Presented by:

Group 6 MBA 1st year 2nd semester

Anchor Faculty:

Prof. N.C.Samal

Group Members

Gayatri Xess Rollno.19

Kabita Sarangi Rollno.25

LissaFernandes Rollno.26

Reelamala Tudu Rollno.52

Sufiya Naz Sarwar Rollno.70

Introduction

History

Nature of Industry

Players of Industry

Major Players

Details about the major players

Nature of the competition

SWOT Analysis of industry

PEST Analysis of the industry

Market size

Investments

Government Initiative

Conclusion

Bibliography

Introduction

India is the second largest producer of two wheeler in the

world. The country stands next to china and japan in

terms of production and sales respectively. Majority of

Indian especially youngsters prefer bike rather than car.

Capturing a large segment in two wheeler industry bike

and scooter cover a major segment.

Indian two wheeler industry had a small beginning in the

early 50’s.

The 1900 Werner Brothers patented motorcycle

HISTORY OF TWO WHEELERMotorcycle history begins in the second half of the 19th

century. Motorcycles are descended from the "safety bicycle," a

bicycle with front and rear wheels of the same size and a pedal

crank mechanism to drive the rear wheel. Despite some early

landmarks in its development, motorcycles lack a rigid pedigree that

can be traced back to a single idea or machine. Instead, the idea

seems to have occurred to numerous engineers and inventors around

Europe at around the same time.

Lucius Copeland 1894

In 1881, Lucius Copeland of Phoenix, Arizona designed a much

smaller steam boiler which could drive the large rear wheel of an

American Star high-wheeler . In 1887 Copeland formed the Northrop

Manufacturing Co. to produce the first successful 'Moto-Cycle'

(actually a three-wheeler).

Early steam-powered cycles

In the decade from the late 1880s, dozens of designs and

machines emerged, particularly in Germany and England, and

soon spread to America. During this early period of motorcycle

history, there were many manufacturers since bicycle makers were

adapting their designs for the new internal combustion engine.

In 1894, Hildebrand & Wolfmüller became the first series

production motorcycle, and the first to be called a

motorcycle(German: Motorrad).

Diagram of 1894 Hildebrand & Wolfmüller.

First commercial products

PRODUCTION TRENDS IN

INDIA

The two wheeler production in India is increased by 16.9

million units against 15.7 million units.

The short term demand for two wheelers is expected to

be improved due to moderate recovery in economic

growth and higher urban incomes. Over the long term,

the untapped rural market’s potential will push up two

wheeler sales.

STRATEGIES OF some PLAYERS

Business Strategy

Facilitated workshops. The purpose of these workshops is to develop strategic

intent, mission, vision, values and organizational behaviors.

Marketing Strategy

Broad strategic development. This encompasses External and Internal

Appraisals including a SWOT analysis , Competitor Analysis, Consumer and

Buyer Behavior, PEST.

Communication Strategy and Implementation Planning

Development of communication strategies that involve implementation plans

and timelines.

Branding strategy

In Indian automobile industries, manufactures adopted strategies to create

brand awareness among consumers through various means of advertising,

brand endorsements, marketing campaigns, and trade, and consumer

promotions. Many companies appointed famous celebrities as brand

ambassador to attract larger target audience towards their brands.

NATURE OF competition

The Automobile industry (two wheeler) in India is one

of the largest in the world and one of the fastest

growing globally.

India manufactures over 18 million vehicles and

exports more than 2.3 million every year.

It is the world's second largest manufacturer of

motorcycles there are eight key players in the Indian

markets that produced 13.8 million units in every

year.

SWOT

Analysis

Strength

Skilled low cost manpower.

Decentralised Management.

Total in-house manufacturing and testing with the latest

precision instruments.

A Technocrat MD, in touch with new technology and fast

adaptation of this to the industry.

Supplier to one of the largest Two-Wheeler manufacturers in

the world has resulted in

exposure to good manufacturing & functional quality systems.

Machines of International std.

Capital Reserves.

Strong Lineage with last 29 years experience in the field of

Ignition Coils.

Weaknesses

Low thrust marketing.

Over dependence on 2 key

players.

Low in exports.

Opportunities

Price war in the market is putting pressure on

-High Quality Machinery,

-Lean Organisation Structure

-Quality Systems in place.

Technically driven management adds value to

conventional processes and products.

Globally tuned organisation open for Foreign

Collaborations.

Threats

Foreign players.

Slow growth in domestic auto

sales.

Government policies.

PEST ANALYSIS

POLITICAL

Indian government auto policy aimed at promoting

an integrated, phase and conductive growth of the

Indian automobile industry.

Allow automatic approval for foreign investment, with

no minimum investment criteria.

Assist development of vehicles propelled by alternate

energy sources.

Low cost labour coupled with local availability of raw

material like steel, aluminium and natural rubber has

placed India amongst the low cost producing centres of two

wheelers.

Many auto finance company laid easy instalment rules with

less interest rate it makes more segment people to go for it.

Economic

In numerous cultures, motorcycles are the primary means

of transport.

Two wheelers gives a great advantage to the specified

designation where other cannot enter.

Indian customers are highly discerning, educated and well

informed. They are price sensitive and put a lot of

emphasis on value for money.

Social

Two wheeler construction is the engineering, manufacturing,

and assembly of components and systems for two wheelers

which result in performance, cost and aesthetics desired by

the designers.

Best fuel economy of transport.

New innovations.

Technological

The growth story for the Indian automobile industry

in 2014 rode on the two-wheeler segment. The

segment has clocked positive growth at 12.9 par cent

year-on-year to reach sales of nearly 13.5 million

units by October 2014.

Market Size

To match production with demand, many auto makers have started

to invest heavily in various segments in the industry in the last few

months. Some of the major investments and developments in the

automobile sector in India are as follows:

Snapdeal.com has entered into a partnership with Hero MotoCorp

Ltd to sell two-wheelers and expect its online automobile sales to

generate Rs 1,000 crore (US$ 162.33 million) of business in next six

to 10 months.

Hero Electric is looking for merger and acquisition (M&A) options or

technology tie-ups to encourage its next generation electric vehicle

technology.

