A

PROJECT REPORT

ON

“COMPARATIVE STUDY OF BAJAJ AND HONDA”

Submitted To:

DEOGIRI INSTITUTE OF ENGINEERING AND MANAGEMENT STUDIES

Master of Business Administration (MBA)

Submitted To: Submitted By:

.

ACKNOWLEDGEMENT

The research on “Comparative Study between Bajaj and Honda” has been given to me as

part of the curriculum in Master of Business Administration. We have tried our best to

present this information as clearly as possible using basic terms that we hope will be

comprehended by the widest spectrum of researchers, analysts and students for further

studies. We have completed this study under the able guidance and supervision of

lecturer Miss. Sunanda. We will be failed in my duty if we do not acknowledge the

esteemed scholarly guidance, assistance and knowledge. We have received from them

towards fruitful and timely completion of this work. Mere acknowledgement may not

redeem the debt we owe to my parents for their direct/indirect support during the entire

course of this project.

Table of contents

CHAPTER NO. CHAPTER NAME

CHAPTER 1 INTRODUETION

OBJECTIVES OF STUDY

STUDYSCOPE OF STUDY

LIMITATION OF STUDY

CHAPTER 2 RESEARCH METHODOLOGY

CHAPTER 3 COMPANY PROFIL / THEORETICAL BACKROUND

CHAPTER 4 DATA ANALYSIS &INTERPRETAIONS

CHAPTER 5 FINDINGS AND CONCLUSIONS

BIBLIOGRAPHY

ANNEXURE

QUESTIONNAIRE

Chapter 1

Introduction

This project is an attempt to give draw out a comparison between Bajaj Auto Ltd &

Honda. It aims to know perception of consumers regarding bikes, &factors influencing

their choice.

It throws light on the following:-

1. In 1st Chapter you will find the objectives of study

studyscope of study limitation of study.

2. In 2nd Chapter you will find Research methodology of

the project report.

3. In 3rd chapter you will find an overview of the

company profile, history, marketing strategies of Bajaj

& Honda.

4. In 4th Chapter you will find analysis and interpretations

on the project.

5. In 5th Chapter you will find findings and conclusions

Bibliography annexure.

.

Objectives

1. To know the market share of Bajaj & Honda.

2. To know the perception of customers regarding bikes.

3. To determine the customers satisfaction regarding bikes.

CHAPTER2

RESEARCH METHODOLOGY

It is well known fact that the most important step in marketing research process is to

define the problem. Choose for investigation because a problem well defined is half

solved. That was the reason that at most care was taken while defining

various parameters of the problem. After giving through brain storming session,

objectives were selected and the set on the base of these objectives. A questionnaire was

designed major emphasis of which was gathering new ideas or insight so as to determine

and bind out solution to the problems

DATA SOURCE

Research included gathering both Primary and Secondary data. Primary data is the first

hand data, which are selected a fresh and thus happen to be original in character.

Primary Data was crucial to know various customers and past consumer views

about bikes and to calculate the market share of this brand in regards to other brands.

Secondary data are those which has been collected by some one else and which already

have been passed through statistical process. Secondary data has been taken from

internet, newspaper, magazines and companies web sites

CHAPTER 3

COMPANY PROFILE

HISTORY OF BAJAJ

COMPANY HISTORY

The Bajaj Group is amongst the top 10 business houses in India. Its footprint stretches

over a wide range of industries, spanning automobiles (two-wheelers and three-wheelers),

home appliances, lighting, iron and steel, insurance, travel and finance.

The group's flagship company, Bajaj Auto, is ranked as the world's fourth largest two-

and three- wheeler manufacturer and the Bajaj brand is well-known across several

countries in Latin America, Africa, Middle East, South and South East Asia.

Founded in 1926, at the height of India's movement for independence from the British,

the group has an illustrious history. The integrity, dedication, resourcefulness and

determination to succeed which are characteristic of the group today, are often traced

back to its birth during those days of relentless devotion to a common cause.

Jamnalal Bajaj, founder of the group, was a close confidant and disciple of Mahatma

Gandhi. In fact, Gandhiji had adopted him as his son. This close relationship and his deep

involvement in the independence movement did not leave Jamnalal Bajaj with much time

to spend on his newly launched business venture.

