A PROJECT REPORT ON

Market Study of Carrier Air conditioner in Comparison with other Brands

Under the guidance of Faculty Guide

Company Guide
Mr. UDAY PRATAP SINGH Manager SAGAR AIRCON SYSTEM

Submitted by
DEEPAK AGARWAL MBA 3rd SEM ROLLNO.-1228170004

CONTENTS

Chapter No. 1 2 3.0 3.1 3.3 3.4 3.5 3.6 4 5 6.0 6.1 7.0 7.1 8 9 10 11

Particulars Executive Summary Critical Review of Literature Research Methodology Primary Objective(s) Research Design Sample Design Scope of the Study Limitations Company Profile Industry Profile Data findings Analysis Recommendations Conclusions Bibliography References Case Study Appendix and Annexure

Page No

CHAPTER 1 EXECUTIVE SUMMARY This is the project about profiling the brand personality of air conditioner brands. The project involves the study of the whole Air Conditioner market. In this study we have studied the five of the major players in AC that is LG, Samsung, Hitachi, Videocon, Voltas. The report included the survey of the customers of these particular brands and then analyzing what kind of their customers are, the brand targets which segment of the customers, the customers age group, income group, their education level. The objectives of the research includes:

To identify the AC market, products and the players within this segment. We Have taken the major competitors in AC segment as LG, Samsung, Hitachi, Videocon, Voltas and did an in depth comparison of the same on certain parameters, which will be defined in the due course of the proposal. To ascertain potential market and competition. Ascertain the consumer preferences and satisfaction factor To highlight the perception of the consumers for the Air Conditioners. To do the brand profiling. To know the personality traits, likings of the customers for individual brands. To know which customer prefer which brand. Why do they purchase this brand only? How does this brand matches to their personality. Which brand targets or is liked by the customers of which age group Which brand is affordable by which income group. Do the customers want to repurchase this brand? If yes, then why so. What are the characteristics of the customer the brand targets? To know the profile of the customer for a particular brand.

A brand is the promise you make to customers combined with the customers judgment about how well you deliver on that promise. A successful, brand becomes an emotional bond that builds customer loyalty. A brand includes your logo, color scheme, taglines, slogan, design elements and more. Think of branding as the personality of your enterprise. Define that and the logo and other marketing messages will follow. The size of the air-conditioner industry in India is about Rs 2,000 crore. The industry can be sub-divided into non-ducted and ducted products. The demand for non-ducted products -- window air-conditioners and mini-splits -- comes from both households and corporate. The demand for ducted products -- central plants, packaged airconditioners and ducted splits -- is only from the corporate.

CHAPTER 2 CRITICAL REVIEW OF LITERATURE Carrier Corp., headquartered in Farmington, Conn., is the world's largest provider of heating, air-conditioning and refrigeration solutions. With 2007 revenues of $14.6 billion, Carrier has approximately 43,000 employees worldwide and operations in more than 170 countries. Carrier is part of United Technologies Corp., a Hartford, Connecticut-based provider of products and services to the aerospace and building systems industries worldwide.

Air Conditioner Market THANKS TO the fabled Indian middle-class, the air-conditioner market is hooting up. An inordinately hot summer in 2004 appears to have convinced the people the comfort of an air-conditioner and a large number appears to have decided to take one home this year. Indeed, in the last few the years, the demand for air-conditioners from the household sector has been growing rapidly. Still, the demand growth in 2004 was particularly noticeable, and was also the most significant change in the industry during this period. According to some industry estimates, growth in volume terms has been 45-50 per cent this fiscal. But official statistics underestimate this and even report a decline in production. Nevertheless, by all accounts, including a study by the Confederation of Indian Industry, there has been a noticeable jump in the demand for air-conditioners from the household segment. After several years of relatively modest growth, which was totally at variance with the latent potential of the product, the sharp growth in demand the summer past was very welcome for air-conditioner companies in many respects. One, it relatively reduced their dependence on the corporate sector which is still the major demand driver. Corporate traditionally accounted for about 60 per cent of the total demand for air-conditioners. But the burgeoning demand from the household segment could level the ratio in the near future

One of the significant factors influencing the fortunes of the industry is the taxation structure. The industry has come a long way from the time when the excise duty structure favoured only the unorganized sector. The steady fall in the excise rate in the 1990s helped the organized sector cope with the competition from the unorganized sector on more favorable terms. Still, the unorganized sector continues to meet a sizeable proportion of the demand for non-ducted products.

