Automobiles

A Project Report on
A STUDY ON MARKETING STRATEGY REGARDING
AUTOMOBILES
AT
ASHOK LEYLAND
A Project Report submitted to Punjabi University,
Patiala is partial fulfillment of the requirement
for the award of the degree of
(BACHELOR OF BUSINESS ADMINISTRATION)

By
Manpreet Kaur
Regd No.1211011013

Under the Guidance of
Mr.Ankush Soni

DEPARTMENT OF MANAGEMENT STUDIES
Desh Bhagat Institute of Management & Computer Science

CERTIFICATE
This is to certify that the Summer Internship Project Work entitled “ A Study of Marketing
Strategy at Ashok Leyland” Submitted to me is carried out by Ms. Manpreet Kaur Student of
BBA III, Enrollment Number 121100111013 for the fulfillment of BBA degree, under my
guidance and supervision.
This is to best of my knowledge.

Manpreet Kaur

ACKNOWLEDGEMENT
My Special Thanks and gratitude to CEO, of PERFECT automobiles for his generosity,
cooperation and superb guidance that helped me in completion of my project report.
I am also thankful to my company Guide, Mr. Ankush Soni (Training manager) of PERFECT
automobiles & my institute guide Miss Kirty Rattan, for their encouragement and motivation
which was a great source of inspiration.
I am extremely grateful to Mr.Sourabh Sharma (HOD Manager) and the entire staff of
PERFECT automobiles for their cooperation and generosity. Their experience helped me a lot
in doing my project.
Manpreet Kaur

DECLARATION
I hereby declare that the report for summer training project entitled “ THE STUDY OF
MARKETING STRATEGY ” is a result of my own work and my indebtedness to other work
publications, references, if any, have been duly acknowledged.

Place:

Manpreet Kaur

TABLE OF CONTENTS
 History of Ashok Leyland Company
 Company Profile
 Objective of the Study
 Scope of the Study
 Marketing Strategies
 Research Methodology
 Suggestion
 Conclusion
 Bibliography

HISOTRY

HISTORY TO THE TOPIC
Ashok Motors:Ashok Leyland was founded in 1948 by Raghunandan Saran, a freedom
fighter from Punjab. After Independence he was persuaded by India’s first Prime
Minister Nehru, to invest in modern industrial venture. Thus Ashok Motors was
incorporated in 1948 as a company to assemble and manufacture Austin cars
from England, and the company was named after the founders only son Ashok Saran .
The company had its headquarters in Rajaji Saalai, Chennai (then Madras) with the
plant in Ennore, a small fishing hamlet in the North of Chennai. The Company was
engaged in assembly and distribution of Austin A40 passenger cars in India.

Under Leyland:Sometime later, the founder Raghunandan Saran passed away in an air crash,
prior to that he had been negotiating with Leyland of Britain for assembly of
commercial vehicles as he envisioned commercial vehicle were more in need at that
time than were passenger cars. The company later under Madras State Government
and other shareholders finalised for an investment and technology partner and thus the
British based Leyland Motors joined in 1954 with equity participation byLeyland
Motors, changing the name of the company to Ashok Leyland. Ashok Leyland then
started manufacturing commercial vehicles. Under Leyland's management with
British expatriate and Indian executives the company grew in strength to become one
of India's foremost commercial vehicle manufacturers.
The collaboration ended sometime in 1975 but the holding of British Leyland,
now a major British Auto Conglomerate as a result of several mergers agreed to assist
in technology which continued until the 1980s. Post 1975, changes in management
structures saw the company launch various advanced vehicles and pioneering
innovations in the Indian market, with many of these models continuing to this day
with numerous upgrades over the years.

Under Iveco and Hinduja partnership:In 1987, the overseas holding by Land Rover Leyland International Holdings
Limited (LRLIH) was taken over by a joint venture between the Hinduja Group, the
Non-Resident Indian transnational group and IVECO, part of the Fiat Group. Ashok

Leyland’s long-term plan to become a global player by benchmarking global
standards of technology and quality was soon firmed up. Access to international
technology and a US$200 million investment programme created a state-of-the-art
manufacturing base to roll out international class products.

Hinduja Group:In 2007, the Hinduja Group also bought out IVECO's indirect stake in Ashok
Leyland. The promoter shareholding now stands at 51%. Today the company is the
flagship of theHinduja Group, a British-based and Indian originated transnational conglomerate after Hindujas bought Iveco’s remaining ownership stakes.

Products
Early Vehicles

India's first Semi -Trailer Ashok Leyland Comet (Cab) on a Mahindra Owen Semi
Trailer 10-12 Ton Capacity built in 1959.

Comet
Early products included the Leyland Comet bus which was a passenger body built on
a truck chassis sold in large numbers to many operators in India. By 1963, the
Comet was operated by every State Transport Undertaking in India, and over 8,000
were in service. It was soon joined in production by a version of the Leyland Tiger.

Titan
In 1968, production of the Leyland Titan ceased in Britain, but was restarted by Ashok
Leyland in India. The Titan PD3 chassis was modified, and a five speed heavy duty
constant-mesh gearbox was used together with the Ashok Leyland version of the
O.680 engine. The Ashok Leyland Titan was very successful and continued in
production for many years.

Hino Engine

An Ashok Leyland BEST bus in Mumbai. This bus has the Hino Engine.
During early 80's Ashok Leyland entered into a collaboration with Japanese
company Hino Motors from whom technology for the H-series engines was sourced.
Many indigenous versions of H-series engine were developed with 4 and 6 cylinders
and also conforming to BS2 and BS3 emission standards in India. These engines

proved to be extremely popular with the customers primarily for their excellent fuel
efficiency. Most current models of Ashok Leyland come with H-series engines.

Iveco Partnership
In late 1980’s Iveco investment and partnership resulted in Ashok Leyland launching
the 'Cargo' range of trucks based on European Ford Cargo trucks. The Cargo entered
production in 1994, at Ashok Leyland's new plant in Hosur, southeast of Bangalore.
[4] These vehicles used Iveco engines and for the first time had factory-fitted cabs.
Though the Cargo trucks are no longer in production and the use of Iveco engine
was discontinued, the cab continues to be used on the Ecomet range of trucks as
well as for several of Ashok Leyland's military vehicles.
The Cargo was originally introduced in 7 and 9 long tons (7,100 and 9,100 kg)
versions; later on heavier-duty models from 15 to 26 long tons (15,200 to 26,400 kg)
were progressively introduced.[5]

Current Range
U-Truck

Ashok Leyland's Modern Truck with factory built G-90 New Gen Cab

Ashok Leyland, announced sale of vehicles on the new U-Truck platform from November, 2010
with the rolling out of the first set of 10 models of tippers and tractor trailers in the 16 – 49-tonne
segment. Further, another 15 models are set to enter the market in the next 12 months.

Dost

Ashok Leyland's entry into Light Commercial Vehicle segment with Dost
The Dost is a 1.25 ton light commercial vehicle (LCV) that is the first product to be
launched by the Indian-Japanese commercial vehicle joint venture Ashok Leyland
Nissan Vehicles. Dost is powered by a 58 hp high-torque, 3-cylinder, turbo-charged
Common Rail Diesel engine and has a payload capacity of 1.25 Tonnes. It is
available in both BS3 and BS4 versions. The bodywork and some of the
underpinnings relate to Nissan's C22 Vanette of the 1980s; this is most visible in the
door design. The LCV is being produced in Ashok Leyland's Hosur plant in
Tamilnadu. The LCV is available in three versions with the top-end version featuring
air-conditioning, power steering, dual-colour of a beige-gray trim and fabric seats.
With the launch of Dost Ashok Leyland has now entered the Light Commercial
Vehicle segment in India.

