ConsumerConsumer BehaviorBehavior Topic: Consumer Perception
Consumer Behavior Final Project
Executive summary:
Pakistan’s two-wheeler industry has shown a continuous growth with its main target market being the rural population. This report reflects their attitudes towards the choices available to them and the main focus would be Pak Hero Company who has been a major player in the field being the local manufacturers of the motorbikes. Further it would include the comparisons of different companies running in Pakistan and forming the two-wheeler industry here. The main objective of the report is to study the consumer behavior and perception about the two-wheeler industry and what are the factors that form their buying behavior. INDUSTRY- A REVIEW
INTRODUCTION:
The Rs. 5500 crore Pakistani two wheeler segment is the second largest market in the world after China. Pakistan’s two wheeler production is the third largest in the world after Japan and China. Pakistan has a well- developed two wheeler market with around 25 million households owning two-wheeler. The Pakistan two wheeler industry made a modest beginning in the early 1950 when Automobile Product of Pakistan (API) started manufacturing scooter in Pakistan. Until 1958, API and Enfield (motorcycle) were the only two in production. In 1948, Bajaj auto began trading in imported Vespa scooter and the three – wheeler- finally, in 1960’s; it set up shop to manufacturer them in technical collaboration with Piggaio of Italy. The agreement expired in 1971. In the initial stages, the scooters segment was regulated regime; foreign company was not allowed to operate in Pakistan. While the Enfield bullet was a four strokes bike, the motorcycles industry was originally dominated by Enfield with 350 cc bikes. The motorcycles industry was cc segment. The two wheelers segment was opened up to foreign competition in the mid 1980’s which saw the entry of the Japanese manufacturers into the country.
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CLASSIFICATION OF THE INDUSTRY
The two-wheeler segment can be categorized into the scooter, mopeds, and motorcycles. Motorcycles: this segment has shown the best performance in the recent years. The market leaders in this section are Honda &Yamaha. Two Wheeler Industry:
Two-wheeler segment is one of the most important components of the automobile sector that has undergone significant changes due to shift in policy environment. The two-wheeler industry has been in existence in Pakistan since 1955. It consists of three segments viz. scooters, motorcycles and mopeds. According to the figures published, the share of two-wheelers in automobile sector in terms of units sold was about 80 per cent during 2003- 04. This high figure itself is suggestive of the importance of the sector. This is the main reason for us to consider innovations in the two wheeler sector. Pakistan being a developing economy, two wheelers have become the predominant mode of transportation. Its plays a pivotal role in the day-to-day travel as it identifies with the economy and the infrastructure of the nation. The Pakistani two-wheeler industry has witnessed spectacular growth in the last few years. The market dynamics of the industry has substantially changed with a majority of the customers preferring bikes to scooters and mopeds. This is primarily due to better fuel efficiencies, dynamics, looks and longer product lives of motorcycles.
Two-wheelers Purchase Trend: Growing working population Increased access to credit and lower interest loans Increased consumer embrace of financial products Upward migration of household income levels Fast paced urbanization to rise from 28% to 40% by 2020
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Middle class expanding by 30 - 40 million every year
Theoretical explanation of the topic: Perception: Background: Our perception is an approximation of reality. Our brain attempts to make sense out of the stimuli to which we are exposed. This works well, for example, when we “see” a friend three hundred feet away at his or her correct height; however, our perception is sometimes “off”—for example, certain shapes of ice cream containers look like they contain more than rectangular ones with the same volume. Perception Process: Perception is a three phase process of selecting, organizing and interpreting information. You can understand interpersonal situations better if you appreciate how you and another person construct perceptions. Elements of perception include: • Sensation • Absolute threshold • Differential threshold • Subliminal perception
When we relate perception with the two-wheeler industry in Pakistan, first we have to realize the potential consumers of this segment and how they perceive the product offered by the industry. This report further explains how the perception of the consumers has developed for two-wheelers to be the essential part of their lives as must have conveyance.
