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SUMMER TRAINING PROJECT REPORT

ON
“A Study on Level of Satisfaction of Customers
towards Mahindra Scorpio in Lucknow”

Under the guidance of

Mr. Bipin Gupta


Marketing Head
Mahindra Rise
Submitted in partial fulfillment for the award of
Degree of Master of Business Administration From
Abdul Kalam Technical University, Lucknow
BY

Trapal Singh
Roll Number: 1712470165

INSTITUTE OF CO-OPERATIVE & CORPORATE


MANAGEMENT, RESEARCH AND TRAINING
21/467, RING ROAD, INDIRA NAGAR, LUCKNOW-226016

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Phone: 2716431, 2716092
Fax: (0522) 2716092
E-mail: info@iccmrt.ac.in
Website: www.iccmrt.ac.in

Institute of Co-operative & Corporate Management, Research and


Training
467, Sector-21, Ring Road, Indira Nagar, Lucknow -226 016

Date

CERTIFICATE

This is to certify that Mr. TRAPAL SINGH, a student of Master of Business

Administration (MBA) Programme Batch 2016-18 at this Institute has undergone

Summer Training in the Mahindra And Mahindra, Lucknow from 10th June 2016 to

31nd July 2017 and carried out a study titled “A study on Level of Satisfaction of

customers towards mahindra Scorpio in Lucknow”. He has prepared a report on the

study carried out by him in the organization.

The student has also made a presentation before a panel of experts at the Institute.

(Mr. Shaqaf Akhtar)


Professor/Faculty Mentor
Certified

(Prof. Zabir Ali)


Principal, ICCMRT

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DECLARATION

I, TRAPAL SINGH, a student of Master of Business Administration (MBA)

Programme at the Institute of Co- operative & Corporate Management Research and

Training, Lucknow hereby declare that all the information, facts and figures used in this

research project titled “A STUDY ON LEVEL OF SATISFACTION OF

CUSTOMERS TOWARDS MAHINDRA SCORPIO IN LUCKNOW ” have been

collected by me. I also declare that this project report has been prepared by me and the

same has never been submitted by the undersigned either in part or in full to any other

University or Institute or published earlier.

I confirm that this project report is my own original work and that I have not copied

anything from other published or unpublished work without their permission.

This information is true to the best of my knowledge and belief.

Date: TRAPAL SINGH

MBA III SEMESTER

ROLL NO:1712470165

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ACKNOWLEDGEMENT

In order to accomplish a task, facts, situations and persons integrate together to

form a background. “Greatness lies in being grateful and not in being great.” This

research report is a result of contribution of distinct personalities whose guidance here

made my effort a producing one, as “no task is a single man’s effort”.

I would like to express my deep sense of gratitude to the respectable guide

distinguished personalities for their precious suggestions and encouragement during the

project.

The experience which is gained by me during this project is essential for me at this turning

point of my career.

I am thankful to my project guides Mr. Bipin Gupta for kind support and

supervision under whose kind & constant guidance I had the opportunity to expand my

horizons and view the various problems from different prospective. I am also thanking

him for sparing his valuable time to listen my problems and difficulties faced by me

during the completion of this project report.

Trapal Singh

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PREFACE

It was a privilege for me to work in a reputed organization. This has given us an

opportunity to work in a truly professional environment where team work score over

individual effort, where there is a helpful atmosphere. A well planned, properly

executed and evaluated training helps a lot in inoculating good work culture. The project

on “A Study on Level of Satisfaction of Customers towards Mahindra Scorpio after

Sales Services in Lucknow” has been made to facilitate effective understanding about

the marketing aspects.

The project training has provided me an opportunity to gain practical

experience, which has helped me to increase my sphere of knowledge to a greater extent.

I have tried to summarize all our experience and knowledge acquired up till now, in this

report. This project is a keen effort to obtain the expected results and fulfill all the

information required.

At the end annexure and bibliography are given for effective

understanding.

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.TABLE OF CONTENT

Front Page i

Certificate by supervisor ii

Certificate by Mentor iii

Declaration iv

Acknowledgement v

Preface vi

I.
Introduction to the Topic 1-13

Company Profile 14-68

Objectives of study 69-70

Research Methodology 71-73

I.Data Interpretation & Analysis 74-86

II.
Findings 87-88

III.
Suggestion & Recommendations 89-90

IV.
Conclusion 91-93

V.
Limitations 94-95

VI.
Bibliography 96-97

Annexure 98-100

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Chapter-1

INTRODUCTION

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INTRODUCTION TO THE TOPIC

Organizations become increasingly customer focused and driven by demand, the need to

gain customer loyalty and retain their loyalty is critical. Customer satisfaction is the

most effective way to achieve customer loyalty. Customer satisfaction and customer

loyalty share many similar traits. Customer value is the customer‟s perception of the

ratio of benefits to what he or she gives to obtain those benefits. The customer Value

Triad is a framework used to understand what it is that customers want. The framework

consists of three parts: (1) perceived product quality, (2) value-based pricing, and (3)

perceived service quality.

Customers are satisfied, when value meets or exceeds expectations. If their expectations

of value are not met, there is no chance of satisfying them. Figuring out what the

customers want, however, is a difficult and complex process. To be able to create and

deliver customer value is important to understand its components. On the most basic

level, value from a customer‟s perspective is the ratio of benefits to the risks being taken

while buying the product.

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CUSTOMER SATISFACTION - AN INSIGHT

According to Harold E Edmondson “ Customer Satisfaction” seems to appear in print

more frequently than any other catch phrase used to describe a new found magic for

industrial success. Before we proceed in to the study of the dynamics of Customer

Satisfaction it is important to know about, who a customer is and what satisfaction really

means.

Actual definition of Customer

The question of defining who your customers are seems fairly easy particularly if you

have segmented your market properly and understand who you are trying to

satisfy. However subtlety that frequently goes undetected by many firms is that is that

customer set can be divided into two parts, the apparent customer and the user. The

apparent customer is the person or group of people who decide what product to buy and

basically have control over the purse strings. The user is a person or group who

physically uses the product or is the direct recipient of a service.

What does satisfaction really mean?

As in defining customer above, defining satisfaction also appears simple. However as

with customer there is a subtlety that needs addressing. Satisfaction by most definitions

simply means meeting the customer‟s requirement.

Customer satisfaction is a concept that more and more companies are putting at the heart

of their strategy, but for this to be successful they‟re needs to be clarity about, what

customer satisfaction means and what needs to happen to drive improvement. Without

this, there is a risk that customer satisfaction becomes little more than a good intention,

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with confused objectives failing to address the real issues for customers, one helpful way

to look at the problem is to rephrase the objectives: set the sights on helping the

customers meet their goals.

Customer satisfaction can be defined in many different ways. Finding the right way for a

company depends on understanding your customer and on having a clear vision of the

role that customer satisfaction is to play in the strategy. For example, a focus on

customer satisfaction can work alongside existing segmentations to support revenue

generation from high value customers or it can be a company-wide objective rooted in

the brand values. For the former, it may be sufficient to focus on improving customer

service, but for the latter a broader definition of customer satisfaction is necessary,

closer akin to corporate reputation.

Whatever the strategy for customer satisfaction, it must at least include getting the basics

right. Failing to achieve this can destroy the reputation as well as losing valuable

customers. Every customer, regardless of their economic worth to the business, has the

power to influence – positively or negatively – a company‟s reputation. Once the

objectives for the customer satisfaction strategy are defined there are a number of steps

we can take to make sure the focus on customer satisfaction is effective.

Building a company around Customer Satisfaction -

With the increase in customer‟s demands and competition it has become a lot more

important to base the entire company on customer service. When doing this one must

first realize that every member of an organization plays an active role in customer

service. This includes both external customers and internal customers within a company.

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Customer focused organizations focus both on customer satisfaction and

profit. Achieving customer satisfaction generates the profit. In these organizations top

management has frequent contacts with external customers. The top management uses

consultative, participative, and supportive management styles to get through to the

customer. The staff focuses all of its attention on satisfying the customer‟s

needs. However, the management‟s job is to provide the staff with support necessary to

achieve these goals. The other department and staff in the organization that do not have

direct contact with the external customers deal exclusively with internal customer

satisfaction.

Customer loyalty in service industries has received considerable attention in both

marketing and management theory and practice. As customer loyalty may act as a

barrier to customer switching behaviour it has an impact on the development of a

sustainable competitive edge, (Keaveney, 1995; Gremler and Brown, 1996). During past

decades, customer satisfaction has frequently been advanced to account for customer

loyalty (Newman and Werbel, 1973; Oliver and Linda, 1981; LaBarbera and Mazursky,

1983; Bearden and Teel, 1983; Bitner, 1990; Fornell, 1992; Anderson and Fornell, 1994;

Dick and Basu, 1994; Oliver, 1996). Here, an implicit theme is that positive evaluations

on the basis of expectancy disconfirmation of service providers will instigate customers

to favour them with their patronage. However, the direct relationship between customer

evaluations of services and loyalty has remained somewhat equivocal. For instance,

Bloemer and Kasper (1995) demonstrate that the satisfaction-loyalty relationship is not

simple and straightforward as the level of elaboration on the part of the customer may

act as a moderator between satisfaction and loyalty. Furthermore, Oliva et al. (1992)

argue that the relationship between service satisfaction and loyalty is non-linear,

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meaning that in case satisfaction increases above a certain level, customer loyalty will

increase rapidly. However, it is also shown that loyalty remains unaffected over a

relatively large range of satisfaction levels that fall below that certain level. In this

paper, we investigate how two factors may have a complementary impact on customer

loyalty in relation to varying levels of customer satisfaction; (1) value attainment and (2)

positive mood. Previous research in the context of work experience and turnover

intentions (George, 1991; Judge, 1993; George and Jones, 1996) suggests that

simultaneously considering value attainment, job satisfaction and moods results in a

better understanding of the phenomenological experience of work and its consequences

for employee loyalty towards the organisation. Based on the work of Heskett et al.

(1994) who propose that job satisfaction and customer satisfaction are closely related,

we attempt to test the model of George and Jones (1996) from a mirror image

perspective, i.e. we focus on the role of value attainment and positive mood in relation to

the customer satisfaction-loyalty link in the service profit chain.

Most research in services marketing has ignored the extent to which the service

experience or service process contributes to the attainment of consumer values. One

possible explanation may be that the focus has been dominated by functional contexts,

such as hotel reservations and bank transactions (Price et al., 1995). Moreover,

measurement of service quality has primarily been done from a static rather than a

dynamic perspective, as a result of which service process elements have not been

addressed widely (Boulding et al., 1993). This is, for instance, reflected in the

dimensions of the SERVQUAL instrument, which has been designed to evaluate the

quality of services from the consumer's perspective. Some of the original ten dimensions

(see Parasuraman et al., 1990) have to do with the service delivery by the provider (e.g.

credibility, security), while others are more consumer-oriented (e.g. responsiveness,

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understanding). As Oliver (1996, p. 155) observes: "all have to do with delivering the

service, none directly assesses what service delivery does for the consumer". Particularly

in services that involve a more phenomenological (i.e. Gestalt) experience with a

sustained sensory and expressive content and ritualistic processes, such as art lessons,

deep sea diving and artistic performance, consumers are motivated by the realisation of

values and in turn these values help consumers to give meaning to the service experience

and this will affect patronage decisions. In the marketing communications and consumer

behaviour literature, the use of personal and social values has been heavily emphasised

(Peter and Olson, 1996; East, 1997). However, in the literature on service evaluations

this aspect is lacking. Therefore, in this paper we attempt to extend our knowledge about

loyalty in services by including value attainment as a factor that is not reflected in the

expectancy disconfirmation paradigm. Value attainment, thus, reflects the extent to

which consumers perceive the service experience to contribute to the achievement of

instrumental goals.

