ACKNOWLEDGEMENT

I hereby take the opportunity to express my wholehearted thankfulness to all those who have
been helpful to me in the completion of this project.
 PREFACE

Project work is something that every commerce student should carry out seriously at
any organization irrespective of their topic they choose to do. This is a part of complete
commerce study and carrying out such a project work is necessary for the partial fulfillment
of B.COM (PA) course of KG College of Arts and Science.

Carrying and completing such a project work is not an easy task. One must be careful
before gathering the data required otherwise the very essence of the project will get lost in the
midway and the real and correct idea will remain unexposed before the reader.

I took my project in Marketing on Customer Satisfaction of Mercedes from sundaram

Motors, Coimbatore. I had tried to compile the clear picture regarding the level of brand
awareness, measure to increase and retain the brand awareness, and the advertising and the
promotional tools effective for enhancing the awareness level of the potential customers.

The project has played a significant role in my life in gaining knowledge in marketing
field. The information presented in this Project Report is obtained from sources like
Company Personnel, Company Websites, Other Websites, Company Reports, and Other
Literature.

OUR TEAM MEMBERS

 EXECUTIVE SUMMARY

It is necessary to have practical knowledge before doing any work because of todays
competitive world. Any organizations success depends upon availability of their products
and their services to the customer. Our project is based on the automobile company Mercedes
Benz and customer satisfaction of the customers towards the brand.

This project intends to give the complete profile of the automobile company Mercedes Benz
and customer satisfaction of the customers towards the brand. It consists of the research
carried out in the geographic area of Coimbatore. The name Mercedes Benz needs no
introduction for the car enthusiastic people. Ever since its foundation this name has been
associated with the world class brand of cars, trucks and buses. The two founding fathers, one
is Mr. Karl Benz who first founded this company in 1871 and the two others Mr. Gottlieb
Daimler and Mr. Wilhelm May Bach, who founded the division of Mercedes Benz called as
Daimler AG in 1890.The headquarters of the Mercedes Benz is located at Baden-
Wurttemberg and Stuttgart in Germany. Currently this company produces a wide range of
advanced luxury cars, trucks and buses in its manufacturing facilities, based all over the
world besides Germany.
 TABLE OF CONTENTS

CHAPTER 1 INTRODUCTION
1.1 Introduction to the study
1.2 Introduction to the industry
1.3 Introduction to the company
 CHAPTER 1

INTRODUCTION
 INTRODUCTION
1.1 INTRODUCTION TO THE STUDY:

As the 21st century approached, marketing become more attractive at the company,
state, national, International levels, in the early days, there was no difference between
selling and marketing. But today the difference between these two terms has been clearly
made in the present dynamic world. Marketing is recognized as the most significant activity
in our society.

The importance of marketing function in business management has grown significantly

during last two decades. This development has come about as a result of several factors such
as technology expanding world markets, changing international environment, increasing
consumer sophistication, keen competition and growing size and complexities of modern
business.

In Marketing, Customer Satisfaction is the buzzword used by the business people for the
success of organization in the present days. Due to the increases of heavy competition in
every product line it become difficult for the companies to retain the customers for longer
time. So retain the customer for longer time the marketer has to do only one things i.e.
customer satisfaction .If customer is fully satisfied by the product it not only rub the
organization successfully but also fetch many benefits for the company . They are less
process sensitive and they remain customer for a longer period. They buy addition products
overtimes as the company introduce related produce related products or improved, so
customer satisfactions is gaining a lot of importance in the present day. Every company is
conducting survey on customer satisfaction level on their products .To make the products up
to the satisfaction level of customers.

This project is also done to know the customers satisfaction level towards Mercedes-Benz.
The impact of automobile industry on the rest of the economy has been so pervasive and
momentous that is characterized as second industrial. It played a vital role in helping the
nation to produce higher value good and services and in the enhancing their skills and impose
tremendous demand for automobile. The decrease in the interest rate and easy available of
cars loans from 2 to 3 years, lot of car manufacturers company facing cut throat competition
in the fields of technology and price, So to gain the market share it is important for the
institutes to satisfy its customers and to retain the reputation and its image.
1.2 INTRODUCTION TO THE INDUSTRY:

The history of the automobile begins as early as 1769, with the creation of steam-
powered automobiles capable of human transport. The French engineer Nicolas Joseph
Cungnot is generally considered to have built the fist self-propelled vehicle in 1789. It was
heavy, three- wheeled, steam driven carriage with a boiler that projected in from and its top
speed approximately 5 km per hour.

In 1801 the English engineer Richard Trevithick also built a three wheeled, stream driven car.
This was rear- wheel drive car. Many more vehicles were developed in England and attempts
were made to operate them on regular schedulers. However, they were banned from the roads
and automobile development was retarded. The speed was limited to 4 miles per hour. In
1806, the first cars powered by internal combustion engines running on fuel gas appeared,
which led to the introduction in 1885 of the ubiquitous modern gasoline- or petrol-fueled
internal combustion engine. In accordance with the Red Flag Act, which was in effect from
1836 to 1896 a man was required by law to walk in front of a self propelled vehicle, carrying
a red flange by day and red lantern by night.

