A JAGANATHAN AND K PALANICHAMY: A STUDY THE BUYER BEHAVIOUR TOWARDS SMALL CARS PRODUCED BY MARUTI SUZUKI INDIA LIMITED IN THE NILGIRIS DISTRICT OF TAMIL NADU DOI: 10.21917/ijms.2018.0113 A STUDY THE BUYER BEHAVIOUR TOWARDS SMALL CARS PRODUCED BY MARUTI SUZUKI INDIA LIMITED IN THE NILGIRIS DISTRICT OF TAMIL NADU A. Jaganathan1 and K. Palanichamy2 1Department of Business Administration with Computer Application, Bharathiar University Arts and Science College, Gudalur, India 2Department of Commerce with Computer Application, Bharathiar University Arts and Science College, Gudalur, India Abstract like Suzuki, Hyundai, Daewoo, Ford, etc. have entered in the Indian A study on the buyer behavior towards small cars is the most important car industry while some others like Volkswagen, General Motors for the car manufactures. Such an analysis will provide car are closely watching the market. The increase in the demand for manufacturers, a quantitative estimate of level of satisfaction being small cars can be attributed to the inspirational lifestyle of people perceived by the customers. Therefore, in this study an attempt has been which makes them strive for a car early on in life. The overall age made to seek answers to the research questions such as how are the for owing a car has also decreased in recent years. Further, with the buyers satisfied with the price, fuel efficiency, maintenance, after-sale growing affluence of the rural sector, owing a car, at least a small services and overall product features of the small cars in the study area? And what are the factors that influence the customers. Hence, in car, is a foregone conclusion in modern India. However, since small the present study, an attempt has been made to analyze the variables cars are more affordable and utilitarian, the demand for them has that affect the buyer behavior towards small cars particularly the small shot through the roof. cars manufactured by the Maruti Suzuki India Limited in the Nilgiris After liberalization and globalization, the car industry in India district of Tamil Nadu. has undergone a phenomenal change. The days of monopoly in the Indian market are over. The small passenger car market has reached Keywords: a stage which nobody would have dreamt of few years back. The Behaviour, Monopoly, Passenger, Small Car small car industry in India is fast adapting to the changing times. Since small cars are looking more beautiful and technologically 1. INTRODUCTION superior, the customers are naturally drawn into buying them. This makes the car manufactures to satisfy the customer as well as compete with their rival manufactures. Small car is one of the commonly used conveyances by the upper and middle-class people. Two decades ago, only a few 1.1 STATEMENT OF THE PROBLEM industrialists and rich people had small cars. But after the industrialization the earning capacity among the middle-class In India, till early eighties, consumers had very limited options people has also increased and this paved the way for them to go in for passenger cars. Therefore, in olden days, people bought for small cars. Nowadays a car is not only bought for social status, passenger cars, to use and keep it for the whole duration of their but also it is felt as a necessity. As the population is increasing, the lives. In those days, passenger cars used to be considered as a government and private sectors are not able to provide adequate luxury, rather than a necessity. Due to the economic boom, higher conveyance for all the passengers. For going to office and business income levels and the growing purchasing power of the Indian establishments, within a stipulated time the staff of both urban populace, cars have transformed into a necessitated government and private sectors needs cars. Financial companies are ingredient for Indian middle-class families. also providing financial facilities for the purchase of small cars. Due to the emergence of globalization, liberalization due to The small car segment has always been the high growth technological revolution there is a tough competition among the segment of the Indian automobile market right from the first car makers. The necessity of purchasing a car among individuals launching of the small car in the Indian market by Maruti Udyog to make their life comfort is increasing day-by-day. “Yesterday’s Company in 1983. As such for many years, small cars have luxuries is today’s necessities”. So the purchasing of small cars accounted for major part of the revenue of the fast expanding for a mid-sized family is on the rise. At present, the demand for passenger-car market. In future, Indian consumers now want the the passenger cars is expanding considerably in the country. To latest technological and functional features in such cars and not be a successful marketer it is absolutely essential to read the minds ready to wait for long to