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A OVERALL STUDY ABOUT HERO MOTOCORP LTD,

TRICHY-620005
.
BY
S.JAYA PRAKASH
(Register No.814111631014)
A Project Report Submitted
to te
SHIVANI SCHOOL OF BUSINESS MANAGEMENT
i! p"rti"# $u#$i##me!t o$ te re%uireme!ts
$or te "&"rd o$ te degree
'$
MASTER OF BUSINESS ADMINISTRATION
ANNA UNIVERSITY
1
CHENNAI-600025
OCTOBER 2012
BONAFIDE CERTIFICATE
(erti$ied t"t tis project report tit#ed A OVERALL STUDY ABOUT HERO MOTOCORP
LTD, TRICHY- 620005 is te bo!"$ide &or) o$ S.JAYAPRASH !1"1116#101"$* &o c"rried
out te project &or) u!der m+ super,isio!. (erti$ied $urter* t"t to te best o$ m+ )!o&#edge
te &or) reported erei! does !ot $orm p"rt o$ "!+ oter project report or dissert"tio! o! te
b"sis o$ &ic " degree or "&"rd &"s co!$erred o! "! e"r#ier occ"sio! o! tis or "!+ oter
c"!did"te.
INTERNAL GUIDE -r.../e#","!
-r. Sur+"murti -irector
Asst. Pro$essor Si,"!i Scoo# o$ Busi!ess ."!"geme!t
Si,"!i Scoo# o$ Busi!ess ."!"geme!t 0irucir"pp"##i
0irucir"p"##i
INTERNAL E%AMINER E%TERNAL E%AMINER
2
D&'( )* V+,&-V)-( E.&/+0&'+)01

Pers1proj1
-irector*
Si,"!i scoo# o$ Busi!ess ."!"geme!t*
N","#ur 2utt"p"ttu* 0ric+ 3 640005.
-e"r sir*
Sub6 Summer Project 3 permissio! $or +our stude!t 3 reg
7e "re p#e"sed to permit .r S 8"+"pr")"s* 9 .BA o$ +our co##ege to do
summer project &or) i! our org"!i:"tio!.
0e stude!t m"+ p#e"se be "d,ised to co!t"ct te u!dersig!ed
$or $urter det"i#s.
0"!)i!g +ou*
Yours $"it$u##+*
3
R "!d - 0ec* Srir"!g"m* 0irucir"pp"##i* 0"mi# N"du
DECLARATION
9 ereb+ dec#"re t"t te project tit#e A OVERALL STUDY ABOUT HERO MOTOCORP
LTD, TRICHY, 620005. Submitted $or te "&"rd o$ ."ster o$ Busi!ess Admi!istr"tio! i! A!!"
;!i,ersit+* (e!!"i "s c"rried out u!der te guid"!ce o$ Assist"!t pro$essor -r.Sur+"moorti
.BA Assist"!t Pro$essor Si,"!i Scoo# o$ Busi!ess ."!"geme!t* 0irucir"pp"##i "!d it is m+
origi!"# &or) &ic does !ot $orm p"rt o$ te "&"rd o$ "!+ oter degree.
P#"ce6 Sig!"ture o$ te c"!did"te
-"te6
4
ACKNO2LEDGEMENT
9t gi,es me imme!se p#e"sure to e<press si!cere t"!)s to "## &o e#ped me i! te
success$u# comp#etio! o$ tis project &or). =irst o$ "##* 9 &ou#d #i)e to t"!) te GOD
ALMIGHTY* &o "s bee! " co!st"!t support i! e,er+ &"#) o$ m+ #i$e "!d source o$ stre!gt
i! prese!ti!g tis project.
9 &is to co!,e+ m+ si!cere t"!)s to D3.P.S(4,&3&5* ("irm"!* E3.S.V+60(789&3&0*
Secret"r+* Si,"!i Scoo# o$ Busi!ess ."!"geme!t* 0ric+ $or teir e!cour"geme!t i! doi!g tis
project.
9 e<press m+ speci"# pri,i#ege "!d e"rt$u# t"!)s to D3.M.V(4&,&0* -irector* Si,"!i
Scoo# o$ Busi!ess ."!"geme!t* 0ric+ $or is guid"!ce "!d e!cour"geme!t.
9 "m gre"t#+ t"!)$u# to D3.J.S+,&7:;3&/&0+&0* -e"!* Si,"!i Scoo# o$ Busi!ess
."!"geme!t* 0ric+ $or is guid"!ce "!d e!cour"geme!t.
