2024

FEASIBILTY REPORT ON
MAVRICK440
 INDEX

1. INTRODUCTION.
2. VISION, MISSION & MISSION STATEMENTS.
3. SHORT TERM & MEDIUM TERM & LONG TERM GOALS (FOR SETTING UP CHOSEN
BUSINESS).
4. DETAILS OF PRODUCT.
5. PROMOTORS.
6. MANUFACTURING PROCESS AND TECHNOLOGY.
7. PLANT AND MACHINERY.
8. RAW MATERIALS.
9. CONSUMABLES & UTILITIES.
10. LOCATION & INFRASTRUCTURE.
11. WORKING CAPITAL REQUIREMENT.
12. MANPOWER.
13. SOURCES OF FINANCE.
14. MARKET STUDY & MARKETING STRATEGY.
15. COST OF PROJECT.
16. BREAK EVEN ANALYSIS.
17. BUSINESS PLAN.
18. CONCLUSION.
 INTRODUCTION

The following feasibility report assesses the potential market entry of the Hero
Mavrick440, a groundbreaking off-road motorcycle set to revolutionize the
adventure biking segment. Hero MotoCorp, a renowned player in the motorcycle
industry, aims to capitalize on the growing demand for adventure- oriented vehicles
with the introduction of the Mavrick440.

This introduction provides an overview of the report`s objectives, methodology, and

key focus areas. Through comprehensiveness market analysis, competitor
evaluation, technical assessment, and financial projections, this report aims to
provide insights into the feasibility and potential success of launching the Hero
Mavrick440 in the market. By examining various factors influencing market
acceptance, production feasibility, and financial viability, stakeholders can make
informed decisions regarding the introduction of the Hero Mavrick440 and its
positioning within the competitive landscape of the adventure biking segment.

The feasibility report presented herein evaluates the viability of introducing the Hero
Mavrick440, a new motorcycle model, into the market. As a renowned player in the
motorcycle industry, Hero MotoCorp aims to expand its product portfolio and cater
to the evolving needs of consumers. The Hero Mavrick440 is envisioned as a
premium offering targeting enthusiasts seeking a blend of performance, style, ad
versatility. This introduction provides an overview of the motorcycle`s features,
market trends, competitive landscape, and the rationale behind conducting a
feasibility study to assess the potential success of the Hero Mavrick440 in the
market.

The report will delve into various aspects such as market demand, production,
feasibility, financial viability, regulatory compliance, and marketing strategies to
provide comprehensive insights into the feasibility of launching the Hero
Mavrick440. By analyzing these factors, stakeholders can make informed decisions
regarding investment, production, and marketing strategies to ensure the successful
entry of the Hero Mavrick440 into the competitive motorcycle market.
 VISION

The vision of the feasibility report on the Hero Mavrick440 is to assess the potential
for successfully introducing this premium motorcycle model into the market.
Through a thorough analysis of market demand, production feasibility, financial
viability, regulatory compliance, and marketing strategies, the report aims to provide
stakeholders with actionable insights to make informed decisions regarding
investment, production, and marketing strategies. Ultimately, the vision is to
position the Hero Mavrick440 as a leading choice for enthusiasts seeking a blend of
performance, style, and versatility in the motorcycle segment, thereby contributing
to the growth and success of Hero MotoCorp in the competitive market landscape.

MISSION

The mission of the feasibility report on the Hero Mavrick440 is to assess the viability
and potential success of introducing this premium motorcycle model into the
market. Through comprehensive analysis of market demand, production feasibility,
financial viability, regulatory compliance, and marketing strategies. Ultimately, the
mission is to determine whether launching the Hero Mavrick440 aligns with the
company`s objectives and has the potential to meet the evolving needs of
motorcycle enthusiasts while ensuring profitability and market competitiveness.