Boss
Boss is an Intermediate Commercial Vehicle launched by Ashok Leyland. This is
available in the range of 8T to 14T. This is available with two engine options
120IL(LE) and 130CRS(LX) engines and both are first time such an engines are
offered in this range of trucks. The LX variant is available with Air condition and
Leymatic AMT which are again the industry first.

Technology
The history of the company has been punctuated by a number of technological
innovations, which have since become industry norms. It was the first to introduce
multi-axled trucks, full air brakes and a host of innovations like the rear engine and
articulated buses in India. In 1997, the company launched the country’s first CNG
bus and in 2002, developed the first Hybrid Electric Vehicle.

A Rural Mobile health clinic built on Ashok Leyland's e-comet truck

Ashok Leyland was already producing low-emission vehicles. Back in 1980’s and
90’s, Ashok Leyland with various Tamil Nadu Transport Corporatiopn, notably Cholan
Roadways Corporation based in Trichripally experimented with low pollutant
emission based on the CNG technology. In 2002 it developed the first hybrid electric
vehicle. Ashok Leyland has also launched a mobile emission clinic that operates on
highways and at entry points to New Delhi. The clinic checks vehicles for emission
levels, recommends remedies and offers tips on maintenance and care. This work
will help generate valuable data and garner insight that will guide further
development.

Hythane engines
Ashok Leyland has also developed Hythane engines in association with the
Australian company Eden Energy. Ashok Leyland successfully developed a 6cylinder, 6-litre (370 cu in) 92 kW (123 hp) BS-4 engine which uses Hythane (HCNG,) which is a blend of natural gas and around 20% of hydrogen. Hydrogen helps
improve the efficiency of the engine but the CNG aspect makes sure that emissions
are at a controlled level. A 4-cylinder 4-litre (240 cu in) 63 kW (84 hp) engine is also
being developed for H-CNG blend in a joint R&D program with MNRE (Ministry of
New and Renewable Energy) and Indian Oil Corporation.

CNG Engines
The H-CNG concept is now in full swing, with more than 5,500 of the technology’s
vehicles running around Delhi. The company is also already discussing the widescale use of Hythane engines with the Indian government. Hythane engines may be

expected in the near future, but these may not be brought to the United States as
yet.

Nissan partnership
Ashok Leyland’s partnership with Nissan is also focusing on vehicle, powertrain, and
technology development listed under three joint ventures. With impressive
investment, the joint ventures will focus on producing trucks with diesel engines that
meet Euro 3 and Euro 4 emission standards.

Hybrid Technology
The buses and trucks are set to feature a new electronic shift-by-wire transmission
technology as well as electronic-controlled engine management for greater fuel
efficiency. Ashok Leyland focuses on improving fuel efficiency without affecting
automotive power, and the vehicles will have a 5% improvement on fuel efficiency.
Ashok Leyland is also developing electric batteries and bio-fuel modes.

iBUS

Ashok Leyland's i-Bus on display at Auto-Expo

Ashok Leyland announced iBUS in the beginning of 2008, as part of the future for
the country's increasingly traffic-clogged major cities. Its Rs 60-lakh, iBus, a featurefilled, low-floor concept bus for the metros revealed during the Auto Expo 2008 in
India this low-floored iBus will have the first of its kind features, including anti-lock
braking system, electronic engine management and passenger infotainment. The
executive class has an airline like ambience with wide LCD screens, reading lights,
audio speakers and, for the first time, Internet on the move. A GPS system enables
vehicle tracking and display of dynamic route information on LCD screens, which can
also support infotainment packages including live data and news. The bus will
probably be equipped with an engine from the new Neptune family, which Ashok
Leyland also introduced at this exhibition, which are ready for the BS4/Euro 4
emission regulations and can be upgraded to Euro 5.[15] The ibus of Ashok leyland
have hybrid technology

Quality
In the journey towards global standards of quality, Ashok Leyland reached a major
milestone in 1993 when it became the first in India's automobile history to obtain
the ISO 9002 certification. The more comprehensive ISO 9001 certification came in
1994, QS 9000 in 1998 and ISO 14001 certification for all vehicle manufacturing units
in 2002. In 2006, Ashok Leyland became the first automobile company in India to
receive the TS16949 Corporate Certification.

Financials
The company has also maintained its profitable track record for 60 years. The
annual turnover of the company was USD 1.7 billion in 2013-14. Selling 89,342
medium and heavy vehicles in 2013-14, Ashok Leyland is India's largest exporter of
medium and heavy duty trucks. It is also one of the largest private sector employers
in India - with about 12,000 employees working in 6 factories and offices spread over
the length and breadth of India.
In 2013-14, the company posted a very modest profit after tax of Rs.
290million which was made possible after selling of real estate and other surplus
land and related assets. The company has not declared any dividend for the financial
year 2013-14, which is also a first in its 60 year history.
The company has increased its rated capacity to 105,000 vehicles per annum.
Further investment plans include putting up two new plants - one in Uttarakhand in
North India and a bus body building unit in middle-east Asia are fast afoot. It already
has a sizeable presence in African countries like Nigeria, Ghana, Egypt and South
Africa.

OBJECTIVES OF THE STUDY
The object of report is not only to focus on competitors but also to get the
competitive position in the national as well as international market
through customer satisfaction. These are as follows.


To discover and translate the needs and desire of customer into
products and services so as to create the demand of the product
(through planning and producing planned product).



To serve the customer through channel of distribution.



To face the keen competition.



To know about the marketing strategies used by Ashok Leyland.



To know about the marketing strategies of the competitors of Ashok
Leyland.



To find out the market share of Ashok Leyland.



To know where Ashok Leyland stands as far as the BCG –matrix
models concerned.

SCOPE OF THE STUDY
These are some of the scope of the study:
1. The present study can be extended to access the present marketing
condition of Indian automobile sector.
2. The study can be used to design a proper product, price, place
and promotional strategy for the market
3. From the present study we can know the market share of different
products and accordingly formulated strategy to enhance it.
4. The result of marketing success can be interpreted to assess the rate
of employee satisfaction in various departments.
5. This study can be applied to find out an effective distribution channel
to enhance the sale of various products of Ashok Leyland.

COMPANY PROFILE
COMPANY PROFILE

Ashok Leyland is an Indian automobile manufacturing company based
in Chennai, India. Founded in 1948, it is the 2nd largest commercial vehicle
manufacturers in India, 4th largest manufacturer of buses in the world and 16th
largest manufacturer of trucks globally. Operating six plants, Ashok Leyland also
makes spare parts and engines for industrial and marine applications. It sells about
60,000 vehicles and about 7,000 engines annually. It is the second largest
commercial vehicle company in India in the medium and heavy commercial vehicle
(M&HCV) segment with a market share of 28% (2007–08). With passenger
transportation options ranging from 19 seaters to 80 seaters, Ashok Leyland is a
market leader in the bus segment. The company claims to carry over 60 million
passengers a day, more people than the entire Indian rail network. In the trucks
segment Ashok Leyland primarily concentrates on the 16 ton to 25 ton range of
trucks. However Ashok Leyland has presence in the entire truck range starting from
7.5 tons to 49 tons. With a joint venture with Nissan Motors of Japan the company
made its presence in the Light Commercial Vehicle (LCV) segment (<7.5 tons).
Ashok Leyland's UK subsidiary Optare has shut down its bus factory in
Blackburn, Lancashire.[2] This subsidiary's traditional home in Leeds has also been
vacated in favour of a purpose built plant at Sherburn-in-Elmet.

Joint Ventures
To avail the advantages of diversification and reap the benefits of entering profitable
adjacencies, we have forged a series of Joint Ventures (JV) with various global
leaders.

