A Project On Study on Consumers Response Towards Tata NANO

(Submitted in partial fulfilment of the requirement of Master of Business Administration, Distance Education Guru Jambheshwar University of Science & Technology , Hisar

Research Supervisor: Ms. Sridevi Chaudhuri Designation : Sr. Lect. Marketing

Submitted By: Ashwani Bajaj Enrollment No.08061148097 Specialization: MARKETING

Session 2008-10 Directorate of Distance Education Guru Jambheshwar University of Science & Technology Hisar (India)

CERTIFICATE

This is to certify that Mr. Ashwani Bajaj, Enrollment No.08061148097 has completed and submitted the Project Report entitled Tata Nano towards part fulfilment of the requirements for the award of the Post Graduate Diploma in Management .

This Report is the result of his/her own work and to the best of my knowledge no part of it has earlier comprised any other report, monograph, dissertation or book. This project was carried out under my overall supervision.

Ms. Sridevi Chaudhuri

Date: Place:

Table of Contents
Chapters Contents Letter of Acknowledgement Executive Summary Chapter 1 1.1 1.2 1.3 Chapter 2 2.1 2.2 2.3 Chapter 3 3.1 3.2 3.3 3.4 3.5 Chapter 4 Chapter 5 Annexure 1 Annexure 2 Introduction Introduction to the Group Introduction to TATA Motors Introduction to TATA NANO Literature Review Industry Structure & Developments Articles The Blue Ocean Strategy Research Methodology & Data Collection Statement of Problem Objective Research Design Questionnaire Development & Pre-testing Sampling Methodology Data Analysis & Interpretation Conclusions & Recommendations Bibliography Questionnaire Page No.

Letter of Acknowledgement

I would like to take this opportunity to thank all the people whose support and co-operation led to the successful completion of this project.

I express my sincere thanks to Ms. Sridevi Chaudhuri for his valuable guidance, support and suggestion in the competition of the project.

Ashwani Bajaj

Executive Summary
The automobile industry in India is the ninth largest in the world with an annual production of over 2.3 million units in 2008. In 2009, India emerged as Asia's fourth largest exporter of automobiles, behind Japan, South Korea and Thailand. Some of the major players in Indian automobile industry are Maruti Suzuki, Tata Motors, Hyundai, Honda and many more. The launch of Tata Nano by Tata Motors had brought a revolutionary change in the automobile industry. It has lead to the launch of a new segment, a new entry level car which is almost half the price of its closest competitor (in terms of price) Maruti 800.

This research project is based on understanding the consumers response towards Tata Nano. How do consumers see Tata Nano, What is there perception towards Tata Nano, how do they perceive its quality and performance as compared to its competitors. Do they find it to be value for money or they find that quality and performance is lacking behind. To find answers to all the above questions and to fulfil the objectives, a primary research was conducted. Before conducting the primary research, a lot of books, articles were read on Indian Automobile industry, Tata Nano and the consumer Behaviour. Then, the primary research was conducted. The project started with keeping in mind the objectives to be fulfilled. Then the type of research and the survey was decided. After that, Questionnaire was developed and its pilot testing was done. Then Sampling technique and sampling size was determined. Then, the most important, filed survey was conducted and data entry was done and various statistical tools were applied, so that the data can be converted into information and certain trends can be found and decision can be taken accordingly.

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Chapter 1

INTRODUCTION
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Introduction to the Group

Tata Group operates in seven business sectors: communications and information technology, engineering, materials, services, energy, consumer products and chemicals. They are, by and large, based in India and have significant international operations. The total revenue of Tata companies, taken together, was $70.8 billion in 2008-09, with 64.7 per cent of this coming from business outside India, and they employ around 357,000 people worldwide. The Tata name has been respected in India for 140 years for its adherence to strong values and business ethics. Every Tata company or enterprise operates independently. Each of these companies has its own board of directors and shareholders, to whom it is answerable. There are 27 publicly listed Tata enterprises and they have a combined market capitalisation of some $60 billion, and a shareholder base of 3.5 million. The major Tata companies are Tata Steel, Tata Motors, Tata Consultancy Services (TCS), Tata Power, Tata Chemicals, Tata Tea, Indian Hotels and Tata Communications. Tata Steel became the sixth largest steel maker in the world after it acquired Corus. Tata Motors is among the top five commercial vehicle manufacturers in the world and has recently acquired Jaguar and Land Rover. TCS is a leading global software company, with delivery centres in the US, UK, Hungary, Brazil, Uruguay and China, besides India. Tata Tea is the second largest branded tea company in the world, through its UK-based subsidiary Tetley. Tata Chemicals is the worlds second largest manufacturer of soda ash and Tata Communications is one of the worlds largest wholesale voice carriers. In tandem with the increasing international footprint of Tata companies, the Tata brand is also gaining international recognition. Brand Finance, a UK-based consultancy firm, recently valued the Tata brand at $9.92 billion and ranked it 51st among the world's Top 100 brands. Businessweek magazine ranked Tata 13th among the '25 Most Innovative Companies' list and the Reputation Institute, USA, recently rated it 11th on its list of world's most reputable companies. Founded by Jamsetji Tata in 1868, Tatas early years were inspired by the spirit of nationalism. It pioneered several industries of national importance in India: steel, power, hospitality and airlines. In more recent times, its pioneering spirit has been showcased by

companies such as TCS, Indias first software company, and Tata Motors, which made Indias first indigenously developed car, the Indica, in 1998 and recently unveiled the worlds lowest-cost car, the Tata Nano. Tata companies have always believed in returning wealth to the society they serve. Twothirds of the equity of Tata Sons, the Tata promoter company, is held by philanthropic trusts that have created national institutions for science and technology, medical research, social studies and the performing arts. The trusts also provide aid and assistance to non-government organisations working in the areas of education, healthcare and livelihoods. Tata companies also extend social welfare activities to communities around their industrial units. The combined development-related expenditure of the trusts and the companies amounts to around 4 per cent of the net profits of all the Tata companies taken together. Going forward, Tata is focusing on new technologies and innovation to drive its business in India and internationally. The Nano car is one example, as is the Eka supercomputer (developed by another Tata company), which in 2008 was ranked the worlds fourth fastest. Anchored in India and wedded to traditional values and strong ethics, Tata companies are building multinational businesses that will achieve growth through excellence and innovation, while balancing the interests of shareholders, employees and civil society.