His son, Kamalnayan Bajaj, then 27, took over the reins of business in 1942. He too was

close to Gandhiji and it was only after Independence in 1947, that he was able to give his

full attention to the business. Kamalnayan Bajaj not only consolidated the group, but also

diversified into various manufacturing activities.

The present Chairman of the group, Rahul Bajaj, took charge of the business in 1965.

Under his leadership, the turnover of the Bajaj Auto the flagship company has gone up

from Rs.72 million to Rs.46.16 billion (USD 936 million), its product portfolio has

expanded from one to and the brand has found a global market. He is one of India's most

distinguished business leaders and internationally respected for his business acumen and

entrepreneurial spirit.

PROFILE

Founder Jamnalal Bajaj

Year of Establishment 1926

Industry Automotive - Two & Three Wheelers

Business Group The Bajaj Group

Listings & its codes BSE – Code: 500490; NSE - Code:

BAJAJAUTO

Presence Distribution network covers 50

countries.

Dominant presence in Sri Lanka,

Bangladesh, Columbia, Guatemala, Peru,

Egypt, Iran and Indonesia.

Joint Venture Kawasaki Heavy Industries of Japan

Registered & Head Office Akurdi Pune - 411035IndiaTel.: +(91)-

(20)-27472851 Fax: +(91)-(20)-27473398

Works • Akurdi, Pune 411035

• Bajaj Nagar, Waluj Aurangabad 431136

• Chakan Industrial Area, Chakan, Pune

411501

E-mail rahulbajaj@bajajauto.co.in

Website www.bajajauto.com

KEY PERSONS

Board of Directors

Rahul Bajaj Chairman

Madhur Bajaj Vice Chairman & Whole-Time Director

Rajiv Bajaj Managing Director

Sanjiv Bajaj Executive Director

D.S. Mehta Whole-Time Director

Kantikumar R. Podar Director

Shekhar Bajaj Director

D.J. Balaji Rao Director

J.N. Godrej Director

S.H. Khan

Mrs. Suman Kirloskar

Naresh Chandra

Nanoo Pamnani

Manish Kejriwal

P Murari

Niraj Bajaj

Director

Director

Director

Director

Director

Director

Director

Committees of the Board

Audit Committee

S.H. Khan Chairman

D.J. Balaji Rao

J.N. Godrej

Naresh Chandra

Nanoo Pamnani

TIMELINE OF RELEASES & ACHIEVMENTS

• 1971 - three-wheeler goods carrier

• 1972 - Bajaj Chetak

• 1976 - Bajaj Super

• 1977 - Rear engine Autorickshaw

• 1981 - Bajaj M-50

• 1986 - Bajaj M-80, Kawasaki Bajaj KB100

• 1990 - Bajaj Sunny

• 1994 - Bajaj Classic

• 1995 - Bajaj Super Excel

• 1997 - Kawasaki Bajaj Boxer, Rear Engine Dies Autorickshaw

• 1998 - Kawasaki Bajaj Caliber, Legend(India's first four

stroke scooter)

• 2000 - Bajaj Saffire

• 2001 - Eliminator, Pulsar

• 2003 - Caliber115, Bajaj Wind 125, Bajaj Pulsar

• 2004 - Bajaj CT 100, New Bajaj Chetak 4-stroke

with Wonder Gear, Bajaj Discover DTS-i

• 2005 - Bajaj Wave, Bajaj Avenger, Bajaj Discover

• 2006 - Bajaj Platina

• 2007 - Bajaj Pulsar-200

Some of the models that Bajaj makes (or has made) are:

Scooters

o Bajaj Sunny

o Bajaj Chetak

o Bajaj Cub

o Bajaj Super

o Bajaj Wave

o Bajaj Legend

Motorcycles

o Kawasaki Eliminator

o Bajaj Pulsar

o Bajaj Kawasaki Wind 125

o Bajaj Boxer

o Bajaj CT 100

o Bajaj Platina

o Bajaj Caliber

o Bajaj Discover

o Bajaj Avenger

Upcoming Models

• Bajaj Pulsar 220 DTS-Fi

• Bajaj Krystal

• Bajaj Blade

• Bajaj Sonic

MARKETING STRATEGIES

The focus of Bajaj off late has been on providing the best of the class models at

competitive prices. Most of the Bajaj models come loaded with the latest features within

the price band acceptable by the market. BAL has been the pioneer in stretching

competition into providing latest features in the price segment by updating the low price

bikes with the latest features like disk-brakes, anti-skid technology and dual suspension,

etc.

