Consumer Behavior In The Automobile Industry

CONSUMER BEHAVIOUR

Consumer behaviour refers to way in which consumers behave while making any purchase decision. Consumer behaviour plays a very important role in the finding the results of any survey. Whenever we enter into a market consumers are considered the most important for any business because no business can run without consumers. So it is very important to know the consumer behaviour so that we can effectively utilise our resources in such a way that our consumer is satisfied. It is basically refers to the buying behaviour of consumer or any other business organisation. It also includes that features and factors that they considers while making a buying decision.

“Consumer behaviour is a set of various stages through which consumer

It includes no. of companies and organisations which are involved in the design, development, manufacturing, and marketing and selling of automobiles. This industry also contributes to the greater extent to the total revenue of a country. With the increasing demand due to rising income of people and increases young population base with increase in their purchasing power and the existence of large number of skilled manpower, this industry is growing at a fast rate. The main reason for the development of this industry is the de-licensing of this sector in 1991 and allowing the FDI limit up to 100% in this sector. This helps the global manufacturers to invest in India and set up their businesses to increase the production level of this sector from 2 million in 1991 to 9.7 million in 2006. When government take initiative in 1991 to remove the licensing, less restrictions on import and decrease tariff rates the Indian automobile industry was grown and flourished at a high rate that was very favourable for the balance of payment of the

• Legal and banking infrastructure

• Increased affordability of consumers, increasing demand in the car segment and the growing income of the Indian population.

• India has the third largest investor base in the world.

• The Government initiatives in the adoption of innovative technology and modernization fund is concentrating and trying to establishing India as an auto-manufacturing hub in the world.

• Availability of inexpensive skilled workers in India. Labour is very cheap in India as compared to other countries.

• Industry is trying to increasing sales by knocking on doors of women, youth, rural and luxury segments.

• Market segmentation and product innovation.

The main focus of my study is to know the behaviour and perceptions of consumers while buying passenger cars. Passenger cars are the important segment of automobile industry. So we have to discuss something about the passenger