COMPANY PROFILE

Bajaj Auto Ltd is one of the leading two & three wheeler manufacturers in India. The company is well known for their R&D, product development, process engineering and low-cost manufacturing skills. The company is the largest exported of two and three-wheelers in the country with exports forming 18% of its total sales.

The company has two subsidiaries, namely Bajaj Auto International Holdings BV and PT Bajaj Indonesia. The company was incorporated on April 30, 2007 as a wholly owned subsidiary of erstwhile Bajaj Auto Ltd (the holding company) with the name Bajaj Investment & Holding Ltd. The company received the certificate of commencement of business on May 7, 2007. The holding company operated in the segments, such as automotive, insurance and investment, and others. Considering the growth opportunities in the auto, wind-energy, insurance and finance sectors, the holding company de-merged their activities into three separate entities, each of which can focus on their core businesses and strengthen competencies.

The auto business of the holding company along with all assets and liabilities pertaining thereto including investments in PT Bajaj Auto Indonesia and in a few vendor companies transferred to Bajaj Investment & Holding Ltd. In addition a total of Rs. 15,000 million in cash and cash equivalents also transferred to Bajaj Investment & Holding Ltd. As the part of the scheme, Bajaj Holdings and Investment Ltd were renamed as Bajaj Auto Ltd. The appointed date of this de-merger was closing hours of business on March 31, 2007.

In April 9, 2007, the company inaugurated their green field plant at Pantnagar in Uttarakhand. In the first year of operations, the plant produced over 275,000 vehicles. The company's vehicle assembly plant at Akurdi was shut down from September 3, 2007 due to higher cost of production. In November 2007, Bajaj Auto International Holdings BV, a wholly owned subsidiary company acquired 14.51% equity stake in KTM Power Sports AG of Austria, Europe’s second largest sport motorcycle manufacturer for Rs. 345 crore. During the year 2007-08, the company launched XCD 125 DTS-Si and the Three-wheeler Direct

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HISTORY

Jamnalal Bajaj was succeeded by his eldest son, 27-year-old Kamalnayan, in 1942. Kamalnayan, however, was preoccupied with India's struggle for independence. After this was achieved, in 1947, Kamalnayan consolidated and diversified the group, branching into cement, ayurvedic medicines, electrical equipment, and appliances, as well as scooters.

The precursor to Bajaj Auto had been formed on November 29, 1945 as M/s Bachraj Trading Ltd. It began selling imported two- and The Bajaj Group was formed in the first days of India's independence from Britain. Its founder, Jamnalal Bajaj, had been a follower of Mahatma Gandhi, who reportedly referred to him as a fifth son. 'Whenever I spoke of wealthy men becoming the trustees of their wealth for the common good I always had this merchant prince principally in mind,' said the Mahatma after Jamnalal's death. three-wheeled vehicles in 1948 and obtained a manufacturing license from the government 11 years later. The next year, 1960, Bajaj Auto became a public limited company.

Rahul Bajaj reportedly adored the famous Vespa scooters made by Piaggio of Italy. In 1960, at the age of 22, he became the Indian licensee for the make; Bajaj Auto began producing its first two-wheelers the next year.

Rahul Bajaj became the group's chief executive officer in 1968 after first picking up an MBA at Harvard. He lived next to the factory in Pune, an industrial city three hours' drive from Bombay. The company had an annual turnover of Rs 72 million at the time. By 1970, the company had produced 100,000 vehicles. The oil crisis soon drove cars off the roads in favour of two-wheelers, much cheaper to buy and many times more fuel-efficient.

A number of new models were introduced in the 1970s, including the three-wheeler goods carrier and Bajaj Chetak early in the decade and the Bajaj Super and three-wheeled, rear engine Auto rickshaw in 1976 and 1977. Bajaj Auto produced 100,000 vehicles in the 1976-77 fiscal years alone.

The technical collaboration agreement with Piaggio of Italy expired in 1977. Afterward, Piaggio, maker of the Vespa brand of scooters, filed patent infringement suits to block Bajaj scooter sales in the United States, United Kingdom, West Germany, and Hong Kong. Bajaj's scooter exports plummeted from Rs.133.2 million in 1980-81 to Rs52 million ($5.4 million) in 1981-82, although total revenues rose five percent to Rs.1.16 billion. Pre-tax profits were cut in half, to Rs.63 million.

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KEY HIGHLIGHTS

• 1926- Bajaj Group was found by Jamnalal Bajaj

• 1956- It secured a license from the GOI

• 1960- It went public & collaborated with Piaggio

• 1961- Production of Scooters started

• 1962- Production of Three Wheelers started

• 1971- Scooters were sold under the Bajaj brand

• 1972- BAL introduced the Bajaj “Chetak” Scooters

• 1975- BAL entered into a joint venture with Western Maharashtra Development Corporation

• 1986- BAL entered into a technical partnership with Kawaski Heavy Industries & launched the Kawasaki- Bajaj

• 1990- The Bajaj “Sunny” was introduced

• 1997- BAL launched “Bajaj Boxer”

• 1998- BAL introduced “Bajaj Caliber”

• 1999- BAL launched “Brave”, a geared scooter

• 2000- BAL launched “Saffire”, a gearless scooter

• 2001- It introduced the “Pulsar”

• 2004- BAL created a new Logo

• 2005- The “Saffire” was relaunched as the “Wave”

• 2006- BAL launched the “ Platina”

COMPANY STRUCTURE

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A] Board of Directors

Mr. Rahul Bajaj - Executive Chairman

Rahul Bajaj (b. June 10, 1938) is an Honors Graduate in Economics and Law and did his MBA from Harvard Business School. He has been the Chief Executive Officer of Bajaj Auto since 1968.

Mr. Rajiv Bajaj - Managing Director, Chief Executive Officer and Executive Director

Rajiv Bajaj graduated first in class, with distinction, in Mechanical Engineering from the University of Pune in 1988, and then completed his masters in Manufacturing Systems Engineering, with distinction, from the University of Warwick in 1990.

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.

Mr. Madhur Bajaj (59) - Executive Vice Chairman

Graduated in commerce from Sydenham College, Bombay, in 1973, and did his MBA from the International Institute of Management Development (IMD), Lausanne, Switzerland, in 1979. He is the recipient of the Vikas Rattan Award from the International Friendship Society of India, for enriching human life and outstanding achievements.

Mr. Sanjiv Bajaj (42) - Executive Director

B E (Mech), first class with distinction from the University of Pune, M Sc (Manufacturing Systems Engineer) with distinction from the University of Warwick, U K and MBA from Harvard Business School, U S A.

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B] Management Committee:-

Directors:-

D J BALAJI RAO (71)Is a mechanical engineer from the University of Madras and holds a postgraduate diploma in industrial engineering from Bombay University. He attended the advanced management programme at the European Institute of Business Administration (INSEAD) at Fontainebleau, France, in 1990.

D S MEHTA (75)Is an honours graduated in commerce from Mumbai University. He is a fellow member of both the Institute of Chartered Accountants of India and the Institute of Company Secretaries of India. He has been associated with the Bajaj Group of companies since 1966 and has more than 30 years experience in corporate law, taxation, finance and investment.

