SUMMER TRAININNG REPORT

ON
““MARKETING STRATIGIES OF THE COMPANY”

IN

ESCORTS LIMITED

SUBMITED IN THE PARTIAL EULFILMENT OF

REQUIREMENT OF DEGREE FOR
“BACHELOR OF BUSINESS ADMINISTRATION”

OF

MANAV RACHNA INTERNATIONAL UNIVERSITY

SESSION (2009-2012)

SUBMITTED TO:-
CONTROLLER OF EXAMINATION MANAV RACHNA
INTERNATIONAL UNIVERSITY

SUBMITTED BY:
JATIN GANDHI
BBA-5th SEM.
ROLL NO. FBC\BBA(G)\051

0
 Acknowledgement

I express my humble thanks to that supreme power, the ‘Almighty’ for giving me
enough
Patience and strength to work continuously with full enthusiasm despite of failures.
Without His blessing this task could not have reached its finale.

This project report is a result of the joint effort of several helping hands of the
personal department of Escorts, Faridabad, The knowledge of our theoretical
studies is absolutely incomplete without its proper implementation and application
in the diversified corporate world of today. I have been really opportunistic to be a
part of the Escorts group during my summer training, which is one of the
upcoming technical companies in today scenario.

An undertaking of study like this is never an outcome of effort put in by a single

person; rather it bears imprint number of person to directly or indirectly helped me
in completing the study.

At the outset I would like to expend my sincere gratitude to Mr. Amit Singh
technical advisor of Escorts group, for providing the opportunity to carry out the
survey and for providing guidance during the preparation of report whenever
needed.

1
 PREFACE

Executive financing is critical to success of every organization whether small or

large. BBA students of MANAV RACHNA INTERNATIONAL UNIVERSITY are
required to undergo a summer project practical training as an integral part of the
curriculum. The objective is to develop ability to apply multidisciplinary concepts,
tools and techniques to solve organizational problems. The main objective of the
training is to expose the business management students to various financial areas of
management. Any professional degree remains incomplete without practical
exposure. The students are required to develop deep into the intricacies of the
financing related activities.
The training involves innovative pedagogy and through it preparing young
prospective business managers for the new millennium. Learning is like eating
food. It is not how much one eats that matters, what counts are how much you
digest. Knowledge is potential power wisdom is real power. Knowledge becomes
poor only when it is acted upon.

2
 TO WHOM SOEVER IT MAY
CONCERN

This is to certify that MR. JATIN GANDHI the student of bachelor

of businees administration has succesfully sumitted his

training report on. "ESCORTS LIMITED". under my

supervision for partial fulfillment of the requirement of degree

in bachelor of business administration of Manav Rachna

International University for the academic batch 2009-2012.

Mr. Arun Vashisht

(Faculty of bachelor of business
administration)

CONTENTS
3
TOPICS

1. INTRODUCTION

 INDUSTRY PROFILE

 ESCORT GROUP

 COMPANY MISSION

 EACL PROFILE

2. METHODOLOGY

3. FINDINGS

 MARKETING

 STRATEGY

 SURVEY

 DEMAND ESTIMATION

4. LIMITATIONS

5. CONCLUSIONS

6. RECOMMENDATIONS

7. BIBLIOGRAPHY

4
 INTRODUCTION OF THE COMPANY

OBJECTIVE

The objective of the project report is to have an in-depth knowledge of

- How industrial marketing is done

- To analyse marketing strategies of the company

- In-depth study of human resource management system adopted by the

company.

- Lastly to recommend the company about what all they can do in the

field of marketing and human resource.

PROBLEM

Company is facing losses for the reason that it has lost its major OE

consumer Yamaha Motor Escort Limited. Company is also facing

problem in the field of replacement market. The company has just

ventured into this market and is facing tough competition and though

finding ways to fight with it.

