1.

1 Introduction

Current scenario of real estate market in India commercial real estate sector India .In the
last fifteen years, post liberalization of the economy, Indian real estate business is in
boom in has taken an upturn and is expected to grow from the current USD 14 billion to
USD 102 billion in the next ten year .this growth can be attributed to favourable
demographics, increasing purchasing power, existence of customer friendly banks and
housing finance companies, professionalism in real estate and favourable reforms
initiated by the government to attract global investors characteristics of the real estate
market in India. Emergence of transparency and liquidity, Entry of international real
estate in consultancy, governing legal frame work relaxed, competitive pricing,
Realization of large commercial project, IPO’s by developers, Graduals organization of
the markets in the Tiers I cities growing market demand. Cause effect scenario leading to
emergence of organized real estate market in India the property market in India has
traditionally been unorganized and fragmented.

However, the recent past has been a consolidation of position in the market as developers
are stretching their capacities to the maximum in order to meet the growing market
demand, which in turn has encouraged large projects with sourced financing. The IPO’s
by large real estate developers are stretching their capacities to the maximum in order to
meet the growing market demand, which in turn has engorged large projects with sourced
financing. The IPO’s by large real estate developers like Sobha, Raheja and DLF have
led to organization of the market in the I cities, but the Tier II and Tier III cities still
demonstrate the traits of an unorganized market. Customer satisfaction has become
increasingly important in real estate. Intensified competitive pressure with more demand
from the customer force company to seek competitive advantage from customer
orientation. Customer satisfaction has become an important factor alongside traditional
parameters such as quality, schedule and costs. Increasingly, customer satisfaction has
become an essential part of performance criteria in real estate, as well. Traditionally,
success in real estate is measured through the iron triangle: budget, quality and costs. The
objective of this paper is to examine customer satisfaction with construction. First, it
presents an overview of the customer satisfaction. Subsequently, the result of data
analysis and finding are presented. Finally some conclusions are also presented.

1
The data of the study were generated by the real estate quality association which is an
independent joint association representing real estate industry .customer feedback system
is enables benchmarking of customer satisfaction with in the real estate industry. The
feedback system is provide a workable and resource saving alternative for collecting
customer feedback .feedback information may be consider more objective than the own
feedback.

The Planning Commission of India defines ‘Real estate’ as land, including the air above
it and the ground below it, and any buildings or structures on it. It is also referred to
as realty.

It covers residential housing, commercial offices, trading spaces such as theatres, hotels
and restaurants, retail outlets, industrial buildings such as factories and government
buildings. The activities of the real estate sector encompass the housing and construction
sectors also.

Real estate business involves transactions, such as purchase, sale, and development of
land, residential and non-residential buildings. Major players in the real estate market are
the land owners, developers, builders, real estate agents, tenants, buyers etc.

Indian cities are normally categorised into three tiers:

Tier I comprises the Delhi, Mumbai and Bangalore.

Tier II consists of Hyderabad, Pune and Chennai, the cities targeted by companies as
alternative off shoring destinations and which now possess a well-trained pool of skilled
labour. According to a Deutch Bank (DB) Research the cost advantage of Tier II cities
over those in Tier I is estimated at 15% to 20%.

Tier III cities: But given the rising costs in Tier II cities in recent years, companies are
increasingly eyeing Tier III cities. These are cities with populations of more than a
million (10 lakes) are not yet completely established as outsourcing and off shoring
destinations. Their absolute cost advantage over Tier I cities is estimated at between 15%
and 30% by the same DB Research.

2
As real estate construction and values have expanded in India buoyed by healthy
economic growth, and coupled with a series of IPOs by property firms so in recent years
has India's property sector changed substantially. These trends of growth and
modernisation are set to continue, with some market participants forecasting that real
estate development in India will grow from US$12 billion in 2005 to US$90 billion by
2015.

In addition, international capital has become more interested in Indian property and is
seeking transparent and liquid ways to invest. Furthermore, with a more global property
market, the level of competition in the Indian property business is rising, while the need
for property firms to strengthen their operational infrastructures, personnel and finances
to better compete is also becoming more acute.

India's GDP growth rate has averaged more than 8% over last few years, up from an
average of around 6% during the 1990s and has touched the 9% last fiscal. India emerged
as a land of opportunities.

The principle drivers of India's GDP are changing demographics, rising levels of foreign
investment, a vibrant services sector powered by the IT and ITES sectors and buoyant
exports. Notwithstanding concerns over lack of structural reform, these factors are likely
to be sustained in the foreseeable future, resulting in continued strong GDP growth.

This economic growth has, in turn, stimulated demand for property to help meet the
needs of business, such as modern offices, warehouses, hotels and retail shopping
centres. It has also boosted housing demand as a wealthier populace seeks upgraded
accommodation. Moreover, shrinking household size and improved access to housing
finance have boosted the demand for residential property. Tax incentives have also been
granted to interest and principal paid on home loans, which has made owner-occupied
property more attractive.

Real estate development, or property development, is a multifaceted business,

encompassing activities that range from the renovation and re-lease of
existing buildings to the purchase of raw land and the sale of improved land or parcels to
others. Developers are the coordinators of the activities, converting ideas on paper into
real property. Real estate development is different from construction, although many
developers also construct. Developer Louis lesser drew the distinction in a 1963 New

3
York Times article, "Developing is the key word.’We don't build ourselves', Mr. Lesser
stresses. 'We buy the land, finance the deal, and then we have the best builders build
under bond at a fixed cost.