To fill a significant gap in our range, we have joined hands with Nissan Motor
Company, Japan, to develop and manufacture Light Commercial Vehicles, under
both the Ashok Leyland and Nissan brands, in the 2.5 to 7.5 tonne segment. The JV
resides in three separate companies for Vehicle Manufacturing, Power Train
Manufacturing and Technology Development. The first offering from this stable, the
2.5 tonne ‘Dost’, has already proven to be a great success in the markets it has been
launched thus far.

With our JV with John Deere, USA, we aim to seize the opportunities of the robustly
growing construction equipment sector with products like Backhoe Loaders, Fourwheel-drive Loaders, Skid Steers and Excavators under both the Ashok Leyland and
John Deere brands.

This is a JV with Continental AG, Germany to design, develop and adapt infotronics
products and services for automotive customers and meet the requirements of our
vehicles and, at the same time, avail of opportunities with other vehicle manufactures
in India and overseas.

Ashley Alteams is a JV with the Alteams Group, Finland, and is in the business of
producing High Pressure Die Casting (HPDC) aluminum components pre-dominantly
for telecommunications and automotive sectors.

Subsidiaries/Associate Companies
Albonair GmbH
Albonair GmbH: was established with a vision of being a complete solution provider
for reducing automotive emissions and has, in the short period since inception,
developed the complete solution for Selective Catalytic Reduction (SCR) and Urea
Dosing System (UDS) conforming to Euro 4, 5 and 6 emission standards for
commercial as well as passenger vehicles.

Global TVS Bus Body Builders Limited
GLOBAL TVS: To address the growing demand for luxury coaches in the country,
this is a joint venture between Ashok Leyland, TVS & Sons Ltd and IRIZAR, the
internationally reputed bus body builder from Spain. As a preferred supplier,
GLOBAL TVS provides a platform to introduce new bus body concepts and designs
and fully built buses of international luxury to India.

Hinduja Leyland Finance
Incorporated in November 2008, Hinduja Leyland Finance (HLF), jointly promoted by
Ashok Leyland and the Hinduja Group, was formed to provide finance for the
purchase of vehicles or equipment. HLF received the NBFC License in March 2010
and have started operations with an equity of Rs. 225 crores. The strength of the
Company lies in its core competence in fund-based lending for a diversified portfolio
of Commercial Vehicles, Cars, Construction Equipment, Tractors and Used Vehicles
and its network that covers 19 states with over 275 locations.

Hinduja Tech
Hinduja Tech is a Hinduja Group Company incorporated in 2009, with a focus to
provide Engineering, Manufacturing, Information Technology and Enterprise Services
and Solutions for Automotive, Aerospace, Defence, Industrial and General
Manufacturing industries.
Hinduja Tech serves top global companies including 18 of the Fortune Global 500
companies. It is led by a management team with global experience in delivering
high-end solutions in Engineering, ERP and IT services space. As a business
solution focused company, Hinduja Tech has established Centers of Excellence

(CoE) to develop solutions to address key customer business imperatives in the
Engineering, Manufacturing and Enterprise domains.
Headquartered at Chennai, India, Hinduja Tech has world class development centres
at Chennai, Bangalore and Pune (India) as well as in Walldorf (Germany). Hinduja
Tech Technologies has its subsidiaries in the US, namely, Hinduja Tech Inc., and in
Germany, Hinduja Tech GmbH, respectively. Hinduja Tech also has branch offices in
UK, Dubai and South Africa.

Research and Development
To offer you world-class technology that is relevant, appropriate and
affordable has been the moving force behind our R&D, that has always
been an area of prime focus for us. In an atmosphere that nurtures
creativity and innovation, the 1000+ Product Development team seeks to
harness and adopt technologies that provide value to you as well as
address safety and environmental issues.
If our vehicles have become synonymous with the qualities of
reliability and ruggedness,

it

is

thanks

largely

to

the

globally

benchmarked testing facilities that we have set up. Apart from a modern
CAD set-up and a Computer Testing Laboratory, is a comprehensive array
of test tracks for vigorous testing of prototypes in the most demanding of
conditions. The 6-poster, one of its kind in the country, is a torture track
simulator for multi-axle vehicles that significantly reduces testing time.

Facilities
Manufacturing Units
India
Ashok Leyland Factory near Ennoreas seen from a train


Ennore, Tamil nadu in North Chennai [estb. 1948] – Trucks, Buses,
Engines, Axles etc.



Hosur, Tamil nadu in Krishnagiri District [estb. 1980] – Two adjacent
plants

(Hosur-1,

Hosur-2, CPPS) for Trucks, Special Vehicles and Power Units.


Alwar, Rajasthan [estb. 1982] – Bus Manufacturing Unit



Bhandara, Maharashtra [estb. 1982] – Gearbox Unit



Pantnagar, Uttarakhand [etsb. 2010] – 75,000 annual capacity
greenfield

Unit

for

new generation Platforms and Cabs.


Sengadu Village, Kanchipuram District in Tamil Nadu [etsb. 2008] –
Technical

and

Production facility for Ashok Leyland Defence Systems. Another
separate

technical

center for Nissan Ashok Leyland Vehicles.
Europe


Sherburn-in-Elmet, Great Britain – Optare Bus.



Letnany in Prague, Czech – Avia plant.

Middle East


Ras Al Khaimah, UAE [estb. 2011] – Bus manufacturing facility – Joint
Venture
between Ashok Leyland and Ras Al Khaimah Investment Authority
(RAKIA) in UAE

Technical Centre
Ashok Leyland's Technical Centre, at Vellivoyalchavadi (VVC) in the outskirts of
North Chennai near Minjur, is a state-of-the-art product development facility, that
apart from modern test tracks and component test labs, also houses India's one and
only Six Poster testing equipment.

Products

The Current generation Ashok Leyland eComet 912

Ashok Leyland Titan Double Decker bus of BEST, Mumbai

Ashok Leyland City Transit Bus in Pune

Ashok Leyland Inter-City Deluxe Bus operated by APSRTC in Andhra Pradesh

Ashok Leyland Tusker Twin Axle Lorry with custom built cabin, a regular sight in Indian
Highways

An 80's built short haul Ashok Leyland lorry in Tamil Nadu, still in operation

Current Buses
City


RESLF



ULE



Janbus



Titan Double Decker



Vestibule bus

Interurban or Moffussil


Viking



Cheetah

Intercity


12M



Luxura

Feeder


Janbus Midi



Stag



Lynx

Tarmac


Avion ULF



Avion RESLF



Avion ULE



Gensets

Goods segment


Comet 1611



1616 il



1612 H



1613 H



1613 H/2 (12m Goods)



4/51 GS



1613



Taurus 2516/2 (6x4) Tipper



CT 1613 H/1 & H/2



Bison Tipper



1613 ST (4x2)



Taurus HD 2516MT/1 (6x4)



Taurus 2516 - 6X4



2516 H (6X2)



Taurus 2516 - 6 X 2



4018 Tractor



Artik 30.14 Tractor



Tusker Turbo Tractor 3516



Ecomet 912/111i



4921



U-Truck Tippers U-3123 U-2523 U-2518 U-1616 U-1618



U-Truck Tractors U-4923 U-4023 U-3518

Partners
Suppliers Corner
Strong, capable and reliable supply chain partners are critical as we
source more than 70% of the components for our vehicles. It is the
responsibility of our ‘Sourcing and Supply Chain’ department to evolve
sourcing strategies that are aligned to our corporate mission, manage a
competitive global supply base and inbound logistics apart from handling
sourcing, parts development, supplier relationship management and
setting up of inbound logistics for all manufacturing locations in India. In
addition, there are purchase departments at each plant.
Structured into domains based on technology, namely Proprietary, Sheet
Metal, Castings, Forgings, Steel, Non Metallic, Fasteners, Bar machining,
Imports, Fully Built Vehicle Solutions (FBVS) and Corporate Logistics, the
department operates from its offices in Chennai, Gurgaon and Shanghai
To maintain a highly capable and competitive supply base, focus
is on:


Partnering best-in-class suppliers



Conducting rigorous evaluation and improving supplier performance
-

measured

on

Quality,Cost,Logistics, Development and Management (QCLDM)


Deciding share of business on the basis of performance



Optimizing supplies in coordination with third party logistics (3PL)
providers
The Supplier management process involves engaging suppliers
and exchanging real time information with the suppliers. This is
enabled through our web portals:
Supplier Performance Management (SPM) gives the latest data on
individual supplier’s performance on various parameters like quality, cost,
logistics, development and management. Each supplier can view their
own score on a monthly basis and take necessary measures to improve
the performance.
Supplier Relationship Management (SRM) has been launched in May
’11 along with SAP implementation at all our plants. In addition to the
available facilities, the SRM portal enables bi-directional exchange of

information, facilitating better material planning for suppliers and Ashok
Leyland.
To be a supplier of Ashok Leyland, just give us a call.

