A MAJOR PROJECT ON A

COMPARATIVE STUDY OF CONSUMER BUYING BEHAVIOR IN MOTOR

BIKES WITH REFERENCE TO TVS MOTORS

SUBMITTED IN PARTIAL FULFILMENT FOR THE AWARD

OF THE DEGREE OF
BACHELOR OF BUSINESS ADMINISTRATION (BBA)

BATCH (2018-2021)
KASTURI RAM COLLEGE OF HIGHER EDUCATION
(AFFILIATED TO GURU GOVIND SINGH INDRAPRASTHA UNIVERSITY)
UNDER THE GUIDENCE OF: SUBMITTED BY:
Ms. PARUL GABA SHEKHAR
 CERTIFICATE

This is to certify that “SHEKHAR” has accomplished the project. “A STUDY ON

CONSUMER BUYING BEHAVIOR IN MOTOR BIKES WITH REFERENCE
TO TVS MOTORS ” under the guidelines and supervision.

He has submitted this project in the partial fulfilment for the award of degree of
Bachelor of Business Administration (BBA) from Guru Gobind Singh Indraprastha
University .

The work has not been submitted anywhere else for the award of degree. All sources
of information have duly mentioned.

Under the Guidance of:-

Ms. PARUL GABA
Associate Professor
KRCHE
 ACKNOWLEDGEMENT

A project is never the work of an individual .It is moreover the combination of suggestions, ideas,
review, guidance, and combination. The success and final outcome of this project required a lot of
guidance and assistance.

I own my heartfelt and profound sense of gratitude to my faculty guide and my project coordinator
Ms. PARUL GABA under her expert guidance only project gets completed. The goal of how ideas
and development can be obtained by hardwork.

I acknowledge my inner gratitude to my project guide for their co-operation and kind assistance
during farming of this project.

Finally I would like to thank to all my well-wishers for their blessing and co-operation. They boost
up me every day to work with a new and high spirit.

SHEKHAR
ENROLLMENT NO:- 52051501718
 DECLARATION

I hereby declare that the project titled “A STUDY ON CONSUMER BUYING BEHAVIOR IN
MOTOR BIKES WITH REFERENCE TO TVS MOTORS” submitted by me to KASTURI RAM
COLLEGE OF HIGHER EDUCATION for the fulfilment of the requirement for the award of the
degree of Bachelor of Business Administration (BBA) is a record of benefit project carried out by me
under the guidance of MS PARUL GABA. I further declare that the work reported in this project has
not been submitted and will not be submitted, either in part or in full, for the award of any other
degree or diploma in this institute or any other institute or University.

SHEKHAR
ENROLLMENT NO:-52051501718
 TABLE OF CONTENTS

S. No. Topic Pg. No

1. Chapter-1 Introduction 10 – 14
1.1 Introduction to the Topic
1.2 Review of literature
1.3 Objective of Study
1.4 Research methodology
1.5 Limitations of Study
2. Chapter-2 Profile of the TVS Motors 15 – 35
2.1 Mission and Vision Statement
2.2 Overview of TVS Motors
2.3 Company at Present and in Future
2.4 Awards
2.5 Product Profile
3. Chapter-3 Presentation of Data and Analysis 36 – 55
3.1 Presentation of Data and Analysis
4. Chapter-4 Findings, Conclusions and 56 – 61
Suggestions
4.1 Findings
4.2 Suggestions and Recommendations
4.3 Conclusions
Annexure 62 – 66
 Questionnaire
Bibliography 67 – 68
CHAPTER – 1

INTRODUCTION
 INTRODUCTION

Someone has rightly said that practical knowledge is far better than classroom teaching. During this
project I fully realized this and I came to know about how a consumer chooses among a varied range
of products available to him.

The current study is focus on the analysis of consumer buying behavior in motor bikes taking TVS
Motors as a case study. TVS Motors slowly but steadily evolved, from a beginner to a corporate
giant earning laurels and kudos throughout.

If a marketer can identify consumer buyer behaviour, he or she will be in a better position to target
products and services at them. Buyer behaviour is focused upon the needs of individuals, groups and
organisations. It is important to understand the relevance of human needs to buyer behaviour.

Naturally you want your business to be successful. After all you work hard to achieve it.
Understanding your customers‟ buying behavior is one of the elements that help to be successful.
Without this understanding it makes gaining more customers difficult.

Especially in today‟s competitive world, it also helps when you want your customers to buy more
from your business. Their buying behavior is one of the elements you need for a customer profile.

Customers base their buying decisions on both rational and emotional reasons. They will look at a
category on a rationale basis. They then decide, especially for repeat customers on the brand.

Getting your customers to have an emotional attachment to your brand is one of the keys to keeping
them loyal. As well it is one of the key factors in gaining referrals and recommendations. When
you want more customers for your business it makes it easier to select the best marketing
strategy when you understand.
The report contains first of all brief introduction about the company. Finally there comes data
presentation and analysis in the end of my report. I also tried to put forward some of my suggestion
hoping that they help TVS Motor Company move a step forward to being the very best.

In terms of competition TVS has neck-to-neck competition with Hero Honda and Bajaj. TVS has a
lot of work to do if it has to take lead and remain the leading manufacturer in India. As TVS is still
not a household brand name, some of the respondents were not completely aware of its products and
track record.

The TVS Group is one of India's largest industrial conglomerates. TV Sundram Iyengar and Sons
Limited, established in 1911, is the parent and holding company of the TVS Group.

TVS Motor Company is the third largest two-wheeler manufacturer in India and one among the top
ten in the world, with annual turnover of more than USD 1 billion in 2008-2009, and is the flagship
company of the USD 4 billion TVS Group. With a workforce of over 5000, the company has 4 plants
- located at Hosur and Mysore in South India, in Himachal Pradesh, North India and one at
Indonesia. The company has a production capacity of 300 thousand units a year.

TVS and Sons also distribute Heavy Duty Commercial Vehicles, Jeeps and Cars. It represents
premier automotive companies like Ashok Leyland, Mahindra and Mahindra Ltd., Fiat and Honda. It
also distributes automotive spare parts for several leading manufacturers.