J N GODREJ (62)Did his graduate studies in mechanical engineering and his masters in Business Administration from the Illinois Institute of Technology, USA.

KANTIKUMAR R PODAR (76)Graduated in commerce from Sydenham College of Commerce And Economics, Bombay. He has been the president of SAARC chambers of commerce and industry with headquarters in Pakistan.

MANISH KEJRIWAL (43)He received an AB from Dartmouth College, where he graduated Magna Cum Laude with a major in Economics and Engineering Services. He holds an MBA from Harvard University, where he graduated with high distinction as a Baker Scholar. While at HBS, he led two research projects and was elected as co-President of the South Asian Business Club. He has been on the board of Bajaj Auto Ltd since September 15, 2004.

NANOO PAMNANI (66)Is B A (Hons), B Sc (Economics) from London School of Economics. He is the non-executive chairman of Citibank, N A, and India. He has held many important positions and handled various assignments in India and abroad during his long career with Citibank.

NARESH CHANDRA (77)He was educated at Allahabad and obtained M.Sc. (Maths) degree from the Allahabad University. He was a lecturer in the Allahabad University for a short period.

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NIRAJ BAJAJ : (57)Niraj Bajaj did B Com from Sydenham College of Commerce & Economics, Mumbai and Masters in Business Administration from Harvard Business School, Boston, USA.

P MURARI (77)P Murari having done M A (Economics) from Madras University joined the Indian Administrative Service (IAS) in which he served from 1957 till 1992.During his illustrious career as a civil servant, he has held many distinguished 

S H KHAN (73)S. H. Khan holds a masters degree in commerce from the University of Bihar with two gold medals. He is also an alumnus of the International Management Institute, Ganeva. He is a past chairman of the Industrial Development Bank of India (IDBI).

SHEKHAR BAJAJ (63)Shekhar Bajaj (born on June 8, 1948) is an honours graduate in science from Pune University with an MBA from New York University. He started his career as resident director of Bajaj Sevashram Ltd in Udaipur in 1968.

SUMAN KIRLOSKAR (76)Suman Kirloskar is a science graduate. A well-known social worker, Ms Kirloskar is actively involved in the welfare of women and children. She is associated with the Mahila Seva Mandal (a rescue home for women and their children) and Empress Garden as chairperson. She is also the chairperson of the 40-year-old women’s industrial enterprise, Mahila Udyog Ltd, which manufactures thin walled bearings. She is a trustee of the Ravi Kirloskar Quality Prize Trust and the Sanjeevan Vidyalaya Trust.

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VISION AND MISSION

Bajaj doesn't have a straight vision or mission statement. They define it in terms of brand identity, brand essence (derived from mission) and brand values.

Brand IdentityIts Brand is the visual expression of our thoughts and actions.It conveys to everyone their intention to constantly inspire confidence.Customers are the primary audience for their brand.Indeed, their Brand Identity is shaped as much by their belief in Bajaj as it is by their own vision.Everything they do must always reinforce the distinctiveness and the power of their brand.They can do this by living their brand essence and by continuously seeking to enhance their customers’ experience.In doing so, Bajaj Auto Ltd. ensures a special place for themselves in the hearts and the minds of their customers.

Brand EssenceTheir Brand Essence is the soul of their brand.Their brand essence encapsulates their mission at Bajaj.It is the singular representation of their terms of endearment with their customers.It provides the basis on which they grow profitably in the market.Their Brand Essence is Excitement.Bajaj strives to inspire confidence through excitement engineering.Blending together youthful creativity and competitive technology to exceed the spoken and the implicit expectations of their customers.By challenging the given. By exploring the unknown and thereby stretching them towards tomorrow, today.

Brand ValuesThey live their brand by its values of Learning, Innovation, Perfection, Speed and Transparency.Bajaj will constantly inspire confidence through excitement engineering.

Learning:Learning is how we ensure proactively.It is a value that embraces knowledge as the platform for building well informed, reasoned, and decisive actions.

Innovation :Innovation is how we create the future.

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It is a value that provokes us to reach beyond the obvious in pursuit of that which exceeds the ordinary.

Perfection: Perfection is how we set new standards.It is a value that exhibits our determination to excel by endeavoring to establish new benchmarks all the time.

Speed: Speed is how we convey clear conviction.It is a value that keeps us sharply responsive, mirroring our commitment towards our goals and processes.

Transparency: Transparency is how we characterize ourselves.It is a value that makes us worthy of credibility through integrity, of trust through sensitivity and of loyalty through interdependence.

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VARIOUS VENTURES OF BAJAJ AUTO LTD

“Bajaj Auto is the flagship of the Bajaj group of companies.”

Bajaj Auto ltd. operated in the main segments, such as automotive, insurance and investment, finance.

The companies come under the heading of Bajaj Auto ltd. Are as under:

Bajaj Auto Ltd. Bajaj Auto Finance Ltd. Bajaj Auto Holdings Ltd. Bajaj Allianz Life Insurance Co. Ltd

IN THIS STUDY MAINLY FOCUS ON BAJAJ AUTO LTD.

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BAJAJ AUTO LTD.

AUTOMOTIVEINSURANCE

FINANCE etc.

Bajaj Auto Finance Ltd. :

Date of Establishment 1987 Revenue 312.252 (USD in Millions) Market Cap 23883.9890058 (Rs. In Millions) Corporate Address C/o Bajaj Auto Limited, Mumbai Pune road, Akurdi-411035, Maharashtra.

Chairperson - Rahul Bajaj Directors – Anant Damle, D J Balaji, D J Balaji Rao, D S Mehta, Dipak Potdar, Madhur

Bajaj, Nanoo Pamnani, Rahul Bajaj, Rajeev Jain, Rajendra Lakhotia, Rajiv Bajaj, Rajiv Jain, Ranjan Sanghi, Sanjiv Bajaj, Suhas Patwardhan.

Company Secretary – Anant Damle Business Operation Finance – NBFC Background Bajaj Auto Finance (BAFL), incorporated in 1987, is engaged in business of retail financing. As per the scheme of de-merger of erstwhile Bajaj Auto, the stakes held by Bajaj Auto in

BAFL were transferred to Bajaj Fiserv. Currently Bajaj Auto Finance is subsidiary of Bajaj Fiserv.

Total Income – rs.14691.4 Million ( year ending March 2011) Net Profit - Rs. 2469.6 Million ( year ending Mar 2011)

Bankers - Central Bank of India, IDBI Bank, State Bank of India Auditors – Dalal & Shah.

Bajaj Auto Holdings Ltd. :

Bajaj Holdings & Investment Limited [(BHIL) – erstwhile Bajaj Auto Limited ] was de-merged as per Order dated 18 December 2007 of the Hon’ble Bombay High Court, whereby its manufacturing undertaking has been transferred to the new Bajaj Auto Limited (BAL) and its strategic business undertaking consisting of wind farm business and financial services business has been vested with Bajaj Fiserv Limited (BFS). All the businesses and all properties, assets, investments and liabilities of erstwhile Bajaj auto Ltd, other than the manufacturing undertaking and the strategic business undertaking, now remain with BHIL.

