Documente Academic
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Documente Cultură
On Comparative Analysis Of
4-Stroke Bikes
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CONTENTS
A) Title page
B) Acknowledgement
C) Certificate
1) INTRODUCTION
2) INDUSTRY OVERVIEW
3) COMPANY PROFILE
4) MARKETING STRATEGIES
4) LITERATURE REVIEW
5) RESEARCH METHODOLOGY
6) DATA ANALYSIS AND INTERPRETATION
7) FINDINGS
8) SUGGESTIONS
9) CONCLUSION
10) REFERENCES AND ANNEXURES
ACKNOWLEDGEMENT
We express our sincere gratitude to our project guide Mr. Gaurav Kumar Verma for giving us the opportunity to
work on this project.
We are thankful to our Project Guide for their guidance and encouragement without which the
satisfactory completion of our project would not have been possible. They have been a constant source of
inspiration to us, showing all the patience and abundant encouragement throughout the project duration.
Also, we are thankful to the librarians and staff of our institute, for their continued support and invaluable
encouragement.
Above all, we are thankful to the Almighty and to our parents for their blessings, humble support and
showing their belief in us.
TRIBHUVAN NARAYAN
INTRODUCTION
INTRODUCTION
HISTORY OF BIKES Through the years
Bob Stark has been involved with Indian motorcycles throughout his entire life. Bob's father became an Indian
dealer in 1918, after returning from military service during
World War I. Bob still has a photo of his mother riding in a sidecar in 1923. Since Bob was born in 1934, his
parents were involved with Indian cycles long before that.
At the age of 10 Bob started staying around his fathers shop, and developed quite an interest in the Indian
cycles. The mechanic considered him a pest, but allowed him to do minor items, such as changing oil &
polishing cycles.
By 1946 Bob was riding his own Whizzer motorbike, and in 1947 graduated to a Cushman scooter. By 1950, he
had learned quite a bit more about the cycles and got his first Indian, a 741 Scout with skirted fenders. He
bought the cycle for $50.00 without his fathers permission and had it for 4 months before his father knew it
was his. By 1951, Bob purchased the '48 Chief, which he still rides. In addition, his father deemed the $50.00
741 Scout to be unsafe. So he traded a new Triumph 650cc even up for it. That was the best cycle deal in Bob's
life. 1951 also was high school graduation, and the start of college. Some extra money was obtained during the
next 3 summers by working on cycles. Bobs father had sold the Indian shop in 1952, so the work was done in
the "ex" chicken coop at home. 1955 was the big change, graduation from Case Institute of Technology, Akron
Ohio (Now called Case/Western) with a degree in mechanical engineering. This was a year of working days at
Goodyear Tire & Rubber and nights on Indians.
A short time was spent in the army during 1956 & 1957. The off hours were spent at Herb Reiber' s Indian shop
in Washington D.C. The '48 Chief (purchased in 1951) was kept about 2 miles from Fort Belvoir.
After an army discharge in the fall of 1957 Bob returned to Goodyear Tire during the day and worked on
Indians at home during the evenings. By 1957 he reopened his fathers shop part time, selling the Royal Enfield
built Indians, servicing them, and servicing the older Chiefs & Scouts. By 1958 Goodyear Tire was no longer in
the picture as Bob quit to spend full time at the cycle shop. In 1959 health reasons mandated a move to Florida,
and more building of cycles at home, while working at Martin Marietta Corporation. 1961 was a move to
California, and the nominal home workshop for night work. Later 60' s meant trips back to Florida as part of the
launch crew on the first 2 moon shots from Cape Canaveral. Gary was born during this time frame and started
riding between Shorty & Bob by age 2. In 1970, Starklite Cycle was formed and Bob was back to full time
work on Indians. Again, Starklite took on the Indian dealership, this time for the Taiwan/Italian built models.
This was different, but the main business was restoring the older Indians and manufacturing parts for them. By
now Gary was riding. He got his first Indian at age 5, and his second one at age 7. He was given a '47 Chief at
age 5 and he finished his restoration of it at age 16.
As the years have progressed, Indian parts have become increasingly scarcer. This has led to the need to design
and build increasing amounts of Indian parts. In 1989, Gary graduated from California State University of Long
Beach with an Engineering degree in Manufacturing Engineering. The engineering has helped both Bob and
Gary in the production of what we believe to be the best quality of Indian parts available.
The line now stands at over 3000 items. Shortly has done her part by putting up with all of this for nearly 30
years, as well as handling most of the work in connection with the Indian Motorcycle Club. Gary has started
helping her the last couple or years with much of the mailing and typesetting, as he has become very proficient
on the computer.
In the fall of 1988, Starklite moved from Fullerton to Perris. The shop in Fullerton was left in the hands of
Wilson Plank, who was employed there for 14 years. He is currently operating it under the name of American
Indian Specialists and is running it very successfully working on Indians.
As you can see from this brief background, The Stark Family has been involved in Indians from 1918 to the
present with virtually no interruptions. Starklite is a family owned business involving Bob, Shorty, and Gary, as
well as others. Gary is the third generation to be involved.
The most gratifying part of the business has been the amount of nice people we have met. We consider them
friends, not just a customer.
INDUSTRY PROFILE
When we think of Indian Two-wheelers market, we think of stodgy Vespa based models of scooters and
Japanese models of motorcycles, but now the situation is completely changed as the industry is sizzling hot with
continuous poaching of scooters by motorcycles as well as regular launches of new models by all players.
Earlier the shelf life of models was in tune of 10-15 years but now it has come down drastically due to intense
competition. Hero Honda is trying to save its dominance in motorcycles market from rigorous attacks of Bajaj
Auto and TVS while Bajaj Auto is changing its portfolio by heavy inclusion of motorcycles in it. In this battle
LML Group, Kinetic Group, Yamaha Motors, Honda Motors and Royal Enfield are also trying to have a say.
INDUSTRY OVERVIEW
(TWO-WHEELERS AND THREE-WHEELERS)
Two-Wheelers
India is the second largest manufacturer and producer of two-wheelers in the world. It stands next only to Japan
and China in terms of the number of two-wheelers produced and domestic sales respectively. This distinction
was achieved due to variety of reasons like restrictive policy followed by the Government of India towards the
passenger car industry, rising demand for personal transport, inefficiency in the public transportation system etc.