Supplier Opportunity
Want to be a supplier of Ashok Leyland?
You may call directly on our phone lines mentioned below. You will



be

re-directed

to

the functional expert for further processing.
Following this, you are required to fill our supplier registration



questionnaire.
On meeting the minimum criteria of Ashok Leyland, based on the



information
through supplier registration questionnaire, a Supplier Evaluation
Audit

(SEA)

will

be

conducted by our audit team at your end to judge your
capabilities.


On the basis of the assessment done in the audit, you will be
inducted

into

Ashok

Leyland and a unique supplier code will be granted to you.

Once the supplier code is created for you, the development activity will
start from the RFQ stage.
Corporate Office
3rd Floor, Strategic Sourcing,
Ashok Leyland Ltd
No.1, Sardar Patel Road,
Guindy,
Chennai - 600032
Tel: +91 44 22206000
China Office
Ashok Leyland, Shanghai
office
B1804-1805,
FAR EAST,

Gurgaon Office
3rd Floor, Hinduja House,
Ashok Leyland Ltd,
Plot No.76,
Institutional Area, Jharsa,
Sector 32,
Gurgaon, Haryana
Tel: +91 124 4941302

INTERNATIONAL PLAZA,
317, XIANXIA Road,
Shanghai,
China - 200051
Tel: +86 21 62351725
Fax: +86 21 62351726
Website: www.ashokleyland.
com.cn

Dealerships

Ever since Ashok Leyland got into the business, dealers across the globe
have played a crucial role in helping us establish a global footprint for
ourselves across the world. We are also proud to boast of our extensive
dealer network spread across the whole of India and abroad. We have high
regards for our dealer network and appreciate their contribution to Ashok
Leyland’s growth and branding. We also look forward to growing our
network by leaps and bounds and establish a mutually beneficial
relationship with our dealers like never before.

International Dealers

Thank you for evincing interest in an Ashok Leyland Commercial Vehicle
Dealership.
For close to six decades, Ashok Leyland has been a part of the
Commercial Vehicle industry with pioneering technologies and product
innovations including Multi-axle vehicles, Tractor trailers, CNG buses,
Double Decker and Low floor buses. Ashok Leyland has chartered out a
growth plan that will meet the demands of the market place; a growth
plan that marks a focused drive to reach the 1,05,000 vehicle mark in the
coming year.

What does this mean to you?
It is a fully-loaded opportunity that not only gives you great returns, but
also the satisfaction that you play a big role in the networking of your
country. So, if you have a passion for engineering tomorrows, welcome
aboard.
To partner with Ashok Leyland, you need:


A suitably located and sizeable site area



Capability to provide infrastructure conforming to Ashok Leyland’s
standards



And,

most

importantly,

capabilities

outstanding

marketing

and

servicing

in

the Automotive industry
Please find below the Ashok Leyland Dealership application form which we
request you to fill and send across to us; on the basis of which we will
determine if you meet the minimum requirements expected of an Ashok
Leyland dealership. If your request is approved, we will present you with a
Dealer Contract.

Service Centre
Ashok Leyland has moulded Indian Commercial Vehicle Industry with
pioneering technologies and product innovations that include Multi Axled
Vehicles, Tractor Trailers, CNG Buses, Double Decker and Low Floor Buses.
We cultivate trust in every endeavour and if you have what it takes it that
way, you are the one we are looking for. Be a part of our service network
and join us for a profitable Venture.
What we seek from you


Outstanding service marketing abilities.



Capability to invest Rs.25-30 Lakhs on service infrastructure
conforming

to

Ashok

Leyland Standards.


Site area of 12000 sq ft for a 4 bay facility.



Strong commitment to building long term relationships with
customers.
Ambition to grow the service business.



If you think you have the enterprise & resources, please apply to:
Ashok Leyland, Network Development, No.1 Sardar Patel Road, Guindy,
Chennai 600 032.
Contact: 044 22206000 / 22206431 / 22206058
(or)
E-mail us at : [email protected]
Related:
Dealer Opportunity
Supplier Opportunity
File:
Download for entrepreneur data sheet

Community Overview

Through various Corporate Social Responsibility (CSR) initiatives we strive
to improve the quality of the environment and life at large. Our constant
endeavor has been to make our vehicles consume less, pollute less which
is reflected in our developmental work (often well ahead of legislation),
eco-sensitive manufacturing systems, processes, energy conservation
measures and conscious greening initiatives.
Considerable ground has been covered in spreading HIV/AIDS awareness,
medical and blood donation, driver training, safety on the highways and
setting up and hand-holding women self-groups to be economically self
dependent. Employee volunteerism is encouraged and recognized.

FunBus

Fun Bus is our gift exclusively for free use by children of orphanages,
Corporation primary schools and physically/mentally challenged children
for a day’s picnic. FunBus brings cheer to children who would otherwise
have been confined within four walls. The seating layout reckons the
requirements of physically challenged children and the bus is equipped
with a hydraulic lift for the convenience of wheelchair-bound children.
FunBus spreads cheer in Chennai and New Delhi.

AIDS Awareness

In the mid-90s, the Department of International Development, British High
Commission, formed the Truckers Interim Coordination Unit (TICU) for a
focused programme among truck drivers. We were one of the first
organisations to be associated by becoming an intervention centre. In
1998, awareness and prevention programmes were initiated at the Hosur
factories among convoy drivers through employee volunteerism. 56
employees from the Hosur Unit underwent trainers' training and took to
counseling. The Company doctor prescribes necessary treatment which is
funded by transport contractors. By persuading medical intervention
among expectant HIV positive wives, many innocent lives have been
saved.
In worker development programmes, employees are covered in batches.
(Almost 100% of employees are covered on awareness. Employees have
been trained as 'Peer Educators' who work as volunteers and continuously
follow up employees' update on AIDS awareness.)
Outside the factory, camps and health education programmes like
lectures, cycle rallies, film shows, exhibitions, etc. are conducted through
our volunteers in co-operation with the AIDS Prevention and Control
Project. We also provide counseling services at our Medical Center. Cases
that require support services are sent to 'Seva Kendra' in Bangalore (an
NGO backed by Rotary - TTK), RIDS (an NGO) in Hosur and Kingsley
Community Centre - (an associate of Bill and Melinda Gates Foundation) in
Krishnagiri.
We also have a Voluntary Counseling and Testing Center at Government
Hospital, Hosur, where HIV tests are conducted. The NGOs referred above
also provide palliative medicines free of cost. Condoms are supplied free

of cost by APAC. At Hosur there are 22 outlets - both traditional and nontraditional - where condoms are made available at a subsidized price.

Community Service

A number of development initiatives run in communities around our
manufacturing facilities and in far-flung areas, through constant and wellmonitored support to educational, medical and charitable organizations.
A Community Development Scheme managed by representatives from the
Management and the Union, with contributions from both, caters to the
needs

of

the

neighbouring

communities.

