. . . . . . . . .

A Project

Report On
Opportunity and Threat of Tata manufactured Multi Utility Vehicle market in state Jharkhand and Market strategies to overcome the Threats.

(With respect to Educational Institutes)

At Tata Motors (Jamshedpur) Date: 01.06.09 to 31.07.09 Submitted by : Amit sinha Suchpal singh Abhinav kumar singh Project Guide : Mr. Ashish mehta Manager- CVBU (Tata Motors) Jamshedpur

TABLE OF CONTENTS
Chapter No. Title
Declaration from student Certificate from company Acknowledgement Chapter Schemes List of Tables, Charts and Graphs List of Abbreviations Executive Summary

Page No.

1 1.1 1.2 1.3 1.4 1.5 1.6 1.7 2 2.1 2.2 2.3 2.4 2.5 2.6

Introduction
Background of the study Background of he topic Company profile Statement of the problem Need of the study Scope of the study Objectives of the study

Research Methodology
Research Design Research Data Secondary Data

Field work Limitations

3 4 5 6 7 8 9

Data processing and Analysis Findings Conclusions Recommendations Bibliography Appendices List of Contacts

DECLARATION

I, AMIT SINHA, hereby declare that the project work entitled is the record of authentic work carried out by me during the period from 1ST June 2009 to 31ST July 2009 and has not been submitted earlier to any university or institute for the award of any degree/diploma etc. The content of this report is based on the information collected by me during my tenure at Marketing and Sales Department Tata Motors, Jamshedpur.

Name of the student: Date:

AMIT SINHA 31/07/2009

PREFACE
Progress is a continuous process. It is relative and absolute. We cant stop at a certain destination and declare that target has been achieved and we need not go further. The summer training program is designed to give the Future managers feel of the corporate environment and work culture. These real life situations are entirely different from the stimulated exercise enacted in an artificial environment inside the classroom. And it is precisely because of this reason that this summer training program are designed, so that the manager of tomorrow, not feel ill in the case when the time comes to shoulder responsibilities. The summer training is a bridge between the institution and organization. Summer training program made us to understand how theoretical knowledge will be applied in the practical field. It was exactly in this context that I was privileged to join Tata Motors Marketing and Sales division on the 1st June 2009, as a summer trainee. Founded by the visionary Indian industrialist Jamshedji Nusserwanji Tata in 1907, Indians one of the largest private sector company.

Tata Motors is known not only for its professional management, but also

for its

enlightened and progressive approach towards employee welfare and betterment of society. The experience that I have gathered over the past one month has certainly provided me with an orientation, which, I believe, will help me in future. During this period I was out for survey commercial vehicles (Tata winger, Tata magic). I have collected all the information through a set of questionnaire and personally interviewed the respondents. The rest of the report was done after a deep, comprehensive and fullfledged study and is based on my original research and investigation.

Acknowledgement

I would be failing in my duty if I do not express my deep sense of gratitude to those who have been kind enough to help me in preparation of this report. First of all I would like to express my deep sense of gratitude to my guide Mr. Ashish Mehta (MANAGER, CVBU) Jharkhand. Words do not suffice to adequately express my thanks to him for his inspiring guidance, help and constant encouragement throughout the internship. Working with him has been a great learning experience.

I am equally greatful to all office members who played a major role behind my learning and without their support it would have been difficult for me to complete the internship successfully.

CHAPTER -1

INDUSTRIAL PROFILE OF TATA MOTOR

A TRIBUTE TO THE FOUNDER

One must forever strive for excellence or even perfection in task however small and never be satisfied with the second best SRI. JAMSHETJI TATA

COMPANY HISTORY:
The Tata Engineering & Locomotives more familiar by its acronym TELCO presently known as TATA MOTORS. It is the leading manufacture of commercial vehicle in India. This company started its operation in an old workshop of east India railway at Jamshedpur on 1st June 1945 the TATA Sons purchased the Singhbhum Workshop for an amount of Rs. 25 lakh to setup the setup the manufacturing of steam locomotives, boiler & later of complete locomotives and other engineering products. On 1st September of the same year the company was incorporated with the name of TATA Engineering & Locomotives CO. Under the chairmanship of Mr. J.D. TATA, Mr. F.G.S.Martin, an Englishman was appointed the first general manager of the venture. Mr. W.N.Ames started the construction of Telco Works. The main product being manufactured was steam locomotive for the Indian Railways and so, 16 yrs agreement 1946 to 1961 was signed with railway board to be undertaken in three phases, commencing with boiler manufacture including forge and smithy for the boiler components. In early 1948 a new product the steam road roller was introduced which puffed around in distant villages building roads. The forties saw Telco heavily dependent on one customer the Indian Railways. It was now striving for diversification. Telcos fortune bounced up in the spring of 1954 when on 2nd of March 1954, 15 years collaboration with world renowned M/s. Daimler Benz of Stuttgart, Germany was signed to manufacture Mercedes Benz truck. The product was to bear the name TATA Mercedes Benz. Already the Mercedes Benz Vehicle was in great demand not only in Germany but also in 102 countries around the world. The Indian government was quick to sanction the project in July 1954. In September of the same year, the first cadre of technician from Germany arrived to launch the project.