TVS & Sons has grown into a leading logistics solution provider and has set up state-of-the-art
warehouses all over the country. It has also diversified into distributing Garage equipment that
ranges from paint booths to engine analyzers and industrial equipment products.
 Literature Review of TVS
According to Wiki, a moving violation is any violation of the law committed by the driver of
a vehicle while it is in motion. The term “motion” distinguishes it from other motor vehicle
violations, such as paperwork violations (which include violations involving automobile insurance,
registration, inspection, etc.), parking violations, or equipment violations. [1]

For the literature review, fleet vehicles were considered to encompass light vehicles, such as cars and
vans less than 4.5 tones and „best practice‟ was considered to refer to management practices that
have been identified as superior and/or have been shown through research and/or experience to be
associated with a reduction in vehicle crashes, occupant injuries or near-miss crashes. [2]

“Both carriers and drivers will have to be more on their toes at roadside,” Woodford said. “That‟s
simply because every violation will now count. In the past it was simply out-of-service violations and
certain moving violations [that counted].” He said the industry attempts to “game” the SafeStat
system that is being replaced. [3]

According to Middleton & Company Insurance which specialized in company vehicle insurance,
declared that company vehicles are provided to support business activities and are to be used only by
qualified and authorized employees.

They are not to be considered a part of an employee‟s compensation and must not be used as an
inducement for employment. In all cases, these vehicles are to be operated in strict compliance with
motor vehicle laws of the jurisdiction in which they are driven and with the utmost regard for their
care and cost efficient use.[4] Moreover, Middleton & Company Insurance says, “Fines for parking
or moving violations, towing storage or impoundment are the personal responsibility of the assigned
operator”. The company will not condone nor excuse ignorance of any motor vehicle violations that
result in court summons being directed to itself as owner of the vehicle. [4]

In literature review we found that statement is used many times in statement of company vehicle
policy: “Please be aware that motor vehicle violations incurred during non-business (personal use)
hours will also affect your driving status as well and are subject to review”. [3]

According to Daniel P. Bearth, each driver is responsible for the actual possession, care and use of
the company vehicle in their possession. [3] The increased collision involvement of company car
drivers was also found by Cartwright et al. (1996) and Dimmer and Parker (1999) who stated that
27% of company car drivers reported involvement in at least one crash in the previous three years
compared to 18% reported by non-company car drivers. In part, the high representation of company
drivers in collision involvement can be explained by increased exposure to risk (Davey et al., 2007),
but there is anecdotal as well as the research evidence provided by Dimmer and Parker (1999) of a
„work driver effect‟, which means that responsible companies must endeavor to reduce the risks to
society and their employees. [5]
OBJECTIVE OF THE STUDY

 The objective of the study is to analyze the consumer buying behavior of the respondents in
motorbikes of different brands.

 To study the future prospects of TVS motorbikes.

 To provide a fair picture of technology used by TVS motors.

 To study the sales trends of TVS motors.

 To analyze the quality of after sales services being provided by TVS motor
 RESEARCH METHODOLOGY

Research methodology simply refers to the practical “how” of any given piece of
research. More specifically, it‟s about how a researcher systematically designs a
study to ensure valid and reliable results that address the research aims and
objectives
 The following research methodology has been adopted for the present study:
Descriptive method: To describe systematically a situation or area of interest
factually and accurately. The reason behind selecting descriptive method is that our
research included:
♦ The study of Market Characteristics.
♦ We had a prior formulation of specific hypothesis.
♦ The research involved a Preplanned and Structured Secondary data, Surveys and
Observational data.

Methods of Data Collection

Primary data :-
▫ Questionnaire
While deciding about the sample of research, from the researcher‟s point to pay
attention, we have considered these under mentioned points.
 The sampling method was Convenience sampling where data was collected by meeting the
people who took their vehicles for servicing in a garage or any authorized service centre.
 Sample size: 70 face to face interviews via questionnaire in print format and asking them to
fill it.

 Source of data: Data required for the study has been collected through administration of a
questionnaire (attached as Appendix 1) in the area of New Delhi
Secondary data :-

 Company website
 Company‟s own researches
 Other websites

Selection of sample design

Sample size :- 70

Sample location :- NEW DELHI

Statistical Technique Used:-

1. Questionnaire
2. Pie-chart
3. Bar diagram
4. tables
 LIMITATIONS OF THE STUDY

While surveying, I encountered some problems like

 A survey should involve a larger sample size otherwise the findings of the survey cannot
be generalized. But a larger sample size may increase the time and cost of collecting the
primary data with the help of Questionnaire. In this project, the sample size was not very
large due to time constraint

 Many of the respondents were not willing to fill the questionnaire.

 Few of them responded in hurry; hence the active participation was lacking. So, I had to
discard such response

 Another problem which I faced was that people were hesitant to give information about
their views freely.
CHAPTER – 2
PROFILE OF THE
TVS MOTORS
TVS MOTOR COMPANY - MISSION

We are committed to being a highly profitable, socially responsible, and leading

manufacturer of high value for money, environmentally friendly, lifetime personal
transportation products under the TVS brand, for customers predominantly in Asian
markets and to provide fulfilment and prosperity for employees, dealers and suppliers.

VISION STATEMENT

TVS Motor - Driven by the customer

TVS Motor will be responsive to customer requirements consonant with its core
competence and profitability. TVS Motor will provide total customer satisfaction by
giving the customer the right product, at the right price, at the right time.

TVS Motor - The Industry Leader

TVS Motor will be one among the top two two-wheeler manufacturers in India and one
among the top five two-wheeler manufacturers in Asia.

TVS Motor - Global overview

TVS Motor will have profitable operations overseas especially in Asian markets,
capitalizing on the expertise developed in the areas of manufacturing, technology and
marketing. The thrust will be to achieve a significant share for international business in
the total turnover.
TVS Motor - At the cutting edge

TVS Motor will hone and sustain its cutting edge of technology by constant
benchmarking against international leaders.

TVS Motor - Committed to Total Quality

TVS Motor is committed to achieving a self-reviewing organization in perpetuity by

adopting TQM as a way of life. TVS Motor believes in the importance of the process.
People and projects will be evaluated both by their end results and the process adopted.

TVS Motor - The Human Factor

TVS Motor believes that people make an organization and that its well-being is
dependent on the commitment and growth of its people. There will be a sustained effort
through systematic training and planning career growth to develop employees' talents
and enhance job satisfaction. TVS Motor will create an enabling ambience where the
maximum self-actualization of every employee is achieved. TVS Motor will support and
encourage the process of self-renewal in all its employees and nurture their sense of self
worth.