Contributions

include

construction of buildings for government/private educational institutions,
providing borewells, bus shelters, streetlights and community television
sets.
In 1994, the Dharam Hinduja Matriculation and Higher Secondary School,
Thiruvottiyur, Chennai, was launched, managed by a Board of Trustees
consisting of some of our senior executives and workmen. Every year,
buses are donated to various schools, mostly catering to economically
backward students. Desks and benches are also provided. The inmates of
the 'Missionaries of Charity' near the Ennore Unit are provided with free
food, every day.
Ambulances have been donated for worthy causes and free medical
camps held. Employees participate in large numbers at periodic blood
donation camps held at the Units.
Times of crisis have evoked spontaneous and generous contributions: Rs.
1 crore in aid of relief operations for the Tsunami victims. Another Rs. 15
lakhs was collected and contributed by our employees. Substantial relief
material was distributed in the worst affected districts of Tamilnadu
through NGOs.

On December 26, 2004, when tragedy struck, the residents of the badly
affected fishermen hamlets took shelter in our Ennore Unit which is near
the northern coastline of Chennai. Over 100 employees, along with buses
and ambulances, were involved in relief operations including medical
attention and feeding of the displaced. 30,000 food packets were
distributed for the affected for almost a week after the tragedy. A
permanent drinking water arrangement has been provided just outside
the factory premises for use by nearby residents.
We are also working with the Confederation of Indian Industry (CII) for
long-term solutions like fishing equipment and community centers to the
fishermen

communities.

MARKETING STRATEGY
Marketing strategy
A marketing strategy is a process that can allow an organization to concentrate its
limited resources on the greatest opportunities to increase sales and achieve a sustainable
competitive advantage.
Any organization that wants to exchange its products or services in the market place
successfully should have a Strategic Marketing plan to guide the allocation of its resources.
A strategic marketing plan usually evolves from an organization’s overall corporate strategy
and serves as a guide for specific marketing programs and policies. Marketing strategy is
based on a situation analysis- a detailed assessment of the current marketing conditions
facing the company, its product lines, or its individual brands. From this situation analysis, a
firm develops an understanding of the market and the various opportunities it offers, the
competition and the market segments or target markets the company wishes to pursue.
Marketing strategy is the complete and unbeatable plan, designed specifically for
attaining the marketing objectives of the firm/business unit.

The marketing objectives

indicate what the firm wants to achieve; the marketing strategy provides the design for
achieving them.
For example, if the marketing objectives of a business unit stipulate that next year, it
should achieve a sales revenue of Rs. 1,000 crore and a net profit of 15 percent of sales
revenue, it is the job of marketing strategy to indicate how and wherefrom this sale and profit
will come, which product lines/products/brands will accomplish this task and how.
Marketing strategy forms an integral part of marketing planning. A marketing strategy
is most effective when it is an integral component of corporate strategy, defining how the
organization will successfully engage customers, prospects, and competitors in the market
arena. It is partially derived from broader corporate strategies, corporate missions, and
corporate goals. As the customer constitutes the source of a company's revenue, marketing
strategy is closely linked with sales. A key component of marketing strategy is often to keep
marketing in line with a company's overarching mission statement.

MARKETING AND PROMOTIONS PROCESS MODEL:
Development of marketing program requires an in-depth analysis of the market. This
analysis may make extensive use of market research as an input into the planning process.

Marketing
Strategy and
analysis

Opportunit
y analysis

Competitiv
e analysis

Target
marketing

Target marketing
process

Identifyin
g
markets

Market
segmentati
on

Selecting &
Target
marketing

Positioning
through
marketing
strategies

Market planning
program development

Product
decision
s

Pricing
decision
s

Channel
of
distributi
on
decision
s

Promotional
decisions

Advertising
Direct
marketin
g
Interactive
marketin
g
Sales
promotio
n
Publicity
and
public
relations
Personal
selling

target market
promotion
to
final
buyer

Ultimate
consumer

 Consumers
 Businesses

Purchase
Promotion
to
trade

Resellers

This input, in turn, provides the basis for the development of marketing strategies in
regard to product, pricing, distribution and promotion decisions. Each of these steps requires
a detailed analysis, since this plan serves as the road map to follow in achieving marketing
goals. Once the detailed market analysis has been completed and marketing objectives have
been established, each element in the market mix must contribute to a comprehensive

integrated marketing program.

Of course, the promotional program element must be

combined with all other program elements in such a way as to achieve maximum impact.

Formulating the marketing strategy:
Basically, formulation of marketing strategy consists of three main tasks:
1. Selecting the target market,
2. Positioning the offer,
3. Assembling the marketing mix.
This implies that the essence of the marketing strategy of a firm for a given
product or brand can be grasped from the target market chosen, the way it is positioned and
how the marketing mix is organized. The target market shows to whom the unit intends to
sell the products; positioning and marketing mix together show how and using what
uniqueness or distinction, the unit intends to sell. The three together constitute the marketing
strategy platform of the given product.

SELECTING THE TARGET MARKET:
To say that target market selection is a part of marketing strategy development is just
stating the obvious. It does not fully bring out the import of the inseparable likage between
the two. When the selection of the target market is over, an important part of the marketing
strategy of the product is determined, defined and expressed.
Marketing targeting simply means choosing one’s target market. It needs to be
clarified at the outset that market targeting is not synonymous with market segmentation.
Segmentation is actually tee prelude to target market selection. One has to carry out several
tasks besides segmentation before choosing the target market.
Through segmentation, a firm divides the market into many segments. But all these
segments need not form its target market. Target market signifies only those segments that it
wants to adopt as its market. A selection is thus involved in it.
Marketing segmentation is a process that throws up not one but several market
segments. There may be segments that are sizeable and the ones that are not so sizeable.
There may be segments assuring immediate profits and the ones that call for heavy
investments in market development. There may also be segments that show great potential,

but display tough barriers to entry. As such, the question, which segment/segments, the firm
should select as its target market, assumes crucial importance.
STRATEGIC MARKET SEGMENTATION:
Market Segmentation is “dividing up a market into distinct groups that (1) have
common needs and (2) will respond similarly to a marketing action”, which was said by Eric
N.Berkowitz, Roger A.Kerin, and William Redulius.
The Segmentation process involves five distinct steps:
 Finding ways to group consumers according to their needs.
 Finding ways to group the marketing actions – usually the products offered –
available to the organization.
 Developing a market-product grid to relate the market segments to the firm’s products
or actions.
 Selecting the target segments toward which the firm directs its marketing actions.
 Taking marketing actions to reach target segments.
Markets can be segmented using several relevant bases. For example, demographic
characteristics of consumers, such as age, sex, income/purchasing capacity, education level
etc, form one base for segmentation. Geographic characteristics constitute another; and
buying behavior of the consumers forms yet another base.
The various types of segmentations are
 Geographic segmentation
 Demographic segmentation
 Psychographic segmentation
 Buyer behavior
 Benefits segmentation
 Volume of purchase segmentation

POSITIONING:
Positioning is a platform for the brand. It facilitates the brand to get through to the
target consumers.
It is defined as “the art and science of fitting the product or service to one or more
segments of the broad market in such a way as to set it meaningfully apart from competition.”

Positioning is the act of fixing the locus of the product offer in the minds of the target
consumers. In positioning, the firm decides how and around what parameters, the product
offer has to be placed before the target consumers. The significance of product positioning
can be easily understood from David Ogilvy’s words: “The results of your campaign depends
less on how we write your advertising than on how your product is positioned”.
Definitions of product positioning:
Sengupta, in his book Brand Positioning says, “ The aim of product positioning is to create
a perception for our brand in the prospect’s mind so that it stands apart from competing
brands… we must cover that space in the consumer’s mind as if we had won a long-term
lease. We must find a strong position in that mind and sit on it….”
Micheal Rothschild, in his book Marketing Communications – From Fundamentals to
Strategies says, “Positioning refers to the place a brand occupies in the mind in relation to a
given product class. This place was originally a product-related concept…. Concerning
market structure. The concept now refers to the place that the brand holds in the consumer’s
mind related to perceptions and preferences”.