9 "m gre"t#+ t"!)$u# to D3.S:3<&/:3'8+* m+ i!ter!"# guide $or gi,i!g me tis
opportu!it+ "!d $or e<te!di!g co!st"!t support "!d ,"#u"b#e guid"!ce trougout te project
&or). 9 e<te!d m+ si!cere t"!)s to te Project (oordi!"tor M3.B.N&3&<&0&0* Assist"!t
Pro$essor* Si,"!i Scoo# o$ Busi!ess ."!"geme!t* 0ric+.
9 &ou#d #i)e to t"!) M3. M&0)5 =:/&3* Perso!"# ."!"ger $or pro,idi!g me &it "!
opportu!it+ to u!dert")e tis project i! >?R' .'0'('RP @0-* 0R9(>Y.
.+ si!cere t"!)s go to "## $"cu#t+ members o$ Si,"!i Scoo# o$ Busi!ess ."!"geme!t
$or teir e#p "!d "ssist"!ce $or te comp#etio! o$ te stud+.
5
@"st but !ot #e"st 9 &is to e<te!d m+ si!cere gr"titude to m+ p"re!ts "!d $rie!ds* $or te
support "!d coAoper"tio! te+ re!dered to me to m")e tis project per$ect i! its tot"#. 9 co!,e+
m+ t"!)s to "## &o e#ped me direct#+ "!d i!direct#+ to c"rr+ out tis project success$u##+.
S.JAYAPRAKASH
TABLE OF CONTENTS
S.No 0it#e P"ge !o.
1 9N0R'-;(09'N B
4 >9S0'RY 5
3 ('.PANY PR'=9@? 11
4 ('RP'RA0? PR'=9@? 14
C 2?Y ?D?(;09/?S 14
6 0?R.9NA09'N '= >'N-A 8'9N0 /?N0;R? 16
B ('.PANY P?R='R.AN(? 1B
8 R?('EN909'N 1B
5 .'0'R(Y(@? .'-?@ 18
10 S;PP@9?RS 18
11 ('.P?090'RS 15
14
-?PAR0.?N0S
40
14.1 =9NAN(?
40
14.4 >;.AN R?S';R(? =;N(09'N
43
13
('N(@;S9'N
4C
6
INTRODUCTION
H(3) M)')C)3> L'?.* $ormer#+ H(3) H)0?&* is "! 9!di"! motorc+c#e "!d scooter
m"!u$"cturer b"sed i! Ne& -e#i* 9!di". >ero >o!d" st"rted i! 1584 "s " joi!t ,e!ture bet&ee!
>ero (+c#es o$ 9!di" "!d >o!d" o$ 8"p"!. 0e comp"!+ is te #"rgest t&o &ee#er m"!u$"cturer
i! 9!di". 0e 4006 =orbes 400 .ost Respected comp"!ies #ist "s >ero >o!d" .otors r"!)ed "t
F108.
9! 4010* &e! >o!d" decided to mo,e out o$ te joi!t ,e!ture* >ero Eroup bougt te
s"res e#d b+ >o!d". Subse%ue!t#+* i! August 4011 te comp"!+ &"s re!"med >ero .oto(orp
&it " !e& corpor"te ide!tit+ '! 8u!e 4* 4014*>ero .oto(orp "ppro,ed " propos"# to merge
te i!,estme!t "rm o$ its p"re!t >ero 9!,estme!t P,t. @td. i!to te "utom")er. 0e decisio!
comes "$ter 18 mo!ts o$ its sp#it $rom >o!d" .otors.
7
T<>( Pub#ic comp"!+
T3&?(? &7 BS?6 C00184
NS?6 >?R'.'0'('
BS? S?NS?D (o!stitue!t
I0?:7'3< Automoti,e
F):0?(? 8"!u"r+ 15* 1584
F):0?(37$ Brijmo"! @"## .u!j"#
H(&?@:&3'(37 Ne& -e#i* 9!di"
A3(& 7(3,(? 9!di"* Sri @"!)"
K(< >()>4( -e+" /"r"d Se!s (("irm"!)
P"&"! .u!j"# (.- G (?')
P3)?:-'7 .otorc+c#es* Scooters* 0reeA7ee#er ,eic#es
R(,(0:( 435.43 bi##io! (;SH4.36 bi##io!) (4014)
8
N(' +0-)/( 43.B8 bi##io! (;SH434.8 mi##io!) (4014)
T)'&4 &77('7 60.C8 bi##io! (;SH1.1 bi##io!) (4014)
P&3(0' >ero Eroup
2(;7+'( &&&.eromotocorp.com
H+7')3<
>ero .oto(orp &"s st"rted i! 1584 "s >ero >o!d" .otors @td.
