MARKETING MANAGEMENT

ENROLLMENT NO-1442051708

8/10/2009

VIPLOB MITRA

1
 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

2
 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

3
 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 -

4
5
 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

( VI
PLOB)

6
 TABLE OF CONTENTS

Page
no.
CHAPTER 1
Company History
1
Company Profile
10
Company Flashback
14

CHAPTER 2
Objectives 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 4
Infrastructure of bajaj 35
Management Profile 36

HR of Bajaj 37

CHAPTER 5

8
 Findings\ Analysis
40
Suggestions 42

CHAPTER 6
Conclusion 44

CHAPTER 7
Bibliography 46

CHAPTER 8
Annexure 47

COMPANY HISTORY

Company Perspectives:

Our Philosophy: We approach our responsibilities

with ambition and resourcefulness. We organize
ourselves for a transparent and harmonious flow of
9
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.

10
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
wealth for the common good I always had this
merchant prince principally in mind,' said the
Mahatma after Jamnalal's death.
11
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.

12
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.

13
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.

14
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
production rose from 262,000 vehicles in 1976 to
600,000 in 1982, companies like rival Lohia Machines
15
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
investment any one company could make in a
particular industry.

16
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.

Bajaj Auto produced one million vehicles in the 1994-

95 fiscal year. The company was the world's fourth
17
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
models, one to be developed in collaboration with
Cagiva of Italy.

18
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
standards slated for 2000. Bajaj began installing Rs

19
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.
A marketing executive was lured from TVS Suzuki to
help push the new cycles.
20
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
board and an exclusive Piaggio distributorship in
India.

21
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.

Principal Subsidiaries: Bajaj Auto Finance Ltd.;

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

22
 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
Industry
Business Group
Listings & its codes
1926
Automotive - Two & Three Wheelers
The Bajaj Group
BSE - Code: 500490; NSE - Code:
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 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

• Chakan Industrial Area, Chakan,

Pune 411501
E-mail rahulbajaj@bajajauto.co.in
Website www.bajajauto.com

24
Segment and Brands

Products Brands
Motorcycles 4S
4S Bajaj Avenger
Champion
Bajaj CT Bajaj
Bajaj Platina
100 Discover
Bajaj Bajaj Pulsar
Bajaj Sonic
Pulsar DTSi
Bajaj Bajaj XCD
Boxer
Wind 125 125
Kawasaki Bajaj
Caliber Caliber115
Eliminator
KB RTZ KB100 KB125
Bajaj Bajaj Kristal
Scooters Bajaj Wave
Chetak Dtsi

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

25
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.

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

26
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
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
27
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
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.
.

28
 COMPANY FLASHBACK

'Inspiring Confidence,' the tagline, has build up

confidence, through excitement engineering, not only
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
29
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
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

30
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.

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.

31
The company is headed by Rahul Bajaj who is worth
more than US$1.5 billion

OBJECTIVES

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

32
 o TO STUDY THE FINANCIAL POSITION OF
BAJAJ
AUTOMOBILES

o TO STUDY THE DIFFERENT POLICIES

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
33
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.''
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
34
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
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
35
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

1. Primary Data
2. Secondary Data

DATA COLLECTION

36
Products

Two-wheelers
Ungeared - 100 cc
Motorcycles - 100 to 200 cc

Three-wheelers (both passenger and goods

carriers)
175 cc Petrol / CNG / LPG Four Stroke
37
150 cc Petrol / CNG / LPG Two Stroke
416 cc Diesel
Bikes

38
39
40
41
 Scooters

 Three wheelers

1. Goods carriers

42
2. Passenger Carriers

43
44
45
Policies

46
47
48
 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:

Mukand International
Bajaj Auto Ltd.
Ltd.
Mukand Ltd. Mukand Engineers Ltd.
Mukand Global Finance
Bajaj Electricals Ltd.
Ltd.
Bachhraj Factories Pvt.
Bajaj Hindustan Ltd.
Ltd.
Maharashtra Scooters Bajaj Consumer Care
Ltd. Ltd.
Bajaj Auto Finance Ltd. Bajaj Auto Holdings Ltd.
Hercules Hoists Ltd. Jamnalal Sons Pvt. Ltd.
49
Bajaj Sevashram Pvt Bachhraj & Company
Ltd. Pvt. Ltd.
Hind Lamps Ltd. Jeevan Ltd.
The Hindustan Housing
Bajaj Ventures Ltd.
Co Ltd.
Bajaj International Pvt Baroda Industries Pvt
Ltd. Ltd.
Hind Musafir Agency
Stainless India Ltd.
Pvt Ltd.
Bajaj Allianz General
Bombay Forgings Ltd.
Insurance Company Ltd.
Bajaj Allianz Life Bajaj Holdings &
Insurance Company Ltd. Investment Limited
Bajaj Financial
Bajaj Finserv Limited
Solutions Limited