5
 INDUSTRY PROFILE

ESCORTS KUBOTA INDIA PRIVATE LIMITED is a Private

Company, who was incorporated 3 Year(s) 8 Month(s) 22 Day(s) ago

on dated 23-Feb-2019 . ESCORTS KUBOTA INDIA PRIVATE

LIMITED is classified as Non-Govt. and is registered at Registrar of

Companies located in ROC-DELHI. As regarding the financial status

on the time of registration of ESCORTS KUBOTA INDIA PRIVATE

LIMITED Company its authorized share capital is Rs. 3000000000

and its paid up capital is Rs. 1500000000. As Per Registration of

Company, It involves under in Business Activity Class / Subclass

Code 34300, Main Activity of the said Company ESCORTS

KUBOTA INDIA PRIVATE LIMITED is : , Manufacture of parts

and accessories for motor vehicles and their engines [brakes, gear

boxes, axles, road wheels, suspension shock absorbers, radiators,

silencers, exhaust pipes, steering wheels, steering columns and

steering boxes and other parts and accessories n.e.c.], It Comes Under

Division MANUFACTURE OF MOTOR VEHICLES, TRAILERS

AND SEMI-TRAILERS and this come under scetion

MANUFACTURING.

6
Directors of ESCORTS KUBOTA INDIA PRIVATE LIMITED are

AKIRA KATO , HARDEEP SINGH , HIDEO TAKIGAWA ,

NIKHIL NANDA , SATOSHI SUZUKI , SHAILENDRA

AGRAWAL , SHENU AGARWAL , TAKESHI ISONAGA ,

YOSHIMITSU ISHIBASHI , YUICHI KITAO ,.

7
 ESCORTS GROUP

The Escorts odyssey, which began in 1944, from agency to manufacturer

to diversified industrial conglomerate, is a classic study in corporate

planning and business development.

Today Escorts ranks among the country's leading multi-product industrial

group having several international collaborations, employing over 20,000

people with a turnover of Rs. 22, 000 million.

Beginning as a small agency house in Lahore in 1944, Escorts after

independence gauged the need for modernising agriculture and pioneered

farm mechanisatio in the country. It set up the first dealer network of its

kind to market tractors it was to import. Simultaneously the company

established a school of farm mechanisation to educate farmers on use and

benefits of farm mechanisation. Escorts soon became the number one

tractors selling company in India.

Meanwhile, the company branched into manufacturing Pistons rings in

India in collaboration with GOETZEWERKE of Germany. Since then

Escorts has all along been diversifying and growing steadily.

Currently, various group companies of Escorts manufacture tractors,

harvester combines, motorcycles, construction equipment, auto and

railway ancillaries, and Tele and satellite communication equipment.

In the last five decades, Escorts growth has been fuelled by the best

available technology the company has acquired from several global

8
giants. Among them are Goetzawerke, Mahle and faun from Germany,

Yamaha Motor Co. and Kayaba from Japan, JCB Amford Excavators Ltd.

from the U.K., Hughes Network System from the U.S.A. and Daewoo

from Korea.

Organisations restructuring initiated by the company recently, aims to

consolidating competitive strength in the six core areas: Farm machinery,

Bi-wheelers, construction and material handling equipment, engineering

and auto ancillary products, telecommunication and financial services.

The resultant transformation would enhance the company's volume in the

Indian as well as over seas markets. The group envisages to cross the Rs.

75,000 million by 2000 AD

During the course of its growth Escorts has also remained a responsible

corporate citizen, ever conscious of its commitment towards the welfare

of society in general and the community and environment in which it has

adopted over 60 villages, Escorts Hospitals and Research Centre at

Faridabad and Escorts Heart Institute and Research Centre and crowning

examples of the company's belief that the welfare of business is inter

wined with the welfare of society.

9
 ESCORTS BUSINESS REVIEW

AGRI MACHINARY AUTO COMPONENT

AUTOMOBILE

Tractors Piston, Piston Pin & Piston

Escorts Farmatrac rings Cylinder liners

Harvester Combines Aluminium Cylinder Blocks.

Power metal component

Shock absorbers, Front Forks

And stouts, Carburetors,

magnetos, clutches

BI-WHEELERS RAILWAYS

CONSTUCTION EQUIPMENT TELECOM

Pin N carry cranes Cellular Telephone services

All terrain pin N carry cranes VAST service

360 angle slew cranes EPABX service

Agriculture Boom cranes

Front end loaders

Fork lifts, Aerial

Platforms, excavators

Vibratory Rollers

Backhoe loader

FINANCIAL SERVICES

10
Car finance

Commercial Vehicle France

Securities Trading

Personal Investment

Advertising

Consumer Finance

Equipment Leasing

11
 COMPANY’S MISSION
We strive to be strongest and most respected engineering company in the

country. We will achieve this by dearly positioning our self in a

competitive environment enhancing its brand equity international quality

products, market leadership, enlarged customer base, better cost control

and pricing opportunities. We feel responsible to our employees and we

must recognize their dignity and recognize their merit. Each one of us

must uphold the core value of professionalism, commitment and integrity

in keeping with the highest tradition of the company.