15C6I=orm"tio! o$ >ero (+c#es i! @udi"!"(m"jestic "uto #imited)
15BCI>ero (+c#es becomes #"rgest bic+c#e m"!u$"cturer i! 9!di".
1583I8oi!t (o##"bor"tio! Agreeme!t &it >o!d" .otor (o. @td. 8"p"! sig!ed
S"reo#ders Agreeme!t sig!ed
1584I>ero >o!d" .otors @td. i!corpor"ted
158CI>ero >o!d" motorc+c#e (- 100 #"u!ced.
1585I>ero >o!d" motorc+c#e S#ee) #"u!ced.
1551I>ero >o!d" motorc+c#e (- 100 SS #"u!ced.
1554 A >ero >o!d" motorc+c#e Sp#e!dor #"u!ced.
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155BI>ero >o!d" motorc+c#e Street #"u!ced.
1555 A >ero >o!d" motorc+c#e (BJ #"u!ced.
4001 A >ero >o!d" motorc+c#e P"ssio! "!d >ero >o!d" 8o+ #"u!ced.
4004I>ero >o!d" motorc+c#e -"&! "!d >ero >o!d" motorc+c#e Ambitio! #"u!ced.
4003I>ero >o!d" motorc+c#e (- -"&!* >ero >o!d" motorc+c#e Sp#e!dor p#us* >ero
>o!d" motorc+c#e P"ssio! P#us "!d >ero >o!d" motorc+c#e 2"ri:m" #"u!ced.
4004I>ero >o!d" motorc+c#e Ambitio! 13C "!d >ero >o!d" motorc+c#e (BJK
#"u!ced.
400CI>ero >o!d" motorc+c#e Super Sp#e!dor* >ero >o!d" motorc+c#e (- -e#u<e*
>ero >o!d" motorc+c#e E#"mour* >ero >o!d" motorc+c#e Acie,er "!d >ero >o!d"
Scooter P#e"sure.
400BINe& .ode#s o$ >ero >o!d" motorc+c#e Sp#e!dor NDE* Ne& .ode#s o$ >ero
>o!d" motorc+c#e (- -e#u<e* Ne& .ode#s o$ >ero >o!d" motorc+c#e P"ssio! P#us "!d
>ero >o!d" motorc+c#e >u!) #"u!ced.
4008INe& .ode#s o$ >ero >o!d" motorc+c#es P#e"sure* (BJ Dtreme* E#"mour*
E#"mour =i "!d >ero >o!d" motorc+c#e P"ssio! Pro #"u!ced.
4005INe& .ode#s o$ >ero >o!d" motorc+c#e 2"ri:m"62"ri:m" A J.R "!d #imited
editio! o$ >ero >o!d" motorc+c#e >u!) #"u!ced
4010INe& .ode#s o$ >ero >o!d" motorc+c#e Sp#e!dor Pro "!d New >ero >o!d"
motorc+c#e >u!) "!d New >ero >o!d" .otorc+c#e Super Sp#e!dor #"u!ced.
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4011INe& .ode#s o$ >ero >o!d" motorc+c#es E#"mour* E#"mour =9* (BJ Dtreme*
2"ri:m" #"u!ced. Ne& #ice!si!g "rr"!geme!t sig!ed bet&ee! >ero "!d >o!d". 9!
August >ero "!d >o!d" p"rted comp"!+* tus $ormi!g >ero .oto(orp "!d >o!d"
mo,i!g out o$ te >ero >o!d" joi!t ,e!ture. 9! No,ember* >ero #"u!ced its $irst e,er
'$$ Ro"d Bi)e N"med >ero L9mpu#seL.
4014ANe& .ode#s o$ >ero .oto(orp ."estro te ."scu#i!e scooter "!d 9g!itor te +ou!g
ge!er"tio! bi)e "re #"u!ced
C)/>&0< >3)*+4(
M>eroN is te br"!d !"me used b+ te .u!j"# broters $or teir $#"gsip comp"!+* >ero (+c#es
@td. A joi!t ,e!ture bet&ee! te >ero Eroup "!d >o!d" .otor (omp"!+ &"s est"b#ised i!
1584 "s te >ero >o!d" .otors @imited "t -"ruer"* 9!di". .u!j"# $"mi#+ "!d >o!d" group
bot o&!ed 46O st")e i! te (omp"!+. 9! 4010* it &"s reported t"t >o!d" p#"!!ed to se## its
st")e i! te ,e!ture to te .u!j"# $"mi#+.