A second factor that we propose to take into account when explaining customer loyalty

in services is positive mood. By considering positive mood we focus on the affective

context for consumer behaviour (Clark and Isen, 1982). This seems especially relevant

for the extended service experience in which consumers spend considerable time in

contact with the service provider and environment. As such, we view mood during the

service experience as a factor that is independent from the affective elements in the

satisfaction judgement, as mood in this sense is concerned with affective aspects that are

experienced during the service delivery process instead of the emotional component that

is directed towards the service offering itself (cf. George and Jones, 1996).

Following Oliver et al. (1992), we argue that in case of relatively high levels of

satisfaction, satisfaction will be the most important determinant of customer loyalty.

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However, especially in the case of extended service encounters it may not always be

possible to attain high levels of satisfaction, as multiple encounters take place. Extended

service encounters have the following characteristics: (1) a temporal duration; (2) an

affective or emotional content; and (3) the spatial proximity of service provider and

customer (Price et al., 1995, p. 83). In these encounters, value attainment and positive

mood may have an additional and even compensatory impact on customer loyalty

intentions, as previous research has demonstrated (George and Jones, 1996). Therefore,

we propose that the phenomenological experience of services as a "Gestalt" can be

multifarious and that a simultaneous consideration of cognition, affect and values holds

substantial promise for a better understanding of customer loyalty. This article is

structured as follows. First, we will offer a brief synthesis of the extant literature on key

conceptual and methodological issues concerning satisfaction, mood, and value

attainment. We subsequently discuss the results of a study designed to provide empirical

evidence on the triple interaction between aforementioned concepts in explaining service

loyalty. We conclude with a discussion of a number of research and managerial

implications of our results.

Conceptualizing the multifarious service experien

Satisfaction ha ces been recognised as "the central element in the marketing concept"

(Erevelles and Young, 1992, p. 104). In the abundant research literature both process

and outcome (or performance) definitions of satisfaction co-exist. With regard to the

former, several conceptualisations of satisfaction have been advanced in the literature

(Oliver and DeSarbo, 1988; Tse and Wilton, 1988; Yi, 1990). The central theme in these

definitions is the expectancy disconfirmation paradigm. According to this paradigm,

consumers form expectations, which act as a standard against which service

performance will be judged. A comparison of expectations and perceptions will result in

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either confirmation or disconfirmation. Customers' expectations are confirmed when

product or service perceptions exactly meet expectations. Disconfirmation will be the

result of a discrepancy between expectations and perceptions. Two types of

disconfirmation can be identified: positive disconfirmation occurs when product

performance exceeds prior expectations and negative disconfirmation occurs when

expectations exceed performance. Confirmation and positive disconfirmation will be

likely to result in satisfaction, whereas negative disconfirmation leads to dissatisfaction.

Process definitions of satisfaction enable fast evaluations with respect to brief service

interactions (e.g. buying a train ticket) as well as evaluations from service experiences

that involve consumption periods of considerable duration (e.g. attending an evening

class). As a result, satisfaction can be perceived in terms of a singular occurrence and as

an aggregated impression of a number of events. According to Oliver (1996), this is a

critical feature for service providers.

In addition, outcome definitions of satisfaction exist. Here, satisfaction is viewed as a

state of fulfilment that is connected to reinforcement and arousal. As an end-state,

several types of satisfaction have been discerned in the satisfaction-as-states framework

developed by Oliver (1989). On the basis of level of reinforcement and degree of arousal

the following end-states of satisfaction have been advanced: "satisfaction-as-

contentment", "satisfaction-as-pleasure", "satisfaction-as-relief", "satisfaction-as-

novelty" and "satisfaction-as-surprise". Satisfaction is thus perceived to be a post-

consumption evaluation or "a pleasurable level of consumption-related fulfillment"

(Oliver, 1996, p. 13). Particularly in a services context, the service delivery can be

designed in such a way that it exceeds expectations in terms of arousal and

reinforcement as end-states (Rust and Oliver, 1994). However, in the case of extended

services it may be very difficult to reach optimal levels of satisfaction on a continual

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basis, because there may be many factors that influence satisfaction formation which are

beyond the control of the service provider.

If we accept that consumers use certain services in order to reach fulfilment of a valued

process of consumption, then values prompt consumers to seek out services that are

value-fulfilling. Services in this sense can be viewed as enhancements, phenomena that

add to the positive value of a consumer's life (Oliver, 1996). Hence, consumer

satisfaction may not be the only contributor to service loyalty. We propose that the

attainment of consumer values should also be viewed as a determinant of service

patronage. Values are an important element of motivational analysis (Pearce, 1993).

They reflect the enduring conviction that a certain type of behaviour or state of existence

are "personally or socially preferable to an opposite or converse mode of conduct or end-

state of existence" (Rokeach, 1973, p. 5). Values change only gradually over time and

may have a continual influence on the evaluation of behaviour and/or events as they

draw attention to the product or service attributes which consumers perceive to have

goal satisfying capabilities (Mazanec, 1984; Henry, 1986; Homer and Kahle, 1988). As

such, they help consumers to give meaning to the service experience. Often a distinction

is made between instrumental and terminal values in consumer value systems.

Instrumental values are conceptualised as a means of reaching a goal. Products and

services may provide the benefits that help consumers realise their objectives. Terminal

values reflect aspects of self-actualisation, the ultimate goals that consumers desire to

reach in their lives. Services have often been related to instrumental values. For instance,

credit card companies related their services to privileges for members, to independence,

security and power. Therefore, in this paper, we conceptualise value attainment as the

extent to which consumers perceive the service experience to contribute to the

achievement of instrumental values. Examples of instrumental values are independence,

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ambition and self-control. Instrumental value attainment thus focuses on the extent to

which a service experience helps consumers in realising preferred modes of conduct or

ways of behaving.

In addition, affect has been identified as a third contributor to the service experience

(Knowles et al., 1993). Affect is conceptually different from the outcome of a cognitive

evaluation process. Affect does not only form a source of motivation but it has also a

significant impact on consumer information processing and eventually consumer choice.

Several taxonomies have been proposed to classify and describe the large number of

subjective feelings consumers may have. Mano and Oliver (1993) suggest that affect can

be described according to valence (e.g. happy vs sad) and intensity of arousal.

Furthermore, the distinction between emotions and moods is often made. Emotions are

notable and intense forms of affect attributable to a specific cause, while moods reflect

mild generalised affective states that are induced by a variety of factors (Clark and Isen,

1982; Gardner, 1985; 1987; Gardner and Hill, 1988). Moods form an affective context

for behaviour (Clark and Isen, 1982). Although moods cannot be controlled by service

providers, they can be influenced by aspects of service provider behaviour, such as, for

example, an employee's smile, an ambient service environment (Cunningham, 1979;

Hochchild, 1983). Moods reflect how consumers feel during their encounters with the

service provider.

There is increasing evidence that mood can best be characterised in terms of two

independent dimensions: positive and negative. According to Watson and Tellegen

(1985) the positive dimension refers to the extent to which an individual affirms a zest

for life. Clark and Isen (1982) suggest that people continuously strive for positive mood

and avoid negative mood states. This implies that consumers would attempt to avoid

service situations in which they experience a negative mood. Alternatively, if a

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consumer experiences positive affect, we would expect this encourages him/her to repeat

the service experience and hence become loyal to the service provider.

Satisfaction, value attainment, moods and consumer loyalty

The connection between satisfaction and loyalty has been one of much debate in the

literature. Oliva et al. (1992), for instance, propose that the relationship between service

satisfaction and service loyalty is nonlinear, resulting from the tendency to remain loyal

in spite of the pressure of switching incentives. The authors present evidence that, in

between critical satisfaction thresholds, loyalty is generally unaffected by varying

degrees of satisfaction and dissatisfaction. The absence of unequivocal support for the

relationship between satisfaction and loyalty leads us to incorporate the variables value

attainment and mood as moderators of that relationship. We argue that the parallel

consideration of satisfaction, value attainment and moods will yield a more in-depth and

comprehensive understanding of the relationship between satisfaction and loyalty in

services and more generally how the service experience may or may not lead to

consumer switching behaviour.

Values have been related to satisfaction and loyalty in the literature. For example, Oliver

(1996) suggests that values can be seen as predisposing conditions for desires and as

such determinants of consumer expectations, which in turn form a comparison standard

for satisfaction judgements. Oliver (1995) demonstrated that both disconfirmation of

expectations and value fulfilment contribute independently to the formation of

satisfaction. Furthermore, it has been demonstrated also that both positive and negative

mood have a direct influence on consumer satisfaction (Oliver, 1993).

Although we recognise the potential impact of value attainment and mood on consumer

satisfaction and this forms an interesting research aim in its own right, we propose to

view value attainment and mood as independent contributors to customer loyalty and not

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as causally prior to satisfaction. We argue that mood during the service experience is

distinguishable from the affective component of satisfaction in that mood is concerned

with the affect during the service delivery process rather than affect about or towards the

outcome of the service experience. We do not imply that mood and satisfaction during

the service experience are completely independent. Rather, we propose that mood and

satisfaction are conceptually distinct, non-overlapping constructs, following empirical

evidence available from the field of organisational psychology (Abelson et al., 1982;

George, 1989; George and Brief, 1992; George and Jones, 1996). Abelson et al. (1982)

argue that mood at work is different from the affective component of job satisfaction in

that the former is less cognitively filtered than the evaluative judgements about work.

Likewise, we suggest that value attainment should also be viewed as a construct separate

from consumer satisfaction. As Rokeach (1973, p. 158) argues "values are also

significantly related to all kinds of behaviour". Hence, our concern in this paper is with

the simultaneous effects of satisfaction, value attainment and mood on customer loyalty.

The reason is that there is some empirical evidence of an interaction effect between

mood, value attainment and consumer evaluations of the service experience (Henry,

1986; Homer and Kahle, 1988; Knowles et al., 1993; Swinyard, 1993; Alford and

Sherrell, 1996). In addition, previous research in the context of work experience and

turnover intentions (George, 1991; Judge, 1993; George and Jones, 1996) suggests that

simultaneously considering value attainment, job satisfaction and moods results in a

better understanding of the phenomenological experience of work and its consequences

for employee loyalty towards the organisation. This paper should be viewed as an

attempt to replicate these findings from the work experience context for the service

experience domain.

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Chapter-2

COMPANY

PROFILE

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COMPANY PROFILE

Mahindra Scorpio

Mahindra Scorpio.

Overview

Manufacturer Mahindra

Also called Mahindra Goa (in Europe)

Production June 2002–present

Nasik, Maharashtra, India

6th of October City, Egypt(BAG)


Assembly
Montevideo, Uruguay (Nordex)

Body and Chassis

Class Sport utility vehicle

Body style Mid-size SUV

Related Mahindra Scorpio Getaway

Powertrain

2.1L Petrol I4 116 hp


Engine
2.6L Turbodiesel I4 115 hp

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2.2L M-Hawk Turbodiesel I4 120 hp

Transmission 5 speed man./ optional extras 4-wheel drive

Dimensions

Wheelbase 105.5 in (2,680 mm)

Length 176.9 in (4,493 mm)

Width 71.5 in (1,816 mm)

Height 77.8 in (1,976 mm)

5,534 lb (2,510 kg) (2WD)


Curb weight
5,754 lb (2,610 kg) (4WD)

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Mahindra Scorpio

The Mahindra Scorpio is a four-wheel drive SUV manufactured by Mahindra &

Mahindra Limited (M&M), the flagship company of the Indian Mahindra Group. It was

the first SUV from the company built for the global market. The Scorpio has been

successfully accepted in international markets across the globe.