Cars powered by electricity briefly appeared at the turn of the 20th century but largely
disappeared from commonality until the turn of the 21st century, when interest in low- and
zero-emissions transportation was reignited. As such, the early history of the automobile can
be divided into a number of eras based on the prevalent method of automotive propulsion
during that time. Later periods were defined by trends in exterior styling and size and utility
preferences.

1.2.1 CURRENT TRENDS IN THE AUTOMOBILE INDUSTRY:

Widespread environment concerns that stem from the rapid and irreversible depletion
of fossil energy resources coupled with serious pollution hazards, have triggered a spate of
lobbying for stricter federal norms to take necessary corrective actions in the fight against
pollution. The maximum acceptable emission level for all road vehicles is constantly being
revised, with a view to compel the automobile industry to increase the pace of the
development of alternative fuel consumption vehicles, and to stop almost a century of total
reliance on fossil energy resources. The garnering of immense public support has only served
to convince the various automobile titans that ecofriendly is the way to go in order to
survive.

All these development have lead to the metamorphosis of a new concept, the alternate fuel
vehicles, (AFV) that run on fuels other than gasoline and diesel.

Some of the practical alternative fuels are:

Compressed Natural Gas (CNG)

Liquefied Propane Gas (LNG)
Liquefied Propane Gas (LPG)
Methanol (M 85 or 100)
Ethanol (E 85 or E 100)
Bio diesel or Soy diesel
Electricity
Hydrogen (Fuel Cell Vehicles)

The above mentioned alternative fuel vehicles are vehicles increasingly popular. The latest
statistics reveal that there are well around 3.75 million AFVs worldwide. The United States of
America has 980,000 AFVs vehicles.

1.2.2 RECENT TRENDS IN THE INDIAN AUTOMOBILE INDUSTRY:

Until recently, India has the dubious distinction of being the home of some of oldest
and least updated cars in the world. The Ambassador, from Hindustan motors is still in
production and bears the same features and styling as its first models, which Fiat rolled out in
themed 1950s these two cars initially revolutionized the Indian roads, but failed to keep pace
with the rapidly advancing technology and gradually become blight in the history of the
automobile in Indian. Both the Ambassador and the Fiat were notorious for not even
acknowledging customer grievances and were publicly scorned for continuing to produce age
old relics for the Indian consumer.
However, India opened up its economy and invited multinational corporations to partake in
its future. This cautious liberalization is reflected in the automobile industry, which has seen
an unprecedented growth rate in the last decade.

Undoubtedly, the firm which heralded the automobile revolution in India was Maruti Udyog
Limited and its Japanese partner Suzuki which introduced the Maruti 800 in India in 1985.
The original Maruti 800 was soon updated, and the new version became so successful that it
captured 85% of the market share, and was viewed as the car that established Maruti Udyog
Limited as a titan in the domestic passenger car segment.

This spectacular success story made global automobile giants look at India as a vast, virtually
untapped market with enormous potential. The 1990s saw a host of multinational companies
enter different segments in the Indian automobile industry. Rover from Britain brought
Montego in estate and saloon guise to replace its standard 2000 model. Peugeot, the French
car giant launched the 309 in the mid-size car segment. Italian car manufacturer Fiat
introduced the Uno in the lucrative small car segment. Mercedes Benz also entered India with
its luxury E230 and E250 D models.

Global players like Skoda, Volkswagon, Renault, Toyota, B.M.W. and other automobiles
heavyweights are closely monitoring the Indian market due to its strategic importance in the
Asian sector.

1.3 INTRODUCTION TO THE COMPANY:

Mercedes- Benz India Limited (MBIL) is a 100% subsidiary of the Daimler AG and
one of the first auto joint ventures set up in India. Mercedes Benzs relationship with India
dates back to 1950s when the company introduced trucks into India with local collaboration.
The company entered the India market and set up Mercedes Benz-India in 1994.
Mercedes- Benz India Limited was launched in 1995. It is a joint venture between the DM
124-billion Benz Ag and RS 10,073 crores Tata engineering and Locomotive Co.(Telco).The
company is headed by Dr. Till Breaker de freitas from Pune,Maharashtra.

In line with Daimler Chryslers corporate philosophy, Mercedes- Benz India Limited was
rechristened Daimler Chrysler India Private Ltd. It ahs long term commitment to the Indian
market and has full support of its partner company for its future plans in India. Daimler
Chrysler is well aware of the future potential of the Indian automobile market and the
tremendous economic power the country can generate. The company is targeting 25% of the
total turnover from Asia.

