Preference of Consumers towards ‘B’ Segment Cars – A Study of Punjab

Since the adoption of the policy of liberalization, privatization and globalization (LPG) in India in 1991, there has been rise in the level of competitiveness in Indian market. The companies attempt to introduce lucrative and innovative schemes for their customers in order to get an edge over its competitors. On the one hand affluence amongst Indian customers has increased on the other hand easy availability of loans from various financial corporations has led to increase in the demand for cars in Indian market. Keeping in view the rising demand of cars in India, this paper is an attempt to look into various factors that affect the preference of consumers towards “B” segment cars. The sample size was 200 respondents from the state of Punjab. The results from factor analysis yielded 12 factors that affect the preference of the consumers for ‘B’ segment cars the most.