EXECUTIVE SUMMARY

Bajaj was a rewet learning experience in all total. Every day was challenging as

there was always something new to learn at every step. Every day was a market

survey and dealing with all sort of problems. Exposure to the market and its

industry taught me lot of things such as dealing with the customers, convincing

them to crack the deal, handing customers complaints. Also at Bajaj I dealt with

the dealers to convince them to tie-up with Bajaj for offering Retail EMI service

to the Bajaj Customers.

In doing all sort of thing I also experienced lot of things that I felt that has to be

sorted out for smooth working to the system suck like customer to opt for Bajaj

Retail EMI should be increased and in addition Retailers to offer the service

should also be increased.

Spending a weekend at the Central Mall of Future group was the best learning

experience one can had. All the dealer and customer dealing I learned were used

there at the same time to handle the situation and solve the problem.

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INTRODUCTION TO THE TOPIC

BAJAB FINSERV

Bajaj Finserv, a part of Bajaj Holdings & Investments Limited, is an Indian financial

services company focused on lending, asset management, wealth management and insurance.

The company through its joint ventures and subsidiaries employs over 20,000 employees and

has established a nationwide presence across over 1400 locations. The company is currently

engaged in consumer finance businesses, life insurance, and general insurance and has plans

to expand its business by offering a wide array of financial products and services in India.

BACKGROUND OF COMPANY

The financial services were transferred to Bajaj Finserv Limited (BFS) as part of the recently

concluded demerger from Bajaj Auto Limited, approved by the High Court of Judicature

at Bombay by its order dated 18 December 2007. The demerger was effective on 31 March

2007.

EMI CARD BY BAJAJ FINSERV

An EMI Card is simply a smarter way to buy consumer durables, digital and lifestyle

products. EMI Card offers various kind of benefits:

Pre-approved eligibility - The Bajaj Finserv EMI Card is a pre-approved loan in

your wallet.

Instant approval - The moment you choose your EMI plan and swipe your card, you

get an instant approval subject to the amount pre-approved to you.

Minimal documentation - Existing EMI card holders need not provide any

documents, as your EMI Card carries all the necessary documents that you require.

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Easy online shopping - Now online shopping gets easy and secured with Bajaj

Finserv EMI card. An OTP option is enabled to make your transaction safe.

Flexi tenor options - You have a range of options to choose your tenor from.

Zero foreclosure charges - You can choose to foreclose your loan anytime without

any extra charges.

Preapproved offers - As existing customer, you get exclusive pre-approved offers

from time to time, across a host of our partner retailers and manufacturers.

Online account access - You can get all information about your loan like payment

schedule, interest certificate, etc., through customer portal.

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BAJAJ PARTNER RETAILERS

EMI Card from Bajaj gives access to various kind of products that can be bought on EMI

bases. You just have to swipe your card on one of the Bajaj Retailers to buy the products.

Bajaj has a tie-up with various retailers to choose from.

Furniture

Give your home a makeover! From sofa sets and king sized beds to dining tables, shop for the

widest range of furniture with Lifestyle Finance from Bajaj Finserv. Complete list of retailers

and partners, as shown below.

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Fitness

From treadmills to cross trainers, Lifestyle Finance from Bajaj Finserv helps you buy the

latest fitness equipment on easy EMIs online or at Bajaj partner stores across the country.

Complete list of retailers and partners, as shown below.

Kitchen

A home isn’t perfect unless the Kitchen is. Lifestyle Finance from Bajaj Finserv helps you

give your kitchen the modular look. With partner stores in cities like Delhi, Chennai,

Mumbai, Kolkata, Bangalore, Pune etc., Bajaj provide everything to help you with the latest

modular kitchen designs. Complete list of retailers and partners, as shown below.

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Luxury Watches

Watch your time, change! Owning a luxury watch is now easy through Bajaj Finserv

Lifestyle Finance. Shop at partner outlets with the help of Bajaj in-store executives to assist

your purchase or use your EMI Card for instant shopping. Complete list of retailers and

partners, as shown below.

