Final

Jaypee Business School
A constituent of Jaypee Institute of Information Technology
(Declared Deemed to be University u/s 3 of UGC Act)
A-10, Sector 62, Noida (UP) India 201 307
www.jbs.ac.in
Corporate Internship Report
Internship Report submitted as a partial requirement for the award of the two year
Master of Business Administration Programme
MBA 2012-14
Nitesh Kamboj (12609214)
MBA 2012-14
nitesh.kamboj14@jaypeebusinessschool.com
Bajaj Auto Pvt. Ltd.
B 60 61, Phase 2, Naraina Industrial Area,
Behind Bentex Office,
New Delhi, DL 110028
Corporate Internship Supervisor:
Mr. Lalit Suri
JBS-Faculty Supervisor:
Professor Rahul Sharma
Start Date for Internship: 05th
May, 2013
End Date for Internship: 05th
July, 2013
Report Date: 01st
July, 2013

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Self-Certification
I hereby certify that I, Nitesh Kamboj have successfully completed my internship with “Bajaj
Auto Pvt. Ltd.” from 05th
May, 2013 to 05th
July, 2013. This is also to certify that this report
is an original product and no unfair means like copying etc. have been used for its
completion.
Signature:
Name: Nitesh Kamboj
Roll no.: 12609214
Date: 1th
July, 2013

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Acknowledgment
This research project would not have been possible without the support and encouragement
of my Guide, Mr. Rahul Sharma, under whose supervision I chose this topic and began my
research. I would like to express my gratitude for her invaluable assistance, support and
guidance throughout the internship period.
A special thanks to Mr Lalit Suri (Regional Sales Manager at BAL) without his confidence
and trust in me I would not have been able to complete my Project. He provided me with
valuable knowledge, learnable skills and on top of all, an opportunity to work with him and
Baja Auto Pvt Ltd.
I would also like to appreciate the cooperation I got from Mr Amit (Regional Sales Manager
at BAL) I would also like to convey my gratitude to the Bajaj Auto for supporting this
research project. I am also thankful to Mr Ravi, Showroom Manager (Gurgaon) Mr Vipin
Bhaita Showroom Manager (Faridabad) Mr Pradeep Yadav Showroom Manager (Noida) and
Mr Amit for helping me in every possible way they could.

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Contents
Serial
Number
Particulars
Page
Number
1 Self-Certification 2
2 Acknowledgement 3
3 Contents 4
4 Executive Summary 5
5 Introduction 6
6 Objective 7
7 Company Profile 8
8 Industry Analysis 24
9 Financial Analysis 33
9 Detailed Study 38
10 Conclusion 60
11 Limitations 60
12 Key learnings 61
13 Annexure
14 References 61

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Executive summary
This report on “Customer profiling and Buying Pattern of KTM Duke 200” gives insight of
the KTM Duke 200 and the customers encompassing its experience. The report shows the
study of understanding Duke’s Customers and their buying pattern. In this paper we will see
the different types of customers and their reason for purchasing Duke.
Bajaj - KTM launched Duke 200 in Feb’12 and has already won many awards. To better
understand the customers and to analyze the profiles of customers purchasing Duke. For this
purpose a questionnaire is designed consisting of 30 critical closed-ended questions to have
the most relevant and important information about the customers and to analyze this data and
come up with new important findings to find the correct target group of people for current/
new launches.
In the second week the questionnaire was designed and launched to all the customers of
Noida, Ghaziabad, Gurgaon, and Faridabad. The questionnaire is sent to customers on their
Email Id’s and dropped at service centers to reach customers who do not use internet or do
not have Email Id’s.
The questions in the questionnaire were put in 5 different and relevant categories which are:
1. Who - understanding who is our customer i.e. his Age, Income and Occupation.
2. When – Determining attributes like First bike, another two-wheeler, another four-
wheeler, customers having competitive bikes.
3. Why – Duke is divided into four major attributes Style, Ergonomics, Power, and
Features and customers rated all these factors on the scale of 1 to 5. Other bike
considered while purchasing Duke.
4. How – Two major information taken from customers Mode of purchase and Source of
information.
5. What – To see how many customers actually attended/ participated in KTM Orange
Day and Orange Ride ( Events organized by KTM for customers and brand visibility)
Till 5th
week all the responses were recorded and survey was closed. By the closing of survey
the updated details of customers was received. Since 6th
week the analysis started on the
responses received and by the starting of 7th
week the findings and outcomes of the data were
turned into meaningful information by use of analytical software IBM SPSS 21. By the end
of 7th
week the report were generated consisted of facts and figure, Histograms (for 2
dimensional analysis), Bar graphs, and Pie charts. All figures were explained to make it more
general and clear.

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1. Introduction
Bajaj Group is an Indian conglomerate founded by Jamnalal Bajaj in 1926, Mumbai. Bajaj
Group is one of the oldest & largest conglomerates based in Mumbai, Maharashtra. The
group comprises 34 companies & its flagship company Bajaj Auto is ranked as the world's
fourth largest two- and three-wheeler manufacturer. Some of the notable companies are Bajaj
Electricals, Mukand Ltd & Ltd. Involvement in various industries that include automobiles
(2- and 3-wheelers), home appliances, lighting, iron and steel, insurance, travel and finance.
The group is headed by Rahul Bajaj.
Figure 1: Bajaj Introduction
Type Public company
Traded as BSE: 532977, NSE: BAJAJ-AUTO
BSE SENSEX Constituent
Industry Automotive
Headquarters Pune, Mumbai, India
Key people Rahul Bajaj (Chairman)
Products Motorcycles, three-wheeler vehicles and cars
Revenue 202.01 billion (US$3.5 billion) (2012)
Net income 30.45 billion (US$520 million) (2012)
Employees 13000 (2012)
Parent Bajaj Group
Website
Registered
Office
Works
www.bajajauto.com
Akurdi, Pune 411 035
Akurdi, Pune 411 035.
Chakan Industrial Area, Chakan, Pune 411 501
Bajaj Nagar, Waluj Aurangabad 431 136
Plot No. 2, Sector 10, Pant Nagar, Rudrapur

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2. Objective of the Study
1. To study customer profiling of KTM Duke Customers: Created the database of all
the customers of Duke in 4 major cities Noida, Gurgaon, Faridabad and Ghaziabad.
This database was maintained by questionnaire designed to be filled by customers
only.
2. To understand the buying behavior of the customer: 30 critical close-ended
questions were put into a questionnaire to understand attributes like – Demographics
of customers, income group, occupation, Source of information etc.
3. To discover Closest competitor of the Duke: Questioned customer “which other
bike he/she was considering while purchasing Duke” to understand the closest
competitor.
4. To Highlight the best source of Advertisement: Questioned customer “from where
you got to know about Duke” to understand the best mode of advertisement.

