BAJAJ AUTOMOBILES SALES MARKETING PROJECT (print out)

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MARKETING MANAGEMENT

ENROLLMENT NO-1442051708

8/10/2009

VIPLOB MITRA

PROJECT REPORT ON MARKETING MANAGEMENT SUBMITTED IN PARTIAL FULFILLMENT OF THE THE REQUIREMENT FOR THE AWARD OF YHE DEGREE OF BACHELOR’S OF BUSINESS ADMINISTRATION (GENERAL) TO GURU GOBIND SINGH I.P UNIVERSITY, NEW DELHI (SESSION- 2008-11)

Under the guidance of Submitted by- RAHUL SAINI ----------------------------- Enrollment no- 1442051708 B.B.A III SEMESTER

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STUDENT CERTIFICATE

I MR. rahul Enrollment no-1442051708 Certify that the project report entitle Marketing management submitted in Partial fulfillment of the requirement Of the bachelor of business Administration course of guru go bind Singh I.P University, New Delhi This is also certified that this project Is done by me as original work and it Has not been submitted or published Anywhere else for any other purpose Name – rahul Enroll no-1442051708 B.B.A III semester

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GUIDE CERTIFICATE

I hereby certify that Mr. RAHUL enrollment no

1442051708 of B.B.A III Semester has done the

project entitled marketing management under my

guidance he has shown great interest and enthusiasm

in the project and I wish him good luck in all future

Endeavour’s. Name - Rahul Project guide - Counter signed - Director -

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ACKNOWLEDGEMENT

My teacher Mr. raghvender sir is my mentor and HE helped me out in this Project, he told me much About the topic Marketing Management, Scope, limitation and Many other important Areas this project activity ( VIPLOB)

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TABLE OF CONTENTS

Page

no.

CHAPTER 1Company History

1

Company Profile

10

Company Flashback

14

CHAPTER 2Objectives 16

Research Methodology

17

CHAPTER 3

7

Data Collection

o Products 19

o Key Policies 26

o Group Companies

28

o Segment wise results 30

o Sales 31

o Swot analysis 33

CHAPTER 4Infrastructure of bajaj 35

Management Profile 36

HR of Bajaj 37

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CHAPTER 5Findings\ Analysis

40

Suggestions 42

CHAPTER 6Conclusion 44

CHAPTER 7Bibliography 46

CHAPTER 8Annexure 47

COMPANY HISTORY

Company Perspectives:

Our Philosophy: We approach our responsibilities

with ambition and resourcefulness. We organize

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ourselves for a transparent and harmonious flow of

work. We respect sound theory and encourage

creative experimentation. And we make our

workplace a source of pride. We believe in:

Transparency a commitment that the business is

managed along transparent lines. Fairness &

mdashø all stakeholders in the Company, but

especially to minority shareholders. Disclosure--

of all relevant financial and non-financial information

in an easily understood manner.

Supervision--of the Company's activities

by a professionally competent and independent

Board of Directors.

Key Dates:

1945: Bajaj Auto is founded.

1960: Rahul Bajaj becomes the Indian licensee for Vespa scooters.

1977: Technical collaboration with Piaggio ends.

1984: Work begins on a second plant.

1998: Bajaj plans to build its third plant to meet demand.

2000: Thousands of workers are laid off to cut costs.

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Company History:

Bajaj Auto Limited is India's largest manufacturer of

scooters and motorcycles. The company generally

has lagged behind its Japanese rivals in technology,

but has invested heavily to catch up. Its strong suit is

high-volume production; it is the lowest-cost scooter

maker in the world. Although publicly owned, the

company has been controlled by the Bajaj family

since its founding.

Origins

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

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wealth for the common good I always had this

merchant prince principally in mind,' said the

Mahatma after Jamnalal's death.

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 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.

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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 favor of two-wheelers, much cheaper to

buy and many times more fuel-efficient.

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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 Autorickshaw in 1976

and 1977. Bajaj Auto produced 100,000 vehicles in

the 1976-77 fiscal year 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 Rs 52 million ($5.4 million) in

1981-82, although total revenues rose five percent to

Rs 1.16 billion. Pretax profits were cut in half, to Rs

63 million.