MISSION STATEMENT

The mission of the feasibility report on the Hero Mavrick440 is to thoroughly

evaluate the market potential, production feasibility, financial viability, and
regulatory compliance of introducing this premium motorcycle model. Through
meticulous analysis and strategic insights, our objective is to provide stakeholders
with actionable recommendations to support informed decision-making ensure the
successful entry of the Hero Mavrick440 into the competitive motorcycle market.
 SHORT TERM GOALS
 Conduct market research to assess consumer demand, preferences, and
trends related to premium motorcycle models.
 Evaluate the feasibility of production processes, supply chain logistics, and
manufacturing capabilities for the Hero Mavrick440.
 Analyze the financial projections, including cost estimates, revenue forecasts,
and potential return on investment for launching the Hero Mavrick440.
 Assess regulatory requirements, safety standards, and environmental
regulations relevant to the production and sale of the Hero Mavrick440.
 Develop preliminary marketing strategies, including branding,
positioning,
and promotional activities, to generate awareness and interest in the Hero
Mavrick440 among target consumers.

MEDIUM TERM GOALS

 Assess market demand and consumer preferences through surveys, focus
groups, and market research to identify target demographics and determine
potential sales projections.
 Conduct a detailed analysis of production feasibility, including manufacturing
capabilities, supply chain logistics, and cost considerations to ensure efficient
and cost-effective production of the Hero Mavrick440.
 Evaluate the financial viability of the project by estimating investment
requirements, revenue forecasts, profitability projections, and return on
investment (ROI) analysis.
 Ensure regulatory compliance by conducting thorough assessments of safety
standards, environmental regulations, and certification requirements for the
Hero Mavrick440 in target markets.
 Develop preliminary marketing strategies, branding initiatives, and
promotional campaigns to create awareness and generate interest among
target consumers prior to launch.

LONG TERM GOALS

 Establishing the Hero Mavrick440 as a leading contender in the premium
motorcycle segment, capturing a significant market share and fostering brand
loyalty among consumers.
 Ensuring sustained profitability and growth by optimizing production
processes, reducing costs, and maximising operational efficiency.
 Expanding the market reach of the Hero Mavrick440 through strategic
marketing initiatives, effective distribution channels, and customer
engagement strategies.
 Continuously innovating and enhancing the Hero Mavrick440 to meet
evolving consumer preferences, technological advancements, and regulatory
requirements, thereby maintaining competitiveness in the market.
 DETAILS OF THE PRODUCT

SPECIFICATIONS
Displacement 440cc

Max. Power 20.13kW/27bhp @6000rpm

Max. Torque 36 Nm @ 4000rpm

Starting Self Start

Gearbox 6-Speed Constant Mesh

Frame Type Steel Trellis Frame

Suspension Front Telescopic Front Fork

Rear Hydraulic Rear twin shox swingam mount
Brakes Front Disc – 320mm
Rear Disc – 240mm
Tyre size Front 110/70 – 17 TL
Rear 150/60 – 17 TL

Fuel Tank Capacity 13.5 litres

 DETAILS OF PRODUCT

 ENGINE:
1. Specification: Engine Power (bhp @ rpm)
Mavrick: 27 @ 6000
Brand A: 20.2 @ 6100
Brand B: 20.2 @ 6100
Brand C: 20.2 bhp @ 6100 rpm
Brand D: 20.7 bhp @ 5500 rpm

2. Specification: Max Torque (Nm @ rpm)

Mavrick: 36 @ 4000
Brand A: 27 @ 4000
Brand B: 27 @ 4000
Brand C: 27 Nm @ 4000 rpm
Brand D: 29.4 Nm @ 3000 rpm

3. Specification: Engine Cooling

Mavrick: oil cooled
Brand A: Air cooled
Brand B: Air
cooled Brand C:
Air cooled Brand
D: Air cooled

4. Specification:
Transmission
Mavrick: 6-Speed
Brand A: 5-
Speed Brand B:
5-Speed Brand
C: 5-Speed
Brand D: 5-Speed

5. Specification: Slip
& Assist Clutch
Mavrick:
Available
Brand A: Not Available
Brand B: Not
Available Brand C:
Not Available Brand
D: Available

Benefits: More
powerful ride and
better pickup.
 CHASIS:
Specification: Frame Body
Benefits: Light weight & aerodynamic
Mavrick: Trellis Frame
Brand A: Twin downtube spine frame
Brand B: Twin downtube spine frame
Brand C: Twin double tube spine frame
Brand D: Half Duplex Cradle