The Indian two-wheeler industry made a small beginning in the early 50s when Automobile Products of India
(API) started manufacturing scooters in the country. Until 1958, API and Enfield were the sole producers. In
1948, Bajaj Auto began trading in imported Vespa scooters and three-wheelers. Finally, in 1960, it set up a shop
to manufacture them in technical collaboration with Piaggio of Italy. Although various government and private
enterprises entered the fray for scooters, the only new player that has lasted till today is LML. Under the
regulated regime, foreign companies were not allowed to operate in India. It was a complete sellers market with
the waiting period for getting a scooter from Bajaj Auto being as high as 12 years.
The motorcycles segment was no different, with only three manufacturers viz Enfield, Ideal Jawa and Escorts.
While Enfield bullet was a four-stroke bike, Jawa and the Rajdoot were two-stroke bikes. The motorcycle
segment was initially dominated by Enfield 350cc bikes and Escorts 175cc bike. The two-wheeler market was
opened to foreign competition in the mid-80s. Moreover, the then market leaders -Escorts and Enfield - were
caught unaware by the onslaught of the 100cc bikes of the four Indo-Japanese joint ventures. With the
availability of fuel-efficient low power bikes, demand swelled, resulting in Hero Honda - then the only producer
of four stroke bikes (100cc category), gaining a top slot. The first Japanese motorcycles were introduced in the
early eighties. TVS Suzuki and Hero Honda brought in the first two-stroke and four-stroke engine motorcycles
respectively. These two players initially started with assembly of CKD kits, and later on progressed to
indigenous manufacturing. In the 90s the major growth for motorcycle segment was brought in by Japanese
motorcycles, which grew at a rate of nearly 25% CAGR in the last five years. The industry had a smooth ride in
the 50s, 60s and 70s when the Government prohibited new entries and strictly controlled capacity expansion.
The industry saw a sudden growth in the 80s. The industry witnessed a steady growth of 14% leading to a peak
volume of 1.9mn vehicles in 1990. The entry of Kinetic Honda in mid-eighties with a variometric scooter
helped in providing ease of use to the scooter owners. This helped in inducing youngsters and working women,
towards buying scooters, who were earlier inclined towards moped purchases. In the 90s, this trend was
reversed with the introduction of scooterettes. In line with this, the scooter segment has consistently lost its part
of the market share in the two-wheeler market.
In 1990, the entire automobile industry saw a drastic fall in demand. This resulted in a decline of 15% in 1991
and 8% in 1992, resulting in a production loss of 0.4mn vehicles. Barring Hero Honda, all the major producers
suffered from recession in FY93 and FY94. Hero Honda showed a marginal decline in 1992. The reasons for
recession in the sector were the incessant rise in fuel prices, high input costs and reduced purchasing power due
to significant rise in general price level and credit crunch in consumer financing. Factors like increased
production in 1992, due to new entrants coupled with the recession in the industry resulted in companies either
reporting losses or a fall in profits
Three-Wheelers
India is one of the very few countries manufacturing three-wheelers in the world. It is the world's largest
manufacturer and seller of three-wheelers. Bajaj Auto commands a monopoly in the domestic market with a
market share of above 80%, the rest is shared by Bajaj Tempo, Greaves Ltd and Scooters India.
The Bajaj Group came into existence during the turmoil and the heady euphoria of India's freedom struggle.
Jamnalal Bajaj, founder of the Bajaj Group, was a confidante and disciple of Mahatma Gandhi, and was deeply
involved in the effort for freedom. The integrity, dedication, resourcefulness and determination to succeed
which are characteristic of the Company today, are often traced back to its birth during those long days of
relentless devotion to a common cause.
Kamalnayan, the eldest son of Jamnalal Bajaj, succeeded his father in 1942, at the age of twenty-seven. Putting
the Nation before business, he devoted himself to the latter only after India achieved independence in 1947. But
when he did so, he put his heart and soul into it. Within a short while, he not only consolidated the Group, but
also diversified into various manufacturing activities, elevating the Group to the status it enjoys till this day.
Rahul Bajaj today heads the Group. He has been the Chief Executive Officer of Bajaj since 1968 and is
recognized as one of the most outstanding business leaders in India. As dynamic and ambitious as his illustrious
predecessors, he has been recognised for his achievements at various national and international forums.
Bajaj is currently India's largest two and three-wheeler manufacturer and one of the biggest in the world. Bajaj
has long left behind its annual turnover of Rs.72 million (1968), to currently register an impressive figure of
Rs.42.16 billion (US$ 936 million).
Group/ Management
Mr. Jamanalal Bajaj founded the Bajaj Group in the 30s. The group now has 24 companies, including 6 listed
companies. Besides BAL, the major companies in the group are Mukand Ltd. (Alloy/ Special Steel, term key
projects), Bajaj Electricals Ltd.(Electrical equipments, fans, and appliances) and Bajaj Hindustan Ltd.(Sugar,
industrial alcohol)
BELIEFS
Disclosure: Of all relevant financial and non-financial information in an easily understood manner.
PRESENCE
Dominant presence in Sri Lanka, Mexico, Bangladesh, Columbia, Guatemala, Peru, Egypt, Iran and
Indonesia.
Bajaj CT 100
Engine
Cubic Capacity
Max. Power
Gear Box
Ignition
Front Brakes
Rear Brakes
Front Tyre
Rear Tyre
Wheelbase
Ground Clearance
Dry Weight
Tank Capacity
Colours
Gear Box
Ignition
Front Brakes
Rear Brakes
Front Tyre
Rear Tyre
Wheelbase
Ground Clearance
Dry Weight
Tank Capacity
Colours
4 Speed
CDI
130mm Drum
130mm Drum
2.75 X 17
3.00 X 17
1305mm
0mm
129 Kg
10 Litres
Black, Red, Blue
Engine
Cubic Capacity
Max. Power
Gear Box
Ignition
Front Brakes
Rear Brakes
Front Tyre
Rear Tyre
Wheelbase
Ground Clearance
Dry Weight
Tank Capacity
Colours
15 Litres
Black, Silver, Orange, Blue, Dark Grey
The company was incorporated in 1972 as a private limited company called Lohia Machine Ltd. and starting
manufacturing machine in technical collaboration with ARCT FRANCE in terms of companies Act 1956. The
company was converted into public limited company. The activities were diversified by putting up synthetic
yarn processing unit in 1978. Nylon 6 chips manufacturing of LML scooter. The activity of engineering unit
was phased out and fiber unit was de-linked. As such as the company now manufacturing scooters and
motorbike under the brand name of LML.