Cameras

You can buy cameras and accessories including lenses, tripods and studio equipment through

Bajaj Finserv Lifestyle Finance on easy EMI. Bajaj in store executives are present at all

partner outlets for assistance. You can also avail an EMI card to cut down the processing time

to just minutes. Complete list of retailers and partners, as shown below.

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Stem Cell

Mattress

 

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CHAPTER: 2

Company Information

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COMPANY INFORMATION

About Bajaj Finance Limited (now known as Bajaj Finserv)

At Bajaj we understand the primal desire to create a better and bolder reality. Trying to

achieve success is the fuel, the bare necessity that drives each and every one of us. We

understand that it comes with access to money as a precondition.

Today, Bajaj is the most diversified non-bank in the country, financing the widest set of

outcomes. The cornerstone of Bajaj success lies in simply understanding your issues and pain

points, and the fact that your pursuits are not limited to a few areas of your life only. Since,

Bajaj understand these issues, it is able to create products and services which places the

advantage in your court.

Bajaj is driven by the simple philosophy of ‘Go for Great’. For Bajaj, every milestone is an

indication to better ourselves further and improve on our achievements. Greatness is an

unending journey, and it is this journey that we celebrate.

Bajaj entire portfolio is designed to enable you to take control of your aspirations.

Aspirations as varied as improving your lifestyle, buying a home, indulging in that much

deserved family holiday to expanding your business or making that big acquisition, whatever

be your plan, Bajaj have the capability to support it.

Customers may wonder though that all banks and non-banks do it, so what’s the big deal?

There is.

It’s not just the width of Bajaj portfolio to support all your aspirations across all walks of

customer’s life, but also the fact that no one can do it faster. And that’s not it. Bajaj ensure

that your pursuits are not limited by limited access to finance by extending the biggest ticket

sizes across most of its portfolios.

Through Bajaj deep investments in technology, processes and people, Bajaj have ensured it

deliver what it promise. Bajaj partner with the best in the game across the world to cut

process time and sift out unnecessary details. Bajaj put a result oriented work culture ahead of

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everything else. Bajaj keep as much focus on simplifying life for our existing customers as it

does for acquiring new ones.

The net result - customers get what you need in lesser time, a more transparent manner,

giving you the control to create bigger and bolder outcomes.

Here is a quick overview of Bajaj’s portfolio of businesses:

Consumer Finance

Durable Finance 

Lifestyle Finance 

Digital Product Finance

EMI Card 

Salaried Personal Loan

Loan against FD

Extended warranty

Gold Loan

Professional Loan

Salaried Home Loan

SME Finance

E-commerce seller finance 

Self-Employed Home Loan 

Self-Employed Loan against Property 

Gold Loan 

Lease rental discounting 

Business Loan 

Loan Against Shares 

Professional Loan

Commercial Lending

Infrastructure Finance

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Vendor Financing

Investment

Fixed Deposit 

Mutual Funds

HISTORY OF THE COMPANY

Bajaj Finance Ltd (Formerly Known as Bajaj Auto Finance Ltd and know known as

Bajaj Finserv) is one of the leading Non-Banking Financial Corporation in India. The

company is a leading financier of two wheelers consumer durables personal computers and

personal loans. The Reserve Bank of India classified the company as an Asset Finance

Company. Bajaj Auto Finance Ltd was incorporated on March 25 1987 as a private limited

company. The company became a public limited company on October 27 1987. Initially the

company as was promoted by erstwhile Bajaj Auto Ltd and Bajaj Auto Holdings Ltd. As per

the scheme of de-merger of erstwhile Bajaj Auto Ltd the shareholding of Bajaj Auto Ltd in

the company has been vested with Bajaj Finserv Ltd. In order to offer various finance

schemes the company opened many branches in various locations throughout the country.