-uri!g te 1580s* te comp"!+ i!troduced motorc+c#es t"t &ere popu#"r i! 9!di" $or teir $ue#
eco!om+ "!d #o& cost. A popu#"r "d,ertisi!g c"mp"ig! b"sed o! te s#og"! P=i## it A Sut it A
=orget itP t"t emp"si:ed te motorc+c#ePs $ue# e$$icie!c+ e#ped te comp"!+ gro& "t " doub#eA
digit p"ce si!ce i!ceptio!. 0e tec!o#og+ i! te bi)es o$ >ero >o!d" $or "#most 46 +e"rs
(158434010) "s come $rom te 8"p"!ese cou!terp"rt >o!d".
11
>ero .oto(orp "s tree m"!u$"cturi!g $"ci#ities b"sed "t -"ruer"* Eurg"o! i! >"r+"!" "!d
"t >"rid&"r i! ;tt"r")"!d. 0ese p#"!ts togeter "re c"p"b#e o$ cur!i!g out 3 mi##io! bi)es per
+e"r. >ero .oto(orp "s " #"rge s"#es "!d ser,ice !et&or) &it o,er 3*000 de"#ersips "!d
ser,ice poi!ts "cross 9!di". >ero >o!d" "s " customer #o+"#t+ progr"m si!ce 4000* c"##ed te
>ero >o!d" P"ssport Progr"m.
0e comp"!+ "s " st"ted "im o$ "cie,i!g re,e!ues o$ H10 bi##io! "!d ,o#umes o$ 10 mi##io!
t&oA&ee#ers b+ 401631B. 0is i! co!ju!ctio! &it !e& cou!tries &ere te+ c"! !o& m"r)et
teir t&oA&ee#ers $o##o&i!g te dise!g"geme!t $rom >o!d". >ero .oto(orp opes to "cie,e
10 per ce!t o$ teir re,e!ues $rom i!ter!"tio!"# m"r)ets* "!d te+ e<pected to #"u!c s"#es i!
Nigeri" b+ e!dA4011 or e"r#+A4014.
CORPORATE PROFILE
>ero .oto(orp @td. (=ormer#+ >ero >o!d" .otors @td.) is te &or#dPs #"rgest m"!u$"cturer o$ t&o 3
&ee#ers* b"sed i! 9!di". 9! 4001* te (omp"!+ "cie,ed te co,eted positio! o$ bei!g te #"rgest t&oA&ee#er
m"!u$"cturi!g (omp"!+ i! 9!di" "!d "#so* te Q7or#d No.1R t&oA&ee#er (omp"!+ i! terms o$ u!it ,o#ume s"#es i!
" c"#e!d"r +e"r. >ero .oto(orp @td. co!ti!ues to m"i!t"i! tis positio! ti## d"te.
V+7+)0
0e stor+ beg"! &it " simp#e ,isio! 3 te ,isio! o$ " mobi#e "!d "! empo&ered 9!di"* po&ered b+ its
bi)es. >ero .oto(orp @td.* comp"!+Rs !e& ide!tit+* re$#ects its commitme!t to&"rds pro,idi!g &or#d c#"ss
mobi#it+ so#utio!s &it re!e&ed $ocus o! e<p"!di!g comp"!+Rs $ootpri!t i! te g#ob"# "re!".
M+77+)0
>ero .oto(orp missio! is to become " g#ob"# e!terprise $u#$i##i!g its customersR !eeds "!d "spir"tio!s $or
mobi#it+* setti!g be!cm"r)s i! tec!o#og+* st+#i!g "!d %u"#it+ so t"t it co!,erts its customers i!to its br"!d
"d,oc"tes. 0e (omp"!+ &i## pro,ide "! e!g"gi!g e!,iro!me!t $or its peop#e to per$orm to teir true pote!ti"#. 9t
&i## co!ti!ue its $ocus o! ,"#ue cre"tio! "!d e!duri!g re#"tio!sips &it its p"rt!ers.
S'3&'(6<
12
>ero .oto(orp )e+ str"tegies "re to bui#d " robust product port$o#io "cross c"tegories* e<p#ore gro&t
'pportu!ities g#ob"##+* co!ti!uous#+ impro,e its oper"tio!"# e$$icie!c+S "ggressi,e#+ e<p"!d its re"c to customers*
(o!ti!ue to i!,est i! br"!d bui#di!g "cti,ities "!d e!sure customer "!d s"reo#der de#igt.
