Research REPORT ON UNDER PERFORMANCE OF YAMHA MOTOR IN 100-150CC BIKES CATAGORY
WROKSHOP ON RESERCH METHODOLOGY
Name of Student-
Course
Section-
Roll
Number-
Mobile
No.-
E-mail ID-
soumen jana. MBA c (2nd Sem)
58 09379824222
[email protected] [email protected] om
Submitted to Prof. Surendar Prakash
Table of Content Topic 1.Executive summary 2.Problem Statement
a)Background b)Problem c)Proposal 3.Objectives 4.Hypothesis 5.Methodology a)Data collection b)Data sampling c)Data analysis 6.Findings 7.Limitation 8.Conclusion & Recommendation 9.Bibliography
Page 1-2 3 4-7 8 8 9 10 11 12 13 14-29 30 31 32-33 34
ACKNOWLEDGEMENT
I express my sincere gratitude to my industry guide MR. Vivek Sharda Marketing Marketing Manager Manager INDI for his his able able guid guidan ance ce,, INDIA A YAMAHA YAMAHA MOTOR MOTORS S, for contin continuou uouss suppor supportt and cooper cooperati ation on throug throughou houtt my projec project, t, withou withoutt which which the present work would not have been possible.
I would also like to thank all INDIA YAMAHA DEALERS in Bangalore, for the constant support and help in the successful completion of my m y project.
Also, I am thankful to my faculty guide Prof. Surendar Prakash of my institute (IIBS), for his continued guidance and invaluable encouragement. One more thing we want to share that we have learnt a lot while doing this project, e.g. e.g. we have have met met with with a larg largee numb number er of peop people le,, havi having ng diffe differe rent nt beha behavi vior ors, s, different perceptions, different thinking, different way of talking and many more, and from them we have really learnt a lot. And also we have enjoyed a lot while doing this project.
SOUMEN JANA MBA II Sem.
Page: 1
EXECUTIVE SUMMARY
This research is a hypothesized study which was conducted to measure the underperformance from the Yamaha’s products such as YAMAHA FZ & YAMAHA FZS in 100=150 CC criteria; this research was conducted in the Bangalore. This research was done during the months of June and July2010.Hence the data displayed has been collected during the mentioned period.
To meet the research objectives, following activities have been performed. 1. An extens extensive ive search search of releva relevant nt litera literatur turee from from news news article articles, s, internet, internet, books. books. This step guided the development of the methods and instruments for collecting data.
2. Design Designing ing the the questio questionna nnaire ire..
3. Survey has has been carried carried away by telephone telephone,, one-on-one one-on-one interviews interviews;; The Survey incl includ uded ed both both quan quanti tita tati tive ve,, force forced-c d-cho hoic icee or clos closee ende ended d ques questi tion onss and and qualitative, open-ended questions.
4. Analysis Analysis was was done on the the basis basis of the the informatio information. n.
During this research it was found that Yamaha’s 100-150CC bikes has under performance and also what are the reason of underperformance in 100-150CC
criteria . FZ & FZS are awarded as a BIKE OF THE YEAR. India Yamaha Motors, a company that is known for combining technology, quality and performance in their bikes, had taken an initiative to introduce some of Page:their 2
performance driven bikes in India India last year and are now reporting growth rate only of 23.43% in sales during May 2010 having sold 15120 units as compared to 12250 units in may current year. With their product line-up being the FZ-16, FZ-S and the R15, India Yamaha Motors is also providing their customers with Different experiences with their various programs such as allowing the customers to drive their bikes on a race track. It is also seen that Yamaha is focusing on the Premium segment of bikes which is slated to welcome new players. Yamaha would have to constantly innovate and come up with new products to maintain its dominance in the segment.
