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This is certified that MOHD ZUVAIR is a regular student of B.B.A. 6th sem. And he has completed the report on the topic COMPARATIVE STUDY OF BAJAJ V/S HERO HONDA under my supervision. It is certified that the whole report is based on his individual efforts and the analysis is found up to mark. I therefore recommend that the report prepared by the candidate be sent for the evaluation.






I would like to take this opportunity to express my deep gratitude to all who directly-indirectly made report possible. I have got considerable help and support in making this report a reality from many people. I would like to thank, DR. A.K. SAXENA (H.O.D.), MR. MANI SHEKHAR, B.B.A. DEPARTMENT, BAREILLY COLLEGE BAREILLY whose endeavor for perfection under fatigable, zeal innovation, dynamism contributed in a big way in completing this project report. This work is the retest of his thoughts, ideas, concepts and above all his modest effort.



CERTIFICATE ACKNOWLEDGEMENT INTRODUCTION OF BAJAJ - Profile - Key Person - Bajaj Intro - Company History - Timeline of new releases INTRODUCTION OF HERO HONDA - Board of Directors - Company Profile RESEARCH METHODOLOGY - Data Source - Research Approach - Sampling unit - Data Completion and Analysis - Scope LIMITATION OF RESEARCH STUDY ANALYSIS AND INTERPRETATION CONCLUSION RECOMMENDATION BIBLIOGRAPHY ANNEXURE

Bajaj Auto limited is one of the largest two wheeler manufacturing company in India apart from producing two wheelers they also manufacture three wheelers. The company had started way back in 1945. Initially it used to import the two wheelers from outside, but from 1959 it started manufacturing of two wheelers in the country. By the year 1970 Bajaj Auto had rolled out their 100,000th vehicle. Bajaj scooters and motor cycles have become an integral part of the Indian milieu and over the years have come to represent the aspirations of modern India. Bajaj Auto also has a technical tie up with Kawasaki heavy industries of Japan to produce the latest motorcycles in India which are of world class quality The Bajaj Kawasaki eliminator has emerged straight out of the drawing board of Kawasaki heavy industries. The core brand values of Bajaj Auto limited includes Learning, Innovation, Perfection, Speed and Transparency. Bajaj Auto has three manufacturing units in the country at Akurdi, Waluj and Chakan in Maharashtra, western India, which produced 2,314,787 vehicles in 2005-06. The sales are backed by a network of after sales service and maintenance work shops all over the country. Bajaj Auto has products which cater to every segment of the Indian two wheeler market Bajaj CT 100 Dlx offers a great value for money at the entry level. Similarly Bajaj Discover 125 offers the consumer a great performance without making a big hole in the pocket.

Founder Year of Establishment Industry Business Group Listings & its codes Presence Distribution network covers 50 countries. Dominant presence in Sri Lanka, Bangladesh, Columbia, Guatemala, Peru, Egypt, Iran and Indonesia. Joint Venture Registered & Head Office Akurdi Pune - 411035 India Tel.: +(91)-(20)-27472851 Fax: +(91)-(20)-27473398 Kawasaki Heavy Industries of Japan Jamnalal Bajaj 1926 Automotive - Two & Three Wheelers The Bajaj Group BSE Code: 500490; NSE - Code: BAJAJAUTO


Akurdi, Pune 411035 Bajaj Nagar, Waluj Aurangabad 431136 Chakan Industrial Area, Chakan, Pune 411501

E-mail Website

Board of Directors

Rahul Bajaj Madhur Bajaj Rajiv Bajaj Sanjiv Bajaj D.S. Mehta Kantikumar R. Podar Shekhar Bajaj D.J. Balaji Rao J.N. Godrej S.H. Khan Mrs. Suman Kirloskar Naresh Chandra Nanoo Pamnani Manish Kejriwal P Murari Niraj Bajaj Committees of the Board Audit Committee S.H. Khan D.J. Balaji Rao J.N. Godrej Naresh Chandra Nanoo Pamnani

Chairman Vice Chairman & Whole-Time Director Managing Director Executive Director Whole-Time Director Director Director Director Director Director Director Director Director Director Director Director


Shareholders & Investors Grievance committee Chairman D.J. Balaji Rao J.N. Godrej Naresh Chandra S. H. Khan

Bajaj Autos Ltd.

Bajaj Auto Limited

Type Founded Headquarters

Public 1945 Pune, India

Key people

Rahul Bajaj (Chairman)

Revenue Net income Employees Website

Rs. 1,01,063 billion (2006) or USD 1.87 billion Rs. 17,016 billion ???

