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A Study on CRM Practice of Laxmi Hyundai

Internship Report on

A Study on Customer Relationship Management Practice of Laxmi


Hyundai

Submitted By:

ANAND KARKI
1RE12MBA64

Submitted To:

VISVESVARAYA TECHNOLOGICAL UNIVERSITY, BELGAUM

In partial fulfillment of the requirements for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

Under the guidance of

INTERNAL GUIDE EXTERNAL GUIDE


Prof. Manjunath V S Nirpesh Niroula
Asst. Professor Asst. Marketing Manager
Laxmi InterContinental Pvt Ltd.

Department of MBA
Reva Institute of Technology and Management
Rukmini Knowledge Park, Kattigenahalli,
Yelahanka, Bengaluru-560064.

DECLARATION

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A Study on CRM Practice of Laxmi Hyundai

I Anand karki, hereby declare that the Internship Report

entitled A Study on Customer Relationship Management

Practice of Laxmi Hyundai with reference to Laxmi

InterContinental Pvt. Ltd, Kathmandu prepared by me

under the guidance of Prof. Manjunath V S, faculty of MBA

Department, Reva Institute of Technology and Management and

external assistance by Nirpesh Niroula, Assistant

Marketing Manager of Laxmi InterContinental Pvt. Ltd

I also declare that this Internship work is towards the partial

fulfillment of the university regulations for the award of degree

of Master of Business Administration by Visvesvaraya

Technological University, Belgaum.

I have undergone a summer project for a period of twelve

weeks. I further declare that this project is based on the

original study undertaken by me and has not been submitted

for the award of any degree/diploma from any other

University/Institution.

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A Study on CRM Practice of Laxmi Hyundai

Signature of the
Student

Place: Bangalore. Student Name : Anand


karki

Date: 07/07/2014 USN : 1RE12MBA64

Acknowledgement

I would like to take this opportunity to thank everyone who has


helped me throughout the internship.

First and foremost, I would like to thank Dr. N. Ranapratap


Reddy, Principal of Reva Institute of Technology and
Management for providing me an opportunity to carry out the
internship work. I have special acknowledgements for the
supervising team at the Laxmi Hyundai and all the employees
(service center and the showroom team) of the organization. I
would also like to thank Mr. Jyoti Bhattarai (Marketing
Manager) and Mr. Nirpesh Niroula (Asst. Marketing
Manager) for providing me a guidelines and supervising me to
carry out the works throughout my internship period.

Lastly, My special appreciation goes to Prof. Manjunath V.S


for the support during preparation of this report, untiring effort
of going through the draft reports and providing me with the
valuable suggestions.

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A Study on CRM Practice of Laxmi Hyundai

Thank you all

EXECUITIVE SUMMARY

This report is a part of graduate programs under VISVESVARAYA TECHNOLOGICAL


UNIVERSITY, (VTU) that offers Management Programs. This is 12 week program
designed to provide an opportunity for a meaningful career-related experience in
real organizational settings before graduating.

Among the various automobile companied, researcher opted for Laxmi


Intercontinental P. Ltd. Laxmi Intercontinental P. Ltd started importing and selling
Hyundai brands of vehicle in Nepal after the acquisition of distributorship in
February 2009. . The project objective is to study Customer Relation
Management of Laxmi Hyundai. The report contain brief introduction of Laxmi
Hyundai .The Companys main aim was not only the sales of Hyundai vehicles
but also to provide quality after sales service to its valued Hyundai Customers. In
order to achieve this aim, it has opened showrooms and service centers across
Nepal. This project clearly mentions the objective of study and the research
methodology designed. Designed used in this project is exploratory and the
source of information is both Primary and secondary data. The data collection
method used is structured with the close end questionnaire.

Sampling shall be done on the basis of simple random sampling method. Based
upon the structured questionaries it will help in analyzing the obtained
information or results which projected certain findings and recommendations.

The project reveals the one of the important finding that Customer relationship
management is a business philosophy which provides a vision for the way the

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A Study on CRM Practice of Laxmi Hyundai

Laxmi Hyundai want to deal with the customer. To deliver that vision, Laxmi
Hyundai needs a CRM Strategy which gives shape to marketing, customer
service and data analysis activities. The major aim of the Laxmi Hyundai CRM
strategy is to maximize the profitable relationship with customer by increasing
the value of the relationship for the both the vendor and customer.

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A Study on CRM Practice of Laxmi Hyundai

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A Study on CRM Practice of Laxmi Hyundai

CHAPTER-1
INTRODUCTION

1.1 INTRODUCTION ABOUT THE INTERNSHIP

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This internship project is conducted for partial fulfillment of the Masters in Business
administration degree awarded by VisvesvarayaTechnology University, Belgaum. The
internship is assigned of three hundred marks for the evaluation. The internship in specialized
field provides us with indepth understanding about the field, market exposure, and helps to
identify the potential career opportunities. Internship project is good for students to
understand real world implications of the sound academic knowledge gained in college. The
internship has given us the real world exposure to the professional life and shown us the
wider exploration of the career opportunities in management, information technology and
information management.
This internship as per the requirement of the MBA not only fulfills that very requirement but
has also developed me personally by getting myself acquainted with how the automobile
industry business regulates. This program has enhanced the skill and enthusiasm of the
students as they get knowledge of the business environments and to learn different aspects of
working mechanism that prevail in the organizations. Most of the subject learned during the
MBA has been well implemented during this internship program.
During this internship period I was introduced to the organizational structure and overall
functioning of the organization. I was the trainee staff to organization; I conducted research
on CRM and also learned a way to create more customer value & satisfaction.

1.2 CUSTOMER RELATIONSHIP MANAGEMENT

The changing business environment is characterized by economic liberalization, increasing


competition, high consumer choice, demanding customer, more emphasis on quality and
value of purchase etc.

All these changes have made todays producer shift from traditional marketing to modern
marketing. Modern marketing calls for more than developing a product, pricing it, promoting
it and making it accessible to target customer. It demands building trust, a binding force and
value added relationship with the customers.

The process of developing a cooperative and collaborative relationship between the buyer and
seller is called customer relationship management shortly called CRM.

1.3 NEED FOR THE STUDY

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The biggest management challenge in the new millennium of liberalization and globalization
for a business is to serve and maintain good relationship with the king the customer. In the
past producers took their customers for granted, because at that time the customers were not
demanding nor had alternative source of supply or suppliers. But today there is a radical
transformation.

The purpose of customer relation is not only for retaining the customers but also attracting
new customers and increasing the sales and also creating and maintenance of brand
awareness.It is a system for managing a companys interactions with current and
future customersusing technology to organize, automate
andsynchronize sales, marketing, customer service, and technical support.Customer
perceptions attitudes and views regarding the products and services, along with suggestions
assume greater importance in the light of new entries and potential competitors, this study is
an attempt that directs to facilitate the management in marketing their future decisions in
promoting and creating a good image in the society.

reduced costs, because the right things are being done (i.e., effective and efficient
operation)
increased customer satisfaction, because they are getting exactly what they want (ie.
meeting and exceeding expectations)
growth in numbers of customers
highlighting poor operational processes
long term profitability and sustainability
A satisfied customer in 10 years will bring 100 more customers to the company.
It costs 7 time more to attract a new customer than to serve an old one.
20% of the companys loyal customers account for 80% of its revenues. (Paretos
principle).

1.4 OBJECTIVES OF THE STUDY

The main objectives are to determine the current relationship management level of the
customers with all aspects in regard to LAXMI HYUNDAI Ltd..

Objectives in Detail:

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A Study on CRM Practice of Laxmi Hyundai

1. To know the grievances among the customers about products &services, if any.
2. To identify different customers needs in regard to a Hyundai motor cars services.
3. To identify what type of promotional strategy is suitable for the company to reach the
targeted customers.
4. Help the company to retain the Existing Customers

1.5 SCOPE OF THE STUDY

The scope of the study is to identify the customer relationship management levels towards
"Laxmi Hyundai Limited". The study was conducted for a period of 8 weeks covering
various places in Kathmandu. Primary data was collected from customers. Secondary data
was collected from company manuals, magazines and websites and so on. The study gathers
information about the customer's relation maintaining in various full range of Hyundai
vehicles from EON (passenger car) to Santa Fe (SUV) level in regard to Quality of service,
safety Tips, fuel saving tips, driving tips etc. Customer care service and other values added
services provided by the company. It is aimed at enlightening the company about different
steps to be taken up to increase the share of Hyundai motor company limited with regard
other competitors and also to make the company to provide better customer services.

