A brief description on Rahul Bajaj Life. it definitly give you some insight of his life. And hopefully helping you.

1. ENTREPRENEURSHIP
DEVELOPMENT

3. INTRODUCTION
Rahul Bajaj is the chairman and managing director of the
Bajaj Group. He is a businessman, politician and
philanthropist. He is a renowned industrialist and
internationally known figure. He is the grandson of Jamnalal
Bajaj, who founded the Bajaj Group.

4. FAMILY BACKGROUND
• Rahul Bajaj was born in Kolkata on 10th June 1938. His father was
Kamalnayan Bajaj and mother Savitr Bajaj.
• He was born in a Rajasthani Marwari family of businessmen; Jamnalal
Bajaj was the grandfather of Rahul Bajaj. Rahul’s father Kamalnayan
Bajaj had the privilege of being raised under the shadow of three great
souls - his father Jamnalal Bajaj, mentor Mahatma Gandhi and teacher
Vinoba Bhave.
• The Bajaj family took part in India’s freedom fighting movement.
• The members of the family were imprisoned by the British for their
participation in India’s independence struggle.

5. RAHUL JOURNEY
Rahul did his schooling from The Cathedral and John Connon School in
Mumbai. He did his B.A.(Hon) degree in Economics from St. Stephen’s
College in Delhi in 1958. He returned to Mumbai to continue his studies
in Law. At the same time he thought of joining hands with his father,
Kamalnayan. He joined the family business. With the family background
of businessmen, he too had an aspiration to become a businessman. He
would attend college in the mornings and spend the evenings in Bajaj
Electricals. At that time India was a socialist state. There was hardly any
entrepreneurship. For everything a government approval was needed.
Rahul was a Junior Purchase Officer in Mukund Steels during 1961-62.

6. Later he went to Harvard Business School in USAin 1964.Rahul’s
upbringing was more of a middleclass than the elite. Even when he
started working in the Bajaj group, he never thought of having a
secretary. He was known as a straight forward man. He would always
carry his identity card which hanged to his safari suit.

7. BAJAJ TEMPO
Rahul Bajaj joined Bajaj Tempo on 26th November 1964. At that time he was 26 years old.
He took charge of the Commercial Department. That included Purchase, Marketing, Sales,
Audit, Finance and Accounts. That did not look after Production department.
Naval Firodia was his boss. Firodia was the Chief Executive of Bajaj Auto and Managing
Director of Bajaj Tempo. He started production of 3 wheelers in Bajaj tempo in 1957.
Naval Firodia used the knowledge of Italian technology. The first Vespa scooter produced by
Bajaj Auto rolled out in the suburbs of Goregaon. Bajaj Auto was in Kurla. After sometime
both the factories were shifted to Akurdi near Pune. The land where both the factories were
built was a belt of grass.
The Bajaj couple was living in the premises of his factory for three decades.

8. (SHOWSSIMPLICITY)
The Bajaj couple wasliving in the premisesof his factoryforthreedecades.
They shiftedfromMumbaito Pune.They weregiven a roommeasuring10*12feetin the guesthouse.In
1965 on the day Dasara,the couplewentto live in the new house.
In 1979 there was disturbance in factory premises due to labor trouble.
There was police firing. Even during the period, the Bajaj couple
preferred to inside the factory home.

9. SPLIT IN THE FAMILY BUSINESS
Naval Firodia had a lion’s share in establishing Bajaj Tempo and Bajaj Auto. He and his
brother were excellent managers and helped the company become at pinnacle.
The capital was provided by Bajaj family.
Firodia held ¼ of the shares in the company which had the managing agency. Firodia
was buying shares from the market.
During, this period, Rahul Bajaj joined the Bajaj Group. And This came to the notice of
Rahul When shares came to him for transfer, he refused. This became a root cause of
the dispute.
At that time Firodia resign from Bajaj Auto and Bajaj Tempo. At that both companies
had combined sale of 7 crore.

