Company :- HondaSubject:- Marketing Management - llCourse:- PGDM (2013-15) Sec-CPresented By:- Bhawan Singh, Mohit Kumar

Presented to:- Dr. Mukesh Porwal

Company AnalysisHonda motor company Limited is a Japanese public multinational corporation; primarily known as a manufacturer of automobile andmotor cycle. Honda has been world largest motorcycle manufacturer since 1959 as well as world largest internal combustion engines manufacturer, its producing 14 million internal combustion every year.

Company ProfileFounded By:- Hamamatsu (Japan) September 24, 1948

Founder:- Soichiro Honda , Takes Fujisawa

Headquarters:- Minato, Tokiyo, Japan

Takanobu Ito:- President, CEO, Representative Director

ProductsMotorcyclesPower equipments EnginesRobotsAircraftSolar CellsMountain BikesWater PumpHonda BrioHonda cityHonda accordHonda CR-VHonda Amaze

Competitors of the Honda Motor Ltd.

Mahindra & Mahindra Ltd.Suzuki motor corporationToyota Motor CorporationHyundai motor Ltd.Tata motor Pvt. Ltd.AudiBajaj MotorNissan Motor Ltd.

Honda Cars India Ltd is a leading Manufacturer of premium cars in India. The company established in 1995 with commitment to provide Honda latest passenger car models and technologies to the Indian customer. Growth rate of Honda motor= $39.65Operating profit =620billion yen(5.8 billion)Net Income= 3899000Total revenue=104889000Total Assets= 879774

SupplierPower

Threat of NewEntry

Buyer Power

Threat Of Substitution

Competitive Rivalry

Competitive Rivalry:- Competitive rivalry Mean the intensity of competition

among the existing competitor in the market, its depend on their capabilities.Some main rivals are the Honda Motor. These are the Toyota, Duster, M&M Ford Motor General Motor etc.Honda and these Rival keeps on innovating, improving, researching and developing to competing to the Auto industry.

Example:- whenever one company release one model in the market others will catch up and have similar product to compete. Honda Activa & TVS WegoRenault Duster ( petrol RxL) Honda city ML 1.5,Honda Accord & Toyota Camrywhen Honda has just released its FCX Clarity, the next generation of its fuel cell vehicles, GM put their fuel cell platform into the body of a Chevy Equinox SUV.

Buyer Power:- Honda have a lot of competitors. So customers will confuse when they

make decision for what Brand will be the best choice. It depends not only the famous company but also the price and quality.EX . Honda introduced Air Blade Scooter with functions like sport and fashion model, more fuel-efficient engine technology. Customer want to buy it must order and wait around one to two months. Warranty, Toll free no 24/7,towing benefit gives Honda.

Threat of Substitution:-Means how easily your customers can switch to your competitors product. Honda gives Honda car insurance Light weight ,easy to start, size & support Quality & materialFuel Best Technology

Threat of new entrant:-When new company enter in the market its face the different

problem like Cultural difference, government police, customer can easily switch.Ex- Ford and Honda aggressively compete each other in American market. But Honda getting their less profit due to the Government policies. That time is was threat for

Honda motor. Renault duster Suzuki introduced Hayate scooter (less than 23% price) with air Blade Its reduce the share of Honda.

Supplier Power :-One of the factor help the company to compete against with other companies is the ability to reduce the cost. So the supplier play the important role to make the company success. Raw material, Parts,Key supplier:-Kinzoku Kogyo Co Ltd; Hirata Technical Co Ltd Hongo Co Ltd Kikuchi Co. Ltd; Marujun Co Ltd Among these companies, Kikuchi Co Ltd deal with not only the supplier of Honda but also Nissan‘s supplier. If Nissan was willing to purchase with higher price or had some benefit promotion than Honda, Honda might be affected on the capacity and increase the cost

BCG Matrix:- Its based on the observation that the company unit can be classified into four categories based on combination of market growth and market share relative to the best competitor. BCG matrix divided into four part.

Part of BCG Matrix :-StarCash cowQuestion markDog

BCG Matrix

LOW

HIGHLOWHIGH

Mar

ket

Gro

wth

Rat

eC

ash

Use

Relative Market ShareCash Generation

Honda AccordHonda CivicHonda Amaze

Honda JazzHonda70

Honda ActivaHonda city

Honda CBRHonda Pump25

BEG Matrix Honda

Honda Product MixProduct Mix Width

Pro

du

ct L

ine

Le

ngt

h

Product 1 Product2 Product3 Product4 Product5

Cars Bikes Jets Engines Pumps

Accord Activa N420HA GX25 WX10,WX15

Civic Aviator HA-420 GX100 WB20,WB30

Crosstour CB Trigger GX120 WH15,WH20

Honda CR-V CB twister GX340 WMP20

Honda CR-Z CB Unicorn GX390 WT20,WT30,WT40

FCX Clarity CB Unicorn dazzler

GXR120 WDP30

Insight CB 1000R iGX340 WSP50,WSP53

Odyssey CB Stunner iGX390 WSP73

Pilot CBR 1000RR GC160 WSP100

Ridgeline CBR 150R GCV190

CBR250R GXV50

CB Shine

CBR 300

VT 1300CX

Product Life Cycle: PLC used to map the lifespan of the product. There are four step of the PLC. Introduction StageGrowth stageMaturity stageDecline stage

Product Life Cycle

Dream neoCBR150RVT250Odyssey

Honda AmazeBrio,CRV,CbshieVFR1200X,CBR250R

Revenue

Time

Rev

enu

e/P

rofi

t

Honda city, Accord, CBF Stunner, Activa, Honda jet, ASIMO, Civic, Unicorn,

Honda70, Jazz,CB750K1,CB350 Solar cells

Product Life Cycle Honda

Profit