There was a significant change in the excise duty structure in 2000. The rate was raised from 30 per cent to 32 per cent and this was expected to adversely impact the industry. However, the shift to a maximum retail price based system for the levy of excise appears to have helped the manufacturers. In the MRP-based system, an abatement of around 40 per cent was provided. This ensured that the impact of the increase in excise was minimal if not positive. Another major fiscal change is the removal of quantitative restrictions on imports. Imports are, however, not all that competitive considering the Customs duty structure. An import duty of 44 per cent along with a countervailing duty, which is equivalent to the excise duty, is a large enough protection for the domestic companies.

Growth of AC market The demand for non-ducted products grew steadily in the latter half of the 1990s. The demand for mini-splits has grown at a higher rate compared to window ACs because of the lower base. The demand switch from mid-sized ducted products, such as packaged ACs or ducted splits, to mini-splits is also one of the reasons for the larger growth rates in the latter segment. Another major reason for the growth in demand was the increased attention this product category has attracted in the recent past. Prices of air-conditioners dropped sharply in the past few years because of competition. Most established players upgraded their manufacturing facilities, while fresh capacities were created by companies such as Matsushita (National brand). The marketing and advertisement spend by companies has also been on the rise. With such investments flowing into building both the product and the brand, the expansion of the market was inevitable. As seen with other consumer durables, in the initial years of increased intensity of competition, both existing and new players invest more cash. This leads to a drop in prices, fuelling demand and the result is a much larger market. And the non-ducted segment has attracted a lot of players in the last few years. The latent long-term demand potential from Indian households has led to a number of multinational companies making a beeline to set up base in the country. Major players in this product category are Carrier Aircon, Voltas and Blue Star. Brands such as Hitachi, Videocon and Godrej also have a sizeable presence. Among the recent entrants, the Korean brands such as Samsung and LG have been able to make an immediate impact. Other brands that have positioned themselves for a share in this fast-growing market are National, Fuji General and Daikin. On a much smaller scale, Whirlpool and Electrolux have entered the market to cater to household demand. Initially, the entry of new players did have an adverse impact on the established players -- especially Voltas and Carrier Aircon. The reduced sales of window ACs by Carrier Aircon and Voltas in 1999-2000 compared to 1998-99 is testimony to the adverse impact caused by the entry of the new brands, especially Samsung and LG. However, since the beginning of 2000-01, it does appear that the established players -- Carrier Aircon and Voltas -- have started to hit back. They may have even picked up some of the market shares they lost in the earlier period. Again, initially, margins of established companies suffered as larger outlays in selling and distribution failed to translate into superior sales growth. The trend now appears to have been reversed.

History

When Willis Carrier invented the first system for manufactured weather in 1902, he sparked an industry that revolutionized the way in which we live, work and play. From that defining moment and through to the present day Carrier has been a company built on a legacy of innovation. For more than a century, our research, expertise and forethought have resulted in market-leading innovations and firsts that have shaped and defined the heating, air conditioning and refrigeration industry. Through our history of product excellence and committed customer service, we have evolved into a global company serving millions of people and businesses in 172 countries on six continents around the world.

Carrier India Vision: To be recognized as the leader in every segment we operate in by

Being customer focused in everything we do and following ACE diligently Delivering best in class quality in the product as well as aftermarket service Being environmentally conscious in areas of energy efficiency and pollution Establishing a performance culture that respects human values & team work Remaining embedded in our core values of EH&S and ethics Thereby growing profitably and ahead of the market every year, making Carrier a destination of choice for all within HVAC&R industry.

CHAPTER 3 RESEARCH METHODOLOGY

1. Problem Definition:
The main problem that is considered in this project is to find out the reasons why the profits of the Carrier AC are declining inspite of its market share. The various Air conditioner brands in market are loosing out their market share to the high-end players. The additional problem that we need to analyze is as to which class of people is carrier targeting and what kind of customer and what they should target.

Primary objective:

To conduct a market feasibility for CARRIER AC in India. Secondary objectives:

To analyze the scope of Carrier AC market in India.

2. Research Question: What is the reason for declining sales of Carrier AC?

3. Formulation of Hypothesis. Ho [null hypothesis]: The decline of sales of CARRIER AC is dependent on inferior After Sales Service. H1 [alternative hypothesis] : The decline of sales of CARRIER AC is independent of inferior After Sales Service.