1.6 RESEARCH METHODOLOGY

Project methodology is a way to systematically solve the research problem. It deals with the
objective of a research study, the method of defining the research problem, the type of data
collected, method used for data collecting and analyzing the data etc. The methodology
includes collection of primary and secondary data.

DATA COLLECTION:
1) Primary data: The primary data will be collection through structured questions and
also by directly interacting with the respondents. The questionnaire will be circulated
to the customer personally.
2) Secondary data: The source of secondary data includes:
Books
Magazine
Companys report and website.

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A Study on CRM Practice of Laxmi Hyundai

Internet
So, to give a proper and formal approach to our research study I used the sampling technique.

SAMPLING TECHNIQUE
The sampling technique that adapted to conduct the survey was Random Sampling and the
area of the research was concentrated in the city of Kathmandu . The survey was conducted
by interacting with Hyundai owners at Hyundai service center.
Sample units:
The sampling units for the study include the owner of the Hyundai cars.
Sample size:
The sample or the size included for conducting the study is50 customers of Hyundai.

The summary of the methodology are stated below.

Areas Kathmandu

Source of information Primary and Secondary data

Data collected method Structured Questionnaires

Types of question used Multiple choice

Target Owner of Hyundai vehicles

Sampling Method Random Sampling

Sample Size 65 car users out of which 50 Hyundai car


owners

1.7 LITERATURE REVIEW OF CUSTOMER MANAGEMENT RELATIONSHIP

The aim of Customer Relationship Management (CRM) is the, Total of the discounted life
time values of all of the firms customers. Clearly, the more loyal the customers, the higher
the customer equity, rust. Zenithal and lemon distinguish three drivers of customer equity,
value equity and relationship equity.

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A Study on CRM Practice of Laxmi Hyundai

ArvindSaxena (2010) Director and Board member (marketing and sales), Hyundai Motor
India (HMIL) No company in automobile sector can fight competition on price. Companies
need to have the right product, distribution, CRM and after sales service network to grow.

Michael Cusumano, Steve Kahl and Fernaando Suarez (2008) in their research paper
A theory of services in product industries, has concluded that in many product oriented
industries, services have become increasingly important. In case of automobiles, many
automakers generate the vast majority of their profits from a service activity closely tied to
their product activity. The automobile industry overall generates a large portion of its profits
from other product-related service activities such as insurance and repairs. The authors
argued that despite the seeming importance of services, there is not much theory to help
researchers or practitioners explain the 3 conditions under which services matter in product
industries. The general view that emerges from the services literature is that services tend to
become important for manufacturing firms once their industries reach a mature stage.

Steve Kahl and Fernaando Suarez (2008) in their research paper Product, Process, and
Service: A New Industry Lifecycle Model, has concluded that Existing models of industry
lifecycle evolution tend to focus on changes in the products and processes and largely
overlook the dynamics of services, but increasingly, the revenues of many firms are
becoming dominated by sales of services rather than products, or products sold with services
to gain competitive differentiation in markets marked by increasing product commoditization.

Abhijeet Singh (2011) Tata Motors uses a customer relationship management and dealer
management system (CRM-DMS) which integrates one of the largest applications in the
automobile industry, linking more than 1200 dealers across India.CRM DOS has helped Tata
Motors to improve its inventory management, tax calculation and pricing. This system has
also proved to be beneficial to dealers because it has reduced their working capital cost

Gordon Fullerton (2006), Putting relationship in CRM, that JEEP, a division of Daimler
Chrysler Automobile Company, has served a classic example of CRM program that provides
a considerable value to both the customers and the firm by developing a program exclusively
for jeep owners and fostered a community that is highly effectively committed to the product,
the brand and the customers.

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A Study on CRM Practice of Laxmi Hyundai

Kevin Keller (2012) Caterpillar has become a leading firm by maximizing the total customer
value with the help of effective CRM, best after sales service in the industry and better
trained dealer. This allows the firm to command a premium price of 10% to 20% higher than
competitors such as Volvo, Komatsu etc.

1.8 LIMITATIONS OF THE STUDY


The study is subjected to the following limitations

1. A portion of the responds contacted were no precise and genuine in giving their
opinion.
2. If accidently they had badly, experience at one instance, they would work very poor.
3. To measure the exact level of customer relation the sample size was small.
4. Short time period was inadequate for conducting detailed study among the customers.
5. The study was restricted to Kathmandu only.

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A Study on CRM Practice of Laxmi Hyundai

CHAPTER 2
INDUSTRY AND COMPANY

PROFILE

2.1 INTRODUCTION TO AUTOMOBILE INDUSTRY

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Automobile, self-propelled vehicle used primarily on public roads but adaptable to other
surfaces. Automobiles changed the world during the 20th century, particularly in the United
States and other industrialized nations. From the growth of suburbs to the development of
elaborate road and highway systems, the so-called horseless carriage has forever altered the
modern landscape. The manufacture, sale, and servicing of automobiles have become key
elements of industrial economies. But along with greater mobility and job creation, the
automobile has brought noise and air pollution and automobile accidents rank among the
leading causes of death and injury throughout the world. But for better or worse, the 1900s
can be called the Age of the Automobile and cars will no doubt continue to shape our culture
and economy well into the 21st century. Automobiles are classified by size, style, number of
doors, and intended use. The typical automobile, also called a car, auto, motorcar, and
passenger car, has four wheels and can carry up to six people, including a driver. Larger
vehicles designed to carry more passengers are called vans, minivans, omnibuses, or buses.
Those used to carry cargo are called pickups or trucks, depending on their size and design.
Minivans are van-style vehicles built on a passenger car frame that can usually carry up to
eight passengers. Sport-utility vehicles, also known as SUVs, are more rugged than passenger
cars and are designed for driving in mud or snow.

In 2012 manufacturing plant in more than 25 countries produced 73.2 million passenger
cars .The automobile is built around an origin various systems supply the origin with fuel,
cool it daring operation, lubricate its moving parts and remove exhaust gases it creates. The
origin produces mechanical power that is transmitted to the automobiles wheels through
adverting which includes a transmission. One or more dive shafts, a differential gear and
axles. Suspension system which includes sparing and shock absorbers, customs the ride and
help protect the vehicle from being damaged by bumps heavy loads and other series. Wheel
and tares support vehicles on the road way and when rotated by powered axles; propel the
vehicle forward or backward Steering speed. An electrical system starts and operates the
engine monitor and control many aspects of the vehicle operation and powers such
components as head light and radios. Safety features such as bumpers air bugs and seat bells
help protect occupants in an accident

2.1.1 HISTORY OF AUTOMOBILE INDUSTRY

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The history of the automobile actually began about 4100 years ago when the first wheel was
used to transportation in India. In the early 15th century Portuguese arrived in china and the
interaction of the two cultures leaded to variety of new technologies including the creation of
a wheel. By the 1600s small steam powered engine models had been developed but it was
another century before a full sized engine powered vehicle was created. IN 1769 French
Army Officer Captain Nicolas joseph Cugsnot built what has been called the first automobile
cugnotsparel wheeler steam powered vehicle carried four people. Designed to move artillery
pieces. It has a top speed of a title more than 3.2km/h and had a stop every 20 minutes to
build up a fresh head of steam. As easily in 1801 successful but very heavy steam automobile
type introduced in England laws barred them from public road and forced their owners to run
them like train or private tracks their owners to run them like train or private tracks in 1802 a
steam powered coach designed by British Engineer. Richard Trethvickjourned more than
160km from corn wall to London.Steam powered caught the attention of other vehicle
builders. In 1804, American inventor Oliver Evans built a steam powered car in 1828. British
inventor a valterHandcock build a series of steam carriages in the mid 1830s thus were used
for the first omnibus service in London. By the mid 1800s England had an extensive network
of coach line. Horse-drawn stagecoach companies and the new rail road companies pressured
the British parliament to approve heavy its on steam-powered road vehicles. The tolls
quickly drove a steam quickly drove a steam coach operators out of business.During the early
20th century steam cars were popular in the United states. Most famous was the Stanley
steamer, built by American Twin brothers Freelan and Francis Stanley. A Stanley steamer
established a world land speed record in 1906 of 205.44 km /h. Manufactures produced about
125 models of steam powered automobiles, including the Stanley until 1932.The first
successful self-propelled road vehicle was a steam automobile invented in 1770 by the
French engineer Nicolas Joseph Cugsnot.