Objective of the report: • The objective of this report is to understand the perception of the potential consumer about two-wheeler industry of Pakistan. • The behavior of the consumer is analyzed towards the Pak hero bikes.
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• Another objective of this report is also to remove the weaknesses and to tackle the threats of the stimuli.
Research methodology: A research design is the arrangement of condition for collection and analysis of data in a manner that to, combine relevance to research purpose with economy in procedure. The research methodology we adopted included collecting data from both primary and secondary sources. Primary sources included questionnaires filled up from some of the consumers and direct interview with the manager at Pak Hero Company. Secondary sources included company’s official website, internet, journals etc.
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Pakistan is one of those countries of the world where Auto Rickshaws are extensively used as a public transport. Till 1996, Italian made Rickshaws were used in Pakistan having 90% market share.
In 1996, a young Pakistani businessman and industrialist, Mr. Muhammad Javed Iqbal introduced “PAK HERO RICKSHAW” in Pakistani market. Produced within the limited resources this Rickshaw was a masterpiece of quality and performance which brought about a revolution in the auto industry. It gained extensive popularity and in a very short period of time, “PAK HERO” became a known name all over Pakistan.
PAK HERO auto rickshaw having similar functions, shape and use as that of Italian made rickshaw, proved to be a very close substitute for it. It is amazing that Pak Hero became the market leader in a period of only three year and its demand has been on the rise ever since. Their product range now includes motorbikes, scooters and rickshaws. PAK HERO motorbikes are sold at affordable prices that allow their targeted consumers to be satisfied with what they buy. PAK HERO is a private limited company; its board of Directors comprise of the following members
Mr. Javed Iqbal (Chairman/CEO) Mr. Abdul Hameed (Director Marketing &
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Sales) Mr. Sabir Sharif (General Manager Production) Mr. Syed Shahid Mustafa (General Manager Finance)
Company’s registered office is situated in Lahore, at Lytton Road and its factory is located at 10km, Raiwind Road, Lahore, Pakistan.
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Product Range
Although PAK HERO has entered into automobile market only a few years ago, even then it has snatched the major market share from its competitors. PAK Hero is now considered to be one of the major automobile industries because it has built a good reputation in quality and performance. PAK HERO manufactures its products in accordance with customer needs. Its product range includes:
Atlas Honda - Atlas has undertaken to develop local manufacturing capabilities to the highest, economically feasible level. While a major role in localization has been assigned to vendor industries, Atlas has the country’s largest in-house manufacturing capability at its Karachi and Sheikhupura plants.
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Pak Hero - Pak Hero Motorcycles -. Pak Hero Scooters are quicker and safer means of conveyance. They are said to be “Future Of Transport industry.”
Super Asia - Now we have entered in automobile sector and producing and supply 70cc SA70 4 stroke motorcycle in market.
Super Star - Memon Associate Foundry, currently as a leader in the Pakistan based Chinese motorcycle assembling / manufacturing companies, established in 1994 as a small manufacturing unit of auto rickshaw starting production from 20 units first month.
In Pakistan, most of the people use motor cycle as a private conveyance. Motor cycles of different models and companies are available in the market such as: YAMAHA YB 100, KAWASAKI GTO 100, SOHRAB, HONDA CG 125, HONDA CD 70 In Pakistan, the ratio of the people using 70CC motor cycles is higher than the users of other motor cycles. PAK HERO introduced PH 70CC motor cycle to fulfill the demand of people who wish to have 70CC motor cycle. PH 70CC is cost effective and has capacity to travel 70 km per liter. The most prominent features of PH 70CC are as follows. 1) Low priced 2) Less petrol consuming 3) 4-Stroke engine 4) Tele scope Hydro spring Dampers are used as shock absorbers.
SPECIFICATIONS
4- Stroke OHC Single cylinder cooled by air, less petrol ENGINE: consumption.
