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Bajaj Auto, founded in 1944, has evolved from selling imported vehicles to becoming a major manufacturer of motorcycles, scooters, and three-wheelers, with significant exports accounting for 35% of total sales. The company has achieved numerous milestones, including being the world's largest three-wheeler manufacturer and launching innovative products like the Pulsar motorcycle series. Despite facing challenges in the domestic market, Bajaj Auto aims to regain market share by focusing on entry-level and premium segments.

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0% found this document useful (0 votes)
12 views56 pages

chapter

Bajaj Auto, founded in 1944, has evolved from selling imported vehicles to becoming a major manufacturer of motorcycles, scooters, and three-wheelers, with significant exports accounting for 35% of total sales. The company has achieved numerous milestones, including being the world's largest three-wheeler manufacturer and launching innovative products like the Pulsar motorcycle series. Despite facing challenges in the domestic market, Bajaj Auto aims to regain market share by focusing on entry-level and premium segments.

Uploaded by

sathish kumar
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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CHAPTER - I

INTRODUCTION

Bajaj Auto came into existence on 29 November 1944 as M/s Bachraj


Trading Corporation Private Limited. It started off by selling imported two and
three wheelers in India. In 1959, it obtained a licence from the Government of
India to manufacture and three wheelers and it became a public limited company in
1960. In 1970, it rolled out its 100,000th vehicle. In 1977, it sold 100,000 vehicles
in a financial year. In 1985, it started producing at Walujnear Aurangabad. In 1986,
it sold 500,000 vehicles in a financial year. In 1995, it rolled out its ten millionth
vehicle and produced and sold one million vehicles in a year. the launch of
motorcycles in 1986, the company has changed its image from a scooter
manufacturer to a two wheeler manufacturer.

According to the authors of Globality is Competing with Everyone from


Everywhere for Everything, Bajaj has operations in 50 countries by creating a line
of bikes targeted to the preferences of entry level buyers.

PRODUCTS

Bajaj manufactures and sells motorcycles, scooters, auto rickshaws and


most recently, cars. Bajaj Auto is India’s largest exporter of motorcycles and three
wheelers. Bajaj Auto’s exports accounted for approx. 35% of its total sales. 47% of
its exports are made to Africa. Boxer motorcycle is the largest selling single brand
in Africa.
ACHIEVEMENT

 1945– On November 29 Bajaj Auto came into existence as Bachraj Trading


Corporation Private Limited.
 1948– The company commenced sales in India by importing two– and
three–wheelers.
 1959– Bajaj Auto obtained the licence from the Government of India to
manufacture two– and three wheelers.
 1960– The company became a public limited company and conducted
Bhoomi Poojan of the Akurdi Plant.
 1970– Bajaj Auto rolled out its 100,000th vehicle.
 1971– The company introduced its three–wheeler goods carrier.
 1972– The company introduced Bajaj Chetak.
 1975– Bajaj Auto & Maharashtra Scooters entered into a joint venture.
 1976– The company introduced Bajaj Super.
 1977– Bajaj Auto introduced rear engine autorickshaw and achieved
production and sales of 100,000 vehicles in a single financial year.
 1981– Bajaj Auto launched Bajaj M–50.
 1984– On January 19, the foundation stone laid for the new plant at Waluj,
Aurangabad.
 1985– On November 5, the Waluj plant inaugurated by the erstwhile
President of India, Giani Zail Singh. The company commenced production
at Waluj, Aurangabad in a record time of 16 months.
 1986– The Bajaj M 80 and the Kawasaki Bajaj KB100 motorcycles were
introduced. The company produced and sold 500,000 vehicles in a single
financial year.
 1990– The Bajaj Sunny was introduced.
 1991– The company introduced Kawasaki Bajaj 4S Champion.
 1994– It launched Bajaj Classic.
 1995– On November 29, Bajaj Auto turned into a 50–year old company. It
signed agreements with Kubota of Japan for the development of diesel
engines for three–wheelers and with Tokyo R&D for ungeared scooter and
moped development. The Bajaj Super Excel is introduced while Bajaj
celebrated its ten millionth vehicle. The same year one million vehicles were
produced and sold by company in that financial year.
 1997– The Kawasaki Bajaj Boxer and the RE diesel Autorickshaw are
introduced.
 1998– The company commenced production at Chakan plant. It rolled out
Kawasaki Bajaj Caliber from its Waluj plant. Bajaj Auto launched Legend,
India's first four–stroke scooter from Akurdi plant. The same year Spirit was
launched.
 1999– Caliber motorcycle notched up 100,000 sales in record time of 12
months.
 2000– The company launched Bajaj Saffire.
 2001– Bajaj Auto launched its latest offering in the premium bike segment
'Pulsar'. The same year Eliminator was launched.
 2003– Bajaj Pulsar DTS–i was launched. The company sold 107,115
motorcycles in a month. The company launched Bajaj Wind 125, The World
Bike in India. It launched its Caliber115 'Hoodibabaa!' in the executive
motorcycle segment.
 2004– Bajaj Discover DTS–I, new Bajaj Chetak 4–stroke with wonder gear
and Bajaj CT100 were launched. Bajaj unveiled new brand identity, new
symbol, logo and brandline.
 2005– Bajaj Discover, Bajaj Avenger DTS–I and Bajaj Wave DTS–I were
introduced.
 2006– Bajaj Platina was launched.
 2007– RE GDi autorickshaw, Bajaj XCD 125 DTS–Si, Bajaj Pulsar 220
DTS–Fi, 200 cc Pulsar DTS–I and Bajaj Kristal DTS–i were launched. The
company also underwent through revamping of its organisational structure.
 2008– Bajaj Platina 125 DTS–Si was launched.
 2009– Bajaj Pulsar 150 & 180 upgrade and Bajaj XCD 135 DTS–Si were
launched
 2010 – Bajaj Auto launched a 135 cc Pulsar, priced at Rs 51,000, pushing
the Pulsar brand into the mass segment.
 2011– April, Bajaj Records its best year ever of 2010.
 2011–Bajaj Auto ties–up with SBI for inventory finance to dealers
2012 –Bajaj Auto tied up with Japan’s Kawasaki in Indonesia