Page: 3
Background of the company Yamaha made its initial foray into India in 1985. Subsequently, it entered into a 50:50 joint venture with the Escorts Group in 1996. However, in August 2001, Yamaha acquired its remaining stake as well, bringing the Indian operations under its complete control as a 100% subsidiary of Yamaha Motor Co., Ltd, Japan. India India Yamaha Yamaha Motor Motor operat operates es from its state-o state-of-t f-thehe-art art-man -manufa ufactu cturin ring g units units at Faridabad in Haryana and Surajpur in Uttar Pradesh and produces motorcycles both for domestic and export markets. With a strong workforce of 2000 employees, India Yamaha Motor is highly customer-driven and has a countrywide network of over 400 dealers. The company pioneered the volume bike segment with the launch of its 100 cc 2stroke motorcycle RX 100. Since then, it has introduced an entire range of 2-stroke and 4-stroke bikes in India. Presently, its product portfolio includes Crux (100cc), Alba (106cc) and Gladiator (125cc). VISION
To esta establ blis ish h YAMA YAMAHA HA as the the "exc "exclu lusi sive ve & trust trusted ed bran brand" d" of cust custom omers ers by "creating Kando" (touching their hearts) - the first time and every time with world class products & services delivered by people having "passion for customers".
Page: 4
MISSION
We are committed to: Be the Exclusive & Trusted Brand renowned for marketing and manufacturing of YAMAHA products, focusing on serving our customer where we can build long term term relati relations onship hipss by raisin raising g their their lifest lifestyle yle throug through h perfor performan mance ce excell excellenc ence, e, proactive design & innovative technology. Our innovative solutions will always exceed the changing needs of our customers and provide value added vehicles. CORE COMPETENCIES Customer #1
We put put cust custom omer erss first first in ever everyt ythi hing ng we do. do. We take take deci decisi sion onss keep keepin ing g the the customer in mind. Challenging Spirit
We strive for excellence in everything we do and in the quality of goods & services we provide. We work hard to achieve what we commit & achieve results faster than our competitors and we never give up.
Team-work
We work cohesively with our colleagues as a multi-cultural team built on trust, respect, understanding & mutual co-operation. Everyone's contribution is equally for our success. Page: important 5 Frank & Fair Organization
We are honest, sincere, open minded, fair & transparent in our dealings. We actively listen to others and participate in healthy & frank discussions to achieve the organization's goals. OVERVIEW FOUNDED:
July 1, 1955
CAPITAL:
48,302 million yen (as of March 31, 2008)
PRESIDENT:
Takashi Kajikawa
EMPLOYEES:
46,8 46,850 50 (as (as of Dece Decemb mber er 31, 31, 2007 2007))
PARENT:
9,019 (as of December 31, 2007)
SALES:
1,756,707 million yen (from Jan 1, 2007 to Dec 31, 2007)
PARENT:
799,209 million yen (from Jan 1, 2007 to Dec 31, 2007)
Page: 6
1.6 RECENT LAUNCHES YAMAHA FZ-S
Yamaha FZ-S 150cc, a recently launched bike by the industry giant Yamaha. After the grand success of FZ-16 Yamaha has finally launched its modified version (FZS) in India. This fabulous bike is equipped with all the necessary features one may think of. It stands ahead in style and performance not only in its segment but beyond. This bike is best suited for those who want elegance and power in one. It is designed and engineered with the capacity for active and aggressive enjoyment of around-town street riding and styling, bringing a sense of pride for the owner of the bike. It is especially designed to satiate riders' desire for style and fashion. It I t is popularly referred as the “Stylish Macho Street Fighter” (Lord of the Streets). The primary features of Yamaha FZ-S include:
•
European international design
•
Stainless steel body
•
Aerodynamic muscular design
•
High torque rate
•
Carbon pattern meter console
•
Latest graphics
•
Disk brakes
•
Electric start starting system
•
Electronic fuel injection system
Page: 7
YAMAHA YZF R15
This is the latest offering from the Yamaha stable. The YZF R15 is the first truly sports bike launched in India. The looks and design have been done keeping the bigger R1 in mind and hence the resemblance. r esemblance. The bike is priced at Rs.97,500 (ex-showroom) across India. It boasts of the first liquid cooled 4 valve engine in the two wheeler category which gives it better
performance and power. It is a 150cc bike having enough power to bring chills to the rider when he revs up the accelerator.
