUSTRY

BRAND NO OF RESPONDENT PERCENTAGE
Audi 7 14
Hyundai 11 22
Honda 7 14
Maruti Suzuki 10 20
Mahindra 15 30
TOTAL 50 100



INFERENCE:
From the above table, it is inferred that 14% of the respondents feel that Audi is getting high
sales volume, 22% of the respondents feel that Hyundai is getting high sales volume, 14% of the
respondents feel that Honda is getting high sales volume, 20% of the respondents feel that Maruti
Suzuki is getting high sales volume and 30% of the respondents feel that Mahindra is getting
high sales volume.


43

QUALITY OF THE MAHINDRA VEHICLES

OVERALL RATE NO OF RESPONDENTS PERCENTAGE
EXCELLENT 14 28
VERY GOOD 8 16
GOOD 14 28
AVERAGE 8 16
POOR 6 12
TOTAL 50 100




INFERENCE:
From the above table, it is inferred that 28% of the respondents feel that quality of the product is
excellent, 16% of the respondents feel that quality of the product is very good, 28% of the
respondents feel that quality of the product is good, 16% of the respondents feel that quality of
the product is average and 12% of the respondents feel that quality of the product is poor.


44

PRICE OF THE MAHINDRA

LEVEL OF
SATISFACTION
NO OF THE
RESPONDENTS
PERCENTAGE
HIGHLY SATISFIED 14 28
SATISFIED 11 22
AVERAGE 6 12
DISSATISFIED 8 16
HIGHLY DISSATISFIED 8 16
TOTAL 50 100



INFERENCE:
From the above table , it is inferred that 28% of the respondents are highly satisfied with
price,22% of the respondents are satisfied with price ,12 % of the respondents feel that
average,22% of the respondents are dissatisfies with price and price of the respondents are highly
dissatisfies with price.

45

FAST MOVING BRAND IN AUTOMOBILE INDUSTRY

BRAND NO OF THE RESPONDENT PERCENTAGE
Audi 7 14
Hyundai 7 14
Honda 10 20
Maruti Suzuki 9 18
Mahindra 17 34
TOTAL 50 100




INFERENCE
From the above table, it is inferred that 14% of the respondents feel that Audi is fast moving in
automobile industry, 14% of the respondents feel that Hyundai is fast moving in Automobile
industry, 20% of the respondents feel that Honda is fast moving in Automobile industry, 18% of
the respondents feel that Maruti Suzuki is fast moving in Automobile industry and 34% of the
respondents feel that Mahindra is fast moving in Automobile industry.
46

ORDER AND REPLACEMENT WITH MAHINDRA

LEVEL OF SATISFACTION NO OF RESPONDENTS PERCENTAGE
HIGHLY SATISFIED 17 34
SATISFIED 6 12
AVERAGE 11 22
DISSATISFIED 8 16
HIGHLY DISSATISFIED 8 16
TOTAL 50 100



INFERENCE:
From the above table, it is inferred that 34% of the respondents are highly satisfied with order
and replacement of the Mahindra, 12% of the respondent are satisfied with order and
replacement of the Mahindra, 22% of the respondents feel that average with order and
replacement of the Mahindra, 16% of the respondents are dissatisfied with order and replacement
of the Mahindra and 16% of the respondents are highly dissatisfied with order and replacement
of the Mahindra.

47

AVAILABILITY OF THE MAHINDRA VEHICLE

LEVEL OF SATISFACTION NO OF RESPONDENTS PERCENTAGE
HIGHLY SATSIFIED 12 24
SATISFIED 14 28
AVERAGE 8 16
DISSATISFIED 8 16
HIGHLY DISSATIFIED 8 16
TOTAL 50 100


INFERENCE:
From the above table it is inferred that 24% of the respondents are highly satisfies with
availability of the product, 28% of the respondents are satisfies availability of the product, 16%
of the respondents are average with availability of the product, 16% of the respondents are
dissatisfied with availability of the product and, 16% of the respondents are highly dissatisfied
with availability of the product.


48

SATISFIED WITH MAHINDRA DEALERSHIP

SATISFIED NO OF
RESPONDENT
PERCENTAGE
YES 28 56
NO 22 44
TOTAL 50 100



Inference

From the above table, it is inferred that56%ofthe respondents s a t i s f i e d with the
Mahindra dealership, and other38%oftherespondentsnotsatisfiedwith the Mahindra dealership.



49

Customer Perception towards XUV 5OO & Others
Duster vs Safari Storme vs Scorpio vs XUV500


The Mahindra Scorpio has an appreciated body style but it looks dated when compared to other
SUVs. The Scorpio still brags about its bold characteristics through the chunky design elements,
broad stance and dual tone colour scheme (tailgate mounted spare wheel is an aftermarket
installment). Then theres the Cheetah inspired Mahindra XUV500, which exhibits
contemporary yet debatable design language, some might like it and some may not. The
XUV500 has an aggressive and muscular tone on the exteriors with a well treated roofline and
side profile but some details like the front grille and bumpers feel loud and itchy to the eyes.

