YAMAHA HISTORY

Yamaha's history goes back over a hundred years to 1887 when Torakusu Yamaha founded the company, which began producing reed organs. The Yamaha Corporation in Japan (then Nippon Gakki Co., Ltd.) has grown to become the world's largest manufacturer of a full line of musical instruments, and a leading producer of audio/visual products, semiconductors and other computer related products, sporting goods, home appliances and furniture, specialty metals, machine tools, and industrial robots. The Yamaha Motor Corporation, Ltd., begun on July 1, 1955, is a major part of the entire Yamaha group, but is a separately managed business entity from the Yamaha Corporation. The Yamaha Motor Corporation is the second largest manufacturer of motorcycles in the world. Yamaha Motor Corporation owns its wholly-owned subsidiary in the U.S. called Yamaha Motor Corporation, USA, that is handling not only motorcycles, but also snow mobiles, golf carts, outboard engines, and water vehicles, under the brand name of Yamaha as well. In 1954 production of the first motorcycles began, a simple 125cc single-cylinder two-stroke. It was a copy of the German DKW design, which the British BSA Company had also copied in the post-war era and manufactured as the Bantam.Japan’s Yamaha Motor Company, one of the biggest motor bike companies in the world, faced numerous difficulties after the Asian financial crisis. As currencies, stock markets and asset values in many countries plummeted, there was a major decline in the earning and purchasing powers of consumers. Yamaha’s motor bike segment accounted for nearly 60% of its total sales but the company’s market share in the Asian nations declined rapidly from 18% in 1999 to 11% in 2003. Yamaha’s debts amounted to an astounding $2.3 billion in 2001. The demand for Yamaha bikes decreased and inventories piled up. To counter all these difficulties, Yamaha initiated various management plans, operational reforms and exclusive marketing strategies and from 2003 began to show tremendous improvement in its financial position. The case discusses these strategies in detail to show how

Yamaha made a comeback in the Asian bike market. It also enables comparison with the performance of competitors like Honda and Suzuki.Yamaha made its initial foray into India in 1985. Subsequently, it entered into a 50:50 joint-venture with the Escorts Group in 1996. However, in August 2001, Yamaha acquired its remaining stake becoming a 100% subsidiary of Yamaha Motor Co., Ltd, Japan (YMC). In 2008, Mitsui & Co., Ltd. entered into an agreement with YMC to become a joint-investor in the motorcycle manufacturing company "India Yamaha Motor Private Limited (IYM)". IYM operates from its state-of-the-art manufacturing units at Surajpur in Uttar Pradesh and Faridabad in Haryana and produces motorcycles for both domestic and export markets. With a strong workforce of more than 2,000 employees, IYM is highly customer-driven and has a countrywide network of over 400 dealers. Presently, its product portfolio includes VMAX (1,679cc), MT01 (1,670cc), YZF-R1 (998cc), FZ1(998cc), YZF-R15 (150cc), Fazer (153cc), FZ-S (153cc), FZ16 (153cc), SZ-R(153cc), SZ & SZ-X (153cc), SS125 (123cc), YBR 125 (123cc), YBR 110 (106cc) and Crux (106cc).

PRODUCT LINE OF YAMAHA IN INDIATop Selling Yamaha Bikes

Yamaha Gladiator DX... Rs. 56,280

Yamaha YZF-R15 Alloy... Rs. 1,10,319

Yamaha FZ-16 Alloy... Rs. 73,456

Yamaha Alba Alloy Wheel... Rs. 47,029

Yamaha G5 Spoke Wheel... Rs. 47,393

RACE OF YAMAHA WITH HIS COMPETITORS

As a 5 year plan, Yamaha is aiming to double its dealers so as to spread its two

wheelers to rural India. According to Koji Arai, Director and Chief Sales Officer of

Yamaha India, the company is likely to increase the showrooms count to 2000

especially in the small towns and rural hubs of the country.

Yamaha might have read somewhere in the history book that Agriculture is the

back bone of India and 70% of population resides in rural areas of the country.