TVS Motor - Responsible Corporate Citizen

TVS Motor firmly believes in the integration of Safety, Health and Environmental
aspects with all business activities and ensures protection of employees and environment
including development of surrounding communities. TVS Motor strives for long-term
relationships of mutual trust and inter - dependence with its customers, employees,
dealers and suppliers.
OVERVIEW OF THE TVS MOTORS

The TVS Group is one of India's largest industrial conglomerates. TV Sundram Iyengar
and Sons Limited, established in 1911, is the parent and holding company of the TVS
Group.

TVS Motor Company is the third largest two-wheeler manufacturer in India and one
among the top ten in the world, with annual turnover of more than USD 1 billion in
2008-2009, and is the flagship company of the USD 4 billion TVS Group. With a
workforce of over 5000, the company has 4 plants - located at Hosur and Mysore in
South India, in Himachal Pradesh, North India and one at Indonesia. The company has a
production capacity of 300 thousand units a year.

TVS and Sons also distribute Heavy Duty Commercial Vehicles, Jeeps and Cars. It
represents premier automotive companies like Ashok Leyland, Mahindra and Mahindra
Ltd., Fiat and Honda. It also distributes automotive spare parts for several leading
manufacturers.

TVS & Sons has grown into a leading logistics solution provider and has set up state-of-
the-art warehouses all over the country. It has also diversified into distributing Garage
equipment that ranges from paint booths to engine analyzers and industrial equipment
products.

GROUP COMPANIES

With steady growth, expansion and diversification, today TVS commands a strong
presence in various fields-two-wheelers, automotive components, automotive spares,
computer peripherals and finance.

Lakshmi Auto Components Limited - Large OE supplier of two wheeler gears and
camshafts.
Lucas Indian Service Limited (www.lucasindia.com) - Company looks after the
distribution of auto electrical components all over India.

Axles India Limited - A joint venture with Eaton Limited, U.K. Manufactures axle
housings and drive heads for heavy and light commercial vehicles.

COMPANY AT PRESENT AND IN FUTURE

 Successfully launched the Victor and Fiero-F 2 models after parting ways with
Suzuki.
 Two wheeler markets show sign of revival after a lackluster first half.
 The company is suffering a decline in volumes due to poor response of its two
strokes Max motorcycles.
 Recently launched the TVS Centra and 125 cc TVS Victor GLX and four stroke
Max in the pipeline, which would be launched later this year.
 Plans major foray into three-wheeler and quadricycles market through fresh
investments of Rs 500 crore.
 Actively looking to set up manufacturing unit in Indonesia or Vietnam.
 Strong focus on R&D and product development.

Apache the Savior

TVS launched Apache RTR 160 cc model in September 2008, with its ultra modern
technology for Indian bikes has proved to be a big success. The success of TVS Apache
is especially significant because it was developed with indigenous technology.
Two stroke Max Range – On the way out

The company is currently looking forward to phase out its two stroke Max range, which
is perceived to be less fuel efficient with a new four stroke range. The changeover is
expected to take place by the end of June 2009.

Two new launches could out TVS on a high growth trajectory

TVS Centra
TVS Centra a new 100 cc model has recently been launched and the company has set
ambitions targets of achieving monthly sales in the range of 15000-20000 bikes per
month.
Also, a new upgraded 125 cc TVS Victor has been launched which will improve the
trajectory of the company.

Three wheeler project- entering a new market

TVS Motor has set the stage for entry into the three-wheeler markets with the setting up
of a new plant at Nanjangud, near Mysore in Karnataka. We understand that the
company would be targeting the sub-one ton passenger and goods carriers segment of
the market.

With an investment of about Rs 50 crore in phase-1, it will cater to both passenger and
cargo segments. The total investments for the three wheeler and four-wheeler
quardricycle project are expected to be in the range of Rs 500 crore in the next two-three
years. It plans to go with petrol version of three wheelers and expects higher demand to
come from B class towns. The company expects higher margin and low competition in
three-wheeler business as compared to its two-wheeler business. Three wheeler sales
have grown at a CAGR of 7% over the last 9 years to 2.26 lakh units FY 03, and are
expected to grow at the same rate for the next five years. TVS is expected to roll out its
first three-wheeler by the end of FY05 to garner a 30% market share with around
100,000 unit sales by the end of FY08.

Three-wheeler market scenario

These are two main segments in the Indian passenger three -wheeler markets are:
 Number of seats, including driver, not exceeding 4 and maximum mass not
exceeding 1 tonne.
 Number of seats including driver excluding 4 but not exceeding 7 max mass not
exceeding 1.5 tonnes.

The three-wheeler goods carrier segments are:

 Maximum mass not exceeding 1 tonne

Others
Around 95% of the three-wheeler sold in India belongs to the smaller vehicles category
in which Bajaj Auto is the major player and has around 90% market share. The other
players in the segment are Atul Auto and Piaggio group, Italy.

Similarly, in the three-wheeler segment, domestic sales of the goods carrying variety
grew a whopping 46.95%. This growth in 2002-03 could have possibly come from two
factors:
1) The increasing number of cities whose corporations have legislated that larger
goods carrier, like trucks be kept out for logistics purpose.
2) The increase in the number of offerings in this category, especially from
companies such as Mahindra & Mahindra and Piaggio vehicles pvt. Ltd.
Quadricycle - A new introduction in the Indian market

There is a new challenger emerging in the Quadricycle segment. These new vehicles
could impact on the entry level sales. These new vehicle could impact on the entry level
sales. Quadricycles are three wheelers converted into four wheelers by using, a column
axle. All the major three-wheeler units have prepared Quadricycles prototypes.

Merger of engine components Division of Lakshmi Auto components

with TVS Motor:

TVS motor would merge engine component division of Lakshmi Auto Component Ltd.
(LAC) and investments and other assets with itself and the dwap ratio has been fixed at
once phase of TVS motor for every seven share held as consideration for the merger.
Presently TVS motor holds 66.5% of equity capital of LAC, which would be cancelled.
Around 66% of LAC‟s sales come from the engine components division, mode of which
is currently being sold to TVS motor. LAC‟s total net sales in HI FY 04 were Rs. 69
crore and made a net profit of Rs. 10.5 crore..

The Plastics and Rubber components division of LAC will be transferred to the wholly
owned subsidiary company, Sundaram Auto Components Ltd. The total consideration on
slump – sale based is Rs. 12.25 crore.