During the years 1991-95 the company opened their branch offices at Hyderabad New Delhi

Chennai Bangalore Mumbai Nagpur Vijayawada Nasik Vishakhapatnam Kolkata Goa

Madurai and Pune. During the year 1995-96 the company completed their first Real Estate

Project for Nayan Co-operative Housing Society Ltd at Pune. Also they opened their branch

offices at Baroda and Trivandrum. During the year 1998-2003 they opened their branch

offices at various places which include Chandigarh Cochin Indore Ludhiana Surat Kolhapur

Bhopal Bhubaneshwar Calicut Erode Jalgaon, Jalandhar, Kanpur, Lucknow, Raipur, Rajkot,

Salem, Solapur, Udaipur, Tirupati, Amaravati, Amritsar, Bhavnagar, Durgapur, Jamshedpur,

Jodhpur, Kopergaon, Mehsana, Mysore, Siliguri and Vellore. During the year 2003-04 the

company entered into the financing of Personal Computers. They opened their branch offices

at Hissar, Hubli, Patiala, Rourkela, Agra, Ahmednagar, Ajmer, Akola, Alwar, Ambala,

Anand, Bharuch, Bhilai, Chandrapur, Dindigul, Eluru, Guna, Gurgaon, Himatnagar, Jagadhri,

Jamnagar, Karaikudi, Karimnagar, Karur, Kottayam, Kurnool, Navsari, Nellore, Palghat,

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Rajahmundry, Sangli, Tanjore, Tirunelveli and Ujjain during the year 2004-05.During the

year 2005-06 the company opened Loan Shoppes with a view to enhance their direct

marketing activity and their brand awareness. They opened 22 shops and 14 new branch

offices during the financial year. During the year 2006-07 the company opened 11 new

branch offices in which the total number of branches has gone up to 113. Also they cover 280

towns through their branch network. The company launched new product lines / extensions

during the year 2007-08. They launched IPO financing for high net worth customer’s

acquisition of AAA rated securitization transactions personal loan cross sell program to their

existing customers and financing for personal computers to SMEs. The company has the plan

to diversify their product offerings and grow other retail finance product lines. In 2013 the

company makes Rights issue in the Ratio of 3:19. In 2014 the company acquires Bajaj

Financial Solutions for worth Rs 17cr. In 2015 Bajaj Finance subsidiary gets license to

commence housing finance business from National Housing Bank (NHB) Kattupalli Port in

Tamil Nadu.

PARTNERSHIP OF BAJAJ

Future Group

It’s a matter of great pride when two big names come together, to empower their consumers

to make smart choices.

Bajaj are happy to announce our alliance with India’s leading retail group - Future Group, to

enable customers to convert all their purchases from any of the Future Group formats into no

cost EMIs, thus ushering in a digital era of intelligent buying.

Both companies are working towards enabling every Bajaj Finserv EMI Card Holder with the

ability to convert their purchases into no cost EMIs, in real time, at the point of sale, by

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swiping their EMI Card at the POS machine. To further our bond, both companies are also

coming up with a co-branded EMI Card soon.

Brands and Their Categories

Bajaj customers across 98 cities can now avail no cost EMIs on products available under

Future Group formats such as Big Bazaar, FBB, Central, Brand Factory, Home Town and

Ezone from more than 400 stores. Soon, EMI financing will be available on other Future

Group brands such as Food hall, Easyday, as well as the online platform FabFurnish.com

With this tie-up, easy EMI financing now covers the complete spectrum of customers’ lives –

from grocery and household essentials, to fashion and accessories, from small appliances to

consumer durables, and from furniture to furnishing. This partnership has the breadth to fulfil

the needs of all Bajaj customers!

Financing Groceries

Big Bazaar is not just another hypermarket; it caters to every need of your family. For the

very first time, Bajaj Finserv EMI card customers can shop at Big Bazaar for groceries,

clothes and much more, at no cost EMIs. Customers can now divide their spends, starting

from Rs. 5,000, into no cost EMIs of up to 5 months. Big Bazaar is fast growing with 220

stores offering EMIs PAN India. What’s more you can even buy the Big Bazaar Profit Club

(BBPC) card on no cost EMIs on the Bajaj Finserv EMI card.

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Financing Clothes and Accessories

Fashion at Big Bazaar (FBB), India’s style hub is redefining affordable fashion since 2008.

At FBB, Bajaj Finserv EMI card customers can divide all they buy into no cost EMIs. Bill

amounts of Rs. 5,000 and above can be divided into EMIs of up to 5 months. Currently, 50

FBB stores, PAN India, are offering purchases on no cost EMIs.