AWARDS

 Bajaj Auto was awarded the NDTV Profit Business Leadership Award 2010
at the hands of the Hon'ble Finance Minister Shri Pranab Mukherjee on 1st
September 2010.
 Bajaj Auto’s Bajaj Pulsar DTS–Fi won bike of the year in 2007 by CNBC–
TV18 Autocar Auto Awards.
 Bajaj Platina 100 cc won bike of the year 2007 by NDTV Profit Bike India.
 Bajaj Auto’s Chakan Plant won Super Platinum Award For manufacturing
Excellence in 2006–07 by Frost and Sullivan.
 Bajaj CT 100 bagged Motorcycle Total Customer Satisfaction Study in 2005
by TNS Automotive.
 DIRECTORS' REPORT
 The directors present their Eighth Annual Report and audited financial
statements for the year ended 31 March 2015.
 The directors recommend for consideration of the shareholders at the
ensuing annual general meeting, payment of a dividend of Rs.50 per share,
(500%) for the year ended 31 March 2015. The amount of dividend and the
tax thereon aggregate to Rs. 1,734.57 crore.
 Dividend paid for the year ended 31 March 2014 was also Rs. 50 per share
(500%). The amount of dividend and the tax thereon aggregated to Rs.
1,692.73 crore.
 The paid up equity share capital as on 31 March 2015 was Rs.289.37 crore.
 There was no public issue, rights issue, bonus issue or preferential issue etc.
during the year.
 The Company has not issued shares with differential voting rights, sweat
equity shares nor has it granted any stock options.
 Operations
 Detailed information on the operations of the Company are covered in the
Management Discussion and Analysis Report.
 Capacity expansion and new projects
 The Company's current installed capacity is 6.06 million units per annum.
The Company plans to increase the installed capacity to around 6.12 million
units per annum by March 2016.
 As regards our quadricycle – RE 60, the product is ready for launch.
Detailed information on the same is provided in the Management Discussion
and Analysis Report.
 Research and Development and technology absorption
CHAPTER II
INDUSTRIAL PROFILE

Bajaj Auto Limited is a global two-wheeler and three-wheeler


manufacturing company based in India. It manufactures motorcycles, scooters and
auto rickshaws. Bajaj Auto is a part of the Bajaj Group. It was founded by
Jamnalal Bajaj in Rajasthan in the 1940s. It is based in Pune, Maharashtra, with
plants in Chakan (Pune), Waluj (near Aurangabad) and Pantnagar in Uttarakhand.
[4]
The oldest plant at Akurdi (Pune) now houses the R&D centre 'Ahead'.

Bajaj Auto is the world's third-largest manufacturer of motorcycles and the


second-largest in India. It is the world's largest three-wheeler manufacturer.

On May 2015, its market capitalisation was 640 billion (US$8.9 billion),
making it India's 23rd largest publicly traded company by market value. The
Forbes Global 2000 list for the year 2012 ranked Bajaj Auto at 1,416

Bajaj Auto came into existence on 29 November 1944 as M/s Bachraj


Trading Corporation Private Limited. It started off by selling imported two- and
three-wheelers in India. In 1959, it obtained a license from the Government of
India to manufacture two-wheelers and three-wheelers and obtained Licence from
Piaggio to manufacture Vespa Brand Scooters in India and started making Vespa
150 scooters. It became a public limited company in 1960. In 1970, it rolled out its
100,000th vehicle. In 1977, it sold 100,000 vehicles in a financial year. In 1985, it
started producing at Waluj near Aurangabad.[9] In 1986, it sold 500,000 vehicles in
a financial year. In 1995, it rolled out its ten millionth vehicle and produced and
sold one million vehicles in a year.

With the launch of motorcycles in 1986, the company has changed its image
from a scooter manufacturer to a two-wheeler manufacturer. In 2017 it was
announced that Bajaj Auto and Triumph Motorcycles Ltd would form an alliance
to build mid-capacity motorcycles.

According to the authors of Globality: Competing with Everyone from


Everywhere for Everything, Bajaj has operations in 50 countries creating a line of
bikes targeted to the preferences of entry-level buyers

CURRENT PRODUCTS
Bajaj manufactures and sells motorcycles, scooters, auto-rickshaws and most
recently, cars. Bajaj Auto is India's largest exporter of motorcycles and three-
wheelers. Bajaj Auto's exports accounted for approx. 35% of its total sales. 47% of
its exports are made to Africa. Boxer motorcycle is the largest selling single brand
in Africa.

MOTORCYCLES MANUFACTURED BY BAJAJ AUTO COMPANY

Bajaj is the first Indian two-wheeler manufacturer to deliver 4-stroke


commuter motorcycles with sporty performance for the Indian market, which was
otherwise dominated mostly by mileage-based products from Hero Honda and
TVS Motors. Bajaj achieved this with the 150cc and 180cc Pulsar, giving Indians
the first taste of performance biking. This was also accompanied by innovative
marketing techniques - by featuring its flagship product Pulsar 220 DTS-i in Pulsar
MTV Stuntmania, India's first stunt biking reality show
Motorcycles in production include the Platina, Discover, Pulsar, Avenger,
Dominar and CT 100. In FY 2012-13, it sold approximately 3.76 million
motorcycles which accounted for 31% of the market share in India. Of these,
approximately 2.46 million motorcycles (66%) were sold in India and remaining
34% were exported.

THREE WHEELER

It is the world's largest manufacturer of 3-wheelers and accounts for almost


84% of India's three-wheeler exports. During the FY 2012-13, it sold approx.
480,000 three-wheelers which was 57% of the total market share in India. Out of
these 480,000 three-wheelers, 53% were exported and remaining 47% were sold in
India.

LOW COST CARS

In 2010, Bajaj Auto announced cooperation with Renault and Nissan Motor
to develop a US$2,500 car, aiming at a fuel efficiency of 30 kilometres per litre
(85 mpg-imp; 71 mpg-US) (3.3 L/100 km), or twice an average small car, and carbon
dioxide emissions of 100 g/km.