Strong focus on R&D

The company has put in place a strong R & D team consisting 400 engineers & is
spending about 3% of its turnover on R & D every year and has in the process setup a
strong world class facility for product design and development. During 2002-03, the
company applied for 16 patents & published five technical research papers in
international conference. Modified research projects are carried in association with
leading international research labs and Indian institutes. R & D as percentage of sales in
expected to increase from 1.5% in FY o2 to 3.2% in FY 04.

Valuation

The company‟s valuations are dependent on five events:

 Current four businesses grow at the normal industry growth rates.

 New product launches achieve their targets and are well accepted by the market.
 Three wheeler foray achieve targeted volume in the desired rates of return on capital
employed.
 Quadricycle foray achieve the desired rate of return on the capital employed.
 Overall investment returns.

TVS MOTOR COMPANY

TVS Motor Company Limited, part of the TVS Group, is one of India's leading two-
wheeler manufacturers. With a turnover of over Rs.2700 crores, the Company
manufactures a wide range of motorcycles, scooters, mopeds and scooterettes. Little
wonder, it boasts of more than 7 million happy customers.

The chapter called two wheelers in India begins…..

The year was 1980. And it is a year to remember for the Indian two-wheeler industry.
For it was this year that saw India's first two-seater moped, TVS 50, rolling out on the
Indian roads. For some it was freedom to move. For some, shorter distances to span. For
the Indian Automobile sector, a breakthrough to be etched in history.
With the joint venture with Suzuki Motor Corporation in 1983, TVS-Suzuki became the
first Indian company to introduce 100 cc Indo-Japanese motorcycles in September 1984.
Through an amicable agreement the two companies parted ways in September 2001.

Unmatched Performance

Today TVS Motor Company has the largest market share in the moped category with a
whopping 65.3% and is also the undisputed leader in the scooterette segment with 34.3%
share. It also holds 18.3% market share in motorcycles.

Wide Network

With a strong sales and service network of 500 Authorized Dealerships, 1018 Authorized
Service Centres and over 864 Certified Service Points, TVS is growing from strength to
strength.

World Class Facilities

The company manufactures its motorcycles, scooterettes and mopeds at its state-of-the-
art factories in Mysore and Hosur.

Product Range

TVS offers a wide range of two-wheelers

- Motorcycles - TVS Centra / TVS Victor / TVS Fiero F2/ TVS Max 100/ TVS Max
100R
- Scooterettes - TVS Scooty Pep/ TVS Scooty 2S
- Mopeds - TVS XL Super/ TVS XL Super HD

MILESTONES

Launched Centra in January 2004, a TECHNOLOGY Uncompromising Quality

TECHNOLOGY

TVS Motor Company's R&D division has an imposing pool of talent and one of
the most contemporary labs, capable of developing innovative designs.
Committed to achieving total customer satisfaction through Total Quality Control
(TQC), the Company continuously strives to give the customer, the best value for
money.

ECO-FRIENDLY
TVS is committed to protecting the environment. The company's manufacturing facilities
at Mysore & Hosur have state-of-the-art facilities & air pollution control measures. Even
the suppliers are encouraged to ensure that their products meet eco-friendly norms.
ALWAYS FIRST

Many firsts to the Automotive Industry in India

TVS has been at the forefront in bringing a revolution in the way personal commutation
was happening, way back in the 1980s. Beginning with launching a simple, easy-to-use
moped for the middle class in India in the 1980s to launching 7 new bikes in a single day
(first time in the history of the automotive industry in the world), TVS has often taken the
unbeaten path to innovation.

Ushering in the personal transportation revolution

2011 TVS Apache RTR ABS launched

2010 TVS Wego and TVS Jive launched
2009 TVS Apache RTR 180 and TVS Streak launched.
TVS Flame, TVS Scooty Electric Vehicle and Three wheeler TVS King
2008
launched.
Apache RTR - first two wheeler in India to have racing inspired engine and
2007
features.
2006 Launched TVS Apache - first bike to win 6 awards in a row
Launched the revolutionary VT-I engine for the best in class mileage in TVS
2004
Centra
Launched India's first fully indigenously designed and manufactured
2001
motorcycle.
2000 Launched India's first 150 cc, 4 stroke motorcycle - The Fiero
1997 Introduced India's first 5 speed motorcycle, Shaolin
Introduced India's first catalytic converter enabled motorcycle, the 110 cc
1996
Shogun
Launched India's First indigenous scooterette (sub - 100 cc variomatic) -
1994
TVS Scooty
1984 First Indian company to introduce 100 cc Indo - Japanese motorcycles
1980 Launched TVS 50, India's first 2 seater 50 cc moped
AWARDS

Exports

TVS Motor Company has been awarded 'Star Performer - Silver Shield' in two/three
wheelers category, by EEPC India, for excellent export performance for year 2007-08.

Leadership

Star of Asia Award to Mr. Venu Srinivasan, CMD TVS

Motor Company by Business Week International.

He was also honoured with Doctorate in Science by

University of Warwick, United Kingdom.

Mr Venu Srinivasan was conferred with the prestigious

JRD Tata Corporate Leadership Award for the year 2004.

Engineering

The Deming Prize - TVS Motor Company is the only two-wheeler

company in the world to be awarded the world's most prestigious and
coveted recognition in Total Quality Management

Technology Award 2002 from Ministry of Science, Government of India

for the successful commercialization of indigenous technology for TVS
Victor

Asian Network for Quality Award 2004 - TVS Scooty Pep won the prestigious
'Outstanding Design Excellence Award' from Business World and National Institute of
Design
Progressive Manufacturer 100 Award - TVS wins coveted 2009 Progressive
Manufacturer 100 Award for end-to-end automation of the entire
business process of its lubricant brand, TVS TRU4

TPM Excellence Award 2008 - First category by Japan Institute of Plant Maintenance
(JIPM).

Management
Emerging Corporate Giant in the Private Sector awarded by The
Economic Times and the Harvard Business School Association of
India.

Best Managed Company award from Business Today, one of India's

leading business magazines.

Most Investor friendly company by Business Today, one of India's leading business

The 'Good Advertising' award by Auto India Best Brand Awards 2009.

SAP ACE AWARD 2007 - The company won the SAP ACE 2007 Award for
Customer Excellence in the Most Innovative Net weaver Category.