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3. Company Profile
Bajaj Auto Limited is an Indian motorised vehicle-producing company. Bajaj Auto is a part
of Bajaj Group. It was founded byJamnalal Bajaj at Rajasthan in the 1930s. It is based
in Pune, Mumbai, with plants in Chakan (Pune), Waluj (near Aurangabad) and Pantnagar in
Uttarakhand. The oldest plant at Akurdi (Pune) now houses the R&D centre ahead. Bajaj
Auto makes and exports automobiles, scooters, motorcycles and auto rickshaws.
Bajaj Auto is the world's third-largest manufacturer of motorcycles and the second-largest in
India.
The Forbes Global 2000 list for the year 2005 ranked Bajaj Auto at 1,946. It features at 1639
in Forbes 2011 list.
Bajaj Auto is a manufacturer of two wheeler motor cycles and three wheeler carriers. The
company manufactures motor cycles in the 100-220 cc performance category. Its flagship
motorcycle brand is the 'Pulsar'. In the three wheeler category, the company manufactures
rear engine auto rickshaw which is used as a passenger carrier and cargo carrier.
The company has changed its image from a scooter manufacturer to a two-wheeler
manufacturer. Its product range encompasses scooterettes, scooters and motorcycles. Its
growth has come in the last four years after successful introduction of models in the
motorcycle segment.
The company is headed by Rahul Bajaj who is worth around US$3.4 billion.
Bajaj Auto came into existence on 29 November 1945 as M/s Bachraj Trading Corporation
Private Limited. It started off by selling imported two- and three-wheelers in India. In 1959, it
obtained a licence from the government of India to manufacture two- and three-wheelers and
it went public in 1960. In 1970, it rolled out its 100,000th vehicle. In 1977, it sold 100,000
vehicles in a financial year. In 1985, it started producing at Waluj near Aurangabad. In 1986,
it sold 500,000 vehicles in a financial year. In 1995, it rolled out its ten millionth vehicle and
produced and sold one million vehicles in a year.
According to the authors of Globality: Competing with Everyone from Everywhere for
Everything, Bajaj has operations in 50 countries by creating a line of bikes targeted to the
preferences of entry-level buyers
Table 1: Management team of Bajaj
Management Team Designation
Rahul Bajaj Chairman
Madhur Bajaj Vice Chairmen
Rajiv Bajaj Managing Director
Pradeep Shrivastava Chief Operating Officer
Abraham Joseph Chief Technology Officer
K Srinivas President (Motorcycle Business)
J. Sridhar Company Secretary

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Table 2: Board of Directors of Bajaj
Committees of the Board Designation
Audit Committee
Shri Nanoo Pamnani Chairman
Shri S.H. Khan Member
Shareholders’ & Investors’ Grievance
Committee
Shri D.J. Balaji Rao Chairman
Shri J.N. Godrej Member
Remuneration & Nomination Committee
Shri D.J. Balaji Rao Chairman
Shri S.H. Khan Member
3.1. History of Bajaj
“Naye Bharat ki nayi tasweer. Buland Bharat ki buland tasweer” – Hamara Bajaj
The third largest in the world and the second largest in India, Bajaj Auto has been there for
over 60 years now. Having successfully changed its image from a scooter manufacturer to a
motorcyle manufacturer, the company has flourished with its plants in Chakan, Waluj and
Pantnagar. Bajaj has grown its operations in 50 countries across the world.
The company came into existence on 29th November, 1945 as M/s Bachraj Trading
Corporation Private Limited. Initially, it used to import and sell two and three-wheelers in the
country. It was post 1959, the company started to manufacture the two-wheelers and three-
wheelers. The year 1960 was one of the important years for the company as it went public
that year. The launches started the same year.
The first launch was that of the Vespa 150 in the year 1960. It was launched under license of
Piaggio, Italy. The name Vespa prospered for over a decade then. Vespa scooters have been
known for their painted, pressed steel unibody which combines a complete cowling for the
engine, a flat floorboard, and a prominent front fairing into a structural unit. Then on in the
year 1971, the company started to launch their three-wheeler goods carrier. The turning point
for the company just lay ahead. Just a year after, Bajaj Auto launched its ever famous Bajaj
Chetak. The name was given after the legendary horse of Indian warrior Rana Pratap Singh,
the Chetak. The Chetak was an affordable means of transportation for millions of Indian
families for decades and thus the slogan ‘Hamara Bajaj.’

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Almost four years hence, in 1981, Bajaj launched M-50. It took another 5 years for it come
up with the upgraded version, Bajaj M-80. Little success did M-50 see, whereas the M-80
turned out to be one the flagship products for Bajaj. The same year the company launched
two more products – Kawasaki Bajaj KB100 and Kawasaki Bajaj KB125. Bajaj partnered
with Kawasaki to bring in the KB series. Production began in 1986 and went on till 1996.
In the year 1990, the teenagers were offered the Bajaj Sunny. Being a scooterette, it had a
60cc engine and attained a maximum speed of 50 km/h. However, the model is no longer on
the shelves. Then on every year, there was a new launch by the company. 1991 saw the
launch of the Kawasaki Bajaj 4S Champion. Starting from 1993, the company launched the
vehicles (Bajaj Stride, Classic and Super Excel respectively) in succession every year till
1995.
In the year 1997, the Kawasaki Bajaj Boxer and the RE diesel Auto rickshaw were
introduced. The Chakan plant was functional the next year. Roll outs started at the Waluj
plant and in 1998, Kawasaki Bajaj Caliber hit the roads. This bike was capable of a top speed
of 95 km/h. The year had yet another remarkable achievement. Bajaj Legend, India’s first
four-stroke scooter rolled out of the Akurdi plant. A four stroke motor meant that no oil has
to be mixed with the gas, which resulted in low emissions and high efficiency.
In 1999, Bajaj came up with yet another scooterette called the Spirit. Ideal for college
students, it was powered by a two-stroke, 60cc, single-cylinder and air-cooled engine. It was
one of the eighteen models Bajaj Auto launched in eighteen months. The same year, Caliber
motorcycle notched up 100,000 sales in record time of 12 months. In 2000, the y2k year,
Bajaj Suffire was introduced.

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The year 2001, was the time when the company entered the premium bike segment with its
Bajaj Pulsar. The same year the Kawasaki Bajaj Eliminator was also launched. The next three
years witnessed a range of launches. First the Bajaj Pulsar DTS-i was launched. Then the
world bike, Bajaj Wind 125 hits the roads. Then came the famous ‘Hoodibabaa’ bike, the
Bajaj Caliber 115.
In 2004, the year started with the unveiling of the new brand identity, donning a new symbol,
logo and the brand line. The year gets credit for the launch of Bajaj Discover DTS-i, Bajaj
CT 100 and the new Bajaj Chetak 4-stroke with wonder gear. 2005, was the year for Bajaj
Discover, Bajaj Avenger DTS-i and Bajaj Wave DTS-i. The Bajaj Avenger (replaced the
Eliminator) was a cruiser style motorcycle launched with a 180cc engine, which was
subsequently increased to 200cc and then 220cc later on. Bajaj Wave was a revised Bajaj
Saffire. The Wave was powered by a 109.7 cc DTS-i engine, CVT transmission and revised
body panels. It offered a maximum power of 8 BHP. It also offered Bajaj’s ExhausTEC
technology and a ride control switch.
Bajaj Platina was launched in April 2006 at an ex-showroom price of Rs. 35,000/- and
crossed sales of 500,000 units within eight months of its launch. The bike is capable of a top
speed of 91 km/h and does 0–60 km/h in 7.2 seconds. The year 2007 was occupied with a
slew of launches. Bajaj Kristal DTS-i was launched followed by the 200cc Pulsar DTS-i. In
the month of April, the Pantnagar plant was inaugurated. Immediately after that Pulsar 220

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DTS-Fi was launched. In August DTS-Si engine was launched which was first seen in the
Bajaj XCD 125 DTS-Si. The year ended with the launch of the RE GDi auto rickshaw.
The following year, the star was the Bajaj XCD 125 DTS-Si which became the largest selling
125cc motorcycle. The Bajaj Discover 135 DTS-i Upgrade and the Bajaj Platina 125 DTS-Si
were also launched the same year. 2009 was yet another year which saw lot of upgrades of
the existing models. The company also launched the Kawasaki Ninja 250R in October the
same year.
Last year Bajaj Auto launched the Kawasaki Ninja 650R, while earlier this year, Bajaj geared
up again and unveiled the RE60, a mini 4-wheeler for intra-city urban transportation. Bajaj
RE60 is expected to challenge the supremacy of Tata Nano. But the much eventful launch
was that of the KTM Duke 200. The orange colour was everywhere with great publicity
measures being taken by the company.
The saga right now ends with the recent launches of the Discover 125 ST and Pulsar 200 NS.
An eventful journey, a challenging path, Bajaj Auto took it all with a brave heart.