Introduction to Tata Motors Limited

Tata Motors Limited is India's largest automobile company, with consolidated revenues of Rs.70,938.85 crores (USD 14 billion) in 2008-09. It is the leader in commercial vehicles in each segment, and among the top three in passenger vehicles with winning products in the compact, midsize car and utility vehicle segments. The company is the world's fourth largest truck manufacturer, and the world's second largest bus manufacturer. The company's 24,000 employees are guided by the vision to be "best in the manner in which we operate best in the products we deliver and best in our value system and ethics." Established in 1945, Tata Motors' presence indeed cuts across the length and breadth of India. Over 4 million Tata vehicles ply on Indian roads, since the first rolled out in 1954. The company's manufacturing base in India is spread across Jamshedpur (Jharkhand), Pune (Maharashtra), Lucknow (Uttar Pradesh), Pantnagar (Uttarakhand) and Dharwad (Karnataka). Following a strategic alliance with Fiat in 2005, it has set up an industrial joint venture with Fiat Group Automobiles at Ranjangaon (Maharashtra) to produce both Fiat and Tata cars and Fiat powertrains. The company is establishing a new plant at Sanand (Gujarat). The company's dealership, sales, services and spare parts network comprises over 3500 touch points; Tata Motors also distributes and markets Fiat branded cars in India. Tata Motors, the first company from India's engineering sector to be listed in the New York Stock Exchange (September 2004), has also emerged as an international automobile company. Through subsidiaries and associate companies, Tata Motors has operations in the UK, South Korea, Thailand and Spain. Among them is Jaguar Land Rover, a business comprising the two iconic British brands that was acquired in 2008. In 2004, it acquired the Daewoo Commercial Vehicles Company, South Korea's second largest truck maker. The rechristened Tata Daewoo Commercial Vehicles Company has launched several new products in the Korean market, while also exporting these products to several international markets. Today two-thirds of heavy commercial vehicle exports out of South Korea are from Tata Daewoo. In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a reputed Spanish bus and coach manufacturer, and subsequently the remaining stake in 2009. Hispano's presence is being expanded in other markets. In 2006, Tata Motors formed a joint venture with the Brazil-based Marcopolo, a global leader in body-building for buses and coaches to manufacture fully-built buses and coaches for India and select international markets. In 2006, Tata Motors entered into joint venture with Thonburi Automotive

Assembly Plant Company of Thailand to manufacture and market the company's pickup vehicles in Thailand. The new plant of Tata Motors (Thailand) has begun production of the Xenon pickup truck, with the Xenon having been launched in Thailand in 2008. Tata Motors is also expanding its international footprint, established through exports since 1961. The company's commercial and passenger vehicles are already being marketed in several countries in Europe, Africa, the Middle East, South East Asia, South Asia and South America. It has franchisee/joint venture assembly operations in Kenya, Bangladesh, Ukraine, Russia, Senegal and South Africa. The foundation of the company's growth over the last 50 years is a deep understanding of economic stimuli and customer needs, and the ability to translate them into customer-desired offerings through leading edge R&D. With over 3,000 engineers and scientists, the company's Engineering Research Centre, established in 1966, has enabled pioneering technologies and products. The company today has R&D centres in Pune, Jamshedpur, Lucknow, Dharwad in India, and in South Korea, Spain, and the UK. It was Tata Motors, which developed the first indigenously developed Light Commercial Vehicle, India's first Sports Utility Vehicle and, in 1998, the Tata Indica, India's first fully indigenous passenger car. Within two years of launch, Tata Indica became India's largest selling car in its segment. In 2005, Tata Motors created a new segment by launching the Tata Ace, India's first indigenously developed mini-truck. In January 2008, Tata Motors unveiled its People's Car, the Tata Nano, which India and the world have been looking forward to. The Tata Nano has been subsequently launched, as planned, in India in March 2009. A development, which signifies a first for the global automobile industry, the Nano brings the comfort and safety of a car within the reach of thousands of families. The standard version has been priced at Rs.100,000 (excluding VAT and transportation cost). Designed with a family in mind, it has a roomy passenger compartment with generous leg space and head room. It can comfortably seat four persons. Its mono-volume design will set a new benchmark among small cars. Its safety performance exceeds regulatory requirements in India. Its tailpipe emission performance too exceeds regulatory requirements. In terms of overall pollutants, it has a lower pollution level than two-wheelers being manufactured in India today. The lean design strategy has helped minimise weight, which helps maximise

performance per unit of energy consumed and delivers high fuel efficiency. The high fuel efficiency also ensures that the car has low carbon dioxide emissions, thereby providing the twin benefits of an affordable transportation solution with a low carbon footprint. In May 2009, Tata Motors introduced ushered in a new era in the Indian automobile industry, in keeping with its pioneering tradition, by unveiling its new range of world standard trucks called Prima. In their power, speed, carrying capacity, operating economy and trims, they will introduce new benchmarks in India and match the best in the world in performance at a lower life-cycle cost. Tata Motors is equally focussed on environment-friendly technologies in emissions and alternative fuels. . It has developed electric and hybrid vehicles both for personal and public transportation. It has also been implementing several environment-friendly technologies in manufacturing processes, significantly enhancing resource conservation. Through its subsidiaries, the company is engaged in engineering and automotive solutions, construction equipment manufacturing, automotive vehicle components manufacturing and supply chain activities, machine tools and factory automation solutions, high-precision tooling and plastic and electronic components for automotive and computer applications, and automotive retailing and service operations. Tata Motors is committed to improving the quality of life of communities by working on four thrust areas employability, education, health and environment. The activities touch the lives of more than a million citizens. The company's support on education and employability is focused on youth and women. They range from schools to technical education institutes to actual facilitation of income generation. In health, our intervention is in both preventive and curative health care. The goal of environment protection is achieved through tree plantation, conserving water and creating new water bodies and, last but not the least, by introducing appropriate technologies in our vehicles and operations for constantly enhancing environment care. With the foundation of its rich heritage, Tata Motors today is etching a refulgent future.

Introduction to Tata NANO

Tata Nano is a rear engined, four-passenger city car built by Tata Motors, aimed primarily at the Indian Market. The car has a fuel efficiency of around 26 kilometres per litre on the

highway and around 22 kilometres per litre in the city. It was first presented at the 9th annual Auto Expo on January at Pragati Maidan in New Delhi, India. The Nano had its commercial launch on March 23, 2009 and a booking period from April 9 to April 25, generating more than 200,000 bookings for the car. The cars started to be delivered to customers after July 17 2009, with a starting price of Rs. 1,00,000. This is cheaper than the Maruti 800, its main competitor and next cheapest Indian car priced at Rs 184,641. Tata had sought to produce the least expensive production car in the world aiming for a starting price of Rs 100,000.