Developers buy land, finance real estate deals, build or have builders build projects,
create, imagine, control and orchestrate the process of development from the beginning to
end. Developers usually take the greatest risk in the creation or renovation of real estate
—and receive the greatest rewards. Typically, developers purchase a tract of land,
determine the marketing of the property, develop the building program and design, obtain
the necessary public approval and financing, build the structure, and lease, manage, and
ultimately sell it.]Developers work with many different counterparts along each step of
this process, including architects, city planners, engineers, surveyors, inspectors,
contractors, leasing agents and more In the town and country planning.

No single path leads automatically to success in real estate development. Developers

come from a variety of disciplines construction, lending, architecture, law and
accounting, among others. Recent specialized programs that award a Masterof Real
EstateDevelopment (MRED) degree are also available. The graduate programs in real
estate development are the most comprehensive education in the industry. Other formal
education includes Master of Science in real estate (MSRE), or an MBA

A development team can be put together in one of several ways. At one extreme, a large
company might include many services, from architecture to engineering. At the other end
of the spectrum, a development company might consist of one principal and a few staff
who hire or contract with other companies and professionals for each service as needed.

Assembling a team of professionals to address the environmental, economic, physical

and political issues inherent in a complex development project is critical. A developer's
success depends on the ability to coordinate the completion of a series of interrelated
activities efficiently and at the appropriate time.

The development process requires skills of many professionals: architects, landscape

architects, civil engineers and site planners to address project design; market consultants
to determine demand and a project's economics; attorneys to handle agreements and
government approvals; environmentalconsultants and soils engineers to analyse a site's
physical limitations and environmental impacts; surveyors and title companies to provide

4
legal descriptions of a property; and lenders to provide financing. General and sub-
contractors create the visual results of development. In depth knowledge of how each
functions and prices their work is critical to control costs and create a quality project. The
late Arthur N Levien a prominent developer once described a real estate developer as
follows "a real estate developer is a person who is not an architect, engineer, plumber,
iron worker, attorney, appraiser, or any of the dozens of other professionals involved in
the real estate development process. It is however someone that knows what each one of
them does in detail so as to get exactly what he or she wants from each of them.

Subdivision of land is the principal mechanism by which communities are developed.

Technically, subdivision describes the legal and physical steps a developer must take to
convert raw land into developed land. Subdivision is a vital part of a community's
growth, determining its appearance, the mix of its land uses, and its infrastructure,
including roads, drainage systems, water, sewerage, and public utilities.

In general, land development is the riskiest but most profitable technique as it is so

dependent on the public sector for approvals and infrastructure and because it involves a
long investment period with no positive cash flow.

After subdivision is complete, the developer usually markets the land to a home builder
or other end user, for such uses as a warehouse or shopping centre. In any case, use of
spatial tools mitigates the risk of these developers by modelling the population trends and
demographic make-up of the sort of customers a home builder or retailer would like to
have surrounding their new development.

Porter (1985) suggested that a competitive advantage exists when an organisation

maintains an edge over its rivals in retaining customers and in positioning itself to
takeadvantage of environmental changes. Under these circumstances, successful service
organisations realize the importance of carefully monitoring and managing of customer
satisfaction (Bitner et al., 1994).Satisfaction is an “overall customer attitude towards a
service provider” (Lévesque and McDougall, 1996, p. 14) or according to Zineldin
(2000) an emotional reaction to the difference between what customers anticipate and
what they receive.

5
When customers satisfied, they are more likely to return, while dissatisfied customers are
more likely to go elsewhere (Heskett et al., 1994; Strauss et al., 2001; Zaire, 2000).Since,
customer satisfaction is strongly influenced by the interaction betweencustomers and
employees (Boshoff and Tait, 1996), examining employee behaviour is critical.
Employee behaviour, though, is strongly influenced by the operating organisational
culture (Chow et al., 2002; Ferris et al., 1998; Pratt and Beaulieu, 1992; Schein, 1996), “a
system of shared values and beliefs that produces norms of behaviour and establishes an
organisational way of life” (Koberg and Chusmir, 1987, p. 397). Where the existing
literature relates organisational culture and customer satisfaction, those links are either
theoretical or indirect (Gowing and Lindholm, 2002; Gupta et al., 2005). Against this
background, this study aims to explore the way that culture relates to customer
satisfaction in a service setting, based on front-line employees’ perceptions. However,
Darby et al.’s (1997) concluded that customer service orientation correlates positively
with different measures of customer satisfaction, and consequently it is assumed in this
paper that the degree to which front-line employees are oriented towards customer
satisfaction is an indicative measure of customer satisfaction. Moreover, since there is
some evidence of differences between employees holding managerial and non-
managerial positions in terms of organisational culture (Darby and Daniel, 1999;
Schneider et al., 1998) and customer service orientation (Babin and Boles, 1996; Martin
and Fraser, 2002), this study looked for possible variations in the effect that
organisational culture has on customer service orientation, based on job position.

Written by Paul Hague and Nick Hague

It seems self-evident that companies should try to satisfy their customers. Satisfied
customers usually return and buy more, they tell other people about their experiences,
and they may well pay a premium for the privilege of doing business with a supplier they
trust. Statistics are bandied around that suggest that the cost of keeping a customer is only
one tenth of winning a new one. Therefore, when we win a customer, we should hang on
to them.

Why is it that we can think of more examples of companies failing to satisfy us rather
than when we have been satisfied? There could be a number of reasons for this. When we
buy a product or service, we expect it to be right. We don’t jump up and down with glee
saying “isn’t it wonderful, it actually worked”. That is what we paid our money for. Add

6
to this our world of ever exacting standards. We now have products available to us that
would astound our great grandparents and yet we quickly become used to them. The bar
is getting higher and higher. At the same time our lives are ever more complicated with
higher stress levels. Delighting customers and achieving high customer satisfaction
scores in this environment is ever more difficult. And even if your customers are
completely satisfied with your product or service, significant chunks of them could leave
you and start doing business with your competition.