As responsible corporate citizens, we must not only encourage civic

improvement, better health and education but also protect our

environment and natural resources.

Finally we are responsible to our shareholder and for this business must

make a sound profits and thus to be investor attractive.

We must experience with new ideas, new facilities and new products.

When we operate on these principles, the shareholder should realise a fair

return.

12
 COMPANY PROFILE
Escorts Employees Ancillaries Ltd. (EEAL), incorporated on 25 th August

1971, enunciated a unique concept of employee's participation in the

ownership of the company. Initially the business of the company was

restricted to trading which was carried out from Delhi and Faridabad.

Manufacturing activities of the company started with the commencement

of commercial production of carburetor from January 1978 in technical

collaboration with M/S MIKUNI of Japan.Company analyse changed its

named to Escorts Auto Component Ltd. (EACL) in August last year.

Today with a Turnover of Rs. 275 million and strength of 394 people,

EEAL is one of the most modern, high precision auto ancillary plants in

the country manufacturing Carburetors, spokes nipples, clutch assemblies

and pressure die casting components for the Bi-wheeler industry. We are

popularly recognized as “MIKCARB” (our brand) in the auto mobile line,

our carburetor are being manufactured to suit Bi-wheelers ranging frame

50- cc to 500 cc and are original equipment with the most of the

motorcycle/moped manufacturers in India, besides marketing its product

through a wide dealer network spanning the entire country.

In addition To bring OE supplies of carburetors to major two wheeler

manufacture e.g. Escorts, Bajaj, TVS Suzuki, Kinetic Engg, Enfield India,

13
Hero Motors, EACL Markets its products through a wide dealer networks,

spanning the entire country. The welfare shop (Owned by EACL) is also

the model dealership for Escorts range of motorcycles, Mopeds, Regional

Trading activities of companies e.g. Philips India, Advani Oerlikon, Cut

past Abrasine tools, Grind well Norton, Chiago pneumatic are also

handled by the welfare shop.

Diversification and growth a continuous process at EACL backed by a

strong research and development idea is poised to meet tomorrow’s

challenges today.

14
 HISTORY
1971 : Incorporated as public limited company technical
collaboration-Carburettor – Mikuni, Japan.

1973 : Trading activity started

1978 : Carburettor production commenced

1980 : Technical collaboration

 M/s Hoshi, Japan-Spokes & Nipples

 M/s Fuji Chemicals, Japan-Clutch

1984 : Pressure die-casting poetrations commenced

1988 : Export of Carburettor to USSR

1993 : Up-gradation cum capacity expansion of Carburettor

production

1996 : Carburettor shed expansion (covered area nearly 2 times).

Introduction of down draft Carburettors planned.

15
 ESCORTES EMPLOYEES ANCILLARIES LIMITED

AT A GLANCE
Year of commencing production
Company promoted by
Products Manufactured
Technical know-how
Installed Capacity
Land & Building
No of employees
Gross Block
: 1978
: Escorts Limited
: Carburettors
Pressure Die-Casting
Clutch Assembly
Spokes and Nipples
: Carburettors-Mikuni, Japan Clutch
Assembly-Fuji Chemical, Japan,
Spokes & Nipples-Hoshi, Japan
: Carburettors-6, 00,000 Nos.
Clutch Assembly-10, 00,000 Nos.
Spokes & Nipples-10, 00,000 Nos.
: 35000 SQ. M (LAND AREA) 7268
SQ. M. (COVERED AREA)
: 394
: Rs. 150 millions

Production Volume : Years Nos.

(Caburattors) 1992-1993 215076
1993-1994 279999
1994-1995 357877
1995-1996 445705
1996-1997 478500
1997-1998 491150
1998-1999 380500
1999-2000 444369
99737 till May
Cumulative Production Approx. 56
Lacks