Mercedes- Benz has been associated with India for more than 50 years Presently, Mercedes
=Benz Indias engagement in India covers several domains:

Local production of Mercedes- Benz cars

Making available imported Mercedes Benz cars

Commercial vehicle operations

Global sourcing of auto components

Captive research and development

Mercedes Benz is also involved with social-oriented programs like:

Bio fuel from Jatropha

Road safety project for children

Automotive education

1.3.1 PROFILE OF SUNDARAM MOTORS:

Sundaram Motors started its Mercedes-Benz dealership in Karnataka in the year 2001
and in TN in the year 2002. TVS group is known for the solid and widely acclaimed lineage
of trust, value and service. Sundaram Motors believes in total customer satisfaction and
constantly strives to improve quality standards to achieve excellence. As part of its business
philosophy, Sundaram Motors inculcates these values in its employees continuously.

Sundaram Motors is known for its customer centric approach and is a true "One-Stop-Shop"
for customers' automotive needs.

Showrooms at all locations have been aesthetically designed to offer a truly world class
ambience to their customers in their pursuit to own the latest range of cars from the
Mercedes-Benz stable on display.
1.3.2 CUSTOMER RELATIONSHIP MARKETING:

Mercedes Benz India has developed a world class dealer network across the country
with presence in 30 cities. Daimler Chrysler India has dedicated network of Mercedes- Benz
authorized dealerships comprising of 15 Mercedes- Benz showrooms and 17 service
workshops all across India. The company implemented the Mercedes-Benz Retail Operating
System which ensures that all Mercedes- Benz dealerships follow standardized retail
operating procedures and deliver high standards of service to the customers. The right
atmosphere, aesthetic product presentations and qualified sales personnel who know exactly
what a customer is looking for makes buying Mercedes vehicle at a Mercedes- Benz
showroom a truly unique experience.

CRM as a tool was used to create positive word-of-mouth, to monitor customer experiences
and generate referrals. A series of CRM activities were implemented with regular direct
communication, events and customer satisfaction surveys, Events, Festive offers, Rewards
Program, etc.

1.3.3 PRODUCT PROFILE:

 In the last two years, Daimler Chrysler India has extended the product range to the
maximum possible, offering the exclusive customers a variety of Mercedes- Benz products.
The company has been a main contributor to the expansion of the luxury vehicle segment in
the Indian market. In January 2000, the company introduced Mercedes-Benz E-Class (W
210) petrol and E 220CDI Diesels versions with a number of unique additional features.

In addition to the companys own manufactured range the Mercedes-Benz S-Class, E-Class
and C-Class, Daimler Chrysler India has further expanded the product range to make variety
of imported vehicles like Mercedes-Benz S-Class, M-Class, SLK, etc. available to discerning
Mercedes Benz customers.

The market trend in India in the last couple to years reflects a clear shift in customer
preference to words the latest technology, safely, comfort and environmental compatibility.
Keeping this is mind; Daimler Chrysler India has been following the product extension
stringy with total commitment and offering the latest and most sophisticated technology

MODEL/CLASS: REVIEWS

C-Class:

The C-Class is a pleasure to behold: its taut

lines lend it an air of effortless superiority

while the wide radiator grille and

distinctive rear section announce a vehicle

with dynamic personality.

CL-Class:

The shape of the CL-Class Coupe is typical

Mercedes-Benz Breathtakingly elegant

and dynamic. This is particularly true of

the new V 8-engine Cl 500 with 285 KW

(388 hp) and engine CL 600 with 380 kW

(517 hp) and an 830 Nm torque rating.

CLS-Class:

The CLS-Class is a dream coupe with four

doors, the elegant curves of its sleek

roofline stretching between the long front

and rear overhangs. The CLS- Class is a

8unique synthesis of design and driving

pleasure.

E-Class:

The E-Class is a byword for comfort,

safety and elegance. Comfort of the highest

order is a defining attribute of the E-Class.

M-Class:

For the M-Class, comfort is more than just

an opulent interior, the 7 G-TRONIC

automatic transmission, with seven forward

gears the transmission delivers excellent a

acceleration and low fuel consumption.

S-Class:

The S-Class is an attitude, an aspiration, a

way of seeing things, in terms of

innovative technology, the S-Class has

always played a SAFE(R)- the S-Class has

set trends which the rest of the car industry

has followed

SLK-Class:

The SLK- Class shows a great deal of

respect for the legendary racing car. The

SLK is the worlds best selling roadster

in its class. The unique AIRSCARF ensures

that SLK drivers can enjoy the top -down

sensation. And its arrow =Shaped body just

oozes classic sports car design.

A A Class:

The A-Class is a ground breaking car and

after seven years in production, Mercedes

Benz sold over 1.1- million units of the

model. The all-new A-Class is available

with a choice of six engines (3 petrol and 3

diesel and in Classic, Classic SE, Elegance

Se and Avant- Garde SE trim levels.

 CHAPTER 2

LITERATURE
REVIEW
 OPERATIONAL CHALLENGES IN THE AUTOMOBILE

INDUSTRY: A critical review of literature

2.1 INTRODUCTION:

The critical time and effort put into keeping up with scheduled maintenance can save
customers money in the long run. There are procedures and checks that the car needs at
varying intervals. All vehicle manufacturers have developed a maintenance schedule and
service intervals that are specific to each car model, however, many times it is difficult to
follow regular maintenance checklists. Regular maintenance of vehicles is vital to obtain
optimum performance for longer duration.