 DIMENSION:
1) Specification: Length
Mavrick: 2100
Brand A: 2145
Brand B: 2140
Brand C: -
Brand D: 2163

2) Specification:
Width
Mavrick: 868
Brand A: 785
Brand B: 845
Brand C: -
Brand D: 789

3) Specification: Height
Mavrick: 1112
Brand A: 1090 Brand
B: 1310
Brand C: -
Brand D: 1107

4) Specification:
Ground Clearance
Mavrick: 175
Brand A: 170
Brand B: 170
Brand C: 150.5
Brand D: 166
 5) Specification: Wheelbase
Mavrick: 1388
Brand A: 1390
Brand B: 1400
Brand C: 1370
Brand D: 1441

6) Specification: Saddle height

Mavrick: 803
Brand A: 805
Brand B: 765
Brand C: 790ff
Brand D: 800

Benefits:
Better road
presence.

 BRAKE:
Specification: Front
Disc Brake.
Benefits: Better
safety with shorter
braking distance.
Mavrick: 320mm
Brand A:
 300mm
TYRE: Brand
Specification: Front Tyre
B: a)300mm
Brand C:Maverick:
300mm 110/70*17 inches
Brand
Brand A:
D:100/90*19 inches
310mmBrand B: 100/90*19 inches
Brand C: 110/80*17 inches
Brand D: 110/90-19 inches

b) Specification: Rear Tyre

Mavrick: 150/60*17 inches
Brand A: 120/90*18
inches Brand B:
120/90*18 inches Brand C:
140/70*17 inches Brand
D: 130/70-18 inches

Benefits: Comfortable ride

even on bad road patches.
 FEATURES:
a. Specification: LED Headlamp
Mavrick: Projector
Brand A: Projector Not Available
Brand B: Projector Not
Available Brand C: Projector Not
Available Brand D: Projector
Not Available

b. Specification: LED DRLs

Mavrick: Available
Brand A: No LED
Brand B: Available
Brand C:
Available Brand
D: Available

c. Specification:
Auto Headlight
On/Off Function.
Mavrick: Available
Brand A: Not Available
Brand B: Not
Available Brand C: -
Brand D: -

Benefits: Increase
brightness and
premium feel.

d. Specification: Connect
2.0
Benefits: Better connectivity with enhanced safety, security and
convenience.
Mavrick: Available
Brand A: Available as accessory
Brand B: Available as accessory
Brand C: Available as
accessory Brand D: -

 WARRANTY:
Specification: Warranty
Benefits: Peace of mind
Mavrick: 5 years
Brand A: 3 years
Brand B: 3 years
Brand C: 3 years
Brand D: 3 years
 BRAND A = RC 350
BRAND B = RM 350
BRAND C = RH 350
BRAND D = HH
350

 COLOUR
OPTIONS:
 AVIATOR
WHITE
(BASE)
 CELESTIAL
BLUE
(MEDIUM)
 FEARLESS
RED
(MEDIUM)
 ENIGMA
BLACK
(TOP)
 PHANTOM
BLACK
(TOP)
 PROMOTERS

CHIEF EXECUTIVE OFFICER: Niranjan Gupta

STAKEHOLDERS OF HERO MOTOCORP:

SHAREHOLDER PERCENT OWNERSHIP

Promoter Group 34.6%

Foreign Institutional Investors (FII) 34.3%

Non- Resident Indians (NRIs) 0.4%

Indian Public 8.3%

Insurance Companies 8.3%

Mutual Funds / UTI 8.2%

Bodies Corporate 1.40%

Financial Institutions/ Banks 2.0%

Others 2.5%

Total 100%
 MANUFACTURING PROCESS AND TECHNOLOGY

 TECH*DESIGN
A variety of next-generation features that keep you ahead at every turn.

I. Advanced Lighting Package

Our Class-D LED Projector Headlamp delivers superior, intelligent
illumination for every ride. The integrated ‘H’ shape Design combines
position function and Daytime Running Lights (DRL) for consistent
lighting. At the rear, the distinctive H-Shaped Compact LED Tail Lamp
blends style with visibility. Complementing these, the Full LED
Winkers offer efficient, long-lasting signalling.