While at a preliminary stage 500 trucks were assembled from Germany packs, a time frame of 5 yrs. was setup for indigenization. The four phase business plan was:1. Manufacture of Frame, Front Axle, Pedal Spring & Suspension, Brakes. 2. Manufacture of Rear Axle & Propeller Shafts. 3. Manufacture of Gear Box. 4. Manufacture of complete Engine. The first TATA Mercedes Benz vehicle was assembled. Thus with the Benz project the Indian Industrial Revolution seemed well under way. Jamshedpur truly turned into a cosmopolitan with people from Germany, US, England & Belgium etc. all working in unison to industrialize India In 1961 Telco entered into collaboration with Harnischfeger Corporation of US for manufacture of earthmoving equipments, companys second major product. 1964 saw the production of bread and butter vehicle, the 1210 model. Telco now manufactures and markets the widest range of commercial vehicle in India, extending from heavy commercial vehicle with a Gross Vehicle Weight [GVW] of 35 tones to Light Commercial Vehicle with GVW of 2 tones. The companys products have received wide acceptance not only in India but also in Middle East, Africa, Australia, Latin America and Europe. TATA have entered into several collaborations with different companies. TATA Cummins LTD. Is a 50:50 venture with Cummins Engine Company USA for manufacture of Fuel Efficient, low emission, and environment friendly diesel engines. A joint venture with Daimler Benz/ Mercedes Benz A.G. produces the E Class Mercedes Passenger cars and it is also in collaboration with Holset Engineering Company U.K. for turbo chargers to be used in the diesel engine manufactured by TATA Cummins Ltd. and other OEMs. The only Indian company, which is equipped with crash testing facilities, servicing is never a problem with its vehicle. Service setups exist at every 100km at national highway. Besides there are 450 service centers across India 24 hour ATM [Any Time Mobile] center in Mumbai and Ahmedabad and fully functional customer training sales in the service centers to help the customers make the best use of their vehicles

A MARKET LEADER WITH GREAT POTENTIAL

TATA MOTORS Limited is India's largest automobile company, with revenues of Rs.20, 483 crores (USD 4.7 billion) in 2004-05. It is the leader by far in commercial vehicles in each segment, and the second largest in the passenger vehicles market with winning products in the compact, midsize car and utility vehicle segments. The company is the world's fifth largest medium and heavy commercial vehicle manufacturer. The company's 22,000 employees are guided by the vision to be best in the manner in which we operate best in the products we deliver and best in our value system and ethics. Established in 1945, TATA MOTORS' presence indeed cuts across the length and breadth of India. Over 3 million TATA vehicles ply on Indian roads, since the first rolled out in 1954. The company's manufacturing base is spread across Jamshedpur, Pune and Lucknow, supported by a nation-wide dealership; sales, services and spare parts network comprising about 1,200 touch points. TATA MOTORS, the first company from India's engineering sector to be listed in the New York Stock Exchange (September 2004), has also emerged as a global automotive company. In 2004, it acquired the Daewoo Commercial Vehicles Company, Korea's second largest truck maker. The rechristhinied TATA Daewoo Commercial Vehicles Company has already begun to launch new products. In 2005, TATA MOTORS acquired a 21% stake in Hispano CARROCERA, a reputed Spanish bus and coach manufacturer, with an option to acquire the remaining stake as well. Hispanos presence is being expanded in other markets. These acquisitions will further extend TATA MOTORS' global footprint, established through exports since 1961. The company's commercial and passenger vehicles are already being marketed in several countries in Europe, Africa, the Middle East, Australia, South East Asia and South Asia. It has assembly operations in Malaysia, Kenya, Bangladesh, Spain, Ukraine, Russia and Senegal. The foundation of the company's growth over the last 50 years is a deep understanding of economic stimuli and customer needs, and the ability to translate them into customerdesired offerings through leading edge R&D. With 1,400 engineers and scientists, the company's Engineering Research Center, established in 1966, has enabled pioneering technologies and products.

TATA MOTORS, which developed the first indigenously developed Light Commercial Vehicle, India's first Sports Utility Vehicle and, in 1998, the TATA Indica, India's first fully indigenous passenger car. Within two years of launch, TATA Indica became India's largest selling car in its segment. The pace of new product development has quickened. In 2005, TATA MOTORS created a new segment by launching the TATA Ace, India's first indigenously developed mini-truck. The years to come will see the introduction of several other innovative vehicles, all rooted in emerging customer needs. Besides product development, R&D is also focusing on environment-friendly technologies in emissions and alternative fuels. Through its subsidiaries, the company is engaged in engineering and automotive solutions, construction equipment manufacturing, automotive vehicle components manufacturing and supply chain activities, machine tools and factory automation solutions, high-precision tooling and plastic and electronic components for automotive and computer applications, and automotive retailing and service operations. True to the tradition of the TATA Group, TATA MOTORS is committed in letter and spirit to Corporate Social Responsibility. It is a signatory to the United Nations Global Compact, and is engaged in community and social initiatives on human rights, labor and environment standards in compliance with the principles of the Global Compact. Simultaneously, it also plays an active role in community development, serving rural communities adjacent to its manufacturing locations. With the foundation of its rich heritage, TATA MOTORS today is etching a refulgent future.