2.2 METHODOLOGY:

The literature review was carried out to identify the previous research efforts and
directions related to the main area of this research. The objective was to identify the research
gaps. This review presents the underlying pattern of evolution of thoughts and ideas in the
selected domain i.e. automobile service sector. Similarly, to the extent possible, care was
taken to reproduce the original terminology used by the authors, to preserve the originality of
the views. The literature review addressed various issues encompassing the field of
service quality evaluation, especially in relation to automobile sector; however, related and
relevant literature was also used for theorization, so that the conclusions of this study would
be more reliable as well as valid. This chapter is an effort of deductive reasoning
methodology that was carried out to identify various issues encompassing the service quality
in automobile sector.

2.3 AUTOMOBILE SECTOR - SERVICE QUALITY

Ruyter (1997) have reported that service quality should be treated as an

antecedent of service satisfaction. Goodale et al., (1997) analyzed the perceptual
linkages between empowerment and employees' perceptions of the service quality that they
are able to provide for the organization. Authors reported that the intrinsic rewards for
and the extent to which service providers believe members of the organization value
exceptional customer service (i.e., a service quality culture exists in the firm) had a strong,
positive relationship with perceptions of service quality. Andaleeb and Basu (1998) studied
the relationship between customers' overall evaluation of service quality. The findings
indicated that the empathy demonstrated by the service provider was important only when the
service was not under warranty. Fairness and reliability were found to be important when
there was no warranty and their effects were heightened by the presence of
warranty. The influence of responsiveness and convenience were significant and
remained the same for products with or without warranty.

2.4 CUSTOMER SATISFACTION:

Brown and Lam (2008) reported that there is strong relationship between employee job

satisfaction and customer satisfaction and perceived service quality. Authors used path

analytic model and concluded that customer-perceived service quality

completely mediates the relationship between employee job satisfaction and customer

satisfaction. Dabholkar and Abston (2008) have proposed a conceptual framework that

highlights the role of internal marketing as a tool for enhancing the competitive advantage

gained by strategically considering the customer contact employee's role as external

customer, which ensures customer satisfaction. Adela (2009) reported that every

company and every team is concerned today about the service quality in automotive

industries because of there is a perfect correlation between the level of the first time service

quality and customer loyalty.

2.5 CONCLUSION:

Service quality is the backbone of automobile sector. The growth of this sector has
seen tremendous association with the innovative measures taken by the industry to manage
and improve the service quality. The phenomenon of globalization has made the industries
view customer satisfaction in entirely new way. Those industries, which have given this
aspect (customer satisfaction) its due importance have witnessed sustainable
improvements in their bottom line.
 CHAPTER 3

OBJECTIVE OF THE
STUDY

OBJECTIVE OF THE STUDY

2.1 OBJECTIVE OF THE STUDY:

The study has been under taken to analyze the customer satisfaction towards
Mercedes-Benz in Coimbatore with a special reference to the Sundaram motors, the
following are the objectives of the study:

To gather information about customer satisfaction toward Mercedes-Benz in the

geographic region of Coimbatore.

To know the customer perception about features, maintenance cost and looks of cars
of Mercedes-Benz.

To know the customer satisfaction about the safety and comfort provided by the cars
of Mercedes-Benz.

To provide suggestions, in improving the customer satisfaction and the company sales
and profitability.

To find the popularity of Mercedes Benz.

To analyze the factors which in influence their decisions

To know the customer satisfaction towards the after sales services offers by Mercedes-
Benz.

2.2 SCOPE OF THE STUDY:

The study is based on the market survey conducted for Sundaram Motors in
Coimbatore city. The main scope of Mercedes Benz is as follows:

The scope of study is limited to the respondents are selected from in and around
Coimbatore.

The project is carried out for the period of 8 weeks only.

 Measurement of customer satisfaction is complex subjects, which uses non-objectives
method, which is not reliable.

The sample unit was also 100 respondents.

However, Mercedes-Benz showrooms are located in other places i.e. locally and even
in the neighboring states. Only opinion of respondents of New Delhi was consider for
finding out the opinions of respondents.

CHAPTER 4

RESEARCH
METHODOLOGY
 RESEARCH METHODOLOGY
4.1 INTRODUCTION TO THE STUDY:

This chapter aims to understand the research methodology establishing a framework

of evaluation and revaluation of primary and secondary research. The techniques and
concepts used during primary research in order to arrive at findings; which are also dealt with
and lead to a logical deduction towards the analysis and results. This study is based on
customer satisfaction of Mercedes Benz in India.

4.2 STATEMENT OF PROBLEM:

In the automobile sector, four wheelers play a vital role and contribute to the
economic growth of the country. The characteristics and nature of the India are very difficult
to understand and the defined population of the country has been divided in to different social
classes, namely high class, middle class, and lower class, As four wheelers are owned by the
upper middle class and higher- class people, the present study tries to analyze the opinions of
the customer, why they prefer particular service center for getting their car serviced repaired.