4 Research Design : For completion of this research work we have selected the Exploratory & Descriptive research design because we have to find out the behavior of the existing customers towards Carrier AC which is experiencing declining sales. For finding their response for the AC that they are already using, we designed questionnaire and tried to find out the information about the various parameters that they think are faulty and which need improvement.

Exploratory research design has been used to find out the satisfaction level in existing customers.

5 Sampling Design : Sampling technique is judgemental in this research which is a Non Random Sampling Method. All the respondents were selectively picked, these were the respondents which were already using Carrier ACs. Questionnaire both in printed and electronic form were given to the respondents and their respective responses were collected. The respondents included housewifes and working professionals.

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3.6 Scope of study: 1. To find out the common problems that are faced by Carrier AC Users i.e. the problems they come across while using and maintaining the AC. 2. To study the main purpose for which the air conditioners are purchased i.e. whether they are purchased for home use or for office use.

3.7 Limitations: 1. Credibility of information given by respondents. 2. Shortage of time and funds. 3. Inexperience of researchers. 4. Small sample size.

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CHAPTER 4 COMPANYS PROFILE Founded in 1915 by Dr. Willis Carrier, the inventor of modern air-conditioning, Carrier has developed into being the largest global manufacturer of air-conditioning, heating and commercial refrigeration systems. Over the decades, the Carrier name has become synonymous with reliability, innovation, commitment, superior technology, cutting-edge manufacturing and world-class performance. Carrier , a global player in the HVACR market with operations in 172 countries, 71 manufacturing locations and 18 design centers, employing approximately 41,000 people worldwide and revenues of $13.4 billion in 2006. It has the broadest product offering in the world with strong technology / innovation focus and 348 patents in the last 4 years. It also has one of the most prestigious installation bases in the world. Carrier is a part of United Technologies Corporation, a $47.8 billion, in 2006,conglomerate operating in the high technology space. The UTC group leads with businesses in aerospace & building systems with companies like Carrier (airconditioning), Otis (Elevators), Pratt & Whitney (Jet- engines), Sikorsky (Helicopters), UTC Fire & Security (Chubb + Kidde), Hamilton Sundstrand and UTC Power. Carrier started its operations in India with the setting up of Carrier Aircon in 1986, and established Carrier Refrigeration in 1992. It was the first global company to bring to the Indian consumer, access to advanced technology and air-conditioning and refrigeration products from the worldwide product portfolio of Carrier. In Oct. 2006, both these companies merged to form a new entity called Carrier Airconditioning & Refrigeration Ltd. Carrier's India operation has many firsts to its credit : First air conditioning company to introduce the concept of a Comfort Shop. First to develop exclusive dealer networks in the country. Today, there are over 345 Carrier exclusive dealers in India. Setup the Willis Carrier Engineering Center to provide technological support
to develop new products and upgrade existing ones.

Introduced finance schemes that have taken air-conditioners out of the luxury category and made it affordable for the homebuyer. Carrier's Gurgaon manufacturing facility produces air conditioning equipments including Window Room Air conditioners, Hi- Wall Splits, Slimpak Splits, Cassette Splits, Ducted Splits and Chillers. It also manufactures Refrigeration Equipments including Cold chain equipment comprising of Cold Rooms, Truck Refrigeration & Bus Air-conditioning system, Freezers, Visi Coolers & Super Market Products .All these are supported by the Willis Carrier Engineering Center.

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SNAPSHOTS

Environmental timeline 2005

INNOVATION Evergreen VSS, Featuring World Class Non-ozonedepleting Efficiency Carrier debuts Evergreen VSS chillers, featuring new technology that combines HFC-134, a non-ozone-depleting refrigerant and a high efficiency Variable Speed Screw (VSS) compressor-based chiller system.

2004

EVENT Carrier Leads Industry Support For 13 SEER Carrier leads industry compliance with 13 SEER, the government-mandated energy efficiency standard for residential central air conditioners and heat pumps in the U.S. 2003

AWARD EPA recognizes UTC and Carrier as Climate Leaders The Environmental Protection Agency names UTC and Carrier Climate Leaders .

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2002

AWARD China Ozone Protection Award Carrier establishes the China Ozone Protection Award with the Chinese government.
learn more

2001

INNOVATION EliteLINE Container Unit Generates Lowest Total Equivalent Warming Impact Carrier introduces the EliteLINE container unit, generating the lowest total equivalent warming impact.

2000

INNOVATION ComfortID, Demand Control Ventilation For Commercial Buidings Carrier develops ComfortID, a demand control ventilation solution for commercial buidings.

