“HONDA POTION “

(With Special Reference to the HONDA)

In partial fulfillment of the requirements for the award of the Degree
Of
Master of Business Administration
Submitted by
K.H.N.S.SHANKAR
(Reg.No:16A81E0022)

Under the guidance of

Dr.R.S.R.K.KIRAN KUMAR MBA, Ph.D
ASSOCIATE PROFESSOR

SRI VASAVI ENGINEERING COLLEGE

(Affiliated to Jawaharlal Nehru Technology University, Kakinada)

DEPARTMENT OF MANAGEMENT STUDIES

Pedatadepalli, Tadepalligudem, West Godavari

2016-2018

SRI VASAVI ENGINEERING COLLEGE

(Affiliated to Jawaharlal Nehru Technology University Kakinada, Kakinada )

1
 DEPARTMENT OF MANAGEMENT STUDIES

CERTIFICATE

This is to certify that Mr. K.H.N.S.SHANKAR student of MBA in Sri Vasavi Engineering
College has undergone mini project on “HONDA POTION” With Special reference to
“”.

Signature of Guide HOD

Department of Management
Studies

2
 DECLARATION

I, K.H.N.S.SHANKAR, hereby declare that this project report entitled “HONDA POTION”
is submitted by me, to SRI VASAVI ENGINEERING COLLEGE, Tadepalligudem
(AFFILIATED TO JAWAHARLAL NEHRU TECHNOLOGICAL UNIVERSITY), in partial
fulfillment for the award of the degree of MASTER OF BUSINESS ADMINISTRATION.

Place: Tadepalligudem

Date: signature

INTRODUCTION

3
LOGO OF HONDA:

TAG LINE : Live your Style

Honda has been the world's largest motorcycle manufacturer since 1959, as well as the
world's largest manufacturer of internal combustion engines measured by volume, producing
more than 14 million internal combustion engines each year. Honda became the second-
largest Japanese automobile manufacturer in 2001. Honda was the eighth largest automobile
manufacturer in the world behind Motors, Volkswagen, Toyota, Hyundai Motor
Group, Ford, Nissan, and PSA in 2011.

Honda was the first Japanese automobile manufacturer to release a dedicated luxury
brand, Acura, in 1986. Aside from their core automobile and motorcycle businesses, Honda
also manufactures garden equipment, marine engines, personal watercraft and power
generators, amongst others. Since 1986, Honda has been involved with artificial
intelligence/robotics research and released their ASIMO robot in 2000. They have also
ventured into aerospace with the establishment of GE Honda Aero Engines in 2004 and
the Honda HA-420 Honda Jet, which began production in 2012. Honda has three joint-
ventures in China (Honda China, Dong fang Honda, and Guangqi Honda).

In 2013, Honda invested about 5.7% (US$6.8 billion) of its revenues in research and
development. Also in 2013, Honda became the first Japanese automaker to be a net exporter
from the United States, exporting 1, 08,705

Soichiro Honda Born in November 1906 in Tenryu, Japan, and died in August 1991 (aged 84),
Mr. Honda founded in 1948 the Honda Motor Company.
4
The Honda Trials History begins in the early sixties. As all these stories the start is not
exactly clear, but I'll try to give a little light on this not very clear history. Of course any help
will be welcome; I'm open to receiving any information and pictures in order to share
to everybody interested on this exciting world of four-stroke Honda's engine.

5
 NEED FOR THE STUDY
To analysis the existing situation of the company. In that the study gives the clear cut
picture to company regarding finance, marketing, H.R.M, to improve the area of the
company to find out the swot analysis.

6
SCOPE OF THE STUDY
The scope of study is to deal & discuss growth of the company in India and its diversification
and recent development. It also helps to analyze present and future trends along with industry
market size, market prospects and its impact on economy.

7
OBJECTIVES OF THE STUDY

 To know about the Honda motors position in India.

 To know the competition environment of the company
 To know the corporate social responsibility of the company
 To know the marketing, human resources, financial strategies followed by the company.
 To give the description about SWOT Analysis.

8
LIMITATIONS OF THE STUDY
It is a report with the complete frankness, flows of market process adopted, because
imperfection may have little effect on the validity and reliability. This may have invalidated
the entire data.

 The data which collected from secondary source is used to company analysis.
 Analysis is also based on the secondary data hence the validity of the data may be subjected to
error.
 The time limit is very limited because of strict academic schedules.

9
METHODOLOGY
1) Primary data
The primary data is that which details we collect first time from the market and also
used first time in the research. We also say that the information is first time in the research
design. To collect the primary data questioner is prepared structured nom disguise questioner
is prepared.

2) Secondary data

Secondary data are those data which are already collected by someone some purpose
and or available for the present study; secondary are already collected by the company s
records and other library’s books. When the secondary data are sufficient, the research has to
be satisfied with the primary source of data. Secondary data can be used as bases for
comparison with primary data have been collected by questionary.

