Determinants of Automobile Brand Choice

Dr. Martina Noronha
Vice Principal,
Head, Dept. Of Accountancy
S.P.B English Medium College of Commerce, Surat.
Mobile no. : +91 99982 21321
Dipti Arora
Assistant Professor
D. R. Patel and R.B. Patel Commerce College, Surat.

Automotive industry plays a vital role in country’s economic and industrial development. It is one of the fastest growing sectors in the world. De-licensing in 1991 and subsequent 100% FDI in the sector has put the Indian automobile industry on a new growth trajectory, which attracted foreign auto giants to set up their production facilities in the country to take advantage of the various benefits it offers. Large middle class population, growing earning power and strong technological capability have been boosting automobile demand for the past few years. The purpose of this paper is to create a deeper consideration of factors that influence consumer choice of one automobile brand over another. The research paper explored the proposition that brand choice behaviour is influenced by five consumption values, these being functional, social, emotional, conditional and epistemic values using SNG(1991a) theory of consumption values model. Convenient random sampling was employed and 215 car users of different automobile brand were considered for study. Method of factor analysis was used to identify variables that influence consumer choice of one brand over another. Krushal –Wallis test was applied in accordance to the objectives of study. Results of study confirms that automobile brand choice behaviour is influenced by consumption values as given in SNG (1991) theory of consumption value model. This type of study provides insight to the marketers to establish a particular niche for particular consumers and cater to their individual needs and influencing consumer brand choice in their favour, ultimately leading to enhanced brand equity and financial brand value.