M&0:*&-':3+06
>ero >o!d" bi)es "re m"!u$"ctured "cross tree g#ob"##+ be!cm"r)ed m"!u$"cturi!g $"ci#ities. 0&o o$
tese "re b"sed "t Eurg"o! "!d -"ruer" &ic "re #oc"ted i! te st"te o$ >"r+"!" i! !orter! 9!di". 0e tird "!d
te #"test ."!u$"cturi!g p#"!t is b"sed "t >"rid&"r* i! te i## st"te o$ ;tt"r")"!d.
T(-80)4)6<
9! te 1580Rs te (omp"!+ pio!eered te i!troductio! o$ $ue#Ae$$icie!t* e!,iro!me!t $rie!d#+ $ourAstro)e
motorc+c#es i! te cou!tr+. 9t bec"me te $irst (omp"!+ to #"u!c te =ue# 9!jectio! (=9) tec!o#og+ i! 9!di"!
motorc+c#es* &it te #"u!c o$ te E#"mour =9 i! 8u!e 4006.
9ts p#"!ts use &or#d c#"ss e%uipme!t "!d processes "!d ",e become " be!cm"r) i! #e"!!ess "!d
producti,it+.
>ero .oto(orp* i! its e!de",or to rem"i! tec!o#og+ pio!eer* &i## co!ti!ue to i!!o,"te "!d de,e#op
cutti!g edge products "!d processes.
P3)?:-'7
>ero >o!d"Ps product r"!ge i!c#udes ,"riet+ o$ motorc+c#es t"t ",e set te i!dustr+ st"!d"rds "cross "##
te m"r)et segme!ts. 0e (omp"!+ "#so st"rted m"!u$"cturi!g scooter i! 400C. >ero >o!d" o$$ers #"rge !o. o$
products "!d c"ters to &ide ,"riet+ o$ re%uireme!ts "cross "## te segme!ts.
D+7'3+;:'+)0
0e (omp"!+Rs gro&t i! te t&o &ee#er m"r)et i! 9!di" is te resu#t o$ "! i!tri!sic "bi#it+ to i!cre"se
re"c i! !e& geogr"pies "!d gro&t m"r)ets. >ero .oto(orp e<te!si,e s"#es "!d ser,ice !et&or) !o& sp"!s o,er
to C000 customer touc poi!ts. 0ese comprise " mi< o$ "utori:ed de"#ersips* Ser,ice G Sp"re P"rts out#ets* "!d
de"#erA"ppoi!ted out#ets "cross te cou!tr+.
B3&0?
0e !e& >ero is risi!g "!d is poised to si!e o! te g#ob"# "re!". (omp"!+Rs !e& ide!tit+ M>ero
.oto(orp @td.N 9s tru#+ re$#ecti,e o$ its ,isio! to stre!gte! $ocus o! mobi#it+ "!d tec!o#og+ "!d cre"ti!g g#ob"#
13
$ootpri!t. Bui#di!g "!d promoti!g !e& br"!d ide!tit+ &i## be ce!tr"# to "## its i!iti"ti,es* uti#i:i!g e,er+ opportu!it+
"!d #e,er"gi!g its stro!g prese!ce "cross sports* e!tert"i!me!t "!d grou!dA #e,e# "cti,"tio!.
2010-11 P(3*)3/&0-(
0ot"# u!it s"#es o$ C4* 04*444 t&oA&ee#ers* gro&t o$ 1B.44 per ce!t
0ot"# !et oper"ti!g i!come o$ Rs. 15*401.1C (rores* gro&t o$ 44.34 per ce!t
Net pro$it "$ter t"< "t Rs. 1*54B.50 (rores
0ot"# di,ide!d o$ C4C0O or Rs. 10C per s"re i!c#udi!g 9!terim -i,ide!d o$ Rs. B0 per s"re o! $"ce ,"#ue
o$ e"c S"re o$ Rs. 4 e"c
?B9-0A m"rgi! $or te +e"r 13.45 per ce!t
?PS o$ Rs. 56.C4
KEY EXECUTIVES:
S.N) N&/( D(7+60&'+)0
1 Brijmo"! @"## .u!j"# ("irm"!
3 P"&"! .u!j"# ."!"gi!g -irector
4 9#"m ( 2"mboj (omp"!+ Secret"r+
4 Sum"! 2"!t .u!j"# No!A?<ecuti,e -irector
C P"u# ?dger#e+ No!A?<ecuti,e -irector
6 Su!i# 2"!t .u!j"# 8oi!t ."!"gi!g -irector
14
10
/ P ."#i)
No!A?<ecuti,e G 9!depe!de!t
-irector
11
. -"mod"r"!