Investments

The Government of India encourages foreign investment in

the automobile sector and allows 100 per cent FDI under

the automatic route. To boost manufacturing, the

government had lowered excise duty on small cars,

motorcycles, scooters and commercial vehicles to eight per

cent from 12 per cent, on sports utility vehicles to 24 per

cent from 30 per cent.

The government plans to come out with policies to

introduce clean fuels such as biodiesel, bioethanol and

electricity for vehicles in big cities to tackle air pollution.

Government Initiatives

Players of the industry

TOP

MAJOR

PLAYERS

Honda is one of the world's leading motorcycle

manufacturers offering a wide range of classy

motorcycles. These all new stylish bikes are high on

safety measures and are good for the environment,

good for society and good for business. From a line of

sporty motorbikes, to off-road fasters to the luxurious

motorcycles, Honda has bikes for all and everybody.

The Honda bikes offered by us are Honda CBR 150cc,

Honda CBR 250cc, Honda Twister, and Honda

Unicorn, Honda Shine 125cc and Honda Trigger.

START

‘THE POWER OF DREAMS’

PUNCH LINE

LOGO

Honda Motor Company Limited is perhaps best known as an

automaker--it is the third largest automaker in Japan--but the

company has its roots in motorcycles, and is the world's top motorcycle

manufacturer. Its best market is in the United States, where the

majority of its sales are generated. Honda's automobile product line

accounts for approximately 90 percent of its sales, and includes well-

known U.S. top-sellers such as the Accord, Legend, Civic, Prelude, and

the luxury Acura. The Accord is the second most purchased car in the

United States, although it actually ranks first on the country's list of

most stolen (and thus, "in demand") vehicles. Honda also produces

motorcycles such as the Super Cub, Foresight, and Shadow 750.

Furthermore, the company's power products division makes other items

that bolster annual sales, such as agricultural and industrial-use

machinery, portable generators, outboard motors, and all-terrain

vehicles.

History of Honda Motor Company

Limited

Vision :Market leader in the motorcycle industry, emerging as a global competitive center of productionand exports.

Mission :A dynamic growth oriented company through market leadership, excellence in quality andservice and maximizing export, ensuring attractive returns to equity holders, rewardingassociates according to their ability and performance, fostering a network of engineers andresearchers ensuing unique contribution to the development of the industry, customersatisfaction and protection of the environment by producing emission friendly green products asa good corporate citizen fulfilling its social responsibilities in all respects.

Company profile and headquarter

•Company NameHonda Motor Co., Ltd.•Head Office2-1-1, Minami-Aoyama, Minato-ku, Tokyo 107-8556, JapanTel: +81-(0)3-3423-1111 (main)•EstablishedSeptember 1948•President, CEO & Representative DirectorTakanobu Ito•Capital86 billion yen (as of March 31, 2014)•Number of employment198,561 (consolidated basis), 23,467 (nonconsolidated basis)(as of March 31, 2014)

Branches of the

company(worldwide)

Branches in India

Imt manesar dist gurgaon , haryana

Tapukara industrial area dist . Alwar .

Rajasthan

Narsapura area , dist kolar , karnataka

Oraganisation structure

Honda Research and Development Co., Ltd.; Honda

Engineering Co., Ltd.; Honda International Sales

Corp.; Honda SF Corp.; Honda Minami Tokyo Co.,

Ltd.; Honda Motor Service Co., Ltd.; ACT Trading

Corp.; American Honda Motor Co.; Honda of America

Mfg., Inc.; Honda Research of America, Inc.; Honda

Motor (China) Co., Ltd.; Press Giken Co., Ltd. (98.2%);

Seiki Giken Co., Ltd. (98%); Honda and Co., Ltd.

(86.6%); Honda Sogo Tatemono, Ltd. (70%).

Principal Subsidiaries:

product

Activa

Aviator

Dream Neo

Dream Yuga

CB Twister

CB Shine

CB Unicorn

CBR 150R

CBR 250R

CBR 1000R

Different brands of the

company

HONDA CB SHINE

Honda Dream Yuga

Honda CB Twister

HONDA CB UNICORN

Honda CBR150R

Customer segmentationInitiative

Initiative means not to be bound by preconceived ideas, but to

think creatively and act on your own initiative and judgment,

while understanding that you must take responsibility for the

results of those actions.

Equality

Equality means to recognize and respect individual differences in

one another and treat each other fairly. Our company is

committed to this principle and to creating equal opportunities for

each individual. An individual's race, gender, age, religion,

national origin, educational background, social or economic

status has no bearing on the individual's opportunities.

Trust

The relationship among associates at Honda should be based on

mutual trust. Trust is created by recognizing each other as

individuals, helping out where others are deficient, accepting help

where we are deficient, sharing our knowledge, and making a

sincere effort to fulfill our responsibilities.

The Joy of Buying

The joy of buying is achieved through providing products and services

that exceed the needs and expectations of each customer.

The Joy of Selling

The joy of selling occurs when those who are engaged in selling and

servicing Honda products develop relationships with a customer based

on mutual trust. Through this relationship, Honda associates, dealers

and distributors experience pride and joy in satisfying the customer

and in representing Honda to the customer.

The Joy of Creating

The joy of creating occurs when Honda associates and suppliers

involved in the design, development, engineering and manufacturing of

Honda products recognize a sense of joy in our customers and dealers.

The joy of creating occurs when quality products exceed expectations

and we experience pride in a job well done.

CONT……

Featuring a new concept, the NM4 was developed under the

themes of "Neo-futuristic" and "cool," and will now be

manufactured at Kumamoto Factory for sale to customers

in Japan, North America and Europe. Thinking outside the

box in pursuit of creating new products that previous

generations could only imagine, Honda continues to pass

on the joy of motorcycle riding to the next generation and

the ones to follow.

With the vision of "bringing the convenience and fun of a

motorcycle to as many people as possible," Honda made an

early start in the sales and production of motorcycles

outside of Japan, and then quickly expanded its

international operations. Honda has since spread the

technical capabilities of Japan around the world to

establish a global production system. At the center of these

operations today sits Kumamoto Factory in Japan, which

produces large-sized motorcycles such as the Goldwing F6C

and CTX1300 destined for Japan, North America and

Europe. The factory also works closely with Honda's

Thailand operations to produce the CBR650F and CB650F

for markets around the world.