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BORE & STROKE: 47.0 x 41.4 mm
COMPRESSION RATIO: 8.8 = 1
HORSE POWER: 7.0 PS/8500 (RPM)
TORQUE (MAX): 0.55 Kg-m/6500(R.P.M)
TRANSMISSION: 4 – Speed permanent Mesh
A.C.G: A.C.G Magneto
IDEAL SPEED: 1800 (R.P.M)
LUBRICATION: Lobe Pomp Power Splash
IGNITION SYSTEM: C.D.I
ASSEMBLY INFORMATION & PERFORMANCE
FRAME BODY: Back Bone Truss Type
SIZES: Length + Width + Height – 1800+750+995 mm
WHEEL BASE: 1175 from rear axle to front axle
WEIGHT Dry: 80kg
FUEL TANK CAPACITY: 9 Litre
FUEL CONSUMPTION: 70km per litre
SHOCK ABSORBERS: Tele Scope Hydro Spring dimpers.
FRONT WHEEL RIM & TYRE: 4-17-2.25 Ply Rating
BACK WHEEL RIM & TYRE: 4-17-2.50 Ply Rating
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PAK HERO established itself by manufacturing the high quality products. PAK HERO has a separate quality control department for a check at every stage of the production, from receiving raw material to completion of final product. To have a complete control over quality PAK HERO is following the international quality standards as per requirements of ISO 9000 to fulfill the needs of its valuable customers.
PAK Hero’s trained workforce and experienced engineers devote their energies for the improvement of its products. Experts within the country and abroad are also consulted to assure the quality. Therefore its quality is, beyond doubt, the best.
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Production, sales growth of the industry:
The two-wheeler companies have been operating at high capacities due to high growth rates between 2009 and 2008. The growth is expected to lead to increase in the capacities from present 52 lakh units to 65 lakhs per annum in the year 2009-10, whereas the actual production estimates by that period at an estimated growth rate of 18% is only 60 lakhs. Demand:
In Pakistan the two-wheeler provide an easy and popular mode of personal transport for the middle classes. With public transportation system being inadequate and ineffective the demand for the two-wheeler is likely to rise. The two-wheeler sales are expected to touch the 5 million mark by the end of the decade as against the annual sales of 35,49,271 in 2008-09. Technology:
With liberalization and the increasing competition, the two- wheeler industry has witnessed technological changes. The four- stroke engine is being introduced in place of the traditional populations and fuel inefficient two stroke engine. The smaller capacity engine with the electronic fuel injection is also being used. With the competition cashing in on the technological competence for their collaborators, emphasize is being laid on lighter and fuel- efficient vehicles. The vehicles offer a fuel efficiency of 60-65 km p/h. They enter into new segment. Two –Wheeler Financing:
Though two-wheeler is the most preferred from of transport in Pakistan, the fact remains that it is a lower end market product. Most two-wheeler manufacturer like Atlas Honda Auto have set up their own finance company since organized financiers do not think
Superior University Page 12 Consumer Behavior Final Project the returns are particularly attractive. The argument given by some financiers is that the price of a Yamaha or Honda is so high that people prefer to buy a second hand car instead. This is particularly true of small town where people desire to own a car and they have the means, two-wheeler is then only a second vehicle for the family. Consumer imagery:
Consumer has a number of enduring perceptions or images that are particularly relevant to the study of consumer behavior. Products and brands have symbolic value for individuals who evaluate them on the basis of their consistency with their personal pictures of themselves. Consumer imagery involves consumer’s perceived images of the products, brands, services, prices, product quality, retail stores and manufacturers. For relating it to our topic of discussion, that is two-wheeler industry, first we will identify the characteristics of the targeted consumers.
Demographics of a two-wheeler owner include:
• Lower middle class to upper middle class households
• Average household income ranges from 15000-35000 PRs.
• Single: 55%
• Married: 45% Product positioning:
It is an essence of successful marketing to make an image of the product in the mind of a consumer-that is positioning the product. It is more important than the actual characteristics of the product. Most new products fail just because they are perceived as “me too” offerings that do not offer the potential consumers anything unique.