II. Digital Speedometer with Negative Display

Elevate your ride with our digital speedometer featuring a negative
display for clear, easy access to vital information. With smartphone
integration, Bluetooth connectivity, phone battery status, missed call
alerts, and message notifications. It also features incoming call alerts,
turn-by-turn navigation, low fuel indicator and distance-to-empty
feature. The RTMi display provides real-time mileage tracking and a
gear indication.

III. Front-Forward Stance

The motorcycle`s design emphasizes a front-forward stance, offering a
ready-to-pounce look that commands attention.

 METTLE*METAL
Experience the unparalleled strength and durability of a meticulously crafted
metal body. Its resilience speaks of quality and longevity, ensuring your ride
is not just about style, but also about substance.

 PRECISION*POISE
With great power comes great precision and poise in the new Mavrick440.
The rider ergonomics, the optimized chassis geometry and balanced dynamic
of the new Mavrick440 gives you a feeling that you and the machine are
actually one.

 PERFORMANCE*PERFECTION
Embrace the sheer power of the Mavrick440, where performance meets
perfection. Its state-of-the-art engine is a marvel of power and efficiency,
offering an unmatched riding experience. With the Mavrick440, perfection
isn’t a goal, it’s a standard.
 o Powerful Heart
Mavrick’s core is a robust 440cc oil-cooloed engine, delivering a high
torque of 36 Nm @ 4000rpm. Its seamless 6-Speed transmission
ensures a vigorous and responsive ride.

o Distinctive Sound
The Mavrick roars with a unique exhaust thump, thanks to its 440cc
engine. Engineered for acoustic excellence, its muffler design
produces a deeply resonant, pulsating sound that stands out.

 CONNECTED*SECURE
Mavrick keeps you linked with advanced features like Geo-Fence, Vehicle
Diagnosis, and Location Sharing. Track your vehicle, access roadside
assistance, and more for a safer, worry-free experience.
 PLANT AND MACHINERY

Hero Motors has 23 CNCs, VMCs and HMCs. Our plants use high-tech technology for the
turning of finished blanks with the highest accuracy to attain maximum perfection. The array
of machining centres comprises of VMCs from Makino, Robodril, Tongta; HMCs from Makino
and CNCs from Mazak and ACE.

These advanced machines are integrated with the latest CNC system from Siemens and
Fanuc. With the help of these high-end machines, Hero Motors is capable of serving very
high production volumes to its customers. We also have a wide range of SPMs- a total of 10
in number- for boring, honning and other processes from Widia, Fine ATC and Nage. This
helps us to achieve high production volumes- up to 13000/Day.

In India, the facilities are located at Dharuhera and Gurugram in the northern Indian state of
Haryana; at Chittoor in Andhra Pradesh; at Haridwar in the hill state of Uttarakhand; at
Neemrana in the northern state of Rajasthan, and at Halol in the coastal state of Gujarat in
western India.
 RAW MATERIALS

A. METALS: Various types of metals are used for different components of the
motorcycle, including steel for the frame, aluminium for engine parts of the body
panels, and alloys for wheels.

B. PLASTICS AND POLYMERS: These materials are used for parts such as fairings, side
panels, and other bodywork components.

C. RUBBER: Rubber is used for tires, grips, seals, and other components requiring
elasticity and shock absorption.

D. ELECTRONICS: Various electronic components such as wiring harnesses, sensors, and

control units are used for the electrical systems of the motorcycle.

E. LUBRICANTS AND FLUIDS: Oils, greases, and other lubricants are necessary for the
proper functioning of the engine, transmission, and other moving parts.

F. FASTENERS: Screws, nuts, bolts, and other fastening components are essential for
assembling the motorcycle.

G. PAINTS AD COATINGS: These are used for finishing and protecting the metal and
plastic parts of the motorcycle.
 CONSUMABLES & UTILITIES

A. FUEL: Used during testing, quality control, and possibly for initial startup of the
motorcycles during assembly.

B. ELECTRICITY: Essential for powering machinery, lighting, and other electrical systems
in the manufacturing plant.

C. WATER: Used for various purposes such as cooling machinery, cleaning parts, and
providing facilities for workers.

D. LUBRICANTS AND FLUIDS: These include oils, greases, and hydraulic fluids used for
lubricating machinery and ensuring smooth operation of equipment.