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1997

EVENT UTC To Reduce Energy & Water Use By 25% Of Sales UTC introduces a program to reduce its Energy & Water usage by 25% of Sales by 2007.

1996

INNOVATION Puron, Non-ozone-depleting Residential Central Air Conditioners Carrier introduces Puron, non-ozone-depleting residential central air conditioners.

1995

AWARD EPA Stratospheric Ozone Protection Award Carrier is awarded the Stratospheric Ozone Protection Award by the Environmental Protection Agency (EPA).

1995

INNOVATION

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1st Non-ozone-depleting Centrifugal Chiller Carrier develops the 1st non-ozone-depleting Centrifugal Chiller.

1994

INNOVATION 1st Non-ozone-depleting Rooftop & Residential Units Carrier develops the 1st non-ozone-depleting rooftop & residential units.

1993

INNOVATION Carrier Pioneers Worldwide CFC Phase-out Carrier leads the industry in the worldwide phase-out of CFCs.

1993

EVENT US Green Building Council (USGBC) Charter Member Carrier becomes a US Green Building Council (USGBC) Charter Member. 16

SWOT ANALYSIS OF CARRIER AC Definition SWOT Analysis is a strategic planning tool to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture or in any other situation of an organization or individual requiring a decision in pursuit of an objective. It involves monitoring the marketing environment internal and external to the organization or individual.

SWOT Analysis Strengths First air-conditioning company to introduce the concept of a Comfort Shop. First to develop exclusive dealer network in the country. Today, there are over 400 Carrier Aircon exclusive dealers and 60 Carrier compressor dealers in India. It has a strong setup, Willis Carrier Engineering Center, to provide technological support to develop new products and upgrade existing ones. It has successfully introduced finance schemes that have taken airconditioners out of the luxury category and made it affordable for the home buyer. Carrier has a strong nation-wide infrastructure with around 20 offices and 400 odd exclusive dealers. Carrier was the first in the industry to introduce non-ozone depleting commercial and residential air-conditioning systems.

Weaknesses Highly dependent on its parent company for R&D and technology support.

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After sales services is one of the most crucial aspects.

Opportunities Growing Indian middle class characterized with low penetration level of consumer durable. Advent of Internet provides an excellent opportunity to reach to a large base of consumers and cut costs. There is a changing dynamics of consumer behavior where in luxury goods are being perceived as necessities with higher disposable incomes being spent on lifestyle products.

Threats Likely to face fierce competition from domestic companies as they have well acknowledged brands, an extensive distribution network and better insights about the local market conditions. Increased threats from cheaper imports, especially from China. Inflation effect

CHAPTER 5

INDUSTRY PROFILE

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Industry overview The size of the air-conditioner industry in India is about Rs 2,000 crore. The industry can be sub-divided into non-ducted and ducted products. The demand for non-ducted products -- window air-conditioners and mini-splits -- comes from both households and corporate. The demand for ducted products -- central plants, packaged airconditioners and ducted splits -- is only from the corporate. Industry Trends A vast majority of middle-class Indian homes have traditionally battled the summer heat with the help of fans or giant fan-driven water coolers which blast cool air. "All these years companies have thought of an AC as an expensive luxury product but that's no longer true, (The AC) has moved from its luxury status to a necessity item just like any washing machine or refrigerator. Air conditioner companies see India as a potential gold mine as it offers a winning combination of rising disposable incomes and AC ownership levels of just 1.1 percent of households. And average prices for air conditioners in India have dropped by about 20 percent over the past two years thanks to new companies entering the fray, making them more accessible to consumers. With average incomes rising, AC penetration to follow the same trajectory as colour TV ownership which is pegged at 18 percent of all households and whose sales have also been spurred by falling prices. Indians bought 6.2 million colour TVs in the year to March 2002 and sales could leap 30 to 35 percent this year, industry estimates say. The Indian middle-class, estimated at between 40-70 million people, is the main target for air conditioner companies. AC sales grew 8.0 percent in 2001 and would have raised more but early rains cooled temperatures and chilled demand. The dismal supply of power where outages, lasting hours, are a part of life in large swathes of India, could still throw a spanner into the bullish hopes of AC companies. The big problem is the quality of power supply and the cost of running an AC running costs are upwards of three rupees an hour depending upon electricity tariffs. Also hurting growth is the unofficial "grey" market that accounts for close to 15 percent of the sales. But that is down from 70 percent a decade ago, as competition among established players and growing preference for brand name ACs among consumers who want after-sales service has narrowed the gap to around 3,000 rupees from 7,000 earlier. It will shrink further and further as markets mature and consumers get educated.