16
Turn Over
Shareholding Pattern
Others Trading Business
Present Customers
MARKET SHARE 2000
Distribution Network
(Carburatter & spares parts in
: Rs. 16.34 million
: Shareholders % of Holding
Escorts Group 58.00
Financial Institutions .62
Others (EMPLOYES/
Dealers/Venders) 41.38
Total 100.00
: YAMAHA MOTOR ESCORTS
LTD.
Motorcycle/Mopeds, Accessories
and spare parts.
ADVANI ORLIKON LTD
Welding sets, Welding Electrodes
and spare sets.
PHILIPS INDIA LTD.
Phillips MAKE
: Escorts Yamaha Motor Limited,
Faridabad.
Escorts Yamaha Motor Limited,
Surajpur,
Bajaj Auto Limited,
Pune/Aurangabad
Hero Motors, Ghaziabad.
Majestic Auto Limited, Ludhiana
Royal Enfield Motor Limited,
Chennai
TVS-Suzuki Limited, Hosur.
Kinetic Engg. Limited Pune
Scooter India Limited, Lucknow
: 11%
: Zone No. of
North (Haryana, Punjab,
17
DEALERS Replacement Delhi, UP, Rajasthan
Market) South 18
(Tamil Nadu, Karnataka,
Kerala, A.P.) 20
East
West Bengal, Andaman, &
Nicobar, Bihar and Orissa 09
West
Madhya-Pradesh, Gujarat,
Goa, & Maharastra 15

Total 62

CARBURETTORS UNDER DEVELOPMENT

Customer Product

Bajaj Auto Ltd. K-4S 110 cc Motorcycle –4S

Sunny Export 50 cc Scooter-2S

Bajaj Scooter 150 cc Scooter –2S

M50 cc Setup Thru-2S

Escorts Yamaha Motor Ltd. Toro 50 cc Moped-2S

TVS Suzuki Ltd. TVS Champ 60 cc Moped 2S

Kinetic Engg. Ltd. 4S-100 cc Motorcycle-4S

Brat-7 cc Step Thru 2S

Royal Enfield Ltd. Bullet 535 cc Motorcycle-4S

Bullet 624 cc Motorcycle-4S

18
PLANTS HIGHLIGHTS

 Proven MIKUNI design and manufacturing technology

 Quality reliability in built into manufacturing processes.

MANUFACTURING FACILITIES
 Flexible manufacturing machine/dedicated SPM’s

 All critical machines from Japan/Switzerland.

 Ultrasonic clearing facility.

 Precision and functional parts manufacturing in house

 Continuous up gradation of manufacturing facility 25% of Gross Block

invested in last two year.

 State of the Arts Machine for jet making.

 Precision part/assembly manufacturing in dust free and AC

environment.

SUPPORT FACILITIES (INHOUSE)

 Tool Room

 Pressure Die-Castings

 100% in house Power Generation

 Connected Load – 1066.50 KWB generation capacity- 1100 KVA

ENGINEERING AND R & D BACK UP

 Tool design in house expertise available.

19
 Tool manufacturing facilities equipped to meet jigs, fixtures and die-

casting tooling requirements.

 Special purpose machines-design and manufacturing facilities

available.

 Qualified and experienced manpower

 Chassis Dynamometer available for in house testing.

QUALITY ASSURANCE
 In–built on line inspection stages/facilities high product quality and

reliability.

 Latest equipment available most imported from Japan, Italy, West

Germany and Switzerland.

Carburettor fuel flow Toning Equipment.

Pilot Circuit Testing Equipment

Main Circuit Testing Equipment

Fuel Level Checking Equipment.

Cosmo Leakage Tester.

3 Co-ordinate Measuring Machine.

Surface finish Tester.

Well-equipment meteorological facilities.

Fully equipped Chemical/Metallurgical Laboratory.

Self-contained distillation plant for Carburettor flow checking and

calibrating fluid.

20
METERIALS AND VENDOR DEVELOPMENT
Nearly 50 vendor supplying over 300 bought out parts.

Bought out materiel contents 40% by value for carburettors.

Import value of special raw materials and components – 7% of total

bought out.

Technical and financial support to vendors for critical components

High inventory turnery ratio-10

Single window service to vendors

Healthy vendor – Buyer relations based on term- dealing concept.

OTHERS SUPPORTS
Escorts R&D facilities available

Training of manpower at all levels

ISO 9001
EEAL has ISO 9001 certificate this certificate has a different benefits

which are as following. This certificate also shows that the company has

its own design and Research for the product.

BENEFITES
1. Quality up gradation through documented system.

2. Increase profitability by reducing quality cost scraps reworking.

3. Meets customer satisfaction and aspiration.

4. Prevents recurrence of fault and reduce fire fitting.

5. Makes company more competitive.

6. Global recognition.

7. Improve communications through inter linkage.

21
8. Improves company productivity.

