Monday, February 21, 2011

Bajaj Auto main focus remains on bikes

Chairman of Bajaj Auto Mr. Rahul Bajaj wants to re-enter in to the segment of scooter in the firm after considering the market revival but according to Rajiv Bajaj the managing director and son of Mr. Rahul Bajaj, presently the firm in concentrating on only bikes. Rajiv Bajaj said, at this time we are completely focusing on global motorcycle market. Mr. Rajiv Bajaj was responding to the comment of his father that it will be good idea to manufacture scooters as it is a reasonably good EBIDTA and grabs 20 percent of market share. The most popular scooter in India is Honda Activa that is in a long waiting period. Bajaj Discover When media asked question from Rahul Bajaj regarding manufacturing of scooters once again he directed this question to Rajiv Bajaj, his son, by saying that now his son took all decisions. The company made an announcement in December 2009 regarding stopping the manufacturing of scooters in the end of 2009-10. In totality, they bring down the curtain on the ‘Hamara Bajaj’ that revolutionized market of two-wheeler in the country. Rajiv Bajaj said at that time the segment of scooters is not selling according to the expectation. So it does not make any sense to make scooters any more. He also said that if we want to be specialist of motorcycle then we can’t make scooters. After that, the market of scooters witnessed a significant growth because of the gearless scooters from Scooter India and Honda Motorcycle. These manufacturers are market leaders of the scooters segment now. Bajaj Discover According to Society of Indian Automobile Manufacturers Association (SIAM) data, in the period of April-January this fiscal, the market of Indian scooter has witnessed a rise in the sales of around 46.57 percent at 16,97,204 units against 11,57,902 units in comparable last fiscal period. On the other hand, Bajaj Auto starts focusing their attention on motorbikes and introduced a new range of models of motorbikes including Bajaj Pulsar and Bajaj Discover. Even they also increased their stake in Austrian motorbikes KTM Power Sports AG nearby 38.09 percent to globally expand its presence. KTM and Bajaj Auto jointly developing different products and KTM Duke 125 is the first co-developed products. This year, it will hit firstly in European market. During the second half of this year, models of KTM are expected to be launched in India. During April-January time period this fiscal, the firm increased their sales around 40.96 percent as they sold 19, 89,377 bikes in domestic market. During last year same period these sales were 14, 11,259. The export of Bajaj Auto is also increased during this period by 35.78 percent to 8, 36,617 bikes against 6, 16,135 bikes.

1 comment:

Honda Jazz In India said...

Bajaj companies two wheeler production is bigger than the other bajaj industry. Bajaj two wheelers from scooters to bike is fabulous. The Bajaj bike is famous for low maintenance, high performance, better comfort, better pick-up and many things. So, company is taking right decision to increase automotive market.