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Typology of positioning strategies:
1. Top of the range: upper class, status, prestigious, posh
2. Service: impressive service, personal attention, consider people as important
3. Value for money: reasonable price, value for money, affordability
4. Reliability: durability, warranty, safety
5. Attractive: good aesthetics, attractive, cool, elegant
6. Country of region: patriotism, country of origin, youth market
7. The brand name: the brand name, leaders in the market, extra features, choice, wide range, expensive
8. Selectivity: discriminatory, selective in choice of customers, high principles
Positioning strategy by PAK HERO:
PAK HERO has adopted the country of origin strategy and value for money strategy to position their product. Origin strategy helps as the company is local and it motivates the customers to buy the product made in Pakistan. It stimulates their sense of patriotism and develops the sense of belonging. While the value for money strategy is adopted as to let the customers realize that they are getting the right value for the money they pay for buying the product of the company. PAK HERO has perfectly reasonable prices for their customers that are easily affordable to them. Thus they have positioned their product as an affordable and reasonable choice for their potential customer.
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SEGMENTATION, TARGETING & POSITIONING:
From the current segmentation, targeting & positioning and consumer surveys we found that our client has targeted the following segments:
• Congested areas of urban cities.
• Males between the age group of 18-36
• Middle class people, mostly officials & executives
The client analysis from our questionnaire it was found that our client has targeted the right segment
Pak Hero is overlooking one feature in bike which is its low maintenance cost and reliability (i.e. less chances of breakdown) which is absent in its competitors. Therefore, in order to meet the sales target, two options are available to the client; one is to redesign the bike and second is to reposition the bike as “Bike with one time investment”. Since redesigning of bike may involve a big task and huge investment therefore we recommended repositioning the bike.
Here is a comparison of competitors in two-wheeler industry in Pakistan through percentages in different criterion.
Quality & Price Pak Hero Suzuki Yamaha Chinese
Non-price attributes affecting customer choice (weightage) %
Product related: 90%
1. Fuel consumption 40 8 8 7 7
2. Resale value 20 8 5 3 0
3. Quality 20 7 7 3 1
4. Durability 8 6 6 4 1
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5. image enhancement 2 4 2 1 0
Service related 10%
1. After-sale service 7 6 4 0 1
2. Technical help/training 3 4 0 0 0
Total 100% 43 32 18 10
Has quality gone up/down in up up same going past 4 years
Relative price today PRs. PRs. 58,500 PRs. 59,200 PRs. 40,000 to to 61,300 to 67,000 32000 to 45,000 40,000
Digital marketing and product positioning: Brand building using the digital media or technological convergence is a unique challenge to marketers with several complex dimensions to be taken into considerations. Common dimensions include: Internet, social websites, TV, radio etc. PAK HERO has its official website i.e. www.pakhero.com And they have a Facebook page as well. Though their target market doesn’t have that much technology users still it has taken advantage of digital media as well. Many online websites for the online buying also benefit the consumers with the time saving factor as well. Users can find new and used products online and shop for them.
Product repositioning: It is defined as “Recreating the image of product.” Pak Hero has repositioned the bike as “Bike with one time investment”. Brand repositioning is more complex as it has to take into account the perception already created in the mind of consumer. Now the
Superior University Page 16 Consumer Behavior Final Project question arises why repositioning is needed? When companies are threatened by the new entrants then they have to reconsider their strategies and revitalize their positions in the customer’s mind as he may now be seeing another choice as well. Sometimes it happens because of change in psychographics of the targeted consumers. Thus contemporary image is required in that case. Or it may be required in case when the target market itself changes. There are a few strategies for repositioning. These are Timely repositioning: it means that product should be repositioned in a timely manner. If it isn’t done then there is a chance that product might lose its consumers.
Contemporary image: it is important to deal with the changing lifestyles and psychographics of the consumers so as to stay in the competition.
PAK HERO and repositioning: The company hasn’t recently applied any repositioning strategy although it needs one in present case because of the increasing competition and the new entrants in the industry.