Design: Ratan Tata, the Chairman of Tata Motors, began development of the world's cheapest production car in 2003, inspired by the number of Indian families with two-wheeled rather than four-wheeled vehicles. The Nano's development has been tempered by the company's success in producing the low cost 4 wheeled Ace truck in May 2005. Contrary to speculation that the car might be a simple four-wheeled auto rickshaw, The Times of India reported the vehicle is "a properly designed and built car". The Chairman is reported to have said, "It is not a car with plastic curtains or no roof it's a real car". To achieve its design goals, Tata refined the manufacturing process, emphasized innovation and sought new design approaches from suppliers. The car was designed at Italy's Institute of Development in Automotive Engineering with Ratan Tata requesting certain changes, such as the elimination of one of two windscreen wipers. Many components of the Nano are made in Germany by Bosch, such as fuel injection, brake system, Value Motronic ECU, ABS and other technologies. The Nano has 21% more interior space (albeit mostly as headroom, due to its tall stance) and an 8% smaller exterior compared to its closest rival, the Maruti 800.

Cost cutting features:

It has no power steering The base model has only three lug nets on the wheels instead of the usual four

The base model has only one side view mirror Some use of plastic and glue in place of welded steel Manually operated side windows Air conditioning/heating not part of base model Airbags not part of base model

Pricing: Tata initially targeted the vehicle as "the least expensive Production Car in the world" aiming for a starting price of Rs. 1,00,000 despite rapidly rising material prices at the time. As of August 2008, material costs had risen from 13% to 23% over the cars development and Tata faced the choice of:

Introducing the car with an artificially low price through government subsidies and tax-breaks Forgoing profit on the car Using vertical-integration to artificially boost profits on cars at the expense of their materials industries Partially using inexpensive polymers or Biodegradable Plastic instead of a full metal body Raising the price of the car

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LITERATURE REVIEW
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Literature Review

Automobile Industry in India:

Since the first car rolled out on the streets of Mumbai (then Bombay) in 1898, the Automobile Industry of India has come a long way. During its early stages the auto industry was overlooked by the then Government and the policies were also not favorable. The liberalization policy and various tax reliefs by the Govt. of India in recent years has made remarkable impacts on Indian Automobile Industry. Indian auto industry, which is currently growing at the pace of around 18 % per annum, has become a hot destination for global auto players like Volvo, General Motors and Ford. A well developed transportation system plays a key role in the development of an economy, and India is no exception to it. With the growth of transportation system the Automotive Industry of India is also growing at rapid speed, occupying an important place on the 'canvas' of Indian economy. Indian Automobile Industry is the Tenth largest in the world with an annual production of approximately 2 million units. It is expected to become one of the major global automotive industries in the coming years. Indian Automobile Industry is: Largest three wheeler market in the world 2nd largest two wheeler market in the world 4th largest passenger vehicle market in Asia 4th largest tractor market in the world 5th largest commercial vehicle market in the world

The automobile industry in India is the ninth largest in the world with an annual production of over 2.3 million units in 2008. In 2009, India emerged as Asia's fourth largest exporter of automobiles, behind Japan, South Korea and Thailand. Following economic liberalization in India in 1991, the Indian automotive industry has demonstrated sustained growth as a result of increased competitiveness and relaxed restrictions. Several Indian automobile manufacturers such as Tata Motors, Maruti Suzuki and Mahindra and Mahindra, expanded their domestic and international operations.

India's robust economic growth led to the further expansion of its domestic automobile market which attracted significant India-specific investment by multinational automobile manufacturers. In February 2009, monthly sales of passenger cars in India exceeded 100,000 units.

Porters Five Forces Analysis of Indian Automobile Sector

Threat of New Entrants Bargaining Power of Customers

Bargaining Power of Suppliers

Indust ry Rivalry

Threat of Substitutes

1. Industry Rivalry Industry Concentration: The Concentration Ratio (CR) indicates the percent of market share held by a company. A high concentration ratio indicates that a high concentration of market share is held by the largest firms - the industry is concentrated. With only a few firms holding a large market share, the market is less competitive (closer to a monopoly). A low concentration ratio indicates that the industry is characterized by many rivals, none of which has a significant market share. These fragmented markets are said to be competitive. If rivalry among firms in an industry is low, the industry is considered to be disciplined. High Fixed costs When total costs are mostly fixed costs, the firm must produce capacity to attain the lowest unit costs. Since the firm must sell this large quantity of product, high levels of production lead to a fight for market share and results in increased rivalry. The industry is typically capital intensive and thus involves high fixed costs.

Slow market growth In growing market, firms can improve their economies. Though the market growth has been impressive in the last few years (about 8 to 15%), it takes a beat in even slight economic disturbances as it involves a luxury good. Aggressive pricing is needed to sustain growth in such situations.

Diversity of rivals: Industry becomes unstable as the diversification increases. In this case the diversity of rivals is moderate as most offer products which are close to standard versions and the competitors are also mostly similar in strength.

Highly competitive industry: The presence of many players of about the same size little differentiation between competitors, and a very mature industry with very little growth were the features of a highly competitive industry. Higher the competition in the industry lower would be the profit margin. To remain ahead in competition, auto-makers were tempted to offer value added services to the customers incurring more costs.

2. Threat of New Entrants These are the characteristics that inhibit the entrance of new rivals into the market and in turn protect the profits of the existing firms. Based on the present profit levels in the market, one can expect the entrance of new firms into the market or not. The entrance is however also affected by the start-up costs.

Economies of scale: The Minimum Efficient Scale (MES) is the point at which unit costs are minimized. The greater the difference between the MES and the entry unit cost, greater is the barrier. Economies of scale are becoming increasingly important as competition is driving the profit margins to lower levels. Also being a capital intensive industry economies of scale have important consequence

Government policies:
o

Automobile Industry was de-licensed in July 1991 with the announcement of the New Industrial Policy

The passenger car industry was de-licensed in 1993. No industrial licence is required for setting up of any unit for manufacture of automobiles except in some special cases

o The norms for Foreign Investment and import of technology have been progressively liberalized over the years for manufacture of vehicles including passenger cars in order to make this sector globally competitive o At present 100% Foreign Direct Investment (FDI) is permissible under automatic route in this sector including passenger car segment. The import of technology/technological upgradation on the royalty payment of 5% without any duration limit and lump sum payment of USD 2 million is allowed under automatic route in this sector o The automotive industry comprising of the automobile and the auto component sectors has made rapid strides since delicensing and opening up of the sector to FDI in 1991 o The industry had an investment of about Rs. 50,000 crore in 2002-03 which has gone up to Rs. 80,000 crore by the year 2007. The automotive industry has already attained a turnover of Rs. 1,65,000 crore (34 billion USD) o The industry provides direct and indirect employment to 1.31 crore people. The contribution of the automotive industry to GDP has risen from 2.77% in 1992-93 to 5% in 2006-07. The industry is making a contribution of 17% to the kitty of indirect taxes of the Government

With all the policies regarding the FDI and Tariff barriers as mentioned above, it has become easier for the foreign players to enter the Indian automobile industry.