Advertising process of the company

HOODINGS

NEW PAPER ADS AND

MAZINES ADS

SPONSERSHIP IN SPORT

CAMPNING

BRAND ANDORSEMENT

The global environmental symbol was created to symbolize our

environmental slogan, "Blue Skies for Our Children", and consists of

the slogan combined with graphics.

The global environmental graphics have the following connotations.-The

circular graphic represents the earth and sun with blue skies (clean

air), clean water, and lush green land expressing the bounty of nature

that is necessary for us to realize a sustainable society where people

can enjoy life. -The white line through the middle represents a road

where freedom of mobility is realized, while the heart represents

Honda's thinking and passion toward our environmental commitment.

ratting system of 2013

DEVELOPING GREEN VEHICLESAt Honda, they are striving towards developing zero-

emission in all our vehicles. Honda in japan is the first

company who is meet the most recent exhaust emission

regulations. To reduce the environmental burden of four-

stroke engines, they have developed a unique exhaust air

injuection system and a programmed fule injection (PGM-

F1) system, which is currently in use in the HONDA VFR

motercycle. On the other hand the Gioron Crea, is a new

generation, environment friendly 50cc scooter that is highly

fule-efficient.

Expansion by addition of 11.5 MW HSD Based Back-Up

Power Plant at Tapukara Industrial Area, in Tijara Taluk, in

Alwar Dist., in Rajasthan - reg. Environmental Clearance.

Environmental

Clearance

Honda's production facilities across the world also actively pursueenergy-efficient methods and prevent water pollution by reducingindustrial waste. Honda has taken aggressive initiatives to reducethe environmental impact of its manufacturing operations, byimplementing its concept of the "Green Factory". HMSI too isactively working towards establishing an environmentmanagement system.

Eco-Friendly Factory

CSR activitiesHonda is pursuing a range of corporate activities in order to create new

value, expand value, and fulfill our commitment to the future while

cultivating the freedom of associates to seek out a better way, a

willingness to rise to the challenges of the future, and a spirit of

collaborative creativity.

"Creating the Joys" means continuing to dream and create new value

ahead of the times with free-spirited thinking to enhance The Three

Joys." Expanding the Joys" means realizing dreams with more people

and contributing to local society to expand The Three Joys around the

world. "Ensuring the joys for the next generation" means working

toward the sustainable development of society and achieving the

highest level of environmental and safety performance to ensure The

Three Joys for the next generation.

Regulatory complianceIn accordance with the Honda Environment Statement, Honda

introduces environmental management systems at all business sites

and in each division, promotes continuous efforts to improve

environmental performance, and strives to comply with voluntary

environmental standards that are more stringent than national and

local regulations . We revised the Honda Conduct Guideline in April

2013 (formulated 2010) and are implementing it throughout the Honda

group in japan and world wide.

The document calls on Honda associates to comply with laws and

regulations, company rules, and social norms and, for the purposes of

environmental conservation, to strive to reduce environmental impacts

in their work by conserving and recycling resources and energy in

accordance with environmental laws and regulations, company policies,

and internal standards. We have appointed corporate directors to serve

as Compliance Officers, and work systematically to enhance compliance

and risk management under the super vision of directors in charge of

each part of the organization.

Company principalPositioning of Fundamental Beliefs, Company Principle, and

Management Policies

The Honda Philosophy consists of Fundamental Beliefs (including

"Respect for the Individual" and "The Three Joys"), the Company

Principle, and Management Policies. This philosophy is not only shared

by all associates, but also forms the basis for all company activities and

sets the standard for the conduct and decision-making of all associates

throughout the Honda Group. Driven by its dreams and reflecting its

values, Honda will continue taking on challenges to share joys and

excitement with customers and communities around the world to strive

to become a company society wants to exist.

Honda considers the enhancement of its corporate governance

structures to be a key management issue and engages in a program of

associated initiatives in keeping with its fundamental beliefs in order to

increase the level of trust of shareholders, investors, customers, and

the general public so that it can be a company society wants to exist.

Honda's approach to corporate governance

This section introduces Honda's basic approach to corporate

governance and the structures through which it pursues that approach

Risk Management

The company involved in a number of initiatives related to risk

management, including putting in place risk management structures

and reviewing our information management rules

Compliance

The company put in place a series of compliance-related structures,

including a series of Honda Conduct Guidelines and a Compliance

Committee.

Honda Research and Development Co., Ltd.; Honda

Engineering Co., Ltd.; Honda International Sales Corp.;

Honda SF Corp.; Honda Minami Tokyo Co., Ltd.; Honda

Motor Service Co., Ltd.; ACT Trading Corp.; American

Honda Motor Co.; Honda of America Mfg., Inc.; Honda

Research of America, Inc.; Honda Motor (China) Co., Ltd.;

Press Giken Co., Ltd. (98.2%); Seiki Giken Co., Ltd. (98%);

Honda and Co., Ltd. (86.6%); Honda Sogo Tatemono, Ltd.

(70%).

Principal Subsidiaries:

BALANCE SHEET OF HONDAYen(millions) FY2009 FY2010 FY2011 FY2012 FY2013

Total current assets

4,621,178 4,613,724 4,690,047 4,739,086 5,323,053

Investments and advances

639,069 642,681 639,932 623,607 668,790

Net property, plant and equipment

2,147,721 2,086,663 1,939,356 1,973,458 2,399,530

Total assets 11,818,917 11,629,115 11,570,874 11,787,599 13,635,357

Total current liabilities

4,237,368 3,419,130 3,568,192 3,579,759 4,096,685

Long-term debt, excluding current portion

1,932,637 2,313,035 2,043,240 2,235,001 2,710,845

Other liabilities 1,518,568 1,440,520 1,376,530 1,454,937 1,630,085

Total liabilities 7,688,573 7,172,685 6,987,962 7,269,697 8,437,615

Total Honda Motor Co., Ltd. shareholders' equity

4,007,288 4,328,640 4,449,975 4,392,226 5,037,477

Stock market

BSE-464.00

Previous close-464.00

Open price-463.85

NSE-465.80

Previous close-465.80

Open price-465.15

FACE VALUE-10

P/E RATIO-20.20

MARKET CAPTALISATION-471cr

Maintaining a global viewpoint, we are dedicated to

supplying products of the highest quality yet at a

reasonable price for worldwide customer satisfaction.

