MARKET SURVEY TO KNOW THE DRAWBACKS OF SONALIKAS COMPETITORS & CUSTOMER PREFERENCE FOR SONALIKA

Overview of Tractor Industry

vIn world first tractor was first manufactured in 1928.

vIn India tractor was first manufactured in 1961 at Faridabad, Haryana.

vIndia is the worlds third largest user & manufacturer of tractors. v

Sonalika A Brief Glance

vEstablished in 1969 at Hoshiarpur, Punjab. vTurnover of 3200 Core INR.

vGroup consist of :
Sonalika Agriculture Industries. International Tractors Limited. International Cars & Motor Limited. International Autotrac Finance Limited.

Turn over for last five years

over in Crores

Turn Over for last five years

Last five years sales

Serial no. YEAR 1. 2. 3. 4. 5. 2003-04 2004-05 2005-06 2006-07 2007-2008 No. of Tractors 16628 19426 26980 32870 32237

International Tractors Ltd

vIncorporated on October 17, 1995 for the manufacturing of Tractors. vManufactures various tractors of Sonalika brand between 30 hp to 90 hp. vDaily Production: 150-175 vCapacity: 250 vExports to various countries.

SWOT analysis
vSTRENGTH

Growing market. Dominating new competitors. Indias 70% population involved in agriculture. Govt. policy ode low lending interest for farmers. Capital-intensive nature and straight entry barrier make it difficult for new entrants. Trends of modernization and mechanization farming.

vWEAKNESS

Demand depends on rains, credit facilities available for farmers & crop procurement price. Excise duty in structure such that the price different between the lighter & heavier tractor narrowed.

vOPPORTUNITIES Replacement. Growing demand for Tractor in developing countries. Large cultivated land part not yet mechanized.

vTHREAT

Industry sensitive to recession due to

overdependence on monsoons.

Threat from foreign MNC coming to India.

Excise Duty.

Objective of the study

v

vTo know about the Product drawbacks of the competitors of Sonalika.

vConsumer preference & awareness regarding Sonalikas tractors.

vTo study the different parameters influencing the customers in purchasing the tractor.

vTo study the customer satisfaction .

Research methodology
vThe research design designed to do the survey is descriptive in nature.

vData source: qPrimary data qSecondary data q vResearch instrument qQuestionnaire

Cont.
vSample size qConsisted of 125 people

vScales used qLikert and Rank scale

Findings & Its Analysis.

v How many tractor companies do they know about?

f respondents

Name of tractors

..
vWhich tractor do they own and what is its HP?

espondents

Name of Tractor Companies

..
vSegment wise HP range.

Respondents

Range of tractors.

..
vWhat work they generally took from a tractor?

of respondents

Work taken

..
vWhat do they expect from their tractors? Allocation of 100 points among options

f respondents

Expectations from tractors

..
vIn which season do they prefer to buy a tractor?

of respondents

Season

..
vWhich financial sector influences them most while buying a tractor?

f respondents

Financial sectors

..
vTo what extent does these factors affect the choice of tractors? Points out of 10.

f respondents

Factors affect the choice

..
vHow much does the source influence the purchase of a particular brand of tractor?

f respondents

Sources influence the purchase

..
vWhat are the problems faced by them in their tractors? Rate on 1 to 10.

f respondents

Problems faced in tractors

..
vWhat satisfaction level do they have from their tractor?

of respondents

Satisfaction level

..
vHow do they rate Sonalika on following attributes?

f respondents

Ranking

..
vWhat are the new features they expect from tractor manufacturers?

respondents

New features

..
vHave they seen Sonalika advertisement?

of respondents

Response

..
v

Sources of advertisement.

of respondents

Sources of advertisement

..
vWhat is their favorite newspaper or journal?

of respondents

Newspapers

Conclusion
Mahindra High diesel consumption Swaraj High diesel consumption even on less load. Tafe Light in weight causes increase in diesel consumption Gear section being lighter inefficiency to heavy load Less ground clearance Lesser wheel base

Front lifting problem

Gives smoke even on less load. Lack of innovation(old technology) Spare part are costly

Sudden load stops tractors High engine RPM s, more wear and tear

Engine oil is less which No changes in design causes a lesser cooling which causes more wear and tear.

Contd
Escort High diesel consumption John Deere Not suitable for the use of Indian farmers Design of the tractor is unbalanced. New Holland Speed reduction is not direct so power loss is greater. At turning there is a heavy drop in engine RPM cause load on engine, reduces engine life.

Costly spare parts and high maintenance cost.

Lighter in weight and length Lesser wheel base causes of the tractor gives front front lifting. lifting Rear side is light in weight causes more wear of tyre Spare parts are not available if they are available and are costly

Contd..
qCustomers prefer Sonalika because

vOf high quality of its tractors.

vSonalika tractors are well built, Sonalika people keep on bringing the products with some kind of innovation in them.

vGood torque back up.

vNo front lifting which is being given by other tractors.


Recommendations
vCompany should provide fuel efficiency and least average running cost per litre. vShould pay more emphasis on advertisement of tractors. vThe new advertisement techniques should be used apart from advertisements in newspapers, on the walls etc. vAdvertisements should be made in the same direction having emotional appeal vAnd in the advertisement they should highlight their tractors strong points

Contd ..
vAfter sales service can be used as an important factor for creating differentiation.

vThe maintenance cost should be kept within limits.

vMore dealer network and authorized service stations should be opened to increase the customer pool.

vTraining should be given to the salesman. v

Limitations of the study.

vDifficult to get the forms filled. vScope of study is limited to villages, so results of study may not be generalized.

vThis study is based on the assumption that responses are true and factual although at times that may not be the case.

v
vBiasness.

vRespondents were not aware with all the terms in the questionnaire.

THANK YOU!!!