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Abhijeet Singh and Brijesh Kumar (2011) has mentioned that Hero Honda Motors

Ltd, is running a program called Good life Passport to Relationship Reward, with
an objective to create an innovative environment for interaction between Hero
Honda and its customers. Members of this program are given a magnetic card in
which all information is stored and this card is swiped when using any service at
a showroom or workshop and it works like a loyalty benefit card.

Abhijeet Singh (2011) has mentioned that Tata Motors uses tools such as CRM
along with tools like dealer management system which integrates and
coordinates the leading applications in the automobile industry, connecting more
than one thousand dealers across India and moreover CRM DOS has helped the
company to improve its inventory management, tax calculation and pricing and
moreover this system has 78 also proved to be beneficial to dealers because it
has reduced their working capital cost.

According to Arvind Saxena (2010), no company in automobile sector can fight


competition on price. Companies need to have the right product, distribution,
CRM and after sales service network to grow.

Authr (2012) states that do not buy a vehicle model that is about to be
discontinued as it can regret the buyer when looking for the spares and this also
leads to a decline in the sale value of the vehicle. The researcher also agrees to
the same as availability of spares and after sales is crucial for the vehicle and its
resale value.

The study by G Syamala (2010) about the growth of auto component industry an
overview concludes that, the auto component industry is an integral part of auto
industry and has emerged as a major industry, with market so large and with
diverse activities to accommodate buyers needs and having its own global mark
this sector has become very competitive and with the increasing demand for
domestic and international auto components this sector is the fastest growing
manufacturing sector in India.

Chanchal Pal Chauhan (2012) has reported that, in India every carmaker has
been involved in anti-competitive practices and has been charged by the
Competition Commission of India. The automobile companies swell their profits
by devising ways in which they mislead their customers in all possible way, one
of the ways is by destroying the supply of all substitute element in market and at
the same time prevent spare part manufacturers from selling the spares to
retailers, this practice of the automobile companies leave customers with almost

no alternatives for their maintenance need, thus the customers are force to come
to the exclusive dealer for their needs and they are charged exorbitantly high
prices...

Sector analysts at India Info line Ltd Joseph George (2012) is of the opinion about
the hero tieup with Engines Engineering to improve design that while hero needs
good research and development support, it should ensure it finds right partners,
unlike Bajaj and TVS who pursued in house research and development, hero
seeking outside help is fraught with risks as it could be tough for hero to
synergize diverse inputs from variety of partners.

In their study Michael Cusumano, Steve Kahl and Fernaando Suarez (2008) a
theory of services in product industries, have concluded that in todays time it is
the service component which is important even in the product industries one
classic example for this is the automobile industry where in all car manufacturers
are earning revenues from the 82 service activities related to their products. Now
a day a large amount of revenues in the automobile industry comes from other
product-related service activities such as insurance and after sales. The authors
argued that despite the seeming importance of services, there is not much
theory to help researchers or practitioners explain the conditions under which
services matter in product industries. The general view that emerges from the
services literature is that services tend to become important for manufacturing
firms once their industries reach a mature stage.

Oyama (2012) has quoted that Honda Motors as a company has a vision for 2020
that the company wants to be number one position in the Indian market and
moreover the company is preparing for 30% of Hondas global sales to come
from Indian operation, the author believes that the same vision can be achieved
if they could solve the issues related to production in the past which led to the
longest waiting period for the 83 companys most of the products in the Indian
market, the effect of this was visible in companys less penetration in the rural
market, which now stands at is less than a third of Hero Moto Corp.

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