Bajaj Auto came into existence on November 29, 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 license from the Government of India to manufacture two- and three-wheelers and it went public in 1960. In 1970, it rolled out its 100,000th vehicle. In 1977, it managed to produce and sell 100,000 vehicles in a single financial year. In 1985, it started producing at Waluj in Aurangabad. In 1986, it managed to produce and sell 500,000 vehicles in a single

financial year. In 1995, it rolled out its ten millionth vehicle and produced and sold 1 million vehicles in a year. Timeline of new releases

1971 - three-wheeler goods carrier 1972 - Bajaj Chetak 1976 - Bajaj Super 1977 - Rear engine Autorickshaw 1981 - Bajaj M-50 1986 - Bajaj M-80, Kawasaki Bajaj KB100 1990 - Bajaj Sunny 1994 - Bajaj Classic 1995 - Bajaj Super Excel 1997 - Kawasaki Bajaj Boxer, Rear Engine Diesel Autorickshaw 1998 - Kawasaki Bajaj Caliber, Legend(India's first four-stroke scooter) 2000 - Bajaj Saffire 2001 - Eliminator, Pulsar 2003 - Caliber115, Bajaj Wind 125, Bajaj Pulsar 2004 - Bajaj CT 100, New Bajaj Chetak 4-stroke with Wonder Gear, Bajaj Discover DTS-i 2005 - Bajaj Wave, Bajaj Avenger, Bajaj Discover 2006 - Bajaj Platina 2007 - Bajaj Pulsar-200

o o o o o o

Bajaj Sunny Bajaj Chetak Bajaj Cub Bajaj Super Bajaj Wave Bajaj Legend

o o o o o o o o o

Kawasaki Eliminator Bajaj Pulsar Bajaj Kawasaki Wind 125 Bajaj Boxer Bajaj CT 100 Bajaj Platina Bajaj Caliber Bajaj Discover Bajaj Avenger

Upcoming Models

Bajaj Pulsar 220 DTS-Fi Bajaj Krystal Bajaj Blade Bajaj Sonic

No. 1 Name of the Directors Mr. Brijmohan Lall Munjal Designation Chairman & Whole-time Director

2 3 4 5 6 7 8 9 10 11 12 13 14 15

Mr. Pawan Munjal Mr. Toshiaki Nakagawa Mr. Takao Eguchi Mr. Satyanand Munjal Mr. Om Prakash Munjal Mr. Tatsuhiro Oyama Mr. Masahiro Takedagawa Mr. Narinder Nath Vohra Mr. Pradeep Dinodia Gen.(Retd.) Ved Prakash Malik Mr. Analjit Singh Dr. Pritam Singh Ms. Shobhana Bhartia Dr. Vijay Laxman Kelkar

Managing Director Jt. Managing Director Whole-time Director Non-executive Director Non-executive Director Non-executive Director Non-executive Director Non-executive & Independent Director Non-executive & Independent Director Non-executive & Independent Director Non-executive & Independent Director Non-executive & Independent Director Non-executive & Independent Director Non-executive & Independent Director


Hero Honda Motorcycles Limited is an Indian manufacturer of motorcycles and scooters. Hero Honda is a joint venture that began in 1984 between the Hero group of India and Honda from Japan. It has been the world's biggest manufacturer of 2-wheeled motorized vehicles since 2001, when it produced 1.3 million motorbikes in a single year. Hero Honda's Splendor is the world's largest selling motorcycle[citation needed]. Its 2 plants are in Dharuhera and Gurgaon, both in Haryana, India. It specializes in dual use motorcycles that are low powered but very fuel efficient.


Hero Honda Splendor Plus Hero Honda Passion Plus Hero Honda Karizma Hero Honda CBZ Hero Honda Super Splendor Hero Honda CD Dawn Hero Honda CD Deluxe Hero Honda Achiever Hero Honda Glamour Hero Honda Ambition

