2. INTRODUCTION
• Bajaj Auto Limited is an Indian two-wheeler
and three-wheeler manufacturing company.
• Bajaj Auto is a part of the Bajaj Group.
It came into existence on Nov 29, 1945
as M/s Bachraj Trading Corporation
Private Limited.
• It is the world's third-largest manufacturer
of motorcycles and the second-largest in India.
• Bajaj auto products:
Motorcycles
Three- wheelers
Cars
3. BAJAJ AUTO’S VISION AND MISSION
STATEMENT
• Vision statement:
To attain world class excellence by demonstrating value added
products to customers.
• Mission statement:
Focus on value based manufacturing.
Fostering team work and enhancing the capability of the team
Continual improvement
Total elimination of wastes
Pollution free and safe environment
4. ACTIVITIES AT THE CORPORATE LEVEL
•
Bajaj auto has finalized
entry into new markets in
alliance with Kawasaki in a bid to
boost exports and will use the network of
Kawasaki in many of these growing
markets to enter these countries.
•
It has finalized a Pulsar-led strategy to enter ASEAN and Brazil
markets and also plans to launch the Pulsar in Thailand and Malaysia
in 2014.
5. ACTIVITIES AT DIVISION LEVEL
•
Bajaj Auto will be showcasing
a range of new products at the
Auto Expo this year which
will be launched during the
course of the year.
•
These new products will be
from the Pulsar and Discover
range of motorcycles &
there will also be production
ready RE 60 on display.
The exact details on what
these new motorcycles will be
isn't clear yet, but we expect the
unveiling of the long awaited Pulsar 200SS.
6. ACTIVITY AT SBU LEVEL
There is product line of 4 products pulsar 150, 180,200,220. Their strategy
is to increase there market share, so they relaunch pulsar 200 with new
pulsar 200 ns with some new innovations and changes which made it
more attractive and increased its quality.
7. SWOT ANALYSIS
STRENGTHS
WEAKNESS
1. Excellent brand presence and marketing in
India
2. Extensive research and development focus and
highly experienced player in the motorcycle
segment
3. Widespread distribution network across India
4. Wide product range in terms of price, quality
and categories
5. Featured in the Forbes Global brands list
1.Not a global brand despite high volume
production.
2.Lack of performance bikes like major
international brands and sports bikes &
cruisers
OPPOURTUNITY
THREATS
1. Bajaj Auto says its $2,500 car, which it is
building with Renault and Nissan Motor, will
aim at a fuel-efficiency of 30 km per litre.
2. Cheaper variants for tapping more in the rural
segment
3. Premium sports bikes for urban areas
4. Constant growth in the two-wheeler segment
1.Cheaper imports from countries like China
2. Entry of international brands
3.Other motorcycle players have a strong brand
presence.
8. PORTER’S 5 FORCES
• Rivalry among existing firms – HIGH.
The two-wheeler industry is categorized by intense
competition mainly between the three majors –
Bajaj Auto, Hero motocorp & T V S Motors Co.
• Threat of Substitute Product – HIGH.
The two-wheeler industry face direct competition
from the automobile sector. With the increase in disposable
income & increase in bank finance people prefer to have cars
rather than two wheelers. Thus the demand for cars affects
the demand for two-wheelers.
9. • Barriers to entry –HIGH.
The barriers to entry & exit are high. The three big players dominate
the two-wheeler sector - Bajaj Auto, Hero motocorp & T V S Motor Co.
The investment required to compete with these giants would
be significant. Thus it is very difficult for newcomers
to enter this market.
Bargaining power of suppliers – POOR.
The two-wheeler industry they rely on only a few select
vendors. Thus the bargaining power is poor.
Around 60%-90% of the product is outsourced thus the
suppliers have a direct impact on the companies cost & profitability.
• Bargaining power of buyers –HIGH.
The bargaining power of the buyers is high. There are a variety of products
available to customers to choose from. The customer is treated “as a king”.
10. BCG MATRIX OF BAJAJ AUTO
Stars :-
Question marks :-
Pulsar 220,discover
Pulsar 200 NS
Cash cow :-
Dogs :-
Ninja, Duke
Platina, Avenger,CT 1500