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3.2. Timeline of Bajaj Auto releases:
 1960–1970 – Vespa 150 – under the licence of Piaggio of Italy
 1971 – three-wheeler goods carrier
 1972 – Bajaj Chetak
 1976 – Bajaj Super
 1977 – Bajaj Priya
 1977 – Rear engine auto rickshaw
 1981 – Bajaj M-50
 1986 – Bajaj M-80, Kawasaki Bajaj KB100,
 1990 – Bajaj Sunny
 1991 – Kawasaki Bajaj 4S Champion
 1993 – Bajaj Stride
 1994 – Bajaj Classic
 1995 – Bajaj Super Excel
 1996 - Bajaj SX Enduro
 1997 – (Bajaj KB125) Kawasaki Bajaj Boxer, rear engine diesel autorickshaw
 1998 – Kawasaki Bajaj Caliber, Bajaj Legend,
 1999 – Bajaj Spirit
 2000 – Bajaj Saffire, Bajaj Prowler
 2001 – Eliminator, Bajaj Pulsar, Caliber Croma
 2003 – Caliber 115, Kawasaki Bajaj Wind 125, Bajaj Pulsar DTS-i,
 2004 – Bajaj KT 100, New Bajaj Chetak 4-stroke with Wonder Gear, Bajaj
Discover DTS-i
 2005 – Bajaj Wave, Bajaj Avenger, Bajaj Discover 112
 2006 – Bajaj Platina
 2007 – Bajaj Pulsar-200 (Oil Cooled), Bajaj Kristal,Bajaj Pulsar 220 DTS-Fi (Fuel
Injection), XCD 125 DTS-Si
 2008 – Bajaj Discover 135 DTS-i sport
 2009 – Bajaj Pulsar 135, Bajaj XCD 135 cc, Bajaj Pulsar 150 DTS-i UG IV, Bajaj Pulsar
180 DTS-i UG IV, Bajaj Pulsar 220 DTS-i, Bajaj Discover 100 DTS-Si, Ninja 250R
 2010 – Bajaj Discover 150
 2011 – Bajaj Discover 125
 2012 – Bajaj RE 60
 2012 – KTM Duke 200
 2012 – Bajaj Pulsar 200 NS, Discover 125ST
 2013 – Kawasaki Ninja 300
 2013 – KTM Duke 390

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3.3. Bajaj Group Companies
 Bajaj Auto Ltd.
 Bajaj Holdings & Investment Ltd.
 Bajaj Finserv Ltd.
 Bajaj Allianz General Insurance Company Ltd.
 Bajaj Allianz Life Insurance Co. Ltd
 Bajaj Financial Solutions Ltd.
 Bajaj Auto Finance Ltd.
 Bajaj Allianz Financial Distributors Ltd.
 Bajaj Auto Holdings Ltd.
 P T Bajaj Auto Indonesia (PTBAI)
 Bajaj Auto International Holdings BV
 Bajaj Electricals Ltd.
 Hind Lamps Ltd.
 Bajaj Ventures Ltd.
 Mukand Ltd.
 Mukand Engineers Ltd.
 Mukand International Ltd.
 Bajaj Sevashram Pvt. Ltd.
 Jamnalal Sons Pvt. Ltd.
 Rahul Securities Pvt Ltd
 Shekhar Holdings Pvt Ltd
 Madhur Securities Pvt Ltd
 Niraj Holdings Pvt Ltd
 Shishir Holdings Pvt Ltd
 Kamalnayan Investments & Trading Pvt Ltd
 Sanraj Nayan Investments Pvt. Ltd.
 Hercules Hoists Ltd.
 Hind Musafir Agency Pvt. Ltd.
 Bajaj International Pvt. Ltd.
 Bachhraj Factories Pvt. Ltd.
 Baroda Industries Pvt. Ltd.
 Jeevan Ltd.
 Bachhraj & Co Pvt Ltd
 The Hindustan Housing Co. Ltd.
 Hospet Steels Ltd

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3.4. Spinoffs and Acquisition
The demerger of Bajaj Auto Ltd into three corporate entities—Bajaj Finserv Ltd (BFL), Bajaj
Auto Ltd (BAL), and Bajaj Holdings and Investment Ltd (BHIL)—was completed with the
shares listing on 26 May 2008.
In November 2007, Bajaj Auto acquired 14.5% stake in KTM Power Sports AG (holding
company of KTM Sport motorcycles AG) .The two companies have signed a cooperation
deal, by which KTM will provide the know-how for joint development of the water-cooled
four-stroke 125 and 250 cc engines, and Bajaj will take over the distribution of KTM
products in India and some other Southeast Asian nations. Bajaj said it is open to taking a
majority stake in KTM and is also looking at other takeover opportunities. On 8 January
2008, managing director Rajiv Bajaj confirmed the collaboration and announced his intention
to gradually increase Bajaj's stake in KTM to 25%& continue to buy more share in KTM by
47% total by Apr 2012 and currently holds 50.77% in KTM.
3.5. Technological Tie Up
Bajaj auto has a technical tie-up with Kawasaki heavy industries of Japan to produce a range
of the latest state-of-art two-wheelers in India. Since the tie-up in 1986, Bajaj Auto has
launched KB100, KB RTZ, KB125, 4S, 4S, Champion, Boxer, Caliber, Caliber115, Wind125
and India's first real cruiser bike, the Kawasaki Bajaj Eliminator.
A Fortune 500 company with a turnover of USD 10 billion (Rs. 45,840 crore), Kawasaki
Heavy Industries has crafted new technologies for over a hundred years. These technologies
have redefined space systems, aircrafts, jet engines, ships, locomotive, energy plants,
construction machinery, and automation systems, apart from a range of high quality, high
reliability two-wheelers.
Kawasaki has given the world its legendary series of 600-1200cc Ninja and 1600 Vulcan
bikes. Straight from Kawasaki design boards, the Kawasaki Bajaj Eliminator redefines the
pleasure of "biking" in looks as well as performance.
Now Performance bikes of Kawasaki are sold in India by Bajaj Auto.
Table 3: Bajaj Auto Subsidiaries
Subsidiaries Mar-
07
Mar-
08
Mar-
09
Mar-
10
Mar-11 Mar-12
Pt Bajaj Auto Indonesia Y Y Y Y Y Y
Bajaj Auto Intl. Holdings B V Y Y Y Y Y
Bajaj Allianz Life Insurance Co. Ltd. Y
Bajaj Allianz General Insurance Co. Ltd. Y
Bajaj Auto Holdings Ltd. Y
Bajaj Allianz Financial Distributors Ltd. Y

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3.6. Mission:
 Focus on value based manufacturing
 Continual Improvements
 Total elimination of wastes
 Pollution free and safe environment
3.7. Vision:
 To attain world class Excellency by demonstrating value added products to customers.
3.8. Motorcycle Segmentation of Bajaj Auto
Motorcycle
Segmentation
of
Bajaj Auto
Entry Level/
Commuter
Executive/
Commuter
Deluxe
Performance
High-end
Performance
Premium