Company Perspectives:

END

The newly crowned Moto2 World Champion arrives in the MotoGP class

with some extraordinary records to his name. Already a two times

World Champion (1 in 125cc and 1 in Moto2) and with 26 wins, he is

the most successful rider under 20 years old. He joins the Factory

Repsol Honda Team, again with the number 93 on his fairing showing

the year he was born, after two fantastic seasons in the Moto2 class.

March 31, 2015 - AP Honda, the official Honda

motorcycle distributor in Thailand, is unveiling its

ultimate technology at the 36th Bangkok

International Motor Show and offering unique

experience to all under a concept “My Rides My

Stories.”

Honda unveiled the world premiere of the

BULLDOG as an exhibition model (concept model)

at a press conference, at the 31st Osaka Motorcycle

Show 2015

March 17, 2015

Honda will exhibit a large variety of motorcycle

models at the 31st Osaka Motorcycle Show 2015

from Friday, March 20 to Sunday, March 22 and

the 42nd Tokyo Motorcycle Show from Friday,

March 27 to Sunday, March 29.

We brings you the motorcycles from Yamaha Motor

Pvt. Ltd. These motorcycles are innovative in

technology, proactive in design and excellent in

performance. The Yamaha motorcycles are superior

in quality and serves every purpose, weather it is

style, commuting or sports. Our gamut of Yahama

consists of Yamaha FZ16, Yamaha FZS, Yamaha

YZF-R15 Version 2.0 and Yamaha Fazer.

START

Punch line

Ab manzilen paane ka karo iraada

Mazbooti aisi ki chalti jaaye

Yes! Yamaha

“Change the rules”

slogan

logo

TYPE PUBLIC

FOUNDED ON OCT 12,1887

HEADQUARTERS IWATA SHIZUAKA,JAPAN

CEO GENICHI KAWAKAMI

NO OF EMPLOYEES 52,000

History of the company

Yamaha made its initial foray into India in 1985. In

August 2001, Yamaha Motor India became a 100%

subsidiary of Yamaha Motor Co., Ltd, Japan (YMC). In

2008, Mitsui & Co., Ltd. entered into an agreement

with YMC to become a joint-investor in the company

"India Yamaha Motor Private Limited (IYM)". IYM's

manufacturing facilities comprise of 2 State-of-the-art

Plants at Surajpur (Uttar Pradesh) and Faridabad

(Haryana). The infrastructure at both the plants

supports production of motorcycles and parts for the

domestic as well as overseas markets.

Establishing ‘YAMAHA’ as the “exclusive and trusted

brand” of customers by “creating kando”( touching

their hearts).

VISION STATEMENT

Interesting facts

Yamaha to export sports bike to Japan from India.

-First in the history of Indian 2 wheeler market

-First shipment of 300 motorcycles with 150cc

Yamaha to make worlds cheapest bike

- Called as nano of motorcycles

- Price around Rs 27000.

COMPANY PROFILECompany Name - Yamaha Corporation

Year of Foundation-1887

Date of Incorporation - October 12, 1897

Board of Directors-

Takuya Nakata :President and Representative Director

Motoki Takahashi : Director

Motoki Takahashi : Managing Executive Officer

Headquarters - Hamamatsu Shizuoka, Japan

Branches of the company(worldwide)

BRAND AMBASSADOR

John Abraham

Deepika padukone

YAMAHA productsMotorcycles

Sport bikes

Commuter Vehicles including scooters

Recreational Vehicles — All-terrain vehicles and

snowmobiles

Boats — Powerboats, sail boats, utility boats and custom

boats

Marine Engines — Outboard motors, electric marine

motors, marine diesel engines

Electric bicycles

Automobile Engines

Golf cars

brands

The YZF-R15 version 2.0 is a new model that has been

developed under the concept of a “Graded Up R15.”

It has a "Look-at-me" appeal with the triple macho

design concept giving it a concentrated form with

excellent ergonomics.

The Fazer, gets the global Fazer series known for

their sports touring & awesome looks.

The new Yamaha SZ RR brings a new dimension to

the concept of 'Powerful and Stylish Commuter’

The SZ-RR is defined by the sporty styling and

look of quality in its exterior design with special

features like its smoked windscreen, aluminum

grab-bars and 3D “SZ” emblem.

It uses advanced sensors and actuators to

calculate and deliver the optimum amount of fuel

to the engine – enhancing both performance and

mileage

Cont.….

Customer segmentation

AGE GROUP

UP TO 22 YEARS

23-30 YEARS

30-40YEARS

40-50 YEARS MORE THAN 50 YEARS

Emerging markets

Yamaha is now concentrating on tapping rural markets

for larger sales.

The two wheeler industry in India registered a regrowth

of -0.2% Jan-April 2013) while Yamaha registered a

22% growth rate.

Sources of promotion

Television advertisements

Newspaper advertisements

Movies

Uses of their Sports bikes

Celebrities

Product demand in the market

Yamaha is now concentrating on tapping rural

markets for larger sales.

The two wheeler industry in India registered a de-

growth of -0.2% Jan-April 2013) while Yamaha

registered a 22% growth rate.

Financial HIGHLIGHTS

Revenue US$15.9 billion

Operating Income US$189.3 million

Net Income US$ 225.5 million

Market share of 3% in motor cycles and 16%

in scooters.