4.3 NEED OF THE STUDY:

There are many players in the market namely Sundaram Motors and Mercedes Auto
Hence customers have many choices. The need of the study was to determine the consumers
mindset towards present Mercedes Benz care and its service.

1. It is necessary to know the responses of the consumers regarding the service expenses,
quality of work, performance etc. of the service center which they prefer.
2. It is important to know the trend awareness of customers towards the service center, which
they prefer.

3. It is necessary to know the present competition to T & T Motors so that company can upgrade
its product and marketing strategies.

4. It is necessary to know the desire of the customer, what they expect from the service center
and what steps should be taken by the service center to fulfill the expectations of its
customers.

4.4 RESEARCH METHODOLOGY OF THE STUDY:

4.4.1 RESEARCH METHODOLOGY:

A research process consists of stages or steps that guide the project from its
conception through the final analysis, recommendations and ultimate actions. The research
process provides a systematic, planned approach to the research project and ensures that all
aspects of the research project are consistent with each other.

Research studies evolve through a series of steps, each representing the answer to a key
question.
4.4.2 RESEARCH DESIGN

I propose to first conduct a intensive secondary research to understand the full impact
and implication of the industry, to review and critique the industry norms and reports, on
which certain issues shall be selected, which I feel remain unanswered or liable to change,
this shall be further taken up in the next stage of exploratory research. This stage shall help
me to restrict and select only the important question and issue, which inhabit growth and
segmentation in the industry.
The various tasks that I have undertaken in the research design process are :
Defining the information need.
Design the exploratory, descriptive and causal research.

4.4.3 RESEARCH PROCESS

The research process has four distinct yet interrelated steps for research analysis
It has a logical and hierarchical ordering:
Determination of information research problem.
Development of appropriate research design.
Execution of research design.
Communication of results.
Each step is viewed as a separate process that includes a combination of task , step and
specific procedure. The steps undertake are logical, objective, systematic, reliable, valid,
impersonal and ongoing.

4.5 SOURCE OF DATA:

The main sources of data are as follows:

4.5.1 PRIMARY DATA:

New data gathered to help solve the problem at hand. As compared to secondary data
which is previously gathered data. An example is information gathered by a questionnaire.
Qualitative or quantitative data that are newly collected in the course of research, Consists of
original information that comes from people and includes information gathered from surveys,
focus groups, independent observations and test results. Data gathered by the researcher in
the act of conducting research. This is contrasted to secondary data, which entails the use of
data gathered by someone other than the researcher information that is obtained directly from
first-hand sources by means of surveys, observation or experimentation.
Primary data is basically collected by getting questionnaire filled by the respondents.

4.5.2 SECONDARY DATA:

Information that already exists somewhere, has been collected for another purpose.
Sources include census reports, trade publications, and subscription services. There are two
types of secondary data: internal and external secondary data. Information compiled inside or
outside the organization for some purpose other than the current investigation Researching
information, which has already been published? Market information compiled for purposes
other than the current research effort; it can be internal data, such as existing sales-tracking
information, or it can be research conducted by someone else, such as a market research
company or the U.S. government.
Secondary source of data used consists of books and websites
My proposal is to first conduct a intensive secondary research to understand the full impact
and implication of the industry, to review and critique the industry norms and reports, on
which certain issues shall be selected, which I feel remain unanswered or liable to change,
this shall be further taken up in the next stage of exploratory research.

4.6 DESCRIPTIVE RESEARCH:

The following are the steps in the descriptive research:

Statement of the problem

Identification of information needed to solve the problem

Selection or development of instruments for gathering the information

Identification of target population and determination of sampling Plan.

Design of procedure for information collection

Collection of information

Analysis of information

Generalizations and/or predictions

4.7
DATA COLLECTION:

Data collection took place with the help of filling of questionnaires. The questionnaire
method has come to the more widely used and economical means of data collection. The
common factor in all varieties of the questionnaire method is this reliance on verbal responses
to questions, written or oral. I found it essential to make sure the questionnaire was easy to
read and understand to all spectrums of people in the sample. It was also important as
researcher to respect the samples time and energy hence the questionnaire was designed in
such a way, that its administration would not exceed 4-5 mins. These questionnaires were
personally administered.

The first hand information was collected by making the people fill the questionnaires. The
primary data collected by directly interacting with the people. The respondents were
contacted at shopping malls, markets, places that were near to showrooms of the consumer
durable products etc. The data was collected by interacting with 200 respondents who filled
the questionnaires and gave me the required necessary information. The respondents
consisted of housewives, students, businessmen, professionals etc. the required information
was collected by directly interacting with these respondents.