The Scorpio was conceptualized and designed by the in-house integrated design and

manufacturing team of M&M. The car has been the recipient of three prestigious Indian

awards: the "Car of the Year" award from Business Standard Motoring as well as the

"Best SUV of the Year" and the "Best Car of the Year" awards, both from BBC World

Wheels.

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Mahindra & Mahindra India Limited

Mahindra Rise

Type Public

BSE: 500520
Traded as
BSE SENSEX Constituent

Industry Automotive

Founded 1945 (Ludhiana)

Headquarters Mumbai, Maharashtra, India

Area served Worldwide

Anand Mahindra (Chairman & Managing


Key people
Director)

Automobiles, commercial vehicles, two-


Products
wheelers

Revenue 72,474 crore (US$11 billion) (2015)

Operating income 8,793 crore (US$1.3 billion) (2015)

Net income 2,592 crore (US$390 million) (2015)

Total assets 61,239 crore (US$9.1 billion) (2015)

Number of 34,612 (Mar-2013)

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employees

Parent Mahindra Group

Mahindra two Wheelers limited

Subsidiaries SsangYong Motor Company

Peugeot Motorcycles (51%)

Website www.mahindra.com

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Mahindra and Mahindra Limited (M&M) is an Indian multinational

automobile manufacturing corporation headquartered in Mumbai, Maharashtra, India. It

is one of the largest vehicle manufacturers by production in India and the largest

manufacturer of tractors across the world. It is a part of Mahindra Group, an Indian

conglomerate.

It was ranked 21st in the list of top companies of India in Fortune India 500 in 2011.

Its major competitors in the Indian market include Maruti Suzuki, Tata Motors, Ashok

Leyland and others

Mahindra & Mahindra, branded on its products usually as 'Mahindra', produces SUVs,

saloon cars, pickups, commercial vehicles, and two wheeled motorcycles and tractors. It

owns assembly plants in India, Mainland China (PRC), the United Kingdom, and has

three assembly plants in the United States. Mahindra maintains business relations with

foreign companies like Renault SA, France.

M&M has a global presence and its products are exported to several countries. Its global

subsidiaries include Mahindra Europe S.r.l. based in Italy,Mahindra USA Inc., Mahindra

South Africa and Mahindra (China) Tractor Co. Ltd.

Mahindra started making passenger vehicles firstly with the Logan in April 2007

under the Mahindra Renault joint venture. M&M made its maiden entry into the heavy

trucks segment with the Mahindra Truck and Bus Division, the joint venture with

International Truck, USA.

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Mahindra produces a wide range of vehicles including MUVs, LCVs and three wheelers.

It manufactures over 20 models of cars including larger, multi-utility vehicles like the

Scorpio and the Bolero. It formerly had a joint venture with Ford called Ford India

Private Limited to build passenger cars.

At the 2008 Delhi Auto Show, Mahindra executives said the company was pursuing an

aggressive product expansion program that would see the launch of several new

platforms and vehicles over the next three years, including an entry-level SUV designed

to seat five passengers and powered by a small turbodiesel engine. True to their word,

Mahindra & Mahindra launched the Mahindra Xylo in January 2009, selling over 15,000

units in its first six months.

Also in early 2008, Mahindra commenced its first overseas CKD operations with the

launch of the Mahindra Scorpio in Egypt, in partnership with the Bavarian Auto Group.

This was soon followed by assembly facilities in Brazil. Vehicles assembled at the plant

in Bramont, Manaus, include Scorpio Pik Ups in single and double cab pick-up body

styles as well as SUVs.

Mahindra planned to sell the diesel SUVs and pickup trucks starting in late 2010 in

North America through an independent distributor, Global Vehicles USA, based in

Alpharetta, Georgia. Mahindra announced it would import pickup trucks from India in

knockdown kit (CKD) form to circumvent the Chicken tax. CKDs are complete vehicles

that were assembled in the U.S. from kits of parts shipped in crates.On 18 October 2010,

however, it was reported that Mahindra had indefinitely delayed the launch of vehicles

into the North American market, citing legal issues between it and Global Vehicles after

Mahindra retracted its contract with Global Vehicles earlier in 2010, due to a decision to

sell the vehicles directly to consumers instead of through Global Vehicles.However, a

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November 2010 report quoted John Perez, the CEO of Global Vehicles USA, as

estimating that he expected Mahindra's small diesel pickups to go on sale in the U.S. by

spring 2011, although legal complications remained, and Perez, while hopeful, admitted

that arbitration could take more than a year. Later reports suggested that the delays may

be due to Mahindra scrapping the original model of the truck and replacing it with an

upgraded one before selling them to Americans. In June 2012, a mass tort lawsuit was

filed against Mahindra by its American dealers, alleging the company of conspiracy and

fraud.

Mahindra & Mahindra has a controlling stake in Mahindra Reva Electric Vehicles. In

2011, it also gained a controlling stake in South Korea's SsangYong Motor Company.

Mahindra launched its relatively heavily publicised SUV, XUV500, code named as

W201 in September 2011. The new SUV by Mahindra was designed in-house and it was

developed on the first global SUV platform that could be used for developing more

SUVs. In India, the new Mahindra XUV 500 came in a price range between 1,140,000–

1,500,000. The company was expected to launch 3 products in 2015 (2 SUVs and 1 CV)

and an XUV 500 hybrid. Mahindra's two wheeler segment launched a new scooter in the

first quarter of 2015. Besides India, the company also targeted Europe, Africa, Australia

and Latin America for this model. Mahindra President Mr. Pawan Goenka stated that the

company planned to launch six new models in the year.The company launched the CNG

version of its mini truck Maxximo on 29 June 2012.A new version of the Verito in

diesel and petrol options was launched by the company on 26 July 2012 to compete with

Maruti's Dzire and Toyota Kirloskar Motor's Etios.

On 30 July 2015, Mahindra released sketches of a new compact SUV called the

TUV300 slated to be launched on 10 September 2015. The TUV300 design took cues

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from a battle tank and used a downsized version of the mHawk engine found on the

XUV500, Scorpio and some models of the Xylo. This new engine was christened as the

mHawk80.

Organization Structure:

CEO Secretary
Anand Mahindra NS

Chairman of the Board CFO


Keshub Mahindra Bharat Doshi

Director Automotive Sector


A.Ganguly PG

Director Farm Equipment Sector


R.Kulkarni AC

Director Finance, Legal & Financial Services


Anupam Puri UP

Director Human Resources, After-Market &


Naraynan Vaghul Corporate Services
RD

Director Information Technology Sector


M.Murugappan UY

Director Infrastructure Development Sector


Arun Dasgupta AN

Director Systems & Technologies Sector


Deepak Parekh HL

Director Trade, Retail & Logistics Sector


Nadir Godrej RM

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SWOT Analysis of Mahindra & Mahindra with USP, Competition, STP (Segmentation,

Targeting, Positioning) - Marketing Analysis

Mahindra & Mahindra

Parent Company Mahindra

Category Sedans, SUV‟s, Two-wheelers

Sector Automobiles

Tagline/ Slogan Rise; Every 2 minutes a Mahindra is born

Mahindra SUV‟s have a stronghold in the Indian

commercial taxi market which have good performance o

USP tough terrains

STP

Segment Complete automobile segment including sedans & SUV‟s

Target Group Young executives from the upper-middle income bracket

A brand which promotes new thinking, accepts no limits and

Positioning drives positive change

Product Portfolio

1. Mahindra Bolero 2. Mahindra Renault Logan

3. Mahindra Scorpio 4. Mahindra Verito

Brands 5. Mahindra Xylo

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SWOT Analysis

1. Mahindra has been one of the strongest brands in the

Indian automobile market

2. Mahindra group give employment to over 110,000

employees

3. Excellent branding and advertising, and low after sales

service cost

Strengths 4. Sturdy SUV‟s good for Indian roads and off-road terrain

1. Mahindra‟s partnership with Renault did not live up to

Weaknesses international quality standards through their brand Logan

1. Developing hybrid cars and fuel efficient cars for the

future

2.Tapping emerging markets across the world and building a

global brand

3.Fast growing automobile market

4.Growing in the market through electric car Reva

Opportunities (controlling stake) and entry into two-wheeler segments

1. Government policies for the automobile sector across the

world

2. Ever increasing fuel prices

3. Intense competition from global automobile brands

4. Substitute modes of public transport like buses, metro

Threats trains etc

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Competition

1.Honda

2.Toyota

3.Nissan Motors

4.Hyundai Motors

5.Fiat

6.Mitsubishi

7.Maruti Udyog

8.Tata Motors

9. Skoda

10. Toyota

11. Volkswagen

Competitors 12. Ford

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Mahindra & Mahindra's Scorpio was started in 1997 with a vision to continue to

dominate the Utility Vehicle (UV) market in India. Their aim was to make M&M known

world-wide for their quality, durability and reliability of its products and services.

M&M's business was largely from semi-urban and rural markets of India. Even though

M&M had a wider variety of products, it was lacking the products that can cater the

modern urban customer needs. The market of M&M was strong but stagnating. These

reasons led to thought of Sports Utility Vehicle catering the urban customers and

targeted the 'C' class cars segment (Rs. 5 Lakhs and above). The SUV was positioned as

a 'better looking SUV' with a 'Car Plus' approach. But due to change in market scenario,

competition and consumer preferences the company has started shifting its focus from

'C' segment to 'D' segment to become a luxury car. Scorpio is a product for those who

seek latest technology at affordable prices and for those who feel that big size stands for

status. The Scorpio project was very important for M&M. It was banking on Scorpio to

help it shed its image as a manufacturer of vehicles for rural use and to break into the

urban market. It targeted individual car buyers in the top-end small car segment and

mid-size car segment, who already owned cars and were ready to invest in another

vehicle.

Mahindra & Mahindra used an aggressive promotional strategy to promote the SUV. As

it targeted the urban audience, television advertisement was a must. It promoted the

Scorpio to a large scale through TV advertisements. As the product development took

off, a phased communication strategy was plotted for the brand. During the first phase,

the need to deal with issues such as lifestyle imagery was identified by the Mumbai-

based advertising agency Interface Communications.

As a result, the television commercials depicted the product and even as the print

advertisements focused on functional benefits. So one got to see copies like `Car you

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walk into, and not crawl into' across newspapers. In phase two, the television campaign

was not changed but print creative were centred on communicating new product

developments. The third phase of communication was released in July 2004 when the

automotive giant focused on the `car plus' statement. What followed was a series of

advertisements focusing on people and lifestyle rather than the product. All Scorpio

advertisements show the vehicle in urban settings driven many times by women

conveying the message of "ease of driving". Unlike competitors' advertising strategy, no

imagery of off-road settings and `wilderness' or `break-free' connotations were depicted.

Other international majors are battle scarred in other markets. All of them have

capabilities to compete with the best anywhere. But what Scorpio did was to alert all of

them that nothing but the best will do in the Indian market too. So it is very interesting

that the tag line of Scorpio TV ads says `nothing else will do'.