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New Competition in the 1980s

Japanese and Italian scooter companies began

entering the Indian market in the early 1980s.

Although some boasted superior technology and

flashier brands, Bajaj Auto had built up several

advantages in the previous decades. Its customers

liked the durability of the product and the ready

availability of maintenance; the company's distributors

permeated the country.

The Bajaj M-50 debuted in 1981. The new fuel-

efficient, 50cc motorcycle was immediately

successful, and the company aimed to be able to

make 60,000 of them a year by 1985. Capacity was

the most important constraint for the Indian

motorcycle industry. Although the country's total

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production rose from 262,000 vehicles in 1976 to

600,000 in 1982, companies like rival Lohia Machines

had difficulty meeting demand. Bajaj Auto's advance

orders for one of its new mini-motorcycles amounted

to $57 million. Work on a new plant at Waluj,

Aurangabad commenced in January 1984.

The 1986-87 fiscal year saw the introduction of the

Bajaj M-80 and the Kawasaki Bajaj KB100

motorcycles. The company was making 500,000

vehicles a year at this point.

Although Rahul Bajaj credited much of his company's

success with its focus on one type of product, he did

attempt to diversify into tractor-trailers. In 1987 his

attempt to buy control of Ahsok Leyland failed.

The Bajaj Sunny was launched in 1990; the Kawasaki

Bajaj 4S Champion followed a year later. About this

time, the Indian government was initiating a program

of market liberalization, doing away with the old

'license raj' system, which limited the amount of

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investment any one company could make in a

particular industry.

A possible joint venture with Piaggio was discussed in

1993 but aborted. Rahul Bajaj told the Financial

Times that his company was too large to be

considered a potential collaborator by Japanese firms.

It was hoping to increase its exports, which then

amounted to just five percent of sales. The company

began by shipping a few thousand vehicles a year to

neighboring Sri Lanka and Bangladesh, but soon was

reaching markets in Europe, Latin America, Africa,

and West Asia. Its domestic market share, barely less

than 50 percent, was slowly slipping.

By 1994, Bajaj also was contemplating high-volume,

low-cost car manufacture. Several of Bajaj's rivals

were looking at this market as well, which was being

rapidly liberalized by the Indian government.

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Bajaj Auto produced one million vehicles in the 1994-

95 fiscal year. The company was the world's fourth

largest manufacturer of two-wheelers, behind Japan's

Honda, Suzuki, and Kawasaki. New models included

the Bajaj Classic and the Bajaj Super Excel. Bajaj

also signed development agreements with two

Japanese engineering firms, Kubota and Tokyo R &

D. Bajaj's most popular models cost about Rs 20,000.

'You just can't beat a Bajaj,' stated the company's

marketing slogan.

The Kawasaki Bajaj Boxer and the RE diesel

Autorickshaw were introduced in 1997. The next year

saw the debut of the Kawasaki Bajaj Caliber, the

Spirit, and the Legend, India's first four-stroke scooter.

The Caliber sold 100,000 units in its first 12 months.

Bajaj was planning to build its third plant at a cost of

Rs 4 billion ($111.6 million) to produce two new

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models, one to be developed in collaboration with

Cagiva of Italy.

New Tools in the 1990s

Still, intense competition was beginning to hurt sales

at home and abroad during the calendar year 1997.

Bajaj's low-tech, low-cost cycles were not faring as

well as its rivals' higher-end offerings, particularly in

high-powered motorcycles, since poorer consumers

were withstanding the worst of the recession. The

company invested in its new Pune plant in order to

introduce new models more quickly. The company

spent Rs 7.5 billion ($185 million) on advanced,

computer-controlled machine tools. It would need new

models to comply with the more stringent emissions

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standards slated for 2000. Bajaj began installing Rs

800 catalytic converters to its two-stroke scooter

models beginning in 1999.

Although its domestic market share continued to slip,

falling to 40.5 percent, Bajaj Auto's profits increased

slightly at the end of the 1997-98 fiscal year. In fact,

Rahul Bajaj was able to boast, 'My competitors are

doing well, but my net profit is still more than the next

four biggest companies combined.' Hero Honda was

perhaps Bajaj's most serious local threat; in fact, in

the fall of 1998, Honda Motor of Japan announced

that it was withdrawing from this joint venture.

