6. Two Wheelers Manufacturers - Growth
Factors
• The Gross Domestic Product has grown to 8%
• The average family income has increased
• The finance have become easier to access
• The reduction in taxes and duties
• Introduction of international standards in India
• The economic and fuel-efficient engines
• The teenager and the youth using more and more motorcycles
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7. Key Players in Market
• Hero Honda Motors India Limited
• Bajaj Auto Ltd. (BAL)
• TVS Motor Company
• Honda Motorcycle Scooter India (P) Ltd.
• Yamaha Motors India Pvt. Ltd.
• Suzuki Motor Corporation
• LML (India) Limited
• Royal Enfield Motors India Limited
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13. • Founded in 1926
• 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.
• In1959, it obtained license from the Government of India to manufacture
two- and three-wheelers and it went public as Bajaj Auto Ltd (BAL) in1960.
• It started producing at Waluj in Aurangabad. In1986, it managed to
produce and sell 500,000 vehicles in a single financial year.
• In1995, it rolled out its ten millionth vehicle and produced and sold 1
million vehicles in a year.
History
13
14. • Bajaj has made a number of motorcycles, scooters and
cars. Motorcycles in current production are the
▫ XCD
▫ Platina
▫ Discover
▫ Pulsar
▫ Avenger &
▫ Ninja
• Cars include the Bajaj ULC ultra-low-cost car.
History
14
15. • With the demerger of Bajaj Auto Ltd, following separate corporate
entities came into existence in May’ 2008
▫ Bajaj Finserv Ltd (BFL),
▫ Bajaj Auto Ltd (BAL), and
▫ Bajaj Holdings and Investment Ltd (BHIL)
Demerger of Bajaj Auto Ltd.
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16. • Bajaj is present in over 50 countries all over the globe
• Dominant presence in Africa, Latin America and South Asia with
increasing market share every year
• Market leader in motorcycles in Colombia, Central America, Sri
Lanka, Bangladesh, Philippines, Nigeria, Uganda and Kenya
• 891,002 units exported in 2009-10, an increase of over 15 % over the
previous year
• Largest exporter of three wheeled commercial vehicles in the world:
164,887 units exported in 2009-10, a rise of 19% over 2008-09
Bajaj Global
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30. The Company lives its brand by its values of Learning, Innovation, Perfection,
Speed and Transparency. Bajaj will constantly inspire confidence through
excitement engineering.
Learning : Learning is how we ensure proactivity.
Innovation : Innovation is how we create the future.
Perfection : Perfection is how we set new standards.
Speed: Speed is how we convey clear conviction
Transparency : Transparency is how we characterise ourselves
Brand Value
30
41. Achievements
1945
Bajaj Auto comes into existence as M/s Bachraj Trading Corporation Private
Limited.
1948 Sales in India commence by importing two- and three-wheelers.
1959
Bajaj Auto obtains licence from the Government of India to manufacture two- and
three-wheelers.
1960 Bajaj Auto becomes a public limited company. Bhoomi Poojan of Akurdi Plant.
1970 Bajaj Auto rolls out its 100,000th vehicle.
1971 The three-wheeler goods carrier is introduced.
1972 The Bajaj Chetak is introduced.
1975 BAL & Maharashtra Scooters Ltd. joint venture
1976 The Bajaj Super is introduced
1977
The Rear Engine Autorickshaw is introduced. Bajaj Auto achieves production and
sales of 100,000 vehicles in a single financial year.
1981 The Bajaj M-50 is introduced.
1984 Foundation stone laid for the new Plant at Waluj, Aurangabad.
1985
The Waluj plant inaugurated by the erstwhile President of India, Shri Giani Zail
Singh. Production commences at Waluj, Aurangabad in a record time of 16 months.
1986
The Bajaj M-80 and the Kawasaki Bajaj KB100 motorcycles are introduced. 500,000
vehicles produced and sold in a single financial year.
1990 The Bajaj Sunny is introduced.
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42. Achievements
1991 The Kawasaki Bajaj 4S Champion is introduced.
1994 The Bajaj Classic is introduced.
1995
Bajaj Auto is 50. Agreements signed with Kubota of Japan for the development of diesel engines for three-
wheelers and with Tokyo R&D for ungeared Scooter and moped development. The Bajaj Super Excel is
introduced while Bajaj celebrates its ten millionth vehicle. One million vehicles were produced and sold in this
financial year.