10. AGREEMENT WITH ITALY
Piaggio of Italy signed an agreement with Bajaj Auto to produce scooters in
India in 1960. Vespa scooters are popular in India as well as in Italy. From the
higher class to lower class, everyone owned this scooters.
The technological collaboration between the two companies came to end in
1971.
Indra Gandhi refused to extend the contract with Piggaio.
Rahul Bajaj got it as opportunity and capture the market for Indian scooters.
Now, they broke collaboration.
Due to his strict and disciplined management, Bajaj Chetak and Bajaj Super
models had a huge demand in Indian market.

11. BAJAJ CHETAK ON ROAD
It is Rahul Bajaj who made scooters popular. The new Bajaj Chetak entered
the Indian market. The make, the look and the affordable price created a
storm in Indian Market. Everyone had a dream owning a Bajaj Chetak. There
was along wait for the purchase of scooters.
But people took advantage of this demand and started selling the scooters in
the black market for double price.
Rahul believed that the customer must get the best quality at a lowest price.
He also insisted the worker must earn affair wage.

12. • Knowing fully well the demand of scooters, the government did not grant him
permission to expand his capacity.
Bajaj expressed his anger in these words. “ my blood boiled when the country was in
dire need of scooters, a common man had to wait for 10 years to get a Bajaj Scooter.
In spite of this, I was not allowed to expand the production. What sort of
socialism was this?” ( India had socialist economy at that time)

13. The Bajaj Chetak was a popular Indian –made motor scooter produced by
Bajaj Auto company. The chetak is name after chetak, the legendary horse
of the Indian warrior Rana Pratap Singh.
Originally based on Italian Vespa Sprint, Chetak was an affordable means
of transportation for millions of Indian families for decades and lovingly
called Hamara Bajaj.
At this point, the best selling Bajaj Model, was selling 1,00,000 units per
month. The waiting list could last a decade and desperate buyers would pay
huge premiums above the list price to get one.

14. Growth of Bajaj Auto
The contract between Piaggio and Bajaj auto came to end. By seeing the
growth of Bajaj auto, after a period of some years, Piaggio filed a suit in the
court of California.
They alleged that Bajaj had stolen their designs.it had filed a suit even in
West German high court. They alleged that Bajaj had not returned the original
designs. They also alleged that Bajaj had violated the terms of contract.
Bajaj replied Why they kept silent for a period of 10 years?
The argument did not sustain for many days. Bajaj won the case and this
helped them in the rate of Bajaj Auto exports.

15. PERMISSION TO EXPAND
During 1977 congress party lost the election. The Janta party won the
election. George Fernandez became the Industries minister. He sanctioned
for the expansion of 1,60,000 scooters. Rahul Bajaj extremely happy as he
could produce scooters and satisfy the need of the people.
When Rajeev Gandhi came to power, he wanted to expand the industries and
increase the economic condition of the country. He gave a sanction to
increase the production capacity . ND Tiwari the then industries minister,
sanctioned to set of industries that could produce 300000 scooters per year.
New plants were set up with increased capacity. An investment was made of
200 crores and in 14 months new plant established.

16. This shows zeal and efficiency of Rahul Bajaj. These things gave strength to the Bajaj
Auto to compete with the world market. He claims that scooters produced in Bajaj
Auto were cheaper by 20% after he earned a profit of 20%.

17. DIFFICULTIES ON THE PATH OF SUCCESS
The government was suspicious about the success and the profit that
company was making. The government had suspected that the group was not
accounting properly. It felt that the company was not paying taxes. The
company was raided twice. The first raid was on 18th may 1976. It was during
the period of emergency.
The second raid was done in 1985. Bajaj premise was extensively raided.
Though Rahul Bajaj faced such a difficult time, he did not compromise on his
principles. He stood firm and face the situation.

18. MANAGING DIRECTOR OF INDIAN AIRLINES
While Bajaj passed through a difficult face of raids, new challenge was waiting
for him. Rajiv Gandhi appointed him as the managing director of Indian
Airlines.
The Indian Airlines had lost its popularity due to non punctuality and handling
of customers. There was shortage of aircrafts; the aircrafts were not being
maintained properly.
When Rahul Bajaj attended the meeting In Kolkata, he had criticized the
functioning of India Airlines. The politicians were against appointing any
private entrepreneurs to look after the affairs of airlines.
Rahul Bajaj continued as MD for sometime. When Rajiv Gandhi lost the power
in government, Rahul Bajaj also stepped down from Indian Airlines.