Bajaj Auto had quadrupled its product design staff to

500. It also acquired technology from its foreign

partners, such as Kawasaki (motorcycles), Kubota

(diesel engines), and Cagiva (scooters). 'Honda's

annual spend on R & D is more than my turnover,'

noted Ruhal Bajaj. His son, Sangiv Bajaj, was working

to improve the company's supply chain management.

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A marketing executive was lured from TVS Suzuki to

help push the new cycles.

Several new designs and a dozen upgrades of

existing scooters came out in 1998 and 1999. These,

and a surge in consumer confidence, propelled Bajaj

to sales records, and it began to regain market share

in the fast-growing motorcycle segment. Sales of

three-wheelers fell as some states, citing traffic and

pollution concerns, limited the number of permits

issued for them.

In late 1999, Rahul Bajaj made a bid to acquire ten

percent of Piaggio for $65 million. The Italian firm had

exited a relationship with entrepreneur Deepak

Singhania and was looking to reenter the Indian

market, possibly through acquisition. Piaggio itself

had been mostly bought out by a German investment

bank, Deutsche Morgan Grenfell (DMG), which was

looking to sell some shares after turning the company

around. Bajaj attached several conditions to his

purchase of a minority share, including a seat on the

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board and an exclusive Piaggio distributorship in

India.

In late 2000, Maruti Udyog emerged as another

possible acquisition target. The Indian government

was planning to sell its 50 percent stake in the

automaker, a joint venture with Suzuki of Japan. Bajaj

had been approached by several foreign car

manufacturers in the past, including Chrysler

(subsequently DaimlerChrysler) in the mid-1990s.

Employment fell from about 23,000 in 1995-96 (the

year Bajaj suffered a two-month strike at its Waluj

factory) to 17,000 in 1999-2000. The company

planned to lay off another 2,000 workers in the short

term and another 3,000 in the following three to four

years.

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Principal Subsidiaries: Bajaj Auto Finance Ltd.;

Bajaj Auto Holdings Ltd.; Bajaj Electricals Ltd.; Bajaj

Hindustan Ltd.; Maharashtra Scooters Ltd.; Mukand

Ltd.

Principal Competitors: Honda Motor Co., Ltd.;

Suzuki Motor Corporation; Piaggio SpA.

COMPANY PROFILE

Bajaj Auto Ltd. is the largest exporter of two and three

wheelers. With Kawasaki Heavy Industries of Japan,

Bajaj manufactures state-of-the-art range of two-

wheelers. The brand, Pulsar is continually dominating

the Indian motorcycle market in the premium

segment. Its Discover DTSi is also a successful bike

on Indian roads.

Quick Facts

Founder Jamnalal Bajaj

Year of Establishment 1926

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Industry Automotive - Two & Three Wheelers

Business Group The Bajaj Group

Listings & its codesBSE - Code: 500490; NSE - Code:

BAJAJAUTO

Presence Distribution network covers 50

countries.

Dominant presence in Sri Lanka,

Bangladesh, Columbia, Guatemala,

Peru, Egypt, Iran and Indonesia.

Joint Venture Kawasaki Heavy Industries of Japan

Registered & Head Office Akurdi

Pune - 411035

India

Tel.: +(91)-(20)-27472851

Fax: +(91)-(20)-27473398

Works Akurdi, Pune 411035

Bajaj Nagar, Waluj

Aurangabad 431136

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Chakan Industrial Area,

Chakan, Pune 411501

E-mail [email protected]

Website www.bajajauto.com

Segment and Brands

Products Brands

Motorcycle

s4S

4S

ChampionBajaj Avenger

Bajaj CT

100

Bajaj

DiscoverBajaj Platina

Bajaj

Pulsar

Bajaj Pulsar

DTSiBajaj Sonic

Bajaj

Wind 125

Bajaj XCD

125 Boxer

Caliber Caliber115Kawasaki Bajaj

Eliminator

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KB RTZ KB100 KB125

ScootersBajaj

Chetak

Bajaj Kristal

DtsiBajaj Wave

Since 1986, there is a technical tie-up of Bajaj Auto

Ltd. with Kawasaki Heavy Industries of Japan to

manufacture state-of-art range of latest two-wheelers

in India. The JV has already given the Indian market

the KB series, 4S and 4S Champion, Boxer, the

Caliber series, and Wind125.