A market trader has a continuous finger on the pulse of customer satisfaction. Direct
contact with customers indicates what he is doing right or where he is going wrong. Such
informal feedback is valuable in any company but hard to formalise and control in
anything much larger than a corner shop. For this reason surveys are necessary to
measure and track customer satisfaction.

Developing a customer satisfaction programme is not just about carrying out a survey.
Surveys provide the reading that shows where attention is required but in many respects,
this is the easy part. Very often, major long lasting improvements need a fundamental
transformation in the company, probably involving training of the staff, possibly
involving cultural change. The result should be financially beneficial with less customer
churn, higher market shares, premium prices, stronger brands and reputation, and happier
staff. However, there is a price to pay for these improvements. Costs will be incurred in
the market research survey. Time will be spent working out an action plan. Training may
well be required to improve the customer service. The implications of customer
satisfaction surveys go far beyond the survey itself and will only be successful if fully
supported by the echelons of senior management.

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1.2 Rational of the Study

This research project is carried out to compare the customer satisfaction of THE
APOLLO GROUP and NARIMAN CITY with reference to Indore city. It will provide
the detailed information about both the township and it will also help to compare the
effectiveness of both. After this research project it will be helpful where to invest in an
affordable price which satisfied customer needs and wants.

8
1.3 Conceptual Framework

Nariman City: -NARIMAN CITY is India largest Real Estate Company in terms of
revenues earnings markets capitalization and developable area. It has over 60 year of
track record of the sustain growth, customer satisfaction and innovation the company has
399 msf of plan projects with 56 msf of project under construction NARIMAN CITY
primary business is development of commercial residential and retail properties. The
company has unique business model with earnings arising from development in rentals.
Its exposure business segments geographic mitigate and down cycles in the market
NARIMAN CITY has also forayed into infrastructure SEZ and hotel business.

DevelopmentBusinesses:-the development business of NARIMAN CITY and

commercial complex.

The home business caters to three segments.

1. Supper luxury

2. Luxury

3. Mid income

Annuity business: -The annuity business consists of the rental businesses of offices and
retail.

9
The Apollo Group

Apollo group the Real Estate Company of India is coming up in a phase wise manner.
Apollo township spread cities all cross India has total land area of over 27000 acres
(nearly 11000 hectors) the township spread over to 100 to 300 acres are being
constructed in two phases the 1st phase is in progress 102 cities. Apollo Groups proved
more than 7000000 homes across the country. Apollo Group ho9mes provide a range of
facility translating into quality life cycle and good community living to its residence
Apollo Group township are primarily residential in the sales price are in an affordable
range of rupee 2500 per Sq ft. to 3000 per Sq ft. Apollo Group constructing eco
friendlyself-contain residential city.

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2.1 Review of Literature

(A) Review of real estate in Indore:

In Indore there are lot of Companies Operating in Real Estate Industry such as:

1. Nariman City (Naman Equipment’s and Construction (I) pvt. LTD.):

History of company

Company has emerged as one of the most progressive and multi-faceted real estate and
construction entities in the country. Our set goal was to make Nariman City Leading Real
Estate Company. 2 & 3 BHK Residential Apartments & Plots at Super Corridor, Indore
Our Company has emerged as one of the most progressive and multi-faceted real estate
and construction entities in the country. Our set goal was to make Nariman city leading
Real Estate Company. Time bound project completion, prompt delivery, proper
documentation and transparent dealings are our hallmarks. Besides self growth, we made
housing plots affordable to a common man and offered ample growth opportunities and
ROI to its associates, customers and Investors NarimanCity is a premium residential
project which is wrapped in an aura of stylish and beautiful living. Whether it is well
planned construction on attractive amenities, at Nariman City one would not require to
sacrifice quality.

The project offers Plots and 2-3 BHK flats to suit the modern lifestyle. The superbly
planned flats are surrounded by lush green environment; Vastu construction with
marvellous architecture lands an open and airy feel with plenty of light and ventilation.

Other Projects: nariman enclave, nariman point

Residential Apartments/ plots

Area Range: 1000 to 1800 sq. ft.

Price: Rs. 2099 per sq. ft.

Plots- 1321 to 1600 sq. ft. Rs 2300 sq. ft

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Location: Super Corridor, Indore

Unit Specification

Type Area Price9(per sq.ft)

Flat 1000 to 1800sq.ft 2099sq.ft

Plots 1321 to 1600sq.ft 2300Sq.ft

Amenities

 Power Backup

 Move Easily With Lift

 Rain Water Harvesting

 Relax In Club

 Swimming Pool

 Security Available

 Reserved Car Park

 Health Club

 Staff Quarter

 Feel The Nature At Park

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2. The Apollo Group

History of company

APOLLO CREATIONS PVT. LTD. is a multi-faceted real estate development firm with
strong working knowledge in the areas of Real estate development and construction. The
Apollo Group was founded in 1987 to develop, manage and lease predominantly Group
controlled projects and has expanded to all areas of the real estate spectrum and beyond.

The Group has successfully developed more than 1.5 million square feet of commercial
& residential space in a number of different venues and developed over 200 acres of land
as residential colonies. The Group has continued to make a positive impact in all its
projects and has utilized these experiences to benefit clients and associates. This
characteristic of moulding each situation into a successful transaction has resulted in
allowing The Group to emerge from the turbulent market of the late 1980's, through the
1990's, and into the 2000's stronger than ever.

