A PROJECT REPORT ON AUTOMOBILE INDUSTRY IN INDIA (SPECIAL FOCUS ON BAJAJ PULSAR BIKES)SUBMITTED TO : Prof. Ms.Shivani Bali (Faculty of QMM )BY GROUP 1 NIHAREIKA SINHA PADMADEVI GAURANG SAHLOT ISHA VASHIST SIRAJ SIDDIQUI
We have completed the Study Project titled Bajaj Bikes-An analysis under the guidance of Prof. Ms. Shivani Bali. This is an original piece of work & we have neither copied and nor submitted it earlier elsewhere.
TABLE OF CONTENTS.
1. 2. 3. 4. 5. 6. 7. 8. 9.
Acknowledgement Executive Summary.. Introduction to the problem.. Rationale and Scope of Study.. Review of Literature Objective of Study... Research Methodology Company Profile.. SWOT Analysis ..
10. Data Analysis. 11. Refrences 12. Questionnaire..
We are extremely grateful to Ms. Shivani Bali for providing us the honor of carrying out the project, which helped us to put our learnings into experience. Without her guidance we would not have been able to proceed with our project in the right direction.
We would like to express our sincere regards to the staff of LBSIM, New Delhi, whose help and guidance enables us to know what exactly consumers preference towards television is all about. We would also like to thank our family friends and relatives who have helped us and supported us in all possible ways.
A Project report needs co-operation, guidance and experience of many more other than the persons whose name appears on the cover, we would like to thank each and everyone who have helped us in our endeavour.
(Subject to change with the progress of the project)
The project deals with the Analysis of Behavior of people regarding bikes and its different features. The study includes a survey of various mindsets affecting the liking and disliking of bikes. It is being done keeping in mind how these factors will affect it. This will also help the public understand what is affecting their sale and purchase.
Introduction to the Problem5
SpreadTalking about India, the bike market is confined mainly to male gender. So market depends on the perception of males regarding different bikes.
PreferenceThough bikes all over the world are used for fun or leisure travel in India its uses are diverse, ranging from business (pizza hut, dominos, vegetable vendors), as a family vehicle, load carrying by small time vendors and normal expected use by youngsters. Depending upon the intended use factors like sturdity, mileage, looks etc. dominate and guide their choices.
Rationale and Scope of Study
To gauge the marketing behavior and analyze the data collected by using mathematical and statistical tools to draw conclusions regarding preferences of the customers and the sales figures in the bike segment. Due to geographical and time constraints the scope of the study has been limited to the Delhi and NCR region and also to Bajaj bikes as the overall 2wheeler segment is very large in India.
REVIEW OF LITERATUREArticle 1 Marketing research by Jayesh Shah & Saurabh Kishore for academic purposes OBJECTIVE : To Know The Popularity Of Brands Among Various Segments 7
Findings : Overall Findings Show That Hero Honda Is The Market Leader In All The Segments Followed By Bajaj And Tvs. Few Other Popular Brands Include Royal Enfield Among Students And Yamaha Among Service And Business Class People. METHODOLOGY: based on Primary data analysis Suggestions: Indian market is still price sensitive and goes for better mileage when compared to looks. Also brand awareness is a major factor affecting decision hence important to follow correct campaign trail before launch of a new bike.
Objective of the researchTo find out the consumer preference level and taste across Delhi and NCR region of different segments. Gauge customer taste and preference for various brands of bikes on available parameters like mileage, style, comfort etc. What factors guide consumer buying behavior for bikes? Which is the leading brand in the market and the relative position of the companies from consumers point of view? Identifying possible areas of improvement.