TEAM TECH 2007 Award - TVS Motor Company bags TEAM TECH 2007 Award of
Excellence for Integrated use of Computer Aided Engineering Technologies
TVS Motor Company unveils TVS CENTRA with 'VT-I Engines'

Creates History in the Technology Frontier of the Automobile Industry in India TVS
CENTRA crosses an astounding 20,000 sales mark in 40 days

HOSUR, March 6, 2004: TVS Motor Company today announced that the sales of TVS
CENTRA, powered by the indigenously developed Variable Timing Intelligent (VT-I)
engine technology crossed 20,000 units in just 40 days since its launch in mid January
2004, the best ever clocked by any new product from the TVS Motor Company stable.
This achievement is expected to spiral the overall growth of TVS Motorcycles sales in
the coming months.

The impressive sales figures reflect the customer's faith in the technological capability of
TVS Motor Company to fully live up to its promise of delivering a world-class product
at an affordable price. Due to excellent customer feedback across the country, TVS
dealers are being pressurized with enquiries on the new 100 CC 4 Stroke CENTRA and
its revolutionary VT-I engine technology. Having caught the public's imagination, TVS
CENTRA has fully lived up to its promise of a 'Fill it Once a Month Bike' where a full
tank of petrol lasts for a month based on the average use of motorcycle customers.

A panel of leading auto experts in India, after having tested TVS CENTRA, have
endorsed the fact that it was the 'best in its class' and also commended TVS Motor
Company on its technology prowess and innovation.

TVS CENTRA is powered by VT-I engines which are designed to deliver superb
performance on fuel efficiency and torque delivery based on three fundamental actions
namely variable ignition timing and superior combustion of fuel, friction reduction and
fuel wastage reduction.

Added to its technological edge are features that include attractive price, fuel efficiency,
low maintenance, contemporary style, ride comfort and backed by TVS Motor
Company's reliability, making it truly the preferred two-wheeler in its class.
Chennai, January 5, 2004: India's leading two wheeler major, TVS Motor Company's
commitment to produce the best technology in its products for its customers has led to
the launch of TVS CENTRA with Variable Timing intelligent engines (VT-I), a 100 CC
4 Stroke motorcycle targeted at the Popular Segment.

This revolutionary new VT-I engine technology, developed indigenously by TVS Motor
Company, inbuilt into TVS CENTRA will make it the most fuel-efficient motorcycle in
the Country. It will be rightfully called as the 'Fill it Once a Month Bike' where a full
tank of petrol will last for a month based on the average use of motorcycle customers.

The VT-i Engines by TVS Motor Company will go down in the history of the
Automobile Industry in India as one of the most innovative technology developed
indigenously. The VT-I engines are designed to deliver superb performance on fuel
efficiency and torque delivery based on three fundamental actions namely variable
ignition timing and superior combustion of fuel, friction reduction and fuel wastage
reduction. This action facilitates deceleration fuel cut off, faster warm up of the Engine
and has four curve ignition mapping.

Like all TVS Motor Company products, TVS CENTRA too has been engineered and
designed keeping in mind extensive customer feedback and changing customer needs.
TVS CENTRA will be the first motorcycle in India that will bundle price, mileage,
maintenance, style, reliability, power, ruggedness and ride comfort making it truly a
value for money personal transportation two-wheeler. Those who want all these
performance attributes in a commuter motorcycle at a great price; nothing will beat the
TVS CENTRA for all the advantages it offers.

TVS CENTRA is built around to give a mileage that will offer at least 10 per cent more
than any other motorcycle in the country, today. It will be powered by 7.5 Brake Horse
Power (Bhp) at 7250 RPM making it the most powerful motorcycle in its class.
TVS CENTRA will also be known for its nimble handling and riding comfort enabling
easy maneuvering even in busy city traffic. Its contemporary style with big muscular
tank and well-rounded looks with a horizontal engine and superior ergonomics will mark
a new standard in the popular segment of two wheelers. It will come with Econometer to
keep a check on the mileage / power ratio, wide and skid free seat and Utility space.

TVS Motor Company posts 117,101 two wheeler sales in October 2008;
Exports up by 30%

HOSUR November 1, 2008 : TVS Motor Company has registered total

two wheeler sales of 117,101 units in October 2008 against 129,614
units in the corresponding period of the previous year.

This year, both the important festivals of Dusshera and Deepavali were celebrated in
October and consequently, placement of stocks with the dealers for the festival
season was effected in September. Restricted availability of retail finance, high
liquidity and general inflationary trends witnessed by the market also affected sales.
However, the cumulative sales of September 2008 and October 2008, show a
growth of 4% when compared to the same period of the previous year.

The company's motorcycle sales stood at 59,217 units in comparison with 67,752 units
recorded in October 2007. Scooters recorded 23,487 units as against 28,119 units during
the same period of the previous year.

During the month, the company won two prestigious IT Awards, namely the
SAP ACE 2008 award and the 2008 Symantec South Asia Visionary Award.
While the company won the SAP ACE Award for digitization of new product
development process in SAP by implementing PLM (Product Lifecycle
Management), the Symantec South Asia Visionary Award was conferred for
the way the company secured and managed systems and information.

Exports continued its upward growth trend, posting an increase of 30%; registering
17,013 units of two wheelers in October 2008 as against 13,042 units in the
corresponding period of the previous year.

TVS Motor revenues grow at 23.2% in Q2 exports up 52%

Bangalore, October 30, 2008: TVS Motor Company today reported a 23.2 % increase
in revenues, registering Rs. 1034 crores for the quarter ended September 2008 of the
financial year 2008-09, when compared to Rs. 839 crores in the corresponding quarter of
the previous year. Despite the challenging environment caused by increasing input
material costs, general inflationary trends and lack of availability of retail finance, the
company has posted Profit before Tax of Rs. 13.9 crores and Profit after Tax of
Rs. 10.4 crores when compared to Rs. 16.9 crores and Rs. 11.9 crores in the
corresponding period of the previous year. The last year's September Quarter
had the benefit of Rs. 10.2 crore (net) on account of exceptional items. Profit
before exceptional Items for the quarter is higher at Rs. 13.9 crore in
comparison with Rs. 6.7 crores of the corresponding quarter of last year.

The company has recorded growth in sales despite adverse retail financing.
Motorcycles witnessed higher sales at 1.81 lakh during the quarter compared to 1.44
lakh units over the previous period. Scooters clocked sales of 0.77 lakh in comparison
to 0.76 lakh units during the corresponding quarter of the previous year.

