Comparative Study of Bajaj and Hero Honda

Comparative Study of Bajaj and pigboat HondaBajaj Auto limited is one of the largest devil wheeler manufacturing company in India apart from producing cardinal wheelers they besides manufacture terce wheelers. The company had started way back in 1945. Initially it used to import the two wheelers from offside, but from 1959 it started manufacturing of two wheelers in the country. By the year 1970 Bajaj Auto had rolled out their 100,000th vehicle. Bajaj scooters and motor cycles have obtain an integral part of the Indian milieu and over the years have come to represent the aspirations of modern India. Bajaj Auto also has a technical tie up with Kawasaki heavy industries of Japan to produce the latest motorcycles in India which are of universe of discourse class quality The Bajaj Kawasaki eliminator has emerged straight out of the drawing board of Kawasaki heavy industries. The core brand values of Bajaj Auto limited includes Learning, Innovation, Perfection, Speed and Transpare ncy.Bajaj Auto has three manufacturing units in the country at Akurdi, Waluj and Chakan in Maharashtra, western India, which produced 2,314,787 vehicles in 2005-06. The sales are backed by a network of subsequently sales emolument and maintenance work shops all over the country.Bajaj Auto has products which cater to every segment of the Indian two wheeler market Bajaj CT 100 Dlx offers a great value for money at the entry level. Similarly Bajaj Discover 125 offers the consumer a great performance without making a big trap in the pocket.Registered under the Indian Companies Act, VII of 1913REGISTERED OFFICEAkurdi, Pune 411 035WORKSAkurdi, Pune 411 035Bajaj Nagar, Waluj Aurangabad 431 136Chakan Industrial Area, Chakan, Pune 411 501TypePublicFounded1945HeadquarterPune, IndiaKeypeopleRahul Bajaj(Chairman)RevenueRs. 1,01,063 one thousand million (2006) or USD1.87 billionNet incomeRs. 17,016 billionEmployeesWebsitewww.bajaj cable car.comBajaj Auto is a major Indian automobile produce r. It is Indias largest and the worlds 4th largest two- and three-wheeler maker. It is based in Pune, Maharashtra, with plants in Waluj near Aurangabad, Akurdi and Chakan, near Pune. Bajaj Auto makes motorscooters, motorcycles and the auto rickshaw.Contents1HYPERLINK ../../../../../../../../C/Documents and Settings/CIET/My Documents/Bajaj vs Hero Honda/ mod Folder/Bajaj_Auto.htmCompany.27s_historyCompany.27s_historyCompanyHYPERLINK ../../../../../../../../C/Documents and Settings/CIET/My Documents/Bajaj vs Hero Honda/ sassy Folder/Bajaj_Auto.htmCompany.27s_historyCompany.27s_historyHYPERLINK ../../../../../../../../C/Documents and Settings/CIET/My Documents/Bajaj vs Hero Honda/New Folder/Bajaj_Auto.htmCompany.27s_historyCompany.27s_historys history1.1HYPERLINK ../../../../../../../../C/Documents and Settings/CIET/My Documents/Bajaj vs Hero Honda/New Folder/Bajaj_Auto.htmTimeline_of_new_releasesTimeline_of_new_releasesTimeline of new releases2HYPERLINK ../../../../../../../../C/Docum ents and Settings/CIET/My Documents/Bajaj vs Hero Honda/New Folder/Bajaj_Auto.htmScootersScootersScooters3HYPERLINK ../../../../../../../../C/Documents and Settings/CIET/My Documents/Bajaj vs Hero Honda/New Folder/Bajaj_Auto.htmMotorcyclesMotorcyclesMotorcycles4HYPERLINK ../../../../../../../../C/Documents and Settings/CIET/My Documents/Bajaj vs Hero Honda/New Folder/Bajaj_Auto.htmUpcoming_ModelsUpcoming_ModelsUpcoming Models5HYPERLINK ../../../../../../../../C/Documents and Settings/CIET/My Documents/Bajaj vs Hero Honda/New Folder/Bajaj_Auto.htmNew_ImageNew_ImageNew Image6HYPERLINK ../../../../../../../../C/Documents and Settings/CIET/My Documents/Bajaj vs Hero Honda/New Folder/Bajaj_Auto.htmForbes_Global_2000_Ranking_-_2005Forbes_Global_2000_Ranking_-_2005Forbes Global 2000 Ranking 20057HYPERLINK ../../../../../../../../C/Documents and Settings/CIET/My Documents/Bajaj vs Hero Honda/New Folder/Bajaj_Auto.htmExternal_linksExternal_linksExternal links 8HYPERLINK ../../../../../../.. /../C/Documents and Settings/CIET/My Documents/Bajaj vs Hero Honda/New Folder/Bajaj_Auto.htmReferencesReferencesReferencesCompanys historyBajaj Auto came into existence on November 29, 1945 as M/s Bachraj Trading friendship Private hold. 