Page: 8
Problem of now days Yamaha is a jaunts company in the category of 200-220 CC bikes. Yamaha's association with India began in 1985 for the first time when it provided technical assistance to the Escorts Group in manufacturing of motorcycles. From the year of 1996 they are producing 100 -150 CC bikes for Indian market. They are straggling from that day to today in 100-150 CC category bikes. Because they always face core competency from two Indian market leader these are Hero Honda and Bajaj. Yamaha also have core competency but they till now in third position in 100-150 CC category bikes. •
Therefore my research on Why Yamaha Ltd performance not up to the mark in 100-150 CC bikes category in Indian market.
Proposal:-They have so many strength like size and scale of parent company, committed and dedicated staff, high emphasis on R and D, experience in the market, establish brand, establish market channel. They have so m any opportunities depend on their strength. So the opportunities are, growing premium segment, expansion of target market (include women), increasing dispensable income. Therefore depend on their strengths to grape the opportunities I would like to propose something these are as follows: •
The company should be small showroom into big showroom.
•
The company should be emphasis on aggressive selling.
•
They have to give effective advertisement in all media.
•
They have to provide standard free service to the entire customer.
•
They have to give some offer with their products.
Page: 9
Research Objectives
•
To find out the reasons behind the underperformance of Yamaha bikes in 100150 CC category in Indian market.
•
To analyze the marketing strategies of Yamaha.
Page: 10
HYPOTHESES Yamaha’s new launch of FZ & FZS has changed customer’s perception regarding choice of bikes in the 100-150 cc category bikes. H1 = Yamaha new launch of FZ & FZS has not changed customers perception regarding choice of bikes. H0 = Yamaha has regained its image in India after the launch of FZ & FZS. H1 = Yamaha has not regained its image in India after the launch of FZ & FZS. H0 = There is a significant relationship between income group and the choice of features they value most in a two wheeler.
H1= There is no significant relationship between income group and the choice of features they value most in a two wheeler. H0 = There is a significant relationship between income group and the 1 st information source for the people. H1= There is no significant relationship between income group and the 1 st information source for the people. H0 = There is a significant relationship between age group and the choice of features they value most in a two wheeler. H1= There is no significant relationship between age group and the choice of features they value most in a two wheeler. H0 = There is a significant relationship between age group and the 1 st information source for the people. H1= There is no significant relationship between age group and the 1 st information source for the people. Page: 11
Research Methodology Research methodology is the way to systematically solve the research problem . The method used for the research is Descriptive Research, to find out our Objectives. The report has been prepared on the basis of information collected from different sources. In order to achieve the objective of the project proper research method was applied.. After giving through brain storming session, objectives were selected and the set on the base of these objectives objectives,, a questionna questionnaire ire was designed designed major emphasis emphasis of which which was gathering new ideas or insight so as to determine and bind out solution to the problems. I have selected the following method: •
Primary Method
•
Secondary Method
Method: - The Primary Data is to be collected through •
1. Questionnaire
•
2. Personal interview
Secondary Method:- The secondary data is to be collected from •
service centers
•
Internet
•
Journals & Magazines
•
Websites
Page: 12
Data Design This study is a mix of explorative explorative and formal methodolog methodologies ies adopting monitoring monitoring and observing to study the dealerships in Bangalore and communication to elicit responses from customers. This is a cross sectional study done during the months of June and July. For the customer satisfaction study a questionnaire was formulated containing 17 closed ended questions which were sent out for response through the internet and mainly through personal interviews of customers at Yamaha dealerships. This data was later analyzed using SPSS through performing the cross-tabulations on various
involved variables. Results of this step formed the basis of the recommendations given to the company.