During the last 14 years the company has produced and sold over 19 Lacks scooters that is a remarkable
achievement inspire of formidable competition formats competitors when LML entered the scooter industry in
1982. It was essentially operating in a seller market which had huge unmeet demand it was able to gain
substantial and market shore approached operand from 14000 a month in 1990 to 5000 a month in 1992.
Overall sales in1991 were half that of 1990. It introduced a new vehicle LML is in early 1992 which was priced
higher than LML TS in September 1992 both the vehicles were restyled and re-launched as the NV special and
TS special there was no immediate impacts on sales. Total sales in 1992 were lower than even 1991.
However there was considerable reshaping within the existing demand with the higher price TS rapidly
wresting a 35 percent shares of LML 20 sales. By end 1992 the company had managed to fix its mingling
quality problems which has been preventing it from attaining a premium states in the eye of the consumer it
started spending on advertisement also for provide- ding product related information to potential customers.
Innovative marketing such as exchanging any old scooter for new LML one and paying the difference is easy
installment he helped in booming up the market share of LML considerable LML enthused its dealer with mere
generous morging which ranges from Rs-725 to Rs-1100.
By 1993, it introduced a new model LML select that proved an instant success by mid 1993 as much a 60
percent of LML sales to percent by 1993 had increased to 15000 per month. It stayed at the sales reputed to
20000 a per month by the year-end.
The severe demand recession during October 1990 top September 1992 upset the working of company resulting
into heavy loses. As a result of house Research and Development. Activities the company could introduce a new
range of scooter with lot of added features like a better fuel, efficient engine and attractive metallic colors etc
with earning of recession the sales of company picked up a level of about 5000 scooter to 2000 scooter per
month. During the year end 30-9-97 LML has achieved a remarkable turn over by earning a net profit Rs-2640
lacks as compared to net loss of 607 during the year proved further and the company has earned a net profit of
Rs-467 crores during the period ended on 30-9-97 before exceptional item has also gone up from Rs-346.39
crores during 1993-94 to Rs-748.72 crores during 1996-97.
From a mere 7 percent, market share in 1991-1992 LML has today made significant result and commands an
impressive market share of about 26 percent.
LML achieved 14.63% increase in volumes against the backdrop of a slow down in the two-wheeler industry
and a negative growth in the scooter segment.
Different models of LML 4-strokes bikes:
LML Freedom DX
Engine
Cubic Capacity
Max. Power
Gear Box
Ignition
Front Brakes
Rear Brakes
Front Tyre
Rear Tyre
Wheelbase
Ground Clearance
Dry Weight
Tank Capacity
Engine
Cubic Capacity
Max. Power
Gear Box
Ignition
Front Brakes
Rear Brakes
Front Tyre
Rear Tyre
Wheelbase
Ground Clearance
Dry Weight
Tank Capacity
Colours
Disc
130mm Drum
2.75 X 18
3.00 X 18
1235mm
165mm
111 Kg
12.25 Litres
Black, Silver
Engine
Cubic Capacity
Max. Power
Gear Box
Ignition
Front Brakes
Rear Brakes
Front Tyre
Rear Tyre
Wheelbase
Ground Clearance
Dry Weight
Tank Capacity
Colours
two-wheeler industry. TSL is present in all the three leading segments of the 2-wheeler market viz; mopeds,
motorcycles and scooters. The company is Indias largest manufacturer of mopeds with a market share of 66%,
and dominates the southern parts of India. It is also a market leader in the fast growing vario-scooter (Scooty)
market with a market share of 34%. In FY01, motorcycle sales contributed to 53% followed by sales in mopeds
to 24% of total sales of Rs 18,408.2mn. TSLs first 4-stroke premium segment motorcycle Suzuki Fiero has
achieved about 3% market share within the first year of its launch. Most recently the 19-yr old JV with Suzuki
Motor Corporation (SMC) has fallen off and TVS has been renamed as TVS Motor Company Ltd.
The Indian two-wheeler sector contributes the largest volumes amongst all the segments in automobile industry.
Though the segment can be broadly categorized into 3 sub-segments viz; scooters, motorcycles and mopeds;
some categories introduced in the market are a combination of two or more segments e.g. scooterettes and stepthrus. The market primarily comprises five players in the two-wheeler segment with most of the companies
having foreign collaborations with well-known Japanese firms earlier. But with most of the companies now
planning 100% subsidiaries in India, a few JVs have fallen out.
In the last four to five years, the two-wheeler market has witnessed a marked shift towards motorcycles at the
expense of scooters. In the rural areas, consumers have come to prefer sturdier bikes to withstand the bad road
conditions. In the process the share of motorcycle segment has grown from 48% to 58% , the share of scooters
declined drastically from 33% to 25% , while that of mopeds declined by 2% from 19% to 17% during the year
2000-01. The Euro emission norms effective from April 2000 led to the existing players in the two- stroke
segment to install catalytic converters. 4-stroke motorcycles are now replacing all new vehicles. Reduced excise
duty and fierce competition has led to a fall in prices of certain models.
TSL has been the largest manufacturer of mopeds, which are predominantly prevalent as a means of low cost
transportation and provide a tremendous potential in all the parts of India. However the company is likely to
face threat from domestic competitors viz; Bajaj Auto Ltd (BAL) which would continue its price-based
competition and Honda Motorcycles and Scooters Ltd (HMSL) a new entrant in the 2-wheeler market. Since the
two-wheeler industry has grown vigorously in the past, there has been excess capacity and cost pressures will
lead to reduce margins. The removal of quantitative restrictions has also led to a threat from the Chinese
players. In addition to this there has been a decline in the demand for mopeds, which is matter of concern for
the company. Consequently, the company has been planning to launch a range of 4-stroke vehicles covering all
segments over a period of time. Of late, TVS has been able to produce 100cc 4-stroke motorcycles indigenously
and none of the companys fast selling 2-wheelers have a major Suzuki contribution.
