7/29/2019 Bajaj Hero

1/3

HISTORY OF BAJAJ

COMPANY HISTORY

The Bajaj Group is amongst the top 10 business houses in India. Its footprintstretches over a wide range of industries, spanning automobiles (two-

wheelers and three-wheelers), home appliances, lighting, iron and steel,

insurance, travel and finance.

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 across several countries in Latin America, Africa, Middle East, South

and South East 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 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.

MARKETING STRATEGIES

The focus of Bajaj off late has been on providing the best of the class models

at competitive prices. Most of the Bajaj models come loaded with the latest

features within the price band acceptable by the market. BAL has been thepioneer in stretching competition into providing latest features in the price

segment by updating the low price bikes with the latest features like disk-

brakes, anti-skid technology and dual suspension, etc.

Bajaj adopted different marketing strategies for different models, few of

them are discussed below: -

CALIBER - The focus for the Caliber 115 was youth. And though Bajaj made

the bike look bigger and feel more powerful than its predecessor

(characteristics that will attract the average, 25-plus, executive segment bike

buyer). Going by the initial market response, the campaign was clearly a hitin the 5-10 years age bracket. So, the teaser campaign and the emphasis on

7/29/2019 Bajaj Hero

2/3

the Caliber 115 being a `Hoodibabaa' bike placed it as a trendy motorcycle

for the college-goers and the 25 plus executives both at the same time.

HISTORY OF HERO HONDA

Hero, is the brand name used by the Munjal brothers in the year 1956 with

the flagship company Hero Cycles. The two-wheeler manufacturing business

of bicycle components had originally started in the 1940s and turned into the

worlds largest bicycle manufacturer today. Hero, is a name synonymous with

two-wheelers in India today. The Munjals roll their own steel, make free

wheel bicycle critical components and have diversified into different ventures

like product design. The Hero Group philosophy is:To provide excellent

transportation to the common man at easily affordable prices and to provide

total satisfaction in all its spheres of activity. The Hero group vision is to

build long lasting relationships with everyone (customers, workers, dealers

and vendors). The Hero Group has a passion for setting higher standards and

Engineering Satisfaction is the prime motivation, way of life and work

culture of the Group.

MARKETING STRATEGIES

Hero Honda globally known of being the most fuel-efficient and the largest

CBZ selling Indian motorcycle company. This is a relationship so harmonious

that Hero Honda has managed to achieve indigenisation of over 95 percent, aHonda record worldwide. The company is committed to provide the customer

with excellence. A rich background of producing high value products at

reasonable prices led the world's largest manufacturer of motorcycles to

collaborate with the world's largest bicycle manufacturer

CD DAWN : Honda CD Dawn is a beginner's bike well tested on Indian roads

and proven in city conditions. Hero Honda CD Dawn is a no-nonsense bike

that's all about price and utility. New bikes have showroom prices of around

Rs. 32,000 and on-road prices of around Rs. 37,000.

SPLENDOR NXG : The Hero Honda Splendor NXG is a new age bike in Hero

Honda's 100 cc stable. Stunning looks, economic performance, and a

multitude of features backed by Hero Honda's reliable support network,

makes this a good choice for the city commuter. The Hero Honda Splendor

NXG is now available at a showroom price of around Rs. 42,000. Hero Honda

Splendor Plus is one of the largest selling bikes in India.

CONCLUSION

7/29/2019 Bajaj Hero

3/3

1. Hero Honda is considered to be most fuel-efficient bike

on Indian roads,& have better quality, higher resale as

compared to Bajaj Bikes.

2. Bajaj Service & Spare parts are available throughout

India in local markets also,& Bajaj bikes havecomparatively low maintenance cost in contrast to

hero Honda bikes.

3. While buying a motorcycle, economy is the main

consideration in form of maintenance cost, fuel

efficiency.

4. Majority of the respondent had bought their motorcycle

more than 3 years.

5. Market leader Hero Honda has lost more than 3 per cent

of its market share in the motorcycle segment to its

nearest rival Bajaj Auto.

6. Bikes such as Bajaj Pulsar, Hero Honda Hunk,Karizma

are purchased by young generation 18 to 30 because

they prefer stylish looks and rest of the models of Hero

Honda are purchased more by daily users who needs

more average of bikes than looks.