INTRODUCTION

Drivers are sure to recognize Honda automobiles as among the highest quality

vehicles on the road today. However, the history of Honda started long before the

company made its first automobile. Company founder Soichiro Honda had always

had an interest in automobiles and got his start at the Art Shokai garage as a

mechanic working on race cars.

The Early Years

Using funding offered by a friend (Kato Shichiro) Honda started Tokai Seiki in

1937. This company crafted piston rings for the Toyota Company for a short

period of time. In time Honda learned to mass produce engine rings for Toyota.

During World War Two this company was placed under the control of the War

Ministry. Following the destruction of one factory during the war and one more in

1945 due to the Mikawa earthquake, a new era in the history of Honda began with

the construction of a motorized bicycle under the auspices of the name Honda

Technical Research Institute.

The Honda Technical Research Institute was liquidated in 1949 and the resulting

funds used to found Honda Motor Co. Ltd., a name that has become very well

known on streets across America. During this early period the company focused on

1
building motorcycles and by 1964 was one of the worlds largest motorcycle

manufacturers.

Those early car models were introduced in October of 1963. By that time, Honda

had been the worlds leading motorcycle manufacturer for more than a decade. It

was natural that the early car and truck models featured rear-wheel chain drives,

similar to the motorcycles Honda had been producing since the end of the Second

World War. It would be another decade a decade of many advances before the

first Hondas would be shipped to the United States and other international markets.

During the ensuing years Honda would continue to develop new lines of vehicles

and expand their horizons. In 1973 Honda was ready to export its cars to the

United States as the first Honda Civic was offered to buyers in the Denton, Frisco,

and Lewisville areas. These highly fuel efficient cars were exactly what the

American public needed as the energy crisis hit full swing and gas prices soared. In

1974 the Honda CVCC four stroke engine was only incredibly fuel efficient but the

Civic became the first car to meet the new EPA Clean Air Act standards without

the need for a catalytic converter.

By 1979 a new stage in the history of Honda was underway as they became the

first Japanese automobile manufacturer to open a production facility in the U.S.

1982 saw the Accord being built at the brand new Marysville, Ohio manufacturing

2
facility. In 1984 the Honda CRX-HF would be the first car in the world to reach an

EPA rating of 50 mpg.

In 1986 Honda launched its Acura luxury car line, offering the sporty Integra and

flagship Legend. These models were offered through 60 different dealerships

across the U.S. Not satisfied with this, in 1988 Honda became the first American

built automobile to be exported to Japan. The Honda Accord has the distinction of

being the first car built by an international car maker to earn the distinction of

being the best-selling car in the U.S.

These models were offered through 60 different dealerships across the U.S. Not

satisfied with this, in 1988 Honda became the first American built automobile to be

exported to Japan. The Honda Accord has the distinction of being the first car built

by an international car maker to earn the distinction of being the best-selling car in

the U.S.

Not content to rest on its laurels, in 1990 Honda launched the Acura NSX. This

was the worlds first all-aluminum bodied automobile. It would also be the first to

be fitted with the Variable Timing and Lift Electronic Control (VTEC) engine. The

following year the Accord wagon would become the first vehicle in the history of

Honda to be completely designed and built in the U.S. Mid-decade the Civic

3
became the first car to meet the California Low-Emission Vehicle standards. Two

years later the Accord met Californias Ultra-Low Emission Vehicle standards.

A New Century and New Ideas

In 2001 the U.S. manufactured Civic Coupe became the first compact car to be

given a full 5 star safety rating by the NTHSA (National Traffic Highway Safety

Administration), making them one of the safest cars on the roads of Denton. 2002

saw the first Honda Civic Hybrid, a combination gas/electric car that achieved 70

mpg. In this same year the FCX was introduced as the first fuel cell powered

vehicle to be certified for everyday use in the U.S. by the EPA.

Honda continues to be on the cutting edge, leading the way into the future in many

fields. In October 2000, roughly 37 years after introducing their first cars, Honda

introduced the ASIMO Advanced Step in Innovative Mobility. The ASIMO is a

humanoid robot designed to help people with mobility-related disabilities. Since its

introduction, ASIMO has been widely used to promote math and science education

and research.

Honda isnt resting content with their cars, either. They have continuously been

among world leaders in developing vehicles that use alternate fuel sources, from

the first hybrid electric car available in the U.S. in 1999 to flex fuel in 2006 to

hydrogen fuel cells in 2008 and the completely electric Fit EV in 2012. While the

4
vehicles range of 82 miles limited its practicality to those with short commutes

typical of those living in the city, a plug-in hybrid was introduced the next year

that combined the green technology and economy of an electric with the

practicality of a gasoline engine for longer trips.

Innovation continues to abound as Honda continues to investigate more ways to

create hybrids and ultra-safe and fuel efficient vehicles. The Honda vehicles

available at Honda of Denton are among the finest on the road today. While they

may bear little resemblance to the first T360 produced in 1963, the same

dedication to quality seen with this model can still be found in every car, truck,

SUV, and van ever built in the history of Honda.

5
 COMPANY PROFILE

onda is headquartered in Minato, Tokyo, Japan. Their shares trade on the Tokyo

Stock Exchange and the New York Stock Exchange, as well as exchanges in

Osaka, Nagoya, Sapporo, Kyoto, Fukuoka, London, Paris and Switzerland.

The company has assembly plants around the globe. These plants are located in

China, the United States, Pakistan, Canada, England, Japan, Belgium, Brazil,

Mxico, New Zealand, Malaysia, Indonesia, India, Philippines, Thailand, Vietnam,

Turkey, Taiwan, Per and Argentina. As of July 2010, 89 percent of Honda and

Acura vehicles sold in the United States were built in North American plants, up

from 82.2 percent a year earlier. This shields profits from the yen's advance to a

15-year high against the dollar.