The key to Group success is regional focus, which facilitates our hands-on intensive
management and an in-depth knowledge of property and its local market. This
concentrated focus will give valuable insight to the customer needs and also take care of
communities' need surrounding each property. BHASKAR GROUP, a group of Rs.2000
corers turnover founded 50 years ago as a group of Newspaper Publication but came into
limelight since 80's and over a period it had diversified into Textile, Solvent Extraction,
Oil Refinery, Vanaspati, Export of Polished semi-precious stones, TV media and
Information technology

Location: Nipania, Indore

Size: 690 - 2615 Sq. Ft. | Plans: 1 - 4 Bhk

Unit Specification

Type Rates Price(per sq.ft)

1Bhk 690 - 695sq.ft 3000sq.ft

2Bhk 1130 -1380sq.ft 3000sq.ft

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 3Bhk 1527-1528sq.ft 3350sq.ft

4Bhk 2615sq.ft 3350sq.ft

Other projects:

Amenities

Common Buildings
Club House

Sports
Sports Facility, Kids Play Area, Gym

Landscape
Landscape Garden/Park, Paved Compound, Open Space

Water/Gas/Power
Power Backup, Rain Water Harvesting

Others
Lift, Car Parking, Vastu

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(B) Research Paper for Customer Satisfaction

What is Customer Satisfaction?

Research has identified a core set of attributes and actions of successful customer service
organizations within the market economy. Regardless of whether these organizations
provide goods or services, they recognize that satisfied customers are the key to their
success. They focus on achieving 100 percent customer satisfaction and embed this
priority throughout the organization from top to bottom with a solid framework of
policies, practices and information.

Achieving high levels of customer satisfaction requires that organizations continually

monitor and examine the experiences, opinions, and suggestions of their customers and
people who are potential customers. Improving service quality to meet customers’
standards is an ongoing part of doing business. In this way, customers drive the market
and the organization.

At the same time that organizations act to attract and satisfy customers, the customers
themselves exercise ultimate influence. Their satisfaction depends on both their
expectations and their treatment. Through their choices, customers decide which
organizations survive and thrive, determine what goods and services are available and
shape how they are provided. In addition to using their purchasing power informed
consumers can shape the marketplace by communicating their preferences and standards
to organizations that are poised to listen and respond.

Customer satisfaction in service industries to survive in highly competitive markets,

organisations need to provide services that yield highly satisfied and loyal customers
(Westbrook and Oliver, 1991).

15
Why Customer Satisfaction is Important in the Business World

Market-oriented industries and organizations live and die with the satisfaction of their
customers and thus view customer satisfaction as their life line. In these industries,
extensive efforts are made to gauge customer expectations and reactions to services in a
continuous effort to improve, build and expand market share. If their customers are
unhappy, industries know they are unlikely to survive. If their customers are happy, the
use of their products and services and the likelihood of greater profits increase.

The Ritz-Carlton, which has a 100 percent customer satisfaction mission, is credited with
leading a transformation of the hotel industry. The company is the only two-time
recipient of the prestigious Malcolm Baldrige National Quality Award in the service
category. Upon winning the second Award, the company reported that dedication to
customer satisfaction was reflected in financial performance—with its pre-tax return on
investment doubling in four years and its industry market share exceeding the average by
300 percent.

Marketing experts maintain that satisfied customers are critical to profitability because
they:

Stay with the company longer as repeat customers,

Deepen their relationship with the company,

Demonstrate less price sensitivity, and

Recommend the company’s products or services to others.

According to some, customer satisfaction is more important in the current market place
than ever before. In the past, businesses relied on technology and product innovation for
competitive advantage. With global competition, relentless technological advances, and
over-consolidated, standardized chains, companies now battle for differentiation through
customer service. “Big business attitude must give way to a small business mentality
where front-line associates treat customers with sign.

16
Customer satisfaction is defined as an "evaluation of the perceived discrepancy service
quality and customer satisfaction are important concepts to academic Researchers
studying consumer evaluations and to practitioners as a means of Creating competitive
advantages and customer loyalty.

This article presents two Studies that rely on divergent methodologies to examine
whether or not quality and satisfaction has distinct antecedent causes, consequential
effects, or both (i.e., whether or not they should be considered a single construct, or
distinct, Separable constructs). We focus on consumers’ understanding and use of the
Words quality and satisfaction in both studies, respondents report whether or not they
think quality and satisfaction differ, and if so, on what dimensions or under what
circumstances. In the first study, we use the qualitative “critical incident “Technique to
elicit service attributes that are salient to respondents when prompted to consider quality
and satisfaction as distinct. We codec the responses to these open-ended survey questions
to examine whether quality can be teased Apart from satisfaction, from the respondents’
(consumers’) perspective. In the Second study, to triangulate on the qualitative data, we
experimentally manipulated a number of service attributes drawn from both the first
study and from the Literature to see whether or not they have differential impacts on
judgments of Quality and satisfaction. We did not presuppose that quality and
satisfaction Differ-rather, we asked respondents to make a judgment either of quality or
of Satisfaction, defining the term as they saw fit. We inferred from their judgments
between prior Expectations and the actual performance of the product" (Tse and Wilton,
1988,)

Customer satisfaction with a company's products or services is often seen as the key to a
company's success and long-term competitiveness. In the context of relationship
marketing, customer satisfaction is often viewed as a central determinant of customer
retention. However, the few empirical investigations in this area indicate that a direct
relationship between these constructs is weak or even nonexistent. The overall purpose of
this article is to develop a conceptual foundation for investigating the customer retention
process, with the use of the concepts of customer satisfaction and relationship quality.
The article involves a critical examination of the satisfaction–retention relationship, and
the development of a more comprehensive view of the customer's quality perception. ©
1997 John Wiley & Sons,

17
Satisfaction of customers with products and services of a company is considered as most
important factor leading toward competitiveness and success (Hennig-Thurau and Klee,
1997).