Financing Clothes and Accessories

Central offers everything to the urban aspirational shopper and houses over 300 brands.

Customers can now shop for apparel and accessories with their Bajaj Finserv EMI card on no

cost EMIs of up to 5 months. The bill must amount to Rs. 5,000 or more. Currently, EMIs are

available in 31 stores PAN India.

Financing Clothes

Brand Factory, India's largest discount retail chain, gives Indian consumers the promise of

revolutionizing discount shopping by offering the best Indian and International brands.

Customers can now swipe their Bajaj Finserv EMI card and buy clothes on no cost EMIs over

5 months when they shop for Rs. 5,000 and above at Brand Factory. Currently 38 stores PAN

India offer EMIs.

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Financing Furniture and Furnishing

HomeTown offers customers a unique, personalized shopping experience, and has grown to

be India’s biggest store in homemaking, renovation and décor. Furniture, furnishings and

small appliances are now available on easy EMIs at Home Town with Bajaj Finserv EMI

card. Currently, 35 stores, PAN India, offer EMIs.

Financing Electronics

EZone houses the best of national and international electronics brands and Bajaj Finserv EMI

card customers can now buy their favorite gadgets on easy EMIs from Ezone. Currently, 42

Ezone stores offer no cost EMIs.

SWOT ANALYSIS

SWOT analysis is a process that identifies the strengths, weaknesses, opportunities and

threats of an organization. Specifically, SWOT is a basic, analytical framework that assesses

what an organization can and cannot do, as well as its potential opportunities and threats. A

SWOT analysis takes information from an environmental analysis and separates it into

internal strengths and weaknesses, as well as its external opportunities and threats.

Strengths

Monetary assistance provided

Domestic market

High growth rate

Barriers of market entry

Existing distribution and sales networks 

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Weaknesses

Tax structure

Opportunities

New markets

Growing demand

Venture capital

Growth rates and profitability

Threats

Government regulations

Price changes

Cash flow

Financial capacity

Technological problem

Growing competition and lower profitability

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CHAPTER: 3

METHODOLOGY

METHODOLOGY

Literature Review

Bajaj Finance ties up with retailers for loans to buyers for clothes, shoes, watches

Bajaj Finance has tied up with retailers and brands for loans tailor made for buyers of clothes,

shoes, watches, eyewear and fashion accessories, making it the first such scheme to be rolled

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out in India. The retailers will bear the interest component of the loan, making it a no-cost

equated monthly instalment (EMI) option for the consumer.

Bajaj has tied up with the likes of Flipkart, AND, Global Desi, Benetton, Me & Mom, and

hundreds of local retailers, and is in advanced stages of rolling out the scheme with other

large retail chains. Consumers running up a bill value exceeding Rs. 5,000 can opt for the

scheme.

Bajaj Finance president (consumer business) Devang Mody said consumers today have

access to all the aspirational fashion brands, but their lower wallet size remains a concern.

"Retail fashion finance is common in Western markets done by Gap, Target, Macy's and

Walmart, so it was a natural extension for us as well," he said.

Consumers are still skeptical about big-ticket purchases and prefer to limit buying to mostly

discount sales and the festival season, though the economic environment has improved since

then. Bajaj has also forayed into travel and holiday finance by partnering with Cox & Kings.

Next on its cards is a finance scheme for grocery, too. 

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PROBLEM STATEMENT AND IMPORTANCE OF THE STUDY

Customer Related issues –

Trust the EMI option or not

Find the right place to use the EMI option

How to use the EMI option

How to make the EMI CARD

Dealers Related issues -

Opt for the Bajaj Finserv machine or web portal

Documentation required to avail the Bajaj service

Bajaj customers flow

Settlement of the EMI Account

The study was important to find out what problems are faced the customers and dealers with

the EMI option given by Bajaj and why they face such problem. Come up with a proper

solution for the problem and make it easily available to the customers and dealers so that their

problem could easily be solved as fast as possible.