Post-demerger, BHIL holds more than 30% shares each in BAL and BFS. Going forward, BHIL will focus on new business opportunities. BAL and BFS will be able to tap (on an arm’s length basis) into BHIL’s cash pool to support future growth opportunities. BHIL by having 30% stake in both BAL and BFS will benefit from the future growth of these companies.

BHIL has been registered as a Non-Banking Financial Company (NBFC) under the Registration No. N-13.01952 dated 29 October 2009 with Reserve Bank of India (RBI). The Company is classified as a ‘Systemically Important Non-deposit taking NBFC’ as per RBI Regulations.

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It may, however, be noted that:

(a) Reserve Bank of India does not accept any responsibility or guarantee about the present position as to the financial soundness of the company or for the correctness of any of the statements or representations made or opinions expressed by the company and for discharge of liability by the company.

(b) Neither is there any provision in law to keep, nor does the company keep any part of deposits with the Reserve Bank and by issuing the Certificate of Registration to the Company, the Reserve Bank neither accepts any responsibility nor guarantee for payment of deposit amount to any depositor.

Bajaj Allianz Life Insurance Co. Ltd. :

Bajaj Allianz Life Insurance Company Limited is a Union between Allianz SE, one of the world’s largest Life Insurance companies and Bajaj Auto, one of the biggest 2- &- 3 wheeler manufacturers in the world.

Allianz SE is a leading insurance conglomerate globally and one of the largest asset managers in the world, managing assets worth over a Trillion Euros (Over R. 55, 00,000crores). Allianz SE has over 115 years of financial experience in over 70 countries.

Bajaj Auto is one of the most trusted name is Indian auto for over 55 years. At Bajaj Allianz customer delight is our guiding principle. Ensuring world-class solutions by offering customized products with transparent benefits, supported by best technology is our business philosophy.

Specialties:

One of the market leaders in terms of customer satisfaction and quality processing.

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TILL DATE TWO WHEELERS OF BAJAJ AUTO LTD.

Vespa : (1960-1970) Under the license of Piaggio of Italy:

Piaggio first licensed the production of Vespa scooters in India to Bajaj Auto in the

1960s.

Bajaj Priya : (1977) :

The Bajaj Priya was a three geared scooter manufactured by Maharashtra Scooters under a license agreement with Bajaj Auto from 1975.

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Kawasaki Bajaj 4S Champion : (1991) :

It is India's first four-stroke motorcycle to have a Radical Aluminium Combustion Engine (R.A.C.E.), which is fitted vertically on the tubular chassis.

Bajaj Stride : (1991-1992) :

The Bajaj Stride was introduced in the 1991-1992 with the same technical specifications of the Bajaj Chetak and also the body, but with lots of plastics and some cosmetic changes. It was not at all aesthetic.

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Bajaj Classic : (1994) :

The Bajaj Classic SL is powered by an advanced 3-port, 7.5 bhp engine that helps in great performance and low maintenance costs.

Bajaj super excel: (1995) :

Bajaj Super Excel quite similar to the Bajaj Classic – there is only a difference in the price tag between the Super Excel and the Classic. Hence, the Super can be considered the economy version of the Classic. All its major features are similar to those of the Bajaj Classic. One can opt for the Supper Excel, if finance is the major factor in deciding which scooter to buy. With low maintenance costs and a nation-wide network of dealers, Bajaj Auto offers good after-sales support.

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Eliminator : (2001) :

Bajaj Kawasaki eliminator is 4 stroke cylinder, air cool. Displacement 173.9cc.it has electric and kick start. Has 5 speed Gear box.

Caliber115: (2003) :

Bajaj Caliber115 is a 4 stroke bike introduced in 2003 by Bajaj Auto ltd. It has a 111.6cc 4-stroke engine.

To assure fully secured and safer riding, this bike is loaded with the features like wheel base of 1260mm, drum brakes of 130 mm in the rear and disc brake (optional) of 240mm in the front, MFR indicators, optoprism halogen headlight, tail lamp etc. This Model has been discontinued.

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Bajaj Discover DTSi: (2004) :

Bajaj Discover DTSi is a 125 cc bike. The Bajaj Discover has been the highest selling 125 cc bike in India since its inception and far ahead of other bikes in its segment.

Bajaj CT 100: (2005):

The Bajaj CT 100 replaced the Bajaj Boxer. The new CT 100 sports the same four-stroke, 99.27 cc engine as the Boxer.

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Bajaj Avenger: (2005) :

The Avenger is a cruiser style motorcycle designed and manufactured by Bajaj Auto in India. It draws the styling and other design cues from the Bajaj Eliminator which had an air-cooled, single-cylinder Kawasaki engine and was sold at a premium.

Bajaj Platina : (2006) :

Bajaj Platina is a motorcycle built by Bajaj Auto. Currently there are two variants of Platina available with engine capacities of 100 and 125 cc. The 100 cc 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.

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Bajaj Wave : (2007) :

The Bajaj Wave is a motor scooter from Bajaj Auto. It is a revised Bajaj Saffire. The Wave offers a 109.7 cc DTS-i engine, CVT transmission and revised body panels.

XCD 125 DTS-Si : (2007) :

The much hyped bike from Bajaj was launched on 9th September 2007 at an ex-showroom price of just Rs 41,000.

Bajaj XCD   135   cc : (2009) :

On January 2009, a 135 cc version of XCD was launched. Bajaj reported that more than 20,000 units of XCD 135 were sold in its first month of launch Due to reduced sales, the 125 cc version was discontinued by Bajaj on November 2009, followed by the 135cc variant.

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Kawasaki Ninja 650R: (2009):

The faired Kawasaki Ninja 650R, also known as the ER-6f, and its un-faired sister model ER-6n were introduced in 2006 by Kawasaki.

2010

Bajaj released the UG 4.5 (fifth upgrade) versions of the Pulsar 150. The upgrades for the Pulsar 150 included an clip-on handlebars like those in Pulsar 135LS. Power also increased from 14.09 HP to 15.06 HP (at 9,000 rpm).

A naked version of Pulsar 220 is also launched, named as Pulsar 220S (Street Fighter) which retains everything from Pulsar 220 except the front fairing. Front fairing is similar to Pulsar 180/150. Old Pulsar 220 is now named as Pulsar 220F.

2011

Bajaj released Pulsar 150,180 and 220F with new colour combinations. New combinations were Blue-Black and Red-Black.

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THREE WHEELER SEGMENT OF BAJAJ AUTO LTD.

After at least two decades as India’s dominant three-wheeler maker, Bajaj Auto Ltd, already struggling with sagging motorcycle volumes, is losing ground to smaller rivals.

Piaggio Vehicles India Pvt. Ltd, the local arm of Italy’s Piaggio and C SpA, has claimed the lead in the overall domestic autorickshaw market so far in fiscal 2008-09, while Bajaj’s share has contracted. Even Mahindra and Mahindra Ltd, a relatively smaller player in the segment, has increased its market share to double digits.