On 3 January 2012, Bajaj auto unveiled the Bajaj RE60, a mini car for intra-
city urban transportation. The target customer group will be Bajaj's three-wheeler
customers. According to its Managing Director Rajiv Bajaj, the RE60 powered by
a new 200 cc rear mounted petrol engine will have a top speed of 70 kilometres per
hour (43 mph), a mileage of 35 kilometres per litre (99 mpg-imp; 82 mpg-US) and
carbon dioxide emissions of 60 g/km.
ACQUISITIONS

Bajaj Auto bought a controlling stake in the Tempo Firodia company,


renaming it "Bajaj Tempo". Germany's Daimler-Benz, a long-time collaborator
with Firodia because of their ownership of the original Tempo works in Germany,
owned 16% of Bajaj Tempo. Daimler sold their stake back to the Firodia group in
2001, meaning that they once again held a controlling interest, with BAL retaining
24% of the shares. It was agreed that Bajaj Tempo would gradually phase out the
use of the "Tempo" brand name, as it still belonged to Mercedes-Benz. The name
of the company was changed to Force Motors in May 2005, dropping "Bajaj" as
well as "Tempo", over the objections of Bajaj Auto with whom the company shares
a long history as well as a compound wall.

BAJAJ-KONGANAPURAM END TIE-UP IN 2017

Bajaj and Konganapuram have ended their 10 year alliance in India


following deepening of ties between the former and its Austrian partner KTM.
Bajaj Auto had an alliance with Kawasaki's Motorcycle division for the sale and
after sales service of Kawasaki motorcycles through its Probiking, a premium bike
dealership network, since 2009. These Probiking dealerships were later converted
to KTM dealerships.

Bajaj Auto Ltd. made a technical assistance agreement with Kawasaki Japan
in 1984, and since then it had cooperated to expand production and sales of
motorcycles in India.[

AWARDS AND RECOGNITIONS


 Bajaj Pulsar 135 LS received Bike of the Year 2010 award from BBC -
TopGear and Bike India.
 Pulsar 220 DTS-Fi received the Bike of the Year 2008 award by all
major Indian automobile magazines like Overdrive, AutoCar, Business
Standard Motoring and Bike Top Gear.
 In 2006, Bajaj Auto won the Frost & Sullivan Super Platinum Award for
manufacturing excellence in its Chakan Plant.
 It received award for The Most Customer Responsive Company in
Automobiles category in a survey conducted by Economic Times for the
years 2004, 2006 and 2008.
 Bajaj Auto received the Bike Maker of the Year award in ICICI Bank
Overdrive Awards 2004.
 Bajaj Pulsar 180 DTS-i won the BBC World Wheels Viewers Choice
Two Wheeler of the Year 2003 award

The domestic two wheeler industry is still grappling with a slowdown on


falling rural demand and rising competition concern, but with prospects of GST
implementation & rate cut hope, the company expects domestic motorcycle market
to grow at a sluggish pace of ~4-5% in FY16. BAL aims to retain its lost market
share in motorcycle segment to 23-24% in FY16, by focusing on the entry level
and premium/ sport segment.
Bajaj Auto Ltd (BAL) is one of the leading two & three wheeler
manufacturers in India. The company is well known for its R&D, product
development, process engineering and low-cost manufacturing skills. The
company is the largest exporter of two and three-wheelers in the country. The
company has two subsidiaries, namely Bajaj Auto International Holdings BV and
PT Bajaj Indonesia.
On 29 November 1945, Bajaj Auto came into being under the name M/s
Bachraj Trading Corporation Private Limited. In 1948, Bajaj Auto started selling
imported two- and three-wheelers in India. In 1959, Bajaj Auto obtained licence
from the Government of India to manufacture two- and three-wheelers. In the year
1960, Bajaj Auto became a public limited company. In the year 1970, Bajaj Auto
rolled out its 100,000th vehicle. In 1971, Bajaj Auto launched three-wheeler goods
carrier. In 1977, the company launched Rear Engine Autorickshaw.
On 19 January 1984, the foundation stone was laid for Bajaj Auto's new
plant at Waluj, Aurangabad. On 5 November 1985, Bajaj Auto commenced
production at Waluj plant.
In 1998, Bajaj Auto commenced production at its Chakan, Pune plant. In
November 2001, Bajaj Auto launched its premium bike 'Pulsar'. In February 2003,
Bajaj Auto launched Caliber115 in the executive motorcycle segment.
Pursuant to the Scheme of Arrangement of Demerger, Bajaj Holdings &
Investments Ltd (BHIL, erstwhile BAL) was demerged into three undertakings
with effect from the effective date, viz. 20 February 2008. The holding company
operated in the segments, such as automotive, insurance and investment, and
others. Considering the growth opportunities in the auto, wind-energy, insurance
and finance sectors, the holding company de-merged its activities into three
separate entities, each of which can focus on their core businesses and strengthen
competencies.
The auto business of the holding company along with all assets and
liabilities pertaining thereto including investments in PT Bajaj Auto Indonesia and
in a few vendor companies transferred to Bajaj Investment & Holding Ltd (BHIL).
In addition a total of Rs 15,000 million in cash and cash equivalents also
transferred to Bajaj Investment & Holding Ltd. As the part of the scheme, Bajaj
Holdings and Investment Ltd was renamed as Bajaj Auto Ltd (BAL). The
appointed date of this de-merger was closing hours of business on March 31, 2007.
In April 9, 2007, the company inaugurated their green field plant at
Pantnagar in Uttarakhand. In the first year of operations, the plant produced over
275,000 vehicles. The company's vehicle assembly plant at Akurdi was shut down
from September 3, 2007 due to higher cost of production.