LIMITATION OF THE STUDY

There are certain limitations under this project which includes:

The study is limited to one city only, hence generalization cannot be made.

This being an academic study suffers from cost and time constraints.

Unfair and mixed feedback by customers.

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CHAPTER: 4

RESEARCH

METHODOLOGY

RESEARCH METHODOLOGY

MEANING OF RESEARCH

Research in general refers to the search of knowledge. One can also define research as a

scientific & systematic collection of information.

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In simple words, research is the careful investigation or enquiry of markets especially through

search for new facts in any branch of knowledge.

Research is Scientific and systematic search for gaining information and knowledge on a

specific topic or phenomena.

Research refers to the systematic method consisting of:

Enunciating the problem,

Formulating a hypothesis,

Collecting the fact or data,

Analyzing the facts and

Reaching certain conclusions either in the form of solutions towards the concerned

problem or in certain generals for some theoretical formulation.

Research methodology is a way to systematically solve the research problem. It may be

understood as the science of studying how research is done. Research in the common

parlance refers to a search for knowledge.

RESEARCH DESIGN USED

The research design used in this project report is descriptive research design. A Descriptive

research design is a scientific method, which involves observing and describing the behavior

of a subject without influencing it in any way.

The methods used in context of this research design are:

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The survey of concerning literature,

Experience Survey.

The important features of this research design are listed as follows:

The sampling design used is Non-Probability Sampling design and it is flexible in

nature.

There is a no pre-planned design for the analysis.

No fixed decisions about the logistics operational procedures.

WHY DESCRIPTIVE TYPE RESEARCH METHODOLOGY

The purpose of descriptive research design is in descriptive state. The main characteristic is

that the research has no control over the variables; he can only report what has happened or

what is happening. In this project all primary data has been taken by researcher to know

about the perspective of customers and dealers for Bajaj Retail EMI Service. These primary

data have been collected through the questionnaire.

SOURCES OF DATA COLLECTIONThe information has been collected from both Primary and Secondary sources of information.

1. Primary Data

Primary Information has been collected through Observations, talking to dealers and

customers through the complete field work (by going into the market) in the areas of

North-West Delhi. Primary information has been collected through various techniques:

Discussions: Discussions form a very important part of primary information

collection. Discussion includes discussion with every small person in the

hierarchy from retailer, merchandiser, Sales Officers and Area Sales

Managers.

Interviews: Interviews were conducted with the Dealers and customers which

was my main focus so as to know where they have issues with the services

offered by Bajaj.

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Observations: Information has also been collected by directly visiting the

fields, markets so as to know the view points of the dealers and customers

about services provided by us.

2. Secondary Data

Secondary Information has been collected by going through the number of reports of

Bajaj REMI Department that was updated daily by Bajaj Head Office.

The reports give us large amount of data but from that huge bulk of data you need to

analyze what is useful for you and what is not. Depending upon your analysis

framework, one can formulate his/her further strategy.

POPULATION SIZE

The effective population size (Ne) is defined as "the number of breeding individuals in an

idealized population that would show the same amount of dispersion of allele frequencies

under random genetic drift or the same amount of inbreeding as the population under

consideration

POPULATION SIZE OF DEALERS - 100 DEALERS

POPULATION SIZE OF CUSTOMERS - 200 CUSTOMERS

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CHAPTER : 5

DATA ANALYSIS

&INTERPRETATION

DATA ANALYSIS AND INTERPRETATION

DATA COLLECTEDISSUES RELATED TO CUSTOMERS

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ISSUE 1: CUSTOMERS TRUSTING BAJAJ Retail EMI SERVICE

YES ; 65%

NO; 10%

NOT SURE; 25%

Trust Bajaj Retail EMI OPTION

YES NO NOT SURE

Responses Trust Bajaj Retail EMI OPTIONYES 65%NO 10%NOT SURE 25%

INTERPRETATION: 65% of the customer trust the Bajaj Retail EMI option whereas 10%

customer don’t trust the option and 25% customer are not sure for the EMI option.