Company sales increased by 13.2 % for the

year January 2013

DEC 2010 DEC 2011 DEC2012 DEC2013 DEC2014

TOTAL MOTORCYCLE SALES

MILLION YEN

914,211 887,556 798,676 928,203 977,580

CHANGE % - -2.9 -10.0 -16.2 5.3

SALES IN JAPAN MILLIONYEN

37,752 37,047 36,104 37,361 45,987

CHANGE % - 1.9 -2.5 3.5 23.1

SHARE OF TOTAL SALES

% 4.1 4.4 4.5 4.0 4.7

Overseas sales MILLIONYEN

876,458 850,508 762,572 890,842 931,592

Change % - -3.0 -10.3 16.8 4.6

Shares of total sales % 95.9 95.8 95.5 96.0 95.3

Assets MILLIONYEN

638,524 575,631 607,700 716,474 822,055

change % - -9.8 5.6 17.9 14.7

Financial data of last 5 year

Stock market

NSE

0.33%

BSE

0.28%

COMPETITORS HERO

HONDA

BAJAJ

KTM

TVS

SUZUKI

Strength

Excellent branding, advertising and global distribution

Yamaha Motor Corporation has over 39,000 employees

One of the major brand in motorsport like Moto GP, World

superbike etc.

Yamaha produces scooters from 50 to 500 cc, and a range of

motorcycles from 50 to 1,900 cc, including cruiser, sport

touring, sport, dual-sport, and off-road

Extremely high Size and reach of company

Weakness

Yamaha has narrow product line in Indian market

Lesser fuel efficiency

Opportunities

Products are cheaper than Honda

Growing demand in the market

Innovative products

Banks are willing to give motorcycle credits

Threats

Increasing number of players in the market

Raising raw material costs

Lower reselling value than Honda

segm

ent

• Middle-class people who want a bike that is stylish and gives a good mileage

Targ

et g

rou

p• Middle

class youth from the age bracket of 25-35

po

siti

on

ing

• A motorcycle which will be close to your heart

STP ANALYSIS

Under the UPA rule most of the business from across all

industries try and win over as much political support.

The core competitor’s viz. Yamaha and Honda have been

coming up with new higher models while the Bajaj industry

has been upgrading its bikes model by only varying the cc

engine.

POLITICAL

As education level in the country increases, every customer

keeps a basic knowledge about the standard technology

required

The public mentality that a two-wheeler is just for day-to-

day commuting is changing and people are more and more

moving towards premium bikes.

ECONOMICAL

High per capita income results in higher disposable income

with the buyers thereby making them less price sensitive.

Tightening of the interest rates by the RBI

SOCIAL

Bikes with higher engine capacities have done

commendably well on the Indian roads.

Bike styling and fuel efficiency has also seen major

developments.

The new technologies including the mono shockers, back

and front disc brakes, the magnum wheels, DiASil Cylinder

etc. are some things that many companies are looking

forward to.

TECHNOLOGICAL

CSR activities

TelevisionHoardingInternetRadioMagazine

Advertising process

Brand position in market

Bajaj Auto has emerged as a leading manufacturer and

exporter in the two wheeler industry segment. An old

established company, it enjoys a traditional goodwill in

market. With Bajaj bikes having a large fan following

both in Indian as well as overseas markets, the efforts

of Bajaj have always been towards launching new

range of Bikes as per the changing tastes of the

customers.

START

Punch line

Present Punch line

(DISTINCTLY AHEAD)

Earlier Punch line

(HAMARA BAJAJ)

History It was founded by Jamnalal Baja in Rajasthan in 1930.

Bajaj Auto came into existence on 29 November 1945 as

M/s Bachraj Trading Corporation Private Limited. It started

off by selling imported two- and three-wheelers in India. In

1959, it obtained a licence from the Government of India to

manufacture two-wheelers and three-wheelers and it

became a public limited company in 1960. In 1970, it rolled

out its 100,000th vehicle. In 1977, it sold 100,000 vehicles

in a financial year. In 1985, it started producing at Waluj

near Aurangabad. It was popularly known by its scooter

manufacturing i.e. Bajaj Chetak.

Changes in Companies Brands

Earlier Brands Present Brands

The reason for this change as told by the company officials

was to keep pace with the new technologies in the fast

moving world. Even though it had changed its punch line,

it didn’t have much effect on its brand image.

Reasons behind these changes

Service location

Bajaj Auto is the second-largest manufacturer of

motorcycles in India.

Therefore, it has its service location all over India.

Bajaj Auto is the flagship of the Bajaj group of companies. The group

comprises of 34 companies and was founded in the year 1926.

The companies in the group are:

Bajaj Auto Ltd.

Bajaj Holdings & Investment Ltd.

Bajaj Finserv Ltd.

Bajaj Allianz General Insurance Company Ltd.

Bajaj Allianz Life Insurance Co. Ltd

Bajaj Financial Solutions Ltd.

Bajaj Auto Finance Ltd.

Bajaj Allianz Financial Distributors Ltd.

Bajaj Auto Holdings Ltd.

P T Bajaj Auto Indonesia (PTBAI)

Bajaj Auto International Holdings BV

Bajaj Electricals Ltd.

Hind Lamps Ltd.

Bajaj Ventures Ltd.

GROUP OF COMPANIES

Mukand Ltd.

Mukand Engineers Ltd.

Mukand International Ltd.

Bajaj Sevashram Pvt. Ltd.

Jamnalal Sons Pvt. Ltd.

Rahul Securities Pvt Ltd

Shekhar Holdings Pvt Ltd

Madhur Securities Pvt Ltd

Niraj Holdings Pvt Ltd

Shishir Holdings Pvt Ltd

Kamalnayan Investments &

Trading Pvt Ltd

Sanraj Nayan Investments Pvt.

Ltd.

Hercules Hoists Ltd.

Hind Musafir Agency Pvt. Ltd.

Bajaj International Pvt. Ltd.

Bachhraj Factories Pvt. Ltd.

Baroda Industries Pvt. Ltd.

Jeevan Ltd.

Bachhraj & Co Pvt Ltd

The Hindustan Housing Co. Ltd.

Hospet Steels Ltd

Cont.……

company PROFILE

It is based in Mumbai,Pune, with plants in Chakan (Pune),

Waluj (near Aurangabad) and Pantnagar in Uttarakhand. The

oldest plant at Akurdi (Pune) now houses the R&D centre

‘Ahead’.

branches (WORLD WIDE)

Bajaj is present over 50 countries all over globe.

Bajaj dominates markets of South Asia, Latin America and

Africa.

Bajaj Auto is greatly known for its two- wheeler and three-

wheeler vehicles.