1997 The Kawasaki Bajaj Boxer and the RE diesel Autorickshaw are introduced.
1998 Production commences at Chakan plant.
June Kawasaki Bajaj Caliber rolls out of Waluj.
July Legend, India's first four-stroke scooter rolls out of Akurdi.
October Spirit launched.
1999 Caliber motorcycle notches up 100,000 sales in record time of 12 months.
2000 The Bajaj Saffire is introduced.
2001
November Bajaj Auto launches its latest offering in the premium bike segment 'Pulsar'.
January The Eliminator is launched.
2003
October Bajaj Pulsar DTS-i is launched.
October 107,115 Motorcycles sold in a month.
July Bajaj Wind 125,The World Bike, is launched in India.
February Bajaj Auto launched its Caliber115 "Hoodibabaa!" in the executive motorcycle segment.
2004
October Bajaj Discover DTS-i launched
August New Bajaj Chetak 4 stroke with Wonder Gear launched
May Bajaj CT100 Launched
January Bajaj unveils new brand identity, dons new symbol, logo and brandline
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43. Achievements
2005
December Bajaj Discover launched
June Bajaj Avenger DTS-i launched
February Bajaj Wave DTS-i launched
2006
April Bajaj Platina launched
2007
December RE GDi autorickshaw launched
September Bajaj XCD 125 DTS-Si launched
August DTS-Si engine launched
July Revamping of Organisational structure
June Bajaj Pulsar 220 DTS-Fi launched
April New Bajaj Auto Plant at Pantnagar, Uttarakhand
February 200 cc Pulsar DTS-i launched
January Bajaj Kristal DTS-i launched
2008
September Bajaj Platina 125 DTS-Si launched
August Bajaj XCD 125 DTS-Si is largest selling 125cc motorcycle
July Bajaj Discover 135 DTS-i Upgrade Launched.
June Bajaj Pulsar 220 bags IMOTY award
2009
April Bajaj Pulsar 150 & 180 upgrade launched
January Bajaj XCD 135 DTS-Si launched
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44. Achievements
• Discover 100 crosses 8 Lakh Bikes sold in just 1 year!
• Bajaj Auto gets Chinese patent for ExhausTec technology
• Kawasaki Ninja 250 R wins the coveted Indian Motorcycle of
the Year (IMOTY) for 2009
• Pulsar 135LS crowned as 2009 ET-ZigWheels Bike of the year.
• Bajaj Auto launches much awaited Kawasaki Ninja 250R − Best
250cc motorcycle in the world
• A Quarter of Records for Bajaj Auto − highest ever turnover of
2909 crore, highest ever exports of 224334 vehicles and highest
ever net profit of 403 crore.
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46. Awards & Recognitions
Product Award Award Body
Ninja Bike of the Year IMOTY
Pulsar 135LS Bike of the Year ET NOW - ZigWheels
Discover DTS-Si 100cc Bike of the Year ET NOW - ZigWheels
Pulsar 135LS 150cc Bike of the Year ET NOW - ZigWheels
Ninja 250cc Bike of the Year ET NOW - ZigWheels
Pulsar 135LS 4-V Technology of the Year ET NOW - ZigWheels
Discover DTS-Si Most Value for Money-Bike of the Year ET NOW - ZigWheels
Ninja Motorcycle of the Year - Bike upto 250 cc NDTV Profit - Car & Bike
Bajaj Discover DTS-
Si
Motorcycle of the Year - Bike upto 125 cc NDTV Profit - Car & Bike
Ninja Two Wheeler of the Year NDTV Profit - Car & Bike
Bajaj Discover And
Pulsar
Best Integrated Campaign - Two wheelers NDTV Profit - Car & Bike
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52. Key Policies – April 2010
• BAL will continuously specialize in Motorcycle and commercial
vehicle though its strategy of differentiations
• TO “Defend” its brands, BAL will continuously improve its core
competencies in all its functions, as also across its supply chain,
including its suppliers and dealers.
• BAL’s core competencies rest on its values of innovations,
Perfections & supply.
• BAL has adopted TPM, The Prime Mover towards excellence, to
build and to continuously improve its core competencies.
• TPM shall provide a holistic, structured and quantifiable
methodology for deeper and wider continuous improvements in
an integrated way aligned to BAL’s business vision.
• TPM ensures that individually and collectively, every employee of
BAL and its business partners strive to keep BAL Distinctly Ahead.
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53. Bajaj Image
• The Bajaj Group is amongst the top 10 business houses in India. Its
footprint stretches over a wide range of industries, spanning
automobiles (two-wheelers and three-wheelers), home appliances,
lighting, iron and steel, insurance, travel and finance.