Kawasaki Heavy Industries is a Fortune 500 company

with a turnover of USD 10 billion (Rs. 45,840 crore). It

has crafted new technologies for more than hundred

years. The technologies of KHI have redefined space

systems, aircrafts, jet engines, ships, locomotive,

energy plants, automation system, construction

machinery, and of course high reliability two-

wheelers.26

KHI has given the world its legendary series of 600-

1200cc Ninja and 1600 Vulcan bikes. Straight from its

design boards, the Kawasaki Bajaj Eliminator, India's

first real cruiser bike, redefines the pleasure of

"biking" in looks as well as performance.

The group’s flagship company, Bajaj Auto, is ranked

as the world’s fourth largest two- and three- wheeler

manufacturer and the Bajaj brand is well-known in

over a dozen countries in Europe, Latin America, the

US and Asia.

Founded in 1926, at the height of India's movement

for independence from the British, the group has an

illustrious history. The integrity, dedication,

resourcefulness and determination to succeed which

are characteristic of the group today, are often traced

back to its birth during those days of relentless

devotion to a common cause. Jamnalal Bajaj, founder

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of the group, was a close confidant and disciple of

Mahatma Gandhi. In fact, Gandhiji had adopted him

as his son. This close relationship and his deep

involvement in the independence movement did not

leave Jamnalal Bajaj with much time to spend on his

newly launched business venture.

His son, Kamalnayan Bajaj, then 27, took over the

reins of business in 1942. He too was close to

Gandhiji and it was only after

Independence in 1947, that he was able to give his

full attention to the business.

Kamalnayan Bajaj not only consolidated the

group, but also diversified into various manufacturing

activities.

The present Chairman of the group, Rahul Bajaj, took

charge of the business in 1965. Under his leadership,

the turnover of the Bajaj Auto the flagship

company has gone up from Rs.72 million to

Rs.100.76 billion (USD 2.3 billion), its product

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portfolio has expanded from one to and the brand

has found a global market. He is one of

India’s most distinguished business leaders and

internationally respected for his business

acumen and entrepreneurial spirit.

.

COMPANY FLASHBACK

'Inspiring Confidence,' the tagline, has build up

confidence, through excitement engineering, not only

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to domestic consumers but also internationally.

Established just eight decades back in 1926 by

Jamnalal Bajaj, the company has been vested with

India's largest exporter of two and three

wheelers, 196,710 units in 2004-

05, a great 26 per cent jump over the previous year.

Bajaj Auto Ltd. sales have increased by

approximately 21 per cent in the year 2004-05, which

exceeds Rs 65.4 billion, a record in the history of the

company. The gross operating profit stands at Rs. 9.3

billion, again a record. The profits after tax of the BAL

are close to Rs. 7.7 billion, and the pre-tax return on

operating capital is at an impressive 80 per cent.

The strength of the company is its quality products,

excellence in engineering and design, and its ability to

delight the customers. The Pulsar, introduced in

November 2004, is continually dominating the

premium segment of the motorcycle market, helping

to maintain the market superiority. Discover DTSi, one

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more successful bike on Indian roads, is in the 'value'

segment of the motorcycle market. It incorporates a

high degree of power with fuel efficiency of a 100 cc

motorcycle.

BAL is committed to prevention of pollution, continual

improvement of environment performance and

compliance with all environmental legislation and

regulations. They always believe in providing the

customer 'value for money' and keeps an special eye

upon quality, safety, productivity, cost and delivery.

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

(near Pune),Waluj (near Aurangabad) and Pantnagar

in Uttaranchal. Bajaj Auto makes and exports

motorscooters, motorcycles and the auto rickshaw.

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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

OBJECTIVES

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THE MAIN OBJECTIVE TO STUDY THIS

PROJECT IS TO KNOW ABOUT THE DIFFERENT

STRATEGIES OF BAJAJ LTD. THE MAIN

OBJECTIVES IN THE MIND:

o TO STUDY COMPANY PROFILE

o TO STUDY THE PRODUCTS OFFERED

o TO STUDY THE FINANCIAL POSITION OF

BAJAJ

AUTOMOBILES

o TO STUDY THE DIFFERENT POLICIES

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o TO STUDY THE PRICE RANGE OF

DIFFERENT

PRODUCTS OF DIFFERENT COMPANIES.