Overview of the Two Wheeler Industry The Bike Segment
The Indian two-wheeler industry has come long way since its humble beginning in 1948 when Bajaj Auto started importing and selling Vespa Scooters in India. Since then, the customer preferences have changed in favor of motorcycles and gearless scooterettes that score higher on technology, fuel economy and aesthetic appeal, at the expense of metal-bodied geared scooters and mopeds. These changes in customer preferences have had an impact on fortunes of the players. The erstwhile leaders have either perished or have significantly lost market share, whereas new leaders have emerged. Rising income levels, reducing excise duties, higher loan tenure and loan-to-value offered by the financing companies have all fuelled the growth of two-wheeler sales in the country. Besides, mounting traffic chaos and limited parking space has also increased the demand for two-wheelers from households that can afford or actually do own a car. India the second largest market for two wheelers in the world only after China. Furthermore, with increasing women working population, changing social philosophy and broad-mindedness, the penetration of two-wheelers is expected to further increase significantly. The motorcycle has now become one most popular mode of transportation among the Indian middle class families because of it is cost effective, economical and easy to navigate through the traffic. Moreover, the people have started preferring bikes instead of scooters and mopeds and today bikes form a major part of the Indian two wheelers. Indian companies are one of the largest two wheeler manufacturers in the world. The number one bike manufacturer in the world, Hero Honda is in close competition with the Indian manufacturer Bajaj India.10
The motorcycle industry in India has witnessed a tremendous change in the 90s with the invention of 4 stroke engine which makes the bikes more fuel efficient. Further companies are trying to bring in more innovations to make the motorcycle ride more comfortable, safe and user friendly and economical.
In a nut shell the followings factors can be distinguished for the growth of motorcycle industry in India:
Easy accessibility to cheap consumer loans The increase in the average income of the family. The reduction in duties and taxes. Convenience with regards to commuting as compared to the public transport system. Continuous innovations in technology making the bikes economic and fuel-efficient. The first choice among youths and teenagers.
Key players in the Bike segment : HERO HONDA MOTORS LTD. BAJAJ AUTO LTD TVS MOTOR COMPANY LTD. KINETIC MOTOR COMPANY LTD. YAMAHA MOTORS INDIA LTD. LOHIA MOTORS LTD. MAJESTIC MOTORS LTD. ROYAL ENFIELD LTD. HONDA MOTORS AND SCOOTERS LTD.
Research methodology usually includes how why when and from where data was collected. Our research data was collected mainly to understand behavior amongst people of Delhi. - PRIMARY SOURCE DATA It is a primary source data which will include direct one 2 one collection of data from consumers based on the above factors. This objective will be carried out through a generalized and a standard questionnaire. - SECONDARY DATA SOURCE Our secondary source of data usage will be limited. This will be used only for various details and particulars of bikes. Also we may use these data sources for help on techniques utilized to analyze our raw data. Again we may also utilize it for using examples to support our findings, analysis and conclusions. This data mainly will be collected from people with different outlooks, mindsets, age and gender so as to give us a wider scope of study and carry out a competent enough analysis based on our raw data
COMPANY ANALYSED FOR REPORT: BAJAJ AUTO LTD.
PROFILE OF THE ORGANIZATION
Bajaj Auto is a major Indian automobile manufacturer. It is India's largest and the world's 4th largest two- and three-wheeler maker. It is based in Pune, Maharashtra, with plants in Akurdi and Chakan (Pune), Waluj (near Aurangabad) and Pantnagar in Uttaranchal. Bajaj Auto makes and exports motorscooters, motorcycles and the auto rickshaw. The Forbes Global 2000 list for the year 2005 ranked Bajaj Auto at 1946. Over the last decade, the company has successfully changed its image from a scooter manufacturer to a two wheeler manufacturer. Its product range encompasses Scooterettes, Scooters and Motorcycles. Its real growth in numbers has come in the last four years after successful introduction of a few models in the motorcycle segment. The company is headed by Rahul Bajaj who is worth more than US$1.5 billion and the company worth more than 46 billion as of January 2009. Bajaj Auto came into existence on November 29, 1945 as M/s Bachraj Trading Corporation Private Limited. It started off by selling imported two- and three-wheelers in India. In 1959, it obtained license from the Government of India to manufacture two- and three-wheelers and it went public in 1960. In 1970, it rolled out its 100,000th vehicle. In 1977, it managed to produce and sell 100,000 vehicles in a single financial year. In 1985, it started producing at Waluj in Aurangabad. In 1986, it managed to produce and sell 500,000 vehicles in a single financial year. In 1995, it rolled out its ten millionth vehicle and produced and sold 1 million vehicles in a year.
Spin-offs and AcquisitionsThe demerger of Bajaj Auto Ltd into three