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Marketing Potential of HAL, TAD Kanpur
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Transcript of Marketing Potential of HAL, TAD Kanpur
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(The Organization)
0Transport Aircraft Division of HAL was set up in 1960to manufacture the HS-748, a medium haul turbo-prop passenger transport aircraft. Over the years, ithas vastly developed its infrastructure andcapabilities and undertaken the manufacture of 15-19seater multi role utility aircraft (Dornier DO - 228),agriculture aircraft (HA-31), basic trainer aircraft(HPT - 32) and variety of aerospace structuralassemblies and components for both domestic andInternational market. Production of DO-228 isexpected to continue for another 8-10 years.
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Objective0The objective of the training is to study the Market
potential of various products of HAL, TAD Kanpur.
Specific Objectives0Market potential for a DO-228 aircraft.
0A customer profile to understand where to find morelike them.
0A geographic view of market opportunity on detailedmaps.
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Scope of the study0The scope of the study covers in depth, the various
south Asian countries as target market . Includes the
present economical scenario of the concerned markettheir purchasing power and the substitute product
available with them.
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Methodology0Information has been collected from the brochure,
factory visit and the website of the HAL TAD Kanpur.
Using the secondary data the analysis has beencarried out. SWOT analysis framework has been used
to understand strength, constraints, threats and
opportunities. Based on the analysis the Market
potential of TAD Kanpur has been studied. While PEST
analysis have been done to understand theorganizations supply and demand.
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The total number of aircrafts delivered
Product Period Qty
HS-748 Aircraft 1960-83 89
Gliders 1963-86 164
Basant Aircraft (HA-31) 1975-78 19
HPT-32 Aircraft 1983-98 142
Dornier-228 Aircraft 1985 onwards 83
ATP Tail plane(for Export) 1987-95 24
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Customer ProfileDomestic
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Customer ProfileInternational
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Marketing Mix0Product
0Price
0Place0Promotion
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SWOT Analysis0Strength
1. Around 250 DO-228 aircraft are operating Worldwide.
2. Proven platform for Maritime and special applications.3. Market survey reveals that definite requirement exist for
DO-228 class Aircraft in Maritime and other version in
Mauritius, Saudi Arabia, Philippines, Namibia, Thailand,
Nigeria, Sri Lanka.
4. facilities available for servicing of 221 types of HS-748
and 48 types of DO-228 Rotables.
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Continued
0Weakness
1. Cost of DO-228 is high compared to international
price of same category in production.2. Long lead time of delivery.
3. Availability of 2nd hand Dornier-228 aircraft at one
third price in international market.
4. Non availability of approval certificate of facilities byFAA/ JAA.
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Continued..0Opportunities1. Liquidation of M/S Fairchild Dornier provides impetus to
TAD to Global product support of DO-228 aircraft.
2. executing export order for manufacturing of 24 seats ofATP tail planes. HS-748
3. Joint Ventures
4. Technology transfer5. Strategic alliances/ partnering in the field of:
0Design, machining and manufacturing of equipment0Electronics0Mechanical
0Avionics
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Continued..
0Threats
1. Economy of target market countries.
2. Lose of key staff.
3. Lack of financial resources.
4. Cash flow.
5. New technology
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Limitations0Defense ministry and ministry of external affairs play
vital role in the selling of any aircraft manufactured in
HAL.
0Lack of financial support to the customers.
0 The manufacturing of DO-228 was based on licenseagreement with the RUAAG a Germany based
company.
0The features of DO-228 limit the target market only tothe less developed countries.
0HAL has limited human resource.
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Findings
0Specialized in the manufacturing of DO-228 aircraftand air frame of the same.
014 seater Saras aircraft, under development atNational Aeronautical Laboratory (NAL), Bangalore,
will utilize intricate CNC parts like Wing Panels as
well as Assemblies built at TAD Kanpur.
0The production of the aircraft is expected to happen at
HAL-Kanpur that has expertise in manufacturing
Dornier (Do) 228, a similar aircraft presently used by
the Indian Air Force for a variety of roles.
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Continued.
0The transport aircraft section of HAL-Kanpur will alsorenovate the present model of Turbo prop trainer
aircraft, used widely for pilot training across thecountry.
0The division received orders worth Rs 7,600 crore,sufficient to engage the present resources for next six-
seven years.
0Series production of 100 seats Multi Role Transportaircraft will be taken up by TAD Kanpur.
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Recommendations
0DO-228 should be more facilitated in order to meet therequirement of target markets.
0DO-228 should be promoted in tourism sector.
0More emphasis on research and development.
0Continuous innovation in R&D and process innovation.
0Export of spare parts.
0Optimum utilization of expensive machinery.0Arrangement of finance to the target customer Provision of
soft loans.
0Joint venture with friendly nations
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Products
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Promotion
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