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Table 4: High End Performance
Entry Level/ Commuter Segment
Details Bajaj Discover 100 Bajaj Platina
Type 4 Stroke 4 Stroke
Displacement 94.38 cc 99.27 cc
Power 7.7 bhp 8.2 bhp
Price 45,347 41,944
Table 5: Executive/Commuter Deluxe
Executive/Commuter Deluxe
Details Pulsar 135 Discover 100T/125/150
Type 4 Stroke, 4 valve 4 Stroke, 4 valve
Displacement 135 cc 100T/125T/150 cc
Power 13.5 bhp 10.2/12/13 bhp
Price 62,453 53,243/53,113/54,237
Table 6: Performance
Performance
Details Pulsar 150 Pulsar 180
Displacement 150 cc 180 cc
Price 70,899 74,199

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Table 7: High End Performance
High End Performance
Details Pulsar 200NS Pulsar 220
Type 4 Stroke, 4 valve , liquid cooled 4 Stroke
Power 24 bhp 21 bhp
Price 90,385 86,542
Table 8: Premium segment
Premium segment
Details Kawasaki Ninja 650R
Type 4 Stroke , liquid cooled
Displacement 649 cc
Power 72 bhp
Price 5,14,000

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3.9. BCG Matrix of Bajaj Auto
Cash Cows: - Low growth, High market share
 Bajaj Pulsar 150/180: It has been in two-wheeler market for more than a decade,
First Pulsar was launched in market in 2001 and since then it has been number of
updates. Almost every year since then Bajaj cleverly do some updates/ changes in the
Pulsar. Pulsar came into existence in year 2001 and since then Pulsar has captures the
highest share of two-wheeler market. But it would not be wrong saying that the pulsar
is in the segment which is coming to the stage of stagnation.
 Bajaj Platina: Platina has been in market since 2006 and gradually this entry-level
bike of Bajaj has shared decent market with Hero Splendor. Like Pulsar, Platina also
gets the deserving updates and changes. But the Platina does not show any good signs
of high growth.

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Stars: - High growth, High market share
 Pulsar 220: Pulsar 220 was the second high-performance bike after Hero Karizma.
Karizma was the only bike with the High-Performance tag but Pulsar 220
impressively acquired good share among the High-performance bike market.
 Avenger 220: Avenger was launched by Bajaj in year 2005, Just like Pulsar it has
also seen number of Updates. It belongs to High-Performance segment and has
captured a decent share of pie since then.
 Discover 100T/125ST: Recent re-launch of executive commuter segment bike by
Bajaj. Discover is still in market and even of same specification. Executive commuter
segment is vast in India and will have its own large share in two-wheeler market for
long due to high population and rural two-wheeler market, 100T and 125ST are the
updated and advanced version of existing models.
Question mark: - High growth, Low market share
 KTM Duke 200: High-Performance bike launched in 2012, two-wheeler market of
high performance bikes is in growth period. Talking about this segment, this bike is in
introductory phase right now, and looking at the potential of segment in which this
bike falls, it is expected that gradually this bike will reach out a good share of market.
 Ninja 250/300: - Ninja 250R was launched in year 2009 just after the release of
Yamaha R15 in year 2008by Bajaj Auto, the reason behind the launch of this highly
expensive and high-performance bike was that this segment of two-wheeler industry
was at the introductory stage. In year 2013, the bike was discontinued and replaced by
Ninja 300. Ninja 300 is been launched recently and Even KTM Duke 390 has been
launched by Bajaj. Reason for launch of two high performance bike by Bajaj in a 2
month is the sign that this segment has got lot of potential and is still in growing
phase.
 Pulsar 200NS: Launched just few months after KTM Duke 200, is a lot like Duke
itself rather can be said as the cheaper version Duke. Duke is sold under the Brand
KTM whereas 200NS is sold under Pulsar brand most reliable brand of Bajaj.
 Ninja 650R: Ninja 650R is a premium segment bike, this segment is yet to be
evolved in Indian two-wheeler industry, it won’t be wrong saying that Bajaj has
already prepared for the time when premium segment will be light.
Dogs: - Low growth, Low market share
 Discover 100/125/150: First Discover was launched in year 2004, since then discover
has been in the executive commuter segment, but after the recent changes and launch
if Discover it can be inferred that these Discovers will be discontinued sooner.

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3.10. SWOT Analysis
SWOT Analysis
Strength  Excellent brand presence and marketing in India.
 Extensive research and development focus and highly
experienced player in the motorcycle segment.
 Widespread distribution network across India.
 Wide product range in terms of price, quality and categories.
 Featured in the Forbes Global brands list.
 Expansion in other countries
Weakness  Lack of bikes in entry level segment
 Cannibalization
Opportunity  Bajaj Auto says its $2,500 car, which it is building with
Renault and Nissan Motor, will aim at a fuel-efficiency of 30
km per litre.
 Cheaper variants for tapping more in the rural segment.
 Premium sports bikes for urban area.
 Constant growth in the two-wheeler segment
Threats  Cheaper imports from countries like China.
 Entry of international brands like Indian, Polaris, Ducati,
Aprilia, Triumph.
 Other motorcycle players have a strong brand presence

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3.11. Competition Analysis
Bajaj Auto is the second largest two wheeler manufacturer in India, so it is quite obvious that
the 1st
largest two-wheeler manufacturer is the toughest competitor for Bajaj Auto and which
Hero MotoCorp is. But not only Hero, even Honda seeks to be the tougher competitor.
Hero is giving tuff competition to Bajaj in the Entry Level segment whereas Honda is giving
neck-to-neck competition in High-Performance segment. And TVS is also not far behind,
RTR 180 has been the toughest competition to the Bajaj 180 in Performance Segment.
Table 9: Entry level segment
Entry Level Segment
Details Bajaj Platina Hero Splendor Pro
Price 41,944 44,650
Mileage 65-70 kmpl 60-65 kmpl
Splendor is the highest selling bike globally, Backed by the strong rural buying and the onset
of festive cheer in the month of October, Hero MotoCorp retailed over 5 lakh units
domestically, with Splendor accounting for over 1.8 lakh of those. No 2 player Bajaj
Auto sold some 2.62 lakh bikes in October, of which over 1.52 lakh were competitor
bike. HondaMotorcycle & Scooter India (HMSI) at No 3 sold 2.36 lakh two-wheelers last
month in the domestic market.
Table 10: Executive Commuting segment
Executive Commuting Segment
Details Bajaj Discover 125ST Honda CB Shine
Power 12 bhp 10.3 bhp
Price 54,146 55,144
Mileage 65 kmpl 65 kmpl

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Bajaj Discover 125 ST comes with segment first Monoshock suspension and petal disk. It has
four valve DTS-i engine which generates 13bhp of power and 10.8 Nm torque. It can deliver
mileage of 65 Km / liter under normal riding conditions. It comes with fresh styling and will
compete with CB Shine which is selling like hot cake in 125cc segment. Let’s see if Discover
125 ST can grab the position of CB Shine.
Table 11: Performance segment
Performance Segment
Details Bajaj Pulsar 180 TVS RTR 180
Price 70,849 73,540
Mileage 45 kmpl 45 kmpl
Figures above might lead you in dilemma, but the market share of Pulsar 180 ans much more
than RTR 180. Reason for that is pulsar has been in market since a Decade and has earned the
better credibility than RTR. Pulsar is highest selling brand of Bajaj and considered to be most
reliable and cheap in terms of maintenance. Even the price is around Rs. 3000 less than RTR.
Table 12: Hi- Performance segment
Hi-Performance Segment
Details KTM Duke 200 Honda CBR 250R
Power 25 bhp 26 bhp
Price 1,30,000 1,57,000
Though, KTM Duke 200 and CBR 250R are from two totally different genres but Duke has
managed to keep a better market share of sub 250cc segment and reason for that is the Build
quality, Power-to-weight ratio, Price, and maintenance cost. On other hand people tend to
consider CBR for its full-faired super bike looks.

