IN COMPANY TRAINING REPORT

On

“MARKETING STRATEGY OF YAMAHA

PRODUCTS”

at

YAMAHA MOTORS INDIA PVT. LTD.Faridabad.

Submitted in partial fulfillment of the requirement of

Bachelor of Business

Administration (BBA), Guru Jambheshwar University

of Science & Technology, Hisar.

Training Supervisor: Submitted By:Mr. A. C. Yadav Rahul Rao

B. B. A. 3rd Yr.Enrollment No.: 06511120036

Session : 2008-09

Directorate of Distance EducationGuru Jambheshwar University of Science & Technology.

Hisar.

Contents

1. Organisation Profile

• Introduction

• Creation

• Vision

• Product Range

• Yamaha History

• Yamaha Motor Limited

• Distribution System

• Corporate Structure

• Hierarchical Structure

• Department Chart

2. Task Undertaken

• Research Objective

• Introduction on Yamaha Crux

• Research Methodology

• Key Findings

• Conclusion

• Recommendations

• Usefulness of the Project

• Limitations

3. Self Appraisal

4. Bibliography

5. Appendices

Acknowledgement

After completing the training report at “YAMAHA MOTORS LTD.”, it is a great

pleasure for me to thank all those who have helped me during the course of

completion of my project.

I express my sincere thanks to Mr. A. C. Yadav (Head of Marketing Deptt.) of

Yamaha Motor Limited for giving me a unique opportunity to do project in their

esteemed organization.

Last but not the least; I would like to place a word of appreciation on record for a

all those who directly on indirectly supported me.

(RAHUL RAO)

Executive Summary

Yamaha Motor Escorts Limited (YMEL) is a joint venture company formed by the

alliance of Escorts Limited, the flagship company of the Rs. 3600 crores Escorts

Group, a major in the two-wheeler business and Yamaha Motor Company Limited

(YMCL), Japan.

Recently YMEL launched a new bike - Yamaha Crux in December, 2000. My

project was aimed at investigating about the awareness level of Crux from the

owners of the competitive brands. These competitive brand names are Hero

Honda’s Splendor & CD 100/SS and Bajaj’s Caliber. My project also aimed at

determining the primary factors which influence scooter owners to shift from

scooters to motorcycles. My project was restricted to New Delhi only and the sample

size was 250 including 100 for scooter owners and the rest 150 divided equally

among the three competitive brands, that is, Splendor - 50, Caliber - 50 and CD

100/SS - 50. Questionnaires were made and were filled by the respondents and the

data collected was analyzed to get some useful results.

After analyzing the data, we discovered the primary factors influencing scooter

owners to shift from scooters to motorcycles. The prominent among these factors

were that motorcycles have a better fuel economy, motorcycles are more stylish and

the engine power of motorcycles is more as compared to scooters. We also

discovered that the awareness level of Yamaha Crux was very low and this was

primarily due to lack of advertisements and other promotional activities. Thus, in

the end some recommendations were also given to Yamaha Motor Escorts Limited

so that they could take the required preventive measures.

INTRODUCTION

OF

THE

COMPANY

Introduction

The Escorts Group, with Escorts Limited as its flagship company, is among India's

largest corporations operating in the diverse fields of agri-machinery,

telecommunications, information technology, healthcare, bi-wheelers, construction

& material handling equipment, automotive & railway ancillaries and financial

services. The Group has 19 modern manufacturing facilities & an extensive

marketing network spread across the country. The major global alliances of the

Group include : JCB - UK, Yamaha - Japan, Claas, Mahle and Goetze - Germany,

Carraro - Italy, Long CA, Vistaar & i2 - USA, First Pacific - Hong Kong, IFS -

Sweden and POL-MOT - Poland.

Creation

The genesis of Escorts goes back to 1944 when two brothers, Mr. H. P. Nanda and

Mr. Yudi Nanda, launched a small agency house, Escorts Agents Ltd. in Lahore.

The next 50 years saw Escorts surge ahead and become one of India's largest

conglomerates.

Rajan Nanda (The Legacy of a Vision)

H.P.

Nanda

(1917-99)

Escorts gauged the need for modernising agriculture and pioneered farm

mechanisation in the country. In 1948 Mr. H.P. Nanda established Escorts Agri -

Machinery Limited, to market tractors and farm implements. It set up the first

dealer network of its kind to market tractors for import purpose. Escorts soon

became the number one tractor selling company in India. Meanwhile, the company

branched into manufacturing piston rings in India in collaboration with GOETZE

WERKE of Germany.

Present Scenario

On assuming the Chairmanship of the Group, in April 1994, Mr. Rajan Nanda,

undertook a major restructuring programme to give sharper focus to the businesses.

This involved building alliances with global players and improving market

capitalization, which resulted in each business becoming an independent entity with

defined partnerships, technology, customers and business economics.

The recent past also witnessed a major shift in Escorts' business focus, when it

broke away from its traditional identity of being a purely engineering company and

made its foray into the service sector of telecom and information technology. The

Group has since re-evaluated its focus with thrust on areas of high growth namely

agri machinery, telecom, software and healthcare. Towards this end, the Group has

recently launched a major initiative in Internet and E-commerce. The remaining

businesses are strategic investments for generating value.

Vision

As Escorts marches into the 21st century, it does so with a clear vision, renewed

commitment and the ability to perform. The ultimate objective being to create value

for its shareholders.

• Be market leaders in areas of high growth businesses of Agri, Telecom,

Information Technology & Healthcare.

• In other Businesses generate value through strategic investments.

• Provide world class quality products and services to consumers.

• Thrust on developing major export markets.

Make the Group investor attractive by creating value for customers which

ultimately creates value for shareholders

COMPANY

PROFILE

Yamaha Motor Escorts Limited (YMEL) is a joint venture company formed by the

alliance of Escorts Limited, the flagship company of the Rs. 3600 crores Escorts

Group, a major in the two-wheeler business and Yamaha Motor Company Limited

(YMCL), Japan.

The global giant in two-wheelers business over 3 decades and having the distinction

of putting over 25 lakh two-wheelers on Indian roads. The company has presently

two manufacturing facilities located at Faridabad in Haryana and at Surajpur in

Uttar Pradesh.