Also, the No.1 two wheeler maker Hero Honda is focusing on expanding its

dealership activities in non-urban areas.

According to automobile analysts, since Urban commuters are slowly moving from two wheelers to cars, the two-wheeler's future lies more in the rural and semi-urban regions. This is quite obvious as cars like Tata Nano, starts at 1.5 lakh rupees on road, and the mileage of such small cars are almost would claim a 40% more fuel expenses per month, which the urban working mass are able to afford easily nowadays, thanks to the strong income growth.

SIAM stated that the total number of motorcycles sold has rised up to 26% based on the sales between March 2009 to March 2010 and Yamaha has sold 2,23,305 units locally in this period. The motorcycle major, Hero Honda's contribution is a massive 58% of the total country's two wheeler sale, out of which, 40% was from business done in villages.

Yamaha believes in "Word of mouth" method where the existing customers give a good feedback to their well wishers and thereby the new customers buy the vehicles trusting the "word of mouth" of their known people. Hence, it is vital for the company to establish good relationships with its customers who own Yamaha bikes. This is where "Yamaha Bike Corners" outlets comes in to small towns and rural areas. Yamaha customers can get exclusive free services and test rides in Yamaha Bike Corners.

Yamaha in India produces 6 lakh units per annum and all of them are bikes. But, on careful study of the Indian two wheeler market, the sales of scooters has made an impressive rise upto 27% during 2009-2010 period. This clearly indicates a need for more scooter variant. Yamaha has some plans to launch scooters soon!

1.1COMPETITORS ANALYSIS

1. Bajaj Auto Ltd.

Established in 1945 Bajaj Auto Ltd was incorporated as a trading company.

Till 1959, they imported scooters and three-wheelers from Italy and sold

them in India. The company got a production license in the year 1959 and

fastened a technical collaboration with Italian PIAGGIO in 1960.Bajaj Auto Ltd. is one among India's top ten companies in terms of market capitalization and among the top five in terms of annual turnover.

The company started producing scooters in the year 1961 and followed

three-wheelers production in 1962.Its collaboration with Piaggio expired in

1971 and since then, their scooters and three-wheelers are being sold with

the brand name “BAJAJ”. Maharashtra Scooters Ltd., a Company with 24%

equity participation by the Company and 27% participation from

Maharashtra State Government's Western Maharashtra Development

Corp. was formed in the year 1975 under the "Horizontal transfer of

technology" policy. The first production unit is located at Satara,

Maharashtra. The unit continues to collect scooters from CKDs supplied by

the Company. These scooters are marketed through the Company's

distribution network and under the Company's brand name. In 1984, the

second production plant was set up at Aurangabad, Maharashtra. This

plant started scooter production in 1986, three-wheeler production in 1987

and scooterettes and motorcycle facilities were commissioned in 1990 &

1991 respectively. Today, the company has become a market leader with

annual production in excess of 1.35 million units which was about 4000

units in 1961. These days, Bajaj Auto Ltd. has started offering products in

all segments (mopeds, scooters & motorcycles).

1.1.3 Golden Years of HERO HONDA

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. During 80s, Hero Honda became the first company in India

to prove that it was possible

to drive a vehicle without polluting the roads. They company possess three

manufacturing units based at Dharuhera, Gurgaon and Haridwar are

capable to produce

4.4 million units per year. They introduced new generation motorcycles that

set industry

benchmarks for fuel thrift and low emission.

The unique features like fuel conservation, safety riding courses and mobile

workshops helped the group reach in the interiors of the country. Well-

entrenched in the domestic

market, Hero Honda Motors Ltd. turned its attention overseas, and exports

have been

steadily on the rise. Over the years, the Company has received its share of

accolades, including the National

Productivity Council's Award (1990-91), and the Economic Times - Harvard

Business School Association of India Award, against 200 contenders. The

gross sales of Hero

Honda by March end'2008 was 33, 371, 43 Crores.