10
 INDUSTRY PROFILE
Throughout his life, Honda's founder, Soichiro Honda had an interest in automobiles. He
worked as a mechanic at the Art Shokai garage, where he tuned cars and entered them in
races. In 1937, with financing from his acquaintance Kato Shichirō, Honda
founded Tōkai Seiki (Eastern Sea Precision Machine Company) to make piston rings working
out of the Art Shokai garage.[12] After initial failures, Tōkai Seiki won a contract to supply
piston rings to Toyota, but lost the contract due to the poor quality of their products. [12] After
attending engineering school without graduating, and visiting factories around Japan to better
understand Toyota's quality control processes, by 1941 Honda was able to mass-produce
piston rings acceptable to Toyota, using an automated process that could employ even
unskilled wartime laborers.[12][13]:16–19

Tōkai Seiki was placed under control of the Ministry of Commerce and Industry (called the
Ministry of Munitions after 1943) at the start of World War II, and Soichiro Honda was
demoted from president to senior managing director after Toyota took a 40% stake in the
company.[12] Honda also aided the war effort by assisting other companies in automating the
production of military aircraft propellers.[12] The relationships Honda cultivated with
personnel at Toyota, Nakajima Aircraft Company and the Imperial Japanese Navy would be
instrumental in the postwar period.[12] A US B-29 bomber attack destroyed Tōkai Seiki's
Yamashita plant in 1944, and the Itawa plant collapsed in the 1945 Mikawa earthquake, and
Soichiro Honda sold the salvageable remains of the company to Toyota after the war for
¥450,000, and used the proceeds to found the Honda Technical Research Institute in October
1946.[12][14] With a staff of 12 men working in a 16 m2 (170 sq ft) shack, they built and sold
improvised motorized bicycles, using a supply of 500 two-stroke 50 cc Tohatsu war
surplus radio generator engines.[12][13]:19[15] When the engines ran out, Honda began building
their own copy of the Tohatsu engine, and supplying these to customers to attach their
bicycles.[12][15] This was the Honda A-Type, nicknamed the Bata Bata for the sound the engine
made.[12] In 1949, the Honda Technical Research Institute was liquidated for ¥1,000,000, or
about US$5,000 today; these funds were used to incorporate Honda Motor Co., Ltd.[13]:21 at
about the same time Honda hired engineer Kihachiro Kawashima, and Takeo Fujisawa who
provided indispensable business and marketing expertise to complement Soichiro Honda's
technical bent.[13]:21 the close partnership between Soichiro Honda and Fujisawa lasted until
they stepped down together in October 1973.[13]:21

11
The first complete motorcycle, with both the frame and engine made by Honda, was the
1949 D-Type, the first Honda to go by the name Dream. [14][16] Honda Motor Company grew in
a short time to become the world's largest manufacturer of motorcycles by 1964.[citation needed]

The first production automobile from Honda was the T360 mini pick-up truck, which went on
sale in August 1963.[17] Powered by a small 356-cc straight-4 gasoline engine, it was
classified under the cheaper Kei car tax bracket.[18] The first production car from Honda was
the S500 sports car, which followed the T360 into production in October 1963. Its chain-
driven rear wheels pointed to Honda's motorcycle origins.[19]

Over the next few decades, Honda worked to expand its product line and expanded
operations and exports to numerous countries around the world. In 1986, Honda introduced
the successful Acura brand to the American market in an attempt to gain ground in the luxury
vehicle market. The year 1991 saw the introduction of the Honda NSX supercar, the first all-
aluminum monocoque vehicle that incorporated a mid-engine V6 with variable-valve timing.
[20]

CEO Tadashi Kume was succeeded by Nobuhiko Kawamoto in 1990. Kawamoto was
selected over Shoichiro Irimajiri, who oversaw the successful establishment of Honda of
America Manufacturing, Inc. in Marysville, Ohio. Both Kawamoto and Irimajiri shared a
friendly rivalry within Honda, and Irimajiri would resign in 1992 due to health issues.

Following the death of Soichiro Honda and the departure of Irimajiri, Honda found itself
quickly being outpaced in product development by other Japanese automakers and was
caught off-guard by the truck and sport utility vehicle boom of the 1990s, all which took a
toll on the profitability of the company. Japanese media reported in 1992 and 1993 that
Honda was at serious risk of an unwanted and hostile takeover by Mitsubishi Motors, who at
the time was a larger automaker by volume and flush with profits from their
successful Pajero and Diamante.[21]

Kawamoto acted quickly to change Honda's corporate culture, rushing through market-driven
product development that resulted in recreational vehicles such as the first
generation Odyssey and the CR-V, and a refocusing away from some of the numerous sedans
and coupes that were popular with Honda's engineers but not with the buying public. The
most shocking change to Honda came when Kawamoto ended Honda's successful
participation in Formula One after the 1992 season, citing costs in light of the takeover threat
from Mitsubishi as well as the desire to create a more environmentally-friendly company
image.[22]

12
Later, 1995 gave rise to the Honda Aircraft Company with the goal of producing jet aircraft
under Honda's name.[23]

On 23 February 2015, Honda announced that CEO and President Takanobu Ito would step
down and be replaced by Takahiro Hachigo by June; additional retirements by senior
managers and directors were expected.[24]

13
 COMPANY PROFILE

1-1, 2-chome
Minami-Aoyama,
Minato-Ku,
Tokyo 107-8556
Japan
U.S. Headquarters
American Honda Motor Co.
1919 Torrance Boulevard
Torrance, California 90501-2746
U.S.A.