To analysts, Bajaj’s three-wheeler division is its cash cow, owing to the higher margins it earns. The company doesn’t give its segment-wise revenue break-up, but an average of estimates by three analysts shows its autorickshaw sales accounts for about 23% of total annual revenue.

The performance of Piaggio, which is likely to remain at the top in terms of volume sales in the three-wheeler segment this year, came in a shrinking market. Sales of three wheelers have slipped at least 5% to 316,599 units, mainly because of higher borrowing costs and the economic slowdown.

R.C. Maheshwari, chief executive of Bajaj Auto’s commercial vehicle business, attributed the company’s shrinking volumes to its concentration in the cities. “It’s a question of our own presence in the so-called rural segment. We have very limited presence there.”

Mitul Shah, an analyst with First Global Securities Ltd, put Bajaj’s declining volumes down to the increasing acceptance of Piaggio, which has a stronger rural and semi-urban base, having launched several new products in the past two years.

“The declining volumes (for Bajaj) are largely due to the lack of innovative products from the company. It has been beaten by products like Mahindra Champion (company’s three-wheeler range),” said Mahantesh Sabarad, an analyst with Centrum Broking Ltd.

Vaishali Jajoo, an analyst with Angel Broking Ltd, doesn’t see Bajaj’s new launches softening the pressure on its volumes. “With the segment expanding with newer players, Bajaj’s dominance in the three-wheeler segment will continue to be threatened. The new entrants, with lower bases, will continue to grow at a faster pace,”

Bajaj still tops the passenger autorickshaw segment, which accounts for 76% of the three-wheeler market. Its market share in the passenger segment is about 46%, smaller than last year’s 55%, but well ahead of Piaggio’s 38% and Mahindra’s 10%.

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BAJAJ AUTO LTD’S 3WHEELER SEGMENT

“Bajaj Auto was one of the earliest two wheeler manufacturers in India and is now one of the world’s largest two-wheeler and three-wheeler manufacturers.”

FOLLOWING ARE THE THREE WHEELER VEHICLES OF BAJAJ AUTO LTD. :

A] Goods Carriers :

1. GC MAX Diesel :

FEATURES: Powered by Japanese Kubota Diesel Engine. Wheelbase of 2025mm, which is highest in its category. Lowest rear

overhang-34% of wheelbase.

ADVANTAGE:Peak Torque & Power at low engine rpm. Oil & air cooling of the engine. Triple vortex combustion, electronic fuel pump, warning indication for air filter clogging and oil pressure drop.

BENEFIT:Best load pulling ability in the segment very good mileage and almost nil

maintenance.

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2. CG MAX CNG:

CG MAX CNG 4 stroke vehicle having capacity of 200cc. It has spark ignition engine. Maximum power is 7.2Bhp@6200rpm.

3. RE600:Mileage- 5kmplLoading area- good enough for 600kg load.

B] PASSENGER CARRIER:

RE 2 STROKE: RE 2S CNG RE 2S LPG RE 4S RE 4S CNG RE 4S LPG RE DIESEL RE GDI MEGA MAX

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Details of Sales & profit of Bajaj Auto ltd. (2010-2011):

Two and three-wheeler major Bajaj Auto Monday reported an 18 percent increase in its total sales at 10,92,815 units for the quarter ended 30 June 2011 as against 9,28,336 units during the like period of the previous financial year, recording its highest quarterly sales ever.

The total sales also included 427364 units of exports, the company said in a statement.

Motorcycle sales grew by 16 percent to 963051 units, while commercial vehicle sales rise by 30 percent to 129764 units during the quarter under review.

Two-wheeler major Bajaj Auto reported its highest sales for May by clocking a 20 percent growth at 358,849 units against 299,442 units in the corresponding period of the previous year.

Segment-wise, the company's motorcycle sales in May grew by 18 percent at 317,989 units against the 269,488 units sold in the corresponding month of last year.

Major growth was also reported in the commercial vehicle segment, whose sales grew by 36 percent to 40,860 units in the month under review as against 29,954 units in May, 2010.

Boosted by an exceptional gain of Rs.827crore, Bajaj Auto reported an increase of 163 percent in its net profit for the fourth quarter of last fiscal year at Rs.1,400crore.

Bajaj Auto in the like period of 2009-10 had reported a net profit of Rs.532crore.

"Sales tax deferral incentive/loan, to the extent eligible under Maharashtra Value Added Tax Rules, has been prepaid at a discounted value of Rs.368crore, thereby resulting in a surplus of Rs.827crore," the company said in a regulatory filing.

With the success of Pulsar135 and Discover twins (100cc and 150cc), Bajaj Auto's brand-centric strategy has been validated. The high-margin brands, Pulsar and Discover, now account for 70% of the company's motorcycle sales. In addition, continued demand for three-wheelers and robust exports would help Bajaj Auto achieve volume growth of 37.8% and 13.8% in FY11E and FY12E respectively. We expect profitability to be maintained at current levels of 20%.

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Bajaj's Small Car project

Now India's second largest bike manufacturer Bajaj Auto Ltd has announced to launch its concept car. The small 'Lite' will be in competition to Tata Nano which is tagged as world's cheapest car. This small concept car is being designed in collaboration with Renault and Nissan but it will not be for Rs 1 lakh. Bajaj Auto managing director Rajiv Bajaj said that the focus is on performance of the car rather than cost. Bajaj motors has clarified that mileage, maintenance and carbon emissions. are the sole objectives in this Lite's design.

It is aiming for a fuel economy of 30 km per litre for the $2,500 ultra low-cost car that it is developing with Renault-Nissan as it looks to woo two-wheeler customers.

The ultra low cost car (ULC), which will be competing with Nano, aims to better the mileage of 23.6 km/lt, given by the world's cheapest car from the stable of Tata Motors.

On an average the existing small cars in the Indian market give fuel economy of 15-18 km/lt."We have been focusing on developing a car (so) that the monthly cost of ownership is low enough to motivate two-wheeler buyers to upgrade into a car. Our aim is to deliver a mileage of 30 km per litre," Bajaj Auto managing director Rajiv Bajaj told reporters in New Delhi.

He said the company is taking a lot of learning from its motorcycle experience to come up with a product that would impress customers."Our experience with motorcycles is that unless there is 50 per cent increase (in mileage), it is not considered good by customers. Our intention is to do a path-breaking job with that kind of fuel economy," Bajaj added.

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Pricing Strategies

I personally feel Bajaj bikes are better than Hero Honda in terms of price, mileage and maintenance. Bajaj has trying with many promotional strategies to increase its market share and to some extent it has been successful. The main strategy of Bajaj is good advertising which is evident. Bajaj is also trying to upgrade the product every year and is trying to launch new vehicles every year.

The company follows a competitive pricing strategy in all major markets for all product segments.The strategy to enter the lower price segments was executed through launch of differentiated models aimed at the lower price segments.

The company planning to develop new engines that will deliver superior performance in the 100cc bikes in future.

Currently Bajaj offer 125cc bikes at the price of 100cc bikes.

Bajaj auto plans to exit the entry-level motorcycle market and offer higher capacity bikes in the 100cc price range of Rs 34,000 to Rs 42,000.