Current Scenario
TVS - Suzuki s motorcycle volume growth at around 1.3% is way behind that of its competitors such as Hero
Honda (37.28 %) and Bajaj Auto (34.5 %). The company for the first half of FY02 posted a drop in turnover by
8% to Rs8332.8mn. Operating profit margin has declined to 7.39% from 9.53% and has been affected on
account of disproportionate increase in raw material cost in relation to the turnover. Increase in staff costs to
Rs364.2mn from Rs312.3mn accompanied by marginal increase in depreciation and interest costs has affected
the companys bottom line. The posttax earnings declined by about 53% to Rs191.6mn. However the earnings
during second quarter are relatively better than the first quarter of current fiscal 01-02. The pick up in sales
volumes of Victor and the steady off take of Fiero have helped the company stage some sort of recovery
during the second quarter.
Different models of TVS 4-strokes bikes:
TVS Centra
Engine
Cubic Capacity
Max. Power
Gear Box
Ignition
Front Brakes
Rear Brakes
Front Tyre
Rear Tyre
Wheelbase
Ground Clearance
Dry Weight
Tank Capacity
Colours
Engine
Cubic Capacity
Max. Power
Gear Box
Ignition
Front Brakes
Rear Brakes
Front Tyre
Rear Tyre
Wheelbase
Ground Clearance
Dry Weight
Tank Capacity
Colours
TVS Fiero
TVS Victor
The TVS Victor offers amongst the best value for money in the Indian two-wheeler industry.
Its 110cc engine, 4 stroke engine develops 8.1 BHP and, thanks to its digital ignition, can be optimised for
power or fuel economy depending on your riding style.
Its multi-reflector headlamps provide better illumination for safer riding while its long broad seat offers great
comfort both for the pillion and the rider.
Yamaha Motor India Private (YMIPL) Ltd. is the fully owned subsidiary of Yamaha Motor Co of Japan. YMIPL
was initially known as Yamaha Motor Escorts Ltd. But the parent company, Yamaha Motor Company,
purchased Escorts Ltd's remaining 26 per cent holding in their motorcycle joint venture Yamaha Motor Escorts
Ltd in June 2001. It was therefore renamed as Yamaha Motor India Private Ltd.
YMI follows Yamaha Motor's corporate mission of creating 'Kando' - a unique Japanese word that means
'touching people's hearts.' 'Kando' also describes the 'spirit of challenge" to create new value surpassing
customer expectations. YMIPL is committed to making products that benefit from the skills and technology
used
by
Yamaha
worldwide.
Now, the company being 100% subsidiary holder is known as the Yamaha Motor India (Pvt.) Limited. The logo
of YMC has been adopted by YMIPL.
Plans after Merger
To fulfill customer satisfaction, and meet the needs of the Indian market, YMI plans to produce one or more
models in the first year, four models in three years. To achieve these goals, YMIPL will pursue three major
objectives within the company. The first is customer satisfaction. The second is strengthening R&D. YMIPL's
mission is to constantly produce what customers are looking for, by analysing market trends and changes. The
third objective is to optimize the internal working system.
YMIPL's motto is 'Speed, Quality, Yamaha's original design'. Yamaha is aiming to make a significant
contribution to Indian society and create products that the people of India will take to their hearts.
Ever since its founding as a motorcycle manufacturer on 1 st July, 1955, Yamaha Motor Company has worked to
build its products which stand among the very best in the world through its constant pursuit of quality; and at
the same time, through these products, it has sought to contribute to the quality of life of people all over the
world. Following on the success of our Motorcycles, Yamaha being manufacturing Powerboats and out boards
motors in 1960. Since then, engine and FRP technology were used as a base to actively diversify and globalize
the area of business. Today our fields of influence extend from the land to the sea and even into the skies as our
business divisions have grown Motorcycles operations to include Marine operations, Power Product operations,
Automotive operations, Intelligent Machinery operations, Aeronautic operations and PAS operations.
Engine
Cubic Capacity
Max. Power
Gear Box
Ignition
Front Brakes
Rear Brakes
Front Tyre
Rear Tyre
Wheelbase
Ground Clearance
Dry Weight
Tank Capacity
Colours
4 Speed
CDI
Disc
130mm Drum
2.75 X 18
120/80 X 16
1375mm
140mm
116 Kg
13 Litres
Lavender, Gold, Red
Yamaha Libero
Engine
Cubic Capacity
Max. Power
Gear Box
Ignition
Front Brakes
Rear Brakes
Front Tyre
Rear Tyre
Wheelbase
Ground Clearance
Dry Weight
Tank Capacity
Colours
COMPANY PROFILE
Hero Motocorp Ltd., formerly Hero Honda, is an Indian motorcycle and scooter manufacturer based inNew
Delhi, India. The company is the largest two wheeler manufacturer in the world.[2] In India, it has a market share
of about 46% share in 2-wheeler category.[2][4] The 2006 Forbes 200 Most Respected companies list has Hero
Honda Motors ranked at #108.[5] On 31 March 2013, the market capitalisation of the company was INR 308
billion (USD 5.66 billion).[6]
Hero Honda started in 1984 as a joint venture between Hero Cycles of India and Honda of Japan.[7] In 2010,
when Honda decided to move out of the joint venture, Hero Group bought the shares held by Honda.[8]
[9]
Subsequently, in August 2011 the company was renamed Hero MotoCorp with a new corporate identity.[10]
In June 2012, Hero Motocorp approved a proposal to merge the investment arm of its parent Hero Investment
Pvt. Ltd. into the automaker. The decision comes after 18 months of its split from Honda Motors.[11]
he brand name used by the Munjal 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. Munjal 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. A popular advertising campaign based on the slogan 'Fill it Shut it Forget it' that emphasised the
motorcycle's fuel efficiency helped the company grow at a double-digit pace since inception. In 2001, the
company became the largest two-wheeler manufacturing company in India and globally.It maintains global
industry leadership till date.[2] The technology in the bikes of Hero Motocorp (earlier Hero Honda) for almost 26
years (19842010) has come from the Japanese counterpart Honda.
HISTORY
2003Hero Honda motorcycle CD Dawn, Hero Honda motorcycle Splendor plus, Hero Honda
motorcycle Passion Plus and Hero Honda motorcycle Karizmalaunched.