Bajaj adopted different marketing strategies for different models, few of them are

discussed below: -

PULSAR - Pulsar was launched in direct competition to the Hero Honda's 'CBZ' model

in 150 cc plus segment. The campaign beared innovative punch line of "Definitely Male"

positioning Pulsar to be a masculine-looking model with an appeal to the performance

sensitive customers. Pulsar currently offers four varieties the Bajaj Pulsar 150 cc,the

Bajaj Pulsar 180 cc,the Bajaj Pulsar 200 cc,and the Bajaj Pulsar 220cc. Bajaj Pulsar bikes

range in on road prices from around Rs. 62,500 to Rs. 90,500. The Pulsar DTS Fi is the

first bike in the Indian market to have both front and rear disc brakes.

DISCOVER - The Bajaj Discover has two variants with 110 cc and 135cc engine. Bajaj

Discover targets the middle class two wheeler consumers with Bajaj bike prices ranging

from Rs. 46,000 to Rs. 55000. The Bajaj Discover 135 cc is easy to control, easy on the

pocket, and a good choice between a 125 cc and 150 cc motorbike.

LIMITATIONS

1. Research work was carried out in amritsar only the

finding may not be applicable to the other parts of the

country because of social and cultural differences.

2. The sample was collected using connivance-sampling

techniques. As such result may not give an exact

representation of the population.

3. Shortage of time is also reason for incomprehensiveness.

4. The views of the people are biased therefore it doesn’t

reflect true picture.

Chapter 5

Analysis & Interpretations

Q1) Which bike do you have?

Hero Honda 47

Bajaj 38

Any other 15

Interpretation:

From the above table it is clear that most of the persons have bikes of hero Honda

After that persons have bikes of bajaj

And less of persons have other bikes

Q2) Which Model do you Have?

Hero Honda Bajaj

Splender 21 CT 100 7

Passion 13 Discover 12

Karizma 7 Pulsar 11

Any other 6 Any other 8

Interpretation:

From the 1st table it is clear that persons mostly have splendor model of hero

Honda

From the 2nd table it is clear thar persons mostly have Discover model of bajaj

Q3) In which family Income level do you Fall?

100000-200000 22

200000-300000 45

300000-400000 23

above 400000 10

Interpretation :

It is clear from the table that most of the persons fall in the income level of

200000-300000

After that persons fall under the income level of 300000-400000 and only few

persons having family income above 400000

Q4) For how long do you own a bike?

0-1 year 34

1-2 year 29

2-3 year 26

above 3 year 11

Interpretation :

It is clear from the table that most of persons own a bike upto 1 year only

Some of them own it for 2 years

Only few persons own the bike more than 3 years

Q5) For what purpose do you use your Motor Bike?

Hero Honda Bajaj

Office Purpose 9 4

Personal purpose 13 15

Joy Purpose 19 16

Other 6 3

Interpretation:

From the above table it is clear that mostly persons use motor bike for joy purpose

After that they use bikes for personal purpose also

Some are using bikes even for office purpose

Only few persons are using it for other purposes

Q6) How do you come to know about this Motor Bike?

Hero Honda Bajaj

Newspaper 4 2

Television 23 16

Magazine 2 1

Friends & Relative 18 19

Interpretation :

It is shown that mostly the persons come to know about

hero Honda bikes television friends & relatives

newspaper magazine

And about bajaj bikes firstly from friends & relatives

Television newspaper magazine

Q7) Does Advertisement Influence your decision in

choosing a Motor Bike?

Yes 87%

No 5%

Cant say 8%

Interpretation :

It is clear from the table 87% persons are influenced by

advertisements regarding their decision of choosing a

motor bike.

Only 5% persons are not influenced by the

advertisements.

Q8) Do you have full knowledge about Bikes before buying?

Hero Honda Bajaj

Yes 25 23

No 22 15

Interpretation:

Most of the persons say ‘yes’ i.e they have full

knowledge about bikes before buying.

Only few persons say ‘no’

9) Which Factor below Influence your decision?

Hero Honda Bajaj

Price 72% 78%

Mileage 78% 64%

Quality 65% 48%

Resale Value 40% 28%

Status symbol 10% 7%

Interpretation:

It is shown in table that the decisions of the buyers are influenced by firstly price

mileage quality resale value

Status symbol

Q10) How would you rate the following factors of Bikes with respect to different

company?