2.2 INTRODUCTION OF HYUNDAI MOTOR COMPANY

The Hyundai Motor Company is a South Korean multinational automaker headquartered


in Seoul, South Korea. The company was founded in 1967 and along with its 32.8% owned
subsidiary, Kia Motors, together comprise the Hyundai Motor Group, which is the world's
fifth largest automaker based on annual vehicle sales in 2012. In 2008, Hyundai Motor
(without Kia) was ranked as the eighth largest automaker. As of 2010, the Company sold over
3.6 million vehicles worldwide. Hyundai operates the world's largest integrated automobile

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A Study on CRM Practice of Laxmi Hyundai

manufacturing facility in Ulsan, South Korea, which has an annual production capacity of
1.6 million units. The company employs about 75,000 people worldwide. Hyundai vehicles
are sold in 193 countries through some 6,000 dealerships and showrooms.

Some Basic Highlights of Hyundai Motors:

Native name

Type Public

Traded as KRX: 005380


LSE: HYUD

Industry Automotive

Founded December 29, 1967

Founder(s) Chung Ju-yung

Headquarters Seoul, South Korea

Area served Worldwide

Key people Chung Mong-koo (Chairman & CEO)

Products Automobiles, commercial vehicles, engines

Production 2,943,529 units (2012)


output

Revenue US$ 84 billion (2012)

Net income US$ 9 billion (2012)

Total assets US$ 109 billion (2012)

Total equity US$ 43 billion (2012)

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Employees 75,000 (2012)

Website worldwide.hyundai.com

2.2.1 VISION:

Our Team provides value for your future

2.2.2 MISSION:

To create exceptional automotive value for our customers by harmoniously blending safety,
quality and efficiency. With our diverse team, we will provide responsible stewardship to our
community and environment while achieving stability and security now and for future
generations.

2.2.3 HYUNDAIS BRAND SLOGAN:

NEW THINKING - NEW POSSIBILITIES

A brand slogan embodies the essence of a brand, from its philosophy to its vision and
identity. Hyundais brand slogan -- NEW THINKING. NEW POSSIBILITIES. reflects
the will of Hyundai Motor Company to create new possibilities to benefit the world and its
people by encouraging and developing new thinking. All members of Hyundai have the brand
slogan deeply engraved in their hearts as they move forward in their effort to provide new
values and experiences desired by todays customers through innovative ways that are unique
to the brand, driven by new thinking about customers and cars.

2.2.4 QUALITY POLICY


Top priority to customer satisfaction
The Company will provide only those products meeting relevant customer
requirements & international standards and accordingly satisfy every customer.
Continuous improvement
The Company will make continuous quality improvements through unceasing R&D
efforts & new technologies and accordingly minimize the quality cost.

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A Study on CRM Practice of Laxmi Hyundai

Quality mind
The company will encourage each employees quality and accordingly accomplish the
error-free quality.
Quality mind creation
The company will create such premium quality value that can lead the global
automatic transmission market.

2.2.5 AREA OF OPERATION

Hyundai is striving for that next level to become Global No.1 Automobile Company through
practicing Industry Leadership and through implementing its strategy to expand its global
coverage.
The company is dedicated to enabling everyone around the world to use Hyundai,
worldsnumber one map solution technology. Its expertise is the basis for its strategy of
growth alongside the Hyundai Motor Group and, indeed, its global network as a whole,
through working with national and international hardware/IT/Contents/Service providers.

Regional operation Total coverage countries


Europe 30
Middle East 16
Asia 38
Africa 38
North America 3

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A Study on CRM Practice of Laxmi Hyundai

Central and south America 41

2.2.6 PRODUCTS OF THE HYUNDAI FAMILY

HYUNDAI FAMILY

SUV Passenger car

SANTA TUCSON
SANTRO I10 I20

accent EON veloster

A. CARS

1. SANTRO
The new Santro Xing sports stunning design changes which
include refreshing exteriors and new look luxurious
interiors. The new front radiator grille, the full wheel cover
and the rear spoiler makes the new Santro Xing aesthetically
more appealing and sporty. With metallic touches at multiple locations and plush new two
tone beige and brown color scheme, the new Santro Xing adds elegance and style to the
existing great looks.

Hyundai Santro was adjudged Most Dependable compact Car by JD Power Asia Pacific
2008. Santro bagged the number one position in the compact car segment in the Vehicle
Dependability Study (VDS) conducted by JD Power Asia Pacific 2008.

Overall length (mm) 3565


Overall weight (mm) 1525
Overall height(mm) 1590
Overall wheelbase(mm) 2380
Gross vehicle weight (kg) 1300
Fuel tank capacity(l) 35
Min. turning Radius(m) 4.4
Seating capacity 5 person
Displacement 1086 cc

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Manual 5 speed forward with overdrive in 4th& 5th


Automatic Electronically controlled 4 speed forward
with overdrive in 4th

2. i10
A world of perfection awaits you - The world of the all
new Next Gen i10. From the cutting edge VTVT
technology behind the engine to the fluid from of its new
sleek design and stylish interiors, the new i10 is clearly
more than just a car. It's a testament to perfection. The aggressive, modern & sleek exteriors,
new 2-tone beige and light brown interiors with blue illumination and chrome accents
premium feel and make it a car like no other

Overall length (mm) 3585


Overall weight (mm) 1595
Overall height(mm) 1550
Overall wheelbase(mm) 2380
Ground clearance 165
Fuel tank capacity(l) 35
Max. power (ps/rpm) 69/5,500
Max torque(kgm/rpm) 10.1/4,500
Manual 5 speed forward with overdrive in 4th& 5th
Front brake Ventilated Disc
Rear brake drum
3. I20
Overall length (mm) 3395
Overall weight (mm) 1710
Overall height(mm) 1505
Overall wheelbase(mm) 2525
Fuel tank capacity(l) 45
Mileage 4.4
Max. power (ps/rpm) 84/600
Max torque(kgm/rpm) 11.6/4,000
Manual 5 speed forward with overdrive in 4th& 5th
Front brake Disc
Rear brake drum
Steel wheel Era,Magna
Alloy wheel Sportz,asta,

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The luxury hatch is hotter than ever in its new avatar with Uber Features, Uber Style and
Uber Power. The all new i-Gen i20 is your ticket to the Uber Life with attention to detail that
makes it not just a style statement but also a lifestyle statement.

4. Accent
The shape is fresh and modern, but the name is one that the customer knowsand can trust.
This is Hyundai Accent, the latest generation of Hyundai's subcompact family car. It has all
the time-honored qualities you have come to expect of a Hyundai - reliability and durability,
innovation and practicality, safety and economy - clothed in an eyecatching new profile.
Accent, where pedigree is allied to progress. Hyundai Accent has been designed keeping in
mind the customer expectations from a true luxury sedan. With its smooth blend of design, a
wide and bold grille in chrome, bonnet with character lines gives you a true luxury feel.