9. Improves house keeping.

10.Focuses on individual development through continuous training.

11.Ensure achievement of quality policy and its objective.

22
 Research Methodology

The methodology opted for the collection of data for this project report

is

1. Secondary sources

2. Primary sources

3. market research

Secondary sources: The information collector about the profile of the

company was collected by various sources like Internet and Delhi Stock

Exchange Library.

Prime sources: In this project the information collated, basically

depends upon primary sources. Interview of various person was

conductive from time to time. These interviews was conducted for

marketing department, human resource department and new projects

department.

The information collected was handle with extensive care and was duly

arrange in a set format.

Market Research: A Small market research was conducted in Faridabad

to know the actual performance and brand image of the Carburettor. A

conclusion from the samples is also mentioned in the project.

23
MARKETING DEPARTMENT

MARKETING CHIEF

MANAGER SR. MANAGER MANAGER

MARKETING (O.E.) (SERVICE) MARKETING SECRETARY
(REPLACEMENT)

TYPIST CUM
OFFICE ASST.

SUP SUP SUP

NORTH (EAST (SOUTH ZONE) (WEST ZONE)

ZONE)

INPLANT TRAVELLING TRAVELLING

SERVICE MAN SERVICE MAN SERVICE MAN

SUPERVISOR SUPERVISOR SUPEVISOR TRAVELLING

(EXERCISE) (PAYMENT & (CASTING & SERVICE MAN
COLLECTION) PRICING)

ASSISTNAT ASSISTNAT (CUSTOMER

(DESPATCH) ACCO.)

24
 SALE DATA IN 1991, 1992,1993,1994 (BY ACMA REPORT)

FOR 1991 1992 1993 1994

Rajdoot 175 cc 90121 75220 56612 45188

Yamaha Rx 100 75251 71718 68071 64120

Bajaj KB 100 12418 16120 34971 40791

Bullet 350 cc 25031 22178 203281 17283

Explorer 9156 12218 4982 16829

Bajaj Z 80 52448 64537 79040 81049

Hero puch 50680 62248 72551 75525

BY FORMULA ESTIMATION OF MIKCARB CARBURETTOR

FOR 2001 2002 2003 2004

Rajdoot 175 cc 22530 18805 14153 11297

Yamaha Rx 100 18812 17929 17018 16030

Bajaj KB 100 3104 4030 8742 10197

Bullet 350 cc 6257 5544 5082 4320

Explorer 2289 3054 3745 4207

Bajaj Z 80 6556 8043 9880 10131

Hero puch 6335 7781 9069 9441

Total Estimated 65883 65186 67689 65623

demand

GRAPHICAL REPRESENTATION OF EST.DEMAND

25
MANUFACTURING

1538 lacs

26
\

PRODUCTIVITY ANALYSIS

27
ESTIMATED DEMAND (BRAND-WISE)

28
 OUR VALUED CUSTOMER

EEAL'S MARKET SHARE (%age)

29
EEAL'S SALES TURNOVER ANALYSIS

30
 MASTER RECORDS

APRIL MAY JUNE JULY AUG. SEPT. OCT. NOV. DEC. JAN. FEB. MARCH
PRODUCTION 36660 37112 28475 24600 30395 26700 29350 38000 50000 50500 47000 48150
DESPATCH (NOS) 33348 32005 24950 24925 30395 30408 31419 41293 46082 51098 50525 50067

COLL. EEAL 86.62 157.63 154.01 112.37 107.58 161.99 144.25 108.25 156.70 189.63 158.80 185.14
(LACS) MIL 64.12 218.58 134.34 106.24 92.20 131.90 144.47 134.59 183.63 161.18
WFS 65.61 57.88 60.08 57.11 60.60 46.28 59.91 63.60 66.53 84.11 78.84 101.41
SALES M/CY. 50 24 26 18 13 37 31 74 63 79 112 262
(NOS) CARB (R) 3099 5099 5899 5699 5399 5099 4399 5199 5599 6999 7099 7299
90-91 91-92 92-93 93-94 94-95 95-96 96-97 97-98 98-99 99-00 TILL MARCH 00)
TURNOVER
(EEAL +WFS) (CRORES) 12.48 11.49 12.14 15.92 21.42 27.45 27.11 25.16 20.26 27.76 2.31
WFS
MIL 4.12 3.71 3.99 3.49 4.94 8.03 8.35 7.89 6.7 8.79 0.73
3.42 5.29 5.06 6.20 8.48 10.61 14.41 15.33 12.78
CARBS (P) 275940 210772 212254 2865530 364432 445705 479300 491150 380500 444000 37000
(NOS) 37031
CARBS (D) 263647 219204 215076 288446 357877 443421 486935 483970 386032 444369
(NOS)
CARBS (D) REPL 12890 17540 15911 12982 29736 31436 36904 47674 56716 65969 5498
(NOS) 12890 17540 15911 12982 29736 31436 36904 47674 56716 65969 5498
M/CY SALES 959 625 587 514 497 1108 840 639 443 789 66