2. Honda Motorcycles & Scooters India Private Limited

Established in 1999, the Honda Motorcycle & Scooter India Pvt. Ltd. (HMSI) is a whollyowned subsidiary of Honda Motor Company Ltd., Japan and is located at Manesar,Haryana. The company's most well known brand is the Honda Activa that revolutionizedthe Indian scooterette market in terms of design and features. The company exportsscooters to the European Union.

4. TVS Motor

TVS Motor is a leading and trusted two wheeler companybegan with the vision of TVS Scooty the founder of theSundaram Clayton Group, the late T.S. Srinivasan - 'todesign, develop and produce an affordable moped for theIndian family.' This vision was realized in 1980 when TVS50, India's first two-seater moped rolled out of the factoryat Hosur in Tamil Nadu, Southern India.The company has been known for its ruggedness and reliability. TVS 50 was successfuland it has smoothened the way for many successes for TVS Suzuki even before itslaunch in the market. The TVS 50 XL is especially designed for individuals who wanteconomy fused with sporty looks. Recently new XL Super with a 70 cc high-tech PowerPack is all set to redefine the category of mopeds in the country. The Suzuki Samuraiwas launched for the time conscious urban commuter. The Max 100 R

was engineeredfor those who demanded strength and ruggedness. Along with them all, Suzuki Shogunwas for those who wanted raw power.TVS Motor has continually worked on innovation of the motorcycle segment along withtwo wheeler range. The Suzuki Shaolin, developed by TVS Suzuki is India's first 5-speed, 140 cc motorcycle. Another example of the company success is TVS Scooty, a60 cc Scooterette which keep one step ahead of its time in India.TVS Motor has been coveted 2 IT awards, one of them is bagging the SAP ACE 2008award for Customer Excellence and the other one is 2008 Symantec South AsiaVisionary Award. Along with this, it is the first company in the world to be honored with

The Deming Prize for Total Quality Management. In September 2008, the company has got 19% growth for registering total two wheeler sales of 137,246 units. The company is the third largest two-wheeler manufacturer in India and ranks among thetop ten globally. The company was the first in India to launch 2-seater 50cc moped and100cc Indo-Japanese motorcycles. At present TVS Apache, TVS Victor, TVS Scooty,TVS Centra and TVS Fiero are the popular bikes in Indian market.

In all, team TVS has triumphed each and every race and rally in the country from theroad to racetrack, with each of the TVS bikes being a winner. And each time the 'TeamTVS' has won on the track or off it; our customers have secured a better product for theirpersonal transportation.

Yamaha SZ

Yamaha has lynched its stunning bike in Dewali.This is festive gift from yamaha company for all

the bike lovers specially for the young generation who always prefer style with speed.This is

fully stylish 153cc bike totally air cooled with amazing 5 gears.

Adding to SZ charisma are the sophisticated meter panel, modern look dual tail lights, full plastic

chain case (gives protection from dust & water), robust side cover and 5-spoke cast

wheel.Yamaha SZ is available in 2 shades - Red & Black.

Fuel Economy of Yamaha SZ

Yamaha SZ returns fuel economy of around 50 kmpl in city driving conditions and 65 kmpl on

highway. 

ENGINE SPECIFICATIONS

Displacement: 153cc

Engine: Air-cooled, 4-stroke, SOHC

Maximum Power: 12 Bhp @ 7500 rpm

Maximum Torque: 12.8 Nm @ 4500 rpm

Gears: 5 Manual

Clutch: Wet Type

Chassis Type: Not Announced

Cooling Type:

Air Cooling

On

Price Rs. 58,000

YAMAHA Bikes sales increased by 23% in November

yamaha bikes registered a huge margin of sales in November  2010 as compared to the

previous years sales.It sold 30,310 units in November 2010 as compared to  24,600 units sold

in November 2009.total exports also gained marginally by 7,600 units in 2010 while 7545 in the

year of 2009.