Bajaj Auto's has in all three plants, two at Waluj and

Chakan in Maharashtra and one plant at Pant Nagar in

Uttranchal, western India.

Plants

Bajaj Auto plants are located at:

Bajaj Nagar, Waluj, Aurangabad 431 136

MIDC, Plot No A1, Mahalunge Village, Chakan 410 501

Dist. Pune

Plot No. 2, Sector 10 Phase -II - E, Pant Nagar, Sidcul,

Rudrapur Dist. Udhamsingh Nagar Uttranchal

Plant Locations

Two Wheeler76%

Passenger Vehicle

16%

Commercial Vehicle

4%Three Wheeler

4%

CUSTOMER SEGMENTATION

Product Portfolio

Two

• Bajaj Discover

• XCD

Wheeler

• Bajaj Pulsar

• Bajaj Avenger

125 cc

• Ninja

• KTM

Bajaj Discover

Cost on road: 51,720/- (125cc) – 56,540/- (150cc)

DTS-i engine

5 speed gear-box for better mileage.

Anti vibration body frame for bad roads.

Models:

Discover 135 cc

Discover 150 cc

Bajaj XCD

Cost on road: 40,000* - 43,000*

DTS-si engine

5 speed gear-box

Digital speedometer

Electric start

Models:

XCD 135cc

Bajaj Pulsar

Price Range: 60,000 – 85,000

DTS-i engine

Long handle bars

Tank-set fuel gauge

Models:Pulsar 135 LSPulsar 150 DTS-iPulsar 180 DTS-iPulsar 220 DTS-iPulsar 200 NS

Bajaj Avenger

Cruiser style motorcycles.

Price Range: starts at Rs 75,502 and onwards.

Dts-i Engine

Long Handle bars

Tank-set fuel gauge

Long slung body

Models:

Avenger 180

Avenger 200

Avenger 220

Collaboration of the Company

Two bike companies has joined venture with Bajaj

Auto in India for production and distribution of their

bikes. They are:

KTM

Kawasaki

Product Demand in Market

HERO

BAJAJ

HONDA

TVS

YAMAHA

SUZUKI

MAHINDRA

40%

20%

20%

12%

4%3% 1%

Advertising processBajaj is always known for its outstanding ads over the period of time.

Since its inception, Bajaj has come out with variety of ads and were

always successful in their advertisements.

Bajaj is always known for its ads without well-known brand

ambassadors which is again a plus point to its cart as it saves a

huge cost in terms of brand ambassadors unlike Hero Honda and

TVS.

Prior, Bajaj used to convey the feeling of ‘Indianans’ in its ads. With

a punch line ‘Hamara Bajaj’ Bajaj drove into everybody’s hearts and

the title song of ‘Naye Bharat Ki Naye Tasveer’ added a great value to

its mobikes and scooters.

They showed each product they had with a feeling of Indianans. Ads

revealing Indian culture had a great effect on Indians and Bajaj was

successful in most of its ads.

STPSe

gme

nt • Middle-

class people who want a bike that is stylish and gives a good mileage

Targ

et G

rou

p • Middle class youth from the age bracket of 25-35

Po

siti

on

ing • Two-

wheelers for every Indian

SWOT Analysis

Strength

1. Excellent brand presence and marketing in India

2. Extensive research and development focus and highly

experienced player in the motorcycle segment

3. Widespread distribution network across India

4. Wide product range in terms of price, quality and categories

5. Featured in the Forbes Global brands list

Weakness

1.Not a global brand despite high volume production

2.Lack of performance bikes like major international brands and

sports bikes & cruisers

Opportunity

1. Bajaj Auto says its $2,500 car, which it is building with Renault

and Nissan Motor, will aim at a fuel-efficiency of 30 km per litre

2. Cheaper variants for tapping more in the rural segment

3. Premium sports bikes for urban areas

4. Constant growth in the two-wheeler segment

Threats

1. Cheaper imports from countries like China

2. Entry of international brands

3.Other motorcycle players have a strong brand presence

Supply system of the company

The company has a network of 498 dealers and over 1,500 authorised

service enters and 162 exclusive three-wheeler dealers spread across

the country. Around 1,400rural outlets have been created in towns with

populations of 25,000 and below.

BALANCE SHEET OF BAJAJMar '13 Mar '12 Mar '11 Mar '10 Mar '09

12 mths 12 mths 12 mths 12 mths 12 mths

Sources Of Funds

Total Share Capital 289.37 289.37 289.37 144.68 144.68

Equity Share Capital 289.37 289.37 289.37 144.68 144.68

Share Application Money 0.00 0.00 0.00 0.00 0.00

Preference Share Capital 0.00 0.00 0.00 0.00 0.00

Reserves 7,612.58 5,751.70 4,620.85 2,783.66 1,725.01

Revaluation Reserves 0.00 0.00 0.00 0.00 0.00

Net worth 7,901.95 6,041.07 4,910.22 2,928.34 1,869.69

Secured Loans 0.00 0.00 23.53 12.98 0.00

Unsecured Loans 71.27 97.48 301.62 1,325.60 1,570.00

Total Debt 71.27 97.48 325.15 1,338.58 1,570.00

Total Liabilities 7,973.22 6,138.55 5,235.37 4,266.92 3,439.69

Stock market BSE-1823.30

previous close-1846.15

open price-1858.00

NSE-1820.90

previous close-1844.65

open price-1861.00

FACE VALUE-10

P/E RATIO-16.24

HIGH PRICE-1868

LOW PRICE-1823

MARKET CAPITALISATION-52,760.29cr

CSR activities

Bajaj Group is involved in a variety of welfare activities,

which are carried out with the support of its companies

and trusts. The social and welfare objectives of the Bajaj

Group are being fulfilled through the many Trusts and

Foundations it has established. Spending up to Rs. 100

million (US$ 2.15 million) every year.