2004Hero Honda motorcycle Ambition 135 and Hero Honda motorcycle CBZ Star launched.
2005Hero Motocorp SuperSplendor, Hero Honda motorcycle CD Deluxe, Hero Honda motorcycle
Glamour, Hero Honda motorcycle Achiever and Hero Honda Scooter Pleasure.
2007New Models of Hero Honda motorcycle Splendor NXG, New Models of Hero Honda
motorcycle CD Deluxe, New Models of Hero Honda motorcycle Passion Plus and Hero Honda motorcycle
Hunk launched.
2008New Models of Hero Honda motorcycles Pleasure, CBZ Xtreme, Glamour, Glamour Fi and Hero
Honda motorcycle Passion Pro launched.
2009New Models of Hero Honda motorcycle Karizma:Karizma ZMR and limited edition of Hero
Honda motorcycle Hunk launched
2010New Models of Hero Honda motorcycle Splendor Pro and New Hero Honda motorcycle
Hunk and New Hero Honda Motorcycle Super Splendor launched.
2011New Models of Hero Honda motorcycles Glamour, Glamour FI, CBZ Xtreme, Karizma
launched. New licensing arrangement signed between Hero and Honda. In August Hero and Honda parted
company, thus forming Hero MotoCorp and Honda moving out of the Hero Honda joint venture. In
November, Hero launched its first ever Off Road Bike Named Hero "Impulse".
2012-New Models of Hero Motocorp Maestro the Musculine scooter and Ignitor the young generation
bike are launched.
2013-Hero MotoCorp unveiled line-up of 15 updated products including Karizma R, ZMR, Xtreme,
Pleasure, Splendor Pro, Splendor iSmart, HF Deluxe ECO, Hero Motocorp SuperSplendor, Passion Pro and
Xpro, Glamour and Glamour FI etc. It also introduced three new technologies- Engine Immobilizer in new
Xtreme, Integrated Braking System (IBS) in new Pleasure and i3S (Idle Stop and Start System) in new
Splendor iSmart
2014-Hero MotoCorp Launched Splendor Pro Classic
MARKETING STRATEGIES
The Company launched a new 100 cc model "Passion" in January 2001. The motorcycle is focused on style and
contemporary design, compared to the Company's earlier motorcycles that were focused on utility and/or style.
"Passion" has received an excellent response from the market and has established itself well, with sales
reaching a level of 19000 units in March 2001, within just three months of its launch.
In April 2001, another 100 cc model "Joy" was launched successfully. Its focus is on better styling and
improved riding comfort.
Hero Honda launches cheapest bike to stall Bajaj Auto19.03 IST 16th Apr 2003 By India Express Bureau
In an attempt to beat competition from its rival Bajaj Auto, Hero Honda Motors launched its cheapest 100cc
motorbike yet on Wednesday. The motorbike maker, in which India's Munjal family and Japan's Honda Motor
Co each hold 26 per cent stakes, said the new model, CD-Dawn, would carry a showroom price of Rs 31,899 in
Delhi. The company expects to sell 7,000-8,000 units of the bike in April and hopes sales will touch 20, 000 a
month in six months. Hero Honda, which accounts for 45 per cent share of the domestic market, has faced
slowing demand and cutthroat competition after two consecutive years of 30 per cent-plus growth in the world's
biggest motorcycle market. But the firm has forecast at least 10 per cent growth in sales volume in the current
financial year to March 2004. Its sales in the past year to March grew 17.7 per cent to 1.68 million bikes.
Presenting CD deluxe, the stylish, true value 100 cc motorcycle from Hero Honda. Encompassing the legendary
Hero Honda values of fuel efficiency, economy and rock solid dependability.
Engine
Bore X Stroke
Displacement
Compression Ratio
Max Power
Torque
Clutch
Transmission
Final Drive
Ignition
Starting
Frame
Suspension
Dimensions (LXWXH)
Wheel Base
Ground Clearance
Kerb Weight
Tyres
Brakes
Fuel Tank Capacity
Head Light
The world's best-selling motorcycle just got better. The Splendor+, a bike that will stop you right in your tracks.
Both by its looks and performance. Needless to add, owning a Splendor+ means a lot of other things too. Like
getting admiring looks. Or the pride of riding a motorcycle that meets the pollution control standards of this
decade. That's the Splendor+. The new face of trust.
Engine
Displacement
Transmission
Ignition
Head light
97.2.cc
4-speed constant mesh
Electronic
12V 35/35W multi-reflector with halogen lamp
Frame
Suspension (front)
Suspension (rear)
Wheelbase
Ground clearance
Kerb weight
Tyre (front)
Tyre (rear)
Type of brake (front)
Optional
Type of brake (rear)
Max power
1230 mm
159 mm
109 kgs
2.75*18-4 PR
2.75*18-6 PR
Drum type (130 mm diameter)
Disc type (240 mm diameter)
Drum type (110mm diameter)
7.5PS @ 8000 rpm / 5.5 KW @ 8000rpm
Max speed
Fuel tank capacity
85 kmph
10.5 litres (reserve 1.4 litres)
Engine
Bore X Stroke
Displacement
Compression Ratio
Max Power
Torque
Max Speed
Clutch
Final Drive
Ignition
Starting
Frame
Suspension
Dimensions (LXWXH)
Wheel Base
Ground Clearance
Kerb Weight
Tyres
Brakes
New two-tone body colours PLUS Body colour rear view mirrors PLUS Aluminum die cast rear grip PLUS
Heat protector on the muffler. All this and much more to make the biker and his bike stay married for eve.
Engine
Displacement
Maximum Power
Gear Box
Clutch
Max. Speed
Frame
Suspension (Front)
Suspension (Rear )
Tyre Size (Front )
Tyre Size (Rear )
Brakes (Front)
Karizima
The Karizima features a 223cc, 17PS power pack that accelerates you from 0-60 in 3.8 seconds. Distinctive
styling and Mag alloy wheels make this bike stand out before it races away from the pack.
Digital ignition and a constant vacuum carburetor facilitate better control of ignition timing.
The legend refreshedwith all new body language. The original spirit of CBZ, now with a cool, new look. A
wonder bike that can take on the winds. And like you, it runs on passion. Rev up and flaunt your style.