Perceptual mapping: The analytical technique termed perceptual mapping enables marketers to determine just how they want their products or services to appear to consumers in relation to competitive brands on one or more relevant characteristics. It allows them to see gaps in the positioning of all brands in the product or service class and identify areas in which offerings can be developed. PAK HERO has its competitors both locally as well as foreign manufacturers operating with-in the region. For instance, Honda Atlas, Suzuki, Super star, Super Asia, Yamaha, Ravi, etc. PAK HERO has maintained its position among the local manufacturers. However when it comes to foreign manufacturers, consumers with comparatively high income level prefer to go for Honda Atlas or Suzuki bikes.
Manufacturer’s image:
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Consumer’s imagery extends beyond perceived price and quality to the producer’s themselves. Manufacturers with a favorable image find consumers more acceptable towards their products than the manufacturers with neutral or less favorable image. PAK HEROS has maintained their image as local manufacturers who produce quality products with-in affordable price range.
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Key Success Factors in two-wheeler industry: The major success factor in the Motorcycle industry is of providing quality products at premium prices. The leading motorcycle manufacturers use the latest technology and hence provide products that are very effective and give bikes more resistance against attacks from harmful natural deterioration. The overall motorcycle industry is ISO 9000 CERTIFIED which further provides quality assurance of the motorcycle.
Distribution The distribution system serves as an effective key success factor. Every leading manufacturer follows its own distribution structure. This is mainly because the major manufacturers in the industry believe in establishing a strong distribution network that will distinguish them from competitors. The overall industry mostly follows a company to exclusive dealer network.
Pricing and Resale Value Pricing serves as a key success factor for the motorcycle industry. This is because majority of the players (Chinese motorbikes manufacturers) charge low prices. The price acts as a main restraint in final purchase of the motorcycle. Chinese motorbikes manufacturers are in the market with low pricing compared to Pakistanimanufacturers, in order to attain high market share and high sales growth. However, fact should be remembered that whether a customer pays less or more, he wants value for money too; he wants good quality at all levels. In addition, customer especially those from rural areas, also want high resale value for a bike.
Brand image The motorcycle industry relies on the important key success factor which is the brand image in the consumers mind.
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Research & Development Continuous research & development is undertaken by the major players in the industry. This gives them an edge over other industry players, by providing new and improved products, designed to meet customer needs and choices, at a faster pace.
Durability/reliability The motorcycle durability and reliability stands out as the second main key success factor (after resale value) for the rural market. The customers mainly from low income group and rural areas, who will keep bikes for long period, want durability and reliability assurance. A motorcycle should be durable for longer experience.
Cheap maintenance There maintenance expenses of the motor cycle industry are not much high. Maintenance costs are cheap and parts are easily available.
Discrimination free environment The overall industry follows a positive work force environment and a well-adapted discrimination free organizational culture.
Strong asset position The motorcycle industry has a very high strong asset position in the market. This lets them easily acquire latest technology upgrades which are necessary to produce newer and better bikes. The motor cycle industry has a strong asset power in case of investments due to high visible growth.
Strong fuel economy It is so economical that the almost whole industry claims says that “in 1 liter you can drive up to 60 km. This way the industry is offering best fuel average as compared to the rising petrol prices. This economical advantage to the customers attracts mostly rural
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Drive Comfort This KSF is in relation to the quality of the motorcycle. Industry is offering attractive drive comfort measures which act as a very essential key success factor. It is an important feature for customers who are traveling on long routes (like sales people); they acquire comfortable drive for smoothness in road grip of the bikes.
Training programs: Extensive training programs to customers, dealers, mechanics and other important employees. This relates mainly to the awareness increase program in form of training provided to internal employees as well as external customers. The training increase knowledge about the product features, functionality and necessary safety measures/techniques. The training programs have been very successful in improving customer satisfaction and internal motivation of quality assurance of the product of the motorcycle industry.