COMPANY PERSPECTIVES:

Maintaining a global viewpoint, we are dedicated to supplying products of the

highest quality yet at a reasonable price for worldwide customer satisfaction.

HISTORY OF HONDA MOTOR COMPANY LIMITED:

Honda Motor Company Limited is perhaps best known as an automaker--it is

the third largest automaker in Japan--but the company has its roots in motorcycles, and is the
world's top motorcycle manufacturer. Its best market is in the United States, where the
majority of its sales are generated. Honda's automobile product line accounts for
approximately 90 percent of its sales, and includes well-known U.S. top-sellers such as the
Accord, Legend, Civic, Prelude, and the luxury Acura. The Accord is the second most
purchased car in the United States, although it actually ranks first on the country's list of most
stolen (and thus, "in demand") vehicles. Honda also produces motorcycles such as the Super
Cub, Foresight, and Shadow 750. Furthermore, the company's power products division
makes other items that bolster annual sales, such as agricultural and industrial-use machinery,
portable generators, outboard motors, and all-terrain vehicles.

14
THE EARLY YEARS:

Any description of Honda Motor Company's history and success must take into
account the contrasting inclinations of its founders--Soichiro Honda and his partner, Takeo
Fujisawa. Soichiro Honda's achievements as a mechanical engineer are said to have matched
those of Henry Ford. Working in his Japanese machine shop in 1938, Honda concentrated his
early efforts on casting a perfect piston ring. He soon succeeded in casting a ring that met his
standards, and attempted to sell it to the Toyota Corporation.

Toyota rejected Honda's first batch of piston rings, but two years later the company finally
placed a large order. At that time, however, Honda ironically found himself facing a major
obstacle that came as a result of the order's large size--a shortage of cement. Because Japan
was preparing for war, Honda could not secure the cement and materials needed to construct
a factory to mass-produce piston rings. Furthermore, he could not produce the quantity of
piston rings necessary using his facility at that time. Undaunted, Honda learned how to make
his own cement and soon constructed the new facility.

Honda's new factories survived the bombing attacks during World War II, but were
unfortunately later destroyed by an earthquake. At that time, Honda sold his piston ring
operation to Toyota and went on to manufacture motorbikes instead. He had designed his first
bike in the early postwar years when gasoline was very scarce and the need for a low fuel-
consuming vehicle was great. After the destruction of his piston ring manufacturing facilities,
he decided to attempt selling his motorbike on a larger scale.

To form a company, Honda joined efforts with investor Takeo Fujisawa, whom he had known
throughout the 1940s. In 1949 Fujisawa provided the capital, as well as financial and
marketing strategies, to start the new company. Honda's motivation for establishing the
company--unlike Fujisawa's--was not purely commercial, but was instead to provide himself
with a secure financial base so that he might pursue other ambitions such as motorcycle
racing.

15
BRIEF INTRODUCTION:

In 1947 Honda made, manufactured and sold his first complete motorbike. It has a ½
horsepower and was known as Honda A-type, but maybe was most known as the name of
“Chimney”, why? Because it gave a lot of smoke and a stench of turpentine.

In 1953 Honda produced one four-stroke motorbike, a sophisticated 90cc, 3,8 horsepower
engine, was known as the Benly that means in Japanese language convenience. The bike was
a great success and was sold as a rate of a 1.000 units a month.

 In 1958 Honda introduced in Japan and later in 1959 the US the world’s best-selling
motorbike, the C100 Super Cub. 30 million units sold!!

MOTORCYCLES
For a list of motorcycle products, see List of Honda motorcycles.

Honda is the largest motorcycle manufacturer in Japan and has been since it started
production in 1955.[12] At its peak in 1982, Honda manufactured almost three million
motorcycles annually. By 2006 this figure had reduced to around 550,000 but was still higher
than its three domestic competitors.[12]

16
During the 1960s, when it was a small manufacturer, Honda broke out of the Japanese
motorcycle market and began exporting to the U.S. Working with the advertising
agency Grey Advertising, Honda created an innovative marketing campaign, using the slogan
"You meet the nicest people on a Honda." In contrast to the prevailing negative stereotypes of
motorcyclists in America as tough, antisocial rebels, this campaign suggested that Honda
motorcycles were made for the everyman. The campaign was hugely successful; the ads ran
for three years, and by the end of 1963 alone, Honda had sold 90,000 motorcycles.[13]:{{{1}}}

Taking Honda's story as an archetype of the smaller manufacturer entering a new market
already occupied by highly dominant competitors, the story of their market entry, and their
subsequent huge success in the U.S. and around the world, has been the subject of some
academic controversy. Competing explanations have been advanced to explain Honda's
strategy and the reasons for their success.[35]

