Understanding Customer Value using a Means End Chain Approach in Automotive Purchases NCR Region

Abstract

This research is being done at a time when there is strong optimism about the emergence newlineof India as a global economic power. India is set to be at the threshold of paradigm shift newlinecompanies are all gearing up for exponential growth.Indian market for automobiles has newlinebeen consistently growing at a rate of 15-19% annually for the past 5 years. The newlinecompetition in the industry is becoming intense with about 10 leading manufacturers newlinecompeting in this fast growing segment. newline newlineIn this era of competition new sources of competitive advantage are needed and these will newlinecome from creating, communicating and delivering superior Value to targeted customers. newlineTo deliver superior Value companies need to understand from the customer s point of newlineview, this research is an effort in this direction. newlineThis research uses the Means - End Chain theory approach and corresponding laddering newlineinterviewing technique to establish links between the Attributes; the Consequences newlinederived from these Attributes and Values in consumer purchases of automotives. These newlinecomplex set of links which represent the cognitive structures provide meaningful inputs in newlineunderstanding Customer Value. The 14 Values identified in this research guide a newlineautomotive purchaser in making their choice. The results of this research can be used to newlineprovide meaningful information for making product level changes and promotion, newlinemarketing strategy of automotives. newline newlineThis research further identified the 4 broad factors under which these 14 Values can be newlineclubbed. Further analysis establishes influence of demographic variables on Value factors. newlineConsumer attitudes are considered an important aspect of consumer behaviour. This newlineresearch establishes relationship between Values and consumer attitudes of Innovation and newlineInvolvement. Additionally attitudinal segments are identified and the role of Values in discriminating these segments is studied.