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Distribution Work of
Distribution Work of
Distribution Work of
HISTORY
• It is the public company
• Incorporated- 1945 as M/S BACHRAJ TRADING LTD
• It obtained the license from government of India to manufacture
2 and 3 wheelers and
public to 1960
• Employees- 17,200
• sales - Rs.42.16 billion
• Stock exchange- Pune, Mumbai,
Delhi, London, Berlin.
• NAIC- Motorcycle, bicycle, and
parts manufacturing
Key Dates:
• 1945- Bajaj Auto was founded..
• 1971- Technical collaboration with piaggio
ends
• 1989- work begins on second plant
• 1998- Bajaj plans to build its third plant to
meet the demand.
• 2000- thousands of workers are laid off to cut
costs
• Bajaj Auto ltd. India’s largest manufacturer of
scooter and motorcycle.
• Formed in the first
days of India’s independence
From Britain.
SWOT ANALYSIS
Strengths:
Highly experienced management.
Product design and development capabilities.
Extensive R & D focus.
Widespread distribution
network.
High performance products
across all categories.
High export to domestic sales ratio.
Great financial support network
(For financing the automobile)
Weakness
Hasn't employed the excess cash for long.
Still has no established brand to match Hero
Honda's Splendor in commuter segment.
Not a global player in spite of huge volumes.
Not a globally recognizable brand (unlike the
JV partner Kawasaki)
Opportunities:
Double-digit growth in two-wheeler market.
Untapped market above 180 cc in motorcycles.
More maturity and movement towards higher-end motorcycles.
The growing gearless trendy
scooters and scooterette market.
Growing world demand for
entry-level motorcycles especially in
emerging markets.
Treats
The competition catches-up any new innovation in no
time.
Threat of cheap imported motorcycles from China.
Margins getting squeezed from both the directions
(Price as well as Cost)
TATA Ace is a serious competition for the three-
wheeler cargo segment.
DISTRIBUTION CHANNEL
QUESTION