Using state-of-the-art technology for its Rajdoot, Yamaha and Escorts range of

motorcycles, the company is on the fast track to make its presence felt in all the

segments of the two-wheeler industry, offering exciting machines not only to the

Indian customers, but also being a leading exporter of two-wheelers. It is this

proximity to the customers that gives YMEL the confidence of riding into the next

decade with world-class technology. Meeting the diverse needs of the customers …

millions of bikes across millions of miles.

Yamaha Over the Years

1960 - Secured license under technical collaboration with CEKOP, Poland

1961 - Obtained 23 acres of land for separate factory

1962 - Assembly and partial manufacturing started in plant 1

1964 - Machinery was installed in the new building

1965 - Manufacturing activities shifted from plant 1 to the present building

1972 - GTS - a small motorcycle was introduced

1979 - Entered in technical collaboration with Yamaha Motor Company of Japan

for manufacturing 350cc motorcycle

1983 - Letter of indent obtained for manufacture of 100cc motorcycle

1983 - Launched 350cc motorcycle in the market all over India

1984 - On identified scale, manufacturing facilities of various components were

improved upon by the introduction of 4th generation machinery equipment

1984 - 175cc Super-D model was introduced

1985 - Started manufacturing of RX-100cc motorcycle in technical collaboration

with Yamaha Motor Company, Japan

1985 - Installed “UYEMURA”, automatic electroplating plant

1989 - Introduction of indicators in existing 175cc Rajdoot motorcycle

1990 - Up gradation of 175cc motorcycle by introducing newer technology and

styling such as bringing in of EXCEL-T with telescopic front forks/modern system

1993 - Electronic ignition system of Rajdoot launched

1995 - Started manufacturing 50cc moped on 31st March

1996 - ISO 9001 was achieved

1997 - Launch of Yamaha RXZ and 175cc Escorts ACE

1998 - YBX 4-stoke bi-wheeler was launched

2000 - YD-125 launched

2000 - Share of Yamaha Motor Company, Japan rose to 74%, so take over of

Escorts Yamaha Motor Ltd. (EYML) and conversion to Yamaha Motor Escorts

Ltd. (YMEL)

2000 - Yamaha Crux launched in December

2001 - On 14th June, Yamaha Motor Escorts Ltd. was officially taken over by

Yamaha Motor Company, Japan

2002 - Libero

Recent Changes

On 14th June, 2001, Yamaha Motor Escorts Limited was officially taken over by

Yamaha Motor Company Limited, Japan.

Objectives of Yamaha Motor Company Limited :

1. Customer satisfaction strengthened by improving dealer network, the shops and

making customer more comfortable.

2. Strengthening research and development.

3. New motto “Speed, Quality, Yamaha’s Original Design”.

4. Optimizing the internal working system.

5. Yamaha the Kando company. Kando is a unique Japanese word which means

“Touching People’s Hearts”.

Product Range of Escorts Group

Agri Machinery Telecom Informatio

n

Technology

Healthcare Bi - Wheelers Construction &

Material

Handling

Equipment

Auto &

Railway

Components

Financial

Services

Escorts Ltd.

- Tractors

• Escort

• Farmtrac

• Powertrac

- Paddy

Transplanters

- Sugarcane

Harvesters

Escorts Claas

Ltd.

- Combine

Escotel

Mobile

Communic

ations Ltd.

- Cellular

Telephone

Services

Escorts

Technologi

es Ltd.

-

Professiona

l Services

- Project

Based

Software

Developme

nt

-

Enterprise

Escorts

Heart

Institute &

Research

Centre Ltd.

Escorts

Hospital &

Research

Centre Ltd.

Yamaha

Motor

Escorts Ltd.

- Motorcycles

• Yamaha

RX-135

• Yamaha

RXZ

• Yamaha

YBX

• Yamaha

YD-125

• ACE-175

Escorts

Construction

Equipment Ltd.

- Pick-n-carry

Cranes

- Front End

Loaders

- 360 Slew

Cranes

- Articulated

Boom Cranes

- Forklifts

- Vibratory

Escorts Ltd.

- Shock

Absorber

- Telescopic

Front

- Forks & Mc

Pherson Struts

Railways

- Air Brakes

- Electro

Pneumatic

Brakes

- Couplers

Escorts

Finance

Ltd.

- Bike

Finance

- Car

Finance

- CV

Finance

- Earth

Moving

Equipment

Finance

Harvesters

Crop Tiger

• Track

Version

• Wheel

Version]

Carraro India

Ltd.

- Transmissions

& Axles

Long

Agribusiness

LLC

POL-MOT

Escorts Spoika

Zoo

Level

Software

Implement

ation

CA

Escosoft

Pvt. Ltd.

Esconet

Services

Ltd.

- Health

Portal

- Internet

Service

Provider

- Mobile

Service

Automatrix

• Rajdoot

• Yamaha

RX-100

• Yamaha

Crux

Rollers

- Aerial

Platform

Escorts JCB

Ltd.

- Bach Hoe

Loaders

- Articulated

Loading Shovels

- Front End

Loaders

- Track

Excavators

- Skid Steers

- Shock

Absorber

- Rail Fastening

- Vulcanised

Parts

Goetze India

Ltd.

- Piston Rings

- Aluminium

Cylinder

Blocks

- Cylinder

Liners

Escorts Mahle

Ltd.

- Pistons &

Pins

Escorts

- Plant

Hiring

- FD

- Mutual

Funds

- Securities

Trading

- Personal

Investment

s

- Advisory

Services

india.com Employees

Ancillaries Ltd.

- Carburetors

President’s Message

Creating Kando that exceeds the expectations of our customers

In April of this year, the Yamaha Group inaugurated its new YGP2010 (Yamaha

Growth Plan 2010) medium term business plan, which will take the company

through March, 2010. Under this medium term plan the musical instrument, pro

audio, music software, AV/IT and device domains based on sound, music and

network technologies have been redefined as the domain of "The Sound Company."

This move reflects our goals of achieving sustainable growth and acquiring

management resources in a focused and proactive manner.