4.8 DETERMINATION OF SAMPLE PLAN AND SIZE:

4.8.1 TARGET POPULATION:

It is a description of the characteristics of that group of people from whom a course is
intended. It attempts to describe them as they are rather than as the describer would like them
to be. Also called the audience to be served by our project includes key demographic
information (i.e.; age, sex etc.).The specific population intended as beneficiaries of a
program. This will be either all or a subset of potential users, such as adolescents, women,
rural residents, or the residents of a particular geographic area. Topic areas: Governance,
Accountability and Evaluation, Operations Management and Leadership. A population to be
reached through some action or intervention; may refer to groups with specific demographic
or geographic characteristics. The group of people you are trying to reach with a particular
strategy or activity. The target population is the population I want to make conclude an ideal
situation; the sampling frames to matches the target population. A specific resource set that is
the object or target of investigation. The audience defined in age, background, ability, and
preferences, among other things, for which a given course of instruction is intended.
I have selected the sample through Simple random Sampling

4.8.2 SAMPLING FRAME:

 This involves figuring out how many samples one need. The numbers of samples you
need are affected by the following factors:

Project goals

How you plan to analyze your data?

How variable your data are or are likely to be?

How precisely you want to measure change or trend?

The number of years over which you want to detect a trend?

How many times a year you will sample each point?

How much money and manpower you have?

4.8.3 SAMPLE SIZE:

I have targeted 100 people in the age group above 20 years for the purpose of the
research. The target population influences the sample size. The target population represents
the Coimbatore regions. . The people were from different professional backgrounds.
The details of our sample are explained in chapter named primary research where the
divisions are explained in demographics section.

4.9 ERRORS IN THE STUDY

INTERVIEWER ERROR

There is interviewer bias in the questionnaire method. Open-ended questions can be

biased by the interviewers views or probing, as interviewers are guiding the respondent
while the questionnaire is being filled out. The attitudes the interviewer revels to the
respondent during the interview can greatly affect their level of interest and willingness to
answer openly. As interviewers, probing and clarifications maximize respondent
understanding and yield complete answers, these advantages are offset by the problems of
prestige seeking, social desirability and courtesy biases.

QUESTIONNAIRE ERROR
 The questionnaire designing has to careful so that only required data is concisely
reveled and there is no redundant data generated. The questions have to be worded carefully
so that the questions are not loaded and does not lead to a bias in the respondents mind

RESPONDENT ERROR

The respondents selected to be interviewed were not always available and willing to
co operate also in most cases the respondents were found to not have the knowledge,
opinion, attitudes or facts required additionally uninformed response errors and response
styles also led to survey error.

SAMPLING ERROR

We have taken the sample size of 150, which cannot determine the buying behavior of
the total population. The sample has been drawn from only National Capital Region.

4.10 LIMITATIONS OF THE STUDY:

Despite all possible efforts to make analysis more compressive and scientific, a study of the
present kind is bound to have certain limitations. The present study is an empirical work
presented in a descriptive manner.

Since the objective to the study will meet this kind of analysis, no attempt has been made to
provide a conceptual analysis. However the role of automobile in the development of the
economy and future prospects have been rightly understood and explained.

There are always certain limitations of interview method, observation technique and
questionnaire method. Due to time constraints and other supporting factors the study has been
limited only to the customers of Sundaram Motors (Mercedes Benz) service center, Further it
is inevitable in a study of this kind that time analysis has to be done based on the opinion and
attitudes of the dealers. In such cases the results at best re near to truth. However an honest
attempt has been made to report and analyze the opinions of the dealer.
CHAPTER 5
 DATA ANALYSIS
AND
INTERPRETATION
Table 5.1 showing the overall experience of customers with Mercedes-Benz car

Sample Size Delighted Satisfactory Unsatisfactory

No. of 65 30 5
Respondents
Percentage 65 30 5

Source: Primary Data

Analysis

Out of 100 respondents, 65 are delighted with their experience of Mercedes Benz car,
followed by 30 respondents who are satisfied with their Mercedes Benz car and there are only
5 customers who are unsatisfied with their car.
 Graph No. 5.1: Distribution showing the overall experience of customers with
Mercedes-Benz car

80

70

60

50

40

30

20

10

0
Delighted Satisfactory Unsatisfactory

Interference:

65% of the customers are delighted with their experience of Mercedes Benz car, followed by
30% respondents who are satisfied with their Mercedes Benz car and there are only 5%
customers who are unsatisfied with their car.
Table 5.2 Showing the method of payment

Sample size Cash Finance Lease

No. of 6 68 26
Respondents

Percentage 6 68 26

Source: Primary Data

Analysis

68 of the respondents purchased the car through finance, followed by 26 respondents who
purchased the car through lease. Only 6 respondents purchased the car by paying cash.
 Graph No. 5.2: Distribution showing the Method of Payment

Interference:

Most of the owners brought the car through finance (68%) followed by taking lease (26%)
and cash purchase (6%). MBIL should arrange a more convenient method for obtaining
finance for its car in order to increase the sales.
Table 5.3 Showing the factors influencing the respondents decision while
purchasing the car

Sample size Self Spouse Children Friends /

Relatives

No. of 44 22 0 34
Respondents

Percentage 44 22 0 34

Source: Primary Data

Analysis

Out of the 100 respondents, 44 respondents make their own decision to buy the car;
their friends and relatives influence the decision of 34 respondents. Only 22 of the
respondents decision to purchase the car are influenced by their spouse.
 Graph No. 5.3: Distribution showing factors influencing the purchase decision