The first of these explanations was put forward when, in 1975, Boston Consulting
Group (BCG) was commissioned by the UK government to write a report explaining why and
how the British motorcycle industry had been out-competed by its Japanese competitors. The
report concluded that the Japanese firms, including Honda, had sought a very high scale of
production (they had made a large number of motorbikes) in order to benefit from economies
of scale and learning curve effects. It blamed the decline of the British motorcycle industry
on the failure of British managers to invest enough in their businesses to profit from
economies of scale and scope.[36]

2004 Honda Super Cub

The second explanation was offered in 1984 by Richard Pascale, who had interviewed the
Honda executives responsible for the firm's entry into the U.S. market. As opposed to the
tightly focused strategy of low cost and high scale that BCG accredited to Honda, Pascale
found that their entry into the U.S. market was a story of "miscalculation, serendipity, and
organizational learning" – in other words, Honda's success was due to the adaptability and
17
hard work of its staff, rather than any long term strategy. [37] For example, Honda's initial plan
on entering the US was to compete in large motorcycles, around 300 cc. Honda's motorcycles
in this class suffered performance and reliability problems when ridden the relatively long
distances of the US highways.[13]:41–43 when the team found that the scooters they were using to
get themselves around their U.S. base of San Francisco attracted positive interest from
consumers that they fell back on selling the Super Cub instead.[13]:41–43

The most recent school of thought on Honda's strategy was put forward by Gary Hamel and C. K.
Prahalad in 1989. Creating the concept of core competencies with Honda as an example, they argued that
Honda's success was due to its focus on leadership in the technology of internal combustion engines.
[38]
For example, the high power-to-weight ratio engines Honda produced for its racing bikes provided
technology and expertise which was transferable into mopeds. Honda's entry into the U.S. motorcycle
market during the 1960s is used as a case study for teaching introductory strategy at business worldwide

The Super Cub used a 50cc four-stroke OHV engine with three speed gear box. The innovative
frame without cross bar became so popular with the ladies population and set a new trend in
commuter motorcycling. The word “scooter” born at this moment to denominate this style of
motorbikes which sold in 50, 70 and 90cc engine capacity versions.
 In 1959 first Trials transformations were made as this nice document shows us. Thanks to
Shizuo Ito (on the picture) to sent me this information.

 At early 1965 Ken Ives was a UK Honda dealers that made one of the first
transformations from the "street" Hondas to ride on Trials races.

 Ken Ives took a 1965 Honda S90 and made several modifications and improvements to
well adapt on atria’s riding

18
 In 1968 Honda introduced a new concept motorbike, a new word to described it born:
“Superbike”
 The bike was shown at Tokyo Show in 1968, the fastest and power full bike on the world
at this moment. 750cc, four cylinders that was called Honda CB750 Four.

 In 1970 Honda entered on the off-road market with a two-stroke motocross bike and later
with different trail versions, the MT125 and MT250.

 Also no more time later, in 1972 Honda introduced the four-stroke SL125 and the SL
250 equipped with a long travel suspension achieving a good and successful off-road
motorbike.

In this way Honda introduced a number of vehicles in a market and leading market in an
India. In India two wheelers place an important role in market.

19
HONDA BIKES MODELS

Honda Navi

Commuter

1 reviews

Honda CB Shine SP

Commuter

11 reviews

Honda Dream Neo

Commuter

14 reviews

Honda CD 110 Dream

Commuter

15 reviews

20


Honda Activa

Scooter

25 reviews

Honda Dio

Scooter

17 reviews

Honda Aviator

Scooter

16 reviews

Honda Dream Yuga

Commuter

19 reviews

Honda Livo

Commuter

35 reviews

21


Honda CB Shine

Commuter

32 reviews

Honda Activa 125

Scooter

16 reviews

Honda CB Unicorn 160

Commuter

33 reviews

Honda CBR 150R

Sports

18 reviews

Honda CBR 250R

Sports

9 reviews

22


Honda CBR 650

Faired

0 reviews

Honda CB 1000R

Naked

9 reviews

Honda VT 1300 CX

Cruiser

12 reviews

Honda CBR 1000RR Fireblade

Sports

13 reviews

VISION AND MISSION

23
VISION:

Market leader in the motorcycle industry, emerging as a global competitive centre

of production and exports.

MISSION:

A dynamic growth oriented company through market leadership, excellence in

quality and service and maximizing export, ensuring attractive returns to equity holders,
rewarding associates according to their ability and performance, fostering a network of
engineers and researchers ensuing unique contribution to the development of the industry,
customer satisfaction and protection of the environment by producing emission friendly
green products as a good corporate citizen fulfilling its social responsibilities in all respects.