Overall length (mm) 4280


Overall weight (mm) 1695
Overall height(mm) 1470
Overall wheelbase(mm) 2500
Fuel tank capacity(l) 45.05
Displacement 1399 cc
Turning radius(m) 5.1
Max. power (ps/rpm) 95/6000
Max torque(kgm/rpm) 12.7/4,700
Manual 5 speed forward
Automatic 4 speed forward
Front brake Disc9verfilated with floating caliper and pad
wear sensor)
Rear brake Drum type (CBS)
B.SUV
1. SANTA FE

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Overall length (mm) 4690


Overall weight (mm) 1880
Overall height(mm) 1680
Overall wheelbase(mm) 2700
Ground clearance 220
Fuel tank capacity(l) 64
Displacement 2199
Turning radius(m) 5.1
Max. power (ps/rpm) 197/3800
Max torque(kgm./rpm) 43/1800-2500
Manual 6 speed forward
Front brake Disc9verfilated with floating caliper and pad
wear sensor)
Rear brake Solid disc
Drive train (2wd)/MANUAL 169 R 2.2 VGT
Drive train (4wd)/MANUAL 174 R2.2 VGT
Time and opportunities are given to everyone. The difference in happiness comes from
whether we "seize" or "miss" the values, both big and small, that every moment of our
everyday lives has to offer. Storm edge the concept behind the design of the Santa fe, which
captured the powerful yet fragile moment of nature in motion during the rise and fall of a
storm. It seems to be telling us that the brilliant moments that we should not miss are, in fact,
right before our eyes.
2. Tucson
The company dream was to find the automotive
equivalent of this incomparable feeling. To give
substance to fluidity. To engage the senses and
translate the many shades of urban life into the
most natural, intuitive vehicle there is. Its a dream thats finally taken shape.

Overall length (mm) 4410


Overall weight (mm) 1820
Overall height(mm) 1655
Overall wheelbase(mm) 2640
Ground clearance 220
Fuel tank capacity(l) 64
Type Petrol diesel
Seating capacity 5 including driver 5including driver

Max. power (ps/rpm) 166/5,500 177/4000


Max torque(kgm/rpm) 20.146/4,000 39/1800-2500

Manual 5 speed forward 6 speed

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Front brake Ventilated disc


Rear brake Solid disc

2.3 INTRODUCTION OF LAXMI HYUNDAI NEPAL


Laxmi Intercontinental Pvt. Ltd. is a sole importer and distributor of Hyundai Vehicles for
Nepal. It deals with a full range of Hyundai vehicles from Santro (passenger car) to Santa Fe
(SUV). Laxmi Intercontinental Pvt. Ltd. started importing and selling Hyundai brands of
vehicle in Nepal after the acquisition of distributorship in February 2009. The company's
main aim was not only the sales of Hyundai vehicles but also to provide quality after sales
service to its valued Hyundai Customers. In order to achieve this aim, Laxmi Hyundai
Company has opened its showrooms and service centers across Nepal.
Laxmi Hyundai is continuously working towards providing its existing as well as prospective
customers with quality service whether it is sales or after sales services. It has established
showrooms in the heart of Kathmandu valley following Hyundai standard guidelines where
customer would feel a difference with the different kinds of buying experience. Sales staff
appointed in the showroom is friendly, well informed about Hyundai vehicles and very
passionate about their work. They make sure that customers feel comfortable and satisfied.
The Company's showrooms have been opened in different strategic locations of the kingdom
(Kathmandu) with the intention of providing customers an improved service in terms of
quality, space and ambience. In these showrooms, customers feel a pleasurable buying-
experience.

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Similarly, the Company's after sales service and parts facilities follows the Hyundai's Global
Auto Servicing offering the full range of after sales service facilities through its high tech
equipments and well trained and fully motivated technicians.

Company Profile
Name of Organization Laxmi Hyundai
Year of Establishment 2009
Nature of business Sole distributor of Hyundai
Number of Employees 150 people
Turnover 227 million
Address Thapathali, Kathmandu, Nepal
Executive Director AnjanShrestha
General Manager NirakarShrestha
Area of Marketing JoytiBhattarai

2.4 DEALERS NETWORK OF LAXMI HYUNDAI

In order to capitalize the growing automobile market outside the Kathmandu valley, it has
also established sub-dealers at various locations of the country. Table below presents the
locations of the sub-dealers of Laxmi Hyundai Company throughout the country:

S.N. Dealers/Sub-Dealers Locations Development Region

1. Dhangadi Far-western Development Region

2. Dang

3. Nepalgunj
Mid-western Development Region

4. Butwal

5. Pokhara Western Development Region


6. Bhairahawa

7. Narayangadh

8. Kathmandu

9. Banepa
Central Development Region
10. Birgunj

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11. Damak

12. Birtamod Eastern Development Region

The table above shows that the Laxmi Hyundai Company has covered all the five
development regions of the country and they have dealers/sub-dealers in all strategic market
locations of the country. Majorities of the sub-dealers locations are in Central region (4 nos)
followed by Western region (3 nos), Eastern region (2 nos), and one each in Mid and Far
western regions.

Figure 2.1: Dealers Network in Nepal

2.5 KEY FUNCTIONS OF LAXMI HYUNDAI

The following are the major key functions of the company:

Importing of Hyundai Vehicles from Korea and India


Distributing those vehicles throughout the country Nepal through dealers
Providing customers quality of services
Company's showrooms have been opened with the intention of providing customers
improved services in terms of timeliness, quality, space and ambience
Helping them in getting loans from Bank

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Providing quality of information in terms of vehicle whenever needed

Figure 2.2: Laxmi Hyundai Showroom

Figure 2.3: Waiting room at Laxmi Hyundai Nepal

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Figure 2.4: Major Vehicles (models/brand) deal by Laxmi Hyundai Nepal

2.6 COMPETITORS INFORMATION

There are a numbers of dealers/importers dealing with different brands of vehicles in Nepal.
They import these vehicles mainly from India and other countries such as Japan, Korea and
Check Republic; however, majorities of the vehicles are imported from India. The major
dealers/importers of different vehicle brands in Nepal are as follows:

Sipradi Trading Private Ltd (STPL) has been the exclusive distributor of Tata Motors Ltd
in Nepal since 1982. STPL is an ISO 9001:2008 certified company. STPL sells and services
the full range of Tata Motors commercial and passenger vehicles. The company has the
largest sales and service distribution network throughout Nepal with 9 sales offices and 5
regional service centres.

HansrajHulaschand and Company (HH Company), the authorized distributor of Daihatsu


motors for Nepal, has been selling Daihatsu cars in Nepal for years. They directly import the
motors from Japan.

Sayakar Ltd imports HONDA vehicles from Japan

Continental Trading Enterprises has been under operation for over two decades delivering
the best in class brands KIA vehicles and unbridled service to Nepal from Korea.

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Chaudhary Group (CG) Company imports and deals MARUTI SUZUKI vehicles from
India

MAW Enterprises Pvt. Ltd. imports and deals Skoda vehicles from India and Check
Republic

Pooja International Pvt. Ltd. imports and deals Volkswagen vehicles from India

Agni Incorporated Pvt. Ltd imports and deals Mahindra vehicles from India

Golcha Group imports and deals Ford vehicles from India

Batas Group imports and deals Fiat vehicles from India

Laxmi Intercontinental Pvt. Ltd deals HYUNDAI vehicles imported from Korea and India
Vehicles Brand
Company/Dealer Imported from
Imported

Laxmi intercontinental HYUNDAI Korea and India

Continental Trading Enterprises KIA Korea

Chaudhary Group Company MARUTI SUZUKI India

Kumara Auto Centre MITSUBISHI Japan

Sayakar Ltd. HONDA Japan

HansrajHulaschand and Company DAIHATSU Japan

United Traders Syndicate TOYOTA Japan

Sipradi Trading Pvt. Ltd. TATA Motors India

MAW Enterprises Pvt. Ltd Skoda India and Check Republic

Pooja International Pvt. Ltd. Volkswagen India

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Agni Incorporated Pvt. Ltd Mahindra India

Golcha Group Ford India

Batas Group Fiat India

Source: Collected from respective websites of dealers


MAJOR IMPORTERS/DEALERS OF DIFFERENT VEHICLE BRANDS IN
NEPAL.