ISSUE 2: Bajaj having enough stores where Retail EMI facility can be availed

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Table 5.1

Figure 5.1

ENOUGH STORES; 65%

MORE STOES NEEDED; 35%

Enough store to avail Babaj Retail EMI option

ENOUGH STORES MORE STOES NEEDED

INTERPRETATION: 65% of the customers are satisfied with the number of store that

Bajaj has tied up with, while other 35% of the customers think that Bajaj need to tie up with

more stores which could offer more Retail EMI facility.

ISSUE 3: Customer find Bajaj Retail EMI facility useful

Useful Facil-ity; 72%

Not Useful; 28%

Bajaj Retail EMI facility useful

Useful Facility Not Useful INTERPRETATION: 72% customers find the EMI facility

useful as they are able to purchase high price items and pay for it in instalment with zero

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Figure 5.2

Figure 5.3

interest instead of paying full payment right away while 28% customer like to pay full

payment at time of purchase.

ISSUES RELATED TO BAJAJ DEALERS

ISSUE 1: Documentation problem faced by dealer for tip up with Bajaj for giving EMI

facility

YES; 10%

NO; 90%

Documention problem faced for tip up with Bajaj

YES NO

INTERPRETATION: 90% of the dealers found the tip up process easy as far as the

documentation is concerned while other 10% find it very complex and time consuming.

ISSUE 2: Opt for Card Swipe Machine or Web Portal to provide Bajaj Retail EMI Service

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Table 5.2

Figure 5.4

SWIPE MACHINE; 95%

Web Portal; 5%

Opt for Card Swipe Machine or Web Portal

SWIPE MACHINE Web Portal

INTERPRETATION: 95% of the dealers opted for Card Swipe

Machine while other 5% opted for online Web Portal offered by Bajaj to provide Retail EMI

service to the customers.

ISSUE 3: Problem faced by dealers with the customer inflow who want to avail Retail EMI

service

High Inflow; 50%

Low Inflow; 20%

No Inflow; 30%

Problem faced with customer inflow

High Inflow Low Inflow No Inflow

INTERPRETATION: 50% the dealers have high inflow of customers who want to avail

Bajaj Retail EMI service while 20% of the dealers have low inflow and 30% dealers have no

inflow.

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Figure 5.5

Figure 5.6

ISSUE 4: Account settlement after offering EMI service to Bajaj customers.

Problem Faced; 1%

No Problem Faced; 99%

Account Settlement Problem

Problem Faced No Problem Faced

INTERPRETION: 99% dealers were satisfied with their account while 1% faced settlement

problem.

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Figure 5.7

CHAPTER : 6

FINDINGS,

CONCLUSIONS AND

RECOMMENDATIONS

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FINDINGS, CONCLUSIONS AND RECOMMENDATIONS

FINDINGS AND CONCLUSION OF THE PROJECT

Most of the customer find the Retail EMI service useful.

Customers want more stores where they can avail Retail EMI service useful.

Dealers are more interested to tie up with Bajaj to increase customer inflow

and the ticket size of customer purchase.

Customer service is available for customer assistance.

RECOMMENDATIONS

Bajaj should increase the number of tie ups with the stores for its customer’s facility.

Customer service quality need to be improved.

Customer must have an option to pay his entire EMI amount in single payment if he

wants to.

More offers must be given to the dealers and customers to increase the market share.

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BIBLIOGRAPHY

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BIBLIOGRAPHYREPORTS

Bajaj updated reports.

WEB SITES

http://www.business-standard.com/company/bajaj-fin-3722/information/company- history

https://www.bajajfinserv.in/finance/about-us/partnerships.aspx https://www.bajajfinserv.in/finance/about-us/strategy-drivers.aspx?

utm_source=Organic&utm_medium=website_top_navigation_Strategy_Drivers&utm_campaign=Finance_Strategy_Drivers_April16

https://www.bajajfinserv.in/finance/emi-cards/salaried-emi-cards.aspx? utm_source=organic&utm_medium=website_top_navigation_for_salaried&utm_campaign=finance_EMIC_product_page_generic_october

https://www.bajajfinserv.in/finance/offers-and-promotions.aspx? utm_source=organic&utm_medium=product_page_banner_view_offers&utm_campaign=finance_generic_december

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