The Yamaha Group will continue to strive to provide satisfaction to our customers

and to create "Kando" that exceeds their every expectation, by using both leading-

edge and traditional technology to supply products and services built on a

foundation of sensitivity and creativity.

We look forward to your continued support.

June 2007

President and Representative Director

Mitsuru Umemura

Yamaha History

1887

Torakusu Yamaha builds his first reed organ

and begins taking orders for more.

1897

Nippon Gakki Co., Ltd. is established with

Torakusu Yamaha as president.The company fulfills its first export order: 78

organs for Southeast Asia.

1900

Yamaha begins making upright pianos.

1902

Yamaha produces its first grand piano.

1903

The company makes use of its woodworking

expertise to begin building fine furniture.

1904

A Yamaha piano and organ are awarded the

Honorary Grand Prize at the St. Louis World's

Fair.

1914

Yamaha introduces its first harmonica and, later

that year, begins exporting harmonicas

worldwide.

1922

Yamaha begins production of high-quality hand-

wound phonographs.

1930

Yamaha opens the world's first acoustics

research room.

1931

Yamaha engineers the acoustics of Japan's new

Diet halls.

1932

Yamaha begins production of pipe organs.

1935

The Magna Organ debuts.

1942

Yamaha creates its first acoustic guitar.

1951

The Yamaha Building opens on Tokyo's Ginza.

1953

President Genichi Kawakami begins seriously to

investigate overseas markets.

1954

The Yamaha Music School system is

inaugurated.Yamaha manufactures its first Hi-Fi Player.The company's expertise in metallurgical

technologies leads to the manufacture of the first

Yamaha motorcycle, the YA-1. First-year

production: 125.

1955

The success of Yamaha motorcycles results in

the founding of Yamaha Motor Co., Ltd.

1958

The company forms its first overseas subsidiary,

Yamaha de Mexico S.A.

1959

The Yamaha Technical Laboratories are opened.Yamaha develops an electronic organ, the

Electone.Yamaha takes advantage of its materials

expertise to create a line of fiberglass-reinforced

archery equipment.

1960

Yamaha founds a U.S. subsidiary.

1961

Following on the success of Yamaha archery

equipment, the company develops and markets

the first FRP skis. Yamaha diversifies into the

manufacture and sales of alloys.

1962

Yamaha Recreation Co., Ltd., is formed.

1964

Yamaha holds the first Electone Concours.

1965

Yamaha begins producing wind instruments.The first overseas Yamaha Music School opens

in Los Angeles.

1966

Yamaha expands into Europe with the founding

of Yamaha Europa GmbH, in West Germany.The Yamaha Music Foundation is established.Yamaha markets its first guitars and drums.Yamaha Music Schools open in Mexico, Canada

and Thailand.

1967

Yamaha opens Nemu-no-Sato, a unique resort

devoted to music as well as recreation.Yamaha unveils the CF concert grand piano.

1968

Yamaha produces its first line of hi-fi stereo

equipment.

1969

Sviatoslav Richter uses a CF concert grand for

his Italian tour.

1970

In Tokyo, Yamaha stages the First World

Popular Song Festival.

1971

Yamaha begins semiconductor production.

1972

Yamaha sponsors the First Junior Original

Concert.Yamaha launches wind instruments developed in

cooperation with the Vienna Philharmonic

Orchestra.

1974

Yamaha debuts the NS1000M speaker, with a

beryllium diaphragm, as well as the company's

first synthesizer, the CSY-1, and mixing console,

the PM-1000.Yamaha opens the Tsumagoi resort for music

and sports.In West Germany, Yamaha sponsors the first

Junior Original Concert to be held outside

Japan.

1975

Yamaha sports equipment manufacturing

diversifies into tennis rackets.Full-scale manufacture and marketing of

Yamaha fine furniture begins.

1976

Yamaha begins production of electric and

electronic pianos.

1977

Yamaha opens the Atelier for Wind Instruments

in Tokyo.

1978

Yamaha opens the Atelier for Wind Instruments

in Hamburg.

1980

Yamaha opens the Piano Technical Academy in

Tokyo.PortaSound, a portable keyboard, is marketed.

1982

Yamaha develops a line of carbon composite golf

Yamaha introduces a compact disc player, the

CD-1.Yamaha markets its first Disklavier.

1983

Yamaha markets the Clavinova, an electronic

piano, and the DX-7 Digital Synthesizer.Yamaha debuts the CF concert grand piano.Yamaha begins production of custom-made

LSIs.

1984

Yamaha synthesizes a range of proprietary

technologies to produce its first industrial robots.

1985

The Yamaha R&D Studio opens in Tokyo.

1986

Yamaha markets the DSP-1 Digital Sound Field

Processor.The Atelier for Wind Instruments opens in

Vienna.

1987

The Piano Artist Service Center (C.E.A.A.)

opens in Paris.Yamaha opens the R&D Studio in London.In Tokyo, Yamaha stages the First Band

Explosion World Final.The company name is officially changed to

"Yamaha Corporation" to mark the 100th

anniversary of its founding.

1989

The Museum of Modern Art, New York,

acquires the Wind MIDI Controller WX7 for its

collection.Yamaha ships the world's first CD recorder.

1990

Yamaha opens a showroom in what was

formerly East Berlin.

1991

Production of pianos and wind instruments both

surpass the 5-million mark.The Junior Original Concert program celebrates

its 20th anniversary.The Museum of Modern Art, New York, adds

the Active Servo Processing Speaker YST-SD 90

to its collection.

1992

Fin Christian Jagge (Norway) wins a gold medal

in the Albertville Winter Olympics with

PROTO-SL skis.Yamaha receives a letter of citation from the

Vienna Philharmonic Orchestra.Kemble & Company (U.K.) receives the Queen's

Award for Export Achievement.

1993

Yamaha creates the world's first forged titanium

golf clubs.Yamaha debuts the Silent Piano series, the VL1

and VP1 Virtual Acoustic Synthesizers, and the

CD-Recorder CDE-100, CDE-100H10.

1994

Yamaha markets the Grand Piano Silent Series.