3. Threat of Substitutes

The replacement market is characterized by the presence of several small-scale suppliers who score over the organized players in terms of excise duty exemptions and lower overheads.

A products price elasticity is affected by the presence of substitutes as its demand is affected by the change in the substitutes prices The cost of the automobiles along with their operating costs was driving customers to look for alternative transportation options The new technologies available also affect the demand of the product E.g.: In case of Marutis products, the threat of substitutes is high. The competition is intense as several players have products in the categories given by Maruti. However, in the 800cc range it is the market leader and the threat of substitute products is low. Price performance comparison favors heavily towards Maruti in most product categories. Also the high availability and quality of services offered by Maruti gives the customer a better trade-off

4. Bargaining Power of Suppliers Suppliers can influence the industry by deciding on the price at which the raw materials can be sold. This is done in order to capture profits from the market. Steel is a major input in this industry and so steel prices have a sharp and immediate impact on the product price The industry being capital intensive switching costs of suppliers is high, other than steel as raw material which is highly price sensitive and the firm may easily move towards a supplier with lower cost

5. Bargaining Power of Buyers It specifies the impact of customers on the product When buyer power is strong, the buyer is the one who sets the price in the market. Here there is purchases of large volumes There is prevalence of alternative options

Price sensitive customers were some of the factors that determined the extent of influence of the buyers in this industry E.g.: In the case of Maruti, the sales volumes have shown increasing trend

over past so many years. The customers are more or less concentrated in metros or other tier two cities. The industry is also concentrated in these regions mostly. Most of them are have good amount of knowledge about the product. Except the 800cc range in other categories brand loyalty is only moderate. Also it is difficult to measure since repurchases are rare. Product differentiation is high as there are many categories in the passenger vehicle segment. Buyers get incentives in the form of cost discounts and better after sales services

The major focus of Indian Component suppliers is Quality as suggested by one of the Japanese Quality focus firm. The Industry association ACMA reports that over 170 of its members have already received ISO-9000 certification and 23 have received QS9000 certification. There are examples of Indian suppliers becoming single source global suppliers for leading OEMS (GM and Ford), and also becoming global leaders with Sundaram Clayton receiving the Deming award but there are few drawbacks as shown by A.T, Kearney survey which found that defect rates in India are in the range of 1000-2000 ppm against Japanese average of 100-200 ppm

The rising gasoline price is bound to influence the buyers

Second Hand Market Worldwide, the ratio of new cars to old cars is one to four. In India, however, it is still at one to one; with majority of the sales coming from the small car market The second-hand car market in India sees about 40,000 listings online every month

E.g.: Carwale.com also has tie-ups with leading car manufacturers like Maruti, Hyundai, GM, Tata Motors, Mahindra, Mitsubishi, Ford, Toyota and Skoda, as well as finance companies and banks like ICICI, Tata Finance and Deutsche bank, to facilitate the process of buying and selling second-hand cars. It is this easy accessibility that brings around 25,000 second-hand car enquirers to the portal every month, out of which 40% actually go on to buy a car.

Articles:
Low Nano volumes drives prices of used cars Sohini Das / Mumbai/ Ahmedabad November 18, 2009, 0:46 IST Low volumes of the 'common man's car', expected to encourage people to buy a brand new car instead of an used one, has, however, put prices in the used car market back on track. In March this year, the anticipation of Nano launch coupled with a sluggish demand had made a sharp dent in used car prices by 25-30 per cent. Dealers had feared a further dip in prices by around 10 per cent. "People were postponing purchases in anticipation of the Tata Nano which was pegged at Rs 1 lakh for a starting price, and prices of base cars like a Maruti-800 in the used car market was down to Rs 85,000-90,000 then," said a Delhi-based dealer. However, now prices are now picking up partly because the demand is growing and also because one may have to wait for as long as one year to own the world's most affordable car, claimed organised multi-brand used car players. Vinay Sanghi, chief executive officer of Mumbai-based Motor Exchange claimed that there is hardly any impact of the Nano on used car prices across the country currently. Industry insiders claimed that the Nano has definitely not been able to bring down prices in the used car market as was expected before its launch. A senior official in a Mumbai-based organised multi-brand used car company who did not want to be identified said, "During the launch of the Nano in March-April this year there was a general lull in the market when car sales had dipped. A lot of it was speculated to be the Nano impact. However, the market is now getting back on track and the used car sales are also picking up without much impact on their prices for the Nano." He also explained that the Nano has to reach a critical mass in the market to be able to exert pressure on used car prices. Currently, Tata Motors has been able to deliver around 10,000 cars since July this year. It plans to roll out around 200 cars per day from its Sanand plant

from March 2010 onwards, while it will continue with the car's production at its Pantnagar plant. Sanghvi Motors, an Ahmedabad-based dealer in used cars and spare parts said, "The hype around the car is perhaps slowing down. Currently, the used cars are trading as usual with hardly any pressure on their prices from the Tata Nano." Delhi-based A K Motors claimed that prices of used cars were back to the February levels with a 2007-make Maruti Zen Estillo selling now for around Rs 1.85 lakh in the capital. "This is primarily because the Nano is not available in sufficient numbers in the market," the dealership claimed. A Tata Motors' dealer in West Bengal who sells Nano, admitted that the hype around the car is perhaps not as high as it was before the launch primarily because of the year-long wait period. "Many customers coming over to our showrooms cannot go for a test-drive. We are not really working on marketing the car, but are now involved in the process of delivering it to the allottees. Things are expected to get better once the Sanand facility starts rolling out cars next year," he said while wishing annonymity. It was expected that the Tata Nano comes with a price tag of Rs 1.3 lakh to Rs 1.7 lakh would even pull down the prices of entry level sedans like the Tata Indigo CS, Hyundai Accent and Maruti Esteem. Prices in the un-organised used car space, that accounts for nearly 70 per cent of the entire market, is definitely up now. Currently, a 2007 make Hyundai Accent is available for a price of around Rs 3 lakh, while a Maruti Esteem is available for Rs 2.45 lakh. Prices of entry level compact cars like the Maruti-800 and Maruti Alto have not picked up much in the last six months which are selling around Rs 1.25 - Rs1.45 lakh.