2.7 SWOT ANALYSIS OF THE COMPANY

SWOT analysis of the Laxmi Hyundai Company identifies and analyses the main internal and
external factors that will influence the future direction and success of the organization and its
business. It comprises of strengths and weaknesses which are the internal factors and
opportunities and threats which are the external factors that affects the organization. Such
analysis helps managers in strategic planning.

SWOT analysis of Laxmi Hyundai Company is as follow:

STRENGTH OPPORTUNITIES

Managed by experts Good reputation and trust among the


customers and dealers
Many Branches and dealers
Increased customer base
Competent Human Resource
decline in bank interest rates on auto loans
Well defined policies, rules and regulations
along with easy financing services
Better service/customer satisfaction
Rapid road widening and extension
Profound goodwill and customers trust

International Affiliation

WEAKNESS THREAT

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-Centralized decision making Lack of stable government

Subjective employee Appraisal System No clear government rules and regulations

Heavy custom duties and taxes on vehicles


import

heightened competition in the sector

2.8 FUTURE GROWTH AND PROSPECTS


The company has the opportunity of becoming the largest company in Nepal by establishing
large number of show rooms in rural and urban areas. Providing good service facility to the
customers. Introducing new technology adopted for four wheelers .Opening large service
branches. Introducing high mileage giving cars and less cost. Adopting international
standards in its services and understanding global requirements.Hyundai gains are coming
from the small utility segment. Nationally, utilities are expected to grow at almost twice the
rate of the overall industry during the next five years.Market share of Hyundai in Nepal is
growing at a faster rate than any of its competitors at present and will lead to a number one
automobile importer company in near future.

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CHAPTER: 3
THEORETICAL BACKGROUND

OF THE STUDY

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3.1 CUSTOMER RELATIONSHIP MANGEMENT

According to Ashokadutt head of Citi Bank the idea of CRM is to know the individual
customer intimately, so that the company has a customized product ready for him even
before he asks for it.

Many companies are intent on developing stronger bonds with their customers-called
Customer Relationship Management (CRM). This is the process of managing detailed
information about individual customer and carefully managing all the customers touch
points with the aim of maximizing customer loyalty.

We can now see the importance of just finding customers, but of keeping and growing them
as well. Relationship marketing is oriented toward long term. Todays smart companies not
only want to create customers, they want to own them for life.

The aim of Customer Relationship Management (CRM) is to produce high customer


equity is the total of the discounted lifetime values of all of the firms customer equity, rust;
Zenithal and Lemon distinguish three drivers of customer equity; value equity, and
relationship equity.

Customer relationship management (CRM) is a system for managing a companys


interactions with current and future customers. It involves using technology to organize,
automate and synchronize sales, marketing, customer service, and technical support

3.2 TYPES

Marketing and Customer Service

CRM systems track and measure marketing campaigns over multiple networks. These
systems can track customer analysis by customer clicks and sales. Places where CRM is used
include call centers, heavily used in social media, direct mail, data storage files, banks, and
customer data queries.

CRM in customer contact centers

CRM systems are customer relationship management platforms. It is a platform for


progressing the payments and other related query management. Their goal is to track, record,
store in databases, and then data mine the information in a way that increases customer

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relations The CRM codifies the interactions between you and your customers, So that you can
maximize sales and profits using analytics, to give the users as much information on where to
focus your marketing, customer service to maximize revenue, and decrease idle and
unproductive contact with your customers. The CRM software is installed in the contact
centers, and help direct customers to the right agent or self-empowered knowledge. CRM
software can also be used to identify and reward loyal customers over a period of time.

CRM in B2B market

The modern environment requires one business to interact with another via the web.
According to a Sweeney Group definition, CRM is all the tools, technologies and
procedures to manage, improve, or facilitate sales, support and related interactions with
customers, prospects, and business partners throughout the enterprise. It assumes that CRM
is involved in every B2B transaction

Despite the general notion that CRM systems were created for the customer-centric
businesses, they can also be applied to B2B environments to streamline and improve
customer management conditions. B2C and B2B CRM systems are not created equally and
different CRM software applies to B2B and B2C conditions. B2B relationships usually have
longer maturity times than B2C relationships. For the best level of CRM operation in a B2B
environment, the software must be personalized and delivered at individual levels.

3.3 FOUR CS OF CUSTOMER RELATIONSHIP MANAGEMENT

Correlate:
A series of transaction and interaction that make up a dialogue between customer\channel\end
user and organization.
Combine:

The mapping and management interaction points between a customer\channel\end user and
organization.

Cognize:

The insight gained through capture and analysis of detailed information it to create
continuous learning from the data ware house and knowledge base that is created, integrated
and analyzed.

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Connect:

The application of insight to create relevant interaction or communication with consumers,


customers, channels, suppliers and partners that build value relationship.

CRM, H. Peer Mahmed, A. Sagadevan

3.4 CUSTOMER RELATIONSHIP MANAGEMENT CYCLE

UNDERSTAND AND DIFFERENTIATE

We cannot have a relationship with customers unless we understand them what they value,
what types of service are important to them, how and when they like to interact, and what
they want to buy. True understanding is based on a combination of detailed analysis and
interaction. Several activities are important:

Profiling to understand demographics, purchase patterns and channel preference.


Segmentation to identify logical unique groups of customers that tend to look alike
and behave in a similar fashion. While the promise of "one-to-one" marketing sounds good,

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we have not seen many organizations that have mastered the art of treating each customer
uniquely. Identification of actionable segments is a practical place to start.
Primary research to capture needs and attitudes.
Customer valuation to understand profitability, as well as lifetime value or long-term
potential. Value may also be based on the customer's ability or inclination to refer other
profitable customers.

Analysis and research alone, however, are insufficient. To create and foster a relationship, we
have to act on what we learn about customers. Customers need to see that we are
differentiating our service and communications based both on what we've learned
independently and on what they've told us.

At the same time, differentiation should be based on the value customers are expected to
deliver.

DEVELOP AND CUSTOMIZE

In the product-oriented world of yesterday, companies developed products and services and
expected customers to buy them. In a customer-focused world, product and channel
development have to follow the customer's lead. Organizations are increasingly developing
products and services, and even new channels, based on customer needs and service
expectations.

Most organizations today are not able to cost-effectively customize products for individual
customers. However, products, services, channels and media can be customized based on the
needs of quantitative customer segments. The extent of customization should be based on the
potential value delivered by the customer segment.

Interact and Deliver

Interaction is also a critical component of a successful CRM initiative. It is important to


remember that interaction doesn't just occur through marketing and sales channels and media;
customers interact in many different ways with many different areas of the organization
including distribution and shipping, customer service and online.

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To foster relationships, organizations need to insure that:

All areas of the organization have easy access to relevant, actionable customer
information.
All areas are trained how to use customer information to tailor interactions based on
both customer needs and potential customer value.

With access to information and appropriate training, organizations will be prepared to


steadily increase the value they deliver to customers. Delivering value is a cornerstone of the
relationship. And remember, value is not just based on the price of the product or the
discounts offered. In fact, customer perceptions of value are based on a number of factors
including the quality of products and services, convenience, speed, ease of use,
responsiveness and service excellence.

Acquire and Retain

The more we learn about customers, the easier it is to pinpoint those that are producing the
greatest value for the organization. Those are the customers and customer segments that we
want to clone in our prospecting and acquisition efforts. And, because we continue to learn
about what is valuable to each segment, we'll be much more likely to score a "win" with the
right channel, right media, right product, right offer, right timing and most relevant message.

Successful customer retention basically involves getting it "right" on an ongoing basis.

Successful customer retention is based very simply on the organization's ability to constantly
deliver on three principles:

Maintain interaction; never stop listening.


Continue to deliver on the customer's definition of value.
Remember that customers change as they move through differing life stages; be alert
for the changes and be prepared to modify the service and value proposition as they change.

And so the cycle continues. As you move from one stage to the next, you gain insight and
understanding that enhances your subsequent efforts. Your development initiatives

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simultaneously become increasingly sophisticated as does your implementation of CRM


processes.