MANUFACTURING PLANTS: JAMSHEDPUR:

This was the first unit of the Company established in 1945 and is spread over an area of 822 acres. It consists of 3 divisions - Truck, Engine (including the Gear Box division) and Axle. The divestments in March 2000 hived off the Axle and Engine plants into independent subsidiaries. The Truck Division boasts of two assembly lines. The main assembly line, measuring 180 meters in length, has 20 stations with a vehicle rolling out every 8 minutes while the other line is dedicated to Special Purpose Vehicles (SUVs). State-of-the-art facilities like a Centralized Paint and Press Shop with a set-up of a 5000 tonne Siempelkamp press line and a cut-to-length line for strip preparation purchased from M/s. Kohler of Germany makes it a fairly advanced production outfit. This is supported by a fully equipped Foundry, which supplies high-grade SG Iron castings for automobile components and excavators and is rated as one of the cleaner, better and highly automated foundries in the world. The Foundry has a sophisticated Kunkel Wagner high pressure molding line, which has a rated production capacity of 90 pairs of moulds every hour. The Foundry has its own melting shop, core shop and sand plant. Other advanced facilities include Channel Furnaces, Computerized Testing Equipment etc. In 1993, the Foundry was ISO 9002 certified by the Bureau Verities Quality International and later followed it up with the more stringent QS 9000 certification from the BVQI in the year 2000. The unit is also equipped with a semi-automated forging line, with 40,000 mkg Beche hammer and state-of-the art presses from Kurimoto of Japan and is one of the most modern forging set-ups in the country. It produces critical forgings like crankshafts, front axle beams and steering parts for the automobile plant. The new forging line, installed on April 20, 1984, has the capability to forge front axle beams at 90 sec per piece and crankshafts at 120 sec per piece. Mechanical presses help produce a variety of heavy forgings. The sophisticated FIDIA Digit 165 CC graphitemilling machine links shop floor machines to the design workstation. The Forge has been a certified ISO 9002 company.

PUNE:
The Pune unit is spread over 2 geographical regions- Pimpri and Chinchwad and has a combined area of around 510 acres. It was established in 1966 and has a Production Engineering Division, which has one of the most versatile tool making facilities in the Indian sub-continent. It houses a Vehicle manufacturing complex which is one of the most integrated automotive manufacturing centers in the country producing a large variety of individual items and aggregates. It is engaged in the design and manufacture of sophisticated press tools, jigs, fixtures, gauges, metal pattern and special tools, as well as models for the development of new ranges of automobile products. Its capabilities have enabled TATA MOTORS to introduce new products and improve existing ones without resorting to imports of dies or fixtures. Over the years, this division has developed expertise in design and manufacture of automated dies, fixtures and welding equipment. Its large design group is fully conversant with state-of-the-art CAD facilities and manufacturing facilities comprising of light and heavy CNC machine shops, jigs boring room, plastic template shop, wood pattern and model pattern shop, five axis precision machine tools and laser control machines. To cope with such a diverse range, four assembly lines have been established, one each for MCVs and HCVs, LCVs, Utility vehicles and one for Passenger Cars (Indica and Indigo).The Passenger Car Division in 'K' block executes the entire process of car manufacture over five shops - the engine shop, the transmission shop, press and body shops, paint shop and the trim and final assembly shop. The shops are fully automated ensuring that there is minimal chance for error in the manufacturing processes. After the car is completely assembled, it goes through several checks like wheel alignment, sideslip test, brake test, shower test, and a short test run before it is ready for dispatch. All systems such as materials management, maintenance and other activities are computerized, enabling smooth operations and minimum inventory needs.

LUCKNOW:
Established in 1991 and covering an area of 600 acres, the Lucknow Plant was established to assemble Medium Commercial Vehicles MCVs) to meet the demand in the Northern Indian market. In 1995, the unit started manufacturing bus chassis of Light Commercial Vehicles (LCVs) and TATA Sumos. The unit is also equipped with facilities to manufacture spare parts.

LANDMARKS IN HISTORY
THE STAR COMES TO INDIA: The automobile started with the signing of collaboration with M/s. Daimler Benz AG of Stuttgart, West Germany on 2nd March 1954 valid for 15 yrs. On 23rd October amidst much rejoicing Mr. Suman Moolgaonkar, the diving force behind the project released the first TATA Mercedes Benz vehicles bearing famous Star Symbol. THE T REPLACES THE STAR: The 5th June 1969 was a milestone in the companys history. The 15 yrs collaboration with Daimler Benz ended and the 178,809th vehicle rolled out of the plant bearing the TATA T instead of the Star. The production of the vehicle, which stood at 3000 units in the first year gradually increased and peaked in the year 1996-97 when total production from the 3 plants Jamshedpur, Pune & Lucknow totaled 2,18,000. In September 1960, when Auto Production had outstripped locomotive manufacture, to better reflect out production activity, the name of the company was inverted TATA ENGINEERING AND LOCOMOTIVE COMPANY.

MILESTONES
It has been a long and accelerated journey for TATA MOTORS, India's leading automobile manufacturer. Some significant milestones in the company's journey towards excellence and leadership are 1945 1948 1954 TATA Engineering and Locomotive Co. Ltd. was established to manufacture locomotives and other engineering products. Steam road roller introduced in collaboration with Marshall Sons (UK). Collaboration with Daimler Benz AG, West Germany, for manufacture of medium commercial vehicles. The first vehicle rolled out within 6 months of the contract. Research and Development Centre set up at Jamshedpur. Exports begin with the first truck being shipped to Ceylon, now Sri Lanka. Setting up of the Engineering Research Centre at Pune to provide impetus to automobile Research and Development. Introduction of DI engines. First commercial vehicle manufactured in Pune. Manufacture of Heavy Commercial Vehicle commences.

1959 1961 1966 1971 1977 1983 1985

First hydraulic excavator produced with Hitachi collaboration.

1986 1989

Production of first light commercial vehicle, TATA 407, Indigenously designed, followed by TATA 608.

Introduction of the TATA mobile 206 - 3rd LCV model.