6
 Honda's Net Sales and Other Operating Revenue by Geographical Regions in 2007

Geographic Region Total revenue (in millions of )

Japan 1,681,190

North America 5,980,876

Europe 1,236,757

Asia 1,283,154

Others 905,163

American Honda Motor Company is based in Torrance, California. Honda Racing

Corporation (HRC) is Honda's motorcycle racing division. Honda Canada Inc. is

headquartered in Markham, Ontario, it was originally planned to be located

in Richmond Hill, Ontario, but delays led them to look elsewhere. Their

manufacturing division, Honda of Canada Manufacturing, is based in Alliston,

Ontario. Honda has also created joint ventures around the world, such as Honda

7
Siel Cars and Hero Honda Motorcycles in India, Guangzhou Honda and Dongfeng

Honda in China, Boon Siew Honda in Malaysia and Honda Atlas in Pakistan.

Following the Japanese earthquake and tsunami in March 2011 Honda announced

plans to halve production at its UK plants. The decision was made to put staff at

the Swindon plant on a 2-day week until the end of May as the manufacturer

struggled to source supplies from Japan. It's thought around 22,500 cars were

produced during this period.

8
 LEADERSHIP

Name Years

Soichiro Honda 19481973

Kiyoshi Kawashima 19731983

Tadashi Kume 19831990

Nobuhiko Kawamoto 19901998

Hiroyuki Yoshino 19982003

Takeo Fukui 20032009

Takanobu Ito 20092015

Takahiro Hachigo 2015

9
 HONDA CAR MODELS

Honda's global lineup consists of the Fit, Civic, Accord, Insight, CR-V, CR-

Z, Legend and two versions of the Odyssey, one for North America, and a smaller

vehicle sold internationally. An early proponent of developing vehicles to cater to

different needs and markets worldwide, Honda's lineup varies by country and may

have vehicles exclusive to that region. A few examples are the latest Honda

Odyssey minivan and the Ridgeline, Honda's first light-duty uni-body pickup

truck. Both were designed and engineered primarily in North America and are

produced there. Other example of exclusive models includes the Honda Civic five-

door hatchback sold in Europe.

Honda's automotive manufacturing ambitions can be traced back to 1963, with

the Honda T360, a kei car truck built for the Japanese market.[28] This was

followed by the two-door roadster, the Honda S500 also introduced in 1963. In

1965, Honda built a two-door commercial delivery van, called the Honda L700.

Honda's first four-door sedan was not the Accord, but the air-cooled, four-cylinder,

gasoline-powered Honda 1300 in 1969. The Civic was a hatchback that gained

wide popularity internationally, but it wasn't the first two-door hatchback built.

That was the Honda N360, another Kei car that was adapted for international sale

as the N600. The Civic, which appeared in 1972 and replaced the N600 also had a

10
smaller sibling that replaced the air-cooled N360, called the Honda Life that was

water-cooled.

The Honda Life represented Honda's efforts in competing in the kei car segment,

offering sedan, delivery van and small pick-up platforms on a shared chassis.

The Life StepVan had a novel approach that, while not initially a commercial

success, appears to be an influence in vehicles with the front passengers sitting

behind the engine, a large cargo area with a flat roof and a liftgate installed in

back, and utilizing a transversely installed engine with a front-wheel-drive

powertrain.

As Honda entered into automobile manufacturing in the late 1960s, where

Japanese manufacturers such as Toyota and Nissan had been making cars since

before WWII, it appears that Honda instilled a sense of doing things a little

differently than its Japanese competitors. Its mainstay products, like the Accord

and Civic (with the exception of its USA-market 199397 Passport which was part

of a vehicle exchange program with Isuzu (part of the Subaru-Isuzu joint venture)),

have always employed front-wheel-drive powertrain implementation, which is

currently a long held Honda tradition. Honda also installed new technologies into

their products, first as optional equipment, then later standard, like anti lock

brakes, speed sensitive power steering, and multi-port fuel injection in the early

1980s. This desire to be the first to try new approaches is evident with the creation

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of the first Japanese luxury chain Acura, and was also evident with the all

aluminum, mid-engined sports car, the Honda NSX, which also introduced variable

valve timing technology, Honda calls VTEC.

The Civic is a line of compact cars developed and manufactured by Honda. In

North America, the Civic is the second-longest continuously running nameplate

from a Japanese manufacturer; only its perennial rival, the Toyota Corolla,

introduced in 1968, has been in production longer.[29] The Civic, along with the

Accord and Prelude, comprised Honda's vehicles sold in North America until the

1990s, when the model lineup was expanded. Having gone through several

generational changes, the Civic has become larger and more upmarket, and it

currently slots between the Fit and Accord.

Honda produces Civic hybrid, a hybrid electric vehicle that competes with

the Toyota Prius, and also produces the Insight and CR-Z.