Mr. H. Suzuki, the new CEO & Managing Director, India Yamaha Motor  is very pleased over

the performance of the company and said ““We are glad that our sales have maintained a

consistent growth trend. Our premium segment bikes such as FZ series and YZF-R15 are doing

very well. Our powerful commuter SZ bike and entry level YBR 125 and YBR 110 bikes also

continue to grow at a brisk pace which shows that we have been able to meet the customers’

expectations with a strong product portfolio. We expect our strong showing to continue in the

coming months.”

998cc FZ1

After gaining a huge  sales increase yamaha bikes is going launch 2 new kinds of muscular

bikes in the bike market  these are 998cc fzi and 153cc SZ-R. Mr. Hiroyuki Suzuki, CEO &

Managing Director, India Yamaha Motor is very much apprehensive regarding the two bikes

launched and said “India is one of the key markets for Yamaha and we have been constantly

shifting gears to transform the market from utility to pleasure & lifestyle. Yamaha offers

innovative designs, sporty looks and premium features across models as part of its strategy to

give consumers a new thrill in biking. After the successful launch of our superbikes and 150 cc

bikes in the Indian market over the last 3 years, we are adding two new bikes to our portfolio

corroborating Yamaha’s continued commitment to provide world-class products to its

consumers”.

Z1 is available in 2 color options - Black and White at an ex-showroom price (Delhi) of Rs.

8,70,000/-. 

153cc SZ-R

There is another sporty bike has been launched by the Yamaha company that is 153cc SZ-R in

the bike market.This is not as powerful as compared to the previous bike as it 153cc engine but

it is very comfortable and stylish looking.The bike comes with front disc brake, tachometer and

has tank protector added to the fuel tank to make it appear even larger.

Indian market this bike is available in 3 different colors these are quality Black,quality Red,and

quality blue.

SZ-R is priced at Rs. 55,500/- (Ex-showroom price - Delhi)

YAMAHA HAS REGISTERED 23.2% GROWTH IN 2010

Yamaha the fastest bike manufacturing company from Japan has registered a huge

growth in the year of 2010.They had made a unprecedented achievement  in  this

year.While every thing went right for the company and they had successfully launched 

yamaha SZ,yamaha ss125,yamaha ybr 125,ybr 110 ,153cc SZ-R in all major city in

India..All the bikes has got tremendous support from the customer around the world.

 Expressing glad over yamaha's recent success Mr. H. Suzuki, the new CEO &

Managing Director, India Yamaha Motor said, “We are glad that our sales have

maintained a consistent growth trend. 

They have got this massive success by launching several racing events,safe riding

programs.Yamaha always focus on young generation and that has been clicked,their all

sports and stylish looking bikes has been hugely accepted by the customers.Yamaha is

now trying to strengthening the dealer network in India as this could enhance the sales

in  a unbelievable position.

YAMAHA R-15

Yamaha R-15 is the first sports looking bike that has been launched by yamaha company in

indian bike market.This bike has totally outnumbered all the other sports looking bikes that are

already exist in bike market.A highly performed bike with  this dashing look boost the indian bike

segment.

This bike is performed by 149.8cc.fuel injected liquid engine with amazing 17bhp with maximum

torque of 15 Nm at 7500rpm; which makes it like the most powerful bike under 200cc range and

has a 6-speed Transmission.

 High Speed of Yamaha is around 145km/phr with consuming very less petrol.This amazing bike

also generate maximum power of around 20-22bhp,which is strongly competing powerful bikes

like Karizma  and Pulsar.

Features'

-Self Start,-Incredible Stylish,Front Disc Brake,-Tubeless Tyre,Alloy Wheel,Height is just

1070mm,Top Speed:135kph,Gears:6 Manual,Fuel Tank:12.00 ltrs.

YAMAHA BIKES IN 2011

 Here is a very special news for all Yamaha lovers in india.YAMAHA the Japanese bike

manufacturing company which has already launched few dashing look in 2010,coming up with a

very powerful and sports look bike that is YAMHA YZR -R1  and V MAX bikes.These powerful

bikes will come up in Indian roads by March 2011.