1991

Launch of the 1st indigenous passenger car TATA Sierra. TAC 20 crane produced. One millionth vehicle rolled out. Launch of the TATA Estate. Joint venture agreement signed with Cummins Engine Co. Inc. for the manufacture of high horsepower and emission friendly diesel engines. Launch of TATA Sumo - the multi utility vehicle. Launch of LPT 709 - a full forward control, light commercial vehicle. Joint venture agreement signed with M/s Daimler - Benz / Mercedes - Benz for manufacture of Mercedes Benz passenger cars in India. Joint venture agreement signed with TATA Holset Ltd., UK for manufacturing turbochargers to be used on Cummins engines. Mercedes Benz car E220 launched. TATA Sumo deluxe launched. TATA Sierra Turbo launched. 100,000th TATA Sumo rolled out TATA Safari - India's first sports utility vehicle launched. 2 millionth vehicles rolled out. Indica, India's first fully indigenous passenger car launched. 115,000 bookings for Indica registered against full payment within a week. Commercial production of Indica commences in full swing.

1992 1993 1994

1995 1996 1997

1998

1999

2000

First consignment of 160 Indicas shipped to Malta. Indica with Bharat Stage 2 (Euro II) compliant diesel engine launched. Utility vehicles with Bharat 2 (Euro II) compliant engine launched. Indica 2000 (Euro II) with multi point fuel injection petrol engine launched. Launch of CNG buses. Launch of 1109 vehicle - Intermediate commercial vehicle.

2001

Indica V2 launched - 2nd generation Indica. 100,000th Indica wheeled out. Launch of CNG Indica. Launch of the TATA Safari EX Indica V2 becomes India's number one car in its segment. Exits joint venture with Daimler Chrysler. Unveiling of the TATA Sedan at Auto Expo 2002. Petrol version of Indica V2 launched. Launch of the EX series in Commercial vehicles. Launch of the TATA 207 DI. 2,00,000th Indica rolled out. 5,00,000th passenger vehicle rolled out. Launch of the TATA Sumo'+' Series Launch of the TATA Indigo. TATA Engineering signed a product agreement with MG Rover of the UK.

2002

2003 Launch of the TATA Safari Limited Edition. The TATA Indigo Station Wagon unveiled at the Geneva Motor Show. On 29th July, J. R. D. TATA's birth anniversary, TATA Engineering becomes TATA MOTORS Limited. 3 millionth vehicles produced. First City Rover rolled out 135 PS TATA Safari EXi Petrol launched TATA SFC 407 EX Turbo launched 2004 TATA MOTORS unveils new product range at Auto Expo '04. New TATA Indica V2 launched TATA MOTORS and Daewoo Commercial Vehicle Co. Ltd. sign investment agreement Indigo Advent unveiled at Geneva Motor Show TATA MOTORS completes acquisition of Daewoo Commercial Vehicle Company TATA LPT 909 EX launched TATA Daewoo Commercial Vehicle Co. Ltd. (TDCV) launches the heavy duty truck 'NOVUS' , in Korea Sumo Victa launched Indigo Marina launched

 TATA MOTORS lists on the NYSE 2005 TATA MOTORS rolls out its 500,000 th Passenger Vehicle The TATA Xover unveiled at the 75th Geneva Motor Show Branded buses and coaches - Starbus and Globus - launched TATA MOTORS acquires 21% stake in Hispano Carrocera SA, Spanish bus manufacturing Company TATA Ace, India's first mini truck launched TATA MOTORS wins JRD QV award for business excellence. The power packed Safari Dicor is launched Introduction of Indigo SX series - luxury variant of TATA Indigo TATA MOTORS launches Indica V2 Turbo Diesel. One millionth passenger car produced and sold Inauguration of new factory at Jamshedpur for Novus TATA TL 4X4 , India 's first Sports Utility Truck (SUT) is launched Launch of TATA Novus Launch of Novus range of medium trucks in Korea , by TATA Daewoo Commercial Vehicle Co. (TDCV) TATA MOTORS unveils new long wheel base premium Indigo & X-over concept at Auto Expo 2006 Indica V2 Xeta launched Passenger Vehicle sales in India cross one-million mark Tata motors launches the long wheel base indigo XL,indias first stretch limousine Tata Motors unveils tata nano,the peoples car at the auto expo in new Delhi on 10th Jan 2008 Tata motors acquired Jaguar and Land Rover the two world famous brands from Ford Motor Company.

2006

2007

2008

2009

Tata motors launches world truck on 29th may in Mumbai

ORGANIZATIONAL STRUCTURE

Sr VP (Manuf JSR)

Sr vp (manuf pune) GM Manuf lucknow)

The figure above shows the organizational hierarchy which is related with the working of the Area office with other departments. The project was conducted in the Area office which primarily deals with the Marketing and sales of the commercial and passenger GM (Corporate HRD) Vehicles. AREA OFFICE: New Delhi, Chandigarh ,Lucknow, Jaipur, Dehradun, Hyderabad, Vijay Wada, Chennai, Bangalore, Ahmedabad, Indore, Raipur, Nagpur, Pune, Mumbai, Kolkata, Jharkhand, Patna, Guwahati.

TATA MOTORS PRODUCT LINE:

LOB
The above figure shows us the product line of tata motors ltd... . The recently launched mini truck ace from the tata stable has become a bestseller in many parts of the country. It is poised to outride other players in the same segment with the plans of launching the passenger version of ace.

M&H CV

L C V /IC V

Chapter-2

Comparative Analysis
A conceptual study

Buyers Behavior
The purpose of any business is to create a customer. It is the customer who determines what a business is. It is the customer and he alone, who, through being willing to pay for goods or services, convert economic recourses into wealth, things into goods. What a business thinks it produces is not of first importance-especially not to the future o the business and to its success. What the customer thinks he is buying, what he considers value, is decisive; it determine s what a business is.