In 2008, Honda increased global production to meet demand for small

cars and hybrids in the U.S. and emerging markets. The company shuffled U.S.

production to keep factories busy and boost car output, while building

fewer minivans and sport utility vehicles as light truck sales fell.[30]

Its first entrance into the pickup segment, the light duty Ridgeline, won Truck of

the Year from Motor Trend magazine in 2006. Also in 2006, the redesigned Civic

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won Car of the Year from the magazine, giving Honda a rare double win of Motor

Trend honors. Honda's 9th generation Civic also won the Car of the Year award

based on a public survey held by PakWheels

It is reported that Honda plans to increase hybrid sales in Japan to more than 20%

of its total sales in fiscal year 2011, from 14.8% in previous year.[31]

Five of United States Environmental Protection Agency's top ten most fuel-

efficient cars from 1984 to 2010 comes from Honda, more than any other

automakers. The five models are: 20002006 Honda Insight (53 mpg-US or

4.4 L/100 km or 64 mpg-imp combined), 19861987 Honda Civic Coupe HF

(46 mpg-US or 5.1 L/100 km or 55 mpg-imp combined), 19941995 Honda Civic

hatchback VX (43 mpg-US or 5.5 L/100 km or 52 mpg-imp combined), 2006 Honda

Civic Hybrid (42 mpg-US or 5.6 L/100 km or 50 mpg-imp combined), and 2010

Honda Insight (41 mpg-US or 5.7 L/100 km or

49 mpg-imp combined).[32] The ACEEE has also rated the Civic GX as the greenest

car in America for seven consecutive years.[33]

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 ELECTRIC AND ALTERNATIVE FUEL VEHICLES

COMPRESSED NATURAL GAS

The Honda Civic GX was for a long time the only purpose-built natural gas

vehicle (NGV) commercially available in some parts of the U.S.[63][64] The Honda

Civic GX first appeared in 1998 as a factory-modified Civic LX that had been

designed to run exclusively on compressed natural gas. The car looks and drives

just like a contemporary Honda Civic LX, but does not run on gasoline. In 2001,

the Civic GX was rated the cleanest-burning internal combustion engine in the

world by the U.S. Environmental Protection Agency (EPA).

HISTORY OFCIVIC GX

The Honda Civic GX first appeared in 1998 as a factory-modified Civic LX that

had been designed to run exclusively on CNG (compressed natural gas). In 1998

the Civic GX cost $4500 more than a comparable Civic LX.[9] The car looked and

drove just like a contemporary Honda Civic LX, but did not run on gasoline. In

2001, the Civic GX was rated the cleanest-burning internal combustion engine in

the world by the EPA.

14
The GX was first leased to the City of Los Angeles to be used by parking

enforcement officers and other city employees as a live beta test. The GX followed

the same model year design changes as the Civic LX model, until the model year

2001 when a CVT (continuously variable transmission) was introduced in place of

the 4 speed automatic transmission. In the 2006 year model, the GX again was

equipped with the automatic 5 speed transmission, which increased its mileage and

extended its range to 250 miles.[12] In 1998 the GX was available for special order

in some states to consumers (California and Colorado in particular).

In 2006, the Civic went through its greatest modification since its inception. All

variants of the Civic were awarded the 2006 Motor Trend "Car of the Year"

award.[13]The 8th generation Civic remained unchanged from 2006 and was also

available in the GX model. The GX was a very limited-availability car with fewer

than a thousand units per year being produced by the factory.

In October 2006, the 2007 Civic GX became available in New York. In July 2009,

the GX became available to the public in Utah.[16] In April 2010 the GX became

available to the public in Oklahoma. The CNG Civic in this market relateed to

favorable natural gas costs and the numerous high pressure filling stations. The

promotion of CNG conversions by natural gas producers headquartered in

Oklahoma provided incentive for Honda to market the Civic GX there. State of

Oklahoma incentives were a factor that led United Parcel Service to convert part of

15
their delivery truck fleet to CNG After December 2010, the GX was available for

fleet sales in all 50 states. Retail sales were expanded to 35 states in the fall of

2011.

2015 was the last model year for the Civic CNG. The company said it had sold

about 16,000 natural-gas vehicles since the model was introduced, mainly to taxi

and commercial fleets. American Honda Motor Company executive vice president

John Mendel commented that Honda was phasing out efforts to develop natural-

gas powered vehicles and would instead focus on hybrids and electric vehicles. He

cited the lack of a CNG fueling infrastructure in the United States as the main

reason for the decision to stop producing the Civic CNG. "The infrastructure, while

it improved, just wasn't as convenient as petrol," Mendel said. "We gave it a pretty

long run and we tried and tried and tried.

16
 SPECIFICATIONS

2012 Honda Civic GX with the blue diamond CNG sticker and the new natural gas

badging. The GX was originally introduced with a 1.6 liter I4 engine. The 2001

model make-over carried a 1.7 liter engine. Beginning in model-year 2006, the 1.8

liter inline four-cylinder engine was introduced to the civic lineup Compression in

the Civic GX is 12.5:1, higher than that of most US pump gasoline-powered

automobiles. The significantly higher compression ratio is usable without

detonation due to the 120-octane natural gas that powers the car. Acceleration of

the 2012 Civic Natural Gas is less than that of the comparable 4-door 2012 LX

model due to both lower power (110 hp vs. 140 hp) and heavier weight

(2848 lbs vs 2705 lbs). Zero-to-sixty times have been clocked at 12.6 seconds.

The CNG cylinder (fuel tank) is carried in the trunk of the car and holds

8.0 gasoline gallon equivalent (GGE) at 3600 psi.

Range on a full 3600 psi fill is variable, depending on driving conditions and

driving technique. While Honda claims an estimated 225250 miles from a full

CNG tank, independent tests have found lower ranges of 180200 miles and "just

17
over 200 miles" (about 300 km).[23] There were improvements in the 2012 EPA

fuel economy as the range increased to 225 ~ 250 miles. The EPA rates the 2009

Honda Civic GX at 24 equivalent MPG city and 36 equivalent MPG highway.

Independent tests with mixed driving usage found rates of "nearly 32 and

26.8 equivalent MPG. The estimated fuel cost for this vehicle to drive 25 miles in a

combination of city and highway driving is $1.47 using CNG, based on an average

fuel price of $1.93 per gasoline equivalent gallon (121.5 cubic feet). The GX

qualifies for HOV Lane access in California, Arizona, Utah, and other states.