Hero, is the brand name used by the Munjal brothers in the year 1956 with the flagship company Hero Cycles. The two-wheeler manufacturing business of bicycle components had originally started in the 1940s and turned into the worlds largest bicycle manufacturer today. Hero, is a name synonymous with twowheelers in India today. The Munjals roll their own steel, make free wheel bicycle critical components and have diversified into different ventures like product design. The Hero Group philosophy is: To provide excellent transportation to the common man at easily affordable prices and to provide total satisfaction in all its spheres of activity. The Hero group vision is to build long lasting relationships with everyone (customers, workers, dealers and vendors). The Hero Group has a

passion for setting higher standards and Engineering Satisfaction is the prime motivation, way of life and work culture of the Group. In the year 1984, Mr. Brijmohan Lal Munjal, the Chairman and Managing Director of Hero Honda Motors (HHM), headed an alliance between the Munjal family and Honda Motor Company Ltd. (HMC). HHM Mission Statement is: We, at Hero Honda, are continuously striving for synergy between technology, systems, and human resources to provide products and services that meet the quality, performance, and price aspirations of our customers. While doing so, we maintain the highest standards of ethics and societal responsibilities, constantly innovate products and processes, and develop teams that keep the momentum going to take the company to excellence in the new millennium. This alliance became one of the most successful joint ventures in India, until the year 1999 when HMC had announced a 100% subsidiary, Honda Motorcycle & Scooter India (HMSI). This announcement caused the HHM stock price to decrease by 30 percent that same day. Munjal had to come up with some new strategic decisions as, HMSI and other foreign new entry companies were causing increased intensity of rivalry for HHM.

== Growth ==
The business growth of Hero Honda has been phenomenal throughout its early days. The Munjal family started a modest business of bicycle components. Hero Group expanded so big that by 2002 they had sold 86 million bicycles producing 16000 bicycles a day. Today Hero Honda has an assembly line of 9 different models of motorcycles available. It holds the record for most popular bike in the world by sales for Its Splendor model. Hero Honda Motors Limited was established in joint venture with Honda Motors of Japan in 1984, to manufacture motorcycles. It is currently the largest producer of Two Wheelers in the world. It sold 3 million bikes in the year 2005-2006. Recently it has also entered in scooter manufacturing, with its model PLEASURE mainly aimed at girls. The Hero Group

has done business differently right from the start and that is what has helped them to achieve break-through in the competitive two-wheeler market. The Group's low key, but focused, style of management has earned the company plaudits amidst investors, employees, vendors and dealers, as also worldwide recognition.

The Hero Group through the Hero Cycles Division was the first to introduce the concept of just-in-time inventory. The Group boasts of superb operational efficiencies. Every assembly line worker operates two machines simultaneously to save time and improve productivity. The fact that most of the machines are either developed or fabricated in-house, has resulted in low inventory levels. In Hero Cycles Limited, the just-in-time inventory principle has been working since the beginning of production in the unit and is functional even till date.. This is the Japanese style of production and in India; Hero is probably the only company to have mastered the art of the just-in-time inventory principle.

An integral part of the Group strategy of doing business differently was providing support to ancillary units. There are over 300 ancillary units today, whose production is dedicated to Hero's requirements and also a large number of other vendors, which include some of the better known companies in the automotive segment. Employee Policy: Another Striking feature within the Hero Group is the commitment and dedication of its workers. There is no organized labor union and family members of employees find ready employment within Hero. The philosophy with regard to labor management is "Hero is growing, grow with Hero." When it comes to workers' benefits, the Hero Group is known for providing facilities, further ahead of the industry norms. Long before other companies did so, Hero was giving its employees a uniform allowance, as well as House Rent Allowance (HRA) and Leave Travel Allowance (LTA). Extra benefits took the form of medical checkups, not just for workers, but also for the immediate family members.

Dealer Network
The relationship of Hero Group with their dealers is unique in its closeness. The dealers are considered a part of the Hero family. A nation-wide dealer network comprising of over 5,000 outlets, and have a formidable distribution system in

place. Sales agents from Hero travels to all the corners of the country, visiting dealers and send back daily postcards with information on the stock position that day, turnover, fresh purchases, anticipated demand and also competitor action in the region. The manufacturing units have a separate department to handle dealer complaints and problems and the first response is always given in 24 hours.

Financial Planning
The Hero Group benefits from the Group Chairman's financial acumen and his grasp on technology, manufacturing and marketing. Group Company, Hero Cycles Limited has one of the highest labor productivity rates in the world. In Hero Honda Motors Limited, the focus is on financial and raw material management and a low employee turnover.

Quality at Hero is attained not just by modern plants and equipment and through latest technology, but by enforcing a strict discipline. At the Group factories, attaining quality standards is an everyday practice - a strictly pursued discipline. It comes from an amalgamation of the latest technology with deeprooted experience derived from nearly four decades of hard labor. It is an attitude that masters the challenge of growth and change - change in consumers' perceptions about products and new aspirations arising from a new generation of buyers. Constant technology up gradation ensures that the Group stays in the global mainstream and maintains its competitive edge. With each of its foreign collaborations, the Group goes onto strengthen its quality measures as per the book. The Group also employs the services of independent experts from around the world to assist in new design and production processes.