1995

Yamaha introduces the Silent Brass System and

the GranTouch digital piano.

1996 Yamaha releases the DTX Silent Session Drum.

1997

Yamaha Kagoshima Semiconductor facilities

achieve ISO14001 Certification.Stanford University and Yamaha unveil the

Sondius-XG joint licensing program.Ryuichi Sakamoto debuts Internet MIDI Live.Yamaha markets a Silent Violin.

1998

Kakegawa Piano Factory and Yamaha

Electronics Manufacturing (Malaysia) Sdn. Bhd.

achieve ISO14001 Certification.Denis Matsuev plays a CFIIIS concert grand to

place first in the Tchaikovsky International

Piano Competition.Yamaha markets a Silent Cello.Yamaha combines proprietary technologies to

create the Digital Sound Field Processor, a

standard-setting home theater system.

1999

Yamaha's Iwata Metal, Yamaha Metanix Inc.

and Saitama Brass factories achieve ISO14001

Certification.Yamaha markets a multimedia speaker system

for PCs.

2000

Yamaha launches the mLAN (New Digital

Network Interface Technology) Licensing

Campaign.

Yamaha begins Mobile Phone Ringer Melody

Distribution Service in Japan and Taiwan.

Yamaha crafts a selection of commemorative

pianos to celebrate one hundred years of piano

manufacturing.

Yamaha founds a record company, Yamaha

Music Communications Co., Ltd.

2001

Yamaha establishes Audio & Video Products

Sales Subsidiary in Shanghai.

All Yamaha Production Sites achieve ISO14001

Certification.

Yamaha establishes Musical Instrument Sales

Subsidiary in South Korea.

Yamaha markets a Silent Guitar.

2002

Yamaha closes Archery Products Business.

Yamaha markets a Silent Viola.

Yamaha markets an Elecrtic Violin.

Yamaha establishes Investment Holding

Company in China

Yamaha establishes AV/IT Manufacturing

Company in Suzhou,

China, Yamaha

Electronics (Suzhou) Co., Ltd., .

Yamaha establishes Holding Company in

Europe.

2003 Yamaha markets "Vocaloid" Singing Synthesis

Technology.

Yamaha establishes Musical Instrument

Manufacturing Subsidiary in China

Yamaha withdraws from CD-R/RW Business

PRODUCTS

&

SERVICES

PRODUCTS & SERVICES

ProductsMusical Instruments

Music Production

Professional Audio

Consumer Audio &

Video

Computer

Peripheral

LSI & Electronics

Devices

IP Conference

System

Software

Country & Regions:

North America

Canada

Europe

United States

Austria

Belgium

Latin America

Brazil

Denmark

France

Asia / Middle East / Africa / Oceania

Australia

Brunei

Cambodia

China

Mexico

Germany

India

Ireland

Korea

Italy

FINANCIAL

HIGHLIGHTS

Financial Highlights

Yamaha Corporation and Consolidated Subsidiaries

Years ended March 31

Millions of Yen

Millions

of U.S.

Dollars

(Note 2)

FY2004.3 FY2005.3 FY2006.3 FY2007.3 FY2008.3 FY2008.3

For the year:Net sales (Note 1) ¥539,506 ¥534,079 ¥534,084 ¥550,361 ¥548,754 $5,477.13 Operating income 45,056 35,695 24,135 27,685 32,845 327.83 Net income 43,541 19,697 28,123 27,866 39,558 394.83

At year-end:Total net assets ¥259,731 ¥275,200 ¥316,005 ¥351,398 ¥343,028 $3,423.77 Total assets 508,731 505,577 519,977 559,031 540,347 5,393.22

Yen

U.S.

Dollars

(Note 2)

Per share:Net income ¥210.63 ¥95.06 ¥136.04 ¥135.19 ¥191.76 $1.91 Net assets 1,259.28 1,334.51 1,532.62 1,680.91 1,646.44 16.43 Cash dividends

(Note 3)15.00 20.00 20.00 22.50 50.00 0.50

Notes:1. Figures for net sales do not include national consumption tax.

2. U.S. dollar amounts are translated from yen, for convenience only, at the rate of

¥100.19=US$1.00, the approximate rate of exchange on March 31, 2008.3. A per-share dividend for FY2008.3 includes special dividend of ¥20.

Corporate Citizenship

Products and Services Attuned to People's Needs, in Harmony with the Environment

At Yamaha, we believe that our most fundamental reason for being is to contribute

to the enhancement of the quality of life everywhere we do business. Here are three

of the most important ways we work to achieve that goal.

Making Music Around the World: The Yamaha Music Foundation

Since its creation in 1966, the Yamaha Music Foundation has coordinated an

enormous range of Yamaha corporate endeavors, all dedicated to nurturing and

enhancing the love of music around the world. In addition to our network of

Yamaha Music Schools, now operating in more than 40 countries, we sponsor

concert series and special events that include Junior Original Concerts and the

International Electone Concours/Festival.

Placing Top Priority on Environmental Issues

Recognizing our relationship with the environment as a vital aspect of our corporate

activities, Yamaha is committed to environmental preservation. In 1993, we

formulated our Environmental Action Plan, adopting voluntary management

standards stricter than legally mandated ones. Our numerous environmental

preservation initiatives include the elimination of ozone-depleting substances from

our manufacturing processes, the adoption of energy conservation policies, the

reduction of waste products, and commercialization of environmentally sound

products.

By March 2003, all of our production facilities in Japan and overseas and the

majority of our resort facilities had acquired ISO14001 environmental management

certification, and we are working to extend this certification throughout our

organization.

Yamaha's Global Commitment

Although Yamaha was "born" in Japan, we are today one of the most cosmopolitan

and international companies in our industry, with a network of subsidiaries and

joint ventures in some 20 countries in the Americas, Asia, the Pacific and Europe.

Our manufacturing facilities are spread over 15 locations in seven different

countries. And our products and services are enjoyed by people in virtually every

nation and region on the planet.

At Yamaha, we believe that the love of music is shared by all people. In all our

activities, we are committed to making the world a better, more enjoyable place to

live by enhancing and extending the joys of music to every corner of the globe.