Shiksha Mandal Wardha

Kamalnayan Bajaj School

Janaki Devi Bajaj Institute of Management Studies

Jamnalal Bajaj Institute of Management Studies

Category Awarded To Award Details

Corporate

Bajaj Auto Forbes - Bajaj Auto ranks 96th in top

100 Wolds Most Innovative Companies

2014

Bajaj Auto BrandZ - Bajaj Auto ranks 5th in top

50 most valuable Indian brands 2014

Individual

- Employee

Uttam

Ramchandra

Asabe

The Government of India - The Prime

Minister Shram Awards 2013

AWARD OF THE COMPANY

Hero or Hero MotoCorp Ltd. is the world's largest manufacturer of

two-wheelers. The bikes offered by us are highly fuel efficient and

considered as family bikes. These bikes are equipped with host of

advanced features and are highly reckoned for their elegant design

and high performance. The Hero bikes offered by us includes Hero

Karizma ZMR, Hero CD Deluxe, Hero Splendor NXG, Hero Passion

Plus, Hero Super Splendor, Hero CD Dawn, Hero Hunk and Hero

CBZ XtremeHero Karizma ZMR, Hero CD Deluxe, Hero Splendor

NXG, Hero Passion Plus, Hero Super Splendor, Hero CD Dawn,

Hero Hunk and Hero CBZ Xtreme.

START

Punch line

‘HUM MAIN HAI HERO’

LOGO

History of the company"Hero" is the brand name used by the Manual brothers for their

flagship company, Hero Cycles Ltd.

A joint venture between the Hero Group and Honda Motor Company

was established in 1984 as the Hero Honda Motors Limited at

Dharuhera, India.

Manual family and Honda group both owned 26% stake in the

Company.

During the 1980s, the company introduced motorcycles that were

popular in India for their fuel economy and low cost.

In 2001, the company became the largest two-wheeler manufacturing

company in India and globally.[

It maintains global industry leadership till date.

The technology in the bikes of Hero Motorcop (earlier Hero Honda) for

almost 26 years (1984–2010) has come from the Japanese counterpart

Honda.

Company profile and

headquarter

Type: Public company

Treaded as: BSE -500182

NSE-HEROMOTOCO

Industry: Automotive

Predecessor: Hero Honda Motors Ltd.

Founded: 19 January 1982

Headquarters: New Delhi India

Area served: India, Sri Lanka, Nepal

Key People: Dr. Brijmohan Lall Munjal

(chairman)

Pawan Munjal (MD&CEO)

Products: Motorcycles, Scooters

Revenue: 241.66 billion (US$3.8 billion)

(2013)

Operating income: 33.22 billion

(US$520 million) (2013)

Net Income: 21.18 billion (US$330

million) (2013)

Total assets: 53.08 billion (US$830

million) (2013)

Number of Employees: 5,842

Parent: Hero Group

Subsidiaries: Erik Buell Racing (49.2%)

Website: www.heromotocorp.com

Organisation structure

VISION

The story of Hero Honda began with a simple vision - the

vision of a mobile and an empowered India, powered by its

two wheelers. Hero Moto Corp Ltd., company's new identity,

reflects its commitment towards providing world class

mobility solutions with renewed focus on expanding

company's footprint in the global arena.

MISSIONHero Moto Corp’s mission is to become a global enterprise

fulfilling its customers' needs and aspirations for mobility,

setting benchmarks in technology, styling and quality so

that it converts its customers into its brand advocates.

The company will provide an engaging environment for its

people to perform to their true potential. It will continue its

focus on value creation and enduring relationships with its

partners.

STRATEGYHero Moto Corp’s key strategies are to build a robust

product portfolio across categories, explore growth

opportunities globally, continuously improve its operational

efficiency, aggressively expand its reach to customers,

continue to invest in brand building activities and ensure

customer and shareholder delight.

MANUFACTURING

Hero Moto Corp two wheelers are manufactured across 4

globally benchmarked manufacturing facilities. Two of

these are based at Gurgaon and Dharuhera which are

located in the state of Haryana in northern India. The third

and the latest manufacturing plant is based at Haridwar, in

the hill state of Uttrakhand.

DISTRIBUTIONThe Company's growth in the two wheeler market in India

is the result of an intrinsic ability to increase reach in new

geographies and growth markets. Hero Moto Corp’s

extensive sales and service network now spans over to 6000

customer touch points. These comprise a mix of authorized

dealerships, service & spare parts outlets, and dealer-

appointed outlets across the country.

Excellence in quality is the core value of Hero Moto Corp

philosophy. The company committed at all levels to achieve

high quality in whatever they do, particularly in our

products and services which will meet and exceed

customer's growing aspirations through:

Innovation in products, processes and services..

Continuous improvement in our total quality

management systems.

Teamwork and responsibility.

QUALITY POLICY

We believe that safe work practices lead to better business

performance, motivated workforce and higher productivity.

We shall create a safety culture in the organization by:

Integrating safety and health matters in all our activities.

Promoting safety and health awareness amongst employees, suppliers

and contractors.

Continuous improvements in safety performance through precautions

be sides participation and training of employees.

Ensuring compliance with all applicable legislative requirements.

Empowering employees to ensure safety in their respective work places.

SAFETY POLICY

manufacture location

Products of hero

products OFFER BY THE COMPANY

Karishma zmr

Engine Type

Air cooled, 4- stroke single cylinder OHC, Fuel Injection,

Oil Cooler

Displacement

223 cc

xStream sports

Engine Type

Air cooled, 4 - stroke single cylinder OHC

Displacement

149.2 cc

HUNK

Engine Type

Air cooled, 4 - stroke single

cylinder

Displacement

149.2 cc

brandsThe new Hero is rising and is poised to shine on the global

arena. Company's new identity "Hero MotorCorp Ltd." is

truly reflective of its vision to strengthen focus on mobility

and technology and creating global footprint.

Building and promoting new brand identity will be central

to all its initiatives, utilizing every opportunity and

leveraging its strong presence across sports, entertainment

and ground-level activation.

the major brands

Upper, Middle-class people who want a bike that is stylish

and gives a good mileage and all age group people now

days bike become common for all section people . So now

they target the age group like students , young age

people…and for varies costumer's they have different kind

of bikes …

Customer segmentation

Advertising process

Hooding

TV and media

New paper ads and magazines

Sponsorships in sports and games

camping

Product demand in the market

70% of people use hero bikes for their official perpose , family , and

business . And 55% of the people use hero bikes for their family itself.