E. CLEANING AGENTS: Chemicals and detergents used for cleaning parts, machinery,
and facilities.

F. MAINTENANCE SUPPLIES: Tools, spare parts, and materials needed for routine
maintenance and repair of machinery and equipment.

G. PACKAGING MATERIAS: Boxes, crates, and other packaging materials used for
shipping the motorcycles to dealerships and customers.

H. SAFETY EQUIPMENT: Protective gear, safety signs, fire extinguishers, and other
safety-related items necessary to ensure a safe working environment for employees.
 LOCATION AND INFRASTRUCTURE

Hero MotoCorp has eight state-of-the art manufacturing facilities, of which six are in India,
one is in Colombia and one in Bangladesh. We also have two world-class, state-of-the-art
research and development (R&D) facilities: the CIT in India, and Tech Centre Germany (TCG),
near Munich.
The state-of-the-art, world-class Center of Innovation and Technology (CIT) at Jaipur, in the
northern Indian state of Rajasthan, is the global hub of Hero’s Research and Development.
The CIT has more than 700 engineers from across the world that are engaged in developing
the new range of mobility solutions for customers across the globe. The sprawling one-of-its-
kind, world-class R&D Center houses the best global facilities for product design &
development, testing, and validation under one-roof.

With an objective of building a robust R&D ecosystem that is spread across global
geographies, Hero MotoCorp has also set-up the ‘Hero Tech Center Germany GmbH’ at
Stephanskirchen, near Munich. A wholly owned subsidiary of Hero MotoCorp, the Hero Tech
Center in Germany focuses on the development of new vehicle concepts and future
technologies in close cooperation with the teams at CIT in Jaipur.

As part of its technology ecosystem, Hero MotoCorp also engages with top global design and
technology houses from across the world, including Italy, Spain, and Thailand.
In keeping with the diverse demography of customers in different geographies of the world,
the Company is developing market-specific products to suit every customer need.
 WORKING CAPITAL REQUIREMENT

 PRODUCTION OUTPUT: 7,587,130 UNITS

 REVENUE: Rs 34,727.39 crore ( US$4.3 billion)

 OPERATING INCOME: Rs 3,863.62 crore (US$480 million)

 NET INCOME: Rs 2,799.90 crore (US$350 million)

 TOTAL ASSESTS: Rs 23,917.03 crore (US$3.0 billion)

 TOTAL EQUITY: Rs 16,780.63 crore (US$2.1 billion)

 MANPOWER

The company has 8,599 employees, out of which 66 are women (1.1%). It also has approx.
13, 800 temporary employees on the date. The company had an attrition rate of 5.1% in the
FY 2012-13. The company spent Rs 8,210 crore (equivalent to Rs 150 billion or US$1.9 billion
in 2023) on employee benefits during the FY 2012-13.

SOURCES OF FINANCE

In July 2013, HMC acquired 49.2% shareholding in Erik Buell Racing, a motorcycle sport
company which produced street and racing motorcycles based in East Troy, Wisconsin,
United states. EBR filed for bankruptcy in 2015 and Hero MotoCorp proceed to acquire
certain assests for Rs 18.2 crore (equivalent to Rs31 crore or US$3.9 million in 2023)
HMC invested Rs 205 crores (US$30.5 million) as a Series B round of funding in October
2016 and gained a 32.31% stake in Ather Energy, a start-up company manufacturing electric
scooters. It invested a further Rs130 crores (US$19 million) in 2018. HMC’s share in Ather
Energy has grown up to 34.58% since 2016.
 MARKET STUDY