Indian air conditioner market is already flooded by players like Hitachi, Whirlpool, LG, Haier, Samsung, Voltas, Videocon and many more. Each competing on the basis of price and features.

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Brand being used Carrier Hitachi samsung LG other

Carrier has played a pioneering role in the growth of air conditioners in India. Carrier has established itself as the market and brand leader in the Air Conditioner market in India. The company has built a diverse product portfolio to meet the needs of different consumer segments, ranging from middle income buyers to high class buyers, who look for high performance and better quality.

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PRODUCT LINE:

Air Quality Solutions

Improve the quality of air in your home.

Controls and Thermostats

Innovative controls that manage all aspects of your home comfort.

Air Conditioners and Heat Pumps for Split Systems

Cooling solutions for split systems. Choose a heat pump for A/C and extra heating.

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Furnaces for Split Systems

Heating solutions to work with your preferred fuel source.

Fan and Evaporator Coils

Coils connect to the refrigerant line from Heat Pumps or A/C units. Fan coils add air flow.

Duct-Free Split Systems

Can't install ducts in your home or room? Consider a duct-free solution.

Packaged Products

Carrier's All-In-One external solutions for whole home heating and cooling.

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Room By Room Solutions

Solutions for cooling and heating for individual rooms.

Boilers

The perfect heat source for your home's radiant heat system.

Generators

When power goes out, your home health and comfort are on the line. Back yourself up with a state-of-the-art Carrier. Carrier is famous in India because of its high quality, innovation and ability to cater to consumers of various stratas of life. Across the globe, Carrier ship one residential heating/cooling system every 3 seconds and install a unit every 6 seconds. No matter what home and office comfort needs, people can count on Carrier to keep them comfortable.

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CHAPTER 6 FINDINGS AND ANALYSIS

FINDINGS: According to our survey with sample size of 15 Carrier AC users, we found following results.

SPSS ANALYSIS: These are some very interesting, informative and decisive information generated by SPSS processor. It includes report of current customers and their responses to Carrier, Price range their brand loyalty, and their expectations with Carrier AC.

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Regression

Notes Output Created Comments Input Data Active Dataset Filter Weight Split File N of Rows in Working Data File Missing Value Handling Definition of Missing Cases Used User-defined missing values are treated as missing. Statistics are based on cases with no missing values for any variable used. REGRESSION /MISSING LISTWISE /STATISTICS COEFF OUTS R ANOVA /CRITERIA=PIN(.05) POUT(.10) /NOORIGIN /DEPENDENT q7 /METHOD=ENTER q4 q1 q3 q2 q5 q6 q8 q9 /METHOD=ENTER q1 q2 q3 q4 q5 q6 q8 q9. Processor Time Elapsed Time Memory Required Additional Memory Required for Residual Plots 00:00:00.063 00:00:00.063 4516 bytes 0 bytes C:\Documents and Settings\hp\Desktop\sfd.sav DataSet0 <none> <none> <none> 21 25-Mar-2008 16:58:57

Syntax

Resources

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[DataSet0] C:\Documents and Settings\hp\Desktop\sfd.sav Variables Entered/Removedb Model 1 Variables Entered q9, q5, q2, q6, q1, q8, q3, q4a Variables Removed Method . Enter

a. All requested variables entered. b. Dependent Variable: q7

Model Summary Model 1 R .861a R Square .740 Adjusted R Square .394 Std. Error of the Estimate .32218

a. Predictors: (Constant), q9, q5, q2, q6, q1, q8, q3, q4

ANOVAb Model 1 Regression Residual Total Sum of Squares 1.777 .623 2.400 df 8 6 14 Mean Square .222 .104 F 2.140 Sig. .185a

a. Predictors: (Constant), q9, q5, q2, q6, q1, q8, q3, q4 b. Dependent Variable: q7

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Coefficientsa Standardized Unstandardized Coefficients Coefficients Model 1 (Constant) q4 q1 q3 q2 q5 q6 q8 q9 B 1.231 .358 -.216 -.035 -.067 .277 -.230 -.111 -.039 Std. Error .736 .247 .081 .093 .097 .133 .164 .106 .100 .608 -.733 -.123 -.223 .484 -.711 -.320 -.118 Beta t 1.672 1.447 -2.679 -.372 -.693 2.091 -1.400 -1.055 -.392 Sig. .145 .198 .037 .723 .514 .082 .211 .332 .708

a. Dependent Variable: q7 T-TEST /TESTVAL=0 /MISSING=ANALYSIS /VARIABLES=q1 q2 q3 q4 q5 q6 q7 q8 q9 /CRITERIA=CI(.9500).