In November 2007, Bajaj Auto International Holdings BV, a wholly owned


subsidiary company acquired 14.51% equity stake in KTM Power Sports AG of
Austria, Europe's second largest sport motorcycle manufacturer for Rs 345 crore.
During the year 2007-08, the company launched XCD 125 DTS-Si and the
Three-wheeler Direct Injected auto rickshaw. The Chakan plant completed the
cumulative production of over 2 million Pulsar.
During the year 2009-10, the company expanded the production capacity of
Motorised Two & Three Wheelers by 300,000 Nos to 4,260,000 Nos. The
company launched Pulsar 220 F, Pulsar 180 UG, Pulsar 150 UG, Pulsar 135 LS
and Discover DTS-si in the market.
During the year 2010-11, the company expanded the production capacity of
Motorised Two & Three Wheelers by 780,000 Nos to 5,040,000 Nos. The
company launched Avenger 220 DTS-i, KTM Duke 125, Discover 150 and
Discover 125 in the market.
The company plans to maintain the capacity of two and three-wheelers at the
current level of 5,040,000 numbers per annum during the year ending 31 March
2012. The 4 wheel vehicle development work is under progress and commercial
launch of the first product from this platform is scheduled for 2012.
In 2012, Bajaj Auto tied up with Japan's Kawasaki in Indonesia. In 2013, the
Company has introduced another variant of premium motorcycles under the Bajaj-
KTM joint venture namely Duke 390cc for a price of Rs 1.83 lakh. The company
also received 'CII Design Excellence Award
In 2014, Bajaj Auto bagged order in Sri Lanka -People's Choice Bike of the
Year - CNBC TV18 Overdrive Awards. The Company has also received Bike of
the Year BBC Topgear Awards.
In 2015, Bajaj Auto has introduced the all-new Platina electric start 100 cc
bike to the long-distance commuter.
On 8 August 2017, Bajaj Auto and Triumph Motorcycles UK announced
global partnership whereby Bajaj will gain access to the iconic Triumph brand, and
its great motorcycles, enabling it to offer a wider range of motorcycles within its
domestic market and other international markets.
COMPANY PROFILE

Our Philosophy We approach our responsibilities with ambition and


resourcefulness. We organise ourselves for a transparent and harmonious flow of
work. We respect sound theory and encourage creative experimentation. And we
make our workplace a source of pride. We believe in: Transparencya commitment
that the business is managed along transparent lines. Fairness&mdashø all
stakeholders in the Company, but especially to minority shareholders. Disclosure--
of all relevant financial and non-financial information in an easily understood
manner. Supervision--of the Company's activities by a professionally competent
and independent board of directors.

Bajaj Auto Limited is India's largest manufacturer of scooters and


motorcycles. The company generally has lagged behind its Japanese rivals in
technology, but has invested heavily to catch up. Its strong suit is high-volume
production; it is the lowest-cost scooter maker in the world. Although publicly
owned, the company has been controlled by the Bajaj family since its founding.

ORIGINS

The Bajaj Group was formed in the first days of India's independence from
Britain. Its founder, Jamnalal Bajaj, had been a follower of Mahatma Gandhi, who
reportedly referred to him as a fifth son. 'Whenever I spoke of wealthy men
becoming the trustees of their wealth for the common good I always had this
merchant prince principally in mind,' said the Mahatma after Jamnalal's death.

Jamnalal Bajaj was succeeded by his eldest son, 27-year-old Kamalnayan, in 1942.
Kamalnayan, however, was preoccupied with India's struggle for independence.
After this was achieved, in 1947, Kamalnayan consolidated and diversified the
group, branching into cement, ayurvedic medicines, electrical equipment, and
appliances, as well as scooters.

The precursor to Bajaj Auto had been formed on November 29, 1945 as M/s
Bachraj Trading Ltd. It began selling imported two- and three-wheeled vehicles in
1948 and obtained a manufacturing license from the government 11 years later.
The next year, 1960, Bajaj Auto became a public limited company.

Rahul Bajaj reportedly adored the famous Vespa scooters made by Piaggio
of Italy. In 1960, at the age of 22, he became the Indian licensee for the make;
Bajaj Auto began producing its first two-wheelers the next year.

Rahul Bajaj became the group's chief executive officer in 1968 after first
picking up an MBA at Harvard. He lived next to the factory in Pune, an industrial
city three hours' drive from Bombay. The company had an annual turnover of Rs
72 million at the time. By 1970, the company had produced 100,000 vehicles. The
oil crisis soon drove cars off the roads in favor of two-wheelers, much cheaper to
buy and many times more fuel-efficient.

A number of new models were introduced in the 1970s, including the three-
wheeler goods carrier and Bajaj Chetak early in the decade and the Bajaj Super and
three-wheeled, rear engine Autorickshaw in 1976 and 1977. Bajaj Auto produced
100,000 vehicles in the 1976-77 fiscal year alone.
The technical collaboration agreement with Piaggio of Italy expired in 1977.
Afterward, Piaggio, maker of the Vespa brand of scooters, filed patent
infringement suits to block Bajaj scooter sales in the United States, United
Kingdom, West Germany, and Hong Kong. Bajaj's scooter exports plummeted
from Rs 133.2 million in 1980-81 to Rs 52 million ($5.4 million) in 1981-82,
although total revenues rose five percent to Rs 1.16 billion. Pretax profits were cut
in half, to Rs 63 million.

NEW COMPETITION IN THE 1980S

Japanese and Italian scooter companies began entering the Indian market in
the early 1980s. Although some boasted superior technology and flashier brands,
Bajaj Auto had built up several advantages in the previous decades. Its customers
liked the durability of the product and the ready availability of maintenance; the
company's distributors permeated the country.

The Bajaj M-50 debuted in 1981. The new fuel-efficient, 50cc motorcycle
was immediately successful, and the company aimed to be able to make 60,000 of
them a year by 1985. Capacity was the most important constraint for the Indian
motorcycle industry. Although the country's total production rose from 262,000
vehicles in 1976 to 600,000 in 1982, companies like rival Lohia Machines had
difficulty meeting demand. Bajaj Auto's advance orders for one of its new mini-
motorcycles amounted to $57 million. Work on a new plant at Waluj, Aurangabad
commenced in January 1984.