 Market Analysis: Provide an overview of the motorcycle market, including trends,

growth projections, and key players. Identify segments within the market, such as
cruiser bikes, and assess the demand for motorcycles in this category.
 Target Audience: Define the target audience for the Hero Mavrick440, considering
factors such as demographics, psychographics, and purchasing behavior. Determine
who the ideal customers are and their preferences regarding performance, design,
price, and brand loyalty.
 Competitive Analysis: Analyze competitors offering similar motorcycles in terms of
their product features, pricing, distribution channels, and marketing strategies.
Identify competitive advantages and areas of differentiation for the Hero
Mavrick440.
 SWOT Analysis: Conduct a SWOT (Strengths, Weaknesses, Opportunities, Threats)
analysis to assess the internal and external factors that may impact the success of
the Hero Mavrick440 in the market.
 Regulatory Environment: Discuss any regulatory requirements, standards, or
certifications relevant to manufacturing, safety, emissions, and marketing of
motorcycles in the target market(s).
 MARKETING STRATEGY

 Positioning: Define the positioning of the Hero Mavrick440 within the market,
highlighting its unique selling propositions (USPs) and how it fulfills the needs and
desires of the target audience.
 Product Strategy: Outline the key features, specifications, and variants of the Hero
Mavrick440, emphasizing its performance, design, comfort, and technology.
Consider customization options and aftermarket accessories to enhance customer
appeal.
 Pricing Strategy: Determine the pricing strategy based on factors such as production
costs, competitor pricing, perceived value, and target profit margins. Consider
offering introductory pricing or promotional discounts to stimulate demand.
 Distribution Channels: Identify the most effective distribution channels for reaching
the target audience, such as dealerships, online sales platforms, or specialty
retailers. Develop partnerships and distribution agreements to expand market reach.
 Promotion and Advertising: Develop a comprehensive promotional plan
encompassing advertising, public relations, social media, events, sponsorships, and
influencer marketing. Create compelling marketing materials and campaigns to
generate awareness and drive sales.
 Sales Forecast: Provide a sales forecast based on market research, demand
analysis,
pricing strategy, and projected distribution channels. Estimate sales volumes and
revenue projections for the Hero Mavrick440 over the short-term and long-term.
 Customer Relationship Management: Outline strategies for building and maintaining
customer relationships, including pre-sales support, post-sales service, warranty
programs, and loyalty initiatives.
 COST OF PROJECT

Hero MotoCorp has launched the Mavrick 440 in India and it is the Jaipur-based
brand’s most powerful offering as of now. The Mavrick shares its platform with the
Harley-Davidson X440 and similarly, also comes in three different variants – Base,
Mid, and Top. While all three models get the same roadster stance with a round LED
headlight, single-piece seat, and a 440cc single-cylinder air/oil-cooled engine, they
differ slightly in terms of hardware, features, colours, and pricing. Here is an
overview of the same.

 Hero offers the Mavrick 440 Base trim in a single colour option of Arctic
White. Its fuel tank and rear panel are coloured in a shade of white with
other parts blacked out and the tank shrouds in matte silver. Then, the Base
model rides on spoke wheels with tubed tyres instead of the alloy wheels
with tubeless rubber that we see on the remaining trims. Hero has also
skimped out on smartphone connectivity and machined engine fins for
further cost savings. The asking price for the Hero Mavrick Base trim is Rs.
1,99,000 (ex-showroom, Delhi).

 With an asking price of Rs. 2,14,000 (ex-showroom, Delhi), the Mid model sits
between the most affordable and Top variants. It too misses out on
smartphone connectivity but benefits from alloy wheels with tubeless tyres.
Hero offers two colour options for the Mavrick 440 mid-trim – Celestial Blue
and Fearless Red.

 Lastly, it is the Mavrick 440 Top trim that comes loaded with all the bells and
whistles. Hero has equipped the bike with a fully digital console that benefits
from smartphone connectivity. This gives you access to navigation, as well as
SMS and call notifications. Then, the Mavrick 440 Top also gets Diamond-cut
finished alloy wheels with tubeless tyres. Further, it features 3D badging
unlike the stickers seen on the lower-spec models. The asking price for the
Hero Mavrick 440 top is Rs. 2,24,000 (ex-showroom, Delhi) and it is available
in two colours – Phantom Black and Enigma Black.
 BREAK EVEN ANALYSIS

Identify Costs: Start by identifying all costs associated with producing, marketing,
and selling the Hero Mavrick 440. This includes fixed costs (e.g., manufacturing
facility rent, machinery depreciation, salaries) and variable costs (e.g., raw materials,
production labor, marketing expenses).