Moreover the company has also taken social initiatives through CSR, working towards

upliftment of education, health and disaster relief, art and culture, environmental

initiatives, sports, etc. This also is a promotional strategy by the company to attract more

and more customers for its product.

Use of Push or Pull Strategy

M&M initially used pull strategy through aggressive advertising through television

media as pull strategy of promotion involves the active engagement of the target market

through methods like advertisements or email marketing. The company also went for

making a specific web site named "mahindrascorpio.com" to promote the product to a

huge level. Moreover the car was also involved at the Rally dos Sertoes in Brazil, which

is considered to be one of the world's toughest rallies, so as to bring the product into

eyes of those who love cars and want thrill in them, as Scorpio is a car with thrills.

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Further M&M also promoted Scorpio through public relations; direct marketing through

CRM activities like satisfaction surveys, events, festive offers and rewards programs.

All these activities were the part of push strategy by the company. But as the time,

customer preferences and competition are increasing the company is now moving to

become the global niche player.

Critical appraisal of company's promotion

With such a superlative advertising and promotion, M&M Scorpio was able to position

itself as a wonderful product with smart pricing and excellent services. To those young

people who like thrill, Scorpio is for car lovers, just like Harley Davidson is for bike

lovers. The company had been able to show the product in the same manner through its

promotion strategies. The company had been able to justify its promotional activities

completely with online promotion through its web site. The basics of all communication

are there on the site. It is appealing with a simple design and well written copy. The

powerful yet stylish looks and the sheer pride of possession that this brand offers are

truly conveyed through its promotional tools. The result of the company's promotional

strategies could be seen through the customer reaction. Scorpio has won many awards in

customer satisfaction and as the best SUV. It is among those brands which has got a

huge brand recall. Recently the company is using Gaming as one of the promotional

strategy whereby the internet users can play game on the web site of M&M Scorpio.

And it brings timely changes in its television ads as and when required and it had been

able show the product very clearly and specifically through its television ads. Moreover

the focus on the target market is also very clear through the promotional activities of the

company. So we can conclude that the product delivers a promise and its promotion has

been able to create a distinct image in the consumers' mind.

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Marketing mix of Mahindra and Mahindra

India is one of the fastest growing markets for the automobile industry and the company

Mahindra and Mahindra is one such automobile company that has revolutionized the

markets. Founded in the year 1945, it is one of the leading brands for agricultural

tractors in terms of manufacturing and volume. This multinational manufacturing

organization has its headquarters in Mumbai and is a public limited company. It faces

stiff competition and its chief competitors are as follows-

 Toyota

 Tata Motors

 Honda

 Hyundai

 Maruti-Suzuki

 Ashok Leyland

Product in the Marketing mix of Mahindra and Mahindra

Mahindra and Mahindra deal with farm equipment, utility vehicles and commercial

vehicles. Its portfolio includes a wide range of products that comprises heavy trucks,

light trucks, two wheelers, SUV‟s, tractors and school buses.Mahindra has also built

military vehicles and its Willys jeep was used for transportation in World War II. The

esteemed company has also entered into partnership deal with Renault S.A and its result

was the beautiful Mahindra Renault Logan. The various Mahindra products are-

 Mahindra Scorpio

 Mahindra Scorpio Getaway

 Mahindra Bolero

 Mahindra Pick-up

 Mahindra Quanto

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 Mahindra XUV 5oo

 Mahindra Xylo

 Mahindra Thar

 Mahindra e2o

 Mahindra- Renault Verito

Place in Marketing mix of Mahindra and Mahindra Mahindra owns many assembly

plants and manufacturing plants. Its assembly plants are located in China, India, Brazil

and United Kingdom. It has a global presence and its products are sent to countries like

Italy, China, South Africa, USA and UK. It has proved its capabilities by sending strong

messages. To test the markets of China it sent tractors to one single province and

managed to sell them at 20% higher price than its local rival because of its shrewd

business sense and the superior quality of the products. This is how it captured the

markets in China with determination and ample business sense. In India, its plants are

located in Bangalore, Chakan and Nasik in Maharashtra, Haridwar in Uttarakhand.

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Its manufacturing facilities are distributed and spread over a large area of

500,000sq.meters. The company‟s infrastructure includes 30 offices for sales, 500

dealers, 600 stock points, 500 service points and all these are connected by an all-

encompassing IT structure. It has opened various showrooms all over the country that

have experienced and qualified salesperson with a distinctive market knowledge. The

offices are well-furnished and spare parts, equipment, services are available to the

customers at one go.

Price in the Marketing mix of Mahindra and Mahindra

The pricing policy of Mahindra and Mahindra is dependent upon various factors that

determine the sales price of the vehicles. The costs incurred at every stage includes

manufacturing to assembling the parts and making them a whole product and the costs to

reach the product to the consumer.The company has infiltrated in every corner of the

country with products that are reasonably priced and show quality.

The company follows the policy of both the premium pricing and the flexible pricing to

grasp the maximum consumer value. The rates of all its products are very competitive,

as it has taken a lot of market research as well as the cost factors and the competitor‟s

rates to arrive at a particular sales price. In order to cater to the whims of every section

of the masses they have launched products with different prices that are suitable for

different sections. These noticeable changes are consciously taken decisions with

appropriate prices to balance their portfolio and garner more customers.

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Promotion in the Marketing mix of Mahindra and Mahindra

Mahindra and Mahindra have taken various steps in order to promote their vehicles

throughout the world. It has decided to use the visual media and the print media fully so

that the people become aware of its potential and products. Advertisements featuring

attractive models with its products have been handled gracefully so that Mahindra and

Mahindra becomes a household name.

In 2011, Mahindra launched Kareena kapoor Khan, the famous actor, as its brand

ambassador for Mahindra two wheeler‟s advertisements where she asks the consumers

to buy a two-wheeler as INR 1500 of petrol was being supplied free with it. This highly

entertaining and engaging campaign shows a peppy and charming Kareena enjoying her

ride. Advertisements have been placed in newspapers and various magazines as well as

television and internet.

Under additional activities for sales promotion, it has organized exhibition where

catalogues are distributed and contests are held. The company has also implemented

different programs where they have rewarded the best talent in the industry in terms of

cash and job offers. These have also proved to be a good promotional and beneficial

move.

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HISTORY OF MAHINDRA & MAHINDRA AUTOMOTIVE

Mahindra & Mahindra (M&M) was established in 1945 as Mahindra & Mohammed.

Later on, after the partition of India, one of the partners - Ghulam Mohammad - returned

to Pakistan, where he became Finance Minister. As a result, the company was renamed

to Mahindra & Mahindra in 1948.

M&M started its operation as a manufacturer of general-purpose utility vehicles. It

assembled CKD jeeps in 1949. Over the passing years, the company expanded its

business and started manufacturing light commercial vehicles (LCVs) and agricultural

tractors.

Apart from agricultural tractors and LCVs, Mahindra & Mahindra also showed its

dexterity in manufacturing army vehicles. Soon, it started its operations abroad, through

its plants set up in China, the United Kingdom and the USA.

M&M partnered with companies prominent in the international market, including

Renault SA, International Truck and Engine Corporation, USA, in order to mark its

global presence. M&M also started exporting its products to several countries across the

world. Subsequently, it set up its branches including Mahindra Europe Srl (based in

Italy), Mahindra USA Inc., Mahindra South Africa and Mahindra (China) Tractor Co.

Ltd.

At the same time, M&M managed to be the largest manufacturer of tractors in India, by

holding leadership in the market of the country, for around 25 years. The company is an

old hand in designing, developing, manufacturing and marketing tractors as well as farm

implements. It made its entry to the passenger car segment in India, with the

manufacture of Logan (mid-size sedan) in April 2007, under the Mahindra Renault

collaboration.

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Soon after the considerable success of Logan, M&M started launching a wide range of

LCVs and three wheelers as well as SUVs including Scorpio and Bolero. In the present

time, Bolero has gained immense popularity in India. It is one of the most opted vehicles

in its class.

MAHINDRA BOLERO

Mahindra Bolero is one of the most successful and popular utility vehicle of the

Mahindra and Mahindra Group. The car is robust in appearance and it has been

elegantly designed, keeping in mind the conditions of the Indian roads.

Mahindra Bolero is also among the best fuel-efficient cars of India as the manufacturer

has equipped it with a 2500 cc diesel engine with5- speed transmission.

MAHINDRA SCORPIO

Mahindra & Mahindra Limited launched Mahindra Scorpio as its first Sports Utility

Vehicle in India in 2002.

This SUV has redefined the expectations for the design of SUVs with its sturdy looks

and powerful performance, the sophisticated interior design adds to the further glory to

the appearance.

MAHINDRAINGENIO

Mahindra & Mahindra is planning to launch a new multi-purpose vehicle (MPV) to take

on the Toyota Innova and the Chevrolet Tavera in both the individual buyer and taxi

segments. Mahindra has currently named the project Ingenio. The vehicle is expected to

hit the market in 2009

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MAHINDRA RENAULT LOGAN

Much awaited Mahindra-Renault Logan has been launched in India. This compact sedan

is a spacious, practical and affordable vehicle. The outlook of Logan is impressive and

the basic version is a value for money, however the top-end versions are a bit high on

price. The prominent feature of this car is its performance, interiors and economy.

MAHINDRA XYLO

Mahindra & Mahindra Limited launched their latest Multi Utility Vehicle (MUV)

“Xylo” in India on January 13, 2009. The car boasts of having all the luxurious features

that are seen in today‟s sedans, with the ample space of a utility vehicle. Xylo's muscular

stance contributes to its commanding road presence. Fully packed with the latest

features, the MUV is sure to impress Indian consumers and provide a stiff competition

to the other vehicles within its class.

Performance Of Mahindra XYLO

Under the hood of Mahindra Xylo lies a 4-cylinder turbocharged, mEagle diesel engine,

which generates a power of 112bhp @ 3800 rpm and a peak torque of 24 kgm @ 1800-

3000 rpm. The powerful engine is developed on the NEF CRDe platform and is mated to

5-gears manual transmission. The car accelerates from rest to 60 km/h in just 5.8

seconds.

MILSTONE, AWARDS AND ACCOLADES

M&M’s 61st year was studded with a number of noteworthy

achievements, prestigious prizes and glittering awards.

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DUAL HONOURS FOR CHAIRMAN MR. KESHUB MAHINDRA

Chairman, Mr. Keshub Mahindra was awarded the “Business Visionary Award 2006”

instituted by the National Institute of Industrial Engineering (NITIE), Mumbai.

Chairman, Mr. Keshub Mahindra was also awarded the prestigious IBS Kolkata

Lifetime Achievement Award for his „unparalleled contribution to industrial growth and

social and economic development of the community‟.

The Institute of Chartered Financial Analysts of India‟s (ICFAI) India Business School

(IBS) presented it, Kolkata, at the Strategy Summit 2007, held in Kolkata.

SLEW OF HONOURS FOR MR. ANAND MAHINDRA

Mr. Anand Mahindra, VC & MD, Mahindra Group, received a number of prestigious

awards in 2006-07, including:

o The prestigious CNBC Asia Business Leader of the Year Award for the Year 2006

as well as the CNBC TV India “Business Leader of the Year Award”.

o The „CEO of the Year‟ award at the India Brand Summit 2006 co-sponsored by

Business Standard and ITM Business School in association with Times Now and

DNA newspaper.

o The LMA Entrepreneur of the Year 2006 award, instituted by the Ludhiana

Management Association (LMA).

o The Most Inspiring Corporate Leader of the Year‟ Award by NDTV Profit

o The NDTV Profit – Car & Bike Award 2007 for Automobile Man of the Year.