When Brand Attitudes Affect the, Customer Satisfaction-Loyalty Relation: The

Moderating Role of Product Involvement

Customers drawing on the attitude accessibility and stability theories, we investigate the
moderating role of product involvement in the customer satisfaction-loyalty relation.
Structural equation modelling shows that customer satisfaction has both direct and
indirect effects on loyalty, whereas ad attitudes and corporate image have only indirect
effects through their mediating influence on brand attitudes. Furthermore, product
involvement decreases the direct effects of satisfaction on brand attitudes and loyalty, but
it increases the indirect effects of ad attitudes and corporate imaginer Jung-Chae Suh,
CPO 2214, Seoul, Korea, 100–622.

Improving customer service in the real estate industry:

The duty of the real estate broker in representing a buyer is to identify and present
properties possessing qualities and characteristics sought by a buyer. In the discharge of
this fiduciary responsibility, brokers have a variety of tools at their disposal. One such
tool is a methodological ranking procedure that uses Taguchi loss functions (TLFs). The
purpose of this paper is to introduce and discuss the application of TLFs to the selection
of real estate properties by a broker. An example of the application of TLFs
to real estate property selection is also presented. Because this tool identifies those
properties that most closely match the buyer's preferences, choice criteria and needs, the
utility of the buyer/broker relationship, as well as level of customer service
and satisfaction, should be improved.(R. Bryan Kethley, Bennie D. Waller & Troy A.
Festervandpages 739-748).

Satisfaction is actually how customer evaluates the ongoing performance (Gustafsson,

Johnson and Roos, 2005).

According to Kim, Park and Jeong (2004) customer satisfaction is customer’s reaction
to the state of satisfaction, and customer’s judgment of satisfaction level.

18
Understanding customer satisfaction and loyalty

The ability of a service provider to create high degree of satisfaction is crucial for
product differentiation and developing strong relationship with customers. With the rapid
development of mobile technology and large usage rates of mobile phones, mobile
instant message (MIM) services have been widely adopted in China. Although previous
studies on the adoption of mobile services are quite extensive, few focus on customer
satisfaction and loyalty to MIM in China. In this study, we examine the determinants of
customer satisfaction and loyalty. The findings confirm that trust; perceived service
quality, perceived customer value, including functional value and emotional value,
contribute to generating customer satisfaction with MIM. The results also show that trust,
customer satisfaction and switching cost directly enhance customer loyalty. Additionally,
this study finds that age, gender, and usage time have moderating effects. Finally,
implications for the marketing of MIM are discussed. Customer satisfaction is very
important in today’s business world as according to Deng et al., (2009)

19
Determinants of customer loyalty in the wireless telecommunications industry

This paper reports the results of research investigating the determinants of the propensity
to switch wireless service providers. A model generated from the data rather than from a
priori theory is presented, and it is found to uphold the strong relationship between
customer satisfaction and customer loyalty exhibited in prior studies. In sharp contrast to
the prevailing industry practice of ‘locking in’ customers by means of restrictive
contracts, this research suggests that wireless service providers are better off improving
customer satisfaction in order to minimize customer defection. This would imply shifting
scarce resources to customer retention through improved service, saving costs of
expensive customer acquisition campaigns. The paper also proposes two methodological
innovations. First, the research employs the ‘Tetrad methodology’ as an exploratory
technique prior to building a Structural Equation Model (SEM) making it possible to
identify drivers of loyalty direct or indirect when it might not be known a priori what
these drivers might be. Secondly, the paper proposes an approach to estimating
moderator effects on the relationship between satisfaction and customer loyalty.
Customer satisfaction makes the customers loyal to one telecommunication service
provider. Previous researchers have found that satisfaction of the customers can help the
brands to build long and profitable relationships with their customers (Eshghi, Haughton
and Topi, 2007).

Satisfaction, Repurchase Intent, and Repurchase Behaviour: Investigating the

Moderating Effect of Customer Characteristics

Despite the claim that satisfaction ratings are linked to repurchase behaviour, few
attempts can be found that relate satisfaction ratings to actual repurchase behaviour. This
article fills this void by presenting a conceptual model for relating satisfaction ratings and
repurchase behaviour. The model is based on the premise that ratings observed in a
typical customer satisfaction survey are error-prone measures of the customer’s true
satisfaction, and they may vary systematically on the basis of consumer characteristics.
The authors apply the model to a large-scale study of 100,040 automotive customers.
Results show that consumers with different characteristics have different thresholds such
that, at the same level of rated satisfaction, repurchase rates are systematically different
among different customer groups. The authors also find that the nature and extent of

20
response bias in satisfaction ratings varies by customer characteristics. In one group, the
response bias is so high that rated satisfaction is completely uncorrelated to repurchase
behaviour (r = 0). Furthermore, the authors find that, though nonlinear, the functional
form relating rated satisfaction to repurchase intent is different from the one relating it to
repurchase behaviour. Although the functional form exhibits decreasing returns in the
case of repurchase intent, it exhibits monotonically increasing returns in the case of
repurchase behaviour. Vikas Mittal, Wagner A. Kamakura (2001) Satisfaction,
Repurchase Intent, and Repurchase Behaviour: Investigating the Moderating Effect
of Customer Characteristics. Journal of Marketing Research: February 2001, Vol.
38, No. 1, pp. 131-142

Though it is costly to generate satisfied and loyal customers but that would prove
profitable in a long run for a firm (Anderson, Fornell and Mazvancheryl, 2004).

Therefore a firm should concentrate on the improvement of service quality and charge
appropriate fair price in order to satisfy their customers which would ultimately help the
firm to retain its customers (Gustafsson, Johnson and Roos, 2005).