Long wait for Nano leads to cancellations Namrata Acharya & Devjyot Ghoshal December 3, 2009, 0:14 IST

Small price difference with Maruti causes customer attrition and back-outs. Not long ago, public sector banks had taken a fancy to financing the worlds cheapest car Tata Nano. This time around, it is the cancellation of the loans that is keeping them busy. Customers of Nano are queueing up to cancel their bookings, having to pay interest on their loans long before getting possession of the vehicle. It is said that over a tenth of Nanos initial bookings now stand cancelled. Banks as well as Tata Motors dealers indicated a 10-15 per cent cancellation of Nano over the past few months. Those customers who were given delivery dates of 2010-end and early 2011 pulled out, they said. Tata Motors said it was not unusual. There have been cancellations for Nano by some customers who were late in the queue. We do not find this exceptional, neither by the occurrence of cancellations nor by their quantum. We had noticed this in the case of Indica too when the car was launched through the booking route in 1999, the company said in an emailed statement. Report of malfunction in the vehicle is said to have caused the cancellations too. There were reports of three Nanos having caught fire since September this year. A key differentiator for Nano from other cars was the nature of the loan till the physical delivery of the vehicle. A bank financed the booking amount for Nano and charged an interest against it. As a result, the loan does not technically qualify for a car loan, said S K Dey Purkayastha, general manager, retail banking and marketing of IT products, UCO Bank. It financed Nano as a bridge loan at 10.50 per cent till cancellation or repayment by borrower, or till it was converted into a regular car loan with delivery of vehicle. In other words, if the car was available for hypothecation, it could be financed. Otherwise, a bridge loan could be considered and continued till the vehicle was available for hypothecation. Bridge loans were said to be safe income proposition for the bank. Apart from the interest on the loan, the borrower was not required to repay it and was essentially settled by way of conversion into a regular car loan, if sanctioned by the bank, or repayment at a later stage by the borrower through own sources, or a takeover arranged by

the borrower or by the bank exercising its first right of cancellation, a circular on the banks website stated. Analysts believe the waiting period for the small car would continue to affect sales. Customers get into a certain frame of mind when look to buy a car. If there is such a long waiting period, some would not mind switching to another vehicle at a little more cost, said Neeraj Bandhu, automobile consulting firm CSM Worldwides Director (India). He added that with most customers opting for the top-end Nano and its price difference with Maruti Suzukis cheapest variant not being much, there could be some attrition. While Nano LX (BSIII) is priced at Rs 1,80,447 (ex-showroom Kolkata), Maruti 800 costs Rs 1,92,693 (ex-showroom Kolkata).

Wait for Nano too long for a few customers Press Trust of India / Chandigarh July 22, 2009, 14:57 IST

The time lag between booking and delivery of the Nano is leading to a few cancellations in Punjab. "Several customers who were selected for the delivery of the Nano earlier are getting their orders cancelled saying they cannot wait for months to get their car," Rajan Katyal of Garyson Motors, a dealer of Tata Motors in Ludhiana said. So far, 10 customers have cancelled their bookings for the Nano, Garyson Motors said. "Almost 5 to 8 of our customers have cancelled their bookings who were scheduled to get the delivery in the mid of next year," Chandigarh-based Tata Motors dealer Joshi Auto zone's Sales Manager Gaurav Mishra said "I always wanted to own the Nano, which carries a price tag of Rs 1 lakh...That is why I have booked the car...But when I came to know through the allotment letter that the car will be delivered by February 2010... I decided to cancel the booking as I cannot wait for such a long time to own the car," said Janak Raj Sachdeva of Ludhiana.

Sachdeva has even agreed to forego the interest portion, which he had to bear after getting the car financed. Dada Motors' Managing Director Rishi Dada, however, said that not everybody is withdrawing their applications, "but a few are because of the long gap between booking and delivery". In addition to it, some of the customers whose names did not figure in the list of the first 100,000 allottees are also not in favour of retaining their applications, he said Tata Motors had announced the selection of the first 100,000 owners of the Nano out of over 2 lakh applications. The delivery of the vehicle has started from July and the first 100,000 deliveries are expected to be completed by the last quarter of 2010.

Luxury' Tata Nano's success helps avoid price war Bloomberg / May 26, 2009, 0:08 IST

Tata Motors Ltd Chairman Ratan Tata had 500 engineers work for four years designing the worlds cheapest car, convinced cost-conscious Indian drivers could live without airconditioning and cup holders. He was wrong. Only 20 per cent of Tatas initial 203,000 Nano orders were for the no-frills $2,600 model. Instead, half of the customers booked the top-end model, which costs 40 per cent more. My children need to travel comfortably, said Neelakandan Raveendran, 51, who ordered the most-expensive version of the Nano as his first car. The bank clerk earns 24,000 rupees ($500) a month and will split the cost of the car with his daughter. Sales of more expensive versions with extras such as air- conditioning mean bigger margins for Tata and less chance of a profit-sapping price war with rival manufacturers such as Maruti Suzuki India Ltd., analysts said.

There is no demand for a bare-bones car, said Mahantesh Sabarad, a Mumbai-based analyst at Centrum Broking Pvt. Based on this experience, it does give other automakers room for pricing their products higher. They dont have to be drawn down to a pricing war. Toyota Motor Corp. and Renault SA, also planning to sell low-cost cars, may be able to charge more for their models on demand from customers in India where incomes have doubled in the past eight years. Higher prices may enable automakers to boost profits in India, unlike in China, where discounts have hurt earnings amid a boom in sales. Profit at Maruti Suzuki, maker of half the cars sold in the country, and Tata Motors, the No. 3 carmaker, more than doubled in the five years ended March 31, 2008, on new jobs in the worlds second-fastest growing major economy. Marutis 800, its cheapest car, retailing for as little as Rs 1.85 lakh ($3,923) in New Delhi ended its almost two-decade reign as Indias largest-selling model in 2005. It made way for the Alto, which costs 21 per cent more. The 800 now accounts for less than 5 per cent of Marutis sales, said Mayank Pareek, executive officer, marketing and sales, at the carmaker. The cheapest Nano retails for Rs 1.23 lakh, while the top- end variant goes for Rs 1.72 ;lakh in New Delhi. Higher versions of all cars have better margins, Debasis Ray, a Tata Motors spokesman, wrote in an e-mail response to Bloomberg questions. Shares Surge It isnt that the cheapest car sells the largest, said Pareek. There is a clear shift, and customers are not just buying the cheapest car. They are willing to spend a bit more. Maruti, the New Delhi-based unit of Japans Suzuki Motor Corp., has said it wont cut the price of the 800 to take on the Nano. Tata Motors was unchanged at Rs 345.7 at the close of trading in Mumbai today. The shares have more than doubled this year, and are the third-best performer in the benchmark Sensex index. Salaries in India will jump an average 8.2 per cent this year, after six successive annual increases of more than 10 per cent, human resource consultant Hewitt Associates Inc. said in February.

