Pallavi bharadwaj Bhushan sable Saumya kumar Sudarshan Ramasamy Neha kumar

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

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

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.

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.

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.

SWOT ANALYSIS STRENGTHS

1. Excellent brand presence and marketing in India2. Extensive research and development focus and highly experienced player in the motorcycle segment3. Widespread distribution network across India4. Wide product range in terms of price, quality and categories5. Featured in the Forbes Global brands list

WEAKNESS

1.Not a global brand despite high volume production.2.Lack of performance bikes like major international brands and sports bikes & cruisers

OPPOURTUNITY

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 segment3. Premium sports bikes for urban areas4. Constant growth in the two-wheeler segment

THREATS

1.Cheaper imports from countries like China2. Entry of international brands3.Other motorcycle players have a strong brand presence.

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.

• 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”.

BCG MATRIX OF BAJAJ AUTO

Stars :-

Pulsar 220,discover

Question marks :-

Pulsar 200 NS

Cash cow :-

Ninja, Duke

Dogs :-

Platina, Avenger,CT 1500

Bajaj’s progress over the years