The 1986-87 fiscal year saw the introduction of the Bajaj M-80 and the
Kawasaki Bajaj KB100 motorcycles. The company was making 500,000 vehicles a
year at this point.
Although Rahul Bajaj credited much of his company's success with its focus on
one type of product, he did attempt to diversify into tractor-trailers. In 1987 his
attempt to buy control of Ahsok Leyland failed.

The Bajaj Sunny was launched in 1990; the Kawasaki Bajaj 4S Champion
followed a year later. About this time, the Indian government was initiating a
program of market liberalization, doing away with the old 'license raj' system,
which limited the amount of investment any one company could make in a
particular industry.

A possible joint venture with Piaggio was discussed in 1993 but aborted.
Rahul Bajaj told the Financial Times that his company was too large to be
considered a potential collaborator by Japanese firms. It was hoping to increase its
exports, which then amounted to just five percent of sales. The company began by
shipping a few thousand vehicles a year to neighboring Sri Lanka and Bangladesh,
but soon was reaching markets in Europe, Latin America, Africa, and West Asia.
Its domestic market share, barely less than 50 percent, was slowly slipping.

By 1994, Bajaj also was contemplating high-volume, low-cost car


manufacture. Several of Bajaj's rivals were looking at this market as well, which
was being rapidly liberalized by the Indian government.

Bajaj Auto produced one million vehicles in the 1994-95 fiscal year. The
company was the world's fourth largest manufacturer of two-wheelers, behind
Japan's Honda, Suzuki, and Kawasaki. New models included the Bajaj Classic and
the Bajaj Super Excel. Bajaj also signed development agreements with two
Japanese engineering firms, Kubota and Tokyo R & D. Bajaj's most popular
models cost about Rs 20,000. 'You just can't beat a Bajaj,' stated the company's
marketing slogan.

The Kawasaki Bajaj Boxer and the RE diesel Autorickshaw were introduced
in 1997. The next year saw the debut of the Kawasaki Bajaj Caliber, the Spirit, and
the Legend, India's first four-stroke scooter. The Caliber sold 100,000 units in its
first 12 months. Bajaj was planning to build its third plant at a cost of Rs 4 billion
($111.6 million) to produce two new models, one to be developed in collaboration
with Cagiva of Italy.

NEW TOOLS IN THE 1990S

Still, intense competition was beginning to hurt sales at home and abroad
during the calendar year 1997. Bajaj's low-tech, low-cost cycles were not faring as
well as its rivals' higher-end offerings, particularly in high-powered motorcycles,
since poorer consumers were withstanding the worst of the recession. The
company invested in its new Pune plant in order to introduce new models more
quickly. The company spent Rs 7.5 billion ($185 million) on advanced, computer-
controlled machine tools. It would need new models to comply with the more
stringent emissions standards slated for 2000. Bajaj began installing Rs 800
catalytic converters to its two-stroke scooter models beginning in 1999.

Although its domestic market share continued to slip, falling to 40.5 percent,
Bajaj Auto's profits increased slightly at the end of the 1997-98 fiscal year. In fact,
Rahul Bajaj was able to boast, 'My competitors are doing well, but my net profit is
still more than the next four biggest companies combined.' Hero Honda was
perhaps Bajaj's most serious local threat; in fact, in the fall of 1998, Honda Motor
of Japan announced that it was withdrawing from this joint venture.
Bajaj Auto had quadrupled its product design staff to 500. It also acquired
technology from its foreign partners, such as Kawasaki (motorcycles), Kubota
(diesel engines), and Cagiva (scooters). 'Honda's annual spend on R & D is more
than my turnover,' noted Ruhal Bajaj. His son, Sangiv Bajaj, was working to
improve the company's supply chain management. A marketing executive was
lured from TVS Suzuki to help push the new cycles.

Several new designs and a dozen upgrades of existing scooters came out in
1998 and 1999. These, and a surge in consumer confidence, propelled Bajaj to
sales records, and it began to regain market share in the fast-growing motorcycle
segment. Sales of three-wheelers fell as some states, citing traffic and pollution
concerns, limited the number of permits issued for them.

In late 1999, Rahul Bajaj made a bid to acquire ten percent of Piaggio for
$65 million. The Italian firm had exited a relationship with entrepreneur Deepak
Singhania and was looking to reenter the Indian market, possibly through
acquisition. Piaggio itself had been mostly bought out by a German investment
bank, Deutsche Morgan Grenfell (DMG), which was looking to sell some shares
after turning the company around. Bajaj attached several conditions to his purchase
of a minority share, including a seat on the board and an exclusive Piaggio
distributorship in India.

In late 2000, Maruti Udyog emerged as another possible acquisition target.


The Indian government was planning to sell its 50 percent stake in the automaker,
a joint venture with Suzuki of Japan. Bajaj had been approached by several foreign
car manufacturers in the past, including Chrysler (subsequently DaimlerChrysler)
in the mid-1990s.
Employment fell from about 23,000 in 1995-96 (the year Bajaj suffered a two-
month strike at its Waluj factory) to 17,000 in 1999-2000. The company planned to
lay off another 2,000 workers in the short term and another 3,000 in the following
three to four years.

PRINCIPAL SUBSIDIARIES

Bajaj Auto Finance Ltd.; Bajaj Auto Holdings Ltd.; Bajaj Electricals Ltd.;
Bajaj Hindustan Ltd.; Maharashtra Scooters Ltd.; Mukand Ltd.

PRINCIPAL COMPETITORS

Honda Motor Co., Ltd.; Suzuki Motor Corporation; Piaggio SpA.

KEY DATES:

 1945: Bajaj Auto is founded.


 1960: Rahul Bajaj becomes the Indian licensee for Vespa scooters.
 1977: Technical collaboration with Piaggio ends.
 1984: Work begins on a second plant.
 1998: Bajaj plans to build its third plant to meet demand.
 2000: Thousands of workers are laid off to cut costs.

PUBLIC COMPANY

 Incorporated: 1945 as M/s Bachraj Trading Ltd.