Developing a Positioning Strategy:
To create a position for a product or service, Trout and Ries suggest that managers ask
them selves six basic questions.
1. What position, if any, do we already have in the prospect’s mind?
2. What position do we want to own?
3. What companies must be outgunned if we are to establish that position?
4. Do we have enough marketing money to occupy and hold the position?
5. Do we have the guts to stick with one consistent positioning strategy?
6. Does our creative approach match our positioning strategy?

PRODUCT POSITIONING AND BRAND POSITIONING:
It is essential to understand the relationship between products positioning and brand
positioning. Though in discussions, the two terms are synonymously and interchangeable
used, technically they are different.
Product positioning denotes the specific product category/product class in which the
given product is opting to compete. And brand positioning denotes the positioning of the
brand viz-a viz the competing brands in the chosen product category.

It is evident that for any product, before entering the market it has to sequentially
carry out the two exercises, product positioning and brand positioning. In the first step, the
product category where the new entrant should enter and compete, i.e. against what all
products it has to compete, has to be decided. In this step, it is the broad function that the
product is trying to serve that matters. This choice of product category will decide the nature
of the competition the product is going to face.

Once product category positioning is

decided, the position for the new entrant against competing brands in the chosen product
category has to be analyzed and fixed.
ISSUES IN PRODUCT POSITIONING:
Where is the new offer going to compete? As what?
Which product function/customer need is it trying to meet?
What other product categories serve this need? In other words, what are the
substitute products that serve the same need?
Where is the real gap, where is such a new offer most welcome and wanted by
the market?
What are company’s competencies to fight here?
ISSUES IN BRAND POSITIONING:
In deciding the Brand positioning, the issues are:
Which are the competing brands in the chosen product category?
What are the unique claims/strengths of the various brands?
What position do they enjoy in consumer’s evaluation and perception?
What is the most favoured position…? And yet vacant?
Can the new brand claim the needed distinction and take the position and
satisfy the need?
The major dimension of marketing strategy relates to positioning of the offer. The
firm has already selected the target market and decided its basic offer. Now, what is the
conjunction between these two entities? How do they get connected? What is the interface?
In other words.
What is the locus the firm seeks among the customers in the chosen targer market with its
offering?
How would the firm want the consumer to view and receive the offer?
These are the issues the firm has to grapple with in positioning.

And, while

formulating the marketing mix too, the firm will agitate over these issues. The Product
Differentiation and Positioning discusses the multifarious issues involved in the subject.

PRODUCT REPOSITIONING :
Products do undergo ‘repositioning’ as they go along their life cycle. In some cases,
even products that are fairing well are repositioned. This is done mainly to enlarge the reach
of the product offer and to increase the sale of the product by appealing to a wider target
market. The product is provided with some new features or it is associated with some new
target segments.

PROMOTIONAL DECISIONS:
Promotion has been defined as the coordination of all seller initiated efforts to set up
channels of information and persuasion in order to sell goods and services or promote an
idea. While implicit communication occurs through the various elements of the marketing
mix, most of an organization’s communications with the market The basic tools used to
accomplish an organization’s communication objectives are often referred to as the
promotional mix.

The promotional mix

Advertisin
g

Direct
marketin
g

 Advertising:

Interactive
/
internet
marketing

Sales
promotio
n

Publicity/
Public
relations

Personal
selling

Advertising is defined as any paid form of non personal communication about an
organization, product, service, or idea by an identified sponsor. The paid aspect of this
definition reflects the fact that the space or time for an advertising message generally must be
bought. An occasional exception to this is the public service announcement, whose
advertising space or time is donated by the media.
Advertising is the best-known and most widely discussed form of promotion,
probably because of its pervasiveness. It is also very important promotional tool, particularly
for companies, whose products and services are targeted at mass consumer markets.
It is a very cost-effective method for communicating with large audiences. It can be
used to create brand images and symbolic appeals for a company or brand.
 Direct Marketing:

One of the fastest-growing sectors of the U.S. economy is direct marketing, in
which organizations communicate directly with target customers to generate a response and a
transaction. It has become such an integral part of the IMC program of many organizations
and often involves separate objectives, budgets, and strategies, we view direct marketing as a
component of the promotional mix.
Direct Marketing is much more than direct mail and mail order catalogs. It involves a
variety of activities, including database management, direct selling, telemarketing and direct
response ads through direct mail, the Internet, and various broadcast and print media.
One of the major tools of direct marketing is direct response advertising, whereby a
product is promoted through an ad that encourages the consumer to purchase directly from
the manufacturer.
 Interactive/Internet Marketing:
Interactive media allow for the back-and-forth flow of information whereby users can
participate in and modify the form and content of the information they receive in real time.
Unlike traditional forms of marketing communications such as advertising, which are oneway in nature, the new media allow users to perform a variety of functions such as receive
and alter information and images, make inquiries, respond to questions and of course make
purchases. In addition to the Internet, other forms of interactive media include CD-ROMs,
Kiosks, and interactive television.

 Sales Promotion:
The next variable in the promotional mix is sales promotion, which is generally
defined as those marketing activities that provide extra value or incentives to the sales force,
the distributors, or the ultimate consumer and can stimulate immediate sales, sales promotion
is generally broken into two major categories:
Consumer-oriented and
Trade-oriented activities
Consumer-oriented sales promotion is targeted to the ultimate user of a product or service
and includes couponing, sampling, premiums, rebates, contests, sweepstakes, and various pointof-purchase materials.
Trade-oriented sales promotions are targeted towards marketing intermediaries such as
wholesalers, distributors and retailers.

 Publicity/Public Relations:

Publicity refers to non personal communications regarding an organization, product,
service, or idea not directly paid for or run under identified sponsorship. It usually comes in
the form of a news story, editorial or announcement about an organization and its products
and services. Like advertising, publicity is not directly paid for by the company.
An advantage of publicity over other forms of promotion is its credibility. Another
advantage of publicity is its low cost, since the company is not paying its time or space in a
mass medium such as TV, radio or newspapers.
Public relations are defined as “the management function which evaluates public
attitudes, identifies the policies and procedures of an individual or organization with the
public interests and executes a program of action to earn public understanding and
acceptance”. Public relations generally have a broader objective than publicity, as its purpose
is to establish and maintain a positive image of the company among its various publics.
 Personal Selling:
It is a form of person-to-person communication in which a seller attempts to assist and
persuade prospective buyers to purchase the company’s product or service or to act on an
idea. Unlike advertising, personal selling involves direct contact between buyer and seller,
either face-to-face or through some form of telecommunications such as telephone sales.
Personal selling involves more immediate and precise feedback because the impact of the
sales presentation can generally be assessed from the customer’s reactions.

ASSEMBLING THE MARKETING MIX:
Assembling the marketing mix means assembling the four Ps of marketing in the best
possible combination. Involved in this process are the choice of the appropriate marketing
activities and the allocation of the appropriate marketing effort/resources to each one of them.
The firm has to find out how it can generate the targeted sales and profit. It considers
different marketing mixes with varying levels of expenditure on each marketing activity and
tries to figure out the effectiveness of different combinations in terms of the possible sales
and profits. It then chooses the combination/mix of products, price, place and promotion that
is best according to its judgment.
Since marketing is essentially an interaction between the marketing mix and
environmental variable, and since the latter and non-controllable, marketing becomes
synonymous with assembling and managing the marketing mix. Of course, while assembling
the marketing mix, the marketing manager will take due note of the environmental variables.
Not only will he take due not of them, he will ensure that his marketing mix suits the
environmental variables. And, its it factor that renders tha task much more complex.