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.Timeline of new releases1971 three-wheeler goods toter1972 Bajaj Chetak1976 Bajaj Super1977 Rear engine Autorickshaw1981 Bajaj M-501986 Bajaj M-80, Kawasaki Bajaj KB1001990 Bajaj Sunny 1994 Bajaj Classic1995 Bajaj Super Excel1997 Kawasaki Bajaj Boxer, Rear Engine Diesel Autorickshaw1998 Kawasaki Bajaj Caliber, Legend(Indias first quadruple-stroke scooter)2000 Bajaj Saffire2001 Eliminator, Pulsar2003 Caliber115, Bajaj Wind 125, Bajaj Pulsar2004 Bajaj CT 100, New Bajaj Chetak 4-stroke with curio Gear, Bajaj Discover DTS-i2005 Bajaj Wave, Bajaj Avenger, Bajaj Discover2006 Bajaj Platina 2007 Bajaj Pulsar-200Upcoming ModelsBajaj Pulsar 220 DTS-FiBajaj KrystalBajaj BladeBajaj SonicNew ImageThe company, over the last decade has successfully changed its image from a scooter maker to a two wheeler manufacturer, product range ranging from Scooterettes to Scooters to Motorcycle. Its real growth in numbers has come in the last 4 years after successful introduction of a few models in the motorcycle segment.The company is headed by Rahul Bajaj who is worth much than US$1.5 billion.History of Hero HondaIndia has the largest number of two wheelers in the world wit h 41.6 million vehicles. India has a mix of 30 percent automobiles and 70 percent two wheelers in the country. India was the second largest two wheeler manufacturer in the world starting in the 1950s with the birth of Automobile Products of India (API) that manufactured scooters. API manufactured the Lambrettas but, another company, Bajaj Auto Ltd. surpassed API and remained through the turn of the century from its association with Piaggio of Italy (manufacturer of Vespa).The license raj that existed between the1940s to1980s in India, did not al humiliated alien companies to enter the market and imports were tightly controlled. This regulatory maze, before the economic liberalization, made business easier for topical anaesthetic players to have a sellers market. Customers in India were forced to wait 12 years to buy a scooter from Bajaj. The CEO of Bajaj commented that he did not need a marketing department, only a dispatch department. By the year 1990, Bajaj had a waiting list t hat was twenty-six times its annual fruit for scooters.The motorcycle segment had the same long wait times with three manufacturers Royal Enfield, Ideal Jawa, and Escorts. Royal Enfield made a 350cc Bullet with the only four-stroke engine at that time and took the higher end of the market but, there was little competition for their customers. Ideal Jawa and Escorts took the middle and lower end of the market respectively. In the mid-1980s, the Indian government regulations changed and permitted foreign companies to enter the Indian market through minority joint ventures. The two-wheeler market changed with four Indo-Japanese joint ventures Hero Honda, TVS Suzuki, Bajaj Kawasaki and Kinetic Honda. The entry of these foreign companies changed the Indian market dynamics from the supply side to the demand side. With a larger selection of two-wheelers on the Indian market, consumers started to gain influence over the products they bought and raised higher customer expectations.Hero Hon da Motorcycles Limited is an Indian manufacturer of motorcycles and scooters. Hero Honda is a joint venture that began in 1984 between the Hero group of India and Honda from Japan. It has been the worlds biggest manufacturer of 2-wheeled motorized vehicles since 2001, when it produced 1.3 million motorbikes in a single year. Hero Hondas Splendor is the worlds largest selling motorcycle.Its 2 plants are in Dharuhera and Gurgaon, both in Haryana, India. It specializes in doubled use motorcycles that are low powered but very fuel efficient.Contents1HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaModels HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaModelsModels1.1HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaBikes HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaBikesBikes2HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaCompany_Profile HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaCompany_ProfileCompany Profile2.1HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaJust-in-Time HYPERLI NK http//en.wikipedia.org/wiki/Hero_HondaJust-in-TimeJust-in-Time2.2HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaAncillarisation HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaAncillarisationAncillarisation2.3HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaDealer_Network HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaDealer_NetworkDealer