31
 MASTER RECORDS
2000-01 APRIL MAY JUNE JULY AUG. SEPT. OCT. NOV. DEC. JAN. FEB. MARCH
PRODUCTION 47606 52125 54570
DESPATCH 46400 52058 44040
(NOS)
BILLING EEAL 225.73 202.63 179.07
WFS 100.76 100.00 86.33
SALES M/CY. 231.88 153.80 190.08
(NOS) CARB (R) 110.24 110.06 77.03
PAST PERFORMANCE 90-91 91-92 92-93 93-94 94-95 95-96 96-97 97-98 98-99 99-00 00-Z01 (TILL
JUNE)
TURNOVER
(EEAL + WFS) 12.48 11.49 12.14 15.92 21.42 27.45 27.11 25.16 20.26 27.76 8.94
(CRORES)
WFS 4.12 3.71 3.99 3.49 4.94 8.03 8.35 7.89 6.7 8.79 2.67
MIL 3.42 5.29 5.06 6.20 8.48 10.61 14.41 15.33 12.78
CARBS (P) 275940 210772 212254 2865530 364432 445705 479300 491150 380500 444000 154301
(NOS)
CARBS (D) 263647 219204 215076 288446 357877 443421 486935 483970 386032 444369 142498
(NOS)
CARBS (D) REPL 12890 17540 15911 12982 29736 31436 36904 47674 56716 65969 14297
(NOS)
M/CY SALES 959 625 587 514 497 1108 840 639 443 789 459

Monthly Sales & Purchase of Carburettor & Spare Parts

32
 1999- As
00 On
Sale
S.No. MODEL Apr. May. Jun. Jul. Aug. Sep. Oct. Nov Dec Jan. Feb. Mar.
. .
1 Model 897 1224 1596
2 Rajdoot 826 887 1359
3 Yezdi 41 83 31
4 Vijay super 23 35 130
5 Silver plus 25 143 218
6 Explorer 61 61 124
7 Bajaj Z-60 1325 2296 1562
8 Hero Puch 200 218 344
9 TVS Super Champ (VMX) 25 9 19
10 Scooter (XLS) 57 3 108
11 RX - 100 52 29 12
12 KB - 100/125 7 0 0
13 Bullet -500 3 0 7
14 Sunny Zip 32 42 24
15 Hero Winner 0 6 0
16 Kinetic Pride 5 13 41
17 H.Gizmo 15 7 7
18 Bajaj Chetak 0 0 0

33
19 K4S 5 43 17
Total 3599 5099 5599 0 0 0 0 0 0 0 0 0
Ave. Value 457.63 440.28 463.84
Sales Value of Carburettor & Spare Parts
Apr. May. Jun. Jul. Aug. Sep. Oct. Nov Dec Jan. Feb. Mar.
. .
A Carburettor 16.47 22.45 25.97
B Spares 2.10 2.94 3.11
C Float &n Gasket (SPD) 0.53 0.91 0.71

Total 19.10 23.30 29.79 0 0 0 0 0 0 0 0 0

34
S.No. MODEL Apr. May. Jun. Jul. Aug. Sep. Oct. Nov. Dec. Jan. Feb. Mar. Total
1 Rajdoot 1140 1001 2540 4681
2 Bullet 0 0 0 4193
3 Yezdi 0 0 0 0
4 Vijay super 500 220 0
5 Silver plus 0 0 0 720
6 Explorer 660 2840 3258 0
7 Bajaj Z-60 0 491 500 6766
8 Hero Puch 0 9 0 991
9 TVS Super 0 0 500 9
Champ (VMX)
10 Scooter (XLS) 50 0 40 500
11 RX - 100 0 0 0 90
12 KB - 100/125 0 25 0 0
13 Bullet -500 0 0 0 25
14 Sunny Zip 0 0 0 0
15 Hero Winner 0 0 50 50
16 Kinetic Pride 0 160 0 160
17 H.Gizmo 0 0 0 0
18 Bajaj Chetak 6 0 144 150
19 K4S 0 200 0 200
Total 2468 5904 10615 0 0 0 0 0 0 0 0 0 18625