HONDA TWO WELLERS POSITION

24
 HONDA ACTIVA

ENGINE:

Max Torque 8.74Nm

Displacement 109.2 cc

Max Power 8.1PS

No of cylinders 1

Weight & Fuel Capacities

Fuel Tank Capacity 5.3 liters

Reserve 1.3 liters

Dry Weight 110 kg

25
 HONDA CD 110

ENGINE

Max Torque 8.63Nm

Displacement 109 cc

Max Power 8.3PS

No of cylinders 1

WEIGHT & FUEL CAPACITIES

Fuel Tank Capacity 8 liters

Reserve 2 liters

Dry Weight 105 kg

26
COMPETITORS:
The competitor of Honda motor vehicles are

1. Yamaha.

2. Bajaj auto.

3. TVS.

4. Suzuki

5. Harley Davidson

6. Royal Enfield

7. Hero.

27
 DATA ANALYSIS AND INTERPRETATIONS

The data after collection have to be processed and analyzed in accordance with the
outline laid down for the purpose at the time of developing the research plan. The processing
of data implies editing, coding, classification, tabulation and presentation of collected data so
that they are enable to data analysis.

1) Do you own any to wheeler currently?

( a ) yes ( b ) no

Yes-80

No-20

Interpretation: From above it can be stated that the general satisfaction level of for Honda
in tadepalligudem.

28
2). How do you come to know about Honda bike?

S L NO OPTIONS NO OF PRESENTAGE
PERSONS

1 T.V 35 35

2 NEWS 25 25
PAPEAR

3 FRIENDS 12 12

4 DELEARS 28 28

CHART

DEALERS RESPONDENTS
28% T.V
35%

FRIENDS NEWSPAPERS
12% 25%

Interpretation: Out of the responses obtained from 100 customers 28% said that they
aware of the Friends. And through the friends 35% of the customers are aware from
the T.V.And another 25%are aware of by the NEWS PAPERS. And only 12% are
aware by the DEALERS.

29
3). what do you feel about the design of Honda bikes

PER
SON
SI NO OPTIONS S PRESENTAGE
1 EXCELLENT 30 30
2 GOOD 20 20
3 AVERAGE 40 40
4 POOR 10 10

The customer was enquired about the level of satisfaction with regard to the Honda.
CHART

40
20
0 %

Interpretation: Out of the responses obtained from 100 customers 30% said that they are
excellent satisfied and 20% were good and 40% were average and 10% were vehicle is poor.
This data is obtained by most of members were satisfied by hero product.

30
4). what are the valuable attributes you normally look while purchasing a Two-wheeler?

S NO ATTRIBUTES RESPONDENTS %
1 QUALITY SERVICE 56 56
2 LESS PRICE 20 20
3 BRAND IMAGE 24 24
4 TOTAL 100 100

CHART
Brand Less price
Image… 20%

Quality
Service…

Interpretation:From the above it can be stated that general normally any one while
purchasing a four wheeler most of the members are seeing 50% of members are seeing
PERFORMENS and 30% of members are seeing DESIGN And 10% of members are seeing
PRICE and 10% of members are Others
.

31
5) What is your opinion about mileage?

S NO OPINION RESPONDENTS %
1 EXCELLENT 50 50
2 GOOD 30 30
3 AVG 15 15
4 POOR 5 5

CHART
AVERAGE POOR
15% 5%

EXCELLENT

GOOD 50% 30%

Interpretation: Out of the 100 respondents 50% of them told “EXCELLENT” and 30% of
them told “GOOD” and 15% of them told “AVERAGE” and 5% of them told “POOR”.

69 | Page

32
6) Since how many months have you been using Honda Bike?

NO. OF PERCENTAG
RESPONDENTS E
YEAR
0-6 MONTHS 23 23%

6-12 MONTHS 37 37%

1-2 YEARS 36 36%

MORE THAN 2 YEARS 04 04%

TOTAL 100 100%

Using of the service (in months):

More than 2 Percentage

years
4% 0-6 months
23%
1-2 years
36%

6-12 months
37%

Interpretation: From the above table it is seen that 37% of the respondents have been using
Honda products for past one year. While 36% have been using it for more than 1 year, and a
significant 23% of respondents have been using the service for less than six months. Only 4%
of the respondents have been using Honda products for more than 2 –years.

33
8) What is the reason for choosing Honda Bike?

NO. OF
RESPONDENTS PERCENTAGE
LESS PRICE 20 20%
QUALITY SERVICE 56 56%
BRAND IMAGE 24 24%
TOTAL 100 100%

Reason for choosing the service:

No. of respondents
Brand Less price
image 20%
24%
Quality
Service
56%

Interpretation: From the above table it is shown that 56% of the respondents are citing
quality of service as the factor. While 24% cited brand image as the reason for choosing the
service. As far as price is concerned only 20% of the respondents have quoted it as the reason
for choosing this service.

34
9) Why do you prefer for this service?

NO. OF
OPNION RESPONDENTS PERCENTAGE

CONVENIENCE 53 53%
ECONOMICAL 30 30%
SECURITY 04 04%
FEATURES 13 13%
TOTAL 100 100%

While preferring a cellular service. It is clear that 53% of the respondents have preferred this
Preferring for this service:

No. of respondents
Features
13%
Security
4%

Convenience
53%
Economical
30%

Interpretation: In today’s busy world convenience seems to be the most overriding factor
service due to easy & hands free availability, making it convenient to use it. On the other
hand 30% have said economy of the service, while 13% of the respondents have given
features as their choice. While a meagre 4% of the said security as the reason for preferred

35
 HONDA MOTORS

10) Are you satisfied with the quality of service being provided?