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Mr. Anand Mahindra was also nominated as a Member of the Council of the

Executive Committee of the National Sports Development Fund (NSDF) of the Govt. of

India. He was featured in the list of 50 Most Influential Indians in Business Week‟s

edition dated August 13, 2007

HIGHEST CRISIL RATING FOR M&M

M&M has received the highest Governance & Value Creation rating, CRISIL GVC

Level - I from CRISIL for the ability to create value for all stakeholders, while adopting

sound corporate governance practices.

DUN & BRADSTREET AMERICAN EXPRESS CORPORATE

AWARDS 2006

Mahindra & Mahindra was rated as the leading Indian company in the Automobile -

Tractors sector in the „Dun & Bradstreet – American Express Corporate Awards 2006‟.

The Automobile Sector comprises of three categories – Passenger Vehicles, Commercial

Vehicles and Tractors.

These awards recognize the virtues of size and growth in the awards methodology.

M&M ranked No. 1 in these two segments in the premier Dun & Bradstreet India

publication, India‟s Top 500 Companies 2006.

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MAHINDRA RECEIVES AMITY HR EXCELLENCE AWARD

Mahindra & Mahindra was honored with the Amity HR Excellence Award at the Fourth

Amity Global HR Summit 2007 held at the Amity International Business School, Noida.

The Amity HR Excellence Award recognized Mahindra as one the most admired

companies across the global on account of its innovative strategies for Human Resources

Management and Development.

GLOBAL HR EXCELLENCE AWARD FOR M&M

Mahindra & Mahindra won the Global HR Excellence Award for Innovative HR

practices (Manufacturing Sector), in the Asia Pacific HRM Congress, held in Mumbai.

These awards recognize organizations and individuals who have embraced change,

encouraged constructive challenges and demonstrated entrepreneurial skills in the

corporate world.

M&M WINS BOMBAY CHAMBER GOOD CORPORATE CITIZEN

AWARD 2006-07

M&M was presented with the coveted Bombay Chamber Good Corporate Citizen

Award 2006-07 at a glittering ceremony held to celebrate the Chamber‟s 172nd

Foundation Day on September 21, 2007. Mr. Bharat Doshi, Executive Director, M&M

Ltd. and Mr. Rajeev Dubey, Member of the Group Management Board and Chairman,

Mahindra & Mahindra CSR Council, received the award on behalf of the company.

This Award recognizes and honors conspicuous achievement by corporate organizations

by way of service to the civic community, in addition to outstanding operational

performance. It takes into account several parameters, including Business Performance,

Corporate Interests, Employee Welfare, Customer and Stakeholder Satisfaction and

Social Investment.

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GOLDEN PEACOCK AWARD FOR EXCELLENCE IN

CORPORATE GOVERNANCE

Mahindra & Mahindra won the coveted Golden Peacock Award for Excellence in

Corporate Governance 2006. This award validates the company‟s „Best-in-Class‟

corporate governance practices and reflects its transparent and ethical dealings with

stakeholders across the entire value chain. It recognizes the Management‟s commitment

to the highest standards of corporate conduct and its commitment to Corporate Social

Responsibility as a distinct activity that helps build commendable social values and adds

to the ethical fiber of the organization.

BEST AUTOMOTIVE MANUFACTURING SUPPLY CHAIN

EXCELLENCE AWARD

Mahindra & Mahindra has been awarded as the organization with the “Best

Automotive Manufacturing Supply Chain Excellence”. The awards were presented by

India Times Mindscape (Times of India Group) along with the Business India Group

at the Express, Logistics & Supply Chain Awards held in Mumbai on September 28,

2007. A. C. Neilson is accredited with the research for the award nominees and

winners.

HIGH RANKINGS FOR MAHINDRA

M&M was ranked second in the prestigious e Most Trusted Car Company in India study

conducted by TNS. M&M scored 127 points, just seven points below the top ranking

company, according to a TNS communiqué.

 M&M was ranked 14th in The Economic Times prestigious „ET 500‟ list of top

achieving companies in India. The company has moved up four ranks from last

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year. To quote from the „ET 500‟ write-up: “M&M‟s „art-to-part‟ strategy of

diversification into the auto parts value chain and its plans for new platforms for

utility vehicles and joint venture with Renault for Logan have led to a gain in

ranks.”

 M&M was ranked 22nd in Business India‟s annual survey of the country‟s top

companies - Super 100

 M&M was ranked 31st in Business Today‟s annual survey of India‟s most

valuable companies

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MILESTONES OF MAHINDRA&MAHINDRA

YEAR ACHIEVMENTS

1947 In October, the first batch of 75 Utility Vehicles (UVs) imported in CKD
condition from Willys overland Export Corporation.

1949 Lease of 11,071 Sq. yards at Mazagaon from British India Steam
navigation. The first Willys Overland Jeep built in India at the Assembly
Plant , Mazagaon, Bombay (now Mumbai).

1954 Manufacture of Vehicles undertaken in collaboration with Kaiser Jeep


Corporation and American Motors Corporation.

1962 Indigenous content of Jeep goes up to 70 per cent. To centralise


manufacturing operations, 137 acres of land purchased at Kandivli.

1965 FC 150 Petrol Trucks introduced.

1967 Two wheelers drive Utility Vehicles introduced. The 101" wheel base
and Metal Body UVs introduced. Indigenous content goes up by 97 per
cent.

1969 The start of vehicles export. Export of total 1200 UVs along with spare
parts to Yugoslavia. Exported also to Ceylon, Singapore, Philippines and
Indonesia.

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1970 The contracts to export of 3304 vehicles, mainly to Yugoslavia and
Indonesia concluded.

1971 Separate R&D section set up.

1974 Maxi miller campaign launched for the conservation of fuel. CJ 4A was
introduced with new transmission and axle ratio. Collaboration
agreement with Jeep corporation (subsidiary of AMC, Detroit).

1975 FC 260 Diesel light truck and CJ 500 D Diesel was introduced with MD
2350 Diesel Engine.

1979 The Government of India approves in principle, technical collaboration


with Peugeot (France) for the manufacture of XDP 4.90 Diesel Engine.

1981 The Nasik Trucks Assembly Plant and Peugeot Engine Assembly Plant at
Ghatkopar inaugurated. NC 665 DP Mini Truck rolls out from Nasik
Assembly Line.

1983 FJ 460 model was introduced with 4-speed gearbox. Engine plant at
Igatpuri formally inaugurated by Mr. Jean Boillot, President of
Automobiles Peugeot of France for the manufacture of 25,000 Peugeot
and Petrol engines.

1985 The New Mahindra Vehicle-MM 540 was launched in Bombay. NC 640
DP with 4 speed gearbox and Mahindra MM 440 was introduced.

1986 CJ 640 DP Vehicle introduced.

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1987 MM 540 DP metal Body Wagonette introduced.

1988 M&M signed a MoU with Hyderabad Allwyn Nissan Limited to form
Mahindra Nissan Allwyn Ltd., as its associate company with LCV
operations in Andhra Pradesh.

The CJ 340 DP model was introduced. M&M and Peugeot announced


1989 their tie up for the manufacture of Peugeot 504 pickup truck, BA 10
gearboxes and latest XD 3 diesel engines. M&M acquired automotive
pressing unit at Kanhe, from Guest Keen Williams Ltd.

1991 Introduced CJ 500 DI model with MDI 2500 A direct injection diesel
engines. M&M bags order to export 10,000 CKD kits. Commander range
of models: 650 DI, 750 DP/HT were also launched with tremendous
market response.

1993 The Mahindra Armada was launched

Mahindra Nissan Allwyn Ltd. (MNAL) was merged with M&M and
1995 Zaheerabad LCV operations becoming part of Automotive Sector. FJ
series of LCVs were shifted from Nasik to Zaheerabad. Igatpuri Engine
Plant received ISO 9002 certificate.

1996 The new LCV model Cabking DI 3150 & Mahindra Classic vehicles
were launched. New Commander 5 Door Hard Top introduced.

Commercial production of the Ford Escort commenced at Nasik Plant.


1997 License & Technical Assistance Agreement signed with Mitsubishi
Motors Corporation for Manufacture of SL Body at Zaheerabad
(Voyager with XD 3 and BA 10). Kandivli and Nasik plants received
ISO 9002 certificate from RW-TUV.

1998 Die shop Inauguration at Nasik Plant 2-8/8/97. Voyager was launched by
the Chairman at Zaheerabad Plant on 12/11/97

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PRODUCT PROFILE

PRODUCTS OF MAHINDRA AUTOMOTIVE

MAHINDRA “SCORPIO”

MAHINDRA “BOLERO”

MAHINDRA “XYLO”

MAHINDRA RENAULT “LOGAN”

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MAHINDRA “XUV 500”

BOLERO VARIANTS
Bolero SLX
Features and Specification
Make Mahindra
Model Bolero
Variant SLX
Body Type SUV
No. of Doors 5

Fuel Efficiency:
City Mileage 9.4 kmpl
Highway Mileage 15.9 kmpl
Fuel Capacity 60 liters
Fuel Type Diesel
Fuel Grade -

Engine Parameters:

Displacement 2523cc
Bore -
Stroke -
Cylinder Configuration 4 inline
Valve Gear Operation -
Compression Ratio -
No. of Valves 8
Aspiration Turbo Charged
Fuel System DI
Horse Power 63.12@3200 ps@rpm
Torque 180@1440 Nm@rpm

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Steering and Suspension
Steering Type Rack and pinion, power assist
Power Steering Yes
Front Suspension Independent with coil spring
Rear Suspension Leaf spring

Dimensions:

Length 4056 mm
Height 1880 mm
Width 1660 mm
Wheel Base 2680 mm
Clearance 200 mm
Boot -
Front Head Room Min: 60mm Max: 60mm
Front Leg Room - -
Rear Head Room Min: 60mm Max: 60mm
Rear Leg Room Min: 74mm Max: 94mm
Krebs Weight Min: 1615kg Max: 1615 kg
Gross Weight

Drive Train

Type Manual
Gears 5
Drive Line RWD

Comforts Features
AM / FM Radio Present

Except AM / FM radio there is no other comfort is provided.


Safety: There is no safety feature included in Bolero SLX including antitheft system etc.

BOLERO SLE
Feature and Specification
Make Mahindra
Model Bolero
Variant SLE
Body Type SUV
Number of Doors 5

Fuel Efficiency:
City Mileage 9.5 kmpl
Highway Mileage 13.2 kmpl
Fuel Capacity 60 liters
Fuel Type Diesel
Fuel Grade -

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Engine Parameters:
Displacement 2523cc
Bore -
Stroke -
Cylinder Configuration 4 inline
Valve Gear Operation -
Compression Ratio -
No. of Valves 8
Aspiration Turbo Charged
Fuel System DI
Horse Power 63.12@3200 ps@rpm
Torque 180@1440 Nm@rpm

Steering and Suspension


Steering Type Rack and pinion, power assist
Power Steering Yes
Front Suspension Independent with coil spring
Rear Suspension Parabolic Leaf spring

Dimensions:

Length 4056 mm
Height 1880 mm
Width 1660 mm
Wheel Base 2680 mm
Clearance 180 mm
Boot -
Front Head Room -
Front Leg Room -
Rear Head Room -
Rear Leg Room -
Krebs weight Min: 1615kg Max: 1615 kg
Gross weight -

Drive Train

Type Manual
Gears 5
Drive Line RWD

Comfort Features

Air-Conditioning Yes

Except Air conditioning, no other comfort features are present in the Bolero SLE.