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4. Industry Analysis
Source: SIAM
The Automotive industry in India is one of the largest in the world and one of the fastest
growing globally. It is the world's second largest manufacturer of motorcycles.
India is the second largest producer of two-wheelers in the world. It stands next only to China
and Japan in terms of the number of two wheelers produced and the sales of two-wheelers
respectively.
At present the dominant products of the automobile industry are Two Wheelers with a
market share of over 75%.The industry has attained a turnover of more than USD 35 billion
and provides direct and indirect employment to over 13 million people.
Given their operational efficiency, ease in maneuvering city traffic and low cost of
ownership, 2-wheelers continue to be the preferred mode for daily commuting. We expect
domestic 2-wheelers market to stabilize by FY17 with penetration levels of 135 vehicles per
thousand population. Domestic two-wheeler sales have grown to around 11.3 million by
financial year 2014 from 7.4 million in financial year 2009.
The two-wheeler penetration in rural area is at 211 per thousand, as compared with 644 per
thousand in urban areas. That leaves plenty of scope for two-wheeler companies such as
HMCL, BAL, TVS, HHMS and Scooter India to expand their footprint.
2-Wheeler
Industry
Motorcycles Scooters Mopeds

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Going forward, ICRA expects the 2W industry to report a volume CAGR of 10-12% over the
next five years to reach a size of ~21-23 million units by 2015-16 as it views the fundamental
growth drivers - comprising of expected steady GDP growth, moderate 2W penetration
levels, favourable demographic profile, under developed public transport system and utility
quotient of a 2W - to be intact. Additionally, the entry of new players in the industry,
multitude of new model/ variant launches, growing distribution reach, cheaper ownership
costs on a relative basis are expected to be some of the other prime movers for industry
growth over the medium term. In ICRA’s view, while the trend in rising commodity prices,
hardening interest rates and increasing fuel costs may lead to some moderation in industry
growth over the short term, the growth over the medium to long term is expected to remain in
double digits.
4.1. DEMAND DRIVERS FOR THE 2W INDUSTRY
On one hand, growing economic well-being reflected in rising per capital GDP is likely to
make 2Ws more affordable; on the other, various fundamental drivers such as low 2W
penetration (in relation to several other emerging markets), favourable demographics,
growing urbanization and swelling replacement demand are expected to enable the growth
momentum to sustain over the medium term.
“Two Wheeler Market in India”, has comprehensively analyzed the emerging trends, like
reviving of scooter segment and shooting demand for executive and premium segment bikes
in two wheeler markets, which are expected to prevail in near future. Proposition in this
report is likely to facilitate clients in understanding the present and future outlook of the two
wheeler market and developments in the country. Further, evaluated various government
regulations and initiatives that will provide the prerequisite boost to the two wheeler market
in India, and facilitate cutting-edge market intelligence to intending clients while making
investment decisions.

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4.2. Industry at Present
Volume Trajectory
With domestic volume growth of 3.9% YoY and exports volume growth of minus (-) 1.1%
YoY in 11m 2012-13, the Indian two-wheeler (2W) is currently amidst a slowdown phase
last experienced in 2007-08/ 2008-09. Several factors including high inflation, firm interest
rates, rising petrol prices, besides weak monsoons have been dampening demand in the
domestic market over last several quarters. At the same time, overseas sales have been
adversely impacted by increase in interest rates in several target countries, increase in import
duty in Sri Lanka, trade restrictions imposed by Argentina and dollar sales embargo with
Iran. This apart, the reduction in incentives available to 2W exporters, twice over the last 18
months, has persuaded Indian 2W OEMs to partially hike product prices in overseas markets,
adding to the pressure on export volumes. One noteworthy statistic, however, is that based on
CY2012 volumes, India is now the largest 2W market in the world with sales volumes of 13.8
million units (domestic), having overtaken China at 12.6 million units. In fact, while 2W
sales volumes in India grew by 5.8% in CY2012 over the previous year, the domestic demand
in both China and Indonesia (the second and third largest 2W markets, respectively) shrunk
by 10.0% and 9.2%, respectively.
Growth Constituents
The deceleration in volume growth of the domestic 2W industry, 3.9% YoY in 11m 2012-13,
is largely attributable to the motorcycles segment which grew by 0.9%YoY; even as the
scooters segment posted 16.2% YoY expansion during this period, albeit at a smaller base.
With this, the share of the scooters segment in the domestic 2W industry volumes increased
to 21.1% in 11m 2012-13 from 17.5% in 2010-11. Within the motorcycles segment, while the
entry and executive segments comprising of 100cc bikes and the premium segment
omprising of ≥150cc bikes have been experiencing anemic demand, the 125cc segment
(contribution of 20% to domestic motorcycle sales in 11m 2012-13) has been a positive
outlier recording a volume growth of 29.7% YoY in 11m 2012-13, benefitting both from new
model launches as also the trend in up-trading and down-trading from the respective lower
and upper price/ performance segments
Capacity Expansions and Investments
Several industry participants have announced greenfield capacity expansion plans in recent
periods: Hero MotoCorp plans to invest Rs. 15 billion over the next two years towards
establishing facilities in Rajasthan and Gujarat; Honda is in the process of setting-up its third
manufacturing facility in Karnataka; Yamaha too is setting up a new plant in Tamil Nadu at
an investment of Rs. 15 billion. Together, these three OEMs will add 4 million units of
additional 2W capacity over the next two years, representing 22% addition on existing
industry capacity. This apart, the new product development/ refurbishment expenses are also
expected to increase as OEMs scramble to launch new products in a bid to generate consumer
interest and sustain market share. ICRA expects these large investments to exert pressure on
the industry’s profitability metrics over the near term as volume growth moderation further
takes root in the absence of immediate demand triggers.

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4.3. Indian Two Wheeler Market Analysis for current year
For the month of April 2013, the motorcycles segment suffered a slight setback, marking a
negative growth of 2.06% as compared against the same month last year. The scooter
segment recorded a 14.72% growth and mopeds manage a 7.2% growth in April 2013 as
against April 2012.
Figure 1: Market Analysis of Two wheelers
4.3.1. Motorcycles
Hero Motor Corp suffered a 12.50 % reduction is sales in April 2013. Hero’s old partners
Honda covered some substantial ground in this segment recording a 48.76% increase in sales,
which enables them to increase their market share to 13.69% this April as against the same
month the previous year. While the market leaders Hero’s market share came down to
51.27% for the month of April 2013 from 57.39% for same month the previous year. Bajaj
stays at second place.
Figure 2: Sales volume of Motorcycles

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Figure 3: Market share of Motorcycles
4.3.2. Scooter
The overall performance of scooter segment is encouraging for the month of April as against
previous year. Honda continues their good run in this segment with a 15.47% increase in
sales for the month of April 2013 as against same month last year. Hero also shows good
positive results with a 37.71% increase in sales as against as against April 2012. While TVS
and Suzuki suffered negative growths. Honda continues to be the leader of this segment
followed by Hero. Honda better their segment share to 51.16% from 50.83; and Hero
Motorcorp takes their share up to 21.25% from 17.71%. Mahindra is somewhat anonymous
in this segment.
Figure 4: Sales Volume of scooters