Selective Perception:
The buyer is exposed to a world of information about new product, new services, new uses for existing products new ideas and new styles. His attitude towards this literal bombard-ment of information, however, is peculiar. He may ignore certain pieces of information whereas not digest them. He may merely overhear some message about some product and it may register in his mind. In other words, he filters the information in a rather unconscious manner. His perception is selective in sense that he perceives

and retains only what he would normally like to do. This selective perception is actually his defensive mechanism.

Buyer Not Bound by Set Rules in Taking Buying Decision:

When a buyer takes a buying decision, no rigid rule binds him. Sometimes, the decision is taken on the spot. That does not necessarily mean that it is an irrational decision. Sometimes he may decide after a long search after evaluating the various alternatives available. The buyer is also influenced by his social environment, which consists of his family, his society, his neighbor, his friends, his job and his colleagues. Every component of social environment leaves some imprint on him and influences him in his day to day life. It influences his buying behavior, too.

Stages in the buying process:

Need recognition Searching for information

Evaluate alternatives Purchase Post purchase behavior

Need recognition:
The process of buying generally starts with a recognition of a need by the customer. He recognizes a problem and develops a perception of the problem. Then he seeks information for solving his problem.

Searching for the information:

When a customer recognizes his need and he comes to know that which product will satisfy his need then he goes for information, he tries to know all the features and advantage of the product. It makes him aware of the existence of the product that would solve his problem.

Evaluate alternatives:
In this stage a customer evaluates his product with the other competitors product because a customer always wants to derive maximum value from a product. This

stage represents the information processing stage. This stage constitutes cognitive field of the purchase process. Cognition refers to the acquisition of knowledge.

Purchase:
After above stage a customer takes a purchase decision. It is the sum total of the individuals faith and feelings towards a product. As a result of his awareness and comprehension, customer develops an attitude-favorable or unfavorable-towards the product. The purchase decision will continue only if he develops a favorable attitude or a linking towards a product.

Post purchase behavior:

The purchase leads to specific post purchase behavior. Usually it creates some restlessness in the mind of the individuals. He is not sure about the product. He may feel that the other brand would have been better. Even he may feel that the salesman has taken him for a ride. As this dissonance is uncomfortable, the individual, by himself, will seeks all means to recover his conviction and poise. He will seek reassuring

advertisement of the products or he may deliberately avoid positive stories about the competing brand. While purchasing a product each and every customer goes through these five stages. If a customer will not be satisfied after purchasing the product then he will not buy that product again as well as he will not recommend any one to purchase that brand. So a manufacturer must think according to a customers point of view before launching a product.

Analyzing the Product and Competition Analyzing Competition:

Competition analysis is an integral part of industry analysis. It forms a key component in industry structure and industry attractiveness. Through the analysis of competition we can know the strength and weakness of competitors product. MARKET FORCES THAT DRIVE THE MARKET AND BUSINESS POTERS FIVE FORCE MODEL

Threats of new entrants Bargaining power of

SUPPLIMahindra ER
Ashok Leyland Force

C R

Mahindra, Force And Ashok Leyland are the major competitors of tata. During the research project it was found that in Jharkhand the dominance of Tata is prevalent in all the cities. Though mahindra contributes to the transportation system Ashok Leyland fails to make any major impact on the market share

Bargaining power of buyers/customers:

Bargaining power of buyer is another force that influences the competitive condition in an industry. It influences the prices the firm charge. It also influences cost and investments, because powerful buyers usually bargain for costly service, which results in added cost/investment for the firm. The bargaining power of buyer will be stronger if there are possibilities of buyers forming cartels. This is a phenomenon seen more often in industrial products. Quite often, industrial products buyers come together, formally or informally and exert pressure on the producers on matters such as price, quality and

delivery. And any such cartelization on the part of buyers can be a major force in some industries.

Bargaining power of suppliers:

Quite often suppliers too command considerable bargaining power over companies. The most specialized the offering from the suppliers, the greater is his clout. And, if the suppliers are also limited in numbers, the stand is still higher chance to exhibit their bargaining power. The bargaining power of suppliers determines the costs of raw materials and other inputs of the industry, and the individual firm, and therefore, affects the profitability of the industry /firm.

The rivalry among existing players:

The rivalry among existing players is the other source of competition in an industry. This can be easily understood. This is what is normally referred to as competition. And it is obvious that for any player the existing competitors in the industry the prices as the costs of competing in the industry costs which they have to invest in plant, product development advertising sales force etc. We discuss this subject in detail in section that section that follows.

Threat from substitutes:

Finally substitute products are another source of competition in an industry. In many cases, they become a major constituent of competition. Substitute products offering a price advantage and or performance improvement to the customer can drastically alter the competitive character of an industry. And they can bring it about all on a sudden. Wherever substantial investment in R&D is taking place, threats from substitute podiatry. It is quite possible that at times, corporations face more severe competition from a substitute product that from existing contestants. So competition has a larger boundary that what is normally understood. In addition to existing rivals or competitors proper, forces such as new entrants, customers suppliers and substitutes also shape competition in an industry. A firm has to gibe due weight age to each of these forces as a fight can emerge from any quarter.

CHAPTER-3 RESEARCH METHODOLOGY

Scope of the Project.

1. 2. 3.

To carry out a critical analysis of commercial vehicles in state Jharkhand. To carry out the route mapping of the commercial vehicles To collect the detailed data of the long route commercial vehicles in the state

Objective of the Project.