Interiors All of these SUVs have an average fit and finish level when it comes to the interiors,
though the Renault Duster feels much better screwed together between them all. The Duster uses
beige and black colour combination in its cabin, which works well but the interior design looks
plain and simple. The Duster is the only one, which doesnt have a third row seating. Cabin
50

space is comparatively average but it accommodates five adults with good comfort. The Duster
has good amount of boot space too, as the spare wheel is mounted underneath. The Tata Safari
Storme feels airiest and the most spacious SUV out here. The extensive usage of beige colour,
low window line along with a high stance gives you a great sense of space. The uncluttered beige
dashboard with neat wood inserts makes it look posh but the stereo system looks like an
aftermarket instalment and thus out of place. Tata Motors has improved the quality of interiors
drastically but it still has some hard plastic bits. The front and middle row has generous space
with good comfort but the third row is best suited for small kids or luggage.

Climb into the Mahindra Scorpio and you are greeted with a commanding view and
comfortable seating. The rounded interior styling feels dated and the wood accented centre
console on the dashboard appears a bit untidy. Build quality is just average. The power window
switches are located oddly between the front seats. The front row has adequate space but the
second row feels less spacious for an SUV of this size. The last row of seats is not practical
enough for long routes and can be folded away for tremendous amount of boot space. Step inside
the XUV500 and you will get a sense of modern styling. The dashboard layout is much better
than its rivals, which appears to be rich. The quality is far better than its siblings such as Scorpio
and Xylo but there are some tacky bits on the console, which feels flimsy to use. The chunky
steering is good to hold and the cabin full of convenient features makes you feel like a boss. The
space is at par with the Safari Storme with generous amount of legroom on both front and middle
row seats along with good comfort levels. The last row of seats on the XUV500 is the most
practical out here but can only be used for short distances. With the third row folded away, there
is a good amount of boot space too.





51

Performance The Renault Duster we had on our drive is powered by the 1.5-litre k9k diesel
engine producing 110 PS of power and 248 Nm of torque. Unlike the 85 PS version, the 110 PS
Duster has a considerable amount of turbo lag until 2000 RPM, which is quite annoying in city
traffic. Once it passes the 2000 RPM mark, the silky smooth engine pulls nicely till the redline
with a strong mid range punch. The engine feels creamy, when on the boil and has enough power
to glide on the highways with utter refinement. For quick overtakes, downshifts are needed but
thanks to the neat and precise gearbox with short throws, its an easy task to do. The 110 PS
Duster is mated to a 6-speed manual gearbox, which is a boon on the highways. Average fuel
efficiency comes out to be 14 km/l, which is good enough.

The Tata Safari Storme features the same 2.2-litre turbo diesel engine as its predecessor with
variable geometry turbocharger, rebadged as VariCOR. It produces 140 BHP of power and 320
Nm of torque. The low end torque delivery is impressive with well controlled turbo lag. You can
feel the engine pulling right away from 1400 RPM, which is very drivable both in city as well as
on the highways. Refinement has improved considerably but the NVH levels are still not upto the
mark. Post 3000 RPM, the engine does get a bit noisy with the turbo whistle penetrating into the
cabin. The 5-speed manual gearbox has improved and feels less notchy than before. The gear
ratios are cleverly stacked up that leads to good in-gear acceleration and tremendous cruising
ability. The 5th gear is tall, which holds up the RPM needle at a relaxed 2100 RPM at 100 km/hr.
The Safari Storme returns a decent fuel economy of 10 km/l in the real world.

52



Mention your satisfaction level for following elements
1. Highly satisfied
2. Satisfied
3. Neither satisfied nor dissatisfied
4. Dissatisfied
5. Highly dissatisfied

Elements 1 2 3 4

1. Speed ( ) ( ) ( ) ( )
2. Interior ( ) ( ) ( ) ( )
3. Mileage ( ) ( ) ( ) ( )
4. Safety ( ) ( ) ( ) (
5. Navigation System ( ) ( ) ( ) ( )
6. Design ( ) ( ) ( ) ( )
53

Elements
Highly
satisfied Satisfied
Neither
satisfied nor
dissatisfied Dissatisfied
Highly
dissatisfied
Speed 5 12 7 5 7
Interior 7 11 10 24 3
Mileage 12 10 9 6 5
Safety 11 5 11 11 15
Navigation System 10 7 10 3 12
Design 5 5 3 1 8
Total 50 50 50 50 50


INTERPRETATION:
From the above data, we decide that 25% of the customers satisfaction level is highly
satisfied on the basis of Mileage of XUV 5OO, 10% of the customers satisfaction level is
satisfied on the basis of Design of XUV 5OO, 60% of the customers satisfaction level is neither
satisfied nor dissatisfied, 5% of the customers satisfaction level is dissatisfied and in the
customers no ones satisfaction level is highly dissatisfied with Safety.