Network2.4HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaFinancial_Planning HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaFinancial_PlanningFinancial Planning2.5HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaQuality HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaQualityQuality2.6HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaDiversification HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaDiversificationDiversification3HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaExternal_links HYPERLINK http//en.wikipedia.org/wiki/Hero_HondaExternal_linksExternal links Models BikesHero Honda Splendor PlusHero Honda Passion PlusHero Honda KarizmaHero H onda CBZHero Honda Super SplendorHero Honda CD DawnHero Honda CD DeluxeHero Honda GlamourMARKETING s agents from Hero travels to all the corners of the country, visiting dealers and send back daily postcards with information on the stock dumbfound that day, turnover, fresh purchases, anticipated demand and also competitor action in the region. The manufacturing units have a separate department to handle dealer complaints and problems and the first receipt is always given in 24 hours.HYPOTHESIS Financial PlanningThe Hero Group benefits from the Group Chairmans financial acumen and his grasp on engine room, manufacturing and marketing. Group Company, Hero Cycles Limited has one of the highest labor productivity rates in the world. In Hero Honda Motors Limited, the focus is on financial and raw material management and a low employee turnover. Quality Quality at Hero is attained not just by modern plants and equipment and through latest technology, but by enforcing a grim discipline . At the Group factories, attaining quality standards is an everyday practice a strictly pursued discipline. It comes from an amalgamation of the latest technology with deep-rooted experience derived from nearly four decades of hard labor. It is an attitude that masters the challenge of growth and change change in consumers perceptions about products and new aspirations arising from a new generation of buyers.Constant technology up gradation ensures that the Group stays in the global mainstream and maintains its competitive edge. With each of its foreign collaborations, the Group goes onto strengthen its quality measures as per the book. The Group also employs the services of independent experts from around the world to assist in new design and production processes. Diversification Throughout the years of enormous growth, the Group Chairman, Mr. Lall has actively looked at diversification. A considerable level of backward integration in its manufacturing activities has been ample in the Groups growth and led to the establishment of the Hero Cycles Cold whorl Division, Munjal and Sunbeam Castings, Munjal Auto Components and Munjal Showa Limited amongst other component-manufacturing units.OUTCOMESAfter the data has been collected, it was tabulated and findings of the project were presented followed by analysis and interpretation to reach certain conclusions.Q-1 Which Model do you stomach?Hero HondaBajajSplender21CT 1007Passion13Discover12Karizma7Pulsar11 either other6Any other8Q-2 In which family Income level do you Fall?100000-20000022200000-30000045300000-40000023above 40000010Q-3 How would you rate the following factors of Bikes with respect to varied company?Hero HondaBajajMileage74%72%Price68%65%Pick up70%80%Maintenance58%62%Look Shape85%80%Brand Image53%55%ConclusionMost of the Pulsar, CBZ Karizma are purchased by young generation 18 to 30 because they prefer stylish looks and rest of the models of Hero Honda are purchased more by daily users who nee ds more average of bikes than looks.Hero Honda is considered to be more or less fuel-efficient bike on Indian roads.Service Spare parts are available throughout India in local markets also.While buying a motorcycle, miserliness is the main consideration in form of maintenance salute, fuel efficiency.Majority of the respondent had bought their motorcycle more than 3 years.RECOMMENDATIONSBajaj should introduce some more models having more engine power.Hero Honda should think about fuel efficiency in case of upper segment bikes.More service centers should be opened.Maintenance cost and the availability of the spare parts should also be given due importance.They also introduce some good finance/discount schemes for students.The price should be economic.