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CHAPTER 4
DATA ANALYSIS

&

INTERPRETATION

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Table 4.1: Table showing the number of people who possessed a car.

Possessing a car In numbers In percentage


Yes 50 77
No 15 23
Total 65 100

Analysis: Out of the 65 respondents 50 of them possessed a car and the rest of 15 didnt
possess a car.

Chart 4.1:Table showing the number of people who possessed a car.

People Having Car

23% yes
no

77%

Interpretation: Majority of the respondent i.e. 77% of them were the owner of the car.

Table 4.2: Table showing the Source of Awareness.

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Awareness In numbers In percentage


Newspaper/magazines 32 60
Social Media 03 8
Friends 11 18
Websites 02 10
Other 01 4
Total 50 100

Analysis: From the above table, 60% said that they became awareness through the
Newspaper/magazine advertisement , 18% said that they came to know about the Laxmi
Hyundai through friends and relatives ,8% said through social media , 10% said it is
website and only 4% specified as others.

Chart 4.2: Chart showing the Source of Awareness

Source Of Awareness

Newspaper Social Media


10%4% /Magazines
18% Friends Websites
60%
8% Other

Interpretation: Majority of the respondent i.e. 60% found that the newspaper and magazine
advertisement has played a major role in creating awareness among the people.

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Table 4.3:Table showing how respondent find the Ambience of the showroom.

Ambience In numbers In percentage


Excellent 25 50
Good 15 30
Satisfactory 08 16
Poor 02 04
Very poor 0 0
Total 50 100

Analysis:50 % of respondent opting that the ambience of the showroom is excellent, 30%
of them found it good.16 % of them stated it to be satisfactory and very less 4% stated it
is verypoor.

Chart 4.3: Chart showing how respondent find the Ambience of this showroom.

Ambience Of The Showroom

4% Excellent
16%
Good
50% Satifactory
30% Poor
Very poor

Interpretation: Majority of the respondents stated that the ambience of the showroom is
"excellent" as stated by 50% of the customers which is a good indicator for the showroom.

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Table 4.4: Table showing the staff responsiveness towards the customer at showroom.

Staff response In numbers In percentage


Very Cooperative 09 18
Cooperative 11 22
Responsive 28 56
Non-cooperative 02 4
Highly non-Cooperative 00 00
Total 50 100

Analysis: The above table shows that, most of the customer i.e.18 % of them found the show
room staff to be very cooperative ,22% stated asco-operative, a major percentage i.e.
56% of them felt the staff is responsive than cooperative (respond only when asked, without
having any personal initiation),4% of them rated the staff to be non-cooperative and none
of them rated as highly non-cooperative.

Staff Response
Very co-operative
4% 18% Co-operative
Responsive
56% 22% Non-Cooperative
Highly non-Cooperative

Chart 4.4:
Chart showing the staff responsiveness towards the customer at showroom.

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Interpretation: Majority of staff response is found to be "Responsive" rather than co-


operative. It seems Staff doesn't respond until asked for which may lead to negative impact
on the perception of the customers about this showroom.

Table 4.5: Table showing the Time taken by receptionist in attending a customer call.

Time Taken In numbers In percentage


Very quick 4 8
Quick 08 17
Reasonable 31 63
Delayed 04 08
Very much Delayed 02 04
Total 50 100

Analysis: According to above table it shows that the 8% of the respondent stated it as very
quick,17% of respondent stated it as quick, time taken is reasonable as stated by 63%
of the respondent 8% of them found it to be delayed, 4% said it is very much delayed .

Chart 4.5: Table showing the Time taken by receptionist in attending a customer call

Time Taken In Attending a Call

Very Quick
8% 4% 8%
16% Quick
Resonable
Delayed
63% Very much Delayed

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Interpretation: Time taken to provide the services required by the customers is considered as
"reasonable" by the most of the respondent (i.e. 63%).

Table 4.6: Table showing the Sales executive role in explanation the features of car to
customer.

Explanation IN NUMBERS IN PERCENTAGE


Convincing 12 24
Satisfactory 18 36
Unless asked 20 40
Total 50 100

Analysis: Out of the 50 respondent , 24% of them felt the explanation to be


convincing,36% felt it as satisfactory and major percentage 40% felt it to be non-
convincing .

Chart 4.6: Chart showing the Sales executive role in explaining the features of car to
customer

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Sales Executive Performance

24% Convincing
40% Satisfactory
Unless asked

36%

Interpretation: Majority of the respondent i.e. 40% found the sales executive dont explain
the entire feature unless asked by the customer.

Table 4.7: Table showing the respondent opinion about the process involved in providing
financial facilities.

Processing procedure IN NUMBERS IN PERCENTAGE


Very simple 00 00
Simple 01 2
Moderate 6 12
Complex 9 18
Very Complex 34 68
Total 50 100

Analysis: According to the above table 68% of the respondent stated that process
involved for financial facilities are very complex,18% stated it to be complex ,12% to be
moderate and Only 2% of them stated it to be simple.

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Chart 4.7: Chart showing the respondent opinion about the process involved in providing
financial facilities.

Process Involved in Providing Financial Facilities

2% 12% very simple


Simple
18% Moderate
Complex
68%
Very Complex

Interpretation: Majority of the respondent i.e. 68% considered the process to be very
complex. . They didnt find it to be very convenient and simple.

Table 4.8: Table showing availability of Color variants for customer in the showroom.

Availability of colors In numbers In percentage


Wide 06 12
Limited 33 66
Very few 11 22

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Total 50 100

Analysis: From the above table it can be understood that limited range of colors is available
in this showroom as stated by 66% of the respondent, 12% stated that this showroom contains
wide colors and 22% stated very few range of color.

Chart 4.8: Chart showing availability of Color variants for customer in the showroom.

Availability Of Colors

22% 12%
Wide
Limited
Very few

66%

Interpretation: Majority of the respondent i.e.66% stated that the availability of varied
colors in this showroom seems to be limited .It shows that customer is given a limited choice
in matter of color of the car.

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Table 4.9: Table showing respondent likelinessin suggesting to other friends & relatives.

Suggesting to friends In numbers In percentage


Yes 38 76
No 12 24
Total 50 100

Analysis: According to above table it shows that, 76% of the customers are very likely to
suggest this showroom to their friends / relatives. The 24% of the customers are reluctant to
suggest these showrooms to friends/relatives.

Chart 4.9: Chartshowing respondent likeliness in suggesting to other friends & relatives.

Customer Suggesting To Other

24%
yes
No

76%

Interpretation: Majority of the respondents i.e. 76% are ready to suggest the car to other. It
is an indication of high satisfaction level andcustomers are happy with the service provided
by the showroom.

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Table 4.10: Table showing the reason for suggesting the showroom to others.

Reasons In numbers In percentage


Quick Service 12 24
Timely Response 9 18
Friendly Atmosphere 7 14
Trust Worthiness 19 38
Infrastructure 03 6
Total 50 100

Analysis: 38% of the respondents stated the reasons of trust worthiness,24% of the
respondents stated quick service , 18% respondent stated Timely response, 14% state
friendly atmosphere and only 6% for infrastructure,

Chart 4.10: Chart showing the reason for suggesting the showroom to others.

Reason to Suggest Other


quick service
6%
24% timely response
friendly atmosphere
38%
18% trust wortiness
infrastructure
14%

Interpretation: Majority of the respondent i.e. 38% considered the trust worthiness to be the
reason for suggesting the showroom to other.

Table 4.11: Table showing the customer opinion about the equipments efficiency in the
showroom for the purpose of maintenance of the cars.

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Ability of showroom In numbers In percentage


Excellent 19 38
Good 06 12
Satisfactory 14 28
Poor 07 14
Very poor 04 8
Total 50 100

Analysis: 38% of the respondent rated it as excellent as compared to other showroom another
majority of respondents i.e. 28% of them stated it as satisfactory. 14% of the respondent
said it is poor. 12 % stated as good and only 8% stated very poor.

Chart 4.11: Chart showing the customer opinion about the equipment presence in the
showroom for the purpose of maintenance of the cars.