50

40

30

20

10

0
Self Spouse Children Friends/Relatives

Interference:

Most of the Mercedes Benz car owners took their own decision to buy the car themselves
(44%). Some of them are influenced by their friends and relatives (34%). And only 22% of
them are influenced by their family to buy a car.
Table 5.4 showing how the customer sees a Mercedes-Benz Car

Sample Size Family Car Corporate Car Executive Car

No. of 26 20 54
Respondents

Percentage 26 20 54

Source: Primary Data

Analysis
 Out of the 100 respondents, 54 respondents received saw Mercedes Benz as an executive car,
followed by 36 respondents who saw it as a family car. 20 respondents saw it as a family
car.Graph No. 5.4: Distribution showing the sources of information

70

60

50

40

30

20

10

0
Family Car Corporate Car Executive Car

Interference:

54% of the customers saw Mercedes Benz car as an executive car followed by 26% of the
customers who saw it as a family.20% of the customers saw it as a corporate car.
Table 5.5 showing the efficiency of servicing facilities of Mercedes-Benz Delhi

Sample size Excellent Good Average Poor

No. of 52 34 10 4
Respondents

Percentage 52 34 10 4

Source: Primary Data

Analysis

Out of the 100 respondents, 56 respondents felt that Mercedes Benz has excellent servicing
facilities, followed by 34 respondents expressing good servicing facilities. 10 respondents felt
that the servicing facilities were average and 4 respondents felt that the servicing facilities
were poor.
 Graph No. 5.5: Distribution showing availability of spare parts

60

50

40

30

20

10

0
Excellent Good Average Poor

Interference:

Most of the owners expressed the term excellent regarding the servicing facilities of
Mercedes-Benz (52%), followed by good (34%) and average (10%). However 4% of the
respondents/owners expressed the term poor. Mercedes-Benz needs to rectify this by
providing better servicing facilities to its customers at fair prices.
Table 5.6 showing the availability of spare parts for Mercedes-Benz Coimbatore

Sample size Excellent Good Average Poor

No. of 46 34 14 6
Respondents

Percentage 46 34 14 6

Source: Primary Data

Analysis

Out of the 100 respondents, 46 respondents felt that Mercedes Benz has excellent availability
of spare parts, followed by 34 respondents expressing good availability of spare parts. 14
respondents felt that the availability of spare parts was average and 6 respondents felt that the
availability of spare parts was poor.
 Graph No. 5.6: Distribution showing availability of spare parts

60

50

40

30

20

10

0
Excellent Good Average Poor

Interference:

Most of the owners expressed the term excellent regarding the availability of spare parts for
Mercedes-Benz (46%), followed by good (34%) and average (14%). However 6% of the
respondents/owners expressed the term poor. Mercedes-Benz needs to rectify this by
providing spare parts promptly to its customers at fair prices.
Table 5.7 showing the cost of spare parts of Mercedes-Benz

Sample size High Reasonable

No. of 40 60
Respondents

Percentage 40 60

Source: Primary Data

Analysis

60 out of the 100 respondents / owners expressed their satisfaction regarding the cost of spare
parts for the car. 40 respondents felt that the cost of spare parts is high. MBIL should
communicate the quality of its spare parts to eliminate the conception of high price among its
customers.
Graph No. 5.7: Distribution showing the cost of spare parts

Interference:

Most of the owners expressed their satisfaction regarding the cost of spare parts for the car
(60%). However some of the respondents felt that the cost of spare parts is high (40%). MBIL
should communicate the quality of its spare parts to eliminate the conception of high price
among its customers.
Table 5.8 showing the source of information about Mercedes-Benz Car

Sample Size Print Media Visual Media Outdoor Others

No. of 36 0 10 54
Respondents

Percentage 36 0 10 54

Source: Primary Data

Analysis

Out of the 100 respondents, 54 respondents received information regarding Mercedes Benz
from friends, relatives and other sources, followed by 36 respondents who received the
information through print media. Only 10 respondents received the information from outdoor
media. However no respondents received information from visual media.
 Graph No. 5.8: Distribution showing the sources of information

70

60

50

40

30

20

10

0
Print Media Visual Media Outdoor Others

Interference:

The first source of information for Mercedes-Benz car owners is through friends, relatives
and other sources (54%), followed by print media (36%) and outdoor media (10%) MBIL
should give more importance to visual media to communicate with its customers by focusing
on the advertising media.
Table 5.9 showing the promotion strategy of Mercedes-Benz in Coimbatore

Sample size Excellent Good Average Poor

No. of 8 20 44 28
Respondents

Percentage 8 20 44 28

Source: Primary Data

Analysis

Although the present customers have no interest in the promotion strategy of Mercedes-Benz
in Delhi but the survey figure is not satisfactory. MBIL should give more importance on its
promotion strategy that should include the satisfied customers also.
Graph No. 5.9: Distribution showing the promotion strategy

