`

PROJECT REPORT ON ROYAL ENFIELD

 INTRODUCTION

INDIAN AUTOMOBILE INDUSTRY

India’s automobile sector consists of cars, utility vehicles, commercial vehicles, two
wheelers and tractors. The total market size of the auto sector in India is
approximately Rs 540 billion and has been growing at around 8 percent per annum
for the last few years. Since the last four to five years, the two wheelers sale has
increased rapidly. However, the cars and commercial vehicles segment has also seen
a good growth due to high discounts, lower financing rates and a pickup in industrial
activity respectively. With the economy growing at 9 percent per annum and
increasing purchase power there has been a continuous increase in demand for
automobiles. This, along with being the second largest populated country, makes the
automobile industry in India a very promising one.
Major automobile manufacturers in India include Maruti Udyog Ltd, General
Motors India, Ford India Ltd, Eicher Motors, Bajaj Auto, Hero Honda Motors,
Hindustan Motors, Hyundai Motor India Ltd, Royal Enfield Motors, TVS Motors
and Swaraj Mazda Ltd.

INDIAN TWO WHEELER MARKET

Ever since the old Lambretta scooter was replaced with flurry of vibrant two wheeler
models, Indian two wheeler industry has seen a phenomenal change in the way they
perceive the Indian market. Two wheeler manufacturers are now competing in an
ever growing consumer market by bringing out new products and features. The
country has now grown into the second largest producer of two wheelers in the
world. Currently there are around 10 two wheeler manufacturers in the country and
they are Bajaj, Hero Honda, Honda, Mahindra, Royal Enfield, Suzuki, TVS and
Yamaha. The Indian two wheeler industry can be divided inti motorcycles, scooters
and mopeds. The consumer has been changed his preference from mopeds to
scooters and then to motorcycles. A recent trend in the industry has been electric
vehicles, which mostly leverage on their eco-friendliness and low operating costs
but is still not accepted well due to lack of reputation of manufacturers.
INTRODUCTION TO ROYAL ENFIELD

Royal Enfield is an Indian bike manufacturing brand which is the oldest global
motorcycle brand in continuous production manufactured in India.
Royal Enfield operates in India, and over 40 countries around the world. It is the
oldest brand in the world still in production.
At present Eicher Motors is the parent company of Royal Enfield. The company
makes the Royal Enfield Bullet, and other single-cylinder motorcycles. In addition
to motorcycles, Eicher has also collaborated with Sweden’s AB Volvo-Volvo Eicher
commercial Vehicles Limited (VECV). It has also tied up with US based Polaris
Industries Inc- Eicher Polaris Private Limited and introduced the 3-in-1 vehicle
Since 1965, Eicher has been owned completely by Indian shareholders.

HISTORY

Indian government was looking for a suitable motorcycle for army and police, for
the purpose of patrolling the country’s border. Royal Enfield Bullet was selected as
the most suitable for this purpose. Government ordered 800 numbers of 350 cc
model. The Enfield uses the 1960 engine and still similar bikes are made in 350 and
500 cc models along with several different models.
1962- All components were made in India by that time.
1990- Royal Enfield and Eicher Group was collaborated.
1994- Royal Enfield merged with Eicher Group.
2002- Closed their production plant which was in Jaipur.
2013- Started new plant in Chennai.
2015- Entered into business in Indonesia and gave a tough competition for Harley
Davidson in terms of sale that year.
2017- Introduced new variants in Classic 350 and 500.

MANUFACTURING PLANTS

Royal Enfield has three manufacturing plants. They are as follows

 Thiruvottiyur, Chennai
 Oragadam, Chennai
 Spicot Industrial Park, Vallam Vadagal, Chennai

VARIANTS AND PRICE

1. Royal Enfield Bullet 350 2. Royal Enfield Bullet 500

Ex- Showroom price - 1,16,20 Ex-Showroom price - 1,68,482
3. Royal Enfield Classic 350 4.Royal Enfield Classic 500
Ex-showroom price- 1,39,039 Ex-showroom price- 1,84,938

5. Royal Enfield Thunderbird 350 6. Royal Enfield Thunderbird 500

Ex-showroom price- 1,49,751 Ex-showroom price- 1,90,874
7. Royal Enfield Thunderbird 350x 8. Royal Enfield Thunderbird 500x
Ex-showroom price-1,56,582 Ex-showroom price- 1,98,605

9. Royal Enfield Himalayan

Ex-showroom price- 1,67,996
 COMPETITORS

1. Triumph Motorcycles
2. KTM
3. Aprilia
4. Kawasaki
5. Ducati
6. Harley-Davidson
7. Benelli