No!A?<ecuti,e G 9!depe!de!t
-irector
14
R",i N"t
No!A?<ecuti,e G 9!depe!de!t
-irector
B
Pr"deep -i!odi"
No!A?<ecuti,e G 9!depe!de!t
-irector
8
Prit"m Si!g
No!A?<ecuti,e G 9!depe!de!t
-irector
S(0+)3 M&0&6(/(0'.
MR. RAVI SUD
Sr. Vice President and Chief Financial Officer.
MR. ANIL DUA
Sr. Vice President - Marketing and Sales
MR. VIRAM AS!"AR
Sr. Vice President and #ead $f O%erati$ns & S'%%l( Chain
DR. ANADI S. PAND"
Vice President )#RM* C$r%$rate Planning & Strateg(+
15
MR. VI,A- S".#I
Vice President and Chief Inf$r/ati$n Officer* #er$ M$t$C$r% Ltd.
MR. N""RA, MA.#UR
Vice President- Strategic S$'rcing & S'%%l( Chain Manage/ent
#AR,"". SIN0#
Vice President and #ead R&D
T(3/+0&'+)0 )* H)0?& 5)+0' ,(0':3(
9! -ecember 4010* te Bo"rd o$ -irectors o$ te >ero >o!d" Eroup "s decided to
termi!"te te joi!t ,e!ture bet&ee! >ero Eroup o$ 9!di" "!d >o!d" o$ 8"p"! i! " p"sed
m"!!er. 0e >ero Eroup &ou#d bu+ out te 46O st")e o$ te >o!d" i! 8/ >ero >o!d". ;!der
te joi!t ,e!ture >ero Eroup cou#d !ot e<port to i!ter!"tio!"# m"r)ets (e<cept Sri @"!)") "!d
te termi!"tio! &ou#d me"! t"t >ero Eroup c"! !o& e<port. Si!ce te begi!!i!g* te >ero
Eroup re#ied o! teir 8"p"!ese p"rt!er >o!d" $or te tec!o#og+ i! teir bi)es. So tere "re
16
co!cer!s t"t te >ero Eroup migt !ot be "b#e to sust"i! te per$orm"!ce o$ te 8oi!t /e!ture
"#o!e.
0e 8"p"!ese "uto m"jor &i## e<it te joi!t ,e!ture troug " series o$ o$$ m"r)et
tr"!s"ctio!s b+ gi,i!g te .u!j"# $"mi#+It"t e#d " 46O st")e i! te comp"!+I"! "dditio!"#
46O. >o!d"* &ic "#so "s "! i!depe!de!t $u##+ o&!ed t&o &ee#er subsidi"r+I>o!d"
.otorc+c#e "!d Scooter 9!di" (>.S9)I&i## e<it >ero >o!d" "t " discou!t "!d get o,er H1
bi##io! $or its st")e. 0e discou!t &i## be bet&ee! 30O "!d C0O to te curre!t ,"#ue o$ >o!d"Ps
st")e "s per te price o$ te stoc) "$ter te m"r)et c#osed o! 7ed!esd"+.
0e risi!g di$$ere!ces bet&ee! te t&o p"rt!ers gr"du"##+ emerged "s "! irrit"!t.
-i$$ere!ces "d bee! bre&i!g $or " $e& +e"rs be$ore te sp#it o,er " ,"riet+ o$ issues* r"!gi!g
$rom >o!d"Ps re#uct"!ce to $u##+ "!d $ree#+ s"re tec!o#og+ &it >ero (despite " 10A+e"r
tec!o#og+ tieAup t"t e<pires i! 4014) "s &e## "s 9!di"! p"rt!erPs u!e"si!ess o,er ig ro+"#t+
p"+outs to te 8"p"!ese comp"!+. A!oter m"jor irrit"!t $or >o!d" &"s te re$us"# o$ >ero
>o!d" (m"i!#+ m"!"ged b+ te .u!j"# $"mi#+) to merge te comp"!+Ps sp"re p"rts busi!ess &it
>o!d"Ps !e& $u##+ o&!ed subsidi"r+ >o!d" .otorc+c#e "!d Scooter 9!di" (>.S9).
As per te "rr"!geme!t* it &i## be " t&oA#eg de"#. 9! te $irst p"rt* te .u!j"# $"mi#+* #ed
b+ Brijmo"! @"# .u!j"# group* &i## $orm "! o,erse"sAi!corpor"ted speci"# purpose ,eic#e
(SP/) to bu+ out >o!d"Ps e!tire st")e* &ic &i## be b"c)ed b+ bridge #o"!s. 0is SP/ &ou#d
e,e!tu"##+ be tro&! ope! $or pri,"te e%uit+ p"rticip"tio! "!d tose i! te $r"+ i!c#ude 7"rburg
Pi!cus* 2o#berg 2r",is Roberts (22R)* 0PE* B"i! ("pit"#* "!d ("r#+#e Eroup.