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T-Test

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Notes Output Created Comments Input Data Active Dataset Filter Weight Split File N of Rows in Working Data File Missing Value Handling Definition of Missing Cases Used User defined missing values are treated as missing. Statistics for each analysis are based on the cases with no missing or outof-range data for any variable in the analysis. T-TEST /TESTVAL=0 /MISSING=ANALYSIS /VARIABLES=q1 q2 q3 q4 q5 q6 q7 q8 q9 /CRITERIA=CI(.9500). Processor Time Elapsed Time 00:00:00.000 C:\Documents and Settings\hp\Desktop\sfd.sav DataSet0 <none> <none> <none> 21 25-Mar-2008 17:03:25

Syntax

Resources

00:00:00.015

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One-Sample Statistics N q1 q2 q3 q4 q5 q6 q7 q8 q9 15 15 15 15 15 15 15 15 15 Mean 2.4000 3.2000 2.8000 2.2667 3.6667 2.7333 1.2000 2.4667 3.1333 Std. Deviation Std. Error Mean 1.40408 1.37321 1.47358 .70373 .72375 1.27988 .41404 1.18723 1.24595 .36253 .35456 .38048 .18170 .18687 .33046 .10690 .30654 .32170

One-Sample Test Test Value = 0 Mean Difference 2.40000 3.20000 2.80000 2.26667 3.66667 2.73333 1.20000 2.46667 3.13333 95% Confidence Interval of the Difference Lower 1.6224 2.4395 1.9840 1.8770 3.2659 2.0246 .9707 1.8092 2.4434 Upper 3.1776 3.9605 3.6160 2.6564 4.0675 3.4421 1.4293 3.1241 3.8233

t q1 q2 q3 q4 q5 q6 q7 q8 q9 6.620 9.025 7.359 12.475 19.621 8.271 11.225 8.047 9.740

df 14 14 14 14 14 14 14 14 14

Sig. (2-tailed) .000 .000 .000 .000 .000 .000 .000 .000 .000

From the above whole survey and analysis of various Air conditioner brands, we can analyze that the Carrier is the major player in this segment.

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Carrier customers are highly quality oriented and Brand conscious. They are also brand loyal.

They are not at all pricing conscious. It can be due to the fact that Carrier provide quality products and their products are very much affordable and the products matches according to the quality and prices charged. Customers consider these prices as Value for Money.

Customers do purchase other brands as a secondary option when they purchase two or three ACs for their homes, they purchase one of this brand.

Hence from the whole survey, we can say that Carrier enjoys the high market share but the customers of Carrier do not share good experiences by word of mouth. Rather when they are not satisfied by after sales service, they do not recommend the product to other people.

CHAPTER 7.1 RECOMMENDATIONS

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After studying the various parameters of Carrier AC, we have found out that the sales of the product is decreasing because of inferior after sales services. We recommend the following:1) Improved After Sales Service It has been found out that customers find the

after sales services of other ACs better than their Carrier brand. So ,improvement in after sales service can help in increasing sales.

2)Improve the marketing strategies i.e. advertising and all. This could certainly help Carrier to penetrate the tough Indian market and to keep the market share intact.

CHAPTER 7.2 CONCLUSION

From above Literature review and findings we can say that Carrier needs to redesign its marketing strategies and improve its after sales services in order to make a success in India. The null hypothesis is accepted as r-square is .740 hence consumers value after sales services alot; however if Carrier improves the services, then there are quite good chances of a grand success as Indian air conditioner market is growing very fast. So Carrier has two options:

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1. Improve the marketing strategies i.e. advertising and all. This could certainly help Carrier to penetrate the tough Indian market and to keep the market share entact. 2. Improve after sales service of the Air conditioner.

Finally we can conclude that the success(or Sales) of Carrier AC is dependent on after sales service; null hypothesis is accepted. Indian customers wont buy it just because it is their brand; but they expect value for money and satisfaction. In other words we can also conclude that success of Carrier AC is more dependent on its after sales service than its price as the cumulative result of its enhanced (expected) version are quite surprising and favorable for Carrier.