RESEARCH METHODOLOGY

Research methodology defines what the activity of

research is, how to proceed, how to measure

progress, and what constitutes success. AI

methodology is a jumbled mess. Different

methodologies define distinct schools which wage

religious wars against each other.

Methods are tools. Use them; don't let them use you.

Don't fall for slogans that raise one above the others:

``AI research needs to be put on firm foundations;''

``Philosophers just talk. AI is about hacking;'' ``You

have to know what's computed before you ask how.''

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To succeed at AI, you have to be good at technical

methods and you have to be suspicious of them. For

instance, you should be able to prove theorems and

you should harbor doubts about whether theorems

prove anything.

Most good pieces of AI delicately balance several

methodologies. For example, you must walk a fine

line between too much theory, possibly irrelevant to

any real problem, and voluminous implementation,

which can represent an incoherent munging of ad-hoc

solutions. You are constantly faced with research

decisions that divide along a boundary between

``neat'' and ``scruffy.'' Should you take the time to

formalize this problem to some extent (so that, for

example, you can prove its intractability), or should

you deal with it in its raw form, which ill-defined but

closer to reality? Taking the former approach leads

(when successful) to a clear, certain result that will

usually be either boring or at least will not Address the

Issues; the latter approach runs the risk of turning into

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a bunch of hacks. Any one piece of work, and any

one person, should aim for a judicious balance,

formalizing subproblems that seem to cry for it while

keeping honest to the Big Picture.

Some work is like science. You look at how people

learn arithmetic, how the brain works, how kangaroos

hop, and try to figure it out and make a testable

theory. Some work is like engineering: you try to build

a better problem solver or shape-from algorithm.

Some work is like mathematics: you play with

formalisms, try to understand their properties, hone

them, prove things about them. Some work is

example-driven, trying to explain specific phenomena.

The best work combines all these and more.

Methodologies are social. Read how other people

attacked similar problems, and talk to people about

how they proceeded in specific cases. Research

Methodology can be done by two methods

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1. Primary Data

2. Secondary Data

D ATA COLLECTION

Products

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Two-wheelers

Ungeared - 100 cc

Motorcycles - 100 to 200 cc

Bikes

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Three-wheelers (both passenger and goods

carriers)

175 cc Petrol / CNG / LPG Four Stroke

150 cc Petrol / CNG / LPG Two Stroke

416 cc Diesel

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40

41

Scooters

Three wheelers

1. Goods carriers

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2. Passenger Carriers

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44

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Policies

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Group Companies

Bajaj Auto is the flagship of the Bajaj group of

companies. The group comprises of 35 companies

and was founded in the year 1926. The companies in

the group are:

Bajaj Auto Ltd.Mukand International Ltd.

Mukand Ltd. Mukand Engineers Ltd.

Bajaj Electricals Ltd.Mukand Global Finance Ltd.

Bajaj Hindustan Ltd.Bachhraj Factories Pvt. Ltd.

Maharashtra Scooters Ltd.

Bajaj Consumer Care Ltd.

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Bajaj Auto Finance Ltd. Bajaj Auto Holdings Ltd.

Hercules Hoists Ltd. Jamnalal Sons Pvt. Ltd.

Bajaj Sevashram Pvt Ltd.

Bachhraj & Company Pvt. Ltd.

Hind Lamps Ltd. Jeevan Ltd.

Bajaj Ventures Ltd.The Hindustan Housing Co Ltd.

Bajaj International Pvt Ltd.

Baroda Industries Pvt Ltd.

Hind Musafir Agency Pvt Ltd.

Stainless India Ltd.

Bajaj Allianz General Insurance Company Ltd.

Bombay Forgings Ltd.

Bajaj Allianz Life Insurance Company Ltd.

Bajaj Holdings & Investment Limited

Bajaj Finserv LimitedBajaj Financial Solutions Limited

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Bajaj Financial Solutions Ltd.

Bajaj Allianz Financial Distributors Ltd.