Hero Honda Bajaj

Mileage 74% 72%

Price 68% 65%

Pick up 70% 80%

Maintenance 58% 62%

Look & Shape 85% 80%

Brand Image 53% 55%

Interpretation:

It is shown in the table that persons rate firstly the look & shape then mileage then pick

up then price then maintenance and lastly the brand image of the hero Honda company.

Likewise the factors of bajaj company pick up, look & shape, mileage, price,

maintenance, brand image.

Q11) If new Bike with good features comes in, then would you like to change your bike?

Hero Honda Bajaj

Yes 19 21

No 17 14

Cant say 11 3

Interpretation:

Most of the persons say ‘yes’ they would like to change their bike if new bike comes

with good features.

Few persons say ‘no’ i.e they would not like to change their bike even if the new bike

comes with good features. Some of them don’t know whether to change the bike or not.

Chapter 6

Conclusions

&

Recommendations

CONCLUSION

1. Hero Honda is considered to be most fuel-efficient bike

on Indian roads,& have better quality, higher resale as

compared to Bajaj Bikes.

2. Bajaj Service & Spare parts are available throughout

India in local markets also,& Bajaj bikes have

comparatively low maintenance cost in contrast to

hero Honda bikes.

3. While buying a motorcycle, economy is the main

consideration in form of maintenance cost, fuel

efficiency.

4. Majority of the respondent had bought their motorcycle

more than 3 years.

5. Market leader Hero Honda has lost more than 3 per cent

of its market share in the motorcycle segment to its

nearest rival Bajaj Auto.

6. Bikes such as Bajaj Pulsar, Hero Honda Hunk,Karizma

are purchased by young generation 18 to 30 because

they prefer stylish looks and rest of the models of Hero

Honda are purchased more by daily users who needs

more average of bikes than looks.

RECOMMENDATIONS

1. Bajaj should adopt a deliberate strategy of focusing on

executive and premium segment motorcycles and three

wheelers, and is reducing its dependence on lower-end of

motorcycles and scooters segment.

2. Bajaj Auto Ltd needs to tap the export market more

efficiently as there is a huge potential to make India as

the world's two-wheelers production base. For this, it

needs to look for joint ventures abroad.

3. Hero Honda should think about fuel efficiency in

case of upper segment bikes.

4. More service centers should be opened for Hero Honda

Bikes.

5. Maintenance cost and the availability of the spare parts

should also be given due importance by Hero Honda.

6. They Should also introduce some good finance/discount

schemes for students.

Bibliography

BIBLIOGRAPHY

1. www.herohonda.com

2. www.google.com

3. www.bajaj.com

4. www.twowheeler.com

5. www.extrememachines.com

6. www.wikepedia.com

7. www.bikeindia.com

8. www.overdive.com

Questionnaire

QUESTIONNAIRE

NAME: - ………………………………………………

CONTACT NO ……………………………………….

AGE: 15-20 20-25

25-30 Above 40

OCCUPATION:- Businessman Employee

Student Other

Q1) Which Bike do you have?

Hero Honda Bajaj Bajaj Any Other

Q2) Which Model do you have?

Hero Honda: - Splendor Passion

Karizma Other

Bajaj: - CT 100 Discover

Pulsar Other

Q3) In which Family Income do you Fall?

100000-200000 200000-300000

300000-400000 Above 400000

Q4) For how long do you own a Bike?

0-1 year 1-2 year

2-3 year above 3 years

Q5) For what purpose do you use your Motor Bike?

Office Purpose Personal Purpose

Joy Purpose Other

Q6) How do you come to know about this Motor Bike?

Newspaper Television

Magazines Friends/Relatives

Q7) Does Advertisement Influence your decision in choosing a Motor Bike?

Yes No Can’t say

Q8) Do you have full knowledge about Bikes before buying?

Yes No

Q9) Which factor below influence your decision?

Price Mileage Quality

Resale Value Symbol

Q10) How would you rate the following factors of bikes with respect to different

companies?

Hero Honda Bajaj

Mileage

Price

Pick up

Maintenance

Look/Shape

Brand Image

Q11) In new bike with good feature comes in, then would you like to change your bikes?

Yes No Can’t say

Q12) Any Suggestions for Company

………………………………………………………………………………………………

………………………………………………………………………………………………

………………………………………………………………………………………………

………………

Date: (Signature)