It is a common phenomenon that the services a brand offers and the price it charges
actually determine the level of satisfaction among its customers, than any other measure
(Turel et al. 2006).

Considerable resources are expended annually on building business brands, yet the
literature is virtually silent on brand loyalty in a business setting. This study examines the
relationship between attitudinal loyalty and behavioural loyalty in a business services
context, and attempts to identify two key antecedents of loyalty in this context. In
particular, little is known about small businesses as customers, despite their significant
contribution to the economies of developed nations. A longitudinal design is
implemented, and data are captured on both attitudinal loyalty and subsequent loyalty
behaviours (i.e., actual purchase behaviour). The findings demonstrate the value of
conceptualizing and measuring both attitudinal and behavioural components of brand
loyalty. Specifically, the results indicate that attitudinal loyalty mediates the effects of the
antecedents studied (category involvement and purchase satisfaction) on behavioural
loyalty. Implications for marketing theory and practitioners are discussed, and possible
directions for future research are sketched. Customer’s involvement is also important as

21
when buyer consider. The product important and invests time to seek information then it
ultimately enhances the satisfaction level (Russell-Bennett, McColl- Kennedy and
Coote, 2007).

This satisfaction may influence the concerned company by repurchase, purchase of more
products, positive word of mouth and willingness of customer to pay more for the
Particular brand. Any business is likely to lose market share, customers and investors if it
fails to satisfy customers as effectively and efficiently as its competitors is doing
(Anderson, Fornell, andMazvancheryl, 2004).

22
2.2 Objective of the Study

1. To identify the determinants of customer satisfaction regarding Real Estate.

2. To study the customer satisfaction level of NARIMAN CITY & APOLLO GROUP.

23
2.3 Scope of the Study

This project brings into focus “Determinants of customer satisfaction in Real Estate
and comparative Analysis of NARIMAN CITY and APOLLO GROUP”. This
project is based on the determinants of customer satisfaction in real estate. It will help us
to know the customer satisfaction level of Nariman city and Apollo Group.Besides given
us an insight into the problem faced by service man or businessman. It also helps to focus
on various expectations of respondents on Real Estate area. By asking the respondents to
give suggestions regarding the need and wants among Real Estate area, we would be able
to find new area of improvement as that various steps can be taken as and when required.

24
3.1 Research Design of the Study:

The study is based on survey technique. The study consists of analysis about
determinants of customer satisfaction in Real Estate and comparative study of APOLLO
GROUP and NARIMAN CITY. For the purpose of the study 100 respondents are picked
up and their views solicited on different parameters. The methodology adopted includes:

 Questionnaire

 Random

25
3.2 Population and Sample:

3.2.1 Population:

The target population in this research refers to the customer satisfaction of investors in
Real Estate.

3.2.2 Sample Size:

A sample of 100 customers will be taken.

3.2.3 Sampling Techniques:

Non probability, purposive and convenient sampling technique was used to identify the
respondents of the study. Proportionate representations from all the demographic groups
were ensured to minimize sampling error.

3.3 Tools for Data Collection

Although standardized measures are available to evaluate customer satisfaction of

investors in Real Estate of different countries and cities. But self-designed questionnaire
was prepared to measure customer satisfaction of investors in Real Estate. The data was
collected on the scale of 1-5 where 1 indicated minimum agreement with the statement
and 5 indicated maximum agreement with the statements mentioned in the questionnaire.
The measures were tested for internal consistency, reliability and validity after
completion of data collection phase.

Sources of Data:

 Primary data

 Secondary data

Primary Data:

Collection of data through Structured Questionnaire

26
Secondary Data:

Collection of data from journal, internet, newspapers and research papers

Data Requirements:

This study requires the determinants of customer satisfaction in Real Estate and where to
invest in the township which satisfies the customer need and want.

3.4 Data Analysis Techniques:

Primary data collected through questionnaires has been coded into EXCEL files and then
Descriptive statistics has been applied for comparative study.

3.5.1 Internal Consistency: Item to total correlation was applied on the data collected on
the variable for evaluating internal consistency of the measures. Item having lower than
standard correlation coefficient was dropped from the measure.

3.5.2 Reliability: Reliability of measure was established separately. Cronbach Alpha

reliability coefficient was calculated using SPSS 16 for the measure. Reliability of factors
identified through factor analysis was also be evaluated through calculation of Cronbach
Alpha.

3.5.3 Factor Analysis: Principle component analysis was carried out with varimax
rotation and Kaiser Normalization. The measure was checked for sample adequacy and
sphericity using KMO and Bartlett’s test. The factors extracted through PCA was named
and described.

3.5.4 Testing Relationships: ANOVA was applied to check the level of significance
between consumer satisfactions of various income groups.

27
4 Result & Discussion

4.1 Reliability Measure: Cronbach Alpha and split half had been applied to calculate
reliability of all items in the questionnaire. Reliability test using SPSS software and the
reliability test measures are given below:

Reliability Statistics

Cronbach'
s Alpha
Based on
Standardi
Cronbach's Alpha zed Items N of Items

.783 .784 12

It is considered that the reliability value more than 0.7 is good and it can be seen that in
almost all the reliability methods applied here, reliability value is quite higher than the
standard value, so all the items in the questionnaire are highly reliable.

28
4.2 Factor Analysis

4.2.1 KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling

.694
Adequacy.

Bartlett's Test of Sphericity Approx. Chi-

324.338
Square

Df 66

Sig. .000

The Kaiser- Meyer- Olkin Measure of Sampling Adequacy for product quality, Value
and price .694 indicates that the sample was adequate to consider the data as normally
distributed. The Bartlett’s Test of Sphericity were tested through Chi-Square value
324.338 significant at 0% level of significance indicating that the data has low sphericity
and is therefore suitable for factor analysis.