Sanraj Nayan Investments Pvt. Ltd.

P T Bajaj Auto Indonesia (PTBAI)

Bajaj Auto International Holdings BV, Netherlands (BAIBHV).

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SEGMENT-WISE REVENUE, RESULTS AND CAPITAL EMPLOYED

        (Rs. In Lakhs)

  QUARTER ENDED30.09.2008(Unaudited)

QUARTERENDED30.09.2007(Unaudited)

HALF YEAR ENDED 30.09.2008

HALF YEAR ENDED 30.09.2007

YEAR ENDED 31.03.2008(Audited)

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(Unaudited) (Unaudited)

Segment Revenue

Automotive 254843 236182 485919 447047 904617

Investment 2210 2595 5088 5928 12267

Total 257073 238777 491007 452975 916884

Segment Profit/(Loss) before Tax and Interest

Automotive 24968 33351 48293 57425 101722

Investment 2210 2595 5088 5928 12267

Total 27178 35946 53381 63353 113989

Less:

Interest

587 136 679 142 516

Total Profit Before Tax

26591 35810 52702 63211 113473

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Capital Employed

Automotive 140014 148759 140014 148759 136867

Investment 171039 164960 171039 164960 190020

Unallocable (2842) (4965) (2842) (4965) (33596)

Total 308211 308754 308211 308754 293291

Sales in number for the year 20081st October 2008

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Product

For

September

2008

Upto

September

2008

For

September

2007

Upto

September

2007

Motorcycles 217,365 1,120,108 204,152 1,025,558

Other 2

Wheelers1,129 6,965 2,056 13,909

Total 2 Wheelers

218,494 1,127,073 206,208 1,039,467

Three

Wheelers26,887 133,062 26,288 146,217

Grand Total 245,381 1,260,135 232,496 1,185,684

Product 2006-07 2007-08 Growth

Sales in numbers for the month of October 2008 1st November 2008

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Product

For

October

2008

Upto

October

2008

For

October

2007

Upto

October

2007

Motorcycles 163,850 1,283,958 248,307 1,273,865

Other 2

Wheelers1,627 8,592 1,868 15,777

Total 2 Wheelers

165,477 1,292,550 250,175 1,289,642

Three

Wheelers26,363 159,425 28,001 174,218

Grand Total 191,840 1,451,975 278,176 1,463,860

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S.W.O.T ANALYSIS OF BAJAJ

SWOT Analysis is a tool used for understanding an

organization's strengths, weaknesses, opportunities

and threats.

The SWOT Analysis tool can be used in identifying an

organization's strengths (S) and weaknesses (W),

and  examining the opportunities (O) and threats (T) it

is facing. The outcome from a SWOT Analysis

enables organizations to focus on strengths, minimize

weaknesses, address threats, and take the greatest

possible advantage of opportunities available.

Strengths: Our members value the professional designation.

We have a lower course fee structure than similar

programs.

We provide good customer service.

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Our instructors are highly-regarded in the profession.

We have a small staff and low overhead.

Weaknesses:

We are slow to make decisions and adapt to changes

that affect the profession.

The professional designation is rarely included as a

condition of employment.

We are overly dependent on key volunteers who

developed and teach our certification courses.

We do not have the resources to research the market

and promote the designation.

Opportunities:

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Our business sector is expanding, with many future

opportunities for success

Our local council wants to encourage local

businesses with work where possible

Our competitors may be slow to adopt new

technologies

Threats:

Will developments in technology change this

market beyond our ability to adapt?

A small change in focus of a large competitor might

wipe out any market position we achieve

INFRASTRUCTURE OF BAJAJ

Plants58

Bajaj Auto's three plants at Akurdi, Waluj and Chakan in

Maharashtra and one plant at pant

Nagar in Uttranchal, western India, produced 1,814,799 vehicles in

2004-05.