 Employees: 17,200
 Sales: Rs 42.16 billion ($903.36 million)(2000)
 Stock Exchanges: Pune Mumbai Delhi London Berlin Frankfurt Munich
 Ticker Symbols: BAJAJAUTO 490 BJATq.L 893361.BE 893361.F
893361.MU
 NAIC: 336991 Motorcycle, Bicycle, and Parts Manufacturing
CHAPTER-IV
RESEARCH METHODOLOGY

Research Methodology involves the collection of theories, concept or ideas,


comparative studies to different approaches and individual methods are conducted
when a research work is performed. Research design is the basic from work which
providers guidelines for the research process. It is a map or blue print according to
which the research is to be conducted. The research design specifies the method of
data collection and analysis.
The researcher has used the decrypted research design since it describes
research the state of the affairs as it exists. Formulating of research questions along
with sampling probable or non probable is followed by measurement that includes
surveys and scaling. This is followed by research design, which may be either
experimental or quasi experimental. The last two stages are data analysis and
finally writing there search paper, which is organized carefully into graphs and
tables so that only important relevant data is shown.
TYPES OF RESEARCH
DESCRIPTIVE RESEARCH
Descriptive research method is one of the important types of the research. In
this study the descriptive research is used. Descriptive research includes surveys
and fact-finding enquiring of different kinds. The major purpose of descriptive
research is description of the state of affairs as it exists at present. In social science
and business we quite often use the term Ex post facto research for descriptive
research studies.
The main characteristic of this method is that the research has no control
over the variables; he can only report what has happened or what is happening.
The methods of research utilized in descriptive research are survey methods of all
kinds, including comparative and correlation methods.
DATA COLLECTION
For any study there must be data for analysis purpose. Without data there is no
means of study. Data collection plays an important role in any study. I have
collected the data from two sources which are given below:
TYPES OF DATA
 Primary data.
 Secondary data.
Primary Data
 Personal Investigation
 Observation Method
 Information from correspondents
 Information from superiors of the organization
Secondary Data:
 Published sources such as Journals, Government Reports, Newspapers and
Magazines etc…
 Unpublished Sources such as Company Internal reports prepare by them
given to their analyst & trainees for investigation etc…
Sampling size:
30 samples are collected from the Bajaj in customer satisfaction.
STATISTICAL TOOLS :
1) PERCENTAGE ANALYSIS :
Simple percentage analysis is used in this study.
Simple Percentage Analysis:

Percentage refers to a special kind of ratio. Here percentage are used to


describe relationship.
Formula :

No. of Respondent
Percentage of respondents = -------------------------------------- x 100
Total No. of Respondents
CHAPTER-IV

DATA ANALYSIS AND INTERPRETATION

TABLE NO.4.1

CLASSIFICATION OF THE RESPONDENTS BASED ON GENDER

S.NO RESPONSE NO.OF RESPONDENTS PERCENTAGE

1 Male 71 94.67

2 Female 04 5.33

Total 75 100

SOURCE : Primary data


INTERPRETATION
From the above table it is inferred that , highest 94.67% of the respondents are
male and 5.33% of the respondents are female.
CHART NO.4.1

CLASSIFICATION OF THE RESPONDENTS BASED ON GENDER

GENDER
100.00%
90.00%
80.00%
70.00%
60.00%
GENDER
50.00% 94.67%
40.00%
30.00%
20.00%
10.00%
0.00% 5.33% 0.00% 0.00%
MALE FEMALE
TABLE NO.4.2

CLASSIFICATION OF THE RESPONDENTS BASED ON AGE

S.NO RESPONSE NO.OF PERCENTAGE %


RESPONDENT

1 20-30 years 20 26.67

2 31-40 years 09 12

3 41-50 years 40 53.33

4 Above 50 years 6 08

Total 75 100

SOURCE : Primary data

INTERPRETATION

The above table shows that out of total responds, 53.33% of the respondents
age group is 41-50 years, and lower only 8% of the respondents are above 50
years.

CHART NO.4.2
CLASSIFICATION OF THE RESPONDENTS BASED ON AGE

0.6

0.5

0.4
Percentagee %

0.3 0.5333

0.2
0.2667

0.1 12%
0.08

0
20-30 YEARS 31-40 YEARS 41-50 YEARS ABOVE 51 YEARS
AGE

TABLE NO.4.3
CLASSIFICATION OF THE RESPONDENTS BASED ON EDUCATION
QUALIFICATION

S.NO Response No of respondents Percentage %

1 School level 25 33.33

2 ITI/Diploma 10 13.33

3 UG/PG 05 6.67

4 Others 35 46.67

TOTAL 75 100
SOURCE : Primary data

INTERPRETATION :

From the above table it could be inferred that 46.67% of the respondents are others
category and 33.33% of respondents are in school level, 13.33% are in
ITI/Diploma, 6.67% of the respondents are UG/PG holders.

CHART NO.4.3
CLASSIFICATION OF THE RESPONDENTS BASED ON EDUCATION
QULIFICATION

0.5
0.45
0.4
0.35
0.3
percentage %

0.25
0.4667
0.2
0.33330000000000
0.15 4

0.1
13.33%
0.05
0.0667
0
SCHOOL LEVEL ITI/DIPLOMA UG/PG OTHERS
Education qualification

TABLE NO.4.4

CLASSIFICATION OF THE RESPONDENTS BASED ON DESIGNATION


S.NO RESPONSE NO. OF PERCENTAGE
RESPONDENTS %

1 Manager 01 1.33

2 Supervisor 03 4

3 Office staff - -

4 Others 71 94.67

Total 75 100
SOURCE : Primary data

INTERPRETATION :

The above table shows the designation of respondents highest 94.67%


of the respondents are workers and only 1.33% of the respondent are manager.

CHART NO.4.4

CLASSIFICATION OF THE RESPONDENTS BASED ON DESIGNATION


DESIGNATION
100.00%
90.00% 95%
80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00% 1% 4%
0.00% 0%
MANAGER
SUPERVISOR
OFFICE STAFF
WORKERS

TABLE NO.4.5
CLASSIFICATION OF THE RESPONDENTS BASED ON WORKING
EXPERIENCE

S.NO RESPONSE NO. OF PERCENTAGE


RESPONDENTS %

1 0-1 years 07 9.33

2 2-3 years 20 26.67

3 4-5 years 22 29.33

4 Above 5 years 26 34.67

Total 75 100
SOURCE : Primary data

INTERPRETATION :

From the above table shows that working experience highest 34.67%
of the respondents above 5 years and 29.33% of the respondents are 4-5 years
working experience.

