INTRODUCTION as the vehicle moves, freeing the


An automatic transmission,
also called auto, self-shifting transmission, n-speed automatic (where n is
its number of forward gear ratios), or AT, is a type of motor vehicle
transmission that can automatically change gear ratios as the vehicle moves,
freeing the driver from having to shift gears manually. Like other transmission systems on vehicles,
it allows an internal combustion engine, best suited to run at a relatively high rotational speed,
to provide a range of speed and torque outputs necessary for vehicular travel.

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Since the first car rolled
out on the streets of Mumbai (then Bombay) in 1898, the  Automobile Industry of India has come a long
way. During its early stages the auto industry was overlooked by the then
Government and the policies were also not favorable. The liberalization policy
and various tax reliefs by the Govt. of India in recent years has made remarkable
impacts on Indian Automobile Industry. Indian auto industry, which is currently
growing at the pace of around 18 % per annum, has become a hot destination for
global auto players like Volvo, General Motors and Ford.

A well developed
transportation system plays a key role in the development of an economy,and
India is no exception to it. With the growth of transportation system the
Automotive Industry of India is also growing at rapid speed, occupying an
important place on the ‘canvas’of Indian economy

Today Indian automotive
industry is fully capable of producing various kinds of vehicles and can be
divided into 03 broad categories: Cars, two-wheelers and heavy vehicles

Now a day the transport facilities well-developed of these
cars are a very essential transport mode to travel from one place to another
place. Because of rapid industrial growth and economic growth the standard of
living of the people is enhanced.



Jeep Compass

Hyundai Verna

Hyundai Verna

Renault Kwid

Toyota Fortuner

Renault Duster


Skoda Octavia




During the 1920s, cars exhibited design refinements such as
balloon tires, pressed-steelwheels, and four-wheel brakes.

The origin of automobile is not certain. In this section of
automobile history, we will only discuss about the phases of automobile in the development
and modernization process since the first car was shipped to India. We will
start automotive history from this point of time.The automobile industry has
changed the way people live and work. The earliest of modern cars was
manufactured in the year 1895. Shortly the first appearance of the car followed
in India. As the century turned, three cars were imported in Mumbai (India).
Within decade there were total of 1025 cars in the city.

The dawn of automobile actually goes back to 4000 years when
the first wheel was used for transportation in India. In the beginning of 15th
century Portuguese arrived in China and the interaction of the two cultures led
to a variety of new technologies, including the creation of a wheel that turned
under its own power. By 1600s small steam-powered engine models was developed,
but it took another century before a full-sized engine-powered vehicle was created


According to Commerce Minister Kamal Nath, India is an
attractive destination for globalauto giants like BMW, General Motors, Ford and
Hyundai who were setting base in India,despite the absence of specific trade


By 2010, India is expected to witness over Rs 30,000 crore
of investment.

•Maruti Udyog has set up the second car with an investment
of Rs 6,500 crore.

•Hyundai will bring in more than Rs 3,800 crore to India.

•Tata Motors will be investing Rs 2,000 crore in its small
car project.

•General Motors will be investing Rs 100 crore and Ford
about Rs 350 crore.

•Ashok Leyland and Tata Motors have each announced over Rs
1,000 crore of investment




The passenger car and motorcycle segment in Indian auto
Industry is growing by 8-9 per cent


India, in auto sector, is turning to be a sourcing base for
the global auto majors. The passenger car and the motorcycle segment is set to
grow by 8-9 per cent in coming couple of years, says the ICRA report. The
industry is likely to maintain the growth momentum picked up in 2002-03.The
ICRA’s analysis points on the auto sector that the passenger car market in the
country was inching towards cars with higher displacements. The
sports-utility-vehicle (SUV)that was getting crowded everyday would witness
intense competition as many SUVs had been competitively priced, the report

Honda,Suzuki,General MotorsandHyundai,the global automakers
had already launched their premium SUVs in the market to broaden their
portfolio and create product excitement 
in  the  segment 
estimated  at  about 
10,000  unit annually


India is the 11th largest Passenger Cars producing countries
in the world and 4th largest in Heavy Trucks.


Hyundai Motors India is the second largest player
in passenger car market.

Fasteners, Sundaram Clayton, 
Bharat  Forge  and Rico Auto supplies components to global
majors like Ford, General Motors and Land Rover.

Tata Motors is the fifth largest medium &
heavy commercial vehicle manufacturer in the world To know the image of product
in the mind of consumer.






?To compare the level of satisfaction before purchasing and
after purchasing the car.

?To know the most popular media for advertisement .

?To check the loyalty of the consumer towards the brands.