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CHAPTER 8 BIBLIOGRAPHY 1.Business Research Methods(BY Donald R Cooper& Pamela S Schinder)Chapter 1 :Page22-23. 2. Business Research Methods(BY Donald R Cooper& Pamela S Schinder)Chapter 2 :Page 40-45 3. Business Research Methods(BY Donald R Cooper& Pamela S Schinder)Chapter 3 :Page72-77 4. Business Research Methods(BY Donald R Cooper& Pamela S Schinder)Chapter 4 :Page96-98. 5. Business Research Methods(BY Donald R Cooper& Pamela S Schinder)Chapter 6 :Page140-144 6. Business Research Methods(BY Donald R Cooper& Pamela S Schinder)Chapter 15,16,17,18 :Page402-526. 7. Research Methods ( BY Ram Ahuja) Chapter 1 :Pages 70-74 8. Research Methods ( BY Ram Ahuja) Chapter 3 :Pages 120-127. 9. Research Methods ( BY Ram Ahuja) Chapter 4 :Pages 155 -165. 10. Research Methods ( BY Ram Ahuja) Chapter 6 :Pages 193 -196

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CHAPTER 9 REFERENCES

www.marketresearch.com www.economicstimes.com www.timesofindia.com www.surveysampling.com www.residential.carrier.com www.airmakers.com http://books.google.co.in http://finance.yahoo.com

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CASE:

Project Objectives Pioneer Plaza, LLC, the owner of Pioneer Plaza in Honolulu, Hawaii, is dedicated to providing their tenants, such as the elite Plaza Club, a comfortable environment. With the Plazas original chillers becoming unreliable and with ever-increasing energy rates, it was time to replace the aging chillers, especially since Hawaiian Electric Company (HECO), the local utility company, provides energy rebates for high efficiency equipment. The owners turned to Power and Systems Inspection Group and its vice president, Leslie Taniyama, for an energy efficient and environmentally sound design. Project Synopsis Energy efficiency and the environment have always been very important to Pioneer Plaza, LLC, owners of Pioneer Plaza, a multi-use complex located in Honolulus Financial District and home to the famous Plaza Club. Efficiency is so important to Pioneer Plaza, LLC that they turned to the Power and Systems Inspection Group to conduct an energy feasibility study. We studied everything from lighting to heating, to ventilation and air conditioning, said Leslie Taniyama, vice president, Power and Systems Inspection Group. The study recognized the inefficiency of the original chiller plant and we recommended that the existing chillers be replaced within the next five years, added Taniyama. Power and Systems Inspection Group went on to design a solution. Efficiency was paramount, stated Brandon Metter, facilities engineer, Pioneer Plaza, LLC. However, the owners had other objectives, too. They wanted a multiple chiller plant with redundant pumps that used the existing electrical supply. Limitations on size and weight would also be considered. The original chillers could be distinctly heard in the Plaza Club so the owners wanted a substantial reduction in plant sound levels. As our objectives were listed, we knew we wanted to look at centrifugal chillers with variable frequency drives with the best life cycle cost, added Metter. Visits to Carriers chiller plant in Charlotte, North Carolina, and to a competitors facility were planned in order to take a closer look at centrifugal chillers. During each visit, Metter and Taniyama toured the manufacturing facilities and met with

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engineers. We were impressed with Carriers facility, their engineers, and their 19XRV Evergreen chillers and we have always been impressed with Carrier sales and service in Hawaii. We knew leaving Charlotte that the Carrier chillers were best for this job, stated Metter. Since start-up, The chillers are not only meeting our expectations, they are exceeding them, concluded Metter. With the CarrierOne interface to our EMCS, we have flexible control, which has led to energy savings of over 14% in the first five months of operation, while in one month the savings was over 20%, added Taniyama. Raynard Marquina, property manager for Pioneer Plaza, LLC agrees, The new chillers are working beyond expectations. We used to have to run both of the original chillers to handle the loads in the cooler months, but with the new chillers, we only had one running from December through April. We are seeing significant energy savings.

Solution Two 350-ton Carrier 19XRV Evergreen centrifugal chillers with variable speed drives and CarrierOne/BACnet interfaces were selected to replace two existing 300-ton centrifugal chillers. The 19XRVs efficiency, reliability, size, weight, low sound levels, R-134a refrigerant and the expertise of the Carrier engineering, sales, and service staff were all factors in selecting Carrier.