CHART NO.4.5
CLASSIFICATION OF THE RESPONDENTS BASED ON WORKING
EXPERIENCE

0.35

0.3

0.25
Percentage %

0.2 34.67%
0.29330000000000
0.15 26.67% 2

0.1
0.09330000000000
0.05 01

0
0-1 YEARS 2-3 YEARS 4-5 YEARS ABOVE 5 YEARS
Working experience

TABLE N0.4.6
CLASSIFICATION OF THE RESPONDENTS BASED ON MONTHLY
INCOME (RUPEES)

S.NO RESPONSE NO.OF PERCENTAGE


RESPONDENTS %

1 Below Rs.5,000 - -

2 Rs.5,001-15,000 54 72

3 Rs.15,001-30,000 17 22.67

4 Above Rs.30,001 04 5.33

Total 75 100
SOURCE : Primary data

INTERPRETATION :

The above table shows the monthly income of respondents highest 72%
of the respondents are earn monthly income Rs.5,001-15,000 and lower 5.33% of
the respondents are earn monthly income above Rs.30,001.

CHART NO.4.6
CLASSIFICATION OF THE RESPONDENTS BASED ON MONTHLY
INCOME (RUPEES)

0.8

0.7

0.6
Percentage %

0.5

0.4 72%

0.3

0.2
0.2267
0.1
0.0533
0
0
BELOW Rs.5,000 Rs.5,001-15,000 Rs.15,001-30,000 ABOVE Rs.30,001
Monthly income

TABLE NO.4.7
CLASSIFICATION OF THE RESPONDENTS BASED ON JOB
SATISFACTION

S.NO RESPONSE NO.OF RESPONDENTS PERCENTAGE


%

1 Highly satisfied 20 26.67

2 Satisfied 42 56

3 Dis satisfied 10 13.33

4 Highly dis satisfied 03 4

Total 75 100

SOURCE : Primary data

INTERPRETATION :

From the above table it is clear that 56% employees are satisfied with
his job, 26.67% of respondents are highly satisfied and 13.33% of the respondents
are dis satisfied and only 4% highly dis satisfied.

CHART NO.4.7
CLASSIFICATION OF THE RESPONDENTS BASED ON JOB
SATISFACTION

0.6

0.5

0.4
Percentage %

56%
0.3

0.2
0.2667

0.1 0.1333
0.04
0
HIGHLY SATISFIED SATISFIED DISSATISFIED HIGHLY DISSATISFIED
Job satisfaction

TABLE NO.4.8
CLASSIFICATION OF THE RESPONDENTS BASED ON OPINION
ABOUT MANAGEMENT

S.NO RESPONSE NO.OF RESPONDENTS PERCENTAGE


%

1 Yes 66 88

2 No 09 12

Total 75 100
SOURCE : Primary data

INTERPRETATION

From the above table it is clear that 88% of the respondents are yes
management respect to employees and 12% of the respondents says no
management never respect to employees in the organization.

CHART NO.4.8
CLASSIFICATION OF THE RESPONDENTS BASED ON OPINION
ABOUT MANAGEMENT

OPINION ABOUT MANAGEMENT


12%

88%

TABLE NO.4.9
CLASSIFICATION OF THE RESPONDENTS BASED ON JOB SECURITY

S.NO RESPONSE NO.OF PERCENTAGE


RESPONDENTS %

1 Yes 23 30.67

2 No 52 69.33

Total 75 100
SOURCE : Primary data

INTERPRETATION :

The above table shows that, 69.33% of the respondents are says there is no job
security, and 30.67% of the respondents are say there is provide job security to
employees.

CHART NO.4.9
CLASSIFICATION OF THE RESPONDENTS BASED ON JOB SECURITY

JOB SECURITY

70.00% 69.33%
60.00%
50.00%
40.00% 30.67%
30.00%
20.00%
10.00%
0.00%
YES
NO
TABLE NO.4.10

CLASSIFICATION OF THE RESPONDENTS BASED ON THEIR


PROMOTIONAL ACTIVITIES

S.NO RESPONSE NO.OF RESPONDENTS PERCENTAGE


%
1
Yes 33 44
2
No 42 56

Total 75 100

SOURCE : Primary data

INTERPRETATION :

The above table shows that 56% of the respondents are says there is no
any promotional activities , and 44% of the respondents are says there is occur
promotional activities.

CHART NO.4.10
CLASSIFICATION OF THE RESPONDENTS BASED ON THEIR
PROMOTIONAL ACTIVITIES

PROMOTIONAL ACTIVITY
Sales
60%

50%

40%

30%
56%

44%
20%

10%

0% 0% 0%
YES NO

TABLE NO.4.11
CLASSIFICATION OF THE RESPONDENTS BASED ON ADEQUATE
SUPPORT FROM SUPERIOR

S.NO RESPONSE NO.OF PERCENTAGE %


RESPONDENTS

1 Yes 64 85.33

2 No 11 14.67

Total 75 100
SOURCE : Primary data

INTERPRETATION :

The above table shows that 85.33% of the respondents are yes and
14.67% of the respondents are no.

CHART NO.4.11
CLASSIFICATION OF THE RESPONDENTS BASED ON ADEQUATE
SUPPORT FROM SUPERIOR

ADEQUATE SUPPORT
90.00%

80.00%

70.00%

60.00%

50.00%
85.33%
40.00%

30.00%

20.00%

10.00%
14.67%
0.00%
YES NO

TABLE NO.4.12
CLASSIFICATION OF THE RESPONDENTS BASED ON TRAINING
PROGRAMMERS

S.NO RESPONSE NO.OF PERCENTAGE %


RESPONDENTS

1 Highly satisfied 25 33.33

2 Satisfied 50 66.67

3 Dis satisfied - -

4 Highly dis satisfied - -

Total 75 100

SOURCE :Primary data

INTERPRETATION :

From the above table it is inferred that about 66.67% of the respondents
are satisfied and 33.33% of the respondents are highly satisfied.