Bajaj Financial Bajaj Allianz Financial

Solutions Ltd. Distributors Ltd.
Sanraj Nayan P T Bajaj Auto Indonesia
Investments Pvt. Ltd. (PTBAI)
Bajaj Auto International
-
Holdings BV,

50
Netherlands (BAIBHV).

51
SEGMENT-WISE REVENUE, RESULTS AND CAPITAL EMPLOYED
(Rs. In Lakhs)
QUARTER QUARTER HALF HALF YEAR
ENDED ENDED YEAR YEAR ENDED
30.09.2008 30.09.2007 ENDED ENDED 31.03.2008
(Unaudited (Unaudited 30.09.2008 30.09.2007 (Audited)
) ) (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: 587 136 679 142 516
Interest
Total Profit 26591 35810 52702 63211 113473
Before Tax

52
Capital
Employed
53
 Product 2006-07 2007-08 Growth

Sales in number for the year 2008

1st October 2008

For Upto For Upto

Product September September September September
2008 2008 2007 2007
Motorcycles 217,365 1,120,108 204,152 1,025,558
Other 2
1,129 6,965 2,056 13,909
Wheelers
Total 2
218,494 1,127,073 206,208 1,039,467
Wheelers
Three
26,887 133,062 26,288 146,217
Wheelers
Grand Total 245,381 1,260,135 232,496 1,185,684

54
Sales in numbers for the month of October 2008
1st November 2008

For Upto For Upto

Product October October October October
2008 2008 2007 2007
Motorcycles 163,850 1,283,958 248,307 1,273,865
Other 2
1,627 8,592 1,868 15,777
Wheelers
Total 2
165,477 1,292,550 250,175 1,289,642
Wheelers
Three
26,363 159,425 28,001 174,218
Wheelers
Grand Total 191,840 1,451,975 278,176 1,463,860

55
 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.
56
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:

57
 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

58
Plants
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.
Geared scooters, ungeared scooters, CT100 and
Akurdi
Discover
Bajaj - Kawasaki range of motorcycles and three-
Waluj
wheelers
Chakan Bajaj motorcycles - Pulsar and Discover
Pant
Bajaj motorcycles – Platina
Nagar

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

59
MANAGEMENT PROFILE

Rahul Bajaj Chairman

Madhur Vice Chairman
Bajaj
Rajiv Bajaj Managing
Director
Sanjiv Executive
Bajaj Director

Abraham Vice President (Research &

Joseph Development)
Pradeep President (Engineering)
Shrivastava
S Sridhar CEO (2WH)
R C Maheshwari CEO (Commercial Vehicles)
Rakesh Sharma CEO (International
Business)
60
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

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
61
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.

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.
62
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
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.

63
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

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

64
 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,
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
65
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.

• 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

66
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.

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.

67
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.

68
 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.

 Cheaper products (Motorcycles) should be

introduced by the company so that it can reach
the middle class public.

69
 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.

 Company should do modifications in their

products
Basicallyin two wheelers.
70
 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.

71
 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
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

72
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.

So it is concluded that bajaj auto is a good automobile

industry but should do more to satisfy the wants of
customers.

73
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.

74
 BIBLIOGRAPHY

Books:-

 Marketing Management – By Philip Kotler

Marketing Management- By C.B.Gupta

Magazines:-

 Auto magazine
 Over drive magazine
 Business today

Websites:-

 www.bajajauto.com
 www.google.com
 www.msn.com

75
Newspapers:-

 Times of India
 The Indian Express

ANNEXURE

Questionnaire

Please put tick mark in the brackets or put number

where ever is necessary.

Name…………………………………………………….

Address
………………………………………………….

76
 ………………………………………………
….

Age ………………………………….

Gender: Male ( ) Female( )

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

No. of male members

………………………………………………………

How many members in your family have vehicles?

………………………………………………………..
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 Monthly family income?

Below 50000 ( ) 50000-2

lakh ( )

lakh – 4 lakh ( ) Above 4

lakh ( )

1. Which bajaj vehicle do you prefer?

Two Wheeler ( ) Three Wheeler

( )

78
 2. Which of our two wheeler vehicle do you like the
most?

……………………………………………………
……

3. Which of our three wheeler vehicle do you like

the most?

……………………………………………………
……….

4. Do you like our vehicles

79
 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?

Yes ( ) No ( )

80
7. Do you think that we satisfy your needs
successfully?

Yes ( ) No ( )

8. Are you satisfy with the average in the vehicles?

Yes ( ) No ( )

81