Toyota plans to introduce a small car in India in 2010, with an initial annual production target of 70,000 units, said Paul Nolasco, a company spokesman. The company hasnt disclosed the details of the car, he said. Toyota has an early prototype for a model that may be able to compete with the Nano, President Katsuaki Watanabe said in Detroit last year.

Tata Motors receives 2.3 lakh bookings for Nano Press Trust of India / New Delhi May 4, 2009, 19:28 IST

Tata Motors today said it has received over 2.03 lakh bookings for its Rs 1 lakh car Nano, garnering nearly Rs 2,500 crore. The bookings were double the allotted number of cars for delivery. Fully paid bookings were nearly Rs 2,500 crore, the company said. Out of the total bookings, 70 per cent were financed and the rest on application through cash payment. About 4,000 cash bookings were made online through www.Tatanano.com, it said. Out of the three variants of Nano, the base model Nano Standard accounted for 20 per cent, mid-range Nano Cx 30 per cent and the top end Nano Lx getting 50 percent of the booking. The bookings for Nano started on April 9 and closed on April 29. Tata Motors' special scheme for Nano BS Reporter / Kolkata April 9, 2009, 13:52 IST Tata Motors Finance (TMF), the financing arm of Tata Motors, today announced the launch of an attractive scheme for booking the much awaited Peoples Car The Nano. Salient feautures of the scheme include no upper limit on the number of cars to be booked through TMF, once the customers have submitted the forms a booking amount would be made to Tata Motors on behalf of the customers, applicants who have been allotted the car do not loose any amount except cost of the booking form and initial payments.

The scheme would be offered to partnership firms, private and public limited companies, trusts and HUF. To facilitate the booking process, multiple touch-points have been created all over the country. As part of the arrangement, TMF will be assisted by Tata Capital Limited, E-nxt Limited, Tata Motor dealers, Tata Securities outlets and all channel partners DSAs & Vendors to ensure wider distribution. The booking scheme offered by TMF will enable a customer to book the Nano by paying an amount starting Rs 3,199/- only for the base model. Announcing the scheme Shyam Mani, managing director of Tata Motors Finance said: It is our constant endeavor to provide the best of services to our customers. Keeping customer convenience in mind, we have designed this convenient one-stop scheme for booking the much awaited Nano. Our wide distribution network will ensure that discerning customers from all parts of the country will be able to participate in the booking process. Sale of application forms commenced on April 1, 2009 and acceptance of booking have started from today till 25 April, 2009. The application forms would be available at price of Rs 300, with a range of offers from select associate Tata Group companies. The application forms would be available at over 30,000 locations in about 1,000 cities through Tata Motors Passenger Car dealerships, State Bank of India and its branches, its subsidiaries and associates, other preferred financiers, and outlets of Westside, Croma, World of Titan and Tata Indicom exclusive stores along with Tata Motors Finance now.

Tata Nano may expand market by 65%: CRISIL 12 Jan 2008, 0349 hrs IST, TNN

Tata Nanos launch could expand the Indian car market by 65%, according to rating agency CRISIL. The low price makes the car affordable for families with incomes of Rs 1 lakh per annum, the agency said. The increase in the market is expected to push up car sales by 20% over the previous year. The unveiling of Tata Nano, the cheapest car in the world, triggers an important event in the car market. Based on the statement by company officials, CRISIL Research estimates the

consumer price of the car at around Rs 1.3 lakh. This brings down the cost of ownership of an entry level car in India by 30%, the company said in a report. CRISIL said the launch will prompt other players to enter the mini car category over the next few years. These launches will entice a section of two-wheeler owners (currently nearly 50 million) to upgrade to cars. CRISIL has prepared these estimates by projecting the income demographic transition pattern in India and the cost of ownership of existing and new entry-level cars. Given the shape of the income distribution pyramid in India, the new price point translates into a 65% increase in the number of families that can afford a car. At the significantly redefined threshold for car ownership in India, annual car sales have the potential to increase by 20% over the sales expected in 2007-08.

Will Tata Nano revolutionise personal transport? 11 Jan 2008, 0152 hrs IST, Pravin Palande & Ashish Kumar Mishra, TNN

His car may well spark a revolution on the streets. Will Tata Nano be the iPod of the car market or its Nirma? The iPod changed the MP3 device market and it did not really matter what the competition did. Nirma, in late 80s, handed out a beating to Hindustan Levers Wheel and created a new mass segment. Experts say Nano will perhaps be more Nirma than an iPod. They feel there wont be any spillovers in the car industry. Nano is expected to change the automobile market in India, which should ideally mean new strategies for competitors. This car is actually a bridge between the automobile market and the two-wheeler market, says Ranjit Shastri, MD, Psi, a consulting firm. This new market that Nano will create will not eat into the market of other car segments, but will affect the two-wheeler market drastically. The family two-wheeler, which is in the range of 75-125cc, costs Rs 35,000-50,000. This segment accounts for 92% of the two-wheeler market in terms of sales. With the launch of Nano, the spillover will happen from this two-wheeler market to Nano. Two-wheeler manufacturers have realised it and Bajaj Auto and Hero Honda are making plans to enter into this new segment.

Earlier, Maruti 800 has been the essential small car with a price tag of Rs 2 lakh and all aspiring car buyers have preferred it as their first car. Today, that may change to a certain extent. But this will in no way harm Maruti Suzuki or Hyundai Santro as owning a car is still aspirational and anyone who wanted to buy a car above the 3,400 mm series will continue to do so. Maruti 800 held a 30% market share in terms of sales in 2001 among all passenger cars. Today, it has fallen to a mere 5%. Maruti has laid stress on Alto while relegating 800 to the background, and it was a calculated move. Thus, they never wanted to be a part of the lower end segment of the car market. Same goes for Hyundai Santro. The launch of Nano creates a market for the small car which may allow competitors to enter this market with new models but should not harm their existing strategies. At most, Maruti may want to launch an exchange offer for 800 and give an attractive price for 800 buyers to migrate to Alto. They should then refurbish and put these used 800s in the market for Rs 70,000. This should act as a drag on some of the velocity that Nano is going to pick up, says Shastri. For other players, there are two strategies: First, get into this segment yourself. Second, cut down on operational expenses and make existing products available at a cheaper price. However, sudden price cuts will not be viable as a strategy. The competition will have to wait and watch how Nano is received, what all has gone into it to make it so affordable and then try and work a strategy around it. Even if Nano manages to convert 10% of existing the two-wheeler marketwhich is close to 900 millionNano will have almost 50% market share of the car market. But that is provided that Nano remains the only car in that segment. Chances are this will become the hotbed for competition.