 Automobile major Bajaj Auto said it was "concerned" that Japanese auto giant Honda may have an "aggressive pricing strategy" with its planned entry into the country's booming motorcycle market in October.

"We are concerned, but we are not worried," Bajaj Auto Vice President (Sales and Marketing).

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DEALERS NETWORK

Distribution Detail

For distribution Bajaj Auto uses mix of depots and Chief agents. This is completely dependent on the distance of manufacturing location from dealer point. For example, due to extensive distance from manufacturing plant from west Bengal to north-east India, there exist a depot in Khadakpur with capacity of housing 800vehicles. There are similar depots in Punjab, Rajasthan and southern India.

Dealers

Like mentioned above, the company has a network of 498 dealers and over 1,500authorised service centers and 162 exclusive three-wheeler dealers spread across the country. Around 1,400 rural outlets have been created in towns with population of 25,000and below. The current dealer network is servicing these outlets. Dealers can be classified under 3 heads.

They are as follows:

COCO-

These are Company Owned & Company Operated showrooms. These concepts exist only for Pro-Biking showrooms. Here Bajaj Auto has tried showcasing their muscle power in high end biking segment. The concept has evolved very fast and now there are 52 Pro-Biking showrooms in the country. The company itself does not take any order from the customer in these showrooms. The giant dealer of the region who is acting as a logistics partner for the pro-biking concept takes the order on behalf of the company and fulfils the customer requirement.

CODO-

These are Company Owned & Dealer Operated showrooms. In case of this concept, showrooms are owned by the company but the operations in the showroom are managed by the dealer. This is generally the case where Bajaj wants to provide the dealer financial benefits considering the high working capital requirement of the company.

DODO-

These are Dealer Owned & Dealer Operated. These dealers are fewer in number because they are generally the giant dealers who are the financial muscle for the company. In our talks, the management indicated that the top management wants to do away with this concept. The reason behind this is that the bargaining power increases in the hands of the dealer, which puts the company in an knotty situation.

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PROMOTION

BAL IS an organization, which is known for its innovative marketing. Rs. 140.21 crores was the Annual expenses for the financial year 2010-2011. All the medim are used extensively, be it or mass media like T.V & hordinges. BAL also promotes sports in the country (e.g. Hockey team of India). Ii is also the sponsorar of professional motorcycle stunt team Ghost Ryderz. Pulsar has been associated with stunting for many years through advertising and recently through a popular reality show dedicated to stunting called Pulsar MTV Stunt mania. Jackie Chan, John Abraham, Vijender Kumar, Dia Mirza, Kangna Ranaut are the brand ambassadors of Bajaj Auto Ltd. They will endorse the company products, attend corporate and brand events. Also advertising done at a local level by dealers, in which BAL also contribute to help dealer promote the dealership in local area. Bal print ads in newspapers, magazines, etc. this has increased the brand recall by a significant number. They also have their bikes featured in various TV programs.

ADVERTISING STRATEGY:

Bajaj Auto ltd is one of the leading companies in automobile sector since the past decade. Since the inception of Bajaj Auto ltd, the company has been using television as a major role for its publicity. Though Bajaj Auto ltd was dominant in sales it lacked the skills of creating spectacular ads till now. Though it had a vast range of bikes, its advertising strategy was not up to the mark. For this publicity Bajaj Auto ltd has been using many famous celebrities & personalities. And use promotional activities to promote their products.

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 Bajaj is also reworking its ‘Hamara Bajaj’ advertising campaign. It will soon unveil a new commercial with the tag line, “Alagandaaz, Alaghaikhoj, Rakheaage, Hamarisoch” that loosely translates as: “A different style, a different search will keep us ahead”.

They use various slogans which define their products. They use tag lines i.e. “Hamara Bajaj” and “Distinctly Ahead”. Their company logo also promotes their brands in the market.

CUSTOMER SERVICE

29

Customers are the key players in the success of the organization. Better customer service help to create a good image in the minds of the customers and in the market. This will further bring higher profit to the company.

Bajaj Auto ltd tries to give better services to their customers. They are having their separate email id for receiving customer’s complaint (i.e., customerservice@bajajauto.co.in).

And they have customer care number to solve the problems of their customers. (i.e.1800233 2453). They try to give trouble-free performance.

But the actual scenario is that the most of the customers are dissatisfied with the after sale services provided by the Bajaj Auto ltd, and by their dealers. There is number of complaints are unsolved and customers do not gate the solutions for their problems.

It has its headquarters at Pune and is operational in 367 dealers and 892 outlets across the country to facilitate fast and flexible retail finance offerings for Bajaj vehicles.

S.W.O.T. ANALYSIS OF BAJAJ AUTO LTD .

30

STRENGTH:

Technical expertise, in collaboration with Kawasaki Heavy Industries, Japan. World’s lowest cost manufactures in the market  Higher labor productivity and greater automation  Global-scale production  Extensive service and dealer networks  PULSAR 220CC FEATURES India’s First Oil Cooled Engine which delivers

maximum power making it most powerful engine offered by Bajaj. In past decade Bajaj has established a strong base amongst its customers.

WEAKNESS:

In the late seventies there was skid in production due to intermittent labour problems. 

Underutilization of capacity  Not considered living with times Inconsistency in delivering quality product and services Price of Bajaj 220cc (Rs. 82449 basic price) is more than Karizama ( Rs.

78000 basic price). Pulsar 220cc and 200cc derives their styling from there previous version

Pulsar 150 Dts-I and 180 Dts-I.

OPPORTUNITIES:

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S . W . O . T . A N A L Y S I S

Launching of new products and variants of existing models backed up by appropriate marketing efforts. 

Fuel efficiency which is much higher than competitors  Virtual zero maintenance among the products. Making the needful changes will be an opportunity to capture an even large

share of the 200cc+ segment.

THREATS:

Hero Honda’s switch start automatic transmission 100cc scooter Competition from MNC’s.

The biggest threat is faced from the goodwill of Karizam in this segment who is the “Four-Stroke Two Wheeler Ruler” of the market.

Government regulations  Dealers not adjusted with changing realities  Change in tastes of consumers Certain technical faults in the bike design which are potentially dangerous to

the rider’s safety can be disastrous to the image of the bike.

AWARDS & RECOGNITION

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The Company, Products and Management & Staff have received various prestigious awards during the year. To name a few -

Company:

Bike Maker of the year 2007 - NDTV Profit – Car & Bike Bike Maker of the year 2007 - ICICI Bank Overdrive Brand Excellence - Amity School of Business Leadership A ‘Fabulous 50’ Asian company - Forbes Asia Chakan Plant - India Manufacturing Excellence Award 2006 - Frost & Sullivan Most Customer Responsive company Category Automobiles - ET Avaya Global

Connect Customer Responsive Award 2005 Star Performer in Engineering Exports as largest enterprise in product group of

motorcycles, bicycles etc. - Engineering Exports Promotion Council Western Region

Products:

Platina – Bike of the Year up to 100cc - NDTV Profit - Car & Bike Pulsar 220 DTS-Fi – Bike of the Year - CNBC TV18, Auto car Boxer S awarded – “West Africa’s Best Strongest Motorcycle 2007” - The Institute

of Direct Marketing of Nigeria

Employees:

Mr. Rahul Bajaj, Chairman –

JRD Tata Corporate Leadership Award - All India Management Association Doctor of Letters (Honorary) - Devi AhilyaVishwavidyalaya, Indore D. Litt Degree - Tilak Maharashtra University, Pune

CORPORATE SOCIAL RESPONSIBILITIES OF BAJAJ AUTO LTD.