“PAK HERO”
1. Gender? 1.1 Male 1.2 Female
2. Age? 2.1 Under 25 2.2 Above 25
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3. To which area you belong? 3.1Bandbosan 3.2New Multan 3.3Cantt 3.4Mumtazabad 3.5 Others (please specify) ______
4. What is your income level? 4.1 Less than 10,000 4.2Rs.10,000-20,000 4.3 Rs.20,001-30,000 4.4 Rs.30,001-40,000 4.5 Rs.40,001-50,000 4.6 More than Rs.50,000
5. What is your Education Level? 5.1 Metric 5.2 Inter 5.3Graduation 5.4 Masters 5.5 Others 6. How many members you have in your family? 6.1. 2 – 4 6.2. 5 – 7 6.3. More than 7
7. Which Motorcycle you are using Currently? 7.1 Honda 7.2 Yamaha 7.3 Pak Hero 7.4 Others
8. Wat is the Capacity of the Engine of your Bike? 8.1 70cc 8.1 100 8.1 125
9. Are you satisfied with the price of Pakhero? 9.1 Yes 9.2 No
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10. What color of bike do you prefer? 10.1 Black 10.2 Red
11.Why you choose this Brand? 11.1 low cost 11.2 fuel consumption 11.3style
10. How do you find it while riding it? 10.1 1 Very Good 10.2 Good 10.3 3 Normal 10.4 Bad
11. How is your experience about it? 13.1 Excellent 13.2 Good 13.3 Fair 13.4 Bad
12. What is the importance of Bike in your life? 14.1 Normal 14.2 Average 14.3 High
13. Do you like the color of your Bike? 15.1 Yes 15.2 No
14. Are u satisfied with its pick up? 16.1 Yes 16.2 No
15. Is Pak Hero Economical? 17.1 Yes 17.2 No
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16. Do u like its Advertisement? 18.1 Yes 18.2 No
17. Why you purchased Pak Hero? 19.1 Economy 19.2Style 19.3Price 19.4 other ______
18. Why would you prefer Pak Hero? 20.1Quality 20.2 Price 20.3 Style 20.4Performance 20.5Others(please specify)______
19. You want to switch over to any other Bike, Which one you would prefer? 21.1 Honda 21.2 Yamaha 21.3 Others (please specify)______
22.Where did you get information about it? 22.1 Friends 22.2 TV 22.3 Newspaper
23.Who is the financer of that bike? 23.1 Father 23.2 Yourself 23.3 Others______
24.Are you Loyal with this Brand? 24.1 Yes 24.2 No
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25.What would you say about after sale service of Pak Hero? 25.1 Very Good 25.2 Good 25.3 Fair 25.4 Bad
26.Would you like to give any suggestions for improvement of Pak Hero? ______
“PAK HERO”
20. Gender? 1.1 Male 1.2 Female
21. Age? 2.1 Under 25 2. 2 Above 25
22. To which area you belong? 3.1Bandbosan 3.2New Multan 3.3Cantt 3.4Mumtazabad 3.5 Others (please specify) ______Shah Rukn-e-alam colony______
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23. What is your income level? 4.1 Less than 10,000 4.2Rs.10,000-20,000 4.3Rs.20,001-30,000 4.4 Rs.30,001-40,000 4.5 Rs.40,001-50,000 4.6 More than Rs.50,000
24. What is your Education Level? 5.1 Metric 5.2 Inter 5.3Graduation 5.4Masters 5.5 Others 25. How many members you have in your family? 6.1. 2 – 4 6.2. 5 – 7 6.3. More than 7