NO. OF
RESPONDENTS PERCENTAGE
YES 85 85%
NO 5 5%
TO SOME EXTENT 0 0%
CAN’T SAY 10 10%
TOTAL 100 100%

Satisfaction l with the quality of service:

No
Chart Title
5% can’t say
10%

Interpretation: From the above table it is clear that 85% of the respondents are satisfied with
the quality of service while a significant number i.e., 10% of the respondents couldn’t say
anything and 5% of the respondents replied they are not satisfied with the quality of service.

36
 HONDA MOTORS

11) Satisfaction with the Honda Bikes pickup

PERCENTAGE
S.NO OPTIONS RESPONDENTS S

1 36 36%
EXCELLENT
2 17 17%
GOOD
3 20 20%
AVERAGE
4 27 27%
POOR
Total 100 100

POOR
27% EXCELLENT
36%

AVERAGE GOOD

20% %

Interpretation: From the above table it is clear that 53% of the respondents are satisfied
With the Pickup of bike while a significant number i.e., 20% of the respondents couldn’t say
anything and 27% of the respondents replied they are not satisfied with the pickup of bike.

37
 HONDA MOTORS

ACHIEVEMENTS OF HONDA

2015 Corporate Forbes India - Best CEO Multinational

Readers Digest - Most Trusted Brand (Gold Award for two-wheeler category)
Economic Times - 100 Most Trusted Brands Survey (no.1 trusted brand in automotive -
two-wheeler)
ABP Brand Excellence Award in Automobile Sector (2 Wheeler)

Hindustan Times - Delhi NCR Hot 50 Brands powered by Paul Writer

Juxt India Online 2013-14 Study - Most Preferred Scooter Brand

Two Wheeler Manufacturer of the Year - Bike India Awards 2015

CSR CSR Leadership Awards - Think Odhisha Leadership Awards 2014

CSR initiative towards road safety Two-wheeler(Bloomberg TV Autocar India Awards
2015
Activa 125 Scooter Of the Year - Activa 125(NDTV Car & Bike Awards 2015)

Scooter Of the Year (7th BBC TopGear Awards)

Scooter of the Year upto 125cc ( Bike India Awards 2015)

Best Scooter Of the Year - Motor Vikatan

Goldwing Import Bike of the Year - Fly Wheel Auto Awards 2015
2014 Corporate Engine of the Year - Honda Eco Technology (HET) 100cc Engine
CB Trigger Convenience Technology of the Year - Combined Braking System (CBS)
Two Wheeler Manufacturer of the Year - NDTV Car & Bike
Corporate
Awards, 2014
Manufacturer of the Year - Two wheeler, Bike India award 2014
Dream Neo Motorcycle of the Year upto 110cc - NDTV Car & Bike Awards, 2014
CB Trigger Motorcycle of the Year upto 160cc - NDTV Car & Bike Awards, 2014
Motorcycle of the Year upto 150cc, Bike India award 2014
2013 Corporate Manufacturer of the Year 2012 - BBC Top Gear
Manufacturer of the Year - Car & Bike India Awards
Manufacturer of the Year 2013 - Motor Vikatan Awards 2013
Dream Yuga Motorcycle of the Year upto 110cc - NDTV Car & Bike Awards, 2013
Motorcycle of the Year upto 115cc - Car & Bike India Awards
Compact Bike of the Year - CNBC TV18 OVERDRIVE 2013
CNB Viewers’ Choice Two Wheeler of the Year - NDTV Car & Bike

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Awards, 2013
CNB-AAA Creative TV Commercial of the year (2 Wheeler) - NDTV
Car & Bike Awards, 2013
Motorcycle of the Year upto 110cc - ET ZigWheels Awards 2012
India Design Mark 2013
Enthusiast Motorcycle of the Year upto 180cc - ET ZigWheels
CBR 150R
Awards 2012
Dio India Design Mark 2013
Best Manufacturer to Support Indian Racing - Motor Vikatan
Motorsport
Awards 2013

HONDA BIKES POSITION

Honda Motorcycle and Scooter India (HMSI), currently a distant number two in the two-
wheeler space, has laid out aggressive plans to race ahead of its erstwhile partner, Hero
MotoCorp.

The two companies dissolved their partnership in December 2010. Two years down the line,
HMSI has already dislodged domestic auto major Bajaj Auto as India's second biggest two-
wheeler maker. Here’s how Honda plans to topple Hero from the pole position:

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Focus on motorcycles: Honda's overall market share in the two-wheeler space is close to 19
per cent, but its share in total motorcycles sales is only 11.6 per cent compared to Hero's 53.3
per cent and Bajaj Auto's 24.5 per cent. To increase sales, Honda has become aggressive on
new product launches, post its divorce with Hero. It launched a 150 cc bike, CB Trigger, this
week.
The shift in strategy is clearly evident in numbers. In February, motorcycle sales jumped 31
per cent (from the corresponding month last year) to 1.08 lakh units, while scooter sales
dropped2.51percentto1.2lakhunits.
New launches: Honda plans to launch three-four products every year. The company needs 2-
3 entry level products (100 cc) in the motorcycle category. It has already launched the 100 cc
Dream Yuga and plans to launch more to take on Hero's successful bikes such as Splendor
andPassion.