Throughout the years of enormous growth, the Group Chairman, Mr. Lall has actively looked at diversification. A considerable level of backward integration in its manufacturing activities has been ample in the Group's growth and led to the establishment of the Hero Cycles Cold Rolling Division, Munjal and Sunbeam Castings, Munjal Auto Components and Munjal Showa Limited amongst other component-manufacturing units.

Then there were the expansion into the automotive segment with the setting up of Majestic Auto Limited, where the first indigenously designed moped, Hero Majestic, went into commercial production in 1978. Then came Hero Motors which introduced Hero Puch, in collaboration with global technology leader Steyr Daimler Puch of Austria. Hero Honda Motors was established in 1984 to manufacture 100 cc motorcycles. The Hero Group also took a venture into other segments like exports, financial services, information technology, which includes customer response services and software development. Further expansion is expected in the areas of Insurance and Telecommunication. The Hero Group's phenomenal growth is the result of constant innovations, a close watch on costs and the dynamic leadership of the Group Chairman, characterized by a culture of entrepreneurship, of right attitudes and building stronger relationships with investors, partners, vendors and dealers and customers

It is well known fact that the most important step in marketing research process is to define the problem. Choose for investigation because a problem well defined is half solved. That was the reason that at most care was taken while defining various parameters of the problem. After giving through brain storming session, objectives were selected and the set on the base of these objectives. A questionnaire was designed major emphasis of which was gathering new ideas or insight so as to determine and bind out solution to the problems.

Research included gathering both Primary and Secondary data. Primary data is the first hand data, which are selected a fresh and thus happen to be original in character. Primary Data was crucial to know various customers and past consumer views about bikes and to calculate the market share of this brand in regards to other brands. Secondary data are those which has been collected by some one else and which already have been passed through statistical process. Secondary data has been taken from internet, newspaper, magazines and companies web sites.


The research approach was used survey method which is a widely used method for data collection and best suited for descriptive type of research survey includes research instrument like questionnaire which can be structured and unstructured. Target population is well identified and various methods like personal interviews and telephone interviews are employed.

It gives the target population that will be sampled. This research was carried in BAREILLY These were 100 respondents .DATA COMPLETION AND ANALYSIS After the data has been collected, it was tabulated and findings of the project were presented followed by analysis and interpretation to reach certain conclusions.

1- Which bike do you have? Hero Honda Bajaj 47% 38%

Any other


Hero honda Bajaj Any other


Most of the 47% persons has hero Honda bike, 38% bajaj bikes and 15% others bikes

2- Which Model do you Have? Hero Honda Splender 45% Bajaj CT 100 15%

Passion Karizma Any other

35% 10% 10%

Discover Pulsar Any other

45% 30% 10%

25 20 No of Persons 15 10 5 0 1 M o d e l Na m e He ro Ho n d a S p le n d e r Pa s s io n K a r iz m a A n y o th e r

14 12 10 No of Persons 8 6 4 2 0 1 M o d e l Nam e B a ja j CT 100 D is c o v e r P u ls a r A n y o th e r


1-Hero Honda splender is most using bike of Honda with 23%. 2-Bajaj discover is most using bike of Bajaj with 18%.

3-In which family Income level do you Fall? 100000-200000 200000-300000 300000-400000 25 45 30

above 400000


No of Persons

50 40 30 20 10 0 1 Income level 100000-200000 200000-300000 300000-400000 above 400000

CONCLUSION1-There is 45% people who have income level between 200000-300000.

4-For how long do you own a bike? 0-1 year 1-2 year 2-3 year 40 35 20

above 3 year


40 30 N of o Persons 20 10 0 1 N of years o 0-1 year 1-2 year 2-3 year above 3 year

CONCLUSION1- There is 34% peoples who has own bike 0-1 year period.

5- For what purpose do you use your Motor Bike?

Office Purpose

Personal purpose Joy Purpose Other

No of Persons

20 15 10 5 0 Office P urpose P ersonal purpose Joy P urpose Other H H ero onda Bajaj


CONCLUSION1- 19 peoples use hero Honda bike for joy purpose. 2- 18 peoples use Bajaj bikes for joy purpose.