29
4.2.3 Discussion on Findings:
 From this research it has been interpret that public conveyance facilities are near to
Apollo Group which is beneficial for the people living there so its becomes easier for
the people to go anywhere without any hurdles.
 From this research it has been interpret that the banks facilities are also near to Apollo
Group so it’s become easier for the people to do banks transactions in the secure way.
 From this research it has been interpret those shopping malls, restaurants and parks
are near to Apollo group it becomes easier for the people fulfil their need and wants.
 From this research it has been interpret that the area of Apollo Group is free from
natural disasters so the people can live without fear.
 From this research it has been interpret that gymnasium facilities are near to the
NARIMAN CITY so it is better for the people.
 From this research it has been interpret that NARIMAN CITY is as per Vastu.

Overall, Apollo Group is a head on maximum parameter and result indicates that
customer of Apollo Group are more satisfied with their services provided.

30
4.3 ANOVA- Test

Two way ANOVA was applied on customer perception on product quality to identify the
effect of Income, Qualification and Brand. The results are:

Null Hypothesis: Population has no difference between perceptions of different

Qualifications, Income level and Brand preferred on customer perception.

ANOVA –Test for Customer Perception on Product Quality

Table- ShowingLevene's Test of Equality of Error Variances of different groups

Levene's Test of Equality of Error Variancesa

Dependent Variable:Customersatisfaction

F df1 df2 Sig.

1.001 3 96 .396

Tests the null hypothesis that the error variance of the dependent
variable is equal across groups.

a. Design: Intercept + Income

Levene’s test was applied to evaluate homogeneity of groups on error variances. The F
value is 1.001 which is significant at 0% level of significance i.e. the null hypotheses
stated as “The groups based on Qualification, Income level and Brand preferred are
homogenous” is rejected, therefore it can be interpreted that, the error variances of
groups formed on the basis of Qualification, Income level and Brand preferred are non-
homogenous.

31
 4.4 Tests of Between-Subjects Effects

Dependent

Variable: Customer satisfaction

Type III
Sum of Mean
Source Squares df Square F Sig.

Corrected
49.828a 3 16.609 .289 .833
Model

Intercept 167172.3 167172.3 2.907

1 .000
52 52 E3

Income 49.828 3 16.609 .289 .833

Error 5520.172 96 57.502

Total 195666.0
100
00

Corrected
5570.000 99
Total

a. R Squared = .009 (Adjusted R Squared = -.022)

The model used for ANOVA has good fit as indicated by adjusted R square value
of .022. The model fit was tested using F test and the value of F was found to be .289
which is significant at 0% level of significance, indicating that 83.3% errors in the
dependent variable are explained by three independent variables i.e., Qualification,
Income level and Brand preferred and overall model fit is high. In the case of consumer
perception the table summary indicates that F value (.289) of income has 0.833%
significance which means that there is not significant effect of income on consumer
perception.

32
Implications for Investors:

This research is very beneficial for investors; they can use this research before
investment where they need to focus on some important factor like basic needs,
restaurant, malls, hospitals (medical aids). Most important things where investors need to
focus such as public convince, local market, easy to do the bank transactions. They can
easily invest their money.

Implication for Builders:

This research is fruitful for builders, as above study revealed that today’s customer or
investor looking for above mentioned facilities. Factor analysis explore some important
attributes which are essential and some amazing desires which they demand at the time of
investment

Implication for Society

This research is also useful for society as we all know our which requirement has to be
first priority

33
6.1 Conclusion

 In a competitive market place where business competes for customer, customer

satisfaction is seen as a key differentiator and increasingly has become a key element
of business strategy.

 APOLLO GROUP and NARIMAN CITY has become a major area of business,
commonly referred to as commercial Real Estate. Purchasing Real Estate requires a
significant investment, and each parcel of land has unique characteristics, so the Real
Estate industry has evolved into several distinct fields.

 This study is based on comparative result of both APOLLO GROUP and NARIMAN
CITY. The result shows, APOLLO GROUP and are more effective as compare to
NARIMAN CITY because it is near to hospital and medical zone and public
conveyance is easily available.

After this research analysis, we came to the conclusion that Apollo Group has
satisfied its customers and fulfil their requirements in time.

34
6.2 Suggestions:
After the survey, now i am able to understand the parameter of customer satisfaction level in
Real Estate with other parameter. On the basis of survey i give come some suggestion to the
APOLLO GROUP and NARIMAN CITY.

 From above data I have found that Hospital and Medical facilities are away from
Apollo group so they should provide medical facilities in their area.

 From above data i have found that public conveyance facilities are far away from
APOLLO GROUP so in next infrastructural project they should consider this factor
because it’s a basic need of the people.

 From above data i have found that APOLLO GROUP are less three natural disasters
as compared to Nariman city so they should built their infrastructure which is less
affected by natural disaster.

 From above data i have found that Nariman city location is not safe as compare to
Apollo group so Nariman city should provide the security to the living there.

 From the above data i have found that Nariman city are not as per vaastu so they
should built there next infrastructural project as per vaastu.

After this research we analyze that Customer of NARIMAN CITY are

Satisfied with the amenities and services they provide.

35
6.3 Limitations:

1) This study was restricted to Indore city only because of limited time duration.

2) The research was based on primary collection of data through structured schedule, so
there may be chances of human error and biasness.

3) All the respondents could not fill their questionnaire on their own due to language
problem and lack of positive behaviour.