18
 FLEXIBLE-FUEL

Honda's Brazilian subsidiary launched flexible-fuel versions for the Honda

Civic and Honda Fit in late 2006. As other Brazilian flex-fuel vehicles, these

models run on any blend of hydrous ethanol (E100) and E20-E25

gasoline. Initially, and in order to test the market preferences, the carmaker decided

to produce a limited share of the vehicles with flex-fuel engines, 33 percent of the

Civic production and 28 percent of the Fit models.[69][70] Also, the sale price for the

flex-fuel version was higher than the respective gasoline versions, around

US$1,000 premium for the Civic, and US$650 for the Fit, despite the fact that all

other flex-fuel vehicles sold in Brazil had the same tag price as their gasoline

versions. In July 2009, Honda launched in the Brazilian market its third flexible-

fuel car, the Honda City.

During the last two months of 2006, both flex-fuel models sold 2,427 cars against

8,546 gasoline-powered automobiles, jumping to 41,990 flex-fuel cars in 2007, and

reaching 93,361 in 2008. Due to the success of the flex versions, by early 2009 a

hundred percent of Honda's automobile production for the Brazilian market is now

flexible-fuel, and only a small percentage of gasoline version is produced in Brazil

for exports.

19
In March 2009, Honda launched in the Brazilian market the first flex-fuel

motorcycle in the world. Produced by its Brazilian subsidiary Moto Honda da

Amaznia, the CG 150 Titan Mix is sold for around US$2,700.

20
 HYBRID ELECTRIC CAR

In late 1999, Honda launched the first commercial hybrid electric car sold in the

U.S. market, the Honda Insight, just one month before the introduction of

the Toyota Prius, and initially sold for US$20,000. The first-generation Insight was

produced from 2000 to 2006 and had a fuel economy of 70 miles per US gallon

(3.4 L/100 km; 84 mpg) for the EPA's highway rating, the most fuel-efficient

mass-produced car at the time. Total global sales for the Insight amounted to only

around 18,000 vehicles. Cumulative global sales reached 100,000 hybrids in 2005

and 200,000 in 2007.

Honda introduced the second-generation Insight in Japan in February 2009, and

released it in other markets through 2009 and in the U.S. market in April 2009. At

$19,800 as a five-door hatchback it will be the least expensive hybrid available in

the U.S.

2010 Honda Insight hybrid electric vehicle (Second generation)

Since 2002, Honda has also been selling the Honda Civic Hybrid (2003 model) in

the U.S. market.[81] It was followed by the Honda Accord Hybrid, offered in model
21
years 2005 through 2007. Sales of the Honda CR-Z began in Japan in February

2010, becoming Honda's third hybrid electric car in the market. As of February

2011, Honda was producing around 200,000 hybrids a year in Japan.

Sales of the Fit Hybrid began in Japan in October 2010, at the time, the lowest

price for a gasoline-hybrid electric vehicle sold in the country. The European

version, called Honda Jazz Hybrid, was released in early 2011. During 2011 Honda

launched three hybrid models available only in Japan, the Fit Shuttle Hybrid, Freed

Hybrid and Freed Spike Hybrid.

Honda's cumulative global hybrid sales passed the 1 million unit milestone at the

end of September 2012, 12 years and 11 months after sales of the first generation

Insight began in Japan November 1999. A total of 187,851 hybrids were sold

worldwide in 2013, and 158,696 hybrids during the first six months of 2014. As of

June 2014, Honda has sold more than 1.35 million hybrids worldwide.

22
 HYDROGEN FUEL CELL

Honda FCX Clarity hydrogen fuel cell vehicle

In Takanezawa, Japan, on 16 June 2008, Honda Motors produced the first

assembly-line FCX Clarity, a hybrid hydrogen fuel cell vehicle. More efficient

than a gas-electric hybrid vehicle, the FCX Clarity

combines hydrogen and oxygen from ordinary air to generate electricity for an

electric motor. In July 2014 Honda announced the end of production of the Honda

FCX Clarity for the 2015 model.

The vehicle itself does not emit any pollutants and its only by products are heat and

water. The FCX Clarity also has an advantage over gas-electric hybrids in that it

does not use an internal combustion engine to propel itself. Like a gas-electric

hybrid, it uses a lithium ion battery to assist the fuel cell during acceleration and

capture energy through regenerative braking, thus improving fuel efficiency. The

lack of hydrogen filling stations throughout developed countries will keep

production volumes low. Honda will release the vehicle in groups of 150.

California is the only U.S. market with infrastructure for fueling such a vehicle,

though the number of stations is still limited. Building more stations is expensive,

as the California Air Resources Board (CARB) granted $6.8 million for four H2

fueling stations, costing $1.7 million USD each.

23
Honda views hydrogen fuel cell vehicles as the long term replacement of piston

cars, not battery cars.

24
 PLUG-IN ELECTRIC VEHICLES

Honda Fit EV concept unveiled at the 2010 Los Angeles Auto Show.

The all-electric Honda EV Plus was introduced in 1997 as a result of CARB's zero-

emissions vehicle mandate and was available only for leasing in California. The

EV plus was the first battery electric vehicle from a major automaker with non-

leadacid batteries The EV Plus had an all-electric range of 100 mi (160 km).

Around 276 units were sold in the U.S. and production ended in 1999.

The all-electric Honda Fit EV was introduced in 2012 and has a range of 82 mi

(132 km). The all-electric car was launched in the U.S. to retail customers in July

2012 with initial availability limited to California and Oregon. Production is

limited to only 1,100 units over the first three years. A total of 1,007 units have

been leased in the U.S. through September 2014. The Fit EV was released in Japan

through leasing to local government and corporate customers in August 2012.