CBZ
Engine
Displacement
Clutch Type
Clutch Primary
Clutch Secondary
Transmission
Final Drive
Ignition
Starting
Frame
Suspension (Front )
Suspension (Rear )
Dimensions (L*W*H)
Wheel Base
Ground Clearance
Kerb Weight
Tyres:Front/Rear
Max. Power
Max.Speed
Fuel Tank Capacity
Hero Honda became the first company in the country to introduce four-stroke motorcycles and set the standards
for fuel efficiency, pollution control and quality. It has a production capacity of 1.2 million motorcycles, which
shall be enhanced to 1.5 million motorcycles in the coming years. It has an excellent distribution and service
network spread throughout the country. Hero Honda is the market leader in motorcycles, with sales of over a
million motorcycles and a strong market share of 47% during 2000-01.
This is proved by the company's sales over the years:
YEAR
2002-03
2003-04
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
SALES
43,000 units
96,200 units
5,30,600 units
7,61,210 units
10,29,555 units
14,25,195 units
16,77,537 units
18,23,234 units
As economies open up, are Asian enterprises ready for the global battle for export markets and investment?
Hero Honda sales decline 1.2 pc
Our Bureau
NEW DELHI, May 1
HERO Honda, the country's largest motorcycle manufacturer, saw its sales decline by 1.2 per cent to 1,34,318
units in April 2003 from 1,35,961 units in the same month last year.
According to industry sources, sales of the company could have been affected by sluggish rural demand
combined with the 10-day trucker's strike affecting production as well as distribution of products in April.
The company saw a growth of 16.06 per cent in sales volume during April compared to March.
Meanwhile, Hero Honda is planning to launch new 200 plus cc motorcycle during May, a company release said.
The company today announced that it has achieved a milestone with its Daruhera plant, in Haryana, becoming
the first Indian two-wheeler plant to produce 5 million units. The 5 millionth motorcycle was a Splendor. The
first motorcycle, CD100, had rolled off the assembly line in April 1985.
Customer satisfaction, a high quality product, the strength of Honda technology and the Hero group's dynamism
have helped HHML scale new frontiers and exceed limits.
In the words of Mr. Brijmohan Lall Munjal, the Chairman and Managing Director, "We will continue to make
every effort required for the development of the motorcycle industry, through new product development,
technological innovation, investment in equipment and facilities and through and through efficient
management."
The Fab Four along with team captain Sourav Ganguly will feature in the ads for its latest motorcycle
model: the Ambition. Hero Honda is extremely cagey about saying how much they had to fork out to bring the
top cricketers to feature in the ads.
Atul Sobti, senior vice-president, marketing and sales declined to say how much they planned to invest in the ad
campaign. "It will give a lot of leverage to the new product Ambition by giving the image of a powerful and
efficient motorcycle. The powerfu-e-l bike will be well represented by the leadership qualities, power and the
capacity to face any challenges," he added.
The current ad for Ambition is tame; it shows an important file reaching a destination in time because of the
power of the motorcycle. "It does not properly appeal to the customers about the power and efficiency of the
product. 'Team Ambition' will be much better suited to represent the product," sources said.
Hero Honda is hoping to crank up sales of Ambition because of the endorsements by the top cricketers during
the World Cup when cricket fever will be at its highest.
One major advantage is that none of its rivals will be able to use cricketers to endorse their products before and
after the World Cup because of the ambush-marketing clause that the International Cricket Council (ICC) has
worked into the players contracts.
The issue had sparked a row when it was raised just before the ICC champions trophy in Sri Lanka in
September but was resolved after a stand-off between ICC, the cricket boards of several nations and the players.
Hero Honda plans to increase its market-share to 50 per cent this fiscal and is targeting sales of 10,000
Ambitions a month. Its share dipped from 48 per cent to 45 per cent.
The 133 cc Ambition generates 11 bhp of thrust, which has been kept low in order to improve fuel efficiency. It
has been placed in between the 125cc and 150cc motorcycle categories to draw the maximum clientele. The
bike accelerates from 0-60 kmph in only six seconds.
While launching the new campaign with the cricketers, Hero Honda is also drawing up plans for a couple of ads
with the other brand ambassador, Hrithik Roshan.
Hero Honda's association with cricket goes back to 1993, when it sponsored the Hero Cup. It was the official
sponsor of the recent ICC Champions Trophy in Sri Lanka and will have the same status for the ICC World Cup
in 2003.
LITERATURE REVIEW
2. LITERATURE REVIEW
Motorcycles are the most expensive of all two-wheelers. They are more powerful than scooters and mopeds,
have the highest load carrying capacity (which is essential for rural areas), are fuel-efficient, have better road
grip, and are the most expensive. Besides, motorcycles are viewed as trendy in the urban areas as compared
with scooters and mopeds.
Motorcycle production in India began in 1952, when Enfield India Limited commenced manufacture at its plant
in Tamil Nadu. It was the only motorcycle producer in the country until the early 1960s when Ideal Jawa (India)
Private Limited and Escorts Limited entered the market. By 1970-71, production of motorcycles had reached
39,000 units per annum.
The fortunes of the motorcycle industry changed after the announcement of the liberal licensing policy in 1982
whereby foreign collaboration was allowed. In 1982, the Government allowed foreign players to enter the
industry through joint ventures. Within four years, the TVS Group tied up with Suzuki, the Hero Group with
Honda, the Escorts Group with Yamaha, and Bajaj Auto Limited (Bajaj Auto) with Kawasaki. TVS Suzuki
introduced Ind-Suzuki in 1984, Hero Honda Motors Limited (HHML) launched CD100 in 1985, and both
Escorts and Bajaj Auto launched their models in 1986-87. These models catered for the upwardly mobile,
middle-to-upper income group consumers who preferred a stylish, powerful vehicle that could be used as an
urban personal transportation vehicle. The principal brands that competed in the 1980s were the HHML CD100
(a four-stroke 100cc), the Ind-Suzuki AX100 (from TVS, two-stroke, 100cc) and the EscortsYamaha RX100 (two-stroke, 100cc). While the CD100 was positioned primarily on the efficiency plank, giving
riders an unprecedented mileage of 80 kms per litre (kmpl), the RX100 became popular with young buyers
because of its high power. The AX100 took the middle path, balancing power with reasonable fuel efficiency.