50 | P a g e
Same as SLX no safety features are present in the Bolero SLE.

BOLERO DIZ
Feature and Specification
Make Mahindra
Model Bolero
Variant DIZ
Body Type SUV
Number of Doors 5

Fuel Efficiency:
City Mileage 9.5 kmpl
Highway Mileage 13.2 kmpl
Fuel Capacity 60 liters
Fuel Type Diesel
Fuel Grade -

Engine Parameters:
Displacement 2523cc
Bore -
Stroke -
Cylinder Configuration 4 inline
Valve Gear Operation -
Compression Ratio -
No. of Valves 8
Aspiration -
Fuel System DI
Horse Power 63.12@3200 ps@rpm
Torque 137.5@2000-2500 Nm@rpm

Steering and Suspension


Steering Type Rack and pinion, power assist
Power Steering Yes
Front Suspension Independent with coil spring & anti
roll bar
Rear Suspension Parabolic Leaf springs

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Dimensions:
Length 4056 mm
Height 1880 mm
Width 1815 mm
Wheel Base 2680 mm
Clearance 200 mm
Boot -
Front Head Room -
Front Leg Room -
Rear Head Room -
Rear Leg Room -
Krebs weight Min: 1615kg Max: 1615 kg
Gross weight 5.4 kg

Drive Train
Type Manual
Gears 5
Drive Line RWD

This model of Mahindra Bolero do not consist any comfort features and safety features.
BOLERO DI
Feature and Specification
Make Mahindra
Model Bolero
Variant DI
Body Type SUV
Number of Doors 5

Fuel Efficiency:
City Mileage 10.7 kmpl
Highway Mileage 15.9 kmpl
Fuel Capacity 60 liters
Fuel Type Diesel
Fuel Grade -

Engine Parameters:
Displacement 2523cc
Bore -
Stroke -
Cylinder Configuration 4 inline
Valve Gear Operation -
Compression Ratio -
No. of Valves 8
Aspiration Turbo Charged
Fuel System DI
Horse Power 63.08@3200 ps@rpm
Torque 180@1440 Nm@rpm

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Steering and Suspension
Steering Type Rack and pinion, power assist
Power Steering No
Front Suspension Independent with coil spring
Rear Suspension Leaf springs

Dimensions:
Length 4260 mm
Height 1810 mm
Width 1815 mm
Wheel Base 2680 mm
Clearance 183 mm
Boot -
Front Head Room Min: 60mm Max: 60mm
Front Leg Room -
Rear Head Room Min: 60mm Max: 60mm
Rear Leg Room Min: 74mm Max: 94mm
Krebs weight Min: 1615kg Max: 1615 kg
Gross weight -

Drive Train
Type Manual
Gears 5
Drive Line RWD

Comfort Features

Air-Conditioning Yes

Except Air conditioning, no other comfort features are present in the Bolero SLE.
Same as SLX no safety features are present in the Bolero SLE.
BOLERO DI PLUS
Feature and Specification
Make Mahindra
Model Bolero
Variant Plus
Body Type SUV
Number of Doors 5

Fuel Efficiency:
City Mileage 9.4 kmpl
Highway Mileage 15.1 kmpl
Fuel Capacity 60 litre
Fuel Type Diesel
Fuel Grade -

53 | P a g e
Engine Parameters:
Displacement 2523cc
Bore -
Stroke -
Cylinder Configuration 4 inline
Valve Gear Operation -
Compression Ratio -
No. of Valves 8
Aspiration Turbo Charged
Fuel System Direct Injection
Horse Power 63.08@3200 ps@rpm
Torque 180@1440-1550 Nm@rpm
Steering and Suspension
Steering Type Rack and pinion, power assist
Power Steering No
Front Suspension Independent with coil spring &
anti roll bar
Rear Suspension Parabolic Leaf springs
Dimensions:

Length 4440 mm
Height 1977 mm
Width 1660 mm
Wheel Base 2794 mm
Clearance 195 mm
Boot -
Front Head Room -
Front Leg Room -
Rear Head Room -
Rear Leg Room Min: 74mm Max: 94mm
Krebs weight Min: 1615kg Max: 1615 kg
Gross weight -

Drive Train
Type Manual
Gears 5
Drive Line RWD

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Comfort Features

Air-Conditioning Yes

Except Air conditioning, no other comfort features are present in the Bolero SLE.
Same as SLX no safety features are present in the Bolero SLE.

PRODUCT AVAILABLE AT UNITED AUTOMOBILES:

United Automobiles has franchise of M&M Company. M&M Company manufacturer

various types of MUVs and LCVs.

These are:
MAHINDRA “XYLO”

XYLO VARIANTS EX-SHOWROOM PRICE

D2 (BASE VERSION) 8,56,824

D4 (LOWER VERSION) 8,04,283

H4 (SPORTZ VERSION) 9,74, 973

H9 ( TOP VERSION ) 11,10,312

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MAHINDRA “SCORPIO”

SCORPIO VARIANTS EX- SHOWROOM PRICE

SCORPIO S2 8,92,873

SCORPIO S4 9,37,737

SCORPIO S4 PLUS 4WD 11,37,705

SCORPIO S10 4WD AT 14,38,638

SCORPIO Vle mHawk 10,18,427

MAHINDRA “BOLERO”

BOLERO VARIANTS EX-SHOWROOM PRICE

BOLERO DI BSIII 6,93738 (WHITE), 6,05,738 (SILVER)

BOLERO SLE BSIII 7,60,519

BOLERO SLX BSIII 7,68,820

BOLERO PICKUP 5,56,983

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MAHINDRA RENAULT “LOGAN”

LOGAN VARIANTS EX-SHOWROOM PRICE

LOGAN GLE 1.4 5,84,471

LOGAN GLX 1.4 6,09,696

LOGAN GLX 1.6 6,47,169

LOGAN GLS 1.6 6,75,727

LOGAN GLSX 1.6 6,95,292

LOGAN DLE 1.5 5,97,605

LOGAN DLX 1.5 6,40,791

LOGAN DLS 1.5 6,86,631

LOGAN DLSX 1.5 7,06,195

LOGAN GLX 1.4 EDGE 5,41,752

LOGAN GLSX 1.6 EDGE 6,27,378

LOGAN DLX 1.5 EDGE 6,72,850

LOGAN DLS 1.5 EDGE 7,20,204

LOGAN DLSX 1.5 EDGE 7,39,787

Jan,

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Marketing mix of Mahindra and Mahindra
India is one of the fastest growing markets for the automobile industry and the company

Mahindra and Mahindra is one such automobile company that has revolutionized the

markets. Founded in the year 1945, it is one of the leading brands for agricultural

tractors in terms of manufacturing and volume. This multinational manufacturing

organization has its headquarters in Mumbai and is a public limited company. It faces

stiff competition and its chief competitors are as follows-

 Toyota

 Tata Motors

 Honda

 Hyundai

 Maruti-Suzuki

 Ashok Leyland

Product in the Marketing mix of Mahindra and Mahindra

Mahindra and Mahindra deal with farm equipment, utility vehicles and commercial

vehicles. Its portfolio includes a wide range of products that comprises heavy trucks,

light trucks, two wheelers, SUV‟s, tractors and school buses.Mahindra has also built

military vehicles and its Willys jeep was used for transportation in World War II. The

esteemed company has also entered into partnership deal with Renault S.A and its result

was the beautiful Mahindra Renault Logan. The various Mahindra products are-

 Mahindra Scorpio

 Mahindra Scorpio Getaway

 Mahindra Bolero

 Mahindra Pick-up

 Mahindra Quanto

 Mahindra XUV 5oo

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 Mahindra Xylo

 Mahindra Thar

 Mahindra e2o

 Mahindra- Renault Verito

Place in Marketing mix of Mahindra and Mahindra

Mahindra owns many assembly plants and manufacturing plants. Its assembly plants are

located in China, India, Brazil and United Kingdom. It has a global presence and its

products are sent to countries like Italy, China, South Africa, USA and UK. It has

proved its capabilities by sending strong messages. To test the markets of China it sent

tractors to one single province and managed to sell them at 20% higher price than its

local rival because of its shrewd business sense and the superior quality of the products.

This is how it captured the markets in China with determination and ample business

sense. In India, its plants are located in Bangalore, Chakan and Nasik in Maharashtra,

Haridwar in Uttarakhand.

Its manufacturing facilities are distributed and spread over a large area of

500,000sq.meters. The company‟s infrastructure includes 30 offices for sales, 500

dealers, 600 stock points, 500 service points and all these are connected by an all-

encompassing IT structure. It has opened various showrooms all over the country that

have experienced and qualified salesperson with a distinctive market knowledge. The

offices are well-furnished and spare parts, equipment, services are available to the

customers at one go.

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Price in the Marketing mix of Mahindra and Mahindra

The pricing policy of Mahindra and Mahindra is dependent upon various factors that

determine the sales price of the vehicles. The costs incurred at every stage includes

manufacturing to assembling the parts and making them a whole product and the costs to

reach the product to the consumer.The company has infiltrated in every corner of the

country with products that are reasonably priced and show quality.

The company follows the policy of both the premium pricing and the flexible pricing to

grasp the maximum consumer value. The rates of all its products are very competitive,

as it has taken a lot of market research as well as the cost factors and the competitor‟s

rates to arrive at a particular sales price. In order to cater to the whims of every section

of the masses they have launched products with different prices that are suitable for

different sections. These noticeable changes are consciously taken decisions with

appropriate prices to balance their portfolio and garner more customers.

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Promotion in the Marketing mix of Mahindra and Mahindra

Mahindra and Mahindra have taken various steps in order to promote their vehicles

throughout the world. It has decided to use the visual media and the print media fully so

that the people become aware of its potential and products. Advertisements featuring

attractive models with its products have been handled gracefully so that Mahindra and

Mahindra becomes a household name.

In 2011, Mahindra launched Kareena kapoor Khan, the famous actor, as its brand

ambassador for Mahindra two wheeler‟s advertisements where she asks the consumers

to buy a two-wheeler as INR 1500 of petrol was being supplied free with it. This highly

entertaining and engaging campaign shows a peppy and charming Kareena enjoying her

ride. Advertisements have been placed in newspapers and various magazines as well as

television and internet.

Under additional activities for sales promotion, it has organized exhibition where

catalogues are distributed and contests are held. The company has also implemented

different programs where they have rewarded the best talent in the industry in terms of

cash and job offers. These have also proved to be a good promotional and beneficial

move.

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Mahindra & Mahindra's Scorpio was started in 1997 with a vision to continue to

dominate the Utility Vehicle (UV) market in India. Their aim was to make M&M known

world-wide for their quality, durability and reliability of its products and services.