MARKEGING MIX: THE SOLE VEHICLE FOR CREATING AND DELIVERING
CONSUMER VALUE
The four elements mentioned above- product, distribution, promotion and pricing
constitute the marketing mix of the firm. The marketing mix is the sole vehicle for creating
and delivering customer value.
It can be easily seen that all activities and programmes, which a marketer designs and
caries out in his effort at winning customers, relate to one or the other of the above four
elements- product, place, promotion and pricing. It can also be seen that in each of these
elements, there are several sub-elements. For example, packaging is one of the sub-elements
of product and warehousing is one of the sub-elements of distribution.
The Four Ps of Marketing:
It was James Culliton, a noted marketing expert, who coined the expression marketing
mix and described the marketing manager as a mixer of ingredients. To quote him, `The
marketing man is a decider and an artist – a mixer of ingredients, who sometimes follows a
recipe developed by others and sometimes prepare his own recipe. And, sometimes he adapts
his recipe to the ingredients that are readily available and sometimes invents some new
ingredients, or, experiments with ingredients as no one else has tried before.
Subsequently, Niel H.Borden, another noted marketing expert, popularized the
concept of marketing mix.
It was Jerome McCarthy, the well-known American professor of marketing, who first
described the marketing mix in terms of the four Ps. He classified the marketing mix
variables under four heads, each beginning with the alphabet “P”.


Product



Place



Price



Promotion
McCarthy has provided an easy-to-remember description of the marketing mix

variables. Over the years, the terms – Marketing mix and Four Ps of marketing have
come to be used synonymously.
Assembling and managing the marketing mix is the crux of the marketing task. And,
it is through the marketing mix that the marketing manager achieves the marketing
objectives.

MARKETING STRATEGIES FALL UNDER TWO CATEGORIES:

We have seen that target market selection, positioning and marketing
mix formulation together constitute marketing strategy. We have also seen that a firm can
assemble the marketing mix elements in many different ways, depending on the relative
weightage it assigns to the different elements.
combinations is, in fact immense.

The scope to carve out different

As a result, business firms are able to employ an

abundance of strategies and strategy stances in their relentless race to stay ahead of
competition. However, a close scrutiny will reveal that all these strategies can be fitted into
two broad categories
1. PRICE ORIENTED MARKETING STRATEGY
2. DIFFERENTIATION ORIENTED MARKETING STRATEGY
In other words, there are only two broad routes available for forging marketing
strategies: any strategy has to be ultimately either a price-oriented strategy or a
differentiation-oriented strategy.

PRICE ORIENTED MARKETING STRATEGY:
Firms taking to the price route in marketing strategy compete on the strength of
pricing. They use price as their competitive lever. They juggle the price of their product to
suit the prevailing competitive reality. They can afford to offer lower prices and still make
the targeted profits. They elbow out competition with the cushion they enjoy in the matter of
pricing.
Price route requires cost leadership, evidently, a firm opting for the price route will
have to have a substantial cost advantage in their operations. It should be enjoying an overall
cost leadership in the given industry and its lower cost should enable it to secure above
average returns inspite of strong competition. The cost advantage can emanate from different
factors like, scale economies, earlyu entry, a large market share built over a period of time,
locational advantage, or synergy among the different businesses. The firms whole strategy, in
fact will revolve around building such cost advantage.
To successfully practice a price-led strategy, a firm should have consciously taken to
the idea sufficiently early in its evolutionary process and prepared itself for adopting such a
strategy.

DIFFERENTIATION ORIENTED MARKETING STRATEGY:
STRATEGY

The differentiation route of strategy revolves around aspects other than price. It
works on the principle that a firm can make its offer distinctive from all competing offers and
win through the distinctiveness. And, a firm adopting such route can price its product on the
perceived value of the attributes of the offer and not necessarily on competition-parity basis.
Maximum scope for exploiting differentiation remains with the product. While all the
4Ps of marketing are important elements from the point of view of strategy, the other Ps
normally go as elaborations of the offer, while the product forms its core.
Product differentiation is of vital importance in product management and has great
potential in forgoing successful marketing strategies.
The product can be differentiated along two major planks:
1. Tangible product attributes and functions,
2. Intangible characteristics and emotional associations.
The tangible product attributes and functions are
Differentiation based on ingredients,
Differentiation based on functional value,
Differentiation based on additional features,
Packaging contributing to differentiation,
Differentiation based on Quality, Operational Efficiency, Technology, Service.

DIGITAL MARKETING:
Digital Marketing is the practice of promoting products and services using digital
distribution channels to reach consumers in a timely, relevant, personal and cost-effective
manner.
Whilst digital marketing does include many of the techniques and practices contained
within the category of Internet Marketing, it extends beyond this by including other channels
with which to reach people that do not require the use of The Internet. As a result of this
non-reliance on the Internet, the field of digital marketing includes a whole host of elements
such as mobile phones, sms/mms, display / banner ads and digital outdoor.

BUZZ MARKETING (WORD OF MOUTH):
Word of mouth, is a reference to the passing of information by verbal means,
especially recommendations, but also general information, in an informal, person-to-person
manner. Word of mouth is typically considered a face-to-face spoken communication,
although phone conversations, text messages sent via SMS and web dialogue, such as online
profile pages, blog posts, message board threads, instant messages and emails are often now

included in the definition of word of mouth. There is some overlap in meaning between
word of mouth and the following: rumor, gossip, innuendo, and hearsay; however word of
mouth is more commonly used to describe positive information being spread rather than
negative, although this is not always the case.

Word-of-mouth promotion, also known as buzz marketing and viral advertising, is highly
valued by advertisers. It is believed that this form of communication has valuable source
credibility. Research points to individuals being more inclined to believe WOMM than more
formal forms of promotion methods; the receiver of word-of-mouth referrals tends to believe
that the communicator is speaking honestly and is unlikely to have an ulterior motive (i.e.
they are not receiving an incentive for their referrals). In order to promote and manage wordof-mouth communications, marketers use publicity techniques as well as viral marketing
methods to achieve desired behavioral response. Influencer marketing is increasingly used to
seed WOMM by targeting key individuals that have authority and a high number of personal
connections.

EVANGELISM MARKETING:
It is an advanced form of word of mouth marketing (WOMM) in which companies
develop customers who believe so strongly in a particular product or service that they freely
try to convince others to buy and use it. The customers become voluntary advocates, actively
spreading the word on behalf of the company.
Evangelism literally comes from the three words of 'bringing good news' and the
marketing term justly draws from the religious sense, as consumers are literally driven by
their beliefs in a product or service, which they preach in an attempt to convert others.

EFFECTIVE SALES PROMOTION:
Sales promotion consists of diverse collection of incentive tools mostly short
term, designed to stimulate quicker and greater purchase of particular products of services
by the consumer. Sales promotion is the only method that makes use of incentives to
complete the push-pull promotional strategy of motivating the sale force, the dealer and the
consumer in transacting a sale.

Price-Offs Offer:
Price-off offers refers to offering the product at lower than the normal price. This
encourages immediate sales, attracts non-users, induces product trail and counters
competition.

Premium:
Premium refers to the offer of an article of merchandise as an incentive in or
to sell the product.

Coupons:
In order to encourage product trail, stimulate re-purchase rate and build loyalty
through news papaers.

Dealer stock display contests:
It is a type of point of purchase advertising which uses the show windows of
the dealer for providing exposure to the sponsor’s products.
Dealer participating enthusiastically and creatively are awarded

DEFENDING MARKET SHARE:
While trying to expand total market size, the dominant firm must continuously defend
it current business against rival attacks. This step is very much essential for the market
leader firm because the challenger firms are constantly to exploit the weaknesses of the
leader firms.