25
Availability in the Japanese market is limited to 200 units during its first two years.

In July 2014 Honda announced the end of production of the Fit EV for the 2015

model.

The Honda Accord Plug-in Hybrid was introduced in 2013 and has an all-electric

range of 13 mi (21 km) Sales began in the U.S. in January 2013 and the plug-in

hybrid is available only in California and New York. A total of 835 units have

been sold in the U.S. through September 2014. The Accord PHEV was introduced

in Japan in June 2013 and is available only for leasing, primarily to corporations

and government agencies.

26
 MARKETING

Japan

Honda Clio (Saitama, Japan)

Starting in 1978, Honda in Japan decided to diversify its sales distribution

channels, and created Honda Verno, which sold established products with a higher

content of standard equipment and a more sporting nature. The establishment

of Honda Verno coincided with its new sports compact, called the Honda Prelude.

Later, the Honda Vigor, the Honda Ballade, and the Honda Quint were added

to Honda Verno stores. This approach was implemented due to efforts in place by

rival Japanese automakers Toyota and Nissan.

Honda Primo (Osaka)

27
As sales progressed, Honda created two more sales channels, called Honda Clio in

1984, and Honda Primo in 1985. The Honda Cliochain sold products that were

traditionally associated with Honda dealerships before 1978, like the Honda

Accord, and Honda Primosold the Honda Civic, kei cars, such as the Honda

Today, superminis like the Honda Capa, along with other Honda products, such as

farm equipment, lawn mowers, portable generators, marine equipment, plus

motorcycles and scooters like the Honda Super Cub. A styling tradition was

established when Honda Primo and Clio began operations, in that

all Verno products had the rear license plate installed in the rear bumper,

while Primo and Clio products had the rear license plate installed on the trunk lid

or rear door for minivans.

Honda Verno (2008)

As time progressed and sales began to diminish partly due to the collapse of the

Japanese "bubble economy", "supermini" and "kei" vehicles that were specific

to Honda Primo were "badge engineered" and sold at the other two sales channels,

28
thereby providing smaller vehicles that sold better at both Honda Verno and Honda

Clio locations. As of March 2006, the three sales chains were discontinued, with

the establishment of Honda Cars dealerships.[109] While the network was

disbanded, some Japanese Honda dealerships still use the network names, offering

all Japanese market Honda cars at all locations.

Honda Wing motorcycle dealership (Japan)

Honda sells genuine accessories through a separate retail chain called Honda

Access for both their motorcycle, scooter and automobile products. In cooperation

with corporate "keiretsu" partner Pioneer, Honda sells an aftermarket line of audio

and in-car navigatione quipment that can be installed in any vehicle under the

brand name Gathers, which is available at Honda Access locations as well as

Japanese auto parts retailers, such as Autobacs. Buyers of used vehicles are

directed to a specific Honda retail chain that sells only used vehicles called Honda

Auto Terrace.

In the spring of 2012, Honda in Japan introduced Honda Cars Small

Store (Japanese) which is devoted to compact cars like the Honda Fit,

and kei vehicles like the Honda N-One and Honda S660 roadster.

29
 DEALERSHIP LIST

1. All cars sold at Honda Verno

2. Prelude, Integra, CR-

X, Vigor, Saber, Ballade, Quint, Crossroad, Element, NSX, HR-V, Mobilio

Spike, S2000, CR-V, That's, MDX, Rafaga, Capa, and the Torneo

3. All cars sold at Honda Clio

4. Accord, Legend, Inspire, Avancier, S-

MX, Lagreat, Stepwgn, Elysion, Stream, Odyssey

(int'l), Domani, Concerto, Accord Tourer, Logo, Fit, Insight, That's, Mobilio,

and the City

5. All cars sold at Honda Primo

6. Civic, Life, Acty, Vamos, Hobio, Ascot, Ascot Innova, Torneo, Civic

Ferio, Freed, Mobilio, Orthia, Capa, Today, Z, and the Beat

30
 INTERNATIONAL EFFORTS

A Honda dealership in Ontario, Canada In 2003, Honda released

its Cog advertisement in the UK and on the Internet. To make the ad, the

engineers at Honda constructed a Rube Goldberg Machine made entirely out of

car parts from a Honda Accord Touring. To the chagrin of the engineers at Honda,

all the parts were taken from two of only six hand-assembled pre-

production models of the Accord. The advertisement depicted a single cog which

sets off a chain of events that ends with the Honda Accord moving and Garrison

Keillor speaking the tagline, "Isn't it nice when things just... work?" It took 606

takes to get it perfect.

In 2004, they produced the Grrr advert, usually immediately followed by a

shortened version of the 2005 Impossible Dream advert.

In December 2005, Honda released The Impossible Dream a two-minute

panoramic advertisement filmed in New Zealand, Japan and Argentina which

illustrates the founder's dream to build performance vehicles. While singing the

31
song "Impossible Dream", a man reaches for his racing helmet, leaves his trailer on

a minibike, then rides a succession of vintage Honda vehicles: a motorcycle, then a

car, then a powerboat, then goes over a waterfall only to reappear piloting a hot air

balloon, with Garrison Keillor saying "I couldn't have put it better myself" as the

song ends. The song is from the 1960s musical Man Of La Mancha, sung by Andy

Williams.

In 2006, Honda released its Choir advertisement, for the UK and the internet. This

had a 60-person choir who sang the car noises as film of the Honda Civic are

shown.

In the mid to late 2000s in the United States, during model close-out sales for the

current year before the start of the new model year, Honda's advertising has had

an animated character known simply as Mr. Opportunity, voiced by Rob Paulsen.