That's why our corporate credo is Creating 'Kando' Together.

Hierarchial Structure of Yamaha Motor Limited

1. Senior Management

• Executive Director

• Vice President

• Associate Vice President

• Chief General Manager

• Deputy General Manager

2. Middle Management

• Department Chief Manager

• Manager

• Assistant Manager

3. Junior Management

• Senior Superintendent

• General Supervisor / Superintendent / Senior Engineer

• Supervisor / Assistant Superintendent / Engineer

REASONS FOR NOT PURCHASING A MOTORCYCLE

15

39 39

42

51

0

10

20

30

40

50

60

FAMILY CANNOTBE

ACCOMODATED

HIGH PRICE UNSAFE UNECONOMICAL NO CARRYINGSPACE

%

DISTRIBUTION

NETWORK

Distribution Network

Yamaha Motor Limited has a very systematic and well developed distribution

network. It uses a very simple, Two-way distribution system, to reach out to its

customers which is as follows :

There are two movements involved in the above distribution system :

1. Primary Movement - From the Plant to the Depot

2. Secondary Movement - From the Depot to the Dealer

Its distribution network covers 500 dealers (which consists of 250 main dealers and

other sub-dealers and stockists) through 22 depots spread all over the country. With

such an extensive distribution network, Yamaha Motor Limited is sure to reach

every part of the country.

Working of the Distribution Network

The working of the distribution network is quite easy to understand. Before the

motorcycles leave the plant, they are levied with the excise, after that they are

transported safely to the depots from where they are transported to the retailers

and then finally to the customers.

Special Cases

There are some special cases in which the delivery of the motorcycles is to be

hurried due to increased demand in a short span of time. Here the distribution

network, which is followed, is as follows:

Over a span of few decades, Yamaha has developed a sound and efficient

distribution system by building good and healthy relations with the depot incharges

and the retailers. Yamaha also provides the necessary incentives to the depots and

the dealers when required.

Benefits from summer training at yamaha motors limited

Summer training in Yamaha Motor Limited was my first step into the corporate

world. It was a great learning experience for me and helped me to a great extent in

acquiring skills that are essential for working in an organisation. This exposure also

helped me in improving my interpersonal and communication skills. I have now

understood the importance of discipline in life and strongly feel that to be successful

in life, one has to be disciplined and focused.

The training proved to be very beneficial for me as it helped me in inculcating

various skills which are as follows:

Team Working

The work environment at Yamaha Motor Escorts Limited gave me an opportunity

to explore my team working skills and gave me a better understanding of how to

work in co-ordination with my colleagues as a team which is a pre-requisite for any

successful corporate house.

Communication Skills

There was a lot of interaction with all types of people working in the organization.

These people included my colleagues, my project guide and other employees. This

helped in improving my interpersonal skills as I learnt to put forward my ideas and

suggestions using the right words and phrases. For the collection of the primary

information on motorcycle segment, I had to communicate with the dealers which

improved my verbal skills. For getting the questionnaires filled by the respondents,

sometimes I had to interact with them in the local language.

After the completion of the project, I submitted a formal report to Yamaha Motor

Escorts Limited, which improved my writing skills.

Time Management

“Waste of time is a waste of money”. I realized the importance of this phrase during

my one and a half months of summer training. The organization environment,

which I was exposed to, enhanced my time sensitivity and taught me how useful it is

to manage your time and finish the work assigned in time. Regular going to

workplace and reporting on time helped me use my time in the most efficient

manner.

Data Analyzing Skills

The data collected by me through questionnaires had to be analysed and put in a

desired manner. I was required to present the data in the form of diagrams

including pie charts, bar diagrams, multiple bar diagrams, which greatly helped me

enhance my analytical skills.

Computer Skills

In the course of my training, I got an opportunity to work on different computer

programs like MS Excel, MS PowerPoint, etc., which helped me improve my

knowledge about computers. Also for the collection of some primary data, I had to

surf the net, whereby I learnt to work my way around the net.

Decision-Making Skills

As I was given the authority to frame the questionnaires, some important decisions

regarding the framework of questionnaires had to be taken by me. This made me

realize that decision-making is an integral part at every level in the corporate

hierarchy and helped me to take quicker and wiser decisions.

Listening Skills

I also developed very good listening skills during my summer training project. I had

to be very attentive while listening to the instructions given by my project guide. I

also learnt the art of listening to other people’s suggestions and taking them into

account.

Personality Development

Above all the skills that I have acquired working at Yamaha Motor Escorts Limited,

the most important is the overall development in my personality. I learnt how to be

patient and tolerant towards the varied moods of the respondents. Taking decisions

and handling responsibilities boosted my self-confidence. The encouragement and

continuous support of my superiors and colleagues made me more determined and

motivated towards my work, inspite of the difficulties faced by me at every step.

Scope for Improvement

I feel that there is still a lot of scope for improvement in my personality and my

interpersonal skills. I should learn more on the art of interacting with people.

I would like to conclude by saying that my summer training experience helped me in

preparing for my future pursuits and encouraged me to believe in my abilities. The

constant encouragement by my superiors motivated me to do the best and helped

me to look at every obstacle as a springboard to success.

FACTORS INFLUENCING PURCHASE

47

4240

29

24

15

11

0

5

10

15

20

25

30

35

40

45

50

MECHANIC

FAMILY/F

RIENDS

NEWSPAPER A

DS

DEALER

TV ADS

MAGAZINE V

IEW

S

ON ROAD V

ISIB

ILITY

SELECTION CRITERIA

71

3432

29

21

17

13 129

0

10

20

30

40

50

60

70

80

FUEL E

CONOMY

PRICE

LOOKS

DURABILI

TY

PICKUP

MAINTAI

NENCE COST

POWER

BRAND IMAGE

RESALE V

ALUE

%

Progression of Products of Escorts Group

A chronological view of introduction of Escorts’ products

1954 - Piston rings and cylinder lines tractors

1962 - Motorcycle, Railway couplers

1963 - Automatic shock absorbers

1965 - Escorts tractors

1969 - Ford tractors

1960 - Pistons

1961 - Assembly of

1971 - Industrial and Construction equipment

1979 - Excavator loaders

1981 - Yamaha RX100 (100cc motorcycle)