To reinforce its image of being a maker of powerful motorcycles, Escorts launched the 350cc twin-carb, twincylinder Yamaha RD350, a vehicle that soon gained cult status. It offered 36bhp, but was plagued by problems
very few mechanics could tune the engine and the average fuel consumption was as low as 15 kmpl.
Subsequently, the product had to be discontinued. The launch of the 100cc motorcycles was path breaking, as
till then the existing big models like the Yezdi, Rajdoot and Bullet could not compete with scooters.
A significant development in the motorcycle industry during the late 1990s was the shift from two-stroke to
four-stroke technology. The attraction of the four-stroke technology was earlier limited to fuel efficiency, while
two-stroke held its own by offering better performance and easier maintenance. But, following the enforcement
of India 2000 emission norms beginning April 1, 2000, the less polluting four-stroke has become the preferred
technology. The two-stroke technology can also meet the existing environment norms, but only when
supplemented by catalytic convertersan option that is both costly and shortsighted. The high temperature of
the exhaust, combustion irregularities, the problem of lubricating oil contamination with metallic additives, and
finally, fuel adulteration can poison the catalyst and render it completely ineffective. Further, the use of catalytic
converter affects the initial pick-up of two-stroke engines, which is one of their main attractions. Given these
shortcomings, most motorcycle manufacturers have offered four-stroke vehicles. While the four-stroke
motorcycle segment is the fastest growing, it is also highly competitive. Competition has intensified in this
segment since CY2001 when players introduced new products at a relatively fast pace. Also, new entrants have
entered the market by introducing their products at lower price points, while the existing players have
announced price cuts. This has led to price competition in the domestic market. At the lower end of the segment,
Bajaj Auto has its Boxer range of motorcycles and Byk; HHML has Dawn as well as CD Dawn and KEL Boss.
Above this segment, there are strong brands such as Victor (TVS), Passion and Splendor (HHML), Caliber 115
and Aspire (Bajaj Auto), Freedom, Adreno and Energy (LML), and Crux R (Yamaha). Through its CBZ model,
HHML had tapped the premium segment of the market in 1999.
Since then, however, quite a few models such as Pulsar 180 by Bajaj Auto and Fiero by TVS have been
launched in this segment. Royal Enfield is the market leader in the lifestyle segment. This segment has also
attracted new model launches such as Eliminator by Bajaj Auto, Aquila by KEL and Karizma by HHML.
Growth of Bikes
Significant growth has been witnessed in the motor cycle segment and the company is fully aware of the need to
enter in this segment for maintaining growth and optimizing product mix the growth in motor cycle is attributed
largely to the opening up the rural markets and also to its wider acceptance in the youth market. It is growing at
any average rates of 20% over the last three years. Another high legal is that the motorcycle sales have
surpassed the scooter sales for the first time in 1998-1999 until then motorcycle was always trailing behind.
The two-wheeler industry has been rather slow in taking advantages of the board bandings introduced in Rajeev
Gandhi time way back in 1994.
Even today, there are manufactures such as Escort, Hero Honda, Bajaj, Yamaha and LML, which later to only a
single segment like motorcycle or scooter. Any variation of demand in a particular segment hits them hands it is
therefore a product policy to have presence in each segment.
Growth of two-wheeler
BIKE
SCOOTER
MOPEDS
TOTAL IN LACS
2008-2009
2009-2010
GROWTH %
2.95
3.32
1.54
7.9
3.81
2.95
1.58
8.35
+29
-11
+2.8
+16.8
Emission Norms
The years 2004 emission norms are more stringent than stringent norms as may be seen from table:
GRAMES /K.M.
2009
2010
CO
4.5
2.0
HC+NOX
3.6
1.5
The industry need to adopt suitable technology so that it can conveniently meet these horns in time since the
production largely of two stroke engines figment of catalytic converter will become necessary. But it will lead
some in case in prices. The life of these converter is limited to 25/30 thousand hence consumer will prefer
something durable and longer lasting.
Some manufacture is therefore planning to switch over to stroke technology to comply with the emission norms.
It has an additional advantage of more complete combustion of hydrocarbons in petrol, which gives higher
mileage and better fuel economy. The 4 strokes bike are currently giving of fuel 70 to 80 km/hr. this will
important from consumers point of view because of high price level of petrol in India. It is therefore not
surprising that every major player is trying to get into the motor cycle market to have a piece of cake.
Amazing but true!
Just when the market of scooter is shrinking in India residents London seem to be switching to scooter. The
number of scooter on Britons road rise 40 %over the part 12 months. As roads get alleged with traffic and
average speed of traffic is London has dropped to 19.2 km/hr more and more people are buying scooter to get
around traffic shares.
Motorcycle association has released figures acknowledging the new popularity of 4-strokes bikes.
RESEARCH METHODOLOGY
RESEARCH METHODOLOGY
Meaning of Research
Research is a common parlance refers to a search for knowledge. One can also define research as a scientific
and systematic search for pertient information on a specific topic. In fact, research is an art of scientific
investigation. The Advance Learners Dictionary of current English lays down the meaning of research as A
careful investigation or inquiry specially through search for new facts in any branch of knowledge. Redman
and Mory defines research as a Systematized efforts to gain new knowledge. Some people consider research
as a movement, a movement to from the known to unknown. It is actually a voyage of discovery. We possess
the vital instinct of inquisitiveness for, when the unknown confronts us, we wonder and our Inquisitiveness
make us probe and attain full and fuller understanding of the unknown.
Methodology
In planning and designing a specific research project, it is necessary to anticipate all the steps that must be
undertaken if the project is to be successful in collecting valid and reliable information.
RESEARCH OBJECTIVES
To forecast the consumers requirements and to study the consumers preference by collecting the data
through questionnaire
To determine the satisfaction level of consumer to the product features and various aspects to the 4-strokes
bikes
RESEARCH DESIGN
The research design is the determination and statement of general research approach of strategy adopted for the
particular product. It is the heart of the planning which the design adheres to the research objected which will
ensure that the needs will be served. My study is based on Descriptive Research as it is invested to produce
accurate descriptive of various relevant to the decision faced without demonstrating that some relationship exist
within variable. It is used to measure the behavior variables of people of subject who are under the study.