get the latest models from foreign car and behaviour of the buyers. manufacture as they did in the past. Now there are enough local and multinational players in the Indian market. The increased income 1.2 SCOPE OF THE STUDY of middle-class family motivates and fulfills their dreams of owning This study throws light on the customer satisfaction towards a small car, which is suitable for the Indian road condition. small cars produced by Maruti Suzuki India Limited. The study is The small car market in India is increasing by leaps and bounds. restricted to Nilgiris district of Tamil Nadu. This study will be The main players in the car market like Tata Motors and Maruti helpful to improve customer satisfaction with passenger cars in Suzuki are fiercely competitive and more or less all the automobile the study area and act as a secondary data for further research. companies in India that have forayed into the production of small cars are trying to out-do each other in terms of design, innovation, 1.3 RESEARCH GAP pricing and technology. Tata Motors have decided to launch a mini- car ‘NANO’ in 2009, which will cost much less. Tata Motors is also A study on the buyer behaviour towards small cars produced going through a process of decision-making, to launch a variety of by Maruti Suzuki India Limited is has not yet been made by the mini-cars in association with Fiat. In addition, several global brands researcher in the Indian context. This study fills the research gap. 836 ISSN: 2395-1664 (ONLINE) ICTACT JOURNAL ON MANAGEMENT STUDIES, NOVEMBER 2018, VOLUME: 04, ISSUE: 04 Hence, an attempt has been made by the researcher to study the 2014. During the period, the required data were collected for the buyer behaviour towards small cars produced by Maruti Suzuki study. India Limited in the Nilgiris district of Tamil Nadu 2.4 LIMITATION OF STUDY 1.4 OBJECTIVES OF THE STUDY The study is limited to owners of the small cars manufactured • To analyze the buyer behaviour towards small cars produced by Maruti Suzuki India limited. The respondents who purchased by Maruti Suzuki India Limited. the small cars of the company during the period from 2009 to 2014 • To offer some viable and practicable suggestions to the car alone considered for the study. manufacturers to increase customer satisfaction and to The study is purely based on the customer’s opinion. The improve their market share in the competitive business researcher felt that the customer might express a biased opinion, environment. which may limit the validity of the study. As a convenience sample was used, the results of the study are 1.5 HYPOTHESIS only representative of those who participated in this research The hypotheses were formulated keeping the content and study. This imposes limitations on the generalization of the results coverage of the framed objectives. The formulated hypotheses are of the study. tested by employing appropriate statistical tools. The hypotheses framed in the study are: 3. REVIEW OF LITERATURE • There is no significant difference between demographic variables and level of awareness of the respondents about The aim and scope of the present study has been discussed in product features. the previous chapter. Review of literature is an important aspect of any research. It helps us to trace out the past trends in any particular • There is no significant difference between demographic branch of subject. Review of literature helps us to identify the areas variables and level of satisfaction with fuel efficiency, of research. There have been many studies conducted in the field of maintenance, delivery time, free services, price, after- sale buyer behaviour and satisfaction both at national and international services, product features of the small car. level. Some of the previous related research studies have been reviewed in this chapter. 2. RESEARCH METHODOLOGY Chacko and Selvaraj [1] concluded that there may be a number of factors which are responsible for the changing purchase The study analyzes the buyer’s behaviour towards small cars preference of the consumer in four-wheelers. Among those and perceptions of the customers about service quality of the variables - safety, maintenance, mileage, easy mode of financing authorized dealers in Nilgiris district of Tamil Nadu. Survey and easy driving are found to be pointed influencing buying method has been used to fulfill the objectives of the research. preference of consumers. With the rapid and consistent growth in 2.1 SAMPLE SIZE the price of the fuel consumers are more conscious about mileage. So they highly prefer mileage while buying a car. This study found The Nilgiris District in Tamil Nadu comprises of six taluks that consumers also prefer easy mode of financing a car. With the viz. Udhagamandalam, Kundah, Coonoor, Kotagiri, Gudalur and growing competition in automobile sector, companies are Pandalur.