60

50

40

30

20

10

0
Excellent Good Average Poor

Interference:

8% of the respondents felt that the promotion that the promotion strategy of Mercedes Benz
was excellent, followed by 20% who felt it was good and 44% felt that the promotion
strategy was average. Whoever 28% felt that the promotion strategy was average. However
28% felt that the promotion strategy was poor.
Table 5.10 showing the Comparison between a Mercedes-Benz car and an imported
luxury car

Sample size Excellent Better Good Poor

No. of 34 46 20 0
Respondents

Percentage 34 46 20 0

Source: Primary Data

Analysis

Out of 100 respondents, 34 respondents felt that Mercedes Benz car was excellent, followed
by 46 respondents who expressed the Mercedes Benz car was better. 20 respondents felt
although the Mercedes Benz car was good it was at par with the imported luxury car. None of
the respondents felt that Mercedes Benz car was poor or worse than the imported luxury car.
Graph No. 5.10: Distribution showing the comparison between Mercedes Benz Car and
an imported luxury car

60

50

40

30

20

10

0
Excellent Good Average Poor

Interference:

34% of the respondents felt that Mercedes Benz car was excellent, followed by 46% who
expressed that Mercedes Benz car was better. 20% of the respondents felt although the
Mercedes Benz car was good it was at par with the imported luxury car. None of the
respondents felt that Mercedes Benz car was poor.
 CHAPTER 6

SUGGESTIONS
&
RECOMMENDATION
SUGGESTIONS:

After collecting the data from various sources and analysis of the findings, the
suggestions and recommendations are given below:

1. The service augmentation and service quality play an extremely important and
pivotal role in overall customer satisfaction For this purpose the company can adopt
the following measures:

To take reasonable time of servicing.

To keep an inventory of spare parts to serve the customer promptly.

To give free wash every time the customer comes in for a service.

2. The company should adopt an aggressive promotional strategy its market segment to
keep ahead of the competitors. The company can undertake the following activities

To arrange the grand Mercedes-Benz rally; this will get massive coverage in all
leading newspapers and car magazines.

To advertise in all leading newspapers, car magazines and auto journals.

To sponsor a Golf Tournament at the Delhi Golf club.

To make a giant Mercedes-Benz model on the road to the airport and other
important landmark.

To sponsor a cultural program or fashion show in a five star hotel.

To telecast T.V advertisements.

3. The company can launch a number of new products and create a new segment for the
product in the market.

4. The company can enhance its indigenization level to cut costs.

5. The company can provide a finance counter in the showroom to ensure easy
availability of finance to the customers.

6. The company can organize a Mercedes-Benz club. For this purpose the company can
do the following things:

To arrange rallies, among owners and enthusiasts.

Arrange various cultural and fashion programs.

To send a greeting card and flowers on the customers birthday and anniversary.

To arrange an annual meeting of all Mercedes-Benz owners as this will enhance

interaction among them.

7. Although the price of a Mercedes Benz Car is very high, the company is planning of
launch other categories/models with lower price targeted at a younger market
segment.
 CHAPTER 7

CONCLUSIONS
CONCLUSIONS:

Mercedes-Benz is an established company and well known company. After the market survey
and analysis, following are the conclusions regarding customer satisfaction and the marketing
strategy of the company

1. The brand image of the company is excellent. Mercedes Benz enjoys a better
reputation than all of its competitors.

2. In all aspects of customer satisfaction, the company is way ahead of the competition
and the industry average.

3. Mercedes Benz is an environmentally conscious company and is a pioneer in the

research and development of alternate technologies and fuels. Mercedes Benz is also
involved with social-oriented programs like:

Bio fuel from Jatropha

Road safety project for children

Automotive education

4. The product quality of the company is of the highest standard in the industry. It
follows the stringiest quality control measures.

5. Its safety measures and technical performance are benchmarks in the industry.

Although Mercedes Benz is a leading car manufacturer, the company faces certain challenges
and problems in terms of its pricing and promotion strategy. The company needs to overcome
these challenges in order to be even more successful in target market segment. Some of the
challenges faced by the Company are:

1. Lack of indigenization level leads to high price of its products. Mercedes Benz needs
to considerably reduce the costs at all levels of production and distribution.
2. The promotional strategy is not aggressive enough as compared to the competitors.
Mercedes Benz has no advertisements on the T.V. or the radio.

3. The company as only a limited number of dealers and service stations in the country.
As a result the company is at disadvantage as compared to some of its competitor,
who QW2S3333 has a widespread network of dealers and service stations across the
country.

In conclusion I would say that the brand Mercedes Benz is quite known to peoples.
Mercedes Benz has built its customer satisfaction among a relatively large number of people
in an around Coimbatore. The customers are aware largely of the product with the help of
Television and the product still has a way to increase its advertising channels to reach the
relatively large number of people. Most of the customers are satisfied with the features and
services of Mercedes Benz but there is always a scope of improvement in every field.
 CHAPTER 8

ANNEXURE