?To know the most motivating factor for purchasing the four

?To know the preferable price from the customer.

?To study their attitude toward various Cars brand.

?To find out the perceived positioning of different Car

?To know out the choice criteria which the customer while
purchasing a Car.



Relevant literatures pertaining to the present study on four
wheeler automobile industry are included in this chapter. The literatures are
helpful for proper understanding the four wheeler automobile industry and its
various related aspects. Review of literature is also helpful in effectively
fulfilling the objectives for which the research project has been undertaken.

(G.S. Dangayach and S.G. Deshmukh )in their study on
‘Advanced manufacturing technologies: evidences from Indian automobile
companies’ in International Journal of 
Manufacturing  Technology  and 
Management ,reports  the  findings 
of  anexploratory survey on
‘Advanced manufacturing technologies (AMT)’ administered in Indian automobile
companies. The objective of the survey is to assess the status of advanced
manufacturing technologies, identify advanced manufacturing technologies relevant
to Indian automobile sector companies, identify competitive priorities, and assess
the degree of investment in advanced manufacturing technologies. Responses from
68 companies are analysed and presented.

?RNCOS industry in their study of Indian Automobile Sector
provides a forecast and analysis based on various macro- and microeconomic
factors, sector and industry specific databases, and an in-house statistical
and analytical model. This model takes into account the past and current trends
in an economy, and more specifically in an industry, to bring out an objective
market analysis. In this research main topics covered  are: 
Study  of  the 
Indian  automobile  industry 
structure,  Analysis  of performance of industry sub-segments and
their future outlook, Understanding the Indian auto component market and its
growth aspects, Identification of future prospects for the Indian automobile

?S. Saraswathi undertook a study on ‘Customer Satisfaction
on Post-Sales Service with Reference to Four-Wheeler Automobile Industry’ which
reveals that the key to success of automobile industry lies not only in having
good products but also in being able to provide the customer with the level of
service they desire. Because of increasing competitiveness in the Indian
automobile industry, almost all automobile manufacturers have invested valuable
resources on customer satisfaction as a tool to understand the needs and
expectations of their customers. Increased presence of four-wheeler vehicles
throughout the country has created a growing need for providing service
infrastructures closer to the customers’ homes or offices.


Dr V Sumantran (Executive Director-Passenger Car Business
Unit and Engineering Research Centre at Tata Motors Limited during November
2001 to August 2005, conducted a study on ‘The Indian Auto Industry & The
Role of Dealers which reveals that the global auto industry has been the
subject of much analysis in recent years. While global capacity creation
proceeds at a good clip on one hand, continued capacity creation in the face of
sluggish sales have led to depressed levels of capacity utilization. Today, the
Indian auto industry is one of the largest industrial sectors with a turnover
that contributes to roughly 5 per cent of India’s GDP. More importantly, it
contributes to employment of over 2 million people directly and indirectly to
another 10 million. The industry is important for national policy in that it
contributes 19 per cent of indirect taxes.

?Akie Takeuchi, Maureen Cropper and Antonio Bento in the
Journal of Regional Sciences published a paper on ‘The impact of policies to
control motor vehicle emissions in Mumbai, India’ which examines the impacts of
measures to reduce emissions from buses, cars, and four-wheelers in Mumbai,India.
They have considered three possible policies: conversion of diesel buses to
CNG, an increase in the price of gasoline and a tax on vehicle ownership.

?In The Wall Street Journal,India Infoline Sector Reports published
a report on Automobile- Indian four Wheelers Industry which reveals that India
is the second largest manufacturer and producer of four-wheelers in the world.
It stands next only to Japan and China in terms of the number of four-wheelers produced
and domestic sales respectively. This distinction was achieved due to variety
of reasons like restrictive policy followed by the Government of India towards
the passenger car industry, rising demand for personal transport,inefficiency
in the public transportation system etc

?Dr. Amit Kumar Dwivedi and Mr. Punit Kumar Dwivedi, in
their article on  Automobile Sector:
Industry Vs Indian Middle Class in Indian MBA concluded that there are great
opportunities and possibilities in the automobile sector.  But hike in the fuel price is influencing the
market of this industry. There is a need of a very liberal policy for the fuel
prices and requires a great good deal with fuel supplying countries.  Though, the performance of the industry is
better instead of high and unfavourable fuel policy.The new launching of Tata’s
Nano ‘One Lakh Car’ which is also known as People’s Car is also a very good
strategy to capture the middle class customers. 
Introduction of Nano and BajajLite will definitely affect the growth and
sales volumes of cars which will also affect the industry by reaching, catching
the Indian middle class and fulfilment of their own car need.