The company has sold over 47 million 2-wheelers since its inception in

1984 till March 2013. It sold 6.07 million 2-wheelers in 2012, out of

which 5.5 million were motorcycles. Hero Moto corp sells more two

wheelers than the second, third and fourth placed two-wheeler

companies put together. Its most popular bike Hero Honda Splendor

sells more than one million units per year.

In 2013, Hero Motor Corp registered best ever calendar year

performance of more than 6.1 million unit sales. By selling 6.25 lakh

units in the month of October, it became the first-ever manufacturer to

cross landmark 6 lakh unit sales in a month. In the last quarter of the

year or say in the festive season, the company sold more than 1.6

million units, while in non festive time in April–May 2013, it managed

to sell out quite good numbers of units- 1.1 million.

PERFORMANCE OF THE

COMPANY

As on 31 March 2013, the company had 5,832 employees,

out of which 66 were women (1.1%). It also had approx.

13,800 temporary employees on that date. The company

had an attrition rate of 5.1% in the FY 2012-13.The

company spent INR 8.21 billion on employee benefits

during the FY 2012-13.

The Brand Trust Report published by Trust Research

Advisory has ranked Hero Honda in the 7th position among

the most trusted brands in India.

It received the 'Best value for Money Bike Maker' and 'Best

Advertising' in Two Wheelers Category at the Auto India

Best Brand Awards 2012.

AWARDS

BALANCE SHEET OF HEROMar '13 Mar '12 Mar '11 Mar '10 Mar '09

12 mths 12 mths 12 mths 12 mths 12 mths

Sources Of Funds

Total Share Capital 39.94 39.94 39.94 39.94 39.94

Equity Share Capital 39.94 39.94 39.94 39.94 39.94

Share Application Money 0.00 0.00 0.00 0.00 0.00

Preference Share Capital 0.00 0.00 0.00 0.00 0.00

Reserves 4,966.30 4,249.89 2,916.12 3,425.08 3,760.81

Revaluation Reserves 0.00 0.00 0.00 0.00 0.00

Networth 5,006.24 4,289.83 2,956.06 3,465.02 3,800.75

Secured Loans 302.16 994.85 1,458.45 0.00 0.00

Unsecured Loans 0.00 0.00 32.71 66.03 78.49

Total Debt 302.16 994.85 1,491.16 66.03 78.49

Total Liabilities 5,308.40 5,284.68 4,447.22 3,531.05 3,879.24

Stock market

BSE-1947.05

Previous close-1977.55

Open price-1981.00

NSE-1944.25

Previous close-1979.40

open price-1995.00

FACE VALUE-2

P/E RATIO-18.26

HIGH PRICE-1999.85

LOW PRICE-1945.50

MARKET CAPTIALISATION-38,880.15cr

profit and loss of last five years

CSR activities of the company

At the Hero Group, corporate social responsibility (CSR)

has been the cornerstone of success right from inception

in the year 1956.

We at Hero Corporate have defined a set of core values for

ourselves - Care, Innovation and Trust - to guide us in all

we do. Our motto to care extends to our partners,

stakeholders, employees and their families, communities

and even the environment. That's why, we coined the

phrase, "We care " in some of our corporate campaigns.

Company’s ratting system

Hr policy of the company

Integrity environmental attributes and cleaner production in all our

business processes and practices with specific consideration to

substitution of hazardous chemicals and strengthening the greening

of supply chain.

Continue product innovations to improve environmental

compatibility.

Comply with all applicable environmental legislation and also

controlling our environmental discharges through the principles of

"alar" (as low as reasonably achievable).

Institutionalize resource conservation in the areas of oil, water,

electrical energy, paints and chemicals.

Enhance environmental awareness of our employees and dealers /

vendors, while promoting their involvement in ensuring sound

environmental management.

ABOUT HERO RACING BIKES Hero Motor cop set the race track on fire with their maiden foray into

one of the most exciting race circuits for superbikes by partnering with

Erik Buell Racing (EBR) USA.

With this partnership Hero now enters into the exciting racing arena by

sponsoring two teams: Team Hero & Amsoil Hero at the WSBK & AMA

Pro Racing Superbike Championship. Team Hero is lead by 2 highly

accomplished riders Larry Pegram & Niccolò Canepa riding EBR 1190

RX. Hero Motor Cop ventured Indian Racing platform in 2014 igniting

tracks at the MRF Supercross Championship. The team consisted of 5

young and extremely talented riders racing with Hero Impulse. The

team won in total 3 championship titles in their initial foray into 2014

MRF Supercross Championship.

Key policy A company that believes in maintaining ecological standards along with

business standards.

"We must do something for the community from whose land we generate our

wealth.”

- Chairman Dr. Brijmohan Lall Munjal.

At Hero Motor Corp, the goal isn't limited to business but encompasses the

broader spectrum of serving humanity through social initiatives. Hero Motor

Corp takes a stand as a socially responsible enterprise respectful of

its environment.

Hero Motor Corp has been strongly devoted not only to environmental

conservation programs but also expresses the increasingly inseparable balance

between economic concerns, environmental and social issues faced by

business. A business must not grow at the expense of mankind but must serve

humankind at large.

FUTURE PLAN OF HERO

END

Over last 30 years of diligence and customer focus, Hero Motor Corp

has created more than 50 million heroes and a place in every

customer's heart. Being the 'World No. 1' Two Wheeler Company for

more than a decade is just a good beginning. As an International Brand

Hero Motor Corp targets to reach out to 50 new global markets and

touch a cumulative sales of 100 million by 2020.

With such great history of success and a golden vision, this is a great

time to be at Hero! We believe 'People do not just get jobs at Hero, they

build their careers with Hero.

Conclusion

In conclusion we can say that there are great

opportunities and possibilities in the automobile sector.

But hike in the fuel price is influencing the market of

this industry. There is a need of a very liberal policy for

the fuel prices and requires a great good deal with fuel

supplying countries. Though the performance of the

industry is better instead of high and unfavourable fuel

policy.

Bibliography www.honda2wheelersindia.com

www.heromotocorp.com

www.bajajauto.com

http://www.bajajauto.com

THANK YOU