19. FACING ATOUGH COMPETITION
Honda, another manufacturing company entered the market. It sold scooter
85000 in 1993. it was a big challenge for Bajaj Auto.
Though Bajaj Group sold 538000 scooters in that year, the competition made
Rahul Bajaj restless.
Rahul Bajaj was preparing to face challenge of Honda. He started a scientific
marketing approach in organization. He appointed 100 new dealers. They
started auto finance scheme.
Rahul Bajaj made an entry in the manufacturing of motorcycles. Today, Bajaj
Auto is the world third-largest manufacturer of motorcycles and second
largest in India. And it is true world’s largest manufacturer three-wheelers.

20. SECRET BEHIND SUCCESS
Under the leadership of Rahul Bajaj, the chairman of the group the turnover
of the Bajaj Auto has gone up to 20,000 crore. The Brand has found a global
market. Rahul Bajaj is one of the distinguished businessman and a business
leader.
He is internationally respected for his entrepreneurial spirit. His health has
forced him to cut down the working hours in Bajaj Auto, Bajaj Group dates
back to 1926 with a movement for independence from the British. This group
has a history. The dedication with which employers and employees, the
integrity and their resourcefulness and determination to achieve success are
the great qualities of this group.

21. He is internationally respected for his entrepreneurial spirit. His health has
forced him to cut down the working hours in Bajaj Auto, yet he did not take
a complete retirement.
Even today he takes care to inspect the vehicles ready to be dispatched.
This shows keenness about the company and all its activities.

22. CORPORATE SOCIAL RESPONSIBILITY
Rahul Bajaj started Jamnalal Bajaj Foundation and Shiksha Mandal,
Bharatiya Yuva Shakti Trust and many other social organizations'.
He started hospitals including Ruby Hall Clinic in Pune. He is the chairman of
hospital.
Jamnalal Bajaj’s family continuous to leave by the Gandhian beliefs: That
philanthropy is as much about doing good for society as it is about following
the principles of simplicity, integrity and hard work in one’s life.

23. AWARDS AND RECOGNITION
1. Rahul Bajaj has received Padam Bhushan from Government of India in
2001.
2. France bestowed the honor of ‘Ordre de la Legio de’ Honneur’ or ‘Knight
in the Order of the Legion of Honor’. This is in recognition of his
remarkable career as businessman.
3. He has been conferred Honorary Doctorates by 7 Universities including IIT
Roorkee.
4. He received Alumni achievement awards by Harvard Business School.

24. 5. Life Time Achievement Awards from Economics times.
6. He was the President of Confederation of Indian Industry (CII-1979-
80/1999-2000).
7. He was the President of Society of Indian Automobiles Manufacturers
(SIAM) and Maharashtra Chamber of Commerce, Industry and Agriculture
(MCCIA) and Chairman of the Development Council for Automobiles and
Allied Industries.
8. He was the Chairman of the Government owned domestic carrier, Indian
Airlines.
9. He was elected to Rajya Sabha from Maharashtra.

25. RAHUL BAJAJ THOUGHTS AND ADVICE
Every Business school today teaches family business. The basic principle comes to
my mind are love, truth and nonviolence. You follow those and then there will be no
problems. If you don’t, then that give rise to ego, selfishness, greed and pride.
Be reasonable believe in give-and-take and don’t be greedy. If you make
motorcycles and nobody buys them, you will go bankrupt like company which are not
customer centric.
Take care of the customer. If you cheat him bad quality, charge him more than you
should, he will not buy and you are in trouble. This is not a charity mindset. It is an
enlightened, ‘Good Businessman’ mindset.

26.  Integrity and character matter. Without them, no amount of ability can get
you anywhere. In addition, you need courage to make difficult decisions,
and courage to oppose something if your conscience tells you that you
are right.
 I have always been own man. My father, the late Kamalnayan Bajaj
instilled in me the need for integrity and ethical dealings in business and
my stint in Harvard convinced me that our closed economy was an
aberration, and one needed to ready for an open economy.