The research undertaken was descriptive research in nature. The emphasis was made to understand the nature
and the expectations of the customers.
SAMPLING TECHNIQUES
The type of sampling that was carried out was probability (convenience) Sampling due to limited resources
available.
In non-probability sampling, I have chosen RANDOM sampling. Because this was best sampling method to do
market survey. On the other aspect, to cover all consumers in Ghaziabad was easy task.
SAMPLE SIZE
The total number of these selected persons is called sample size. In this case, study sample units are Two
Hundred Eighty Two.
SAMPLE AREA:
Primary data
Secondary data
Primary data:
Through survey researcher obtains primary data directly from the Reader through following method.
Observation method.
Interview method.
Questionnaires.
Observation method:
Researcher went to the dealers showroom and service center and even parking places. Researcher directly
observes the customers researcher with out asking any question. Here researcher found most of the customer
was empty buying behavior.
Interview Method:
Researcher went to the service center and parking places and collects the data through personal interview.
SURVEY INSTRUMENTS
Researchs instrument is questionnaires for collecting the primary data. This is very common and flexible
instrument.
Through Questionnaires:
Researcher collects most of the data through questionnaires; researcher went to the consumers and requested
them to fill the questionnaires.
Secondary data:
Through Newspapers
Times of India
Hindustan Times
The Hindu
Economics Times
Through Magazines
Business India
Auto Express
Business India
Auto India
CNBC Awaz
LIMITATIONS
Time Constraint:
Time for this project is not sufficient. As I go for the survey at the dealership then time for completing
and filling the questionnaires is not sufficient.
Sample Area:
The study was conducted in GHAZIABAD only. Hence, the study may not be useful for projection of
behavioral aspect of consumers living in other cities.
Money Constraint:
Budget and finance are always been constraints in doing any project.
No. of Consumers
76
% age
27%
4-strokes
206
73%
TOTAL
282
INTERPRETATION:
INFLUENCING FACTORS:
Factors
Advertisement
Sales Team
Friends
Family
TOTAL
No. of consumers
70
50
110
52
282
%age
25
18
39
18
INTERPRETATION:
Whereas, rest of the consumers i.e. 18% are influenced by sales team while making the purchase decision.
%age
14%
50%
14%
11%
11%
INTERPRETATION:
Most of the consumers i.e. 50% like colours and models of Bajaj motorcycles.
Whereas, equal 14% consumers like colours and models of Hero Honda and LML motorcycles.
Moreover, rest equal 11% consumers like colours and models of TVS and YAMAHA motorcycles.
PREFERENCE FACTOR:
Features of bikes
Power
Mileage
Low maintenance
Total
No. of consumers
136
112
34
282
INTERPRETATION:
% age
48%
40%
12%
No. of consumers
% age
0
84
144
54
282
0%
30%
51%
19%
INTERPRETATION:
Most of the consumers i.e. 51% like to purchase the bike in between 125 cc and 150 cc.
And 30% of consumers like to purchase the bike in between 100 cc and 125 cc.
Whereas, rest 19% of consumers like to purchase the bike in 150 cc and above.
No. of
Respondents
22
36
90
22
20
56
20
16
282
%age
8%
13%
31%
8%
7%
20%
7%
8%
INTERPRETATION:
31% consumers out of 282 are influenced by Looks Factors (Most Influencing Factor).
COMPARATIVE ANALYSIS:
Brand Name
Yamaha
Hero Honda
Bajaj
TVS
LML
Others
TOTAL
No. of consumers
20
116
76
36
20
14
282
%age
7
41
27
13
7
5
INTERPRETATION:
41% respondents out of 282 consumers like to purchase Hero Honda (Surva Guna Smpana).
No. of consumers
42
160
80
282
%age
14.89
56.74
28.37
INTERPRETATION:
Whereas 57% and 28% consumers are satisfied and dissatisfied with their bike respectively.
FINDINGS
FINDINGS
The age group 20-25 years figures out to be very much aware regarding 4-strokes bikes
Warranty/Guarantee never influenced any age far the purchase availability of spare part is considered most
important
Gift schemes and finance option are not option is not more success to influence the people
The income group Rs. 8000-12000 seems to be very aware regarding 4-strokes bikes market
SUGGESTIONS
SUGGESTIONS
The best target market for any new product is 20 to 35 yrs and income group of 8000 to 12000
Before the launch an aggressive advertising must be carried out in order to inform the consumer about the
new bike
The media adopted for such purpose should be electronic as it is wildly accepted
Continuous innovation in product process and services too are recommended to get the competitive edge
Nicely designed and fuel efficient vehicle Is must to find better prospects and widen its market
Easily available spare parts at reasonable price backed by efficient sales as competitions
An eye on competitors policies and review of its own according to changing market condition will help in
formulation of effective strategies from time to time
The pricing TAG which BAJAJ is going to put on its bikes should not be more Rs.35,000 50,000 in any
case, because it is the price which is going to determine the success of the product
Through demonstration in rural area so that they can get specification of bike
CONCLUSIONS
CONCLUSIONS
From the analysis of the data, it can be concluded that the Bajaj and Hero Honda motorbikes are most familiar
by people.
An ideal by as suggested by responded should have the following figures:
Good looks
Good mileage
Affordable price
REFERENCES
In this project while finalizing and for analyzing quality problem in detail the following books, magazines and
websites have been referred.
Books Consulted:
Magazines Consulted:
Newspapers:
Hindustan times
Times of India
The Hindu
Financial Express
Economics times
Websites Consulted:
www.bajajauto.com
www.herohonda.com
www.lml.com
www.yamaha.com
www.google.com
ANNEXURE
QUESTIONNAIRE
Name
Father's Name
Age
Nationality
Address
:
:
:
:
:
Telephone Nos.
.
.
.
..
.
.
.
.
b. No
b. 4 Strokes
b. Bajaj
d. TVS
f. Others
b. Power
d. Price
b. 100-125 CC
d. Above 150CC
b. Bajaj
d. TVS
f. Others
b. Bajaj
d. TVS
f. Others
b. Bajaj
d. TVS
f. Others
b. Bajaj
d. TVS
f. Others
b. Bajaj
d. TVS
f. Others
b. Bajaj
d. TVS
f. Others
Consumer Signature