1985 - Electronic EPABX

1991 - Harvester combines

1992 - VSAT satellite communication systems

1994 - Manufacture of 50cc moped

1996 - Joint venture with Yamaha Motor Company, Japan

Additional Information on YML

Company Name : Yamaha Motor Limited

Location : Faridabad (Suburb of New Delhi)

Established : November, 1995

Representative Director : Mr. Tadayoshi Suganuma (Currently Joint Managing

Director of YMEL)

Capital : 270 million rupees (approx. 6.2 million U.S. dollars)

Employees : Approx. 3,400

Site Area : 404,182 m2

Building Area : 111,446 m2

Business : Manufacture and marketing of motorcycles

Projected Sales : FY 2003 : Approx. 440,000 units/year (approx. 14.9 billion rupees

or 343 million U.S. dollars)

Competitors Key Players

The key players in the motorcycle segment are as follows :

The motorcycle majors - Hero Honda, Yamaha Motor Ltd., TVS -Suzuki &

Kawasaki Bajaj dominate the industry. These players account for about 92% of the

total motorcycle sales. These four players cover both categories of motorcycles, the 2

- stroke and the 4 - stroke models. Hero Honda and Kawasaki Bajaj industries are

involved in the production of 4-stroke models only. TVS - Suzuki is providing only 2

- stroke models. Whereas Yamaha Motor Ltd. is the only group to produce both 2

-stroke and 4 - stroke models.

In present scenario, the Hero Honda group is the market leader in motorbike

industry. They are producing models which are highly appreciated by the customers

and match with the market demand and requirements.

Low sales of Yamaha crux

An ambitious target of doubling sales this year to three lakh motorcycles

The Yamaha Crux made a very quiet and unannounced entry, without much

fanfare as a first taste of Japanese strategy after Yamaha took 100% control over

the joint venture with Escorts. The bike therefore does not carry the latter name.

Obviously they felt that price alone was the sole criterion. At almost 9,000 rupees

less than their earlier offering –the YBX, there is some sense in this and the Crux

has crossed in 2 months the sales figure of the YBX, even without any advertising.

REASONS FOR NOT PURCHASING A MOTORCYCLE

15

39 39

42

51

0

10

20

30

40

50

60

FAMILY CANNOTBE

ACCOMODATED

HIGH PRICE UNSAFE UNECONOMICAL NO CARRYINGSPACE

%

DID YOU KNOW ABOUT CRUX AT THE TIME OF BUYING YOUR BIKE

37%

63%

YES

NO

DID YOU GO TO SEE CRUX AT ANY OF YMEL DEALER

39%

61%

YES

NO

HOW DO YOU KNOW ABOUT CRUX

7

10 10

3

10

2

9

0

2

4

6

8

10

12

TV COMMERCIA

L

FRIEND O

WNS IT

ON ROAD V

ISIB

ILIT

Y

YMEL DEALE

R

ANY OTHER

MECHANIC

NEWSPAPER A

DS

DID YOU GO FOR TEST DRIVE OF CRUX

27%

73%

YES

NO

REASONS FOR NOT LIKING CRUX

2%

12%

5%

25%

3%

28%

8%

17% BRAND IMAGE

POOR MILEAGE

REPUTATION OF DEALER NOTGOOD

COLOURS

LESS POWER

FRIENDS DID NOT ADVISE

MECHANIC DID NOT ADVISE

BODY STYLING

DID YOU KNOW ABOUT CRUX AT THE TIME OF BUYING YOUR BIKE

37%

63%

YES

NO

DID YOU GO TO SEE CRUX AT ANY OF YMEL DEALER

39%

61%

YES

NO

FROM WHERE DID YOU COME TO KNOW ABOUT CRUX

22

20

18

13

98

4

0

5

10

15

20

25

FRIEND O

WNS IT

NEWSPAPER A

DS

ON ROAD V

ISIB

ILIT

Y

TV COMM

ERCIAL

ANY OTHER

MECHANIC

YMEL DEALE

R

%

FUNCTIONS

OF

THE

DEPARTMENTS

Functions Of The Various Departments In Yamaha Motor Limited

To understand the working of the complete plant, one has to know the working of

each department.

Functions have been divided into five important departments:

• Manufacturing Operations

• Marketing

• Product Engineering

• Finance

• Project

Manufacturing Operations

The group comprises of manufacturing engineering, industrial engineering,

planning and control, material, manufacturing, quality control and inspection, plant

engineering/maintenance, personnel, administration & finance.

Manufacturing Engineering

Manufacturing engineering comprises of process engineering, project planning , tool

room, tool maintenance, CNC machines and tooling S.P.M capital budgeting.

Usefulness Of The Project

The project carried out by me proved to be very beneficial. The parties which got

the benefits include :

Yamaha Motor limited

• We were able to identify the lack of awareness about Yamaha Crux. This would

certainly help Yamaha in framing its future promotional policies.

• The weaknesses and the threats, which Yamaha Crux is facing were also

identified in the SWOT Analysis. This would help YML in taking some

preventive measures.

• In the SWOT Analysis, some important opportunities were identified. This

would help YML as it could make use of these opportunities.

Customers

• Through the market survey, we were able to identify the reasons why people did

not like Crux. So this would invariably help the customers because they will get

a product, which suits their taste.

• With more promotional activities as suggested by me, the customers will be able

to identify the product.

Stakeholders

• With the increase in the awareness level of Yamaha Crux, more and more people

will buy it, thereby increasing the profits of the company, which will directly

benefit the shareholders.

Distributors

• They will now get more incentives than before.

• If the profit of the company increases, their profit will also increase.

LIMITATIONS

Limitations

Although the research work carried out was successful, but there were some

limitations, which are as follows:

• Duration for the training was short.

• Respondents might not have given the correct information.

• The sample area was concentrated to New Delhi only and other cities could not

be covered due to lack of time.

• The sample size of the research was very small, which may have given some

wrong picture.

CONCLUSIONS

Conclusion (Switch Over Trends)

In the scooter market, our main objective was to find out the number of customers

who want to shift from scooters to motorcycles.