During the quarter, the company crossed yet another milestone when it reached
two million units of TVS Scooty in July 2008. Indian Tennis star, Sania
Mirza became the new Brand Ambassador for the Scooty brand. The company
chose to associate with Sania as brand ambassador since she emanates the
brand qualities of independence, progress and accomplishment.
During the quarter, the company further broadened the horizons of its TVS Scooty
brand with the launch of Balancing Wheels, a unique and innovative
product engineered specifically for the TVS Scooty, addressing a never-before
segment, who do not know how to ride, even a bicycle.

In June 2008, the company unveiled its feature rich TVS Apache RTR FI offering riders
the instant thrill and superior performance of a fuel injected 160cc engine. The second
quarter also witnessed the commemoration of the first anniversary of the Apache RTR
brand while the company crossed yet another landmark delivering the 2,50,000th Apache.

Exports

Exports continued the upward growth path registering a total number of 0.55 lakh
units during the quarter ended September 2008, recording a growth of 52%
over the same period last year. The company has expanded its footprint to
More than 54 countries across the globe.
.

Future Outlook

The global financial crisis, the consequent serious liquidity issues and higher financing
costs are likely to impact the growth prospects of the two-wheeler industry. Retail
finance has become even more difficult. The tight liquidity will affect the ability of
dealers to stock two-wheelers. The drop in the commodity prices, however, is a welcome
break.

The company will continue the vigorous implementation of its improved value-
engineering program to reduce costs. The company continues to maintain the
highest quality standards of all its products.
SUB DIVISION OF S HARES

In order to improve the shareholder value and to facilitate greater liquidity in its equity
shares, TVS Motor Company recently subdivided the face value of its shares to Re. 1/-
each. Earlier the face value of the shares was Rs. 10/-

MERGER OF LAKSHMI AUTO COMPONENTS WITH TVS

MOTOR COMPANY

The Shareholders of TVS Motor Company and Lakshmi Auto Components (LAC) have
on 19th January 2004 approved the merger of Engine Division of LAC with TVS Motor
Company and transfer of Rubber and Plastics division of LAC to Sundaram Auto
Components Limited, a wholly owned subsidiary of TVS Motor Company. The company
expects to obtain the approval of High Court of Tamil Nadu and complete other statutory
formalities in the next few months. This merger is expected to improve the overall
profitability of TVS Motor Company.
PRODUCT PROFILE

TVS APACHE (RTR)

The recently launched TVS Apache RTR FI 160 has added an another stunner on the
roads. Stylish alloys, unique grab rails, classy silencer, larger & sharp lined fuel tank, all
these elements combine perfectly to give TVS Apache RTR 160 a sporty eye-catching
looks.
The Apache RTR 160 has been upgraded with electronic fuel injection (EFI) and
becomes Apache RTR 160 FI. The EFI technology has enabled TVS to boost peak power
of this bike. TVS has priced the new model at Rs. 65000.

TVS SCOOTY PEP – First Love

A sleek duo-tone body. Body colored coordinated mirrors. A smiley headlamp. Winky
indicators. Looks even better with you on it.

 POWER
75cc 4stroke engine to pep up your ride. A bigger, more comfortable seat for two and
strong hydraulic shock absorbers for a smoother ride.

 TECHNOLOGY
A unique power/economy mode for extra mileage. An auto reserve fuel tap. No more
turning knob from main to reserve. Auto chokes for instant starts.

 SAFETY
Puncture Resistant Tyres that come with a special sealant inside, minimizing chances of
a flat. A side stand alarm that beeps if you forget to take off the stand. Multi focal
reflector headlamp and side reflectors for enhanced visibility. Now all you need is an
equally funky helmet and you” re all set to pep.
 CHAPTER - 3
INTERPRETATION OF
DATA AND ANALYSIS
PRESENTATION OF DATA AND ANALYSIS OF CONSUMER
BUYING BEHAVIOUR
QUE-1
DO YOU OWN A BIKE?

0% 7%

93%

YES NO

INTERPRETATION

In this particular question it is found that 93% of respondents are having motorbike and
7% are either having scooter or moped. On the basis of the above pie-chart it is clear that
more people own bike.
QUE-2

WHICH BRAND OF BIKE ARE YOU AWARE OF?

8%
5% 20% BAJAJ
10%
HERO HONDA
YAMAHA
12%
TVS
30%
LML
15%
KINETIC
ENFIELD BULLET

INTERPRETATION

The above pie chart shows the brand awareness of bikes among the respondents. In the
above pie chart it is clear that HERO HONDA is the most popular brand in Ambedkar
Nagar whereas BAJAJ and YAMAHA follow 2nd and 3rd place. TVS comes at 4th place
taking lead from LML, KINETIC and ENFIELD BULLET.
QUE-3

WHICH SLOGAN OF BIKE AFFECTS YOU THE MOST AND

OF WHICH BRAND?
45
40
35
30
25
NO. OF RESPONDENTS
20
15
10
5
0

INTERPRETATION

The above Bar-Graph shows that in Ambedkar Nagar area HERO HONDA has scored
the maximum number of points with BAJAJ and TVS on 2nd and 3rd spot. TVS has
scored 9 points out of the sample size of hundred and has taken lead from LML,
KINETIC and ENFIELD BULLET.
QUE-4

WHICH FACTORS DO YOU CONSIDER WHILE PURCHASING A

BIKE?

2% 2%

4%

MILEAGE

25% STYLE
48% POWER
BRAND
SPARE PARTS
AFTER SALE

19%

INTERPRETATION

From the above pie chart we can see that parameters like mileage, power and style holds
an upper edge over the other parameters which affect the purchase decision of bike. Thus
customers are more likely to see the mileage aspect before actually buying a product.
QUE-5

WHO INFLUENCED YOU WHILE PURCHASING THE BIKE?

60

50

40

30 NO. OF RESPONDENTS

20

10

0
FRIENDS FAMILY DEALER MEDIA

INTERPRETATION

From the above graph it is clear that FAMILY plays a major role in the purchase of bike
and the reference and suggestions of FRIENDS come at the second place. Whereas
MEDIA factor comes at third place with DEALER making no promising affect on the
purchase of bike.
QUE-6

HAVE YOU VISITED ANY TVS SHOWROOM?