M&M's business was largely from semi-urban and rural markets of India. Even though

M&M had a wider variety of products, it was lacking the products that can cater the

modern urban customer needs. The market of M&M was strong but stagnating. These

reasons led to thought of Sports Utility Vehicle catering the urban customers and

targeted the 'C' class cars segment (Rs. 5 Lakhs and above). The SUV was positioned as

a 'better looking SUV' with a 'Car Plus' approach. But due to change in market scenario,

competition and consumer preferences the company has started shifting its focus from

'C' segment to 'D' segment to become a luxury car. Scorpio is a product for those who

seek latest technology at affordable prices and for those who feel that big size stands for

status. The Scorpio project was very important for M&M. It was banking on Scorpio to

help it shed its image as a manufacturer of vehicles for rural use and to break into the

urban market. It targeted individual car buyers in the top-end small car segment and

mid-size car segment, who already owned cars and were ready to invest in another

vehicle.

Mahindra & Mahindra used an aggressive promotional strategy to promote the SUV. As

it targeted the urban audience, television advertisement was a must. It promoted the

Scorpio to a large scale through TV advertisements. As the product development took

off, a phased communication strategy was plotted for the brand. During the first phase,

the need to deal with issues such as lifestyle imagery was identified by the Mumbai-

based advertising agency Interface Communications.

As a result, the television commercials depicted the product and even as the print

advertisements focused on functional benefits. So one got to see copies like `Car you

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walk into, and not crawl into' across newspapers. In phase two, the television campaign

was not changed but print creative were centred on communicating new product

developments. The third phase of communication was released in July 2004 when the

automotive giant focused on the `car plus' statement. What followed was a series of

advertisements focusing on people and lifestyle rather than the product. All Scorpio

advertisements show the vehicle in urban settings driven many times by women

conveying the message of "ease of driving". Unlike competitors' advertising strategy, no

imagery of off-road settings and `wilderness' or `break-free' connotations were depicted.

Other international majors are battle scarred in other markets. All of them have

capabilities to compete with the best anywhere. But what Scorpio did was to alert all of

them that nothing but the best will do in the Indian market too. So it is very interesting

that the tag line of Scorpio TV ads says `nothing else will do'.

Moreover the company has also taken social initiatives through CSR, working towards

upliftment of education, health and disaster relief, art and culture, environmental

initiatives, sports, etc. This also is a promotional strategy by the company to attract more

and more customers for its product.

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Use of Push or Pull Strategy
M&M initially used pull strategy through aggressive advertising through television

media as pull strategy of promotion involves the active engagement of the target market

through methods like advertisements or email marketing. The company also went for

making a specific web site named "mahindrascorpio.com" to promote the product to a

huge level. Moreover the car was also involved at the Rally dos Sertoes in Brazil, which

is considered to be one of the world's toughest rallies, so as to bring the product into

eyes of those who love cars and want thrill in them, as Scorpio is a car with thrills.

Further M&M also promoted Scorpio through public relations; direct marketing through

CRM activities like satisfaction surveys, events, festive offers and rewards programs.

All these activities were the part of push strategy by the company. But as the time,

customer preferences and competition are increasing the company is now moving to

become the global niche player.

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Critical appraisal of company's promotion
With such a superlative advertising and promotion, M&M Scorpio was able to position

itself as a wonderful product with smart pricing and excellent services. To those young

people who like thrill, Scorpio is for car lovers, just like Harley Davidson is for bike

lovers. The company had been able to show the product in the same manner through its

promotion strategies. The company had been able to justify its promotional activities

completely with online promotion through its web site. The basics of all communication

are there on the site. It is appealing with a simple design and well written copy. The

powerful yet stylish looks and the sheer pride of possession that this brand offers are

truly conveyed through its promotional tools. The result of the company's promotional

strategies could be seen through the customer reaction. Scorpio has won many awards in

customer satisfaction and as the best SUV. It is among those brands which has got a

huge brand recall. Recently the company is using Gaming as one of the promotional

strategy whereby the internet users can play game on the web site of M&M Scorpio.

And it brings timely changes in its television ads as and when required and it had been

able show the product very clearly and specifically through its television ads. Moreover

the focus on the target market is also very clear through the promotional activities of the

company. So we can conclude that the product delivers a promise and its promotion has

been able to create a distinct image in the consumers' mind.

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SWOT Analysis of Mahindra & Mahindra Ltd.

Mahindra and Mahindra Limited is the flagship of the large Mahindra Group which is a

conglomerate of over 14 different businesses. M&M is the world‟s largest tractor

manufacturer and is one of the largest producers of commercial as well as passenger

vehicle in India.

Strength in the SWOT Analysis of Mahindra &

Mahindra Ltd.:
Market leader in multiple automotive segments: Mahindra & Mahindra has leading

market share in a tractor as well as in the utility vehicles segment. Also, the company

has strong market share in the commercial vehicle as well as passenger vehicle segment.

Strong market share provides a competitive advantage to the company and allows the

company to focus on innovation.

Strong Research & Development (R&D): M&M has a highly focused R&D

department constantly focusing on developing new products and technologies. M&M

majorly focuses on Value addition and Value engineering (VAVE) approach, designing

modularity, use of alternate materials etc.

Excellent products according to Indian road conditions: Mahindra & Mahindra‟s

SUVs are suited perfectly to Indian road conditions especially, Mahindra Scorpio which

has been an outstanding performer for many years.

Low after sale cost: M&M has a competitive advantage on after sale cost since it is

lower than the industry average and also have high availability of spare parts to different

parts of the country.

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Weaknesses in the SWOT Analysis of Mahindra &

Mahindra Ltd. :
Geographic dependence: M&M is depended for the majority of its revenue (over 60%)

from India, which would affect its business in case of any economic slowdown or high

inflation.

Overdependence on Automotive industry: M&M‟s major part of revenues come from

its automotive business which makes it vulnerable to any breakthrough in the industry or

slowdown in the market.

Product Recalls affects brand image: M&M has had to recall many of its products in

the recent past. For instance, In February 2015, M&M recalled XUV500 manufactured

before July 2014. Such incidents affect the brand image of the company and

consequently affect sales.

Opportunities in the SWOT Analysis of Mahindra &

Mahindra Ltd. :
Growth in Indian automotive industry: The Indian automotive industry is growing

year on year with over 12% growth from the previous 3 years. The industry is expected

to grow at a CAGR of 13% in the next 4 years. This growth can be beneficial for M&M.

67 | P a g e
Increasing Demand for Hybrid Electric Vehicles: There is an increasing demand for

Hybrid Electric Vehicles (HEVs) around the world. The demand for HEVs is expected

to grow at a CAGR of 19% in the next 3 years. M&M has a strong portfolio of HCVs

and is set to be benefited by the growing demand.

Emerging nations: M&M should look forward to tapping the emerging nations around

the world which have high potential. M&M should build over its global footprint to tap

the emerging markets.

Threats in the SWOT Analysis of Mahindra &

Mahindra Ltd. :
Competition in the automotive industry: M&M faces intense competition from

various automotive companies such as Tata Motors, Ford, Volvo and General Motors

etc. This can affect M&M‟s market share and put pressure to constantly innovate on

M&M.

Competition in other businesses put pressure on M&M: Mahindra group faces strong

competition in other businesses as well. For example, its IT business faces competition

from IT giants such as Infosys. This reduces market share and increases competitive

pressure.

Stringent Regulations: M&M is subject to strict regulations by the government and

environmental agencies in terms of emission levels, noise levels etc. Such regulations

keep changing and thus increase compliance costs for the companies.

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Chapter-3
Objectives of the study

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OBJECTIVE OF THE STUDY

1. To study the level of satisfaction towards after sales services of

Mahindra Motors.

2. To Study the customers requirement from the Mahindra.

3. To Study customer opinion about Mahindra‟s after sales services.

4. To Study problem faced by customers.

5. To study the factors those satisfy and delight the customer.

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Chapter-4
Methodology of
Study

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RESEARCH METHODOLOGY

Definition:

Research methodology is a process to systematically solve the research problem. It may

be understood as a science of studying how research is done scientifically. Why a

research study has been undertaken, how the research problem has been defined. In what

way and why the hypothesis has been formulated, what data have been collected and

particular method has been adopted. Why particular technique of analyzing data has

been used and a host of similar other questions are usually answered when we talk of

research methodology concerning a research problem or study.

A research design serves as a bridge between what has been established (the research

objectives) and what is to be done, in the conduct of the study. In this project research

done is of conclusive nature. Conclusive research provides information that help in

making a rational decision.

Descriptive design was choose to measure the satisfaction level of customers on the

basis of different parameters such as quality, price, features, technology, after sale

services etc.

This design ensured complete clarity and accuracy. It also ensured minimum bias in

collection of data and reduced the errors in data interpretation. Statistical method was

followed in this research because the data was of descriptive nature and it also enabled

accurate generalizations.

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SOURCES OF DATA

Primary data:

Primary data are those which are collected a fresh and for the first time, and thus happen
to be original in character. It was collected through questionnaire and personal
interviews.

Secondary data:

The secondary data are those which have already been collected by someone else and
which have already been through the statistical process. The data were collected in the
form of company profile and produce profile from the web sites and news paper. Some
of the books were referred for theoretical concepts.

Research Design – Descriptive Research Design

Data source- Primary data

Research Approach- Survey Approach

Research Instruments- Questionnaire

Sample collection- 50 customers, Lucknow

Sample Technique- Random Sample Technique

Sample Area: Lucknow

Sample Size- 50

Primary Data- Questionnaire

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Chapter-5
Data Analysis
&
Interpretation

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Data Analysis & Interpretation
Table No. 1 Satisfaction towards Mahindra Scorpio

78% 22%

Source: Questionnaire

Figure:1

Interpretation 1:

The sample drawn on probability basis shows that 78% of the customers were

satisfied with Bolero variant and only 22% were not satisfied with Bolero variant.

Observation:

Most of the respondents approached were satisfied with Mahindra Scorpio

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Table No: 2 Factors affecting customer satisfaction towards Mahindra Scorpio

Factor Percentage

Features 12%

Low Maintenance 34%

Comfort 18%

Style 16%

After Sales Service 20%

Source: Questionnaire

Figure:2

Factor Affecting Customer Satisfaction

12%
34%
16% Features
Style
Comfort
18%
After sales service
20%
Low maintenance cost

Interpretation 2: The sample drawn on the probability basis clearly shows that 34%

(51respondents) are the opinion that low maintenance is the satisfaction factor Mahindra

Scorpio and 20 %( 30 respondents) of them who view After Sales Service as a vital

factor for customer satisfaction. Followed by Comfort which corresponds to 18 %( 27

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respondents), Style with 16%(respondents) and only 12%(18 respondents) of them view

that feature of Mahindra Scorpio as satisfaction factor.

Observation:

Majority of the respondent are of the idea that low maintenance of the top most feature

contributing to customer satisfaction followed by after sales services comfort style and

features As such, Mahindra should focus on the aspects, which will enhance the

customer satisfaction and thus the market share

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Table No: 3 Customer opinions towards fuel consumption.

Factor Percentage

Extremely Satisfied 27%

Satisfied 49%

Neutral 17%

Dissatisfied 7%

Total 100%

Source: Questionnaire

Figure: 3

Consumer Opinions toward Fuel


Consumption

7%
17% 27%

More Satisfied
Satisfied
Not Satisfied & Dissatisfied
49% Dissatisfied

Interpretation 3: 100% of the respondents 49% of the respondents approached were

satisfied with the fuel consumption of the Bolero. Followed by 27% was extremely

satisfied, 17% are neutral and rest of the 7% is more dissatisfied with fuel consumption

of Mahindra Scorpio.