To know the Yamaha under performance and marketing strategy in motorcycle market, census method was chosen and all the dealership were individually visited in the area of Bangalore Auto Sales(Yamaha), I did a market survey by taking open interviews to the dealers and brokers of the market.
Page: 13
Data Sampling
For the sales promotion study a census methodology was adopted and all the dealerships and brokers of that region were visited.
For the customer satisfaction study a sample of 100 persons was chosen from the Yamaha’s dealership in Bangalore. The sample was judgmental and methodology was non probability sampling Size of Sample
100
Sampling technique
Judgmental (Non Probabilistic
Location from which samples were
Sampling) Bangalore
taken
Page: 14
Data Analysis 1. What What is your your occup occupatio ation? n?
Page: 15 1. Monthly household income;
Page: 16 1. Which MC do you own?
Page: 17
2. Did you consider considered ed other motorcycl motorcycle e while while buying the the Yamaha motorcycle?
Page: 18
3. Have you seen seen TV/Radio/N TV/Radio/News ews Paper/ Paper/ Others advertise advertisement ment regarding Yamaha bikes?
Page: 19 4.
Please specify your source of awareness for your bike?
Page: 20
5.
What were the criteria for you to do buy your bikes?
Page: 21
6.
Are you satisfied with current mileage?
Page: 22
7. Do you think think that price price of all Yamaha Yamaha bikes bikes are higher higher than the other companies’ bikes?
Page: 23
8. How many free free services services are you you expecting? expecting?
Page: 24
9. Are you satisfied with the free service of Yamaha?
Page: 25
10. Do you think that the styles of Yamaha bikes are sporty?
Page: 26
11. Do yo you th think th that the the Engine powers ers of of Ya Yamaha aha bi bikes are better than most other bikes?
Page: 27
12. What are the feeling/ reaction of you to your motor cycle?
Page: 28
13.Chart showing the percentage of factors which influences the customers while buying the Yamaha bikes.
Page: 29 •
Table showing the marketing mix which help to analyze the marketing strategies of Yamaha bikes in 100-150 CC criteria.
Page: 30
Findings
•
It is found that Mileage is the main factor which influences to a consumer in his buying decision
•
Styles of the most Yamaha bikes are sporty type.
•
Yamaha after sales service is less than other bike companies.
•
The engine power of Yamaha bikes is standard.
•
The advertisement of Yamaha is not attractive.
•
They did not try to follow up their dealers.
•
They did not launch any bike for women in India.
Page: 31
LIMITATIONS OF THE STUDY
•
•
•
One of the biggest limitations with this project work is the time factor. Since we had got only 40 days for doing this project, therefore we think it was less time for doing this project work. Time was very much limited and as a result we were restricted with the time bound. Another limitation was with the language. While doing the research work, we faced a lot of problem regarding the language. Since every person didn’t understand English, therefore we had to make them understand in different languages like Cañar and Tamil. This research is geographically restricted to Bangalore only. Hence the result cannot be extrapolated to other places.
•
The study is restricted only to the organized sector of two wheeler industry
•
The seriousness of the respondents and their ability to justify their answers may also be a limitation.
•
The sample size is small due to the specified reasons.
•
Findings are based on sample survey.
•
All interview questions are undisguised or direct. Hence there is a scope for the respondents to be biased or pretentious .
Page: 32
CONCLUSION
After the completion of project I have seen the different aspects of this Training Project. Also I have gained some new experience about the consumer research. While surveying I have met a large number people, with different perceptions, with different nature, and as a result of this I have learnt a lot of things like how to talk with the different people with different behavior. After The Separation Main focus of Yamaha has been to Capture the Indian Market Through its Product Which are Best In terms Of style & Design and is trying to achieve the target of 14% which it has laid down for the coming years its Recent Launched Bike FZS & R15 have shaken the market leader Like Bajaj & Hero Honda & is giving them a tough competition & soon going Launch Few More Bikes in the market. But in a country like India where customer generally appreciates mileage it becomes necessary for a company like Yamaha which produces Bikes whose prices are towards the higher end to focus on other factors f actors too which influence the consumer choice of Product like Prices , After sale services and Many more.