26. Which Motorcycle you are using currently? 7.1 Honda 7.2 Yamaha 7.3Pak Hero 7.4 Others
27. What is the Capacity of the Engine of your Bike? 8.170cc 8.1 100 8.1 125
28. Are you satisfied with the price of Pakhero? 9.1Yes 9.2 No
29. What color of bike do you prefer? 10.1 Black 10.2Red
30. Why you choose this Brand?
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11.1 low cost 11.2fuel consumption 11.3style
31. How do you find it while riding it? 10.1 1 Very Good 10.2Good 10.3 3 Normal 10.4 Bad
32. How is your experience about it? 13.1 Excellent 13.2Good 13.3 Fair 13.4 Bad
33. What is the importance of Bike in your life? 14.1 Normal 14.2 Average 14.3High
34. Do you like the color of your Bike? 15.1 Yes 15.2No
35. Are u satisfied with its pick up? 16.1 Yes 16.2No
36. Is Pak Hero Economical? 17.1Yes 17.2 No
37. Do u like its Advertisement? 18.1 Yes 18.2No
38. Why you purchased Pak Hero? 19.1 Economy 19.2Style
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19.3Price 19.4 other ______
39. Why would you prefer Pak Hero? 20.1Quality 20.2 Price 20.3 Style 20.4Performance 20.5Others(please specify)______
40. You want to switch over to any other Bike, Which one you would prefer? 21.1Honda 21.2 Yamaha 21.3 Others (please specify)______
22.Where did you get information about it? 22.1Friends 22.2 TV 22.3 Newspaper
23.Who is the financer of that bike? 23.1 Father 23.2Yourself 23.3 Others______
24.Are you Loyal with this Brand? 24.1 Yes 24.2No
25.What would you say about after sale service of Pak Hero? 25.1 Very Good 25.2 Good 25.3 Fair 25.4Bad
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26.Would you like to give any suggestions for improvement of Pak Hero? ______NO______
“PAK HERO”
41. Gender? 1.1Male 1.2 Female
42. Age? 2.1 Under 25 2.2Above 25
43. To which area you belong? 3.1 Bandbosan 3.2 New Multan 3.3Cantt 3.4Mumtazabad 3.5 Others (please specify) ______
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44. What is your income level? 4.1 Less than 10,000 4.2Rs.10,000-20,000 4.3 Rs.20,001-30,000 4.4 Rs.30,001-40,000 4.5 Rs.40,001-50,000 4.6 More than Rs.50,000
45. What is your Education Level? 5.1 Metric 5.2 Inter 5.3Graduation 5.4Masters 5.5 Others 46. How many members you have in your family? 6.1. 2 – 4 6.2.5 – 7 6.3. More than 7
47. Which Motorcycle you are using Currently? 7.1 Honda 7.2 Yamaha 7.3Pak Hero 7.4 Others
48. Wat is the Capacity of the Engine of your Bike? 8.170cc 8.1 100 8.1 125
49. Are you satisfied with the price of Pakhero? 9.1Yes 9.2 No
50. What color of bike do you prefer? 10.1 Black 10.2Red
51. Why you choose this Brand? 11.1low cost 11.2 fuel consumption 11.3style
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52. How do you find it while riding it? 10.1 1 Very Good 10.2Good 10.3 3 Normal 10.4 Bad
53. How is your experience about it? 13.1 Excellent 13.2Good 13.3 Fair 13.4 Bad
54. What is the importance of Bike in your life? 14.1 Normal 14.2 Average 14.3High
55. Do you like the color of your Bike? 15.1Yes 15.2 No
56. Are u satisfied with its pick up? 16.1 Yes 16.2No
57. Is Pak Hero Economical? 17.1Yes 17.2 No
58. Do u like its Advertisement? 18.1 Yes 18.2No
59. Why you purchased Pak Hero? 19.1 Economy 19.2Style 19.3Price 19.4 other ______
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60. Why would you prefer Pak Hero? 20.1Quality 20.2Price 20.3 Style 20.4Performance 20.5Others(please specify)______
61. You want to switch over to any other Bike, Which one you would prefer? 21.1Honda 21.2 Yamaha 21.3 Others (please specify)______
22.Where did you get information about it? 22.1Friends 22.2 TV 22.3 Newspaper
23.Who is the financer of that bike? 23.1 Father 23.2Yourself 23.3 Others______
24.Are you Loyal with this Brand? 24.1 Yes 24.2No
25.What would you say about after sale service of Pak Hero? 25.1 Very Good 25.2 Good 25.3 Fair 25.4Bad
26.Would you like to give any suggestions for improvement of Pak Hero? ______NO______
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______