The casual looking man talked about various deals offered by Honda and ended

with the phrase "I'm Mr. Opportunity, and I'm knockin'", followed by him

"knocking" on the television screen or "thumping" the speaker at the end of radio

ads. In addition, commercials for Honda's international hatchback, the Jazz, are

parodies of well-known pop culture images such as Tetris and Thomas The Tank

Engine.

32
In late 2006, Honda released an ad with ASIMO exploring a museum, looking at

the exhibits with almost childlike wonderment (spreading out its arms in the

aerospace exhibit, waving hello to an astronaut suit that resembles him, etc.), while

Garrison Keillor ruminates on progress. It concludes with the tagline: "More

forwards please".

Honda also sponsored ITV's coverage of Formula One in the UK for 2007.

However they had announced that they would not continue in 2008 due to the

sponsorship price requested by ITV being too high.

In May 2007, focuses on their strengths in racing and the use of the Red H badge

a symbol of what is termed as "Honda mentalism". The campaign highlights the

lengths that Honda engineers go to in order to get the most out of an engine,

whether it is for bikes, cars, powerboats even lawnmowers. Honda released

its Hondamentalism campaign. In the TV spot, Garrison Keillor says, "An engineer

once said to build something great is like swimming in honey", while Honda

engineers in white suits walk and run towards a great light, battling strong winds

and flying debris, holding on to anything that will keep them from being blown

away. Finally one of the engineers walks towards a red light, his hand outstretched.

A web address is shown for the Hondamentalism website. The digital campaign

aims to show how visitors to the site share many of the Hondamentalist

characteristics.

33
At the beginning of 2008, Honda released the Problem Playground. The advert

outlines Honda's environmental responsibility, demonstrating a hybrid engine,

more efficient solar panels and the FCX Clarity, a hydrogen powered car. The 90

second advert has large scale puzzles, involving Rubik's Cubes, large shapes and a

3-dimensional puzzle.

On 29 May 2008, Honda, in partnership with Channel 4, broadcast a live

advertisement. It showed skydivers jumping from an aeroplane over Spain and

forming the letters H, O, N, D and A in mid-air. This live advertisement is

generally agreed to be the first of its kind on British television. The advert lasted

three minutes.[111]

In 2009, American Honda released the Dream the Impossible documentary series,

a collection of 58 minute web vignettes that focus on the core philosophies of

Honda. Current short films include Failure: The Secret to Success, Kick Out the

Ladder and Mobility 2088. They have Honda employees as well as Danica

Patrick, Christopher Guest, Ben Bova, Chee Pearlman, Joe Johnston and Orson

Scott Card. The film series plays at dreams.honda.com.

In the UK, national television ads feature voice-overs from American radio

host Garrison Keillor, while in the US the voice of Honda commercials is actor and

director Fred Savage.

34
 SPORTS

The late F1 driver Ayrton Senna stated that Honda probably played the most

significant role in his three world championships. He had immense respect for

founder, Soichiro Honda, and had a good relationship with Nobuhiko Kawamoto,

the chairman of Honda at that time. Senna once called Honda "the greatest

company in the world".

As part of its marketing campaign, Honda is an official partner and sponsor of

the National Hockey League, the Anaheim Ducks of the NHL, and the arena

named after it: Honda Center. Honda also sponsors The Honda Classic golf

tournament and is a sponsor of Major League Soccer. The "Honda Player of the

Year" award is presented in United States soccer. The "Honda Sports Award" is

given to the best female athlete in each of twelve college sports in the United

States. One of the twelve Honda Sports Award winners is chosen to receive

the Honda-Broderick Cup, as "Collegiate Woman Athlete of the Year."

Honda will be sponsoring La Liga club Valencia CF starting from 201415

season. Valencia CF will carry Honda Cars Valencia insignia on their football kits.

Honda has been a presenting sponsor of the Los Angeles Marathon since 2010 in a

three-year sponsorship deal, with winners of the LA Marathon receiving a

35
free Honda Accord. Since 1989, the Honda Campus All-Star Challenge has been

a quizbowl tournament for Historically black colleges and universities.

Facilities Mainstream models

List of Honda motorcycles and List of Honda automobiles

36
 US SALES

Calendar year Total US sales

1992 768,845

1993 716,546

1994 788,230

1995 794,579

1996 843,928

1997 940,386

1998 1,009,600

1999 1,076,893

37
2000 1,158,860

2001 1,207,639

2002 1,247,834

2003 1,349,847

2004 1,394,398

2005 1,462,472

2006 1,509,358

2007 1,551,542 [113]

2008 1,284,261 [113]

2009 1,150,784 [114]

38
2010 1,230,480 [114]

2011 1,147,000 [115]

2012 1,422,000 [115]

2013 1,525,312[116]

2014 1,540,872

2015 1,586,551[117]

2016 1,637,942[118]

39
PRODUCTION NUMBERS

Calendar year Global production

2009 3,012,000

2010 3,643,000

2011 2,909,000

2012 4,110,000

40
 CUSTOMER SATISFACTION

Customer satisfaction is the individuals perception of the performance of the

products or service in relation to his or her exceptions. Customers usually will have

drastically different expectations.

The concept of customer satisfaction is the function of customer expectations. A

customer whose experience falls below expectations will be dissatisfied and

customer whose expectations are exceeded will be highly satisfied or delighted.

The research indicates that there are rewards for having satisfied customers which

is depicted as below:

41
 SATISFIED CUSTOMERS

CUSTOMERS TO PURCHASE FROM YOU

(As long as nothing better comes along)

ARE LIKELY TO PROVIDE YOU WITH 3 TO 5 REFERRALS OVER THEIR

LIFETIME OR PURCHASING

42
UNDERSTANDING THE CONSUMER BASED ON VARIOUS

PERSONALITY TYPE :

Marketers are interested in understanding how a difference in personality

influences consumption behaviour because such knowledge enables them to

understand consumer and to segment and target those consumers who are likely to

respond positively to their product or service communications.