54

FINDINGS OF THE STUDY

30% of the respondents feel that Mahindra is having high sales volume.

30% of the respondents are considering most valuable suppliers from the dealers
point of view.


28% of the respondents feel that quality of the product is excellent. And 12% of
the respondents feel quality is poor.

28% of the respondents satisfied with price of the product. And 16% of the
respondent not satisfied with the price of the products.

34% of Mahindra is moving fast brand in Automobile industry.

34% of the respondent feels that order and replacement is highly satisfied. And
16% of the respondents feel that highly dissatisfied.

30% of the respondents satisfied with reliability of the Mahindra. And 16% of the
respondents not satisfied.







55

SUGGESTIONS

Mahindra should concentrate in credit facility of the dealers.

Mahindra should concentrate on rural marketing for new market segment.

Mahindra should do more market research and get feedback.

Mahindra should concentrate to fulfill the service for the dealers required.

The awareness among the dealers about different schemes is low. More clarity regarding
target volumes and requirements of the schemes need to be provided to the dealers. This
may result in significant increase in effectiveness of the promotional activities.

The company should try to motivate the distributors through non monetary means like
Certificate of appreciation, etc










56

CONCLUSION

According to Drucker, both the sales and the distribution channels are often more crucial
than the product.
The sales and distribution system creates a value added not just in the product but to the entire
company operations. We can extract from the above study that Mahindra has a lot of scope for
improvement in terms of this system; negligence in this regard will give opportunities for
competitors to gain a larger market share.
After analysis of the data we have concluded that Mahindra has conquered first place because the
sales volume of it is very high compare than others and the awareness of the Alwar is very high
in Rajasthan.
Moreover Mahindra has good dealership with J.P. Four Whalers Pvt. Ltd.











57

BIBLIOGRAPHY

TEXT BOOKS
Philip Kotler (2002), Marketing ManagementPrentice Hall of India, New Delhi,
Eleventh Edition.
Kotler and Armstrong (2001),Principles of Marketing Prentice Hall of India,
New Delhi.
Samars and Barner (1987), Fundamentals of Marketing Mc Graw Hill Company,
Ryerson, Eight Edition.
C.R.Kothari (2003), Research Methodology Wishwa Prakashan, Mumbai.
Leon G.Schiffman & Leslie Lazar Kanuk (2003), Consumer Behavior Pearson
Education, New Delhi.

Websites Visited:
www.mahindra.com
www.indianautomobile.com
www.wikipedia.com
www.google.com






58

ANNEXURE

QUESTIONNAIRE
This questionnaire is entirely for the purposes of educational research; its contents will be kept
strictly confidential, will not be made known to anyone known outside of the research study, and
will not otherwise be disclosed or published except in an aggregated form in which individuals
cannot be identified
1. NAME OF THE CUSTOMER:

2. ADDRESS:

WHICH CAR DO YOU HAVE?
AUDI
HYUNDAI
HONDA
MARUTI SUZUKI
MAHINDRA

WHICH COMPANY GETS HIGH SALES VOLUME IN STEEL INDUSTRY?

AUDI
HYUNDAI
HONDA
MARUTI SUZUKI
MAHINDRA
59



WHAT IS YOUR OPNION ABOUT MAHINDRA?

A. EXCELLENT ( )
B. VERYGOOD ( )
C. GOOD ( )
D. AVERAGE ( )
E. POOR ( )



WHICH IS THE FAST MOVING BRAND IN YOUR CITY?

AUDI
HYUNDAI
HONDA
MARUTI SUZUKI
MAHINDRA

PLEASE RATE THE ORDER AND REPLACEMENT OF MAHINDRA?
A. HIGHLYSATISFIED ( )
B. SATISFIED ( )
C. AVERAGE ( )
D. DISSATISFIED ( )
E. HIGHLY DISSATIFIED ( )
ARE YOU SATISFIED TO TAKE THE MAHINDRA DEALERSHIP?

60



A. Yes ( )
B. No ( )


PLEASE MENTION SALES PROMOTIONAL EFFORTSOFTHE MAHINDRA?

A. EXCELLENT ( )
B. VERYGOOD ( )
C. GOOD ( )
D. AVERAGE ( )
E. POOR ( )


WHAT DO YOU UNDERSTAND THE RELIABILITY OF THE MAHINDRA?

A. EXCELLENT ( )
B. VERYGOOD ( )
C. GOOD ( )
D. AVERAGE ( )
E. POOR ( )