A

report
On

New Product Development (NPD) Project TWO WHEELAR

Submitted To
RAJIV GANDHI COLLEGE OF MANAGEMENT
MBA PROGRAMME (2009-2011)

Affiliated To
GUJARAT TECHNOLOGICAL UNIVERSITY

In partial fulfillment of the requirement for the degree of

MASTER OF BUSINESS ADMINISTRATION

Submitted by
SANDIP PATEL
RAJIV GANDHI COLLEGE OF MANAGEMENT
MBA Campus, Ahmedabad Highway, BALASINOR, Dist-KHEDA
NEW PRODUCT DEVELOPMENT
The company has adopted the following steps in developing
this new product.
A new product is the culmination of a process, a series of steps
beginning with generation of ideas and proceeding to the

commercialization of full scale marketing of the product. It is thegeneral

process that conceives, develops and brings to the marketthe new
product. There are six logical steps in this creative process of

1. Idea Generation:
The most keenly watched segment of the booming bike marketin
India has to be the premium performance segment which verymany bike
manufactures have always lusted after and debated aboutgetting into.
However the cold hand of reality has made many shun it.Some have
been brave but haven't done a proper focused job & theresults obviously
didn't do either the manufacture or the performancesegment any good
because it threw up wrong reasons for thesegment not doing as well as
it should have.
That the India bike user had got used to power outputs of around12bhp
and was looking for more was becoming more apparent by theweek and
along with performance he was also demanding the latesttrendy styles
and detailing while crucially, relegating full efficiency notout of his orbit-
lower down in this priorities behind his bike buyingdecision.
Then there was the matter of style and biking being mostexciting
segment, every Indian bike failed to deliver, until Hero Hondatried to stir
things up in the lions with its CBZ. This bike truly was amajor departure
from the standard Indian spec but it had staying withproblems of different
kind.
So you can see why no Indian motor cycle manufactures. TVS-
Suzuki included dared to go in for a machine, which embodied thethree
hiking highlights it was expounded on in the introduction of thisfeature.
Then along come Bajaj Auto & gives as sheer heart-attack inthe
most delightful way possible with a brace of performance machines,
which have in one, fell stroke completely taken Indian hiking to an
altogether new plane.

2. Idea Screening:
Screening is the 2nd stage of product development thateliminates
the greatest number of ideas from further consideration. Itis the critical
part of the development activity. That is, even thoughthe concept may be
considered very marketable, it may be viewed asinappropriate for a firm
that is lacking specific resources needed toproduce and market it
successfully.

3 concept
During the development stage- The product idea is convertedinto
the tangible physical! Product. This involves the design andformulation
of the product and development of a technically, andcommercially viable
method of manufacture.Product development isa scientific and
engineering task leading to the design and building ofprototype working
models on one hand and functional testing on theother.
Bajaj Platina is a 100 CC Motorcycle built by Bajaj Auto. It debuted
In
2006.
Bajaj Platina is the latest 100cc bike from Bajaj Auto to take onTVS
Star City. The cheaper version will come for Rs 34,500, while the
higher version of Bajaj Platina will cost Rs 36,000 (ex-showroomprices,
Delhi). Bajaj hopes to sell about 75,000-80,000 units ofPatinas a month.
The Bajaj Platina is based on the CT-100, but with a revised
gearbox,fresher body panels and optional alloy wheels. Bajaj also offers
theBajaj Discover 112 in the entry level segment. The entry-
levelsegment is being strengthened by the arrival of the Bajaj Platina.
Thecompany will use it new Pantnagar plant to build the Platina.
It is very much visible that all the body panels, fairings, electronics ofthis
bike are borrowed from the successful Bajar Wind 125 Worldbike.It is
debated whether it was a wise decision to cease the productionsof Wind
125 & Caliber 115. Both were highly successful machines &

were the top selling models in their respective segment when

theproduction was cut. Both had exceptionally efficient &
smoothKawasaki K-Tec engies. The smooth engines were quite
uncommonin India & were well received by the customers. The K-Tec
enginesare no longer in use & Bajaj instead uses indigenously
developedpowerplants.
Bajaj Platina comes in platinum silver colour with dazzling
chromegraphics. It has unique streak designed side panels and
optoprismheadlens with clear lens blinkers. Platina's levers, grips,
mirrors andswitchgear are of the finest quality, and add to its
exquisiteness.
Manufacturer
Bajaj
Model
Platina
Model
Motorbike
Engine
capacity (cc)99.27
Transmission
4-DOWN
Starting
Kick
Weight (kg)112
Top speed
(km/hr)
93
Fuel
economy
(km/litre)
74
Price (Rs)38,621
Bajaj Auto has also announced plans to launch a dual-fuel bike whichwill
run on CNG/LPG as well as petrol. The bike is under development.

4. Test marketing:
Test marketing is the stage where the entire product
and.marketing Program is tried out for the first time in a small number
ofwelt chosen and authentic sales environment. Test marketing
isnormally the fast step in the development process before a newproduct
is launched either on regional or an nation level, obviously,test marketing
is a means of minimizing the risk of national or originallaunched-

5 Business analysis:
The 3rd major step in the new product development is that of
businessanalysis. It is an in depth study of the estimated economic
feasibilityof new product ideas.It is an attempt to predict the economic
theeconomic consequences of the product for the company as a whole,it
is assessing the profitability of a new product idea that
helpsmanagement in deciding whether to introduce the new
product,continue the development and the evaluation further or to drop
theidea. It is the evaluation of the product idea in-depth to determine
itsfinancial competitive manufacturing and marketing viability in an
accepted business environment.
Steps in business analysis:

The three major steps are

a) Demand analysis

b) Cost analysis

c) Profitability analysis

Timeline of new releases

• 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

• 1991- Kawasaki Bajaj 4S Champion

• 1994- Bajaj Classic

• 1995- Bajaj Super Excel

• 1997- Kawasaki Bajaj Boxer, Rear Engine Diesel Autorickshaw

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

stroke scooter, Bajaj Spirit

Marketing management:
Philip kotler
C.N Sonnataki
Marketing salesmanship :

Ramaswamy.

and advertising

Encyclopedia:
Britannica Encyclopedia

Website:
WWW.bajajautos.com
Magzines:
Auto car march 200