4) The research was dependent on the information provided by the respondents who are
very reluctant in providing right information and often provides carelessly and results are
drawn out by only these information. So, sometimes all efforts might fail to find the
correct result.

36
6.1Reference

1.www.mphousing.in/NewMPHB/homepage.aspx

2.www.makkan.com/property in indore

3.http:/www.magicbricks.com/property for sale rent in

4.www.mphousing.in/newMPHB/homepage.aspx

5.http://www.makan.com/naiman-city-namanequipment-super-corridor-
indore/microsite/3593/1978

6.www. makkan.com/property in indore

7.http://www.makan.com/ss-infinitus-ss-niran-pvt-ltd-ss-group-ring-road-indore/
microsite

8.http://www.qualtrics.com/blog/customer-satisfaction-measurement

Journals

1.Journal of Marketing Research, Vol. 25, No. 2, pp. 204–12.

2.Eshghi, A., Haughton, D., and Topi, H., (2007), “Determinants of customer loyalty in
the wireless telecommunications industry”, Telecommunications policy, Volume 31,
Issue 2, Pages 93-106.

3.Gustafsson, A., Johnson, M.D., and Roos, I. (2005), “The Effects of Customer
Satisfaction, Relationship Commitment Dimensions, and Triggers on Customer
Retention”, Journal of Marketing, Vol. 69, pg. 210–218.

4.Russell-Bennett, R, McColl-Kennedy, J.R., Coote, L.V. (2007) “Involvement,

satisfaction and brand loyalty in a small business services setting”, Journal of Business
Research, Volume 60, Issue 12, December 2007, Pages 1253-1260.

5. Hennig-Thurau, T., and Klee, A. (1997), “The Impact of Customer Satisfaction and
Relationship Quality on Customer Retention: A Critical Reassessment and Model
Development, “Psychology & Marketing”, Vol. 14, Issue 8, Page 737–764
37
6. Deng, Z., Lu, Y, Wei, K. K., Zhang, J. (2009), “Understanding customer satisfaction
and loyalty: An empirical study of mobile instant messages in China”, International
Journal of Information Management, Vol. 30, pages 289–300

7. Kim, M.K., Park, M.C., and Jeong, D.H. (2004) “The effects of customer satisfaction
and switching barrier on customer loyalty in Korean mobile telecommunication
services”,Electronics and Telecommunications Research Institute, School of Business,
Information and Communications University, Yusong-gu, Hwaam-dong, Taejon 305-
348, South Korea.

38
 Questionnaire

Dear Respondents,

As a part of my curriculum, I PALASH KASHYAP student of MBA IV SEM, currently

doing a major research project related to RealEstate. I will be grateful to you if you
could spare some of your valuable time in filling this questionnaire. I assure you that
information will be used only for academic purpose.

Personal Details:

Name of respondent: - ________________________

Gender: - M F

Age of Respondent:-

A) <25 B) 25-34 C) 35-44 D) 45 & above

Marital Status:- A) Married B) Single

Occupation: - A) Serviceman B) Businessman

Income of Respondent (annually):-

A) < 4 lack B) 4-6 lack C) 6-8 lack D) 8 lack & above

What is the budget at the time of purchasing the house:-

A) 5-10 lack B) 10-15 lack C) 20-30 lack D) above 50 lack

Township of your preference:-

A) Nariman City B) Apollo Group

39
 QUESTIONS:-

1. Strongly Disagree 2. Disagree 3. Neutral 4.Agree 5. Strongly agree

S. S S
No Questions D D N A A

It is near to the Hospital and Medical

1 Zone. 1 2 3 4 5

2 It is near to the education Facility. 1 2 3 4 5

3 It is near to the local market. 1 2 3 4 5

4 Public conveyance is easily available. 1 2 3 4 5

It is near to your Office or Business

5 area. 1 2 3 4 5

It is near to the shopping mall,

6 Restaurant and park. 1 2 3 4 5

7 It is near to your bank. 1 2 3 4 5

It is near to Gymnasium/ swimming

8 pool / Clubs. 1 2 3 4 5

9 Your Home is as per vastu. 1 2 3 4 5

10 The area is free from Natural Disasters. 1 2 3 4 5

Status affects the purchase decision of

11 house. 1 2 3 4 5

12 The Locality is safe for you. 1 2 3 4 5

THANK YOU......

40
 Total Variance Explained

Extraction Sums of Squared

Initial Eigenvalues Loadings Rotation Sums of Squared Loadings

Compon Cumulative % of Cumulative % of Cumulative

ent Total % of Variance % Total Variance % Total Variance %

1 3.662 30.514 30.514 3.662 30.514 30.514 2.590 21.583 21.583

2 1.517 12.644 43.158 1.517 12.644 43.158 2.022 16.851 38.433

3 1.340 11.168 54.327 1.340 11.168 54.327 1.638 13.649 52.082

4 1.118 9.313 63.640 1.118 9.313 63.640 1.387 11.557 63.640

5 .939 7.828 71.467

6 .827 6.890 78.358

7 .664 5.535 83.893

8 .505 4.207 88.100

9 .463 3.858 91.958

10 .399 3.328 95.286

11 .301 2.507 97.792

12 .265 2.208 100.000

Extraction Method: Principal Component Analysis.

41
 Rotated Component Matrixa

Component

1 2 3 4

VAR00008 .803

VAR00002 .766

VAR00001 .740

VAR00006 .621 .484

VAR00011 .434 .403

VAR00010

VAR00009 .837

VAR00003 .790

VAR00004 .557 .513

VAR00005 .889

VAR00007 .490

VAR00012 .859

Extraction Method: Principal Component Analysis.

Rotation Method: Varimax with Kaiser Normalization.

a. Rotation converged in 6 iterations.

42