17
>o!d" &i## co!ti!ue to pro,ide tec!o#og+ to >ero >o!d" motorbi)es u!ti# 4014 $or
e<isti!g "s &e## "s $uture mode#s.
T40U
C)/>&0< >(3*)3/&0-(
-uri!g te $isc"# +e"r 4008A05* te comp"!+ so#d 3.B mi##io! bi)es* " gro&t o$ 14O
o,er #"st +e"r. 9! te s"me +e"r* te comp"!+ "d " m"r)et s"re o$ CBO i! te 9!di"! m"r)et.
>ero >o!d" se##s more t&o &ee#ers t"! te seco!d* tird "!d $ourt p#"ced t&oA&ee#er
comp"!ies put togeter. >ero >o!d"Ps bi)e >ero >o!d" Sp#e!dor se##s more t"! o!e mi##io!
u!its per +e"r. '! 1 8u!e 4014* >ero .oto(orp reported its igest e,er mo!t#+ s"#es "t C*
C6*644 u!its i! ."+* registeri!g " gro&t o$ 11.48O.
R(-)60+'+)0
0e Br"!d 0rust Report pub#ised b+ 0rust Rese"rc Ad,isor+ "s r"!)ed >ero i! te
13t positio! "mo!g te br"!ds i! 9!di".
M)')3-<-4( /)?(47
Stre")
Acie,er
Ambitio! 133* Ambitio! 13C
18
(BJ* (BJ St"r* (BJ ?<treme
(- 100* (- 100 SS* (- -"&!* (- -e#u<e* (- -e#u<e (Se#$ St"rt)
E#"mour* E#"mour =.9
>u!)
2"ri:m"* 2"ri:m" R* 2"ri:m" J.R =9
P"ssio!* P"ssio! P#us* P"ssio! Pro
P#e"sure
Sp#e!dor* Sp#e!dorV* Sp#e!dorV (@imited ?ditio!)* Super Sp#e!dor* Sp#e!dor
NDE*Sp#e!dor PR'
>ero 9mpu#se #"u!ced i! 4011 "$ter te sep"r"tio! o$ ero "!d >o!d". 9ts 9!di"Ps $irst
o$$Aro"d "!d o! ro"d Bi)e.
S:>>4+(37
9t is reported >ero >o!d" "s $i,e joi!t ,e!tures or "ssoci"te comp"!ies* .u!j"# So&"*
AE 9!dustries* Su!be"m Auto* Roc)m"! 9!dustries "!d S"t+"m Auto (ompo!e!ts* t"t supp#+ "
m"jorit+ o$ its compo!e!ts.
C)/>('+')371
19
B"j"j Auto
0/S .otor
.""r"str" Scooters
Atu# Auto
Scooters 9!di"
2i!etic ?!gg
@.@
2i!etic .otors
/((@
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DEPARTMENTS.
FINANCE1
Re,e!ues rise 4.CO +o+ o! b"c) o$ " 3.6O +o+ i!cre"se i! re"#i:"tio!s. 0e impro,eme!t
&"s s"rp se%ue!ti"##+ &erei! !et s"#es &ere better b+ 15.3O %o% post " &e") W4 =Y14
."rgi!s "t 14.6O &ere do&! 304bps +o+ "!d 148bps %o% o! b"c) o$ i!cre"sed "d spe!ds
"!d iger m"teri"# costs (u!$",or"b#e product mi<)
-epreci"tio! &ic i!c#udes ro+"#t+ p"+me!ts to >o!d" &"s !oted #o&er b+ 4.4O %o% o!
b"c) o$ &e")e!i!g o$ +e! "g"i!st Rupee
'! b"c) o$ s#igt#+ better ,o#umes i! >4 =Y14* &e bui#d i! $#"t ,o#umes $or te +e"r "!d
"ssume moder"te gro&t i! =Y13
."i!t"i! ."r)et Per$ormer &it " re,ised 5Amo!t price t"rget o$ Rs1* 54C.