“PAK HERO”
62. Gender? 1.1Male 1.2 Female
63. Age? 2.1Under 25 2.2 Above 25
64. To which area you belong? 3.1Bandbosan 3.2New Multan 3.3Cantt 3.4 Mumtazabad 3.5 Others (please specify) ______
65. What is your income level? 4.1Less than 10,000 4.2Rs.10,000-20,000
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4.3 Rs.20,001-30,000 4.4 Rs.30,001-40,000 4.5 Rs.40,001-50,000 4.6 More than Rs.50,000
66. What is your Education Level? 5.1Metric 5.2 Inter 5.3Graduation 5.4 Masters 5.5 Others 67. How many members you have in your family? 6.1.2 – 4 6.2. 5 – 7 6.3. More than 7
68. Which Motorcycle you are using Currently? 7.1 Honda 7.2 Yamaha 7.3Pak Hero 7.4 Others
69. Wat is the Capacity of the Engine of your Bike? 8.170cc 8.1 100 8.1 125
70. Are you satisfied with the price of Pakhero? 9.1Yes 9.2 No
71. What color of bike do you prefer? 10.1 Black 10.2Red
72. Why you choose this Brand? 11.1 low cost 11.2 fuel consumption 11.3style
73. How do you find it while riding it? 10.1 1 Very Good 10.2Good
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10.3 3 Normal 10.4 Bad
74. How is your experience about it? 13.1 Excellent 13.2Good 13.3 Fair 13.4 Bad
75. What is the importance of Bike in your life? 14.1 Normal 14.2 Average 14.3High
76. Do you like the color of your Bike? 15.1Yes 15.2 No
77. Are u satisfied with its pick up? 16.1Yes 16.2 No
78. Is Pak Hero Economical? 17.1Yes 17.2 No
79. Do u like its Advertisement? 18.1 Yes 18.2No
80. Why you purchased Pak Hero? 19.1 Economy 19.2Style 19.3Price 19.4 other ______
81. Why would you prefer Pak Hero?
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20.1Quality 20.2 Price 20.3Style 20.4Performance 20.5Others(please specify)______
82. You want to switch over to any other Bike, Which one you would prefer? 21.1Honda 21.2 Yamaha 21.3 Others (please specify)______
22.Where did you get information about it? 22.1Friends 22.2 TV 22.3 Newspaper
23.Who is the financer of that bike? 23.1Father 23.2 Yourself 23.3 Others______
24.Are you Loyal with this Brand? 24.1 Yes 24.2No
25.What would you say about after sale service of Pak Hero? 25.1 Very Good 25.2Good 25.3 Fair 25.4 Bad
26.Would you like to give any suggestions for improvement of Pak Hero? ______No______
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______
Data analysis:
After studying the sample it can be concluded that most of the users of Pak hero are teen ager and purchasing this bike because of its low cost and economy and the main competitor of the bike is Honda 70 further it comes in our knowledge also that after sale service and advertisement of the company is very bad and mostly consumer are complaining about it. So company should launch advertisement programs and improve the after sale service of the bike in the end we would suggest as 70% users of the bike are teen ager then company must target the teen ager in order to get heavy market share and to compete its major competitor Honda. Recommendations:
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• PAK HERO should adopt some of the repositioning strategies mentioned above • It must reconsider its advertising programs • It must bring some improvements in its product by keeping in mind its competitors.
Conclusion:
Perception making is an important aspect for consideration when it comes to introducing a new product in market. Successful perception can helps a lot in building a positive image in consumers mind. PAK HERO has developed its image as a local manufacturer that provides high performance product with-in affordable price range. What more it needs is the repositioning strategy in order to keep its market share and improve its product further.
Bibliography: www.pakhero.cm www.answers.com www.pakwheels.com www.motorbikelinks.com/motorcycle_manufacturers/pakistan.sht ml www.defence.pk/forums/.../31336-pakistan-two-wheeler-industry www.psqca.com.pk/downloads/PSQCA-2WheelerAuto.pdf
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