AkurdiGeared scooters, ungeared scooters, CT100 and

Discover

Waluj Bajaj - Kawasaki range of motorcycles and three-

wheelers

Chakan Bajaj motorcycles - Pulsar and Discover

Pant

NagarBajaj motorcycles – Platina

Plant Locations

Bajaj Auto plants are located at:

Mumbai - Pune Road, Akurdi, Pune 411 035

Bajaj Nagar, Waluj, Aurangabad 431 136

MIDC, Plot No A1, Mahalunge Village, Chakan 410 501

Dist. Pune

Plot No. 2, Sectoe 10 Phase -II - E, Pant Nagar, Sidcul,

Rudrapur Dist. Udhamsingh Nagar Uttranchal

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MANAGEMENT PROFILE

Rahul Bajaj Chairman

Madhur

Bajaj

Vice Chairman

Rajiv Bajaj Managing

Director

Sanjiv

Bajaj

Executive

Director

Abraham

Joseph

Vice President (Research &

Development)

Pradeep President (Engineering)

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Shrivastava

S Sridhar CEO (2WH)

R C Maheshwari CEO (Commercial Vehicles)

Rakesh Sharma CEO (International

Business)

C P Tripathi Vice President (Corporate)

N H Hingorani Vice President

(Commercial)

Kevin P D'sa Vice President (Finance)

S Ravikumar Vice President (Business

Development)

K Srinivas Vice President (Human

Resources)

J. Sridhar Company Secretary

HR BAJAJ

Recruitment Policy

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Bajaj Auto is an equal opportunity employer. Selection

is based strictly on individual merit.

A large number of our recruits are fresh engineers

and MBAs. Natural attrition is usually taken care of by

promotions and horizontal movements within the

organisation to provide career opportunities for our

employees. Occasionally, specific skill-sets may

warrant lateral recruitment.

Entry level Recruitment

Engineers: We recruit Engineering Graduates from

reputed institutes from all over India. Bajaj Auto

enjoys an excellent reputation with all National

Institutes of Technology (NITs) and is among the

preferred employers for on-campus recruitment. The

selection process comprises a written test in

technical, analytical and logical reasoning, group

discussion and personal interview.

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Management Graduates: We recruit management

graduates from reputed management institutes all

over India. The selection procedure comprises a

written test in analytical and logical reasoning, group

discussion and personal interview.

All entry-level selections are made through on-

campus recruitment only.

After recruitment, new entrants undergo a thorough

induction-training programme before their placement

in the company. Departments are allocated on the

basis of the individual recruit’s aptitude and our

requirements. Usually, after completing two years of

service they are provided opportunities for job-

rotation.

Work Culture

Our work culture supports and enhances our brand.

The Bajaj brand signifies excitement. Bajaj strives to

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inspire confidence through excitement engineering.

The culture is built on core values of learning,

innovation, perfection, speed and transparency.

Facilitative leadership style helps in developing

leaders at all levels and establishes accountability.

Our Brand Values

We live our brand by its values of Innovation,

Perfection, and Speed.

Bajaj will be distinctly ahead through excitement

engineering.

Innovation is how we create the future. It is a value

that provokes us to reach beyond the obvious in

pursuit of that which exceeds the ordinary.

Perfection

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It is how we set new standards. It is a value that

exhibits our determination to excel by endeavouring 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.

Competency Building

Bajaj Auto has a very flat organisation structure with

three management levels. Each level represents a

specific role and hence needs relevant competencies.

Competency building at Bajaj Auto is a combination of

development for current and future roles.

We cater to these needs by using interventions like

development centres, need-based training and job-

rotation plans. We use different methods of imparting

training like lectures, group-discussions, role-plays,

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seminars, outbound training, assignments and on-the-

job tasks.

Compensation Philosophy

We strive to be amongst the top quartile in our

compensation structure. Competence and

performance are the key drivers of our compensation

policy. A significant part of the compensation is in the

form of variable pay linked to the individual’s and the

organisation’s performance.

FINDINGS

Highlights for 2007-08: Bajaj Auto stand-alone

• Net sales (net of excise duty) decreased by 6.8% to

Rs.86.63 billion.

• Exports increased by 20.8% to Rs.20.48 billion.

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• Motorcycle sales by volume was 2.14 million in

2007-08—a fall of 10% over the previous year,

versus overall market decline.

Motorcycles: Domestic

The two-wheeler market is dominated by

motorcycles, accounting for over 81% of overall sales.

Bajaj Auto, too, focuses on motorcycles

in the two-wheeler segment. As shown in Chart A, in

2007-08, the industry’s overall sales of Twowheelers

declined by 4.8% to 8.07 million

units. Motorcycles sales fell by 7.8% from 7.1 million

units to 6.54 million units.