21
R(7:4' '&;4(
R7 /$ A# FY12 A# FY11 B
<)<
A2 FY12 B @)@
V)4:/( 1,5C#,1#5 1,5!D,2!6 1.0$ 1,##2,!05 1!.0
R(&4+7&'+)0 #D,### #C,DCD #.6 #!,D21 1.1
N(' 7&4(7 61,!C6 60,#60 2.5 51,!C5 1D.#
."teri"# costs (4C*8C4) (43*548) 4.3 (3B*B04) 41.6
Perso!!e# costs (1*584) (1*553) (0.C) (1*544) 3.4
'ter o,ere"ds (6*4C3) (4*58B) 4C.4 (C*0C5) 43.6
O>(3&'+06 >3)*+' C,C!6 D,"#2 1C."$ C,1D2 !.#
OPM (%) 12.6 15.6 (304)
bps
13.9 (128) bps
-epreci"tio! (4*834) (4*58B) (C.4) (4*85C) (4.4)
9!terest (30) (3C) (1C.B) (30) 0.3
'ter i!come 501 848 8.8 553 (5.3)
PBT 5,!26 C,2#! 1D.5$ 5,261 10.C
0"< (54B) (1*108) (14.C) (8CC) 10.B
Effective tax rate
(%)
16.3 15.3 95
bps
16.3 0 bps
PAT ",!CD 6,1#0 20."$ ","06 10.C
PA !ar"i# (%) $.9 10.2 (22$)
bps
8.5 (61) bps
A!!. ?PS (Rs) 5B.B 144.8 (40.4) 88.4 10.B
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V)4:/(7 3(;):0? )0 *(7'+,( -8((. G&+07 ;&-= 7)/( /&3=(' 78&3(
>ero .otocorp @td (>.(@) reported 15.3O %o% i!cre"se i! re,e!ues to Rs61.5b! o!
b"c) o$ stro!g $esti,e s"#es boo)ed i! te %u"rter. 0ot"# ,o#umes so#d duri!g te %u"rter &ere "t
1*CB3*13C u!its &ic &ere 1O do&! +o+ but up b+ " e"#t+ 18O o! %o% b"sis. 0e
re"#i:"tio!s &ere iger se%ue!ti"##+ b+ 1.1O o! b"c) o$ " s#igt#+ better product mi< i!
motorc+c#es &erei! te disp"tces o$ 14CccA1C0cc c"tegor+ i!cre"sed duri!g te %u"rter.
0e %u"rter s"#es e!"b#ed >.(@ to reg"i! m"r)et s"re b+ 150bps i! domestic
motorc+c#e segme!t o! " se%ue!ti"# b"sis. 9! te scooters segme!t "#so >.(@ m"de sm"rt
m"r)et s"re g"i!s o$ 3.5O "t te e<pe!se o$ m"r)et #e"der >.S9. 0e s"re o$ scooters i! tot"#
domestic ,o#umes co!ti!ued to i!cre"se to 10.4O (,isAXA,is 5.5O i! W4 =Y14) o! b"c) o$ te
success o$ te P#e"sure "!d ."estro. ."!"geme!t i!dic"ted o$ i!cre"si!g te c"p"cit+ i!
scooters "!d s#e& o$ product #"u!ces i! tis segme!t goi!g "e"d to $urter re"p tis m"r)et.
HR FUNCTIONS1
23
0e $o##o&i!g "re m"i! $u!ctio! o$ >um"! Resource dep"rtme!t "!d m"!"ger.
0e+ "re "s $o##o&s6
Recruitme!t
0r"i!i!g
-iscip#i!"r+ "ctio!
Prep"ri!g "! org"!i:"tio! c"rt
."i!t"i! "!d upd"ti!g emp#o+eeRs perso!!e# d"t"
@o!g term sett#eme!t coAordi!"tio!
Si$t G "tte!d"!ce record
?mp#o+ee grie,"!ces
S"$et+
Securit+
?mp#o+ee soci"# "rr"!geme!t
@e",e records m"i!te!"!ces
@e",e records m"i!te!"!ces
Ad,ise to &"ges c"#cu#"tio!
Retireme!t
A&"rd distributio!
A!!u"# d"+ ce#ebr"tio!
(ommu!ic"tio!* u!io!* emp#o+ee sip cou!ci# meeti!g
co!ducti!g s"$et+ progr"ms
Pro,idi!g u!i$orms.
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CONCLUSION1
9t is o!e o$ te gre"t coices to do pr"ctic"# "!"#+sis i! i!dustr+ troug tis
$ie#d &or). 9 got some e<posure* )!o&#edge $rom te resources. A!d 9 )!o& "bout
te pe"ce$u# setup o& e#ps te m"!"geme!t "!d &or)er to succeed i! teir #i$e.
A!d 9 t"!) &o "## e#ped me to $i!is tis project report.
25