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The concept of Corporate Social Responsibility is relatively recent. But the philosophy of social responsibility and commitment to give back to the society underlines the Bajaj way of conducting its businesses for a number of years now. The wide spectrum of community development endeavors undertaken by Bajaj Auto Ltd — embracing everything from health and education to women empowerment and more — has touched, and changed, many lives. But the real credit for positive change is always to those whom we have enabled on the path of “Sustainable & Inclusive growth” &well being.

CSR Areas:

Education:

Shiksha Mandal Wardha

In 1914, Jamnalalji and his associate Shri Shrikishandas Jajoo established the Shiksha Mandal for propagating education. IT had the good fortune of receiving guidance of Gandhiji and other national leaders. It was very much a part of the national movement. Commenced in 1976

24 fully furnished class rooms - Labs, Comp room

1400 students from Lower KG to 12th standard ( Age Range 3 to 18 Years)

26400 students have so far passed out (10th Standard ) of this institution. Started Junior college in 2007. Managed by Society of St Ursula.

Jankidevi Bajaj Institute of Management Studies

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Established in August 1997, the JDIMS is a Centre of Management Studies and the Postgraduate Department of Management Education of the S.N.D. T. Women's University.

The institute offers a variety of full-time and part-time professional courses at Masters level and postgraduate Diploma courses in management specifically for women. With these, JDIMS seeks to provide much needed training to a growing number of women managers who are increasingly coming to the forefront of global business.

Within a short span, it has made a mark for itself in the field of management education in the state.

Jamnalal Bajaj Institute of Management Studies

In 1965, the JBIMS was established by the University of Mumbai in collaboration with the Graduate School of Business, Stanford University. With a donation from the Jamnalal Bajaj Seva Trust.

The institute was the first to start a full-time 2 year Masters Programme in Management Studies (MMS) in India. Besides that, it offers various management courses for executives.

Upgradation of ITI

Under the central government initiative of Public Private Participation (PPP), your company has volunteered to adopt 3 ITIs (Industrial Training Institute) for up-gradation:

ITI Mulshi – A Memorandum of Agreement and Institute Development Plan are awaiting approval by the central government and funds received. The construction of the new building near Pirangut is in an advanced stage and is expected to be occupied by end 2010.

ITI Haveli - A Memorandum of Agreement and Institute Development Plan are awaiting final clearance from the central government.

ITI Ramnager near the Pantnagar Plant (Uttaranchal) - The Central Government has approved the Institute Development Plan. The Institute Management Committee has received the funds for the up-gradation. Further, developmental actions are currently underway.

The company had organized a two day training program for the Principals, Instructors & and staff of the Institutes, at a remote location. This was done to “open the minds” to “aim high” and receive better ideas.A detailed individual action plan was set by each participant for further action by themselves.

Education of eligible bright Backward students

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The company has launched a program that would help SC / ST students achieve academic excellence and make them on par with those, who can afford coaching for entrance to IITs. During the year 2009-2010, one student with a brilliant academic record was identified from the underprivileged and low-income group, for reimbursement of complete fees for the preparation of IIT entrance test under the guidance of IITians Prashikshan Kendra. His all India rank of 220 got him admission in IIT Powai. We propose to expand this activity to include more students in Pune to begin with.

HEALTH

Kamalnayan Bajaj Hospital – Aurangaba

Established in 1990 as 60 Bed hospital & Research centre Now a 225 Bed Super specialty tertiary-care hospital 60 Full time doctors & 150 staff Well equippedCath Lab CT Scan, MRI, Mammography &Dept of radiation oncology Organ transplant centre Guest house for relatives 5 bed Casualty - 24 Hour Service. In house medical grade Oxygen plant, 2 Generators, In house sewage and Bio

medical waste disposal plant. Free bus service, Mobile hospital, Ambulance. Central sterilization system & Rain water harvesting Best hospital in Marathwada, Khandesh with world class facility.

Bajaj - YCM Hospital A.R.T. Centre for HIV/Aids – Pimpri

Government of India - Ministry of Health and Family Welfare - National Aids Control Organisation (NACO) and CII have initiated Public Private Partnership (PPP) in order to provide better healthcare to Aids patients. Your company has signed a tripartite MOU with NACO and Yeshwantrao Chavan Municipal Hospital (YCMH) in Pimpri to set up an Anti Retroviral Treatment Centre (ART Centre) at YCMH in Pimpri, Pune with the cooperation of Pimpri Chinchwad Municipal Corporation for HIV patients.

Many dignitaries from Global Fund, WHO and such other organizations have visited the ART centre, which is the largest unit run by an industry under Public Private Partnership program. Apart from two doctors and six supporting medical staff, the ART centre has added audio-visual facilities for group counseling, as a

36

result of which the ART centre registration has reached 3900 patients and the unit is recognized today as one of the best ART centers in the country.

Women Empowerment:

Jankidevi Bajaj Gram VikasSanstha

This Sanstha, named after the Padmavibhushan late JankideviBajaj, wife of late Shri Jamnalal Bajaj, was established in 1987. The main objective of this trust is to act as a catalyst for the participation of rural community in improving their quality of life, eliminating poverty, empowering women, development of human and natural resources, promoting ecological balance, etc. Presently this is done in 24 remote and backward villages in Khed and Mavaltalukas of Pune, Paithan and Gangapurtalukas of Aurangabad.

Activities undertaken by the trust and rural community include:

Water conservation projects for improving agricultural productivity

Construction of latrines

Family size biogas plants

Training women in using improved technology for storage of food grains

Goat rearing projects owned and managed by women

Vermiculture projects

Improving agricultural implements in 11 villages

Dairy development

Family planning particularly tubectomy operations

Polio immunisation campaigns

Securing loans for women members for both consumption and income generation

IMC Ladies' Wing Jankidevi Bajaj Puraskar for Rural Entrepreneurship

37

An award conferred for outstanding contribution of women working for rural development, the Jankidevi Bajaj Puraskar commemorates the birth centenary of the late Smt.Jankidevi Bajaj.

Bajaj Electricals Ltd. made a donation to the Ladies' Wing of the Indian Merchants Chamber for instituting this Annual Award, which includes a cash prize of Rs. 1, 50,000 a citation and a certificate.

To commemorate the 15th year of the Puraskar, the cash prize was augmented in 2007 to Rs. 3, 00,000.

Self Reliance:

Jamnalal Bajaj Seva Trust

Soon after the demise of Jamnalalji in 1942, as per his wishes, the first charitable trust, Jamnalal Bajaj Seva Trust was established. With an initial corpus of Rs. 500,000, that was, Jamnalalji's entire share in the family wealth. Gandhiji himself drafted the Memorandum and Articles of Association of the trust and finalized its objectives.