Equipments efficiency

8% Excellent
14% Good
38%
Satisfatory
Poor
28% Very Poor
12%

Interpretation: Out of 50 customers, Majority of customer stated thatthe showroom has


excellent equipment in maintaining the cars.

Table 4.12: Table showing any inconvenience felt by customer after leaving their car for
service.

Inconvenience felt In numbers In percentage


Never 33 66

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Sometimes 18 34
Always 0 0
Total 50 100

Analysis: 66% of the respondent have never felt any inconvenience, whereas 34% have felt
sometime and none of them have felt always.

Chart 4.12: Chart showing any inconvenience felt by customer after leaving their car for
service.

Inconvenience Felt by Customer

34% Never
Sometimes
Always
66%

Interpretation: As majority of 66% of respondent had positive attitude towards the customer
service of Laxmi Hyundai.

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Table 4.13: Table showing whether the customer had raised any complaints against the
problem faced by him/her to the management.

Complaint Raised In numbers In percentage


Yes 16 30
No 34 70
Total 50 100

Analysis: As 30% respondent say that they have raised some issue where as 70% of the
respondent says that they havent raised any issue till date.

Chart 4.13: Chart showing whether the customer had raised any complaint against the
problem faced by him/her to the management.

Complaint Raised

30%
Yes
No
70%

Interpretation: As majority of respondent i.e. 70% had replied that they never had to
approach the management for any problems.

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Table 4.14: Table showing reasons for complaining.

Issue Raised In numbers In percentage


Wrong communication by salesman 6 37
Actual bill exceeding the estimated bill 4 25
Fall in performance of the car after service 2 13
Delay in handling over the vehicles 3 19
Infrastructure 1 6
Total 16 100

Analysis : As 37% respondent replied that the issue/problem faced by them was the wrong
communication by the salesman, whereas 25% of respondent replied that their actual bill
exceeded the estimated bill,13% replied fall in performance of the car after service,19%
stated delay in handling over the vehicles and 6% had issue on infrastructure.

Chart 4.14: Chart showing reasons for complaining.

Issue of Complaint Raised By Respondent


Wrong communication by Actual bill exceeding the
salesman estimated bill
6% Fall in performance of the Delay in handling over
19% 38%
car after service the vehicles
13%
25% Infrastructure

Interpretation: As majority 37% respondent had problem on wrong communication by sales


man.

Table 4.15: Table showing whether the problem was cleared by the management or not.

Complaint solved In numbers In percentage

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Yes 13 81
No 3 19
Total 16 100

Analysis:Maximum percentage of respondent i.e. 81% replied that there problem were
solved by the management ,whereasthe rest 19% stated that their problem were not taken
care by the management.

Chart 4.15: Chart showing whether the problem was cleared by the management or not.

Problem Solved by Management

19%
yes
NA

81%

Interpretation: As majority of respondent (81%) were satisfied with the management, as


their problem were taken good care by the Laxmi Hyundai management.

Table 4.16: Table showing duration to solve the issue by the management.

Duration to solve the issue In numbers In percentage


Within few hours 6 46
Within 1 day 3 23

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With 1 week 2 15
More than 1 week 1 8
More than 2 week 1 8
Total 13 100

Analysis :As 46% respondent replied that their issue were solved with in few hours by the
management but rest 23% replied within 1 day,15% replied with in 1 week,8% replied more
than 1 week and 8 % more than 2 week for their problem to be solved by the management.

Charts 4.16: : Table showing duration to solve the issue by the management.

Timetaken to Solve the Issue


within 1 hour
8%
8% within 1 day
15% 46% within 1 week
more than 1 week
23% more than 2 week

Interpretation: As majority 46% respondent had positive response for their issue which was
send to the management. As their complaints where replied with in 1 hour after their
complaint being registered. This was due to good CRM techniques used by Laxmi Hyundai
to face and handle complaints.

Table 4.17: Table showing how the customers rate the service after sale.

After sales service In numbers In percentage


Excellent 3 6
Good 10 20
Satisfactory 29 58
Poor 05 10

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A Study on CRM Practice of Laxmi Hyundai

Very Poor 03 6
Total 100 100

Analysis: 58% of the respondents stated the after sales service to be satisfactory. This
shows that the after sales service in not such effective as stated by the respondents, 20% of
the respondents said that was good, only 6% as excellent and almost 6% found it to be
poor and very poor.

Chart 4.17: Chart showing how the customer rates the service after sale.

After Sales Service

6% 6% Excellent
10% Good
20%
Satisfactory
poor
very poor
58%

Interpretation :The "after sales service" is stated by most i.e. 58% as "satisfactory" and a
very few stated it as "excellent" and "good".

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A Study on CRM Practice of Laxmi Hyundai

Table 4.18: Table showing regarding overall all experience of the customer with this
showroom.

Overall experience In numbers In percentage


Excellent 17 34
Good 10 20
Satisfactory 13 26
poor 7 14
Very poor 3 6
Total 50 100

Analysis: Out of the respondents, 34% have stated their experience as excellent, 20% as
good, 26% as satisfactory. 14% have stated it as poor and only 6% stated it asvery
poor. This shows that on the whole customers are just satisfied with the services offered
at this showroom.

Chart 4.13: Chart showing regarding overall all experience of the customer with this
showroom.

Overall Experience

6% Excellent
14% Good
34%
Satisfactory

26% poor
Very poor
20%

Interpretation: The overall experience of the customer is found to be "excellent" as state by


34% of the respondents.

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A Study on CRM Practice of Laxmi Hyundai

CHAPTER: 5
FINDINGS, SUGGESTIONS

&

CONCLUSION

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A Study on CRM Practice of Laxmi Hyundai

FINDINGS

From the responses of 50 customers the findings can be listed as:

1. It has been found that the newspaper and magazine are the major source of awareness
about the dealer.
2. The ambience of the showroomis "excellent" as stated by most of the customers. This is
a good indicator for the showroom.
3. The staff response is found to be "Responsive" rather than co-operative. It seems "Staff"
doesn't respond until asked for. This may lead negative impact on the perception of the
customers about this showroom.
4. Time taken to attend the customercall is considered as "reasonable" by the most of the
respondent.
5. It seems most of the customers found the "sales executive explanation" just
"Satisfactory" than "Convincing". Few (20 out of 50) even stated that sales executives
don't explain all the features unless asked.
6. The process involved in providing financial facilities is considered as (68% of
respondents) as very complex & time consuming. They don't find it very convenient.
7. As most of the customer states that the after sales service" provided by the showroom
is just satisfactory" therefore the company needs to be consider this issue seriously in
order to satisfy more customer in near future.
8. The availability of varied colors in this showroom seems to be very limited as stated by
most of respondents. It shows that customer is given a limited choice in matter of color
of the car.
9. As much as 76% of respondent have stated that they are very likely to suggest this
showroom to their friends\relatives. . It is an indication of high satisfaction level and
customers are happy with the service provided by the showroom.
10. As most of the respondent i.e. 38% considered the trust worthiness to be the reason for
suggesting the showroom to other.
11. Most of respondent stated that the equipment used for the maintaining the vehicles was
excellent.
12. As most of the respondent had replied that they had never felt any inconvenience after
leaving their car for service. It shows that Laxmi Hyundai has built the trust in the mind
of the customer.
13. The number of respondent responded that they had never come across any complaints
or issued to be raised against the Laxmi Hyundai. This shows that Laxmi Hyundai was
providing better CRM.

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A Study on CRM Practice of Laxmi Hyundai

14. Out of 16 respondent only 6 had an issue of complaint regarding the wrong
communication by sales man so Laxmi Hyundai should provide proper training to the
sales person.
15. Most of the respondents were satisfied with the management, as their problem was
taken good care by the Laxmi Hyundai management.
16. Majority of the respondent had positive response for their issue which was send to the
management. As their complaints were resolvedwithin 1 hour after their complaint
being registered. This was due to good CRM techniques used by Laxmi Hyundai to face
and handle complaints.
17. Majority of the customer stated that their overall experience towards the showroom was
found to be "excellent.