35
 PRODUCTION & DESPATCH STATUS APRIL 2000

MODEL PRODUC DESPATCH

TION
OE SPD WFS TOTAL
RAJDOOT 11460 9160 1000 1140 11300
RAJDOOT 1K1 0 0 0 0 0
YAMAHA RX-100 2115 1690 0 50 1740
BULLET - 350CC 3780 2506 800 3366
SILVER PLUS
EXPLORER
TVS XLS 100 100 100
TVS VMS 360 450 450
Z- 80 9350 8061 840 8901
SPIRIT 6280 5945 5945
KB - 125
KB - 4S/BOXER
SUNNY ZIP
HERO PUCH 6505 6620 6160
HERO SCOOTER 1320 1302 1302
HERO GIZMO 595 400 400
KEL PRIDE
KET SX 5725 6160 6160
LML TRENDY
YEZDI
VIJAY SUPER
DD CHETAK 6 6 6
HONDA 10 10 10
GIZMO - 4S 100 100

SAMPLE
TOTAL 47606 42504 1000 2396 46400
MKTG/RNS

PRODUCTION & DESPATCH STATUS MAY 2000

MODEL PRODUCTIO DESPATCH

N OE SPD WFS TOTAL
RAJDOOT 11940 9160 1490 1000 11650

36
RAJDOOT 1K1
YAMAHA RX-100 770 1530 1530
BULLET - 350CC 3208 2800 820 3620
BULLET 500CC 200 182 25 207
SILVER PLUS 700 500 500
EXPLORER
TVS XLS 100 100 100
TVS VMS 360 450 450
Z- 80 9680 8281 1560 9841 8901
SPIRIT 6350 6706 6706
KB - 125
KB - 4S/BOXER 200 200 200
SUNNY ZIP
HERO PUCH 9000 8290 500 8790
HERO SCOOTER 4217 3825 3825
HERO GIZMO 1550 1887 1887
KEL PRIDE 160 160
KET SX 4170 3142 3142
LML TRENDY
YEZDI
VIJAY SUPER
DD CHETAK 140
HONDA
GIZMO - 4S

SAMPLE
TOTAL 52125 45803 1490 4765 52058
MKTG/RNS

37
 REVISED BUSINESS PLAN

CUSTOMER PRODUCT BUDGET BUDGET BUDGET

QTY. QTY. QTY.
2000-01 2001-02 2002-03

EYML (FBD). Rajdoot 175 (OE) 70000 63000 56000

Rajdoot 175c 18000 18000 18000
(SPD)

EYML (S) Yamaha Rx-100 15000 18000 18000

BAL (A'BAD) Bajaj Spirit 58000 64000 70000

Bajaj - 4s 0 0 0

BAL (PUNE) Bajaj Z-80 (OE) 84000 60000 54000

Bajaj Bravo 0 20000 24000

EML (C) Bullet - 350cc- 4s 18000 19000 20000

Bullet - 500cc - 4s 1000 1000 1000
Explorer/S.Plus 0 0 0

MB & S (G) Hero Puch 63cc 66000 54000 50000

Hero Scooter 18000 12000 12000

MAL (L) Hero Gizmo/Pacer 24000 21000 19000

KEL (PUNE) Kinetic SX 57000 55000 50000

Kinetic Pride 0 0 0

KHML (PUNE) Kinetic Honda 36000 43000 50000

LML LML Trendy 12000 30000 11000

(KANPUR) LML Scooter X- 0 6000 12000
Press

KB & S Kirloskar B&S 0 21000 50000

206cc

38
W/SHOP (F) Rajdoot 175cc 16000 15000 16000
Bullet 350cc 11000 10000 11000
Z-80 (O) 26000 25000 26000
Vijay Super 500 500 500
Yezdi 500 500 500
Hero Puch 5000 5000 5000
100ccHero Honda 0 10000 15000
TVS Champs 0 4000 8000
Bajaj Chetak 30000 40000 50000
BajajKB-100/125 0 0 0
Explorer/S. Plus 4000 4000 4000
Yamaha RX-100 0 0 0
Total 570000 659000 700000