• The company has successfully changed its image from a scooter
manufacturer to a two wheeler manufacturer.
• Its product range encompasses scooterettes, scooters and motorcycles.
Its real growth in numbers has come in the last four years after
successful introduction of a few models in the motorcycle segment.
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54. Bajaj Image
• Bajaj brand is well-known across several countries in Latin America, Africa,
Middle East, South and South East Asia.
• The integrity, dedication, resourcefulness and determination to succeed are the
characteristic of the group today
• The present Chairman of the group, Rahul Bajaj, took charge of the business in
1965. Under his leadership, the turnover of the Bajaj Auto the flagship
company has gone up from INR.72 million to INR. 120 billion, its product
portfolio has expanded and the brand has found a global market.
•
• Rahul Bajaj is one of India’s most distinguished business leaders and
internationally respected for his business acumen and entrepreneurial spirit.
54
56. • Education
▫ Shiksha Mandal, Wardha
▫ Jamnalal Bajaj Institute of Management Studies etc
• Health
▫ Kamalnayan Bajaj Hospital – Aurangabad
▫ Bajaj - YCM Hospital A.R.T. Centre for HIV/Aids – Pimpri
▫ Jankidevi Bajaj Gram Vikas Sanstha etc
• Women Empowerment
▫ Jankidevi Bajaj Gram Vikas Sanstha
▫ IIMC Ladies' Wing Jankidevi Bajaj Puraskar for Rural Entrepreneurship
Corporate Social Responsibility (CSR)
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57. Self Reliance
Jamnalal Bajaj Seva Trust
Institute of Gandhian Studies
IMC Ramkrishna Bajaj National Quality Award
Jankidevi Bajaj Gram Vikas Sanstha
Rural Development
Distribution of solar-lantern & solar cookers
Installation of bio-gas plants
Deepening and widening of wells and drinking water scheme
Environment & Natural Resources
Water conservation projects for improving agricultural productivity
Construction of latrines
Family size biogas plants
Corporate Social Responsibility (CSR)
57
59. SWOT Analysis
Strengths:
• Highly experienced management
• Product design and development capabilities
• Extensive R & D focus
• Widespread distribution network
• High performance products across all categories
• High export to domestic sales ratio
• Great financial support network (For financing the automobile)
• High economies of scale
• High economies of scope
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60. SWOT Analysis
Weaknesses:
• Hasn't employed the excess cash for long.
• Still has to establish a brand to match Hero Honda's Splendor in
commuter segment.
• Not a global player in spite of huge volumes.
• Not a globally recognizable brand (unlike the JV partner Kawasaki)
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61. SWOT Analysis
Opportunities:
• Double-digit growth in two-wheeler market.
• Untapped market above 180 cc in motorcycles.
• More maturity and movement towards higher-end motorcycles.
• The growing gearless trendy scooters and scoottee market.
• Growing world demand for entry-level motorcycles especially in
emerging markets.
• It is also proposing to launch motorcycles from Austrian bike maker
KTM, in which Bajaj Auto has over 25 per cent stake.
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62. SWOT Analysis
Threats:
• The competition catches-up any new innovation in no time.
• Threat of cheap imported motorcycles from China.
• Margins getting squeezed from both the directions (Price as well as
Cost)
• TATA Ace is a serious competition for the three-wheeler cargo
segment.
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63. SWOT Analysis
Strengths:
• Highly experienced management
• Product design and development capabilities
• Extensive R & D focus
• Widespread distribution network
• High performance products across all categories
• High export to domestic sales ratio
• Great financial support network (For financing the
automobile)
• High economies of scale
• High economies of scope
Weaknesses:
• Hasn't employed the excess cash for long.
• Still has to establish a brand to match Hero Honda's
Splendor in commuter segment.
• Not a global player in spite of huge volumes.
• Not a globally recognizable brand (unlike the JV partner
Kawasaki)
Opportunities:
• Double-digit growth in two-wheeler market.
•Untapped market above 180 cc in motorcycles.
•More maturity towards higher-end motorcycles.
•The growing gearless trendy scooters and scoottee market.
•Growing world demand for entry-level motorcycles
especially in emerging markets.
Threats:
•The competition catches-up any new innovation in no time.
•Threat of cheap imported motorcycles from China.
•Margins getting squeezed from both the directions (Price as
well as Cost)
•TATA Ace is a serious competition for the three-wheeler
cargo segment.
63