Initially, the trust assisted Sarvodaya workers and Gandhian constructive programmes.

In 1960, at the suggestion of Acharya Vinoba Bhave, the trust purchased about 400 acres of land on the outskirts of Bangalore to establish an International Sarvodaya Centre-Vishwaneedam. For promoting agriculture, dairy development, rural development and training local women and youth for self-employment.

In 1961, the trust made a donation to the University of Mumbai for establishing the first management institute in Mumbai, the Jamnalal Bajaj Institute of Management Studies.

The trust also looks after the maintenance of Bajajwadi at Wardha. Which was a national guest house in the pre-independence days. At Jamnalalji's instance, Gandhiji came to stay in Wardha. Soon, Wardha became the centre of Gandhiji's constructive and political activities. Eminent national leaders from all over the country used to stay in Bajajwadi, whenever they would come to meet Gandhiji. Also, meetings of the Congress Working Committee were held here. The Bajajwadi today reverberates memories of that historic period of our freedom struggle.

The trust has also been contributing its share to the promotion of arts and culture through the Kamalnayan Bajaj Hall and Art Gallery. Exhibitions, handicrafts display as well as corporate meetings, conferences and seminars are common activities inside the Kamalnayan Bajaj Hall. The art gallery is used to display the artistic works of painters and sculptors. The art gallery also provides an opportunity to budding artists to showcase their talents.

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Institute of Gandhian Studies

An institute that promotes long-term and short-term study courses on Gandhian thoughts and methodology. The Institute of Gandhian Studies was established in memory of Jamnalal Bajaj in October 1987.

The IMC Ramkrishna Bajaj National Quality Award

An award conferred for outstanding contribution of women working for rural development, the Jankidevi Bajaj Puraskar commemorates the birth centenary of the late Smt.Jankidevi Bajaj.

Bajaj Electricals Ltd. made a donation to the Ladies' Wing of the Indian Merchants Chamber for instituting this Annual Award, which includes a cash prize of Rs. 50,000, a citation and a certificate.

Then, with an additional donation made by -Bajaj Electricals Ltd., the amount of the cash prize.

Jankidevi Bajaj Gram VikasSanstha

This Sanstha, named after the Padmavibhushan late Jankidevi Bajaj, wife of late Shri Jamnalal Bajaj, was established in 1987. The main objective of this trust is to act as a catalyst for the participation of rural community in improving their quality of life, eliminating poverty, empowering women, development of human and natural resources, promoting ecological balance, etc. Presently this is done in 24 remote and backward villages in Khed and Mavaltalukas of Pune, Paithan and Gangapurtalukasof Aurangabad.

Rural Development

39

The Bajaj Group carries on rural development and welfare activities through its different trusts and companies.

Bajaj Auto, Hind lamps, Jankidevi Bajaj Gram VikasSanstha, Jamnalal Bajaj Foundation, Jamnalal Kaniram Bajaj Trust and Jamnalal Bajaj Seva Trust with funding partnership with CAPART, Khadi & Village Industries Commision, NEDA, respective State Governments and beneficiaries, all together undertake these rural development activities. In various areas like-Wardha, Pune and Aurangabad districts of Maharashtra

Villages surrounding Shikohabad in U.P. The Kashi-ka-bas village, birth place of Jamnalalji and some of the surrounding

villages in Sikar district of Rajasthan In some of the villages adjoining Vishwaneedam, Bangalore

Their other rural development activities include:

Distribution of solar-lantern & solar cookers

Installation of bio-gas plants

Deepening and widening of wells and drinking water scheme

Tree Plantation/ Horticulture / Kitchen Gardens

Lift irrigation

Veterinary services like insemination, vaccination and distribution of cattle feed

Watershed development / Model Village

Distribution of agricultural implements

Centre of Child Labour Welfare

GLOBAL BAJAJ

40

Bajaj is present in over 50 countries all over the world.

Dominant presence in Africa, Latin America and South Asia with increasing market share every year.

Market leader in motorcycles in Colombia, Central America, Sri Lanka, Bangladesh, Philippines, Nigeria, Uganda and Kenya.

891,002 units exported in 2009-10, an increase of over 15 % over the previous year.

Total motorcycle exports of 726,115 in 2009-10, growth of 15% over 2008-09.

Largest exporter of three wheeled commercial vehicles in the world: 164,887 units exported in 2009-10, a rise of 19% over 2008-09.

COMPETITORS

41

The Bajaj Auto face Sevier competition in the Two-Wheeler & Three-Wheeler market:

The Major Competitors are:

Hero Moto Corp Ltd. Tata Motors Ltd. Yamaha Motor Ltd.

Hero Moto Corp Ltd.

Hero Moto Corp formerly Hero Honda is a motorcycle and scooter manufacturer based in India. Hero Honda started in 1984 as a joint venture between Hero Cycles of India and Honda of Japan. The company is the largest two wheeler manufacturer in India. The 2006 Forbes 200 Most Respected companies list has Hero Honda Motors ranked at 108.

In 2010, When Honda decided to move out of the joint venture, Hero Group bought the shares held by Honda. Subsequently, in August 2011 the company was renamed Hero Moto Corp with a new corporate identity.

Hero Moto Corp has three manufacturing facilities based at Dharuhera, Gurgaon in Haryanaand at Haridwar in Uttarakhand. These plants together are capable of churning out 3 million bikes per year. Hero Moto Corp has a large sales and service network with over 3,000 dealerships and service points across India. Hero Honda has a customer loyalty program since 2000, called the Hero Honda Passport Program.

The company has a stated aim of achieving revenues of $10 billion and volumes of 10 million two-wheelers by 2016-17. This in conjunction with new countries where they can now market their two-wheelers following the disengagement from Honda, Hero Moto Corp hopes to achieve 10 per cent of their revenues from international markets, and they expected to launch sales in Nigeria by end-2011 or early-2012

Motorcycle models: Sleek

Achiever

42

Ambition 133, Ambition 135

CBZ, CBZ Star, CBZ Xtreme

CD 100, CD 100 SS, CD Dawn, CD Deluxe, CD Deluxe (Self Start)

Glamour, Glamour F.I

Hunk

Karizma, KarizmaR, Karizma ZMR FI

Passion, Passion+, Passion Pro

Pleasure

Splendor, Splendor+, Splendor+ (Limited Edition), Super Splendor, Splendor NXG,Splendor PRO

S.W.O.T ANALYSIS:

STRENGTH:

Ability to understand customer’s needs and wants Recognized and established brand name Effective advertising capability It’s after sales service Technology Maintenance cost is low Company’s name is synonymous with fuel-efficient bike and connectivity

WEAKNESSES:

R&D is not close to the Hero Manufacturing plant Hero is vulnerable in the joint venture because Honda Motor Company has so much

power

OPPORTUNITIES:

Global expansion Expansion of target market (includes women) Financial help easily available

43

Relatively low rate of interest and the discount of prices offered by the dealers and manufacturers lead to the increasing demand for two wheelers.

THREATS:

Honda Motorcycles and Scooters India can take away market share and cause joint venture to go sour.