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Figure 5: Market shares of scooters
4.4. Industry Trends and Growth
Since year 2009-10 the market size is growing and it is estimated that it will not see any
downfall neither in Domestic sales nor in exports. Forecast for year 2013-14 and 2014-15
seems to be growing at a decent rate. Net worth of Motorcycle market share has been
estimated to grow from Rs. 49, 654 Crore (Current) to Rs. 53,505 Crore for year 2013 – 14.
Table 13: Forecast for year 2013-14 of Motorcycle market size
Scooter market has been showing a positive growth since year 2009-10, and the Major share
of this is shared by HMSI. Even exports of scooters from India shows very good signs and
domestic sales are going in positive direction. Current scooter market size is Rs. 10,776 Crore
and it is forecasted that it will reach Rs. 12,660 Crore in year 2013-14.
Table 14: Forecast for year 2013-14 of Scooters market size

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Moped current market size Rs. 1,513 Crore and it is estimated that it will reach Rs. 1,650
Crore in year 2013-14. But the exports of mopeds are seem to fluctuating, in year 2011-12 it
was 9,076 and in year 2012-13 it showed a drastic downfall to 3,528 numbers of moped
exported.
Table 15: Forecast for year 2013-14 of Moped market size
Two-wheelers total exports does not have any uniform trend since Feb’12, in March’12 there
was (+) 30.6% change in exports on total two-wheeler whereas in Sep’12 it showed (-) 11.2%
downfall.
Motorcycle exports from Jun’12 to Nov’12 was in negative growth. But since Dec’12 till
Feb’13 it has shown the signs of recovery. As it is monthly trend so some downfalls can be
neglected.
Scooters export also do not show any uniform trend of export. Total of (+) 2.5% growth is
reflected from Feb’12 to Feb’13.
Mopeds exports showed negative growth for consecutive 11 months (Feb’12 to Jan’13) but
there are signs of recovery as in Feb’13 the (+) 54.1% growth.
Table 16: Two-wheeler export trend from Feb’12 to Feb’13
Table 17: Export Market of domestic two-wheeler OEM’s

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Table 18: Trend in sales volumes of two-wheeler Industry.
4.5. Outlook
Overall, ICRA expects the domestic 2W industry to report a moderate volume growth of 4-
5% in 2012-13 as demand slowdown as well as base effect catches up with the industry that
has demonstrated a strong volume expansion over the last three years at cumulative annual
growth rate (CAGR) of 21.8%. Over the medium term, the 2W industry is expected to report
a volume CAGR of 8-9% to reach a size of 22-23 million units (domestic + exports) by 2016-
17 (our longer-term growth forecast remains at 9-11%), as we believe the various structural
positives associated with the domestic 2W industry including favourable demographic
profile, moderate 2W penetration levels (in relation to several other emerging markets), under
developed public transport system, growing urbanization, strong replacement demand and
moderate share of financed purchases remain intact; as also the large opportunity available to
grow presence in overseas markets, mainly Africa and Latin America.

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4.6. The Industry Analysis – Five Forces analysis
Entry Barriers:
 Entry Barriers are high
 The market runs on high economies of scale
 The need of technical expertise is high
 Owing a strong distribution network is important and is very costly
Suppliers bargaining power:
 Suppliers of auto components are fragmented and extremely critical for this industry
since most of the component work is outsourced. Proper supply chain management is
a costly yet critical need.
Buyers bargaining power:
 Buyers in automobile market have more power to choose from the increasing
competition and driving the bargaining power of customer uphill. With more models
to choose from in almost all categories, the market forces have empowered the buyers
to a large extent.
Industry Rivalry:
 The industry rivalry is extremely high with any product being matched in a few
months by competitor. The instinct of industry is primarily driven by technical
capabilities acquire over year of gestation under the technical collaboration with
international players.
Substitutes:
There is no perfect substitute in the industry. Also, if there is any substitute to a two-wheeler,
Bajaj has presence in it. Cars, which again are a mode of transport, do never directly compete
or come in consideration while selecting a two-wheeler, cycles do never compete with the
low entry level moped for even this choice comes at a comparatively higher economic
potential.

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5. FINANCIAL ANALYSIS
5.1. Liquidity Ratio:
The liquidity ratios are used to determine the shot-term solvency position of a business
enterprise. The term liquidity means the conversion of the assets into cash without much loss.
The objective is to find out the ability of the business enterprise to meet short-term liabilities
5.1.1. Current Ratio: - The relationship of current assets and current liabilities, it is
also known as working capital ratio or banker’s ratio.
Current Ratio = Current Assets/ Current Liabilities
Year Current ratio
2012 0.88
2011 0.80
2010 0.69
Current Ratio of Bajaj Auto is seem to be growing which is a good sign, 1.5 is the acceptable current
ratio. In simpler terms if Bajaj Auto sells of all its assets it will not able to pay all Liabilities.
5.1.2. Acid Test Ratio: - It expresses the relationship of a company’s current assets that
can be quickly converted into cash and its current liabilities. It is in fact the
measure of the “Instant” debt paying ability of the business enterprise.
Acid Test or Quick Ratio= Quick Assets/ Quick Liabilities
Quick Assets = Current assets – inventories – prepaid expenses
Quick Liabilities= Current liabilities – Bank Overdraft
Year Quick Ratio
2012 0.72
2011 0.71
2010 0.55
Bajaj Auto shows the sign of improvement of Acid test ratio for last 3 consecutive FY which is a good
sign.
5.2. Profitability Ratio:
The real test of various business activities is their ultimate impact on the bottom line. The
profitability ratios are computed to throw light on the current operating performance and
efficiency of the business firm when they are related to some other figures such as sales,
operating expenses, capital invested and etc.

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5.2.1 Gross Profit Ratio: - This ratio measures the relationship between gross
profit and sales. This ratio shows the profit that remains after the
manufacturing costs have been met. It measures the efficiency of production
as well as pricing.
Gross Profit Ratio= [Gross profit/ Net Sales]* 100
Year Gross Profit
Ratio
2012 18.39
2011 19.03
2010 20.03
Gradually Bajaj auto has decreased its profit ratio that means Bajaj is keeping low profit of total sales,
this is done to increase the market share.
5.2.2 Net Profit Margin Ratio: - It indicated the relationship between the net profit
& the sales it is usually expressed in the form of a percentage.
Net Profit Ratio = (Net Profit/Net Sales)*100
Year ROTA
2012 15.11
2011 19.80
2010 14.23
5.2.3. Operating Profit Ratio: - This ratio indicates profitability from a firm’s main
operating activities. A higher operating profit margin implies better sales
realization and effective cost control.
Operating Profit Ratio= (Operating Profit/Net Sales)*100
Year OPM
2012 15.33
2011 15.71
2010 16.20
The operating profit ratio seems to be slightly changed in last three FY of Bajaj Auto
5.3. Activity Ratio:
It reflects the efficiency of working capital management- how many times the working
capital is revolved to generate sales. It is always better to operate with minimum net
working capital requirement.