Company has only released the Images of these bikes for the customer review.

There is no proper information regarding its technical news and also where the power plants will

be build.But one thing is sure that this bike would come up with a very powerful engine.

YAMAHA FAZER

Indian Yamaha customer is eagerly waiting for a awesome looking bike.There long waiting

comes to an end

as yamaha has launched awesome looking Yamaha Fazer.With the stunning look it is triple

macho design concept with 150cc engine exactly suitable for Indian roads.

ENGINE Specification

With the 153cc engine and 5 manual gear this bike has stunned the Indian customer.Top is

speed is around 135 kmph.

Price-Price of this bike is around 75,000

COLOR -- Electric Blue ,Midnight Black,Lava Red, Flaming Orange

Yamaha India is certainly on superb position  - With the launch of Fazer thay have added

another  feather  which consists of Crux, Alba, Gladiator, FZ, FZ-S, R15, R1 & MT-01.

YAMAHA bike Sales increased significantly due to innovative Marketing initiatives in

2010

Yamaha bike sales has increased marginally in 2010 compared to 2009.As far as the company

sources Yamaha the leading Japanies bike manufacturing company has launched several high

performance and sports looking bikes the year of 2010.With proper Marketing strategy these

bikes has got overwhelming support from Indian bike lovers.This changed the picture and

Yamaha sold total of 350,264 motorcycles in 2010 as compared to 267,895 motorcycles in

2009, a growth of 30.7% over last year. 

During this Year Yamaha company has launched several powerful 150+cc bikes like (SZ, SZ-X

& SZ-R models) FZ, FZ-S, R15, R1 & MT-01.Not only this they have also entered into the super

bike segment by launching 1000cc FZ1 in December.

YAMAHA NEO 50

 

 

Yamaha Motor,the Japanese,premier bike manufureing company is willing to enter into the

Scooter market in India by launching Yamaha Neo.Though it is very vital decision to enter into a

segment which is already being dominated by few other brand company for several years.It

would be a challenge for the yamaha as they are completely new in this segment.The scooter

market in India is currently dominated by the major bike manufacturing company's like

TVS,BAJAJ.

Yamaha Neo mileage,Average,and Fuel economy

Yamaha Neo 50 id expected to provide very high mileage and better fuel efficiency than other

existing scooters,Fuel efficiency is around 45kmpl,with the engine capacity 49.2cc

displacement.

PRICE -RS-30,000 onroad

Rising Customer Expectations

The growth witnessed by the Indian two wheeler industry has attracted a number of new entrants to the market and it is expected that the Indian industry will become more competitive in the future. The excess of products introduced in the past has also raised customer expectations with respect to reliability, styling, performance and economy.

Inflation is a big factor that may play a part in moving the loyalties and aspirations of people away from the four to the much cheaper and economical two wheeler segment. Moreover, the constantly increasing prices of oil and increasing interest rates on finance are not helping the cause either.

Environmental Concerns are also quite big on the agenda these days and do play a part in the preference of consumer’s choices. The rising global temperatures along with daily snippets in the national and international media about the thinning of ozone and imminent environmental disaster have all contributed to the making of a present day environmentally conscious consumer.

THE YAMAHA STRATEGY IN INDIA

Yamaha has shifted its focus from the lower end segments to the premium segment of bikes. It aims to provide its customers the full range of its engineering marvels that make Yamaha the company that it is. Yamaha has a very strong focus on the technical department, the result of which can be seen with Yamaha comfortably leading the constructor’s championship in the Superbikes racing with Valentino Rossi and Colin Edwards as their riders. Yamaha has aimed to become the No.1 in customer satisfaction and is looking forward to providing the customer with an ‘experience’ with its products. The target market of India Yamaha Motors is the young and enthusiastic 18-25 yr. olds who are willing to try taking the not so much treaded path of buying the ‘sports bike’ rather than a ‘utility two wheeler’. These young guns are very conscious of the style quotient and look forward to their ride being a personality statement. With the increasing dispensable income in India and growing middle and upper middle class segment Yamaha is sure to find many prospective customers. With news of India becoming the breeding ground for millionaires Yamaha has certainly identified an opportunity and has grabbed it hands down.

