High Rate of Technological Obsolescence

Group membersSaurabh R. Kulkarni (7)

Vivek Dabas (16)Sachin Chauhan (28)Raj Kamal Singh (29)

Navneet Pal (31)

Visible signs and causes1) Reduction of market share

2) Frequent replacement of products with new product

3) Cannibalization of products

4) Use of skimming price technique

5) Due to changes in complimentary products Obsolescence of floppy drive, tape recorder

due to introduction of CDs and DVDs

6) Reduction in size of products

7) More investment in RnD

8) Reduced PLC

How should a company respond…

Do’s• More investment in R and D• Identification of an equivalent replacement• Frequent customer feedback• Location of an after market supply• Constant modification in product• Reverse engineering the product• Repositioning the product

Dont’s• Emotional attachment• Over reliance on a product• Ignoring technological changes• Sidelining product development

Expected Benefits

• New product development• Latest technology products at relatively low price• Competitive edge over competitors• High market share• Segmentation based on purchasing power• Technological advancements has led to

globalization• Streamlined processes• Flexibility in operation

Case study: Bajaj AutomotivesExisting vehicles• Bajaj Platina 100cc• Bajaj Platina 125 DTS-Si• Bajaj Discover 135 DTS-i• Bajaj XCD 125 DTS-Si• Bajaj XCD 135 DTS-Si• Bajaj Pulsar 135 DTSi• Bajaj Pulsar 150 DTSi• Bajaj Pulsar 180 DTSi• Bajaj Pulsar 200 DTSi• Bajaj Pulsar 220 DTS-Fi• Bajaj Pulsar 220 DTSi• Bajaj Avenger 200 DTS-I• Bajaj Avenger 220

Upcoming vehicles• Bajaj Sonic• Bajaj Discover 150• Bajaj XCD 125 sprint

Discontinued vehicles * Bajaj Sunny * Bajaj Chetak * Bajaj Cub * Bajaj Super * Bajaj Saffire * Bajaj Wave * Bajaj M80, M50 * Bajaj Legend * Bajaj Bravo * Kawasaki Eliminator EL-175

* Bajaj Kawasaki Wind 125 * Bajaj Kawasaki 4s Champion * Bajaj Kawasaki KB 100 RTZ * Bajaj Boxer * Bajaj Caliber * Bajaj Wind * Bajaj CT 100 * Bajaj Discover 110cc * Bajaj Discover DTS-i 125cc * Bajaj Pulsar 200 DTSi * Bajaj Pulsar 220 DTS-FI * Bajaj XCD 125

Thank You