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With industry as a whole witnessing a fall in

motorcycle sales, so too did Bajaj Auto. Table 1 gives

the data. The table also shows that while

overall motorcycle sales fell by 7.8% in 2007-08 over

the previous year, Bajaj Auto’s sales declined further.

In 2007-08, the Company sold 2.14 million

motorcycles — which was 10.1% less than what

it sold in 2006-07. Consequently, Bajaj Auto’s share in

the market fell by 0.8 percentage points, from 33.5%

in 2006-07 to 32.7% in 2007-08.

The somewhat greater fall of the Company’s

motorcycle sales vis-à-vis the industry needs

explaining.

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SUGGESTIONS

The company should concentrate more on sales

and marketing department so that more and

more products can be sold out.

Advertisements should be the best method to

advertise the products and popular among the

public. 69

Cheaper products (Motorcycles) should be

introduced by the company so that it can reach

the middle class public.

Transparency should be made in between the

product details and the original product sold to

the customers.

Company –customer ratio should be maintained.

Company should add more features in their

products.

Company should launch bikes with less cost &

best average.

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Company should do modifications in their

products

Basicallyin two wheelers.

Company should increase its production .

Company should sell its products comparatively

at a low price.

Company should improve its after sales services.

Company should offer more products to the

customer in

Comparatively less time.

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CONCLUSION

Bajaj auto is a major Indian Automobile

manufacturer. It is India's largest and the world's 4th

largest two- and three-wheeler maker. With kawasaki

heavy industries of japan, bajaj manufactures state-

of-the-art range of two-wheelers. The brand, pulsar is

continually dominating the indian motorcycle market

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in the premium segment. Its discover dtsi is also a

successful bike on indian roads.

BAL is committed to prevention of pollution, continual

improvement of environment performance and

compliance with all environmental legislation and

regulations. They always believe in providing the

customer 'value for money' and keeps an special eye

upon quality, safety, productivity, cost and delivery. It

incorporates a high degree of power with fuel

efficiency of a 100 cc motorcycle.

In this project primary data is being used. The

questionnaire is being filled up by 25 persons &

according to them bajaj is a good automobile industry

& should add more features in their products &

increase their production so that the company can

satisfy their needs successfully.

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So it is concluded that bajaj auto is a good automobile

industry but should do more to satisfy the wants of

customers.

The Bajaj Group is amongst the top 10 business

houses in India. Its footprint

stretches over a wide range of industries,

spanning automobiles (two-wheelers and three-

wheelers), home appliances, lighting, iron

and steel, insurance, travel and finance.

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BIBLIOGRAPHY

Books:-

Marketing Management – By Philip Kotler

Marketing Management- By C.B.Gupta

Magazines:-

Auto magazine

Over drive magazine

Business today

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Websites:-

www.bajajauto.com

www.google.com

www.msn.com

Newspapers:-

Times of India

The Indian Express

ANNEXURE

Questionnaire

Please put tick mark in the brackets or put number

where ever is necessary.

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Name…………………………………………………….

Address

………………………………………………….

………………………………………………

….

Age ………………………………….

Gender: Male ( ) Female( )

Total number of members in the family……………

No. of male members

………………………………………………………

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How many members in your family have vehicles?

………………………………………………………..

Monthly family income?

Below 50000 ( ) 50000-2

lakh ( )

lakh – 4 lakh ( ) Above 4

lakh ( )

1. Which bajaj vehicle do you prefer?

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Two Wheeler ( ) Three Wheeler

( )

2. Which of our two wheeler vehicle do you like

the most?

……………………………………………………

……

3. Which of our three wheeler vehicle do you

like the most?

……………………………………………………

……….

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4. Do you like our vehicles

i Because there price is low

( )

ii Because you have a liking for them ( )

5. Do you feel that our vehicles cost too much?

Yes ( ) No ( )

6. Do you feel that we provide better services?

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Yes ( ) No ( )

7. Do you think that we satisfy your needs

successfully?

Yes ( ) No ( )

8. Are you satisfy with the average in the

vehicles?

Yes ( ) No ( )

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