1. 2. 3. 4.

To study and understand the commercial vehicles market in state Jharkhand. To find out positioning of Tata Winger bus in the commercial sector. To study and understand Tata Winger and Tata Magic features. To know the perception of the drivers and line takers towards commercial transportation To understand and analyze the increasing demand of commercial vehicles

5.

transportation services.

Marketing Research:
Marketing research as a functional area of management is becoming increasingly important as compared to other field. All decisions in modern business organization revolve around the marketing information. Because the success of the business not depend up on the guess work rather to have the correct information about the customer, what they want, how they want, how much they are able to pay, the substitute available in the market etc. This information can be collected and utilized the help of marketing research.

Marketing research is the systematic and objective identification, Collection analysis, discrimination, and use of information for the purpose Of improving decision making related to the identification and solution of problem in marketing.

Research Method:

The type of Research Design will be Descriptive

For clarification of the research questions determination of the research design, the types of secondary data will be: Internet Brochures The types of Primary Data collection procedures that would probably be used will be: Sample Size 21 commercial vehicles and convenient sample for dealers Area Jharkhand region around Jamshedpur Process Sampling Method of data collection Typed Questionnaire Type of data analysis that will be needed to analyze it will be on excel sheet.

Data Collection Method:

1.

Primary Sources Personal Interviews. Questionnaires. Show room Visit

2. Secondary Data

Concerned Data. Brochures Through internet.

Presentation of Data:
Data has been presented in the form of excel sheets and charts.

Period of study:
Starting Date: 1st of JUNE 2009 Ending Date: 31st of JULY 2009.

STATISTICAL TOOLS USED:

The list of statistical tools used while analyzing the data is as follows:

TABLES BAR CHARTS PIE CHARTS OPERATING ECONOMY

Chapter - 4 Tata Motors Light Commercial Vehicle Unit

Introduction.
Powered by a pioneering spirit and a chain of constant innovations for over 50 years, Tata Motors Limited (TML) has redefined the art of building motor vehicles. Today, Tata Motors Limited is the sixth largest medium and heavy commercial vehicle manufacturer in the world, with a significant presence in Asia, Europe, Africa and Latin America. Partnering with excellence World-class auto components are the backbone of all world-class vehicles. Keeping this in mind, Tata Motors Limited has collaborated with major players in the Auto Industry. The Joint Venture with Cummins, associations with companies like Johnson Controls, Toyo Radiators, Chuo Springs, Ficosa, Yazaki, Yutaka-Giken, Sung woo Hitech, Owens Coring, Knorr-Bremse, Farurecia and Menzolit Fibron, reaffirm Tata Motors commitment to delivering higher productivity and profitability to the transportation industry. Steering a global path Tata Motors Limited marked its emergence as a strong multi-national player with the acquisition of the Daewoo Commercial Vehicles Plant in March 2004. The robotized factory at Gunsan in South Korea, bus-body manufacturing plants in Ukraine and South Africa and assembly plants in Bangladesh and Malaysia, are testimony to the strong presence of tata motors in the world.The Company also gained enhanced credibility as a global powerhouse when the Government of Senegal approached Tata Motors Limited for technological assistance in setting up a bus-body plant at Thies. Tata Motors Limited - Moving India

Right from the earliest trucks that helped move goods around the country, to chassis for buses that virtually form the backbone of the Indian public transport system today, Tata vehicles have, quite literally, moved the nation ahead. Tata Motors is India's only fully integrated automobile manufacturer with a portfolio that covers trucks, buses, utility vehicles and passenger cars. With over 3 million Tata vehicles on the road, the company can truly be called the Wheels of the Nation

TATA WINGER:

In June 2007 Tata Motors launched the Tata Winger, on a new platform along with the passenger variant of the Ace, named Magic. According to Tata Motors Vice-President (sales and marketing) Mr. Shyam Mani, the company's objective is "to change the way an average Indian travels." Tata Motors' two new vehicles Magic and Winger will attempt to cater to the two ends of the light commercial passenger segment It can seat 9 to 13 passengers, comes with generous saloon space, spacious headroom and legroom, and wide luggage space. Passenger comfort has been further enhanced with all front-facing seats and, depending on the variant, will come with magazine pockets, bottle holders, spot lamps and grab handles, besides provision for a music system. The Winger is being offered in six variants and two seating configurations too. The topend luxury, flat roof, air-conditioned variant is a ten-seater, while the remaining five versions are offered as either 13 or 14 seaters, taking the total number of variants to 11.The fully enclosed body with moulded interior panels, uniquely placed fuel tank, a seat belt for every seat, child lock, fog lamps and a rear demister (compartment ventilation fan) provide complete safety and good comfort for all the passengers. The Winger is powered by a modified version of the 2-litre diesel engine that is currently offered on the Tata Sumo. This 1948 cc engine comes with a turbo-charged, inter-cooled (TCIC) version in all the variants, except in the smaller length, entry-level Winger van. The non-turbo-charged version of the engine develops a peak power of 68 bhp (51 kW) compared to the 91 bhp (68 kW) that the TCIC version puts out. The Winger van is front-wheel-driven and except for the base variant, which meets Bharat Stage II emission norms, the rest are BS-III compliant. The Winger's suspension

ensures both ride comfort and load carrying capacity, while the vehicle's monocoque design minimizes noise, vibration and harshness. Tata Motors' two new vehicles, Magic and Winger, are expected to cater to the two ends of the taxi segment. "The Winger, which is more spacious and a more refined product in terms of ride and handling and better seating comfort, will attempt to wrestle market share in the Staff (ITES/ BPO employees) transportation segments, Hotel & Inter-urban Tourist segments, Airport drop & pickup etc, while Magic will provide a more affordable travel in intra city, inter-village transportation and will create its own niche in the rural transportation", said Madhu P Singh, the product Manager, who played an instrumental role in the launch of the two products.Both the Magic and the Winger are being launched nation-wide, starting with Maharashtra and Gujarat.