6- How do you come to know about this Motor Bike? Hero Honda Newspaper 30 Bajaj 25

Television Magazine Friends & Relative

35 15 20

30 20 25

25 No of Persons 20 15 10 5 0 Hero Honda Bajaj Name of Company Newspaper Television M agzine Friends & Relative

CONCLUSION1- 23% people know about hero Honda by television. 2-19% people know about Bajaj by friends and relatives.

7- Does Advertisement Influence your decision in choosing a Motor Bike?



No Cant say

5% 8%

Yes No Cant say

CONCLUSION1- 87% peoples say yes.

2- 5% peoples say no. 3- 8% peoples cant say.

8- Do you have full knowledge about Bikes before buying? Hero Honda Yes No 74% 26% Bajaj 81% 19%

30 No of persons 25 20 15 10 5 0 Hero Honda Company Name Bajaj Yes No

CONCLUSION1- 25% peoples have knowledge of hero Honda before purchasing bike. 2- 23% peoples have knowledge of hero Honda before purchasing bike.

9- Which Factor below Influence your decision? Hero Honda 100% 30% Price Mileage 35% Quality 20% Style & look 15%

Bajaj 100% 22% 21% 24% 33%

100% No of Persons 80% 60% 40% 20% 0% Hero Honda Company Name Bajaj Price M ileage Quality Resale Value Status sym bol

CONCLUSION1- 78% mileage factor influence decision of hero Honda bike. 2- 78% price factor influence decision of hero Bajaj bike.

10- How would you rate the following factors of Bikes with respect to different company? Hero Honda Mileage Price Pick up Maintenance Look & Shape Brand Image 74% 68% 70% 58% 85% 53% Bajaj 72% 65% 80% 62% 80% 55%

No of Persons

100% 80% 60% 40% 20% 0% Hero Honda Company Name Bajaj M ileage P rice P up ick M aintenance Look & Shape Brande Im age

CONCLUSION1- Best feature of hero Honda bikes is look and shape. 2- Best feature of Bajaj is pick up and look & shape.

11-If new Bike with good features comes in, then would you like to change your bike? Bajaj Hero Honda 60 Yes 62 No 23 22 Cant say 15 18

25 No of Persons 20 15 10 5 0 Yes N o Views C say ant H ero H onda Bajaj

CONCLUSION1- 21% Says yes for Bajaj 2- 19% says yes for Hero Honda.


Most of the Pulsar, CBZ & Karizma are purchased by young generation 18 to 30 because they prefer stylish looks and rest of the models of Hero Honda are purchased more by daily users who needs more average of bikes than looks. Hero Honda is considered to be most fuel-efficient bike on Indian roads. Service & Spare parts are available throughout India in local markets also. While buying a motorcycle, economy is the main consideration in form of maintenance cost, fuel efficiency. Majority of the respondent had bought their motorcycle more than 3 years.

2. 3. 4. 5.

1. 2.

Bajaj should introduce some more models having more engine power. Hero Honda should think about fuel efficiency in case of upper segment bikes. More service centers should be opened. Maintenance cost and the availability of the spare parts should also be given due importance. They also introduce some good finance/discount schemes for students. The price should be economic.

4. 5. 6.

1. 2. 3. 4.


NAME: - CONTACT NO . AGE:15-20 25-30 20-25 Above 30


Businessman Student

Employee Other

1- Which Bike do you have? Hero Honda Any Other 2- Which Model do you have? Hero Honda: Splendor Karizma Bajaj: CT 100 Pulsar 3- In which Family Income do you Fall? 100000-200000 300000-400000 4- For how long do you own a Bike? 0-1 year 2-3 year 1-2 year above 3 years 200000-300000 Above 400000 Passion Other Discover Other Bajaj

5-For what purpose do you use your Motor Bike? Office Purpose Joy Purpose Personal Purpose Other

6-How do you come to know about this Motor Bike? Newspaper Magazines Television Friends/Relatives

7- Does Advertisement Influence your decision in choosing a Motor Bike? Yes No Cant say

8- Do you have full knowledge about Bikes before buying? Yes No

9-Which factor below influence your decision? Price Resale Value Mileage Status Symbol Quality

10- How would you rate the following factors of bikes with respect to different companies? Hero Honda Mileage Price Pick up Maintenance Look/Shape Brand Image Bajaj

11- In new bike with good feature comes in, then would you like to change your bikes? Yes No Cant say

12-Any Suggestions for Company Date: (Signature)

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