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5.3.1. Inventory Turnover: - It represents the number of items inventories are turned
over to generate sales.
Inventory Turnover Ratio=Cost of goods sold/Average Inventory
Year ITR
2012 30.97
2011 32.80
2010 28.87
The Inventory ratio seems to be growing since last 3 FY and it is a good sign, this tells us that
more inventories are being turned into sales.
5.3.2 Debtors Turnover: - It represents the number of times average dues from
customers are realized. It establishes the relationship of debtors and bills
receivable to net credit sales.
Debtors Turnover Ratio = [Sundry Debtors+ Bills Receivable/ Net Credit Sale]*
Days in a year/ month in a year
Year Debtors turnover
2012 49.66
2011 51.77
2010 37.41
5.4. Leverage Ratio:
It expresses the relationship between the equity capital and fixed interest/ dividend
bearing securities of a business enterprise. It is also called the “Capital Gearing” ratio.
The business enterprise is said to be highly geared when the capital carrying a fixed
rate of dividend and interest is in greater proportion than capital.
5.4.1. Debt Equity Ratio: - Debt to Equity Ratio is also referred to as Debt Ratio,
Financial Leverage Ratio or Leverage Ratio. The debt to equity (debt or financial
leverage) ratio indicates the extent to which the business relies on debt financing.
Debt to Equity Ratio = Short Term Debt + Long Term Debt
Total Shareholders’ Equity

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Year Debt-Equity
2012 0.02
2011 0.07
2010 0.46
5.4.2. Long Term Debt Ratio or Debt Ratio: - This ratio is an extension of debt-equity
ratio and provides similar information as the debt-equity ratio.
Debt Ratio= [Long term debt/ Long term debt+ Equity]* 100
Year Long term Debt
2012 0.02
2011 0.03
2010 0.45
5.5. Cash Flow Analysis:
Cash is the nerve Centre on which business activities flow. A cash flow statement shows
how a company is generating cash from its operations, paying for its growth and
managing various sources of funds. Cash flow statement provides valuable information to
various stakeholders, executives want to know whether cash generated by company will
be sufficient to fund their expansion strategy and want to know whether the company
would have surplus free cash to pay dividends.
BAJAJ AUTO HERO MOTOCORP
Cash Flow
Ratios
2012 2011 2010 2012 2011 2010
Net Profit before
tax
4266.23 4026.17 4350.75 2864.71 2404.76 2831.73
Net cash from
operating
activities
2134.37 2959.91 2013.72 2359.78 2288.11 2686.64
Net cash from
financing
activities
-1479.08
-
1564.38
-862.00
-
2458.16
-989.18
-
2109.31
Net cash from
investing
activities
-1277.76 -445.44 -1096.64 92.79
-
1322.31
-527.63
Since last three FY Bajaj has earned much higher profits than its one of big competitor i.e. Hero
motocorp. But net cash from operating activities is seem to be less than Hero for FY 2010 and 2012.
Hero has earned much higher cash from investing activities for FY 2012.

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5.6. Competitor Analysis:
Liquidity Ratios 2012 2011 2010 2012 2011 2010
Current Ratio 0.88 0.80 0.69 0.42 0.24 0.58
Quick Ratio 0.72 0.71 0.55 0.28 0.15 0.49
Profitability
Ratios
2012 2011 2010 2012 2011 2010
Gross profit Ratio 18.39 19.03 20.03 10.81 11.33 16.11
Net profit Ratio 15.11 19.80 14.23 1181.19 969.86 793.22
Operating Profit
Ratio
15.33 15.71 16.20 182.69 130.06 137.40
Activity Ratios 2012 2011 2010 2012 2011 2010
Inventory
Turnover Ratio
30.97 32.80 28.87 40.84 43.88 42.80
Debtors turnover
Ratio
49.66 51.77 37.41 117.09 162.08 122.63
Leverage Ratios 2012 2011 2010 2012 2011 2010
Debt Equity
Ratio
0.02 0.07 0.46 0.23 0.50 0.02
Long term Debt
Ratio
0.02 0.03 0.45 0.23 0.50 0.02
Liquidity ratios of Bajaj auto is better than Hero Motocorp for last 3 consecutive FY. Net
profit ratio of Hero Motocorp is much higher than Bajaj Auto since last 3 FY. Even Activity
Ratios of Hero Motocorp seems to be higher. And Leverage ratios are also higher of Hero
Motocorp as compared to Bajaj Auto.

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6. Detailed Study
The 8 Weeks corporate internship program at Bajaj Auto Pvt Ltd. at Regional Office, Delhi
comprised of:
1. Introduction to Bajaj Auto
2. Project Assignment – Customer profiling and Buying Behavior
3. Interpretation and Analysis
First week was introduction at the Regional office and all 4 showrooms of Bajaj Probiking in
NCR.
In second week the project was allotted on customer profiling and understanding Buying
Behavior of NCR’s Customers.
6.1. Customer profiling:
Customer profiling is a way to create a description of customers to help take decisions
concerning product and services. Customers are segregated into groups of regions and each
group profiling is broadly done on various details like:
1. Age
2. Occupation
3. Annual Income
4. Source of Information
5. Bikes considered while purchasing Duke
6. Mode of Purchase
7. Other Two-Wheeler/ Four-Wheeler
8. Duke best for – Commuting, Touring, Stunting, Competition
9. KTM Events attended
10. Rate Duke in Style, Ergonomics, Power, Features
6.2. Research Methodology:
Survey was conducted on all NCR’s Duke Customers.
1. Sample Size – 128
2. Tools – Close Ended Questionnaire
3. Method – Online Survey, Telephonic Survey and One-to-one Interview
The purpose of survey was to understand Duke Owners and to highlight the critical
information about the Bike as well as Customers. 4 Major attributes of customers are covered
in the survey.

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7. Who
 Under this attribute we will understand our customers:
1. Age – We have made 5 categories of age groups and will accommodate the customers
in the respective groups.
2. Occupation – All occupational fields are classified in 4 major categories and further in
Industries.
3. Annual Income – We provided respondents with 4 different brackets of annual
income to be filled.
4. Immediate Reach – Under this field we analyzed our web active customers whom we
can reach easily.
Major customers fall into 18-25 age group, So company should primarily target youth
age group

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63% of customers are salaried, so company should try to reach young salaried people as
most of customers are young and salaried.
Targeting people employed in services sector would be beneficial as most of current
customers belong to this set.

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Should target people with sales/marketing jobs as they earn better incentives and with
better purchasing power.
Email id's of 98% customers, this means we can reach almost all of our customer by a
single click.

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People with the income bracket of 5 – 10 Lac seems to be the highest, so IMO we should
try to penetrate people under this income bracket.
8. When
1. Age/Occupation – We will see the relationship between the customers age and
occupation.
2. First Bike – Customers having Duke as their first bike.
3. Is Duke your only bike – Customers who are having only Duke in 2 wheelers
4. Another 2 Wheeler – We have made 5 categories of Cubic Capacity and will
accommodated customer’s another bike in the respective category.
5. Bike >250cc Category – Customer having bikes >250cc and name of the Bike.
6. Customers having 4 Wheeler – Customers having 4 Wheeler along with Duke.
7. Four Wheeler - We have made 3 Categories in which the customer’s 4 wheeler will be
accommodated.
8. R15/CBR/Royal Enfield – We will see our customers having R15’s, CBR’s and RE’s
9. First Bike/Age – We will understand the relationship between the customers age and
is Duke his/her first bike.
10. First Bike/Annual Income – We will understand the relationship between the
customers age and is Duke his/her first bike.
11. First Bike/Occupation – We will understand the relationship between the customers
age and is Duke his/her first bike.
12. Relationship between customers who are having R15/CBR/RE and Age.

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Salaried employees between the age group of 18 – 25 should be targeted as they have
the highest potential of buying.
Half of customers purchased Duke even after they were having another bike. So,
something about Duke has made them go for Duke even after having one Bike.

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18 – 25 is the age group which has highest potential of buying a bike no matter 1st or
2nd.
Most of customer are having a bike falling in 100 - 150cc category, lets look closely
which bikes comes into this category

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Duke majorly attracted people who were having Honda Activa and Honda
Unicorn/Bajaj Pulsar.
After Honda Activa, Honda Unicorn and Bajaj Pulsar 150s people who ride
different breed of bikes ( Bullet) considered Duke majorly.