Variants of Tata Winger 1. 2. 3. 4. Standard(flat roof) Deluxe(flat roof) Deluxe(high roof) Luxury(flat roof)

Features of Tata Winger: 1.

Winger Standard:

Most spacious vehicle for is use. All front facing seats Front independent suspension, anti roll bars with hydraulic shock absorbers to ensure smooth and relaxing travel experience. Power steering and easy gear shift for car like feel High stability due to low centre of gravity.

2.

Winger Luxury:
9 individual bucket seats with arm rests. Even the last row is reclining with adjustable headrests

Ac is standard fitment with roof mounted vents. Bumpers, ORVM (outer rear view mirror) and door handles are all metallic body colored.

3 Winger Deluxe:
Available in both AC and Non AC variants. Powerful 90 hp engine with peak torque of 190Nm 3200mmlong wheel baseoffers better legroom. High back seats with integral headrest Flat roof non AC and High roof Non AC available in arctic white and yellow colors. Flat roof AC and high roof AC available in Arctic silver and pearl white colors. Option of factory fitted and engine driven AC unit Aisle lamp in passenger saloon available in AC variant

Seating capacity of Tata Winger: Category

Standard Deluxe(flat roof) Deluxe(high roof) Luxury

Variant
Non AC Non AC Non AC/AC Non AC/AC Non AC/AC Non AC/AC AC

Seating
12+1 13+1 12+1 13+1 12+1 13+1 9+1

The price of Tata Winger on road is as followsWinger 13+1(nonAC) =517794 Winger 9+1(AC luxury) =726766 Winger ambulance (non AC) =596173 Winger ambulance (AC) =704514

Specifications of Tata Winger:

1) Tata winger front view - Indias first maxi van build on Renaults traffic available in silver, white and red color

2) Tata magic side view available in three variants -Standard, Deluxe and Luxury with AC and Non AC also with flat roof and high roof. A 68hp engine for standard and 90hp for deluxe and luxury variant

3) Tata winger boxy rear available in three seating options (12+1), (13+1) and (9+1) bench seats in standard variant, bucket seat in deluxe variant and bucket seat with armrest in luxury variant of winger

4) Tata winger drivers zone - dashboard, storage space and instrument panel. Winger features 6 speed gearboxes and has a special lock for reverse.

5) Tata winger luxurious door trim and drivers seat with AC controls but sadly no provision for TV

6) Tata winger steps for drivers entry and SUV type seating for passengers

7) Tata winger omni type sliding door for passenger and split doors at rear. Wingers price ranges from Rs4.90 to 6.65 lakhs

8) Tata winger passenger cabin of standard variant. Winger is for your family tour, pickup and drop of software/BPO employees and school bus

Innovative Design

Winger incorporates one-of-a-kind design that sets it apart from other transport vehicles in its class. Both its engine and driveline compartment have been compressed, to maximize the space available for passengers.
Abundant Space

It has all front-facing seats to carry people in utmost comfort. Passengers can stretch their legs and avoid jostling each other.

Dual AC

Winger comes with a Dual AC in the 9, 12 and 13seater variants. The AC system makes every trip a most pleasant and relaxing experience for passengers, and comfortable for the driver.

Low Maintenance

Winger is the most economical diesel vehicle in its category. It comes with a warranty of 18 months/ 1, 50,000 km and is as easy to maintain as a private car, thereby ensuring lower maintenance costs.

Tata Magic:
Tata Motors on June 18th has launched two new products the Magic and the Winger. The magic is the passenger variant developed on the platform of Indias first mini truck ace, Tata claims the new Winger range is the Indias first maxi-van which will offer a perfect blend of the comfort of a car with the spaciousness of a bus for intra-city and long-distance transportation needs. Tata motors says the two vehicles will create new segments, and in a complementary manner help cover the entire spectrum of customer needs in mass transportation from the very rural interiors to cities as well as the top-end luxury mass transportation segment. With an ergonomically designed all-steel cabin, Magic has a flexible seating capacity of 4 to 7 passengers, in pleasant and spacious interiors including comfortable seats and ample legroom for an enjoyable ride for the passengers. Powered by a 16 HP 700 cc water-cooled diesel engine, it will provide the Magic owner with high fuel efficiency and very low maintenance. The 12 tyres provide higher ground clearance, and the rigid front axle can weather tough road conditions. The turning radius of 4.3 meters is agile enough to navigate narrow bylanes and dense traffic. For the drivers benefit, the Magic has a clearly visible instrument cluster, utility tray and a digital clock in the dashboard and also a radio fitment provision. The Magic meets BSIII emission norms and has been developed for use in any market be it urban, semiurban or rural. It is backed by a 36000 km/12-month warranty. The Magic range is at Rs.2.60 lakhs (ex-showroom Pune). Tatas magic will compete with marutis omni.

Seating Capacity: 4+1 6+1 7+1

Features of Tata Magic:

) Tatas magic developed on the platform of Indias first mini truck ace available with a 16hp diesel engine complying Bharat II and III norms

2) Tata magic as magic is developed on ace front, drivers cabin a nd tyres almost everything is retained.