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Observation: As majority of the respondents are satisfied with the fuel consumption of

Mahindra Scorpio, the company should maintain the same standard and it is suggested to

come up with suitable measure to reduce the negative opinion among the consumer who

are of the opinion that the fuel consumption is a dissatisfying factor.

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Table No: 4 Customer opinions toward Safety and Comfort.

Factor Percentage

Extremely Satisfied 23%

Satisfied 47%

Neither Satisfied & Dissatisfied 20%

Dissatisfied 10%

Total 100%

Source: Questionnaire

Figure: 4

Customer Opinions toward


Safety and Comfort

10%
23%
20%
Extremely Satisfied
Satisfied
Neutral

47% Dissatisfied

Interpretation 4: 100% of the respondents 47% of the respondents approached were

satisfied with the safety and comfort feature of the Bolero. Followed by 27% was

extremely satisfied, 17% are neutral and rest of the 7% was dissatisfied with safety and

comfort feature of Mahindra Scorpio.

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Observation: As majority of the respondents are satisfied with the safety and comfort

feature of Mahindra Scorpio, the company should maintain the same standard and it is

suggested to come up with suitable measure to reduce the negative opinion among the

consumer who are of the opinion that the fuel consumption is a dissatisfying factor.

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Table No: 5 Customer opinions toward Design.

Factor Percentage

Extremely Satisfied 20%

Satisfied 40%

Neutral 27%

Dissatisfied 13%

Total 100%

Source: Questionnaire

Figure: 5

Customer Opinions Toward Design

13% 20%

Extremely Satisfied
27%
Satisfied
Neutral
40% Dissatisfied

Interpretation 5: 100% of respondents 40% of the respondents approached were

satisfied with the Design of the Bolero. 20% were more satisfied, 27% of them neutral

and 13% are dissatisfied with the design of the Mahindra Scorpio.

Observation: As majority of the respondents are satisfied with the design of Mahindra

Scorpio, the company should maintain the same standard and it is suggested to come up

with suitable measure to reduce the negative opinion among the consumer who are of

the opinion that the fuel consumption is a dissatisfying factor.

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Table No: 6 Customer opinions toward space availability in Mahindra Scorpio.

Factor Percentage

More Satisfied 27%

Satisfied 53%

Neither Satisfied & Dissatisfied 17%

Dissatisfied 3%

Total 100%

Source: Questionnaire

Figure: 6

Customer Opinions Toward Space Availability


3%

17% 27%
Extremely Satisfied
Satisfied
Neutral
53%
Dissatisfied

Interpretation 6: The sample drawn on the probability basis shows that out of 100% of

respondents 53% of the respondents approached were satisfied with the space

availability of the Bolero. 27% were more satisfied, 17% of neither satisfied and

dissatisfied and 3% are dissatisfied with the space availability of the Mahindra Scorpio.

Observation: As 80% of the respondents are happy with the space availability of the

Mahindra Scorpio vehicle, it can be conducted that the company has undertaken proper

R&D in this aspect.

The 20% of the respondents who have answered negatively may be comparing with the

vehicle in the same category launched very recently.

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Table No: 7 Customer satisfactions toward Maintenance of Mahindra Scorpio

Factor Percentage

Extremely Satisfied 23%

Satisfied 51%

Neutral 21%

Dissatisfied 5%

Total 100%

Source: Questionnaire

Figure:7

Customer Opinions Toward Maintenance

5%
23%
21%
Extremely Satisfied
Satisfied
Neutral
51% Dissatisfied

Interpretation 7: The sample drawn on the probability basis shows that out of 100% of

respondents 51% of the respondents approached were satisfied with the maintenance of

the Mahindra Scorpio. 23% were extremely satisfied, 21% of neutral and 5% are

dissatisfied with the maintenance.

Observation: Though majority of the customer are satisfied that the maintenance cost of

Mahindra Scorpiois less, around 20% are not satisfied which may be because of

comparison of Mahindra Scorpio with the newly launched competing brands coming

with even lower maintenance cost.

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Table No: 8 Customer awareness about power steering.

Option No. Of Respondents (%)

Aware 80%

Unaware 20%

Total 100%

Source: Questionnaire

Figure: 8

Customer Awareness About Power Steering

20%

Aware

80% Unaware

Interpretation 8: Out of 100% of respondents, 80% of the respondents approached

were aware of the power steering present in some variant of Mahindra Scorpio and 20%

were not aware of the power steering present in some variant of Mahindra Scorpio.

Observation: Most of the respondents approached were aware of power steering system

introduced in some variants of Mahindra Scorpio.

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Table No: 9 Customer perceptions about Mahindra Scorpio

Very Good Good Average Bad Very Bad

20% 47% 21% 12% -

Source: Questionnaire

Figure: 9

Customer Perception About Mahindra


Scorpio

12%
20%
21%
Very Good
Good
47%
Average
Bad

Interpretation 9: The sample drawn on the probability basis shows that out of 100%

of respondents 47% of the respondents gave Good response to Mahindra Scorpio. 20%

gave Very Good response, 21% gave Average response and 12% gave bad response to

Mahindra Scorpio.

Observation: As 67% of the respondents are satisfied that they are happy with

Mahindra Scorpio, it satisfies that the customer satisfaction levels are very high. If the

company were to identify the pitfalls in their product and undertake remedial measure,

thus it will lead to more good word of mouth publicity.

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Chapter-6
Findings

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Findings

Based on the data gathered by administrating schedules to customers the following

observations are made.

1. Mahindra Scorpio has excellent percentage of customer satisfaction according to

the data shown in table 1 of the data analysis and Interpretation topic.

2. Most of the people are satisfied with its low maintenance cost and after sales

service provided by Mahindra Scorpio.

3. Based on the fuel consumption, most of the people are satisfied with it.

4. Based on Safety and Comfort, Design, Space, Maintenance most of the people

are satisfied with it.

5. Large numbers of Mahindra Scorpio user are aware of its power steering.

6. If we took the satisfaction level of people toward Mahindra Scorpio, it becomes

good.

7. Its features and style satisfy most of the people.

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Chapter-7
RECOMMENDATION

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RECOMMENDATION

 Mahindra Company has to implement good customer relationship management

strategy that enhances customer satisfaction level.

 The company can undertake R&D to improve the existing feature which helps to

increase the customer satisfaction.

 The company should promote about the entire features offered by it. As majority

of the customer give opinion that they are satisfied by the factor, services and

design of the product, the company should not only maintain the existing

standard but also enhance them.

 As majority of the respondents are satisfied with the safety and comfort feature

of Mahindra SUV, the company should maintain the same standard and it is

suggested to come up with suitable measure to reduce the negative opinion

among the consumer who are of the opinion that the fuel consumption is a

dissatisfying factor.

 As such, Mahindra should focus on the aspects, which will enhance the customer

satisfaction and thus the market share.

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Chapter-8
CONCLUSION

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CONCLUSION

1. Mahindra Scorpio has a very good market share in the state of U.P. for the SUV

segment.

2. The company is offering good services, which is reflected on the satisfaction of

the customer.

3. Majority of the customer are satisfied with the design of the vehicle.

4. Mahindra and Mahindra Motors have a very good market share in the state of

Uttar Pradesh (Lucknow) for the SUV segment.

5. The company is offering good services, which is reflected on the satisfaction of

the customer.

6. Majority of the customer are satisfied with the design of the vehicle.

7. Mahindra & Mahindra motors are providing better facilities compare with other

brand.

8. As 67% of the respondents are satisfied that they are happy with Bolero, it

satisfies that the customer satisfaction levels are very high. If the company were

to identify the pitfalls in their product and undertake remedial measure, thus it

will lead to more good word of mouth publicity.

9. Though majority of the customer are satisfied that the maintenance cost of

Mahindra Scorpio is less, around 20% are not satisfied which may be because of

comparison of Mahindra Scorpio with the newly launched competing brands

coming with even lower maintenance cost.

As 80% of the respondents are happy with the space availability of the Mahindra

Scorpio vehicle, it can be conducted that the company has undertaken proper

R&D in this aspect.

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10. The 20% of the respondents who have answered negatively may be comparing

with the vehicle in the same category launched very recently.

Mahindra and Mahindra Co. is a Good automobile company in India. They also

provide good features vehicles every year for their customer for increase the

satisfaction level of customer they always launched the motors according to

customer demand but in heavy competition market. Mahindra Company must

need to focus on updated features in vehicles and design.

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Chapter-9
LIMITATIONS

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LIMITATIONS OF THE STUDY

 The scope of study is limited to the respondents are selected from in and around

Lucknow, U.P

The project is carried out for the period of 45 days only.

 Measurement of customer satisfaction is complex subjects, which uses non-

objectives method, which is not reliable.

 The sample unit was also 50 respondents.

 There may be some biased response from the respondents.

 Some respondents did not provide the full data.

 However, Mahindra and Mahindra Automobile showrooms are located in other

places i.e. locally and even in the neighboring states. Only opinion of

respondents of Lucknow city was consider for finding out the opinions of

respondents. The project is valid for the predefined area of work Lucknow (Uttar

Pradesh).

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BIBLIOGRAPHY

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BIBLIOGRAPHY

Books :
 Kothari. C.R (2004): Research Methodology Methods & Techniques‟, New Age
International Publishers, New Delhi, 2nd Edition.

 Richard I. Levin, David S. Rubin (2004): „Statistics for Management‟, Prentice Hall of India
Private Limited, New Delhi, 7th Edition.

 Jayaram, N. and Sandhog, R.S. (1998), Housing in India - Problems, Policy


andperspectives, B.R. Publishing Corporation, Delhi.

 Jeffrey Gitomer (1998), Customer satisfaction is worthless: Customer loyalty is


priceless: How to make customers love you, keep them coming back and tell everyone
they know, Austin TX: Board Press.

Websites:
 http://www.mbaskool.com/brandguide/automobiles/1298-mahindra-a-

mahindra.html

 https://en.wikipedia.org/wiki/Mahindra_%26_Mahindra

 https://en.wikipedia.org/wiki/Mahindra

 http://www.mahindra.com/business/automotive

 http://www.mahindra.com/about-us

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ANNEXURE

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QUESTIONNAIRE
1) Customer profile
a) Name b) Occupation
c) Age d) Income
e) Address:-

1) Are you a satisfied with Mahindra Scorpio?


a. Yes
b. No

2) If “Yes” Which factor you consider is satisfies you most?


a. Feature
b. Low Maintenance
c. Looks
d. After Sales Service

3) Are you satisfy with the fuel consumption of Mahindra Scorpio?


a. Extremely Satisfied
b. Satisfied
c. Neutral
d. Dissatisfied

4) Are you satisfied with the Safety and Comfort of Mahindra Scorpio?
a. Extremely Satisfied
b. Satisfied
c. Neutral
d. Dissatisfied

5) Are you satisfied with the Design?


a. Extremely Satisfied
b. Satisfied
c. Neutral
d. Dissatisfied

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6) Are you satisfied with space available in Mahindra Scorpio?
a. Extremely Satisfied
b. Satisfied
c. Nor Satisfied & Dissatisfied
d. Dissatisfied

7) Are you satisfied with Maintenance cost?


a. Extremely Satisfied
b. Satisfied
c. Neutral
d. Dissatisfied

8) Are you aware about power steering present in Mahindra Scorpio?


a. Yes
b. No

9) Your general perception about Mahindra Scorpio.


a. Very Good
b. Good
c. Average
d. Bad

10) Do you want to give any suggestion about any change in the Mahindra Scorpio?

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