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66% Duke customers are also having Car, this shows that majority of people bought
Duke not only with the purpose of commuting.
Proportion of customers having Sedan and Hatch back is almost equal and SUV
customers are comparatively less, so IMO people driving bigger cars are not
considering Duke, might be because of its small and peppy look.

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Few customers bought Duke even after having R15/CBR/RE Bullet.
Be analyzing every age group we can see that majority of customers did not
purchased Duke as their first Bike

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Like said earlier, Salaried people should be targeted for the Duke as it is low priced
power packed bike.
People of income bracket 2 - 10 Lac should be given prime focus as they are the
potential customers.

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Even Bullet has started to appeal youth also, so we may say that some buy bullet for
easy ride then they by Duke for "So-easy" and fast ride.
9. Why
 Under this attribute we will understand customers:
1. Rate Duke – On the scale of 1 to 5 (1 lowest 5 highest) customers rated Duke in 4
different parameters – Style, Ergonomics, Power and Features.
2. Proportion of Style/Ergonomics/Power/Features in Duke according to Customer
3. Other bikes considered – List of common bikes considered by customers while
purchasing Duke
Duke is Stylist, this is can be considered as a fact as our most customers rate Duke
Highest and High in Style.

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Because of Duke's aggressive posture, majority rated Duke 4 out 5 in Ergonomics
and for some easy riders (27%) this posture was not so comfortable they rated 3 out
of 5.
"Duke is powerful", 94% of customers say it. So, IMO we could use this is as USP
for Duke.

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Duke has got much more features than any other bike in same category that's the
reason Duke managed to High and Highest rating from 91% Customers.
All 4 attributes are more or less equal in Duke. But IMO we should push Duke's
power attribute to target new customers because 94% customer has rated Duke >= 4
out of 5 in Power.

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33% of customers did not considered and other bike. But 51% customers considered
R15/CBR 250. In other words half of the customers were in confusion which bike to
go for. So, IMO we should go for sweet spot strategy and differentiate Duke from
others by highlighting things like Light weight, Features like DTE, Avg. Speed, WP
Suspension etc.
Biggest dilemma in buyer's mind while purchasing Duke is Either CBR 250 or YZF
R15 or Duke 200.

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10. How
1. Mode of Purchase – Ratio of customer purchased Duke on Cash to that of Finance.
2. Occupation/Mode of Purchase – Relationship between customers occupation and
mode of purchase.
3. Annual Income/Mode of Purchase - Relationship between customers Annual Income
and mode of purchase.
4. Source of Information – From where customer got aware of Duke.
5. Occupation/Source of Information – Relationship between Customer Occupation and
Source of Information.
6. Age/Source of Information – Relationship between Customer Age group and Source
of Information.
Only 1/3rd of customers are buying bike Finance, We should work out on finance
policies so that we can penetrate low income group buyers.

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Majorly salaried people prefer buying products on finance, but it can been here
even salaried employees are buying on cash. Not all salary brackets people can
afford cash purchase. So IMO we must workout some alteration in finance policies
to attract lower income group buyers.
Highest cash buyers are from income group 5 - 10 Lac and highest Finance buyers
are from income group 2 - 5 Lac.

55 | P a g e
Duke has already earned a hype on automobile portals like xbhp, Motoroids,
Zigwheels etc. but we should promote Duke over social websites like FB, Twitter
more as majority of youth is user there.
IMO two prime targets for Duke should be Salaried and Students, by fig. above we
can analyze highest of both (Salaries and Student) got aware of Duke by Automobile
Portals but social media is also potential of reaching the targeted customers. So we
must push on Social websites.

56 | P a g e
No matter what the age group is, most common source of information was
Automobile portals, But we must push Duke on Social websites to increase the
awareness.
11. What
1. Age/Competition – Relationship between Age group and Competition attended on
Duke.
2. Orange Days – Number of KTM Orange Days customer has attended.
3. Orange Ride - Number of KTM Orange Rides customer has attended.
4. Customer Participation – Number of customer never Participated in either of KTM
Events
5. 1 Orange day and 1 Orange Ride – Number of customers attended 1 Orange day and 1
Orange ride.
6. 2 Orange day and 2 Orange Ride – Number of customers attended 2 Orange day and 2
Orange ride.

57 | P a g e
Hardly 10 customers ever participated in any competitions, We may promote Duke
by highlighting the Duke's performance in India's toughest rally.
Only 17% customers attended KTM Orange day, IMO the reason for it was lack of
awareness.

58 | P a g e
Only 13% customers joined Orange Ride, IMO the reason was the Day and Timing,
People prefer to rest on Sundays, Instead of Sundays it may be organized on
Saturday Morning/Evening.
Around 69% customers never participated any of KTM Events, IMO we should
promote these events on bigger scale like on Radio, Newspapers and Television so
that Buzz can be created and more and more people along with customers get aware
of same.

59 | P a g e
Only 7% customers attended 1 session of both, Like i said we must promote it on
large scale
Only 2% customers attended 2 Sessions of both, Like mentioned earlier we should
try to make KTM events more appealing by creating a hype on social media,
Newspaper, Radio and even hangout places like Cafes by putting small clips on
Livemedia and Posters.

60 | P a g e
12. Conclusion:
By analysing all the attributes of customers and graphs, this inference can be drawn that
major share of customers fall in the age group of 18 – 25 and most of them are salaried
employees. So it is advisable that Bajaj must target young and salaried people.
And on the other hand this can be seen that majority of customers purchsed Duke on cash,
to target people of lower income group, Finanace policy must be revised in accordance to
provide better interest rate and low EMI’s so that the customer base can be increased and
so the market share can be risen.
Bajaj is spending good figures of Amount on organizing KTM Events like Orange day
and Orange Ride for the customers, But it can bee seen that most of the customers are not
Participating/ Attending the events, Bajaj should promote these events on bigger scale
like on Radio, Newspapers and Television so that Buzz can be created and more and more
people along with customers get aware of same and Participate/ Attend.
13. Limitation of Reseach:
1. Cost Constraint – Since the survey was designed and launched from the Free
account on sogosurvey.com, so, there was lack of features accessability and
sending of survey was just limited to 100 Customers/Survey
2. Reach Constraint – Many of the customers were not having any contact detail.
3. Limitd support from Cusrtomers
4. Lack of credibility

61 | P a g e
14. Key Learnings:
1. Gaining practical knowledge on SPSS.
2. Experienced how information flows in the organization.
3. Learned how to determine the competition.
4. Experienced how the planning is done for marketing campaigns.
5. Understood how the planning is done for launching of new models.
15. References:
Bajajauto.com 2013, Products. Available from <http://www.bajajauto.com> [12 July 2013]
Indiamart.com 2013, Two-Wheeler. Available from <http://auto.indiamart.com/two-
wheelers/> [14 July 2013]
Icra.in 2013, Industry, two-wheeler, Q1 2013. Available from
<http://www.icra.in/Files/ticker/SH-2013-Q1-1-ICRA-Two-Wheelers.pdf> [15 July 2013]
Timesofindia.indiatimes.com 2013, business, two-wheeler. Available from
<http://timesofindia.indiatimes.com/business/india-business/Two-wheeler-industry-to-
remain-flat-in-FY13-Study/articleshow/20538894.cms> [18 July 2013]
Icra.in 2013, industry, two-wheeler yearly. Available from
<http://icra.in/Files/ticker/Indian%202W%20Industry.pdf> [19 July 2013]
Researchandmarket.com 2013, reports, two-wheeler industry. Available from
<http://www.researchandmarkets.com/reports/1337843/indian_two_wheeler_industry>
[21 July 2013]
Rncos.com 2013, reports, two-wheeler. Available from
<http://www.rncos.com/Report/IM364.htm> [24 July 2013]

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