Cutting edge technology: Honda is introducing technologies that no other company offers,
YS Guleria, vice president (sales and marketing) at Honda Motorcycle & Scooter India, told
NDTV Profit on Friday. Honda has launched the combi-brake system for the first time in the
150 cc category. Earlier, it had launched the Unicorn that had a single suspension. Customers
will be surprised by the overall package, Mr. Guleria added. (Watch: How Honda plans to
topple Hero)

Capacity expansion: HMSI's new Bangalore factory, with a capacity of 1.2 million units, is
likely to be operational in the next three months. This will help Honda hit a target of 4 million
(39.3 lake to be precise) units in the fiscal year 2013-14 and close to the number one position,
Mr. Guleria said. Hero, which sold 6.24 million two-wheelers in FY12, is likely to
endFY13onaflat note.

Expanding network: The success of Hero has often been attributed to its entrenched
network of dealers spread across the country. Hero has an enviable 5,000 touch points across
India.

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HMSI is expanding its network aggressively. "We are inaugurating one-two touch points
every day to reach the hinterland," Mr. Guleria said.

According to the latest (February) sales data, HMSI's market share increased by 130 basis
points from last month to 19.3 per cent, while Hero's share declined by around 140 basis
points. Bajaj Auto's market share remained stable.

For fiscal year-to-date, Hero retains the number one slot in the domestic market with a 43 per
cent share, while HMSI has an 18.6 per cent share. Bajaj Auto has an 18 per cent share.

When Honda split from Hero, Shinji Aoyama, the-then president and CEO of HMSI,
announced that HMSI will become India's number one two-wheeler maker in a decade. For
some analysts, that was a tall claim given Hero's dominance in the domestic market - it is also
theworld'slargestmanufactureroftwo-wheelers.

Mr Aoyama, who has since moved to a senior position in Japan's Honda, said earlier this
week that HMSI could become the number one two-wheeler maker in India by 2015-16 even
ifthecurrentslowdoncontinues.

This time around, analysts are taking HMSI's claims more seriously.

THE ROLE OF MARKETING MIXES IN STRATEGY:

Marketing mix plays a crucial role while deciding the strategy of an organization. It is the
first step even when a marketing plan or a business plan is being made. This is because,
you’re marketing mix decision will also affect segmentation, targeting and
positioning decisions. Based on products, segmentation and targeting will be done. Based on
the price, positioning can be decided. And these decisions will likely affect the place and
promotion decisions. Thus, the marketing mix strategy goes hand in hand with segmentation
targeting and positioning.
The above four P’s of marketing give you an overall look at the product marketing mix. If
your product is a service then there are 3 further P’s taken into consideration namely

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– people, physical evidence and process. For the same, you can refer the Service marketing
mix.

FINANCIAL STRATEGIES

PRIMARY FOCUS:

In collaboration with our direct parent, American Honda Motor Co., Inc. (AHM), and our
affiliate, Honda Canada, Inc. (HCI), we support Honda and Acura product sales in the United
States and Canada, helping maintain customer and dealer satisfaction and loyalty. Our
business substantially depends upon these sales.

LIQUIDITY AND CAPITAL RESOURCES:

Our liquidity strategy funds current and future obligations by cost-effectively expanding and
diversifying our sources of capital.

Our funding strategy considers factors such as the interest rate environment, domestic and
foreign capital market conditions, maturity profiles, and economic conditions. This strategy
incorporates investor diversification and multiple funding sources including commercial
paper, medium-term notes, bank loans, related party debt and asset-backed securities.

AHFC Regional Locations

CONCEPTUAL FRAME WORK

It can lead to a narrow focus on the literature, ignoring other conceptual resources that

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may be of equal or greater importance for your study. As Locke, Spirduso, and Silverman
(1993) pointed out, “In any active area of inquiry the current knowledge base is not
in the library—it is in the invisible college of informal associations among research
workers” (p. 48). This knowledge can be found in unpublished papers, dissertations in
progress, and grant applications, as well as in the heads of researchers working in this
field. Locke, Spirduso, and Silverman emphasized that “The best introduction to the
current status of a research area is close association with advisors who know the
territory” (p. 49). In addition, an exclusive orientation toward the literature leads you to
ignore your own experience, your speculative thinking (discussed later in the section
titled “Thought Experiments”), and any pilot and exploratory research that you’ve done.