THE 4 P’S FOR INDIA YAMAHA MOTORS

Product: India Yamaha Motors has recently launched its sports bike R15 and FZS in the

150cc. The bikes in the premium segment include MT01 and YZF R1. Yamaha is bringing its latest technologies to India and aims to come up with a new product for the Indian market every quarter. The reliability and riding quality of a Yamaha have already been established through its earlier products. Price: The Yamaha range of products has been very competitively priced and the prices of its premium segment bikes MT01 and YZF R1 are priced much below any present or prospective competitor in the segment at Rs.10.5 lacs.

Its other products like the R15 has also been priced optimally looking at the specifications of the bike. The bike despite being only 150 cc provides around 22 BHP of power, more than any other bike in the 150-220cc. bracket. The bike has also brought the liquid cooled engine technology to India and other features like the styling etc. are also quite new for the Indian market and hence considering what it gives you it is a bargain at Rs.97,500. Promotion: Yamaha has been constantly loosing market share over the last few years

and has thus decided to change its brand image with change in its market strategy. The company now wants to be known for its style and speed. It looks to be known as a sports bike manufacturer and not as an economy bike segment player. Taking these factors into consideration the company has started a complete makeover of its image. The recent R15 and FZS ads on

numerous channels on TV and other ads on both electronic and print media vindicate the point. The company has also opened ‘Yamaha bike stations’ which are company owned showrooms and completely symbolize the brand image that Yamaha wants to achieve in India. Place: India Yamaha Motors has adopted a two tier marketing channel consisting of the

Primary dealers at tier1 and the secondary dealers or retailers at tier2. In addition to these two tiers there are also the ‘company owned showrooms’ and the multibrand outlets.

01 EXECUTIVE SUMMARY

This research is a hypothesized study which was conducted to measure the CustomerSatisfaction Level from the Yamaha’s new products such as YAMAHA

FZ & YAMAHAFZS; this research was conducted in the East UP region. This research was done duringthe months of June and July2009.Hence the data displayed has been collected duringthe before mentioned period.To meet the research objectives, following activities have been performed. 1. An extensive search of relevant literature from news articles, internet, books. This step guided the development of the methods and instruments for collecting data. 2. Designing the questionnaire. 3.Survey has been carried away by telephone, one-on-one interviews; The Survey included both quantitative, forced-choice or close ended questions and qualitative, open-ended questions. 4.Analysis was done on the basis of the information. During this research it was found that Yamaha’s new launched bikes(FZ & FZS) hasincreased its market share by attracting new customers and helped to retain its oldcustomers which they have lost in she past after the ban of RX100 in India. FZ & FZSare awarded as a BIKE OF THE YEAR. India Yamaha Motors, a company that is knownfor combining technology, quality and performance in their bikes, had taken an initiativeto introduce some of their performance driven bikes in India last year and are nowreporting an impressive growth of 48% in sales during April 2009 having sold 15120

units as compared to 10199 units in April last year. With their product line-up being theFZ-16, FZ-S and the R15, India Yamaha Motors is also providing their customers with

Different experiences with their various programs such as allowing the customers todrive their bikes on a race track.It is also seen that Yamaha is focusing on the Premium segment of bikes which is slatedto welcome new players. Yamaha would have to constantly innovate and come up withnew products to maintain its dominance in the segment.

LIMITATIONS OF THE STUDY

• This research is geographically restricted to Lakhimpur only. Hence the result cannot be extrapolated to other places.

• The study is restricted only to the organized sector of two wheeler industry

• The seriousness of the respondents and their ability to justify their answers may also be a limitation.

• The sample size is small due to the specified reasons.

• Findings are based on sample survey.

• All interview questions are undisguised or direct. Hence there is a scope for the respondents to be biased or pretentious.