?Sunila George, Raghbendra Jha, Hari K. Nagarajan in their
research paper on The Evolution and Structure of the four-wheeler Industry in India’
studied the evolution of the competitive structure of the two-wheeler industry
in India. The evolution of the industry’s competitive structure is traced using
Kendall’s Index of Rank Concordance and the Evans-Karr as test of convergence.
The industry seems to be characterized by oligopoly with the onset of economic
reforms not making much difference to industrial structure. Convergence of
sales and capacity at the level of the industry is conditional while it is
absolute at the level of the segment.

?Dr A. Subbiah and S. Jeyakumar(Ph.D research scholar at PG
and Research Department of Commerce)

 in their market
survey report on Automobiles: the Engines of



In today’s challenging and competitive world of last
changing technology, consumer taste sare also characterized by fast changes. So
to survive in the market the firms have to be in touch with the changing
consumer preferences. Marketers have to understand the consumer behaviour and
factors influencing the buying behaviour of the customers in order to be successful
in this dynamic and competitive environment.



Consumer Behaviour is the behaviour that the consumer
display while searching for,evaluating, purchasing and disposing off products
and services that they expect will satisfy their needs. Consumer behaviour is
the study of how consumer makes their decisions to spend their resources on
consumption related items i.e. time, efforts and money.Study of consumer
behaviour proves the marketers an insight regarding the consume preferences and
helps them in effective market segmentation and targeting. The importance of
consumer behaviour lies in the fact that behaviour can be understood and
influenced to ensure a positive purchase decision. So a round understanding of
consumer behavior is necessary for long run success of any marketing program.
That’s why the marketing managers interest lies exactly in understanding
consumer behavior to ensure that his marketing strategy results in purchase of
the product.


When we talk of Research Methodology, we not only talk of Research
Methods but also take into consideration the logic behind the methods which we
use in the context of our research study and explain why we use or why we are
using a particular method or technique. The information that is to be needed
for fulfilling the objective of study was collected from various primary and
secondary sources.


The study is a cross sectional study because the data were
collected at a single point of time. For the purpose of present study a related
sample of population was selected on the basis of convenience.


?Target Population –

The respondents are those who are having their own Cars.

?Sample size –

100 persons were visited for the purpose of the study.


Technique  –

In  this  study, 
the  respondents  were 
chosen  through convenience and
judgmental sampling.


?Data Analysis

– Data collection through survey was analyzed with the help
of simple percentage, tabular and graphic method that includes both graphs and
pie charts



The whole secondary data were collected from industry
profile, books, magazines and internet. While primary data where collected
though survey. The customer survey was done though the questionnaire. Question
consists of dichotomous multiple questions and 5 point ranking scale


There are two types of data: primary data and secondary data


are collected with the help of questionnaire and secondary
data was taken from industry profile, books,magazines and internet. The
information brochures of certain companies, informal links with concerned
person in this line, articles in newspapers and magazines and journals have
also been consulted as a secondary source of information.


The research study is descriptive in nature. The established
objectives were kept in mind during the study, however the hypothesis was
formed as the study was made in the form of descriptive design attempting to
analyze the attitude of respondents. This chapter describes the methodology of
the study. This project is based on information collected from primary sources.
After the detailed study, an attempt has been made to present comprehensive analysis
of the industry. The data had been used to cover various aspects like
consumption, consumer’s preference and customer’s satisfaction regarding two


A structured questionnaire was administered for the purpose
of obtaining information form the respondents. Care was taken to put the
questions related to subject. It contains close-ended as well open-ended
questions as the objective demanded.


The study is a cross sectional study because the data were
collected at a single point of time.For the purpose of present study a related
sample of population was selected on the basis of convenience





Despite all possible efforts in conducting the research
there was some unavoidable situation, which limited the scope of this
dissertation. The limitations of the dissertation fall under the following:-

1. As the data was collected by way of questionnaire which
was to be filled by respondents, and taking time from respondents was the most
difficult & some of the respondents did not responded well.

2. This project is also confined on the basis of secondary
data collected only hence it reliable data for the study.

3. As the research is based on the data that already
available and collected through various means not includes the survey, hence it
imposes limitations, as it is just possible that the secondary data may be
unsuitable or may be inadequate in the context of the topic under study.

4. One of the major limitations of the study is that, as the
data is collected though the secondary means, hence it creates uncertainties
regarding the methods of the data collection, time of data collected, and any
bias of the compiler during the previous research and at the time of data

5. Limitation of time & resources were a major factor
influencing the research study.



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