RECOMMENDATIONS
An attempt has been made to suggest to the CRM department of the
showroom a few measures. These recommendations have been made within the preview of
the data available.

1. The staff should be trained on regular basis, such that customers find them very co-
operative.

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A Study on CRM Practice of Laxmi Hyundai

2. The time taken in attending the customer call needs to be minimum.Effective and less
time consumptions are the important factors, which determine customer relationship
management.
3. The sales executive should be trained adequately so as to "Convince" the potential
buyers, because his performance on job has great impact on CRM.
4. The process involved in providing financial facilities needs to be made simple as much
of the respondents stated it to be complex and time consuming.
5. After sales service should be more customized. A toll free facility should be introduced
which help the customer to define their problem. If possible a mobile unit can be
maintained so that customer need not have to bring car to the showroom in case of any
problems.
6. These days most of the people wish to have some graphics over their cars. This may be
a mix of color shades, some additional components etc. Showrooms may try to provide
these kinds of customized solutions not requiring the customer to go at some other
place.
7. Most people who buy cars wish to have fancy numbers. They spend considerable
amounts to get these fancy numbers. Showrooms may work in this aspect and get into
agreement with the registration office to provide these fancy numbers without taking
exorbitant charge.
8. More EMI schemes can be introduced as customers find it more convenient in paying a
EMI.
9. A call to the customers as per the schedule of service to know the working of car so that
prompt service can be provided in case of need.
10. Extra offer to customer on referring to his friends/relatives.
11. Maintaining the high level of customer convincing.
12. Introduce the online booking facilities for customer to service their cars.

CONCLUSION

On the basis of simple random sampling the total sample size attended was 65 customers in
which 50 respondent were who owned the Laxmi Hyundai vehicles. The data analysis was
done with help of techniques such as questioner and different survey method. The proceeding
of this study was done by a survey, which is an appropriate tool to maintain the level of
customer Relationship. A structured questionnaire was developed in the process. These tools
helped in analyzing the obtained information or results which projected certain findings and
recommendations.

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A Study on CRM Practice of Laxmi Hyundai

From the research, several issues are found which needs to be emphasized for Laxmi
Hyundai was greater success. Marketing strategy adopted by the organization is attracting
huge customers. What have been noticed after interviewing around 50 customers that almost
75% of customers were happy and satisfied by the work of Hyundai Nepal. This shows that
the showroom and all the service departments are most popular among the customers and
they are doing the great job.

Based on the findings of the study it is suggested that Laxmi Hyundai should do frequent
market research on the basis of structured questionnaire to understand the existing market
situation and carry out the corrective measures or improvements as needed for sales
promotion. Laxmi Hyundai Company should frequently improve in its complaints handling
system of customers to effectively manage such complaints of various customers and
encourage customers to give more positive feedback about the product and services. The
management must be able to collect and documents complaint and use that information to
identify dissatisfied customers. Finally, lack of stable government, no clear government rules
and regulations, heavy custom duties and taxes imposed on vehicles import, acute/heightened
competition in the sector are some of the areas where the government should focus to
improve and make the business more lucrative.

BIBILIOGRAPHY

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A Study on CRM Practice of Laxmi Hyundai

BIBILIOGRAPHY

1. Indian management
2. Principles of marketing
3. Marketing management
Philip Kotler
4. Marketing research
G.C. Beri
5. Customer Relationship Management
- William G.zikmund
-Raymond mc. leod, JR
-Faye W. Gilbert
6. TATA Mc. Graw Hill, Marketing Management

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A Study on CRM Practice of Laxmi Hyundai

-RajanSaxena
7. Customer relationship management
Jagdishsheth
Atulparvatiyar
G Shaniesh
Web sites-
www.laxmiHyndai.com
www.Google.com
www.sciencedirect.com
www.worldwide.hyundai.com
www.wikipedia.com

Journal :

njazz J. Chen, Karen Popovich, (2003) "Understanding customer relationship


management (CRM): People, process and technology", Business Process
Management Journal, Vol. 9 Iss: 5, pp.672 - 688
Jagdishsheth thought leader
Adrian Payne, PennieFrow (2005) A Strategic Framework for Customer
Relationship Management. Journal of Marketing: October 2005, Vol. 69, No. 4, pp.
167-176.

ANNEXURE

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A Study on CRM Practice of Laxmi Hyundai

QUESTIONNAIRES

Dear customer,

I am MBA student of, REVA INSTITIUTE OF TECHNOLOGY


AND MANGEMENT doing a survey on customer relationship management with regard to
this showroom. I would be grateful to you if you could spare a few minutes to this
questionnaire.

1. Do you own a car? Yes\No.


i. If yes, please specify....................................................
2. How did you come to know about Laxmi Hyundai Company?

i. Newspaper iii. Others,


Advertisement specify
ii. Social media iv. Websites
v. Friends

3. How do you find the ambience of this showroom?

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A Study on CRM Practice of Laxmi Hyundai

i. Excellent v. Needs to be improved


ii. Very good
iii. Good
iv. Satisfactory

4. How do you feel the staff responsiveness when you enter the showroom?

i. very Co-operative v. Highlynon-co-operative


ii. Co-operative
iii. Responsive vi.
iv. Non-Co-operative

5. What do you feel about the time taken by the receptionist of this service center
inattending your call?

i. Very quick iii. Reasonable


ii. Quick iv. Delay

v. Very much delay

vi.

6. How do you find the sales executives explanation about the car features?

i. Convincing v. Unless asked


ii. Satisfactory
iii. Non convincing vii.
iv. Non satisfied

7. How do you find the process involved in providing the financial facilities by
showroom?

i. Very Simple iv. Complex


ii. Simple v. very complex
iii. Moderate

8.
9. How do you find the availability of choice of car colors in this showroom?
10.

i. Wide range iv.


ii. Limited
iii. Very few

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A Study on CRM Practice of Laxmi Hyundai

11. Will you suggest this showroom to your friend's\relatives?

i. Yes ii. No

v.
vi. A. If yes, because of

i. quick service iv. Trust worthiness


ii. Timely response v. infrastructure
iii. Friendly atmosphere

vi.
vii. B. If No, please specify .
12. How do you feel about the equipments used here to deal with carscompared to
others?

i. Excellent iv. poor


ii. Good v. very poor
iii. Satisfactory

vi.

13. Have you felt inconvenience after leaving yours car for service with the dealer?

i. Always viii.
ii. Sometimes
iii. Never ix.
vii.

14. Have you raised any complaint against the problem/inconvenience faced by you to the
management?
x.

i. Yes ii. No

iii.
a) The issue raised by you was related to
i. Wrong communication
ii. Actual bill exceeding the estimated bill
iii. Performance of car after service
iv. Delay in delivering the vehicles after service
iv.
b) If yes, was the problem/issue attended and solved by the management?
i. Yes
ii. No

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A Study on CRM Practice of Laxmi Hyundai

v.
c) How long did the management take to solve your issue?
i. Within few hrs.
ii. 1 day
iii. Within 1 week
iv. More than 1 week.
v. None
vi.
15. How do you rate after sales service of this showroom?

i. Excellent iv. Poor


ii. Good v. Very poor
iii. Satisfactory

16. How is yours overall experience with this showroom?

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i. Excellent
ii. Good
iii. Satisfactory
iv.
v. Personal profile
vi. Name:-
vii. Occupation:-
viii. Address:-
ix. Contact No.
x.
xi.
xii.
xiii.

xiv. Thank you for valuable time.

xv.

xvi.

xvii.

xviii.

xix.

xx.

xxi.

xxii.

xxiii.

xxiv.

xxv.
xxvi.

Service
Reception

xxvii.

Waiting
Room
xxviii.

Repair
&Maintenance

xxix.

Service area

xxx.
xxxi.

Spare parts
store

xxxii.

xxxiii.

Paint Booth
xxxiv.

Wheel balance and Tyre change

xxxv.

xxxvi.

Diagnosis
xxxvii.

Washin
g

xxxviii.

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