Two Wheeler Industry in India
High 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) Threats: 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) 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 3. 2 Hero Honda Motors Hero Honda Motors Ltd. is a result of the Joint venture between India’s Hero Group and Japanese Honda Motors Company in the year 1983. This Joint venture has not nly created the world’s single largest two wheeler company but also one of the most successful Joint ventures worldwide. Hero Honda is globally known of being the most fuel-efficient and the largest CBZ selling Indian Motorcycle Company.
Two Wheeler Industry in India Essay Example
This is a relationship so harmonious that Hero Honda has managed to achieve indigenization of over 95 percent, a Honda record worldwide. background of producing high value products at reasonable prices led the world’s largest manufacturer of motorcycles to collaborate with the world’s largest bicycle manufacturer. During 80s, Hero Honda became the first company in India to prove hat it was possible to drive a vehicle without polluting the roads. They company possess three manufacturing units based at Dharuhera, Gurgaon and Haridwar are capable to produce 4. 4 million units per year.
They introduced new generation motorcycles that set industry benchmarks for fuel thrift and low emission. The unique features like fuel conservation, safety riding courses and mobile workshops helped the group reach in the interiors of the country. Well-entrenched in the domestic market, Hero Honda Motors Ltd. turned its attention overseas, and exports have been steadily on the rise. Over the years, the Company has received its share of accolades, including the National Productivity Council’s Award ( 1990-91), and the Economic Times – Harvard Business School Association of India Award, against 200 contenders.