43
ATTRACTING CUSTOMERS

Todays customers are becoming harder to please. They are smarter, more price

conscious, more demanding, less forgiving and they are approached by many more

competitors with equal or better offers. The challenge, according to is not to

produce satisfied customers but to produce delighted and loyal customers.

Companies seeking to expand their profits and sales have to spend considerable

time and resources searching for new customers. To generate leads, the company

develops ads and places them in media that will reach new prospects; it sends

direct mails and makes phone calls to possible new prospects; its sales person

participate in trade choice where they might find new leads; and so on. All this

activity products a list of suspect. The next task is to identify which suspects are

really good prospects.

CUSTOMER RETENTION :

The over objective of providing value to customers continuously and more

effectively is because the competitors also to try to acquire highly satisfied ( Even

delighted) customers ; the organizations strategy of customer retention makes in

the best interest of customer to stay with the company rather than switch to another

firm. In almost all business situations it is more expensive to win new customers

than to keep the existing ones. Studies have shown that small reductions in

44
customer defections produce significant in profits because of the following

reasons.

1. Loyal customers buy more products

2. Loyal customer are less price sensitive and pay less attention to competitors

advertising

3. Servicing existing customers, who are familiar with the firms offering and

processes, is cheaper.

4. Loyal customers spread positive word or mouth and refer other customer.

Further, more, marketing efforts involved in attracting new customers is

expensive, rather in saturated markets, it may be impossible to find new

customers.

RELEVANCE OF POST PURCHASE BEHAVIOR

After purchasing the product, the consumer will experience some level of

satisfaction or dissatisfaction. The marketers job does not once the produce is

sole. Marketers need to constantly monitory post purchase satisfaction, post

purchase actins an post purchase produce uses.

45
POST PURCHASE SATISFACTION:

What determines whether the buyer will be highly satisfied, somewhat satisfied, or

dissatisfied with the purchase? The answer to this question can be given as: buyer

satisfaction is the function of the closeness between the buyers expectation and

the products perceived performance.

Consumers from their expectation on the basis of messages received from sellers,

friends and other source that give information for instance even a sales promotion

offer. As the gap between the expectations and performance becomes larger and

larger the greater is the consumer dissatisfaction. This is where the consumers

coping style comes in to play. Some consumers magnify the gap when the produce

is not perfect, and they are highly dissatisfied, others minimize the gap and are less

dissatisfied.

The importance of studying the post purchase satisfaction suggests that the product

names must truthfully represent the products likely performance. Some sellers

might even understate performance levels, so that consumers experience higher

than expected satisfaction with their product.

Customers Satisfaction is the critical strategic for any enterprise as we move

towards the 21st century. The message is simple:

46
Every company must regard each of its customers as a valuable, irreplaceable

asset and treat him or her as they themselves would wish to be treated. The

customers are the organizations natural resources. The organization will be

doomed as a civilization in spite of all the material accomplishment if its squanders

its natural resources. The organization will face an equally bleak future if it let its

customer resources depart without any conscious efforts to retain them.

Customer Satisfaction is so powerful that it can be quantified. Customer

satisfaction deals with data, nor theory, and there is a beauty of data:

If we can define it we can measure it

If we can measure it we can analyze it

If we can analyze it we can control it

If we can control it we can improve it

47
 HYPOTHESIS

This survey is conducted under the presumption of the functioning of the Recruitment and Selection

Procedure in Honda car .

In testing the above hypothesis the following aspects will be considered: -

Manpower Planning

Recruitment Policy

Sources of customer satisfaction

Latest Techniques of customer satisfaction

customer satisfaction of Summer/In-plant Trainees

Selection Policy

Feedback of customer satisfaction Procedure

48
1. Why did you need arise to purchase car?

Response
Easier then bike 31
Easy to use 26
Easy to maintain 13
Others 0

Response

35

30

25

20
Response
15

10

0
Easier then Easy to use Easy to Others
honda car maintain

49
2. Why did you prefer Honda car ?

Response
Good mileage 37
Easy to drive 24
Company image 9
Others 0

Response

40

35

30

25

20 Response

15

10

0
Good mileage Easy to drive Company image Others

50
3. From where did you get reference or information of Honda car ?

Response
Friends 24
Relatives 29
Promotional advertisement 15
Others 2

Response

30

25

20

15 Response

10

0
Friends Relatives Promotional Others
advertisement

51
4. Which were your alternative against Honda car ?

Response

Honda car 31

Hyundai car 11

Mahindra car 12

Toyota car 16

Response

35

30

25

20
Response
15

10

0
Honda car Hyundai car Mahindra car Toyota car

52
5. Are you satisfied with the price of the Honda car ?

Response
Highly dissatisfied 5
Neither satisfied nor dissatisfied 4
Satisfied 45
Highly satisfied 16

Response

45
40
35
30
25
Response
20
15
10
5
0
Highly Neither satisfied Satisfied Highly satisfied
dissatisfied nor dissatisfied

53
6. While purchasing Honda car which factor feature do you consider most
important?

response
Price 11
Mileage average 21
Engine efficiency 3
Maintenance 18
Pick up 9
After sales service 8

response

25

20

15

10
response
5

54
7. Since how long you are using Honda car?

Response
Less than 6 months 20
6 months to 1 year 22
3 to 6 year 21
More than 6 year 7

Response

25

20

15
Response
10

0
Less than 6 6 months to 1 3 to 6 year More than 6
months year year

55
8. Will you prefer to purchase Honda car next time?