All said and done A new strategy is required

The Blue Ocean Strategy

Red Ocean Compete in the existing market place Beat the competition Exploit existing demand Make the value cost trade off Differentiation or Low Cost

Blue Ocean Create unconsolidated market space Make the competition irrelevant Create and capture new demand Break the value-cost trade off Differentiation and Low Cost

Focus on the non-customers

___________________________________________ Chapter 3

RESEARCH METHODOLOGY & DATA COLLECTION

___________________________________________

Research Methodology Statement of Problem:

Study on Consumers Response towards Tata NANO

Title Justification: Study and Understand the consumer behaviour towards Tata NANO by conducting Primary Market Research. Also understanding the common mans perception, attitude and felling about the car.

Objective of the study:

The study has been under taken to analyse the customer satisfaction towards all variant of Tata Nano with a special reference to the Tata motors, the other objective are to gather information about customer satisfaction toward Nano

To gather information about customer satisfaction toward Nano. To know the customer perception about features, low maintenance cost and looks of the Tata Nano. To know the customer satisfaction about the safety and comfort provided by Nano. To provide suggestions, in improving the customer satisfaction and the company sales and profitability. To know the customer satisfaction towards the after sales service offers by Tata motors.

Research Design:
The research design that is followed for this project is a combination of the following:

Conclusive Quantitative Research Primary Quantitative & Qualitative Research Secondary Research Descriptive or Survey Research Design

Conclusive Quantitative Research is basically concerned with collecting Primary data by conducting market surveys. It Provides data on attitudes, feelings, beliefs, past and intended behaviors, knowledge, ownership, personal characteristic and other descriptive items.

Questionnaire Development and Pretesting:

Initially, a rough draft was prepared keeping in mind the objective of the research. A pilot study was done in order to know the accuracy of the questionnaire. The final questionnaire was arrived only after certain important changes were done. The questionnaire is divided into two sections, one pertains to the demographic information of the applicant and other pertains to his response towards the Tata Nano. All the questions are designed and framed keeping in mind the objective of the study and applicants comfort is also given utmost importance. Since, this project was basically a Conclusive Quantitative Research; the questionnaire for this project mainly had Close Ended Questions like Dichotomous & Multiple Choice Questions. Pre Testing: A Pilot study was conducted, by distributing it among friends and faculty members. Proper feedback of everyone was taken and accordingly necessary changes were made in the questionnaire. Please refer Annexure 1 for the Questionnaire.

Sampling Methodology:
Sampling Technique: The Sampling technique that has been used is Stratified Sampling. It is the process of grouping members of the population into relatively homogeneous subgroups before sampling called Strata. The strata should be mutually exclusive: every element in the population must be assigned to only one stratum. The strata should also be collectively exhaustive: no population element can be excluded. Then random sampling has been applied within each stratum. This has improved the representativeness of the sample by reducing sampling error. Strata were formed on basis of information like Age, Family Income, Gender and Car Status etc. Sampling Unit:

The sampling unit is the basic unit containing the elements of the population to be sampled. The respondents who were asked to fill out questionnaire are the sampling units. This compromised of people who were asked to fill the questionnaires who belonged to different stratas. Sample Size: The sample size was restricted to 200 only Sampling Area: The area of research was NCR. Most of the questionnaires were filled from areas like Qutab Institutional area, Patel Nagar, Saket (Select City Walk Mall), Gurgaon (Malls & Infinity Tower) etc

___________________________________________ Chapter 4

DATA ANALYISIS & INTERPRETATION

___________________________________________

ANALYSIS & INTERPRETATION

Data was collected with the help of a questionnaire that was filled from 200 respondents. Sample size was divided into various different categories based upon the Age, Gender, Marital Status, Occupation and Family Income Level. Stratified Sampling is applied in this project, where populations can be segregated into several mutually exclusive subpopulations, or strata. Strata were formed on basis of information like Age, Family Income, Gender and Car Status etc.

Demographic Analysis: Gender Wise Sample Distribution

Age Wise Sample Distribution

Marital Status Wise Sample Distribution

Occupation Wise Sample Distribution

Family Income Wise Sample Distribution

Tata Nano Specfic Analysis:

Do you own a Two-Wheeler or Four-Wheeler?

Response Only 2- Wheelers Only 4-Wheelers Both None

Absolute Number 28 54 112 6

Percentage 14% 27% 56% 3%

Will you consider Tata NANO while buying a car?

Response Yes No Cant Say

Absolute Number 164 26 10

Percentage 82% 13% 5%

What might be the purpose for buying Tata NANO? (Multiple selection Allowed)

Response Shifting from 2- Wheeler Small Car for Family The Brand that NANO is For New Drivers

Absolute Number 22 94 78 61

Percentage 11% 47% 39% 30.5%

The percentage is more than 100%, since multiple selections were allowed.

Which feature of Tata NANO attracts you the most? (Multiple selections allowed)

Response Price Design / Looks Mileage Interior Space

Absolute Number 158 46 72 22

Percentage 79% 23% 36% 11%

The percentage is more than 100%, since multiple selections were allowed.

Which all cars will you consider while buying Tata NANO? (Multiple selections allowed)

Response Maruti 800 Maruti Alto Chevrolet Spark Hyundai Santro Others

Absolute Number 140 110 52 56 18

Percentage 70% 55% 26% 28% 9%

The percentage is more than 100%, since multiple selections were allowed.

Will you prefer Second Hand Car over Tata NANO?

Response Yes No Cant Say

Absolute Number 114 52 34

Percentage 57% 26% 17%

How will you feel if NANO is used as an Auto/Taxi?

Response Dont Care Embarrassed Will Sell NANO Cant Say

Absolute Number 48 84 24 44

Percentage 24% 42% 12% 22%

If the price of NANO rises, Will that influence your decision?