Analyzing the market survey, we concluded that:

34% of the scooter owners plan to buy a motorcycle in the future. Out of these 34%

customers:

33% customers want to buy within 1 year

33% customers want to buy after 1 year

19% customers want to buy within 6 months

10% customers want to buy within 3 months

5% customers want to buy within 1 month

66% of the scooter owners do not plan to buy a motorcycle in future. From these

66% customers, we enquired about the awareness of Yamaha Crux and the results

were as follows:

65% customers do not know about Yamaha Crux

35% customers know about Yamaha Crux

RECOMMENDATIONS

Recommendations

However the company implemented the change process effectively, but there were

still some weaknesses. So, I would recommend some ideas, which the company could

have implemented for a successful change process and I will also give some

recommendations on future measures, which the company can take to bring about

effective change. These are as follows:

• YMI went for the installation of new machinery to cope up with the

technological changes. Instead of installing the new machinery, they could have

got the old machinery upgraded. This would have saved a lot of extra cost

incurred.

• YMI must respond to changes in its environment quickly. When competitors

introduce new products or services, government agencies enact new laws,

important sources of supply go out of business, or similar environmental

changes take place, YMI should respond quickly and should make plans to

implement changes so as to bring about an effective and a planned change

process. This type of a change process will ensure less resistance from the

employees.

• YMI must try to build good relations between employees in the organization, as

the people working in the organization are a mixture of Japanese and Indians,

which are totally different cultures. So maximum co-ordination between the

Indians and the Japanese employees should be forced so as to improve the

overall efficiency of the employees.

• To improve the working environment within the organization, YMI should

organize cultural programmers so as to get the Japanese and the Indian culture

together. This would fill up the cultural gaps between employees in the

organization and they would respect each other’s cultures, which in turn is good

for a bright future of the company.

• They should do advertising of the Yamaha crux, as when this bike was

introduced there was no publicity at all so, I recommend there should high

level publicity so that it create awareness in the market. As awareness will

create demand automatically.

QUESTIONNAIRE

QUESTIONNAIRE (Scooter Owners)

NAME : __________________

PHONE : _________________

AGE : ____________________

ADDRESS : _______________

OCCUPATION :

� BUSINESS � SERVICE � SELF EMPLOYED

� STUDENT � OTHERS

MONTHLY INCOME (in Rs) :

� 5000 - 10000 � 10000 - 15000 � 15000 - 20000

� 20000 - 25000 � 25000 & ABOVE

MARITAL STATUS :

� SINGLE � MARRIED

IF MARRIED, HOW MANY MEMBERS ARE THERE IN YOUR FAMILY :

� TWO � THREE � FOUR

� FIVE � FIVE & ABOVE

Q1) WHICH SCOOTER DO YOU OWN

MODEL: ________________

YEAR: __________________

Q2) WHCH VEHICLE DID YOU OWN PREVIOUSLY

_________________________

Q3) WHY DID YOU PURCHASE THIS SCOOTER (MARK ONE OR MORE

CHOICES)

� BETTER FUEL EFFICIENCY � MORE POWER

� BETTER STYLING � LOW MAINTENANCE

� REASONABLE PRICE � SAFETY

Q4) WHAT INFLUENCED YOU TO BUY THIS SCOOTER (MARK ONE OR

MORE CHOICES)

� SPOUSE � CHILDREN � SELF

PERCEPTION

� PARENTS � FRIENDS � MECHANIC

� FINANCE SCHEMES � ADVERTISEMENT

Q5) HOW WOULD YOU EVALUATE YOUR PRESENT SCCOTER

GOOD AVERAGE POOR COMMENTS

MILEAGE � � � ____________

STYLING � � � ____________

POWER � � � ____________

MAINTENANCE � � � ____________

STABILITY � � � ____________

STARTING � � � ____________

Q6) FOR WHAT PURPOSE DO YOU GENERALLY USE YOUR SCOOTER

� FOR GOING TO WORK � FOR GOING TO COLLEGE

� FOR FAMILY PURPOSE � FUN RIDING

Q7) DO YOU PLAN TO BUY A MOTORCYCLE

� YES � NO

IF YES, GO TO Q9) & PROCEED FURTHER

OTHERWISE, ATTEMPT Q8) & STOP

Q8) IF NO, WHAT ARE THE REASONS (MARK ONE OR MORE CHOICES)

� UNECONOMICAL � HIGH PRICE � FAMILY CANNOT BE

ACCOMODATED

� UNSAFE � NO CARRYING SPACE

Q9) IF YES, WHY DO YOU WANT TO BUY A MOTORCYCLE (MARK ONE

OR MORE CHOICES)

� MORE POWER � ECONOMY/MILEAGE � BETTER

STYLING

� MORE COMFORTABLE � MORE SAFE � OTHER

REASONS

Q10) WHICH KIND OF MOTORCYCLE DO YOU WANT TO PURCHASE

� TWO STROKE � 100CC � 125CC

� FOUR STROKE � 150CC � 150CC & ABOVE

Q11) WHEN ARE YOU PLANNING TO BUY A MOTORCYCLE

� WITHIN 1 MONTH � WITHIN 3 MONTHS

� WITHIN 6 MONTHS � WITHIN 1 YEAR

� AFTER 1 YEAR

Q12) WHICH OF THE AVAILABLE MOTORCYCLES DO YOU WANT TO

PURCHASE (MARK ONE OR MORE CHOICES)

� SPLENDOR � CALIBER � YAMAHA RX135

� PASSION � YBX 125 � BOXER

� CBZ � FIERO � LML

� SAMURAI � CD 100/SS � ANY OTHER

__________

Q13) WHY DO YOU WANT TO GO FOR THIS PARTICULAR MODEL (MARK

ONE OR MORE CHOICES)