Response
Yes 48
No 12
Cant say 10

Response
Yes No Cant say

14%

17%

69%

56
9. Overall are you satisfied with Honda car ?

Customer
Satisfaction
Highly dissatisfied 3
Dissatisfied 8
Neither satisfied nor dissatisfied 7
Satisfied 52

Customer Satisfaction

60

50

40

30
Customer Satisfaction
20

10

0
Highly Dissatisfied Neither Satisfied
dissatisfied satisfied nor
dissatisfied

57
 FINDINGS

Found that there are 31 respondents says scooter easier to drive, 26

respondents find scooter is easy to use , 31 respondents says scooter is easy
to maintain .
Found that there are 37 respondent prefer Honda Car for ggod mileage , 24
respondents says Honda car is easy to drive , 9 respondents prefer Honda
activa because of company image.
Found that there are 24 respondents referred by friends , 29 respondents
referred by relatives , 15 respondents attract by promotional advertisement
and 2 respondents referred by other factors.
Found that there are 31 respondents says Honda car, 11 respondents says
Hyundai , 12 respondents says Mahindra car and 16 respondents says hero
pleasure.
Found that there are 5 respondents are highly dissatisfied with the price of
Honda activa , 4 respondents are neutral with the price , 45 respondents are
satisfied with the price and 16 respondents are highly satisfied with the price
of Honda Car.
Found that there are 11 respondents says price , 21 respondents says Mileage
average , 3 respondents says engine efficiency , 18 respondents says
maintenance , 9 respondents says pick up and 8 respondents says after sale
service.
Found that there are 20 respondents are using Honda car from less than 6
months , 22 respondents using activa from 6 months to 1 year, 21
respondents using activa from 3 to 6 year and 7 respondents using Honda
Car more than 6 year.

58
 Found that there are 48 respondents are in favor of Honda car, 12
Respondents dont want Honda car next time and 10 respondents are
confused.
Found that there are 3 respondents are highly dissatisfied with Honda Activa
, 8 respondents are dissatisfied , 7 respondents are neutral with statement
and 52 respondents are satisfied with Honda Car.
27% of the sample size told that the service given by the Honda was
excellent.
Advertisements have popularized other dealers with friends of the customers
with 42% of them indicating for it.
Delivery instruments are given properly by all the dealers.
All the customers say that they prefer to service their vehicles at the
authorized service centers only.
Indian market is full of middle class customers and most of the customers
owning Activa belonged to middle class category.
The customers got aware of Honda Car largely through magazines and
newspapers.

59
 SUGGESTIONS

This study is aimed at analyzing customer buying behavior with sample of 70

members, which has helped in getting an overall view of customer buying behavior
towards Honda car considering different criteria.

Base on the study following suggestions can be considered

Providing more techno-driven, sophisticated exteriors keeping track of

present situation.
To increase the mileage efficiency
To provide mobile servicing a should be able to reach the spot in case of any
breakdown
To bring down the cost of spares and to improve genuinely.
To change shape or body design of Omni so as to increase road safety
especially during swift turns.
To give more ads on to drive slowly and safely.
Sales executives should constantly review the present, the past and the future
objectives and there by evaluate their performance.
Gathering and processing data through electronic data processing system
there by time spent on information evaluation feed back can be reduced.
Building satisfaction: sales person should reassure the customer regarding
decision taken by him while ordering product/service.
They should constantly provide adequate solutions for purchasing a product.
Final buyer relation: sales personnel who are in contact with final buyer
should be courteous, friendly and competent in their jobs.

60
 Customer care is best way to build long-term relation, because they also
have emotional and psychological needs when they purchase a car.
CONCLUSION

1. Improved product and process quality

2. Incorporates lessee learned and best practices from global automotive industry
3. Provides additional confidence for global souring
4. Provides a global quality system approach in the supply chain for
subcontractor development and consistency.
5. Reduction in variation, waste and increased efficiency
6. Reduction in second party audits and elimination of multiple third party
registration
7. Provides a common language for worldwide quality system requirements

61
 BIBLIOGRAPHY

Books:

1. Principles of Marketing Management

By Philip Kotler.

2. Research Methodology

By C.R.Kothari.

Magazines:

1. Auto World.
2. Over drive.
3. Automobile India.

News Papers:

1. Times of India.
2. Economic Times.

Web Sites:

www.honda4wheelersindia.com

www.hondacar.com

www.hondacar.com

62
 QUESTIONNAIRE

1.Why did you need arise to purchase car?

Response

Easier then bike

Easy to use

Easy to maintain

Others

2.Why did you prefer Honda car?

Response

Good mileage

Easy to drive

Company image

Others

3.From where did you get reference or information of Honda car?

Response

Friends

Relatives

Promotional advertisement

Others

63
4.Which were your alternative against Honda car?

Response

Honda car 31

Hyundai car 11

Mahindra car 12

maruti car 16

5.Are you satisfied with the price of the Honda car?

Response

Highly dissatisfied 5

Neither satisfied nor dissatisfied 4

Satisfied 45

Highly satisfied 16

6.While purchasing Honda car which factor feature do you consider most
important?

response

Price 11

Mileage average 21

Engine efficiency 3

Maintenance 18

Pick up 9

After sales service 8

64
7.Since how long you are using Honda car?

Response

Less than 6 months 20

6 months to 1 year 22

3 to 6 year 21

More than 6 year 7

8.Will you prefer to purchase Honda car next time?

Response

Yes 48

No 12

Cant say 10

9.Overall are you satisfied with Honda car?

Customer
buying
behavior

Highly dissatisfied 3

Dissatisfied 8

7
Neither satisfied nor

65
dissatisfied

Satisfied 52

66