Determine Selling Price: Determine the selling price of the motorcycle based on
market research, competitor pricing, and desired profit margin.

Calculate Contribution Margin: Calculate the contribution margin per unit by

subtracting variable costs per unit from the selling price per unit. This represents the
amount of revenue from each unit sold that contributes to covering fixed costs and
generating profit.

Calculate Break-Even Point in Units: Divide total fixed costs by the contribution
margin per unit to determine the number of units that need to be sold to break
even. The formula is:

Break-Even Point (in units) =Total Fixed Costs Contribution Margin per unit
Break-Even Point (in units)= Contribution Margin per unit
Total Fixed Costs

Calculate Break-Even Point in Revenue: Multiply the break-even point in units by

the selling price per unit to determine the break-even point in revenue. This
represents the total sales revenue needed to cover all costs. The formula is:
Break-Even Point (in revenue)=Break-Even Point (in units) × Selling Price per unit
Break-Even Point (in revenue)=Break-Even Point (in units) × Selling Price per unit

Analyze Sensitivity: Conduct sensitivity analysis by varying key assumptions such as

selling price, variable costs, and fixed costs to assess the impact on the break-even
point.
 BUSINESS PLAN

o Executive Summary: Provide a brief overview of the business plan, highlighting key
objectives, market opportunity, competitive advantage, and financial projections.
o Company Overview: Introduce Hero MotoCorp and its mission, vision, and values.
Provide background information on the Hero Mavrick 440, including its features,
target market, and unique selling points.
o Market Analysis: Conduct a thorough analysis of the motorcycle market, including
trends, customer preferences, and competitive landscape. Define the target market
segments for the Hero Mavrick 440 and assess the size, growth potential, and
profitability of each segment.
o Product Description: Provide a detailed description of the Hero Mavrick 440,
highlighting its design, specifications, performance, and technology features. Discuss
any customization options, accessories, or aftermarket parts available for the
motorcycle.
o Marketing and Sales Strategy: Outline the marketing strategy for promoting and
selling the Hero Mavrick 440, including pricing, distribution channels, and
promotional activities. Define sales targets, territories, and timelines for achieving
market penetration and revenue goals.
o Operations Plan: Describe the manufacturing process for the Hero Mavrick 440,
including production facilities, equipment, and supply chain management. Discuss
quality control measures, safety protocols, and compliance standards to ensure
product integrity and customer satisfaction.
o Management and Organization: Provide an overview of the organizational structure
for managing the Hero Mavrick 440 project, including key personnel and their roles
and responsibilities. Highlight the leadership team's experience, qualifications, and
track record in the motorcycle industry.
o Financial Projections: Present detailed financial forecasts for the Hero Mavrick 440,
including sales revenue, production costs, operating expenses, and projected
profitability. Include assumptions, break-even analysis, and sensitivity analysis to
assess the project's financial viability under different scenarios.
o Risk Assessment and Mitigation: Identify potential risks and challenges that may
impact the success of the Hero Mavrick 440 project, such as market competition,
supply chain disruptions, regulatory changes, and economic downturns. Develop
strategies and contingency plans to mitigate risks and capitalize on opportunities to
maximize project outcomes
 CONCLUSION

After conducting a thorough analysis of various factors including market demand,

competitive landscape, production costs, and financial projections, it is concluded that the
Hero Mavrick 440 demonstrates strong potential for success. The market study indicates
favourable demand for cruiser motorcycles, and the Mavrick 440's unique features and
competitive pricing position it well within the segment. Manufacturing feasibility is
supported by available infrastructure and supply chain capabilities. Financial projections
suggest favourable returns on investment, with conservative estimates indicating
profitability within a reasonable timeframe. However, it is recommended to further refine
the marketing strategy to maximize market penetration and brand awareness. Overall, the
feasibility report suggests that proceeding with the production and launch of the Hero
Mavrick 440 is a viable and promising opportunity.