EXPANDING MARKET SHARE:
Market leaders can improve their profitability by increasing their market share. But
for few market leaders whose share in the total market is insignificantly high, the expansion
of market share n the total market may be proved both as expensive and risky. Therefore it
is better for such leader firms in spending their time in building up the market size rather
than expanding the market share. The reason for this action may be attributed to two factors:
1.

The market leader firms might attract the provisions of various anti-trust
legislations.

The rival competitors will try to force the Government to bring

legislations against the “MONOPOLISATION”
2. The second reason being the economic factors. The cost of making further gains in
the market share after a large share has been achieved may rise fast and reduce the
profit margin.

HARASSMENT STRATEGY:
The market leader firm will resort to an harassment strategy in order to promote its
market share. As a part of this strategy, the leader form might approach the suppliers and

threaten to reduce its purchases. If the latter supply the upstart firm, sometimes it might put
pressure on distributors not to carry the competitors product. The salesman of leader firm
might speak negatively about competitors. It may also try to hire away the better executives
of an aggressive firm.

Sometimes, the market leader firm will try to restrain these

competitions through legal devices. It might push legislation that would be more
unfavorable to the competitors than to itself.
The aim of defensive strategy is to reduce the profitability of attack, divert attacks to
less threatening areas, and lessen the intensity of attack. Any attack is likely to hurt profits.
But the defender’s form and speed of response can make an important difference in the
profit consequences.
There are 6 defense strategies that a dominant firm can use:
1.

Position Defense:
Defense:
The basic idea of defense is to build an impregnable fortification around one’s
territory.

2.

Flank Defense:
The market leader should not only guard its territory but also erect outposts to protect

a weak front or possibly serve as an invasion base for counter attacking.
3.

Preemptive Defense:
Defense:
A more aggressive defense maneuver is to launch an attack on the enemy before the

enemy starts its offense against the leader. Preemptive defense assumes that an ounce of
prevention is worth more than a pound of cure.
4.

Counteroffensive Defense:
Most market leaders, when attacked will respond counterattack. The leader cannot

remain passive in the face of a competitor’s price cut, promotion blitz, product improvement,
or sales territory invasion. The leader has the strategic choice of meeting the attacker
frontally, maneuvering against the attacker’s flank, or launching a princer movement to cut
off the attacking formation from their base operation.
5.

Mobile Defense:
Mobile defense involves more than the leader aggressively defending it territory. In

mobile defense, the leader stretches it domain over new territories than serve as future centers
for defense and offense.
6.

Contraction defense:
defense
Large companies recognize that they can no longer defend all the territory. Their

focus are spread too thin, and competitors are nibbling away on several funds. The best
course of action then appears to be planned contraction (also called strategic withdrawal).

INNOVATION STRATEGY:
The market leader may innovate several strategies in respect of new product ideas,
customer services, means of distribution, cost cutting discovery. In addition to these, a
leader may discourage its competition particularly challenge firm.

FORTIFICATION STRATEGY:
In order to protect its market share, the market leader may try to keep it product prices
reasonable in relation to the perceived valued of the offer and competitors offer. The leader
produces it brand in a variety of sizes and firms.

CONFRONTATION STRATEGY:
If leader firm faces an extremely aggressive challenger, whose actions demand a
quick and direct response.

In such a situation, the market leader will engage any

promotional war, engaging in a massive promotional expenditure that the aggressive
challenger cannot match. The leader firm may engage in the price war whenever a new
challenger is considering to enter in its market. This strategy will frighten the potential
competitions and make then to withdraw from entering the market.

RESEARCH METHODOLOGY
RESEARCH METHODOLOGIES
MARKETING RESEARCH:

Definition of marketing research research as approved as by the board of directors of
the association of American marketing association is:
“Marketing research is the function which links the customer and public to the
marketer through information – information used to identity and define marketing
opportunities and problems generate define and understanding of marketing as process”.
Simply, marketing research is the systematic design collection analysis and reporting
of data finding relevant to a specific marketing situation facing the company. Carefully
planning through all stages of the research is a necessity.
Objectivity in research is all-important. The heart of scientific method is the objective
gathering of the information.
The function as marketing research with in the company as to provide the information
and analytical necessary for effective.
 Planning of the future marketing activity.
 Control of the marketing operation in the present.
 Evaluation of marketing results.
A research may under take any of the three types of research investigation depending upon
the problem. These type of research included:
1. Basic research
2. Applied research
3. Designated Fact Gathering
BASIC RESEARCH:
It is also known as the pure fundamental research, which refers to those studies, sole
purpose of which is the discovery of new information. It is conducted to extend the horizons
on given area of knowledge with no immediate application to existing problems.

APPLIED RESEARCH:
It is attempt to apply the various marketing technique, which have been developed as
research, first and later on they become applied research techniques. It is on attempt to apply
the basic principles and existing knowledge for the purpose of solving operational problems.
DESIGNATED FACT GATHERING:
It refers to a research where the investigation attempts to gather some pre-determined
data.
STEPS IN MARKETING RESEARCH:

Marketing research process can be out through following steps.
Define the problems and research objectives
Develops the research plan
Collect the information
Analysis and interpretation
Present the finding.

RESEARCH METHOD:
It must be classified on the basis of the major purpose of the investigation. In this
problem description studies have been undertaken, as the objective of the project is to
conduct the market shares study to determine the share of market received by the company to
the competitor.

DATA COLLECTION:
The information needed to further proceed had been collected through primary and
secondary data.

PRIMARY DATA:
It consists of information collected for the specific purpose, survey research was used
and he all the details of their competitors were contacted. Survey research is the approached
gathering description and information.

CONTACTED METHOD:
The information was solicited by administering structured questionnaire to the
customer and dealers, thus getting to know directly from the dealers their sales before and
after sales service.

SECONDARY DATA COLLECTION:
The secondary data consists of information that already existing somewhere having
been collected for another purpose. Any researcher begins the research work by first going
through secondary data. Secondary data includes the information available with company. It

may be the findings of research previously done in the field. Secondary data can also be
collected from the magazines, news papers, internet other service conducted by researchers.

METHODS OF DATA COLLECTION:
The basic method adopted in conducting the study is a structured questionnaire.
Questionnaire is administered on the sample respondents. How ever there are certain cases
where personal interactive method is followed with customers to find the satisfaction level.

SUGGESTIONS
VALUABLE SUGGESTIONS GIVEN BY ASHOK LEYLAND
CUSTOMERS:
 Please try to increase the number of Service centers.
 Keep Service Stations at main locations of the city.
 There is no proper response from the service men at service station. Please recruit
efficient service men in the service centers.
 The service men in the service centers are unable to understand the problems told
by us, and they are not resolving the cars problems.
 Provide information on service and mileage regularly.
 Please provide information about new cars along with their price lists at least once
in 6 months.

 Advertisements through televisions can influence many categories of people. So
try to concentrate on this segment.
 Try to provide financial facility at 0% interest.
 Customer should be educated about the maintenance of the vehicle. i.e.
maintenance tips should be provided.
 The quality of the sun proof coating used is of very low quality, vehicle colour is
getting shaded very quickly.
 Please send the specially appointed feed back taking staff on Sunday evenings
only.
 The sales people present in the showroom respond to us properly when we come
to purchase a new car, but they do not respond when we come to tell our problems
regarding the cars.

BIBLIOGRAPHY
BIBLIOGRAPHY
REFERANCE BOOKS:
MARKETING MANAGEMENT
ADVERTISING AND PROMOTIONS

WEBLIOGRAPHY::
http://en.wikipedia.org/
http://www.ashokleyland.com/

V.S.RAMASWAMY AND S.NAMAKUMARI
GEORGE E.BELCH
&
MICHAEL A. BELCH

www.google.com

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