Response Yes No Cant Say

Absolute Number 72 108 20

Percentage 36% 54% 10%

Does Gender influence Decision making: Gender Male Female Will you consider Tata Nano while buying a car? Yes No Cant Say 97 17 6 67 9 4

Does Age influence Decision making: Age 18-30 Years 30-40 Years 40-50 Years Above 50 Years Will you consider Tata Nano while buying a car? Yes No Cant Say 54 8 2 67 8 3 27 5 4 17 4 1

Does Marital Status influence Decision making: Marital Status Single Married Will you consider Tata Nano while buying a car? Yes No Cant Say 28 11 3 136 15 7

Does Occupation influence Decision making: Occupation House Wife Employed Student Will you consider Tata Nano while buying a car? Yes No Cant Say 25 8 3 121 8 5 18 10 2

Does Family Income influence Decision making:

Family Income <Rs.10000 Rs.10000-Rs. 20000 Rs. 20000-35000 Rs. 35000- 50000 > Rs. 50000

Will you consider Tata Nano while buying a car? Yes No Cant Say 3 7 0 15 0 1 30 2 2 98 7 5 18 10 2

Perceptual Mapping:
Perceptual mapping is a graphics technique used by marketers that attempts to visually display the perceptions of customers or potential customers. Typically the position of a product, product line, brand, or company is displayed relative to their competition. Perceptual maps can have any number of dimensions but the most common is two dimensions. Any more is a challenge to draw and confusing to interpret. The perceptual map below shows consumer perceptions of various automobiles on the two dimensions one of the dimensions is price of the car and the other dimension is the composite of design/looks, mileage and interior space. On the X axis we have the composite of design/looks, mileage and interior space (Quality) and on the Y axis we have Price of the car.

Price Expensive

Quality

Quality

Price - Cheap

Spa i rk NA 10 8 NO 0 0

___________________________________________ Chapter 5

CONCLUSIONS & RECOMMENDATIONS

___________________________________________

Conclusions
Target Market The target market for Tata Nano compromises of all those who own only a twowheeler and have an aspiration to own a four-wheeler one day. (Only 28 respondents owned only a Two-wheeler and out of those 28 respondents, 22 have shown interest in Tata Nano) New Drivers & people who have a liking towards small cars also come under Tata Nanos target customers.

USP Tata Nanos USP is its Price tag and the very fact that its a peoples car which is economical and affordable.

Closest Competitor Tata Nanos closest competitor is Maruti 800 followed by Maruti Alto. But the competition spectrum varies on the basis of the utility of the car and the reason behind customers decision.

Nano will also face tough time from Second hand car market.

Utility The usage of Tata Nano is either a Small family car used for short distances or the first car for those who are shifting from two-wheelers or the first car for new amateur drivers at home.

Future Tata Nanos future depends upon its Price tag because its USP is its price. A slight increase its price can create problems in the future. Other than this, Nanos future also depends upon its utility. Nano used as taxi can harm its brand image and disturb its customers sentiments.

Recommendations
Target Market Tata Motors shall continue with its emotional bonding marketing strategy and shall position Nano as common mans car. By doing so, Nano will be able to create a trust among its target audience.

USP Tata Nanos USP is its Price tag. Therefore, Tata Motors must ensure that it remains competitive in the future even if there are high rise in input cost. Otherwise it will be difficult for Nano to compete with its competitors.

Closest Competitor Tata Nanos closest competitor is Maruti 800 followed by Maruti Alto. Also, Nano will also face tough time from Second hand car market. Therefore, It should try to differentiate itself from its competitors. Currently, Nano is differentiating itself on the

price tag, but it also need to differentiate itself on its modern looks, Brand that nano has becomed over the period of time.

Future To sustain Nanos Brand, Company must ensure that Nano is not used as a taxi in future and its price are kept under control and are always competitive.

Some Extra Points o Nano must target Female customers o Nano must target Young Professionals and Aged People o Even HNIs also prefer Nano for various reasons

___________________________________________ Annexure 2

BIBLOGRAPHY
___________________________________________

Bibliography
Websites

http://tatanano.inservices.tatamotors.com/tatamotors/ http://marketingpractice.blogspot.com/2008/01/tata-nano-promise-is-promise.html http://sampadswain.com/2008/01/what-tatas-nano-apples-iphone-have-in-common/ http://nanocar.wordpress.com/2008/01/15/is-the-two-wheeler-segment-dreading-thenano-effect/ http://in.reuters.com/article/businessNews/idINIndia-31335720080110 http://www.businessweek.com/innovate/content/mar2009/id20090318_012120.htm http://www.vijaygovindarajan.com/2009/03/the_tata_nano_product_or_socia.htm

Other Material

Consumer Behaviour By Schiffman Leon G. & Kanuk Leslie Lazar Marketing Management By Philip Kotler Overdrive, Indias No.1 Car & Bike Magazine

Newspapers Economic Times Business Standard Mint

___________________________________________ Annexure 1

QUESTIONNAIRE
___________________________________________

Questionnaire
Personal Information: 1] Name of the respondent: ______________________________

2] Gender: Male: Female: 3] Age groups: 18-30 years: 30-40 years: 40- 50 years: Above 50 years: 4] Marital Status: Single: Married: 5] Occupation: House maker: Employed:

[ ] [ ]

[ ] [ ] [ ] [ ]

[ ] [ ]

[ ] [ ]

Student:

[ ]

6] Family Income per Month: <Rs.10000: [ ] Rs.10000-Rs. 20000: [ ] Rs. 20000-35000: Rs. 35000- 50000: > Rs. 50000: [ ] [ ] [ ]

1] Do you own a Two-Wheeler or Four-Wheeler? Only 2-Wheeler: Only 4-Wheeler: Both: None: [ ] [ ] [ ] [ ]

2] Will you consider Tata NANO while buying a car? Yes: No: Cant Say: [ ] [ ] [ ]

3] What might be the purpose for buying Tata NANO? (Multiple selections allowed) Shifting from 2-Wheeler: Small Car for Family: The Brand that NANO is: [ ] [ ] [ ]

For New Drivers (Children): [ ] Others: ____________________

4] Which feature of Tata NANO attracts you the most? (Multiple selections allowed) Price: [ ]

Design/Looks: Mileage: Interior Space:

[ ] [ ] [ ]

Others: ______________

5] Which all cars will you consider while buying Tata NANO? (Multiple selections allowed) Maruti 800: Maruti Alto: Chevrolet Spark: Hyundai Santo: [ ] [ ] [ ] [ ]

Others: ____________________

6] Will you prefer Second Hand Car over Tata NANO?

(1=Poor, 2=Satisfactory, 3= Good, 4= Very Good, 5= Excellent)

Price Tata Nano Maruti 800 Maruti Alto Chevrolet Spark Hyundai Santro Maruti WagonR Maruti Zen Estilo Hyundai i10

Design/Looks

Mileage

Interior Space

7] Will you prefer Second Hand Car over Tata NANO? Yes: No: Cant Say: [ ] [ ] [ ]

8] How will you feel if NANO is used as an Auto/Taxi? Dont Care: Embarrassed: Will sell NANO: Cant Say: [ ] [ ] [ ] [ ]

9] If the price of NANO rises, would you still purchase it? Yes: No: Cant Say: [ ] [ ] [ ]

10] Any Complaints, Suggestions & Recommendations regarding Tata NANO ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ [Thank You]