0%

38%

62%

0%

YES NO

INTERPRETATION

As shown in the above PIE CHART, the percentage of respondents who have visited the
TVS SHOWROOM is more than those respondents who have not visited the TVS
SHOWROOM. Thus the interest of customers in TVS product can relate to 62% among
100 respondents.
QUE-7

IF YES, WHAT WAS THE EXPERIENCE?

35

30

25

20
NO. OF RESPONDENTS
15

10

0
V. GOOD GOOD AVERAGE BAD

INTERPRETATION

As shown in the above graph, there are four FACTORS, which shows the experience of
the respondents after visiting the TVS showroom. It is clear that out of 62 respondents,
30 respondents had GOOD experience with 22 respondents had average experience.
Only 8 respondents are having a bad experience, which shows the quality of the TVS
showroom.
QUE-8

IF NO, WHY YOU HAVE NOT VISITED THE TVS

SHOWROOM?

24%

NOT INTERESTED IN TVS

NOT SATISFIED WITH TVS

76%

INTERPRETATION

As shown in the above PIE-CHART, out of 32 respondents, 76% of the respondents are
not interested in TVS products and 24% of them are not satisfied with TVS bikes. This
was an open ended question therefore most of the answers were in account to the
satisfaction level and interest in the TVS BIKES.
QUE-9A

DO YOU KNOW ABOUT TVS MOTOR BIKE?

9% 0%
0%

91%

YES NO

INTERPRETATION

As given in the above PIE CHART, 91% of the respondents know about TVS motorbike
and only 9% of the respondents are unaware about the TVS motorbike. This question is
based on the awareness as well as past usage of the TVS motorbike.
QUE-9B

IF YES, WHICH BRAND OF TVS MOTOR BIKES?

35

30

25

20
NO. OF RESPONDENTS
15

10

0
TVS STAR CITY TVS APACHE TVS SPORT TVS SCOOTY PEP TVS WEGO

INTERPRETATION

As shown in the above BAR GRAPH, it is clear that TVS-STAR CITY is the most
popular bike in Ambedkar Nagar as out of 91 respondents, 32 respondents are aware of
TVS-STAR CITY. Second most popular bike is TVS-SPORT, which is known by 23
respondents and has taken lead from TVS-APACHE which is on the 3rd spot. TVS-
WEGO is on the 4th place with 15 respondents and has taken lead from TVS-SCOOTY
PEP which is on the 5th place with 5 respondents.

.
QUE-9C

HAVE YOU VISITED T VS DEALERSHIP?

NO
38%

YES
62%

0%

INTERPRETATION

In the PIE CHART given above it is clear that out of 100 respondents 62% of them have
visited the TVS DEALERSHIP and only 38% have not visited the TVS DEALERSHIP.
By the chart given above it makes clear that the TVS DEALERSHIP has attracted more
number of respondents.
QUE-10

WHAT HAVE YOU LIKED OR DISLIKED AT TVS DEALERSHIP?

25

20

15

NO. OF RESPONDENTS
10

0
SERVICE SERVICE STAFF IS BAD STAFF IS LACK OF
FACILITY IS FACILITY IS GOOD SPACE
NOT GOOD GOOD

INTERPRETATION

As shown in the BAR-GRAPH it is clear that 21% of the respondents are not satisfied
with the service facilities and 20% are satisfied with the service facilities which comes to
equal ratio.10% of the respondents liked the staff and 4% are not satisfied with the staff.
Interesting part is that 7% of the respondents wanted more space at the TVS-
DEALERSHIP.
QUE-11

DOES CELEBRITY ENDORSEMENT AFFECT THE PURCHASE

OF BIKE?

0%

YES
34%

NO
66% 0%

INTERPRETATION

In the given PIE CHART 66% of the respondents have no affect with the celebrity
endorsement during the purchase of the bike. Whereas 34% of the respondents agreed
that celebrity endorsement do make an effect on the purchase decision of the bike.
QUE-12

WHICH BRAND DO YOU THINK IS THE MOST POPULAR IN

THE MARKET?

60

50

40

30
NO. OF RESPONDENTS

20

10

0
HERO BAJAJ TVS YAMAHA ENFIELD LML KINETIC
HONDA BULLET

INTERPRETATION

As shown in the above BAR GRAPH it is clear that HERO HONDA is the most popular
bike in Ambedkar Nagar with BAJAJ taking the 2nd place with 30%. TVS is the 3rd most
popular bike in Ambedkar Nagar taking lead from YAMAHA, BULLET, LML and
KINETIC.
QUE-13

IF THERE IS NO PRICE CONSIDERATIONS, WHICH BRAND

WOULD YOU BUY?

40

35

30

25

20
NO. OF RESPONDENTS
15

10

0
HERO BAJAJ TVS YAMAHA LML KINETIC ENFIELD
HONDA BULLET

INTERPRETATION

In the above BAR GRAPH it is clear that with no price consideration, HERO Honda will
be the first choice following with BAJAJ and ENFIELD BULLET as 2nd and 3rd choice.
Whereas TVS will be the 4th choice which is taking lead over YAMAHA, LML and
KINETIC as 5th, 6th and 7th choice.
 CHAPTER – 4
FINDINGS, CONCLUSIONS
AND SUGGESTIONS
FINDINGS

Ever since man evolved into social animal he felt the need for “Transportation”. As he
formed a civilization he felt the need for “Better Transportation”. Today on the
threshold of exploring the universe he feels the need of “Best Transportation”.

Truly the modern world relies on transportation which can be airways, roadways,
railways and on water. Bicycle was the most important part of road transportation in
early days and as the scenario changed bicycle was transformed into a fast, stylish and
trendy mode of transport known as Motorcycle nowadays known as Motorbike. Each
human being that is living in this social world knows the importance of bikes because it
serves the purpose in any kind of situation and in any part of this world.

The topic of the project is Comparitive study of Consumer Buying Behavior in Motor
Bikes with reference to TVS Motors. TVS motor company is one of the leading bike
manufacturers in India. The analysis of the project was based on consumer‟s point of
view. For the study, both primary data and secondary data were required. The primary
data was collected based on a survey research, using a structured questionnaire with both
open ended and closed-ended questions.