3) Tata magic is available in three seating options i.e. 4+D (driver), 6+D and 7+D

4) Tata magic side panel magic is available in red, arctic white and jet black color

5) Tata magic doors and luggage space in 7 seater

6) Tata magic interiors magic has a payload 600kg and floor height of 450mm

7) Tata magic side panels from inside magic has a maximum speed of 64kmph and its maximum grade ability of 22% while its grade restartability is 21%

Tata magic 2nd row seat magics passenger seats are bench type while the drivers and co-passengers seats are bucket type

9) Tata magic drivers cabin: magic is priced Rs2, 66,862(BS II) and Rs2, 76,862 (BS III which is mandatory for running in metro cities)

Commercial vehicle Dealers in Jharkhand:

Name Address Phone Nos Email Fax WESTERN AVENUE, BOKARO ENAR 247696 INDUSTRIAL Dhanbad STEEL CITY kamanirp@hotmail.com 242915 943118044 ENTP. LTD. Dhanbad 4 Jharkhand 827001 15, 16 PALIKA MARKET, NEAR BUS JMA STORES Hazaribag 2303794 STAND 2303794 LTD. h 983518466 Hazaribagh 9 Jharkhand 825301 A-3, 2ND PHASE, ADITYAPURMITHILA Jamshedp KANDRA 2407595 mithilamotors@tatanagar. 2200646 MOTORS LTD. ur MAIN ROAD 983519932 com Jamshedpur 4 Jharkhand 831013 DUMKABHAGALPUR R. A. ROAD 222564 HIMATSINGKA & Dumka 222606 Dumka 923466690 CO. Jharkhand 1 814101 City

Competitor Analysis:

Specification Tata
Engine Capacity Engine Power Engine Torque

winger Tata Magic

Mahindra Commander

Mahindra Savari

13+1 non AC
1948cc NA engine 68hp@4500 Rpm 115nm@2000 -3000rpm Brake booster with TMC Double Suspension Parabolic leaf spring at both 702cc 16HP@ 3200rpm 38nm@2000 rpm Vacuum assisted dual circuit Parabolic leaf spring at both

2523cc 63hp@3200 rpm 18.3kgm@15001800rpm Brake booster assisted TMC Hydraulic double acting telescopic

Brakes

Tyres Fuel tank Price

front and rear shock absorbers front and rear 185R14 LT,8PR 145 R12LT Radial 185/85 radial tyres 60 liters 5,17,794 8PR radial 30 liters 2,60,000 R16/6.00*16 45litres 4,39,302

Findings and Analysis:

The importance of conducting the market survey was to gather vital information regarding the popularity of Tata Winger in Jharkhand. In explore the market for commercial vehicles and make people aware launched Tata Winger market a survey was conducted in various districts in Jharkhand. A survey was conducted on the various bus stands in and around Jamshedpur from order to of TATA

where long route vehicles comply. The purpose of conducting the survey was to gather information about how many

TATA vehicles run over the Jharkhand from Jamshedpur. The data as per the questionnaires was recorded in the excel sheets.

From the data collected we found and analysed the following details----

17% 407 magic 58% 6% 19% sawari commander

Figure 1.1(Bistupur Stand) According to

11%

22% 407 magic commander

67%

Figure 2.1 (Chandil Stand) According to

11% 15%

407 magic commander

74%

Figure 3.1 (Ghatshila Stand) According to

2%

54%

44%

407 majic commander

Figure 4.1 (Chaibasa Stand) According to

10% 5% savari magic commander 85%

Figure 5.1 (Saraikela Stand) According to

14% 3% 407 magic commander 83%

Figure 6.1 (Hata Stand) According to

1000 800 600 400 200 0 407 m agic savari w itout OE w ith OE

Figure1. 1 Bistupur Stand (Haldipokhar route) According to

1000 800 600 400 200 0 407 m agicsavari Without O.E With O.E

Figure1. 2 Bistupur Stand (Saraikela route) According to

600 500 400 300 200 100 0 407 m agic Without O.E With O.E

Figure1. 3 Chandil Stand (Tata route) According to

600 500 400 300 200 100 0 407 m agic m ander com Without O.E With O.E

Figure1. 4 Ghatshila Stand (Saraikela route) According to

700 600 500 400 300 200 100 0 m agicsavari m ander com Without O.E With O.E

Figure1. 5 Chaibasa Stand (Tata route) According to

700 600 500 400 300 200 100 0 m agicsavari m ander com Without O.E With O.E

Figure1. 6 Sraikela Stand (Tata route) According to

1000 800 600 400 200 0 m agic m ander com Without O.E With O.E

Figure1. 7 Hata Stand (Jadugoda, Ghatshila, Musabani) According to

BIBLIOGRAPHY

Principle of Management by Philip Kotler Maketing Management by Nama Kumari Marketing Research by C. R Kothari Marketing Management By Narayans Time of India (Newspaper) Hindustan Times (Newspaper) 4 PS (Magazine) Pitch (Magazine)

WIBLIOGRAPHY
www. Buses .tatamotors.com businfo @ tatamotors. Com www.snap com www.google.co.in www. Batchmet. Com

CONCLUSION & SUGGESTION

After going through the training and preparing this report we came to know that the various factors responsible for the success and failure in the market. From the various parameters we came to certain conclusion. The report is all about the market potential and popularity of bus services in the educational sector. From the various data and from this research we come to know about the market potential, strength and weakness of our competitors, market share of our competitors, and customers preferences about the school buses. Tata motors should take steps and implement strategies to approach the concerned authorities in such a manner that providing bus transportation should be accepted as a part of school responsibility towards there school children rather than additional facility provide by them to the students .