� FUEL EFFICIENCY � LOW MAINTENANCE � BETTER

STYLING

� MORE POWER � BRAND IMAGE � DURABILITY

� REASONABLY PRICED � BETTER FINANCIAL SCHEMES

� TWO STROKE � FOUR STROKE � ANY OTHER

Q14) WHICH NEWSPAPER DO YOU READ

_________________________

Q15) AT WHAT TIME DO YOU GENERALLY WATCH TELEVISION

� 6 PM - 8 PM � 8 PM - 10 PM � 10 PM - 12 PM � ANY OTHER

TIME

Q16) WHICH CHANNELS AND PROGRAMMES DO YOU GENERALLY

WATCH

1._________________________

2._________________________

3._________________________

Q17) DO YOU KNOW ABOUT YAMAHA CRUX

� YES � NO

Q18) FROM WHERE DID YOU COME TO KNOW ABOUT YAMAHA CRUX

(MARK ONE OR MORE CHOICES)

� TELEVISION � NEWSPAPER � FRIENDS � MAGAZINE

� MECHANIC � DEALER � ON ROAD VISIBILITY

� ANY OTHER _______________

Q19) DO YOU KNOW THAT YAMAHA CRUX IS REASONABLY PRICED AND

GIVES A GOOD MILEAGE

� YES � NO

Q20) YOUR IDEA ABOUT THE FOLLOWING

SPLENDOR

PRICE __________

MILEAGE _______

CALIBER

PRICE __________

MILEAGE _______CD 100/SS

PRICE __________

MILEAGE _______

CRUX

PRICE __________

MILEAGE _______

QUESTIONNAIRE (Splendor / Caliber / CD 100/SS Customers)

NAME : __________________

PHONE : _________________

AGE : ____________________

ADDRESS : _______________

OCCUPATION :

� BUSINESS � SERVICE � SELF EMPLOYED

� STUDENT � OTHERS

MONTHLY INCOME (in Rs) :

� 5000 - 10000 � 10000 - 15000 � 15000 - 20000

� 20000 - 25000 � 25000 & Above

MARITAL STATUS :

� SINGLE � MARRIED

IF MARRIED, HOW MANY MEMBERS ARE THERE IN YOUR FAMILY :

� TWO � THREE � FOUR

� FIVE � FIVE & Above

VEHICLE OWNERSHIP DETAILS :

PREVIOUS VEHICLE CURRENT VEHICLEMODEL : _______________

YEAR : _________________

MODEL : _______________

YEAR : _________________

USAGE : _____ Km/Day (AVERAGE)

PILLION RIDING (%) : � OFTEN � SOMETIMES

Q1) WHICH FACTORS INFLUENCED YOU TO BUY THIS MOTORCYCLE

(RANK FIRST 3 PRIORITIES)

� TV ADS � PRINT/NEWSPAPER ADS

� DEALER � MECHANIC

� FAMILY/FRIENDS � AUTO MAGAZINE VIEWS

� ON ROAD VISIBILITY

Q2) WHILE SELECTING, WHICH OF THE FEATURES WERE THE MAIN

CRITERIA (RANK FIRST 3 PRIORITIES)

� PRICE � BRAND IMAGE

� FUEL ECONOMY � LOOKS/STYLING

� DURABILITY � LOW MAINTENANCE COST

� PICKUP � POWER

� RESALE VALUE

Q3) IMPRESSION ABOUT YOUR MOTORCYCLE

GOOD AVERAGE POOR COMMENTS

LOOKS � � � ___________

POWER � � � ___________

PICKUP � � � ___________

MAINTENANCE COST � � � ___________

(MARK GOOD IF LESS MAINTENANCE COST)

RIDING COMFORT � � � ___________

STABILITY � � � ___________

OTHER _____________ � � � ___________

Q4) WHAT IS THE FUEL EFFICIENCY (EXPECTED, IF NOT CALCULATED)

OF YOUR MOTORCYCLE

a) CALCULATED __________ b) EXPECTED __________

[ONLY ONE OF THE ABOVE IS TO BE FILLED]

Q5) WHICH NEWSPAPER DO YOU GENERALLY READ

__________________________

Q6) WHICH TV CHANNELS DO YOU GENERALLY WATCH

1. _______________________

2. _______________________

3. _______________________

Q7) BEFORE PURCHASING YOUR BIKE, COMPARISON WITH WHICH

OTHER MODEL DID YOU MAKE AND WHY

MODEL : __________ REASONS : _______________

__________ _______________

__________ _______________

Q8) DID YOU KNOW ABOUT YAMAHA CRUX AT THE TIME OF BUYING

YOUR MOTORCYCLE

� YES � NO (IF NO, PLEASE DO NOT ATTEMPT FURTHER)

IF YES,

Q9) HOW DO YOU KNOW (MARK ONE OR MORE CHOICES)

� NEWSPAPER ADS � TV COMMERCIAL � FRIENS OWNS IT

� YAMAHA DEALER � MECHANIC � ON ROAD

VISIBILITY

� ANY OTHER __________

Q10) DID YOU GO TO SEE CRUX AT ANY OF YAMAHA’S DEALER OUTLET

� YES � NO

Q11) DID YOU HAPPEN TO TESTDRIVE CRUX ANY TIME

� YES � NO

Q12) REASONS FOR NOT LIKING CRUX (MARK ONE OR MORE CHOICES)

� HIGH PRICE

� POOR MILEAGE

� HIGH MAINTENANCE COST

� BRAND IMAGE NOT GOOD

� FRIENDS DID NOT ADVISE

� MECHANIC DID NOT ADVISE

� REPUTATION OF DEALER NOT GOOD

� POOR BODY STYLING

� COLOURS/GRAPHICS NOT GOOD

� LESS POWER

Q13) DO YOU KNOW THAT YAMAHA CRUX IS REASONABLY PRICED AND

GIVES A GOOD MILEAGE

� YES � NO

Q14) WHAT IS YOUR PERCEPTION OF THE PRICE (Ex - Showroom) AND

MILEAGE OF THE FOLLOWING MODELS

SPLENDOR

PRICE __________

MILEAGE _______

CALIBER

PRICE __________

MILEAGE _______CD 100/SS

PRICE __________

MILEAGE _______

CRUX

PRICE __________

MILEAGE _______

BIBLIOGRAPHY

BIBLIOGRAPHY

www.yamahamotor.com

www.google.com

www.wikipedia.com

Books:

Research & Methodology : C. R. Kothari