CHART NO.4.12
CLASSIFICATION OF THE RESPONDENTS BASED ON TRAINING
PROGRAMMERS

0.8

0.7

0.6
Percentage %

0.5

0.4
66.67%
0.3

0.2 0.33330000000000
4
0.1

0 0 0
HIGHLY SATISFIED SATISFIED DIS SATISFIED HIGHLY DIS SATISFIED

Training programmers

5. CHAPTER
FINDING , SUGGESTION AND CONCLUTTION
FINDINGS

 Majority 94.67% of the respondents are male.


 Majority 53.33% of the respondents are in the age group (40-50) years.
 Only 33.33% of the respondents are qualified school level.
 Majority 94.67% of the respondents are workers.
 Only 34.67% of the respondents working experience above 5years.
 Majority 72% of the respondents monthly income Rs.5,001-15,000.
 Majority 56% of the respondents are satisfied our job.
 Majority 88% of the respondents opinion is management respect the employees.
 Majority 69.33% of the respondents are getting job security.
 Majority 56% of the respondents are satisfied about promotional activities.
 Majority 85.33% of the respondents opinion is getting support from superior.
 Majority 66.67% of the respondents are satisfied training programmers.
 Majority 57.33% of the respondents are satisfied about compensation policy.
 Only 50.67% of the respondents are satisfied about financial benefits.
 Majority 54.67% of the respondents are highly satisfied for working hours.
 Only 45.33% of the respondents are satisfied about promotional policy.
 Average 4.19% of the respondents are satisfied toilet facilities.
 Majority 69.33% of the respondents are says management shall not provide any.

SUGGESTION

 Awareness of customer on quality policy may be improved.


 Exposure of different customer may be enhanced.
 Capability and job knowledge of employees may be improved by trainings.
 Management of the organization should be friendly with the customer.
 The maximum number of the respondents are not satisfy for their promotional activities.
So the management consider their expectation.
 Majority of the employees are feel no job security. So the management try to rectify this
problems.

CONCLUSION
Best minus point of this bike it's plastic body part is more than other model
of pulser and small size also be not looking good. After all milage also be poor as
compare to other 135cc engine bikes. So files consumption as a large amount
which is not good for this bike. And plastic part of this bike is break after a small
accident which is repair costly. So maintence is high of this bike. Over all it's life
line also be not good after one two year this bike wants high maintence. I see
condition of this bike in 3 year which is seeing as very large old.

REFERENCE
 "Bajaj Auto Quarterly Results". Retrieved 23 July 2016.
 "Archived copy" (PDF). Archived from the original (PDF) on 12 April
2015. Retrieved 2015-07-03.
 "Company Profile - Bajaj Auto". Equitylion. Retrieved 20 June 2017.
 "Bajaj Auto at Forbes". Forbes. 31 May 2013. Retrieved 27 October 2013.
 "News Article". Reuters. 17 May 2012. Retrieved 22 May 2012.
 "India is the largest three-wheeler industry globally". Deccan Chronicle.
15 March 2016. Retrieved 15 December 2016. "The top-three players
such as market leader Bajaj Auto, second largest manufacturer Piaggio
and Mahindra and Mahindra […]."
 "Table 4-12: Top '50' Companies by Market Capitalisation as on March
31, 2013". NSE India. 31 March 2013. Retrieved 27 October 2013.
 "Achievements 1945-1959". Bajaj Auto. Archived from the original on 29
October 2013. Retrieved 27 October 2013.
 "Achievements 1960-1991". Bajaj Auto. Archived from the original on 29
October 2013. Retrieved 27 October 2013.
 "Achievements 1992-2009". Bajaj Auto. Archived from the original on 17
October 2013. Retrieved 27 October 2013.

A STUDY ON CUSTOMER SATISFICATION TOWARDS BAJAJ


1. NAME:

2. GENDER ?

a)Male ( ) b)Female( )

3. EDUCATION ?

a)Illiterte ( ) b)SSLC ( ) c)HSC ( )

d)UG ( ) e)PG ( ) f)Diploma/IT ( )

4 .MARITAL STATUS?

a)Married ( ) b)Unmarried ( )

5. AGE ?

a)27 years Below ( ) b)27 to 40 years ( )

c)40 to 60 years ( ) d)61 years Above( )

6. SALARY?

a)Rs.5000 To 10000 ( ) b)Rs.10001 To 15000 ( )

c)Rs.15001 To 20000 ( ) d)Rs.20001 To 25000 ( ) e)50000 above [ ]

7. OCCUPATION ?

a)Student ( ) b)Professional ( ) c)Businessman ( )

d)Farmer ( ) e)Employee ( )
8. ARE YOU SATISFIED OVER ALL PERFORMANCE IN HERO
SERVICES ?

a)Highly satisfied ( ) b)Satisfied ( )

c)Dissatisfed ( ) d)Highly dissatisfied ( )

9. RESPONSES REGARDING WHETHER THE RESPONDENTS SEETHE


ADVERTISEMENT ?

a)Yes ( ) b)No ( )

10. WHAT ARE THE PROBLEM TALED BY YOU ?

a)Price ( ) b)Qvality ( ) c)Avilability ( )

d)Service ( ) e)Style ( ) f)Maintenance ( )

11 .FAMILY SIZE ?

a)Below 2 ( ) b)2 To 4 ( )

c)4 To 6 () d)6 above ( )

12. HOW OVERALL SATISFACTION ARE YOU WITH HANDLOOM


COMPARED WITH THE OTHER SUBSTITUTES AVAILABLE IN
THE MARKET?

a.) Highly Satisfied ( ) b) Satisfied ( )


c.) Neutral( ) d.Dissatisfied ( )
OBJECTIVES

 To find out level of customer behavior about Bajaj in salem city


 To identity the problem fund by the customer while using Bajaj
 To know the customer expectation about Bajaj
 To analysis customer opinion about Bajaj

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