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APPENDICES AND ANNEXURE: Appendix I: The Earth Times FARMINGTON, Conn., March 3 /PRNewswire/ -- Carrier Corp., a unit of United Technologies Corp. , was honored recently with the Hartford Area Habitat for Humanity's first-ever Community Ambassadors Award. The organization recognized Carrier for its 10th corporate house sponsorship as well as its ongoing support. Carrier further supported the Hartford affiliate by donating 10 heating systems installed in new Habitat houses in 2007. "Carrier has paved the way for other companies as it has raised the bar on corporate giving and community service," said Hartford Habitat's Executive Director Michael J. Brett. "We are pleased to present them with the first Community Ambassadors Award." Carrier President Geraud Darnis accepted the award which was presented at Habitat's Board of Directors Annual Meeting in Hartford on Feb. 28. "This is a distinct honor for Carrier," said Darnis. "As part of our corporate commitment to social responsibility, we continuously seek opportunities to improve the communities where Carrier's employees and customers live and work. We feel privileged to have supported Habitat's efforts in the Greater Hartford community over the past decade and look forward to a strong partnership long into the future." A long-time partner of Habitat for Humanity, Carrier has donated more than $3 million in cash and equipment and built more than 100 homes on three continents. The company has enabled its employees to volunteer upwards of 26,000 hours with Habitat for Humanity affiliates around the world.

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"At Carrier, our purpose is to make the world a better place to live by creating a comfortable, productive and healthy environment," said Darnis. "We do that with our innovative products that are energy efficient and environmentally sound. We also fulfill our purpose through the actions of Carrier employees in their communities." Carrier supports organizations, such as Habitat for Humanity, that promote the use of green building practices and environmental sustainability in urban centers. It is in this spirit that Carrier helped the Hartford Area Habitat for Humanity incorporate green building practices into its homes in 2006. The Hartford Area Habitat for Humanity continues to design homes that meet ecologically sound building standards through the use of recycled materials, renewable resources and energy efficiency. About Carrier Corp. Carrier Corp., headquartered in Farmington, Conn., is the world's largest provider of heating, air-conditioning and refrigeration solutions. With 2007 revenues of $14.6 billion, Carrier has approximately 43,000 employees worldwide and operations in more than 170 countries. Carrier is part of United Technologies Corp., a Hartford, Connecticut-based provider of products and services to the aerospace and building systems industries worldwide. Annexure: Questionnaire This questionnaire was given to the current customers of CARRIER AC to find out that where the problem actually lie.

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QUESTIONNAIRE

YOUR SURVEY RESPONSES WILL BE STRICTLY CONFIDENTIAL AND DATA FROM THIS RESEARCH WILL BE REPORTED ONLY IN THE AGGREGATE.YOUR INFORMATION WILL BE CODED AND WILL REMAIN CONFIDENTIAL. Name: Address: Phone No:

1. Why did you prefer Carrier AC? Quality Cost Brand value Reference Service convenience

2. While you were deciding for the purchase of AC, which brand gave you most quick and easy access to its product information? LG Hitachi Samsung Carrier Videocon Other Specify_______

3. Based upon your most recent interaction with Carrier employee , how would you rate your overall satisfaction with us? Excellent Good Average Fair Poor

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4. Do you feel that your waiting time was: less that expected reasonable too long

5. How often did you find problem with Carrier AC? weekly monthly 1-3 times a year 4-6 times a year Other

6. How is the performance of your AC? Excellent Good Average Fair Poor

7. If given a chance to exchange your AC, will you be willing? Yes No

8. Which other brand would you prefer than carrier. LG Hitachi Samsung Voltas Videocon Other

9. Which of the following factors influence your decision to buy Air Conditioner? Cost After Sale services Other Specify_______ Maintenance Cooling Effect Electricity Bill

10. How would you rate our performance in the following areas? Exceeded Did not Met my my meet my expectation expectation expectation Employee cared about and understood my needs and concerns. Service delivery was timely and responsive. Employee was able to assist me or direct me to appropriate source. Employee was courteous and friendly.

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Employee was qualified, knowledgeable and wellinformed. Problem was handled in a professional manner. processes were easy to follow and/or clearly explained.

11. Please provide suggestions or comments for ways by which we can better serve your needs .

6. We strive to give our customers exceptional service every day. If you have received service that was beyond your normal expectation -- we'd like to hear about it.

Name of Employee: Department: Service Performed:

Thank you for taking the time to share your thoughts.

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