Bajaj Motors is a strong competitor. The big giant like Harley-Davidson will introduce soon in Indian market. FDI announced in Automobiles is 100%.

RESEAR CH

This research includes:

44

Problem identification

Scope of study

Research design

Sampling plan

Method of data collection

Sources of data collection

Limitations

1. Problem Identification:

Marketer should be aware of the perception of customer about his product so that he

can gain maximum out of it. He should be aware of who are decision maker as well as

ultimate buyer of product.

2. Scope of study:

The scope of this study is kept within the control of individual researcher.

3. Research Design:

The method adopted for research is “Experience Survey” i.e. survey of people who

have practical experience of motors in Mumbai, NCR in such a research design the decision

regarding what, where, whom, how much, by what means are concerned. It is the blue print

for the research undertaken.

4. Sampling Plan:

It includes sample unit, sample size, sample procedure.

Sample Unit: Sample unit is target population of MUMBAI.

Sample Size: Research is done on 50 respondents of MUMBAI.

5. Method of data collection:

Observation method

Questionnaire method

45

Data collection through journal, magazines

Data collection through websites of various auto-motors related companies.

6. Sources of data collection:

Primary sources: Sample survey of target population

Secondary sources: Company pamphlets, Business magazine as business world,

business India, industry manual and web sides.

7. Limitations of Study:

Resources for collection of data are less.

Time period for data collection is short

Difficult to get response from customer.

Experience in field of research is difficult job.

QUESTIONNAIRE

Local Public Opinion:

1) Which company’s bike do you have?

46

Hero Honda Bajaj Auto Ltd. Any other

2) What is your age? 18-25 25-30 30-40 40 and above

3) For what purpose do you use your bike? Office purpose Personal purpose Joy purpose Any other

4) Are you satisfied with the performance of your bike? Yes No

5) What mileage does your bike give? Excellent Good Satisfactory Poor

Public Opinion That Are Using Bajaj Bike:

1) Which Bajaj bike are you using?

Pulsar Discover Bajaj XCD 135cc

47

Any other

2) How do you come to know about this bike?

News papers Television Magazines Friends and relatives

3) Which are the following attributes compelled you to buy the Bajaj bike?

Performance Service Price Model

4) From where did you buy the bike?

Company outlet Retailer

5) How would you rate service offered by Bajaj then others?

Extremely satisfied Satisfied Moderate Dissatisfied

6) Do you influence others in buying bajaj bike? Yes No Can’t say

7) Which company do you think is the toughest competitor to Bajaj? Hero MotorCrop ltd. Yamaha Motor Pvt ltd. Honda Motor co. ltd Kawasaki Motor corp USE

8) Are you satisfied with the pricing of the Bajaj bikes depend upon the services provided by Bajaj?

Yes No

9) Are you satisfied with the service provided by Bajaj? Yes No

48

10) If new bike with good features come in, then would you like to change your bike? Yes No Can’t say

ANALYSIS OF DATA

Local Public Opinion:

1) Which company’s bike do you have?

49

Hero Honda Bajaj Auto Ltd Any Other

0

5

10

15

20

25

30

Bike Users

Bike Users

2) What is your age?

3) For what purpose do you use your bike?

50

18-25 25-30 30-40 40 & Above0

5

10

15

20

25

Age Group

Age Group

Office UsePersonal Use

Joy PurposeAny Other

0

5

10

15

20

25

Purpose Of Using Bike

Purpose Of Using Bike

4) Are you satisfied with the performance of your bike?

Satisfaction

YesNo

5) What mileage does your bike give?

51

Excellent Good Satisfactory Poor0

2

4

6

8

10

12

14

16

18

Milege Of Bike

Milege Of Bike

Public Opinion That Are Using Bajaj Bike( Of 50 People)

1) Which Bajaj bike are you using?

52

PulsarDiscover

Bajaj XCD 135cc Any Other

0

5

10

15

20

25

Bajaj Models

Bajaj Models

2) How do you come to know about this bike?

News Paper Television MagazinesFriends & Relatives0

5

10

15

20

25

Sourcr Of Information

Sourcr Of Information

3) Which are the following attributes compelled you to buy the Bajaj bike?

53

PerformanceService

PriceModel

02468

101214161820

Attributes

Attributes

4) From where did you buy the bike?

Company OutletRetailers

0

5

10

15

20

25

30

35

Source Of Purchase

Source Of Purchase

5) How would you rate service offered by Bajaj then others?

54

Extremely Satisfied Satisfied moderate Dissatisfied0

5

10

15

20

25

Rates

Rates

6) Do you influence others in buying bajaj bike?

Yes no Can't Say0

5

10

15

20

25

30

Influence

Influence

7) Which company do you think is the toughest competitor to Bajaj?

55

Hero M

otCorp

Yamah

a Motor P

vt Ltd

.

Honda Motor C

o. Ltd.

Kawasa

ki Motor C

orp. u

sa

0102030

Competitor

Competitor

8) Are you satisfied with the pricing of the Bajaj bikes depend upon the services provided by Bajaj?

Yes No0

5

10

15

20

25

30

35

Satisfaction

Satisfaction

9) Are you satisfied with the service provided by Bajaj?

56

Yes

No

0

5

10

15

20

25

30

10) If new bike with good features come in, than would you like to change your bike?

Yes No Can't Say0

5

10

15

20

25

30

57

CONCLUSION

Bajaj Auto has at the forefront of bringing about major changes in its technologies & process to create more exciting & distinctive offerings for its customers. In the process, it has gone through two overlapping process of transformation. The first was creating, communicating & executing basic processes of changes- of the way it looked at product & design, at market, at engineering and manufacturing & at the organizational structure for delivering mind-set changes. It use of new technologies gave consumers grater power and more riding comfort without sacrificing economy, in its high quality engineering &R&d; and in its speed and transparency.

Bajaj Auto has clearly dominated the 150+cc segment and been a major player all other price points of the motorcycle market.

The pulsar was the first “Definitely male” bike that was the first one to be positioned as the “Male” amongst bikes.

The company needs to improve their customer service to serve their customers.

The company needs to tap the export market more efficiently as there is a huge potential to make India as the world's two-wheelers production base. For this, it needs to look for joint ventures abroad.

It needs to target the young age group more effectively as this group is extremely trend savvy. The advertising should have a fresh look and the product should live up to the Gen-X's expectations.

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RECOMMENDATION

The dealer can convince the non-users by taking measures like advertising and sales people.

More promotional measures should be taken to increase the sales.

The warranty service provided by dealers should improve they can give better services in the time of warranty period.

The complaint solving procedure should be improved and after service of the bike mechanics may get feedback from the customers about bike.

Improvement in the engine performance it sounds more when in use more than 70 km speed there is no smoothness.

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BIBLIOGRAPHY

http://www.bajajauto.com/

http://www.bajajmotors.com/

http://bikedekho.com/bajajhtml

www.myindiaguide.com

www.topgear.com/india/*bajaj*/*bajaj*-pulsar-

www.infibeam.com/*bikes*/make/*bajaj*.html

http://www.ziqwheels.com/newbikes/bajaj

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