The sampling procedure used was random sampling for the 1st objective i.e. to
understand consumer needs on motorbikes. For the 2nd objective i.e. to understand the
awareness levels of TVS, I went to the prospects and met the respondents to fill the
questionnaire. The mode of survey was of personal interview, where the respondents
filled up the questionnaires. The secondary data was collected from business newspapers,
magazines, Company brochures, journals and the Internet. The major conclusion from
this study was that TVS has to improve itself to gain the 1st position in the market as it is
doing well to maintain its 3rd position in the market.

In terms of competition TVS has neck-to-neck competition with Hero Honda and Bajaj.
TVS has a lot of work to do if it has to take lead and remain the leading manufacturer in
India.
SUGGESTIONS AND RECOMMENDATIONS

 In the analysis the respondents have shown that they consider TVS motor company
after HERO HONDA and BAJAJ and this is a major concern for the company. TVS
motor company has to make some arrangements to increase the awareness level
among the prospects through media.

 The company should also emphasize on other bikes excluding TVS STAR CITY and
TVS SPORT because some of the bikes in TVS like Apache RTR are more popular
than these bikes in the surveyed area.

 In Ambedkar Nagar the respondents who have visited the dealership are not satisfied
with the service facilities which can be improved by regular visit of the service
managers as well as providing regular training to the staff as well as the owner.

 The dealership in Ambedkar Nagar also lacks in space, which is a major concern
because the first impression on the mind of the customer is about the window
display, which can be improved with the help of the professionals.

 The buying behavior of the customers in Ambedkar Nagar is not focused on the
celebrity endorsement but they want a product which should contain all the factors
and at an affordable price.

 The customers in Ambedkar Nagar want more number of dealers in their area so as to
have more options in visiting the dealership. Every dealership should have the same
services and excellent window display so as to attract more customers.

 As in the demographic phase of the respondents the younger generation wants to

have a bike with lot of power and style which TVS should come within future. As
TVS has launched its new bike VICTOR GLX in the market. TVS should improve its
channel management and should invest in the brand image in the market.
CONCLUSION

 The facts and figures shown in the analysis is correct and the survey has been done in
a good faith and responsibility

 As HERO HONDA, BAJAJ and YAMAHA have taken the 1st, 2nd and 3rd position.
Thus TVS motor co. has to make some more efforts to increase the awareness among
the people in the context of bikes.

 The respondents have been asked about the most effective slogan in different brands
of bikes in which again HONDA and BAJAJ have taken the lead. TVS motor co. has
emphasized only on STAR CITY and not on other bikes, thus people only know
about STAR CITY and not other bikes. Print media and different types of media
should be used to make people know about the slogan.

 The respondents in the factors, which they consider while purchasing a bike, have
done the ranking. MILEAGE is the first factor following with POWER and STYLE
and also with an adaptable PRICE. The company has to make efforts for making a
product that should have all these three factors with considerable price.

 The most influencing factor in purchasing decision of the bike is FAMILY and after
that FRIENDS which is not at all linked with the company investment. The company
generally invests in Dealer promotion and Media, which is not appropriate as
analyzed in this question. Awareness level through Media and dealer should be
increased.

 When asked about the experience at the TVS dealership most of the respondents had
a good and average experience with a small number having bad experience. The
small number of bad experience can be avoided by giving warm welcome and good
behavior by the staff.
 The respondents who have not visited the TVS dealership are either not interested in
TVS bikes or they are not satisfied with TVS products. In this matter the dealer
should increase the road shows as well as arrange regular customers meeting which
will create interests in other prospects.

 Most of the respondents had knowledge about the TVS bikes, which is a good sign
for the TVS motor company.

 In TVS motor company STAR CITY is the most popular bike and very interestingly
without any media interaction SPORT has taken the 2nd spot with APACHE on the
3rd spot which has taken a lead with only one place from WEGO. It is recommended
that SPORT should be given equal sales promotion than APACHE because of its
popularity has come through people network and not through channel media.

 The respondents have liked the service facility and the staff but the important factor
is the lack of space. The dealership in New Delhi has to improve the staff as well as
the after sales services and the customer relations.

 Celebrity endorsement does not affect most of the respondents whereas only 34% of
the respondents have an affect over the purchasing decision of bike. Company should
give more importance to the product so as to give the best in quality to the customer.

 In context to popularity TVS ranks 3rd according to this sample size and thus the
company should introduce new products as well as reposition its product according
to the demand in the market.

 In the case of no price consideration TVS ranks 4th and according to survey analysis
the respondent wants to purchase his dream bike which TVS Company has to make
in comparison with HERO HONDA, BAJAJ and ENFIELD BULLET.
QUESTIONNAIRE
 TVS MOTOR COMPANY

CONSUMER BUYING BEHAVIOUR (AMBEDKAR NAGAR)

QUESTIONNAIRE

Que1. Do you own a Bike?

Yes 
No 
If yes, which Bike do you have?
Specify __________________________________

Que2. Which brands of Bike are you aware of……..?

TVS 
HERO HONDA 
ENFIELD 
YAMAHA 
BAJAJ 
LML 
KINETIC 

Que3. Which slogan of Bike affects you the most and of which
brand…?
Specify___________________________________
Que4. Which factors do you consider while purchasing a Bike?
MILEAGE 
STYLE 
PRICE 
BRAND 
SPARE PARTS 
AFTER SALE SERVICE 

Que5. Who influenced you while purchasing the Bike?

FRIENDS 
DEALER 
FAMILY 
MEDIA 

Que6. Have You Visited Any TVS Showroom?

Yes 
No 

Que7. If yes, what was the Experience?

VERY GOOD 
GOOD 
AVERAGE 
BAD 

Que8. If No, why you have not visited the TVS Showroom?
Please Specify______________________________
Que9. If you have a Motorcycle other than TVS?

 Do you know about TVS Motor bike?

Yes 
No 

 If yes which Brand of TVS Motor bike?

Specify ___________________________________

 Have you visited TVS DEALERSHIP?

Yes 
No 

Que10. What have you liked OR Disliked at TVS DEALERSHIP?

Specify____________________________________

Que11. Does celebrity endorsement affect the purchase of Bike?

Yes 
No 

Que12. Which brand do you think is most popular in the Market?

Specify___________________________________

Que13. If there is no price consideration which brand would you buy?

Specify______________________________
BIBLIOGRAPHY
 BIBLIOGRAPHY

NEWSPAPERS:
 The hindu
 The Economic Times

INTERNET:
 www.tvsmotor.in
 www.wikipedia.org
 www.google.com