It tends to generate a strategy of “covering the field” rather than focusing specifically on
those studies and theories that are particularly relevant to your research (for more on this,
see Maxwell, 2006). Literature reviews that lose sight of this need for relevance often
degenerate into a series of “book reports” on the literature, with no clear connecting
thread or argument. The relevant studies may be only a small part of the research in a

defined field, and may range across a number of different approaches and disciplines.2
The most productive conceptual frameworks are often those that bring in ideas from
outside the traditionally defined field of your study, or that integrate different
approaches, lines of investigation, or theories that no one had previously connected.
Bernd Heinrich used Adam Smith’s The Wealth of Nations in developing a theory of
bumblebee foraging and energy

SWOT ANALYSIS

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Honda is one of the best as well as a leading company in the market, which is producing well
with the help of all the latest and innovative technologies. A part from auto mobile, Honda is
one of the best and the largest producer of engine. Honda was the one, which compete with
Nissan and achieved the highest productivity. Honda was the first Japanese automobile-
based manufacturer which produced the luxury-based brand. This company is thus working
well and generating effective out comes. Apart from this, numerous threats as well as
weakness are there which plays an important role in weakening this company. Therefore, in
order to analysis the weak areas and to highlight the strong areas of a company, SWOT
analysis is done which results in better and productive out come.

SWOT ANALYSIS OF HONDA COMPANY

STRENGTHS:

1. High and powerful research and development.

2. Innovation.
3. Best market share leadership.
4. Strong and powerful brand equity.
5. Different and unique products.
6. One major strength is the revolutionary engine technology with the help of which Honda
is gaining success day by day.
7. Popularity is termed as one of the best strength which results in betterment for the
company.
WEAKNESS:
1. Cost structure of Honda is high as compare to other auto mobile manufacturers.
2. Apart from Nissan & Toyota, Honda requires privileged purchase deposit.
3. Honda focuses more on international deposits as compare to domestic deposits
4. Civic model is considered as one of the major weakness for Honda Company.
5. Honda products are termed as inoffensive in terms of style and design.
6. Prices for non-luxury vehicles are far high as compare to other manufacturer.

FINDINGS

1. Gross profit percentage of Honda Motors Ltd., is better than the Other Motor Company
Ltd.,
2. Net profit percentage is also better in Honda Motors Ltd.,

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3. Fixed assets turnover ratio is better in Honda Motors Ltd.,

4. Current ratio of Honda Motor Company Ltd., is up to the standard norms.
5. Fixed assets to net worth of Honda Motors Ltd., is better than Other Motor Company Ltd.,
6. Working capital to fixed assets is positive in Other Motor Company Ltd., and Negative in
Honda Motors Ltd.,
7. Ratio of net profit to net worth is better in Honda Motors Ltd.,
8. Ratio of current liabilities to total liabilities is increasing trend in Motor Company Ltd.,

SUGGESTIONS

I. The gross profit of Honda Motor Company should be improved by reducing cost of
manufacture.
2. Net profit of Honda Motor Company is decreasing and hence proper advertisement media
should be used to improve the net profit.

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3. Fixed assets turnover should be maintained on an increasing trend of Honda Motors Ltd.
4. The current ratio of Honda Motors can be improved by maintaining current assets.
5. Working capital to fixed assets of Honda Motors is of negative aspect, it should be reduced
to positive aspect.
6. Quick assets can be improved by way of marketable securities in Honda Motors Ltd.,
7. Net profit to net worth is to be increased further in Other Motor Company Ltd., when
compared with Honda Motors Ltd.,
8. Sales of Honda Motor Company can be improved by the way of introducing low cost
vehicles.’

CONCLUSION

Based on the findings and suggestions, the researcher concludes that the comparative study
between Hero Honda Motors Ltd., and Other Motor Company Ltd., identifies the areas in
which the companies are better and the areas in which the companies are weak. The result
will help the companies to improve the financial position for future development. The

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standard norms of ratio analysis, correlation and trend percentage are useful to increase the
overall performance and responsibility of the firm. Based on this the companies has to see
that the resources are utilized effectively and efficiently for the future growth.

BIBLIOGRAPHY

http://www.referenceforbusiness.com/history2/67/Honda-Motor-Company-
Limited.html#ixzz3TlUxtt7f
1) www.honda2wheelersindia.com
2) https://www.hondacarindia.com
3) http://www.honda2wheelersindia.com/contact.aspx

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HONDA BIKES QEATIONARE

NAME: AGE GENDER CONTACT NO

(1) Do you own any to wheeler currently?

(A) Yes (B) No

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(2) How do you come to know about Honda bike?

A) TV B) news paper c) friends E) dealers

3) What do you feel about design of Honda bikes?

A) Excellent B) good c) Avg d) Poor

4) What are the valuable attributes you normally look while purchasing a two –wheeler?

A) Attributes B) quality services C) less price d) Brand image

5) What is your opinion about mileage?

A) Excellent b) good C) Avg D poor

6) Since how many months have you been using Honda bike?

A) 0-6 b) 6-12 C) 1-12 d) more than 2 years

7) What is the reason for choosing Honda bike?

A) Less price B) Quality service C) Brand image D) other

8) Why do you prefer for this service?

A) Convince B) Economical C) Security D) Features

9) Are you satisfied with the quality of service being provide?

A) Yes B) no

10) Satisfaction with the Honda bikes pickup?

A) Yes B) No

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