Page: 33
RECOMMENDATIONS AND SUGGESTIONS •
Yamaha should focus on its advertisement and mileage.
• •
•
Yamaha should also give some offers with their different models. The company should also launch some cheaper models so that the students can buy more. SHOULD IMPROVE THE AFTER SALE SERVICES: During the survey we found that Yamaha is not satisfying their customers in after sales services, employees at dealership sometimes use harsh words and become rude to the customers, parts of the bike are not easily available in the market. This is the major drawback in capturing the market share so Yamaha should take some better steps to satisfy and retain their customers.
•
WEAK FOLLOW UP FROM DEALERSHIPS: We observed during the
course of our studies that Yamaha was quite weak in following up with prospective customers. There was no communication from Yamaha showrooms asking the customers if and when they are willing to buy their bikes. Hero Honda, Bajaj and Honda showrooms were extremely attentive in this regard and perform maximum m aximum follow up on prospective customers. •
•
MEASURES SHOULD BE TAKEN TO IMPROVE ITS DEALERSHIP : Yamaha which is trying to build a brand new image of a high tech and stylish brand of sports bikes should take appropriate steps to show it in their showrooms. AGGRESSIVE SELLING: The Company should follow an aggressive selling concept. A non-aggressive selling selling concept which is clearly visible visible in its advertising campaign which does not hit on the customer rather aims to provide information in a subtle manner.
Page: 34
BIBLIOGRAPHY
Books
1. Research Research Methodo Methodology logy written written by C.R.Ko C.R.Kothari thari.. 2. Marketing Marketing Manage Management ment written written by Philip Philip Kotler. Kotler. 3. Consumer Consumer Behavior Behavior written written by Schiffman Schiffman & Kanuk. Kanuk.
Websites 1. www.google.com 2. www.yamaha.com
Questionnaire Contact No:
2. Name Name::
Place: Model: Date of Purchase: 2. Age Age
CC:
3. Age 4. Marital Marital status: status: a) Marrie Married d
b) Single Single
5. What What is your your occup occupatio ation? n? a) Student employee person
b) Office employee employee d) shop owner f) other
c) Factory e) Business
6. Monthl Monthly y househ household old incom income; e; a) Up to Rs 10000 b) Rs 10001-20000 10001-20000 c) Rs20001-40000 Rs20001-40000 d) Rs 40001-60000 e) Rs 60001-80000 f) Above 80000 7. Whic Which h MC do you you own own? ? a) Hero Hero Honda Honda
b) TVS
c) Bajaj Bajaj
d) Yamaha e) Others. 7. Did you considered other motorcycle while buying the Yamaha motorcycle? a) Yes b) No 8. Have you seen TV/Radio/News Paper/ Others advertisement regarding Yamaha bikes? a) Yes b) No 9. Please specify your source of awareness for your bike? a) TV b) News Paper c) magazine d) Showroom e) Family/ Friends 10. What were the criteria for you to do buy your bikes? a) Features/ quality b) Mileage c) Price d) Brand Name/ Image 11. Are you satisfied with current mileage? a) Yes b) No c) Not sure 12. Do you think that price of all Yamaha bikes are higher than the other companies’ bikes? a) Yes b) No c) Not sure 13. How many free services are you expecting? a) 3 b) 5 c) above 5 14. Are you satisfied with the free service of Yamaha?
a) Yes b) No c) Not sure 15. Do you think that the styles of Yamaha bikes are sporty? a) Yes b) No c) Not sure 16. Do you think that the Engine powers of Yamaha bikes are better than most other bikes? a) Yes b) No c) Not sure 17. What are the feeling/ reaction of you to your motor cycle? a) Trendy b) Macho c) Stylish d) Poor resale value.
