1 Indian Automobile Industry 2
1.1 PESTEL Analysis of the Indian Automobile Industry 2
1.1.1 Political: 2
1.1.2 Economical: 2
1.1.3 Social: 3
1.1.4 Technological: 3
1.1.5 Environmental: 3
1.1.6 Legal: 4
2 Bajaj Auto LTD: Company Overview 5
3 SWOT Analysis of Bajaj Auto Ltd. 6
3.1 Bajaj Auto Limited: Strengths 7
3.1.1 Strong market share 7
3.1.2 Robust brand recognition 7
3.2 Bajaj Auto Limited: Weaknesses 8
3.2.1 Vehicle recalls impacting the company's reputation 8
3.2.2 Labour dispute affecting production 8
3.3 Bajaj Auto Limited: Opportunities 9
3.3.1 Growing two wheeler market in India 9
3.3.2 Launch of new vehicles expands the company's product portfolio 9
3.4 Bajaj Auto Limited: Threats 10
3.4.1 Intense competition in the two wheeler market 10
3.4.2 Increasing interest rates 10
3.4.3 Extensive environmental regulations 11
4 Competitor Analysis: Bajaj Auto vs. Hero Motocorp: 11
5 Bajaj Auto Ltd. Strategy to gain competitive Advantage: 12
1 Indian Automobile Industry
The automobile industry in India is one of the largest in the world and one of the fastest growing globally. India’s passenger car and commercial vehicle manufacturing industry is sixth largest in the world. It is the second fastest growing automobile market in the world. According to the Society of Indian Automobile Manufacturers annual vehicle sales are projected to increase to 5 million by 2015 and more than 9 million by 2020.
Automobile industry in India has huge potentials thanks to the growth of the middle class along with their overall economic growth. This is the reason of attraction for international brands who are trying hard to find new market for their products due to stagnated growth of auto sector in Europe, US and Japan.
1.1 PESTEL Analysis of the Indian Automobile Industry
1.1.1 Political:
At present 100% foreign direct investment is permissible under automatic route in this sector including passenger car segment.
The import of technology/technological