39
 PRICES OF THE VAROIUS MODEL CARBURETTORS

SIL PLS WEF 16.11.96 5.8.98

EXPLR. RS 320.00 335.00

(THRU
WFS)

SIL PLS WEF 4.3.1986 1.9.87 22.10.87 22.12.87 1.8.88 19.10.88 20.1.89 1.07.90 01.10.90 23.3.93 19.8.93 1.10.94

EXPLR RS 120.00 124.00 135.00 130.00 140.00 157.60 167.60 172.00 179.60 211.30 205.00 216.00

WFS 1.1.1995 1.9.95

RS 225.90 250.00

PRIDE WEF 1.7.1990 1.10.90 112.91 1.9.94 1.6.95 1.1.96 28.5.96 8.12.97 1.2.98

RS 175.10 182.00 195.00 207.00 214.50 227.00 232.00 240.00 245.00

KEL-SX WEF 30.11.98 10.9.99

RS 442.00 305.00

LMS WEF 15.7.98 18.2.98

RS. 264.00 257.00

TVS WEF 27.16.91 01.9.91 01.8.94 01.4.95 01.4.96

RS. 182.00 201.00 215.00 222.00 230.00

XMCL WEF 26.2.00

RS. 305.00

40
CYGNET/ WEF 30.7.1997 01.8.97 1.17.99 1.10.99 1.1.2000
SPIRIT RS 234.00 246.00 241.00 244.57 244.57

KB-100 WEF 30.1.1995 01.1.96

RS 385.00 425.00

HERO WEF 01.6.1988 01.1.89 01.8.89 01.7.90 01.10.90 1.10.91 1.10.92 1.9.93 1.6.94 1.9.94 1.12.94 1.4.96
PUCH RS 124.95 156.00 165.00 170.00 177.00 190.00 198.50 190.50 192.45 205.00 208.00 222.00

HERO(S) WEF 18.5.1995 1.4.99

RS 455.00 375.00

HERO WEF 1.7.1990 28.4.91 09.6.93 23.7.94 10.9.94 1.12.94 1.1.96 09.1.95 21.11.96 27.8.97 1.1.98
GIZMO RS 105.00 177.00 198.50 196.00 205.00 208.00 226.00 231.00 232.00 247.00 250.00

BULLET WEF 20.3.1985 09.09.87 31.10.87 02.4.88 26.10.88 1.6.89 17.9.92 1.10.92 17.4.94 1.10.94 1.1.95 1.9.95
350CC RS 231.00 250.00 240.00 244.00 258.00 273.00 310.00 330.00 317.00 334.00 348.00 383.00

WEF 01.4.1996 01.6.96 01.10.97 1.5.99

RS 393.00 401.00 423.00 430.00

BULLET WEF 28.8.1987 01.08.88 01.10.92 17.4.94 1.10.94 1.1.95 1.9.95 01.4.96 01.6.96 1.10.97
500CC RS 301.50 313.30 350.00 339.00 357.00 369.00 410.00 413.00 421.40 456.40

41
 MARKETING

The product manufactured by ESCORT Auto Components Ltd. is

Carburettors, Oil Pumps, Clutches, which is an Industrial product.

Industrial marketing is very much different from other consumer products

marketing. In Industrial Marketing the product is consumed by another

manufactures so the target is the other Automobile manufacturer.

Definition- When the marketing efforts are towards an industry or a

whole, rather than individual consumer like you and me is Industrial

Marketing.

For marketing of carburettors EACL practices two types of marketing

concepts: -

1. Original Equipment (OE) Marketing

2. Replacement Marketing

42
Concept of Original Equipment (OE) marketing (and how it is done)
Original Equipment marketing is done in a very different fashion as

compared to other marketing practices.

The OE marketing followed by EACL is done in a certain fashion. A high

level team, which consists of Plant head, Manufacturing department head

(automobile engineer) Marketing head and the Planning head is made.

This high level team firstly does its home work and sets accordingly its

target to approach on the basis of market Intelligence system. This high

level team approaches various prestigious two wheeler manufactured like

Hero Honda Bajaj etc. The team negotiates with the other company high

level officials about the product they want to manufacture referring to

particular model. There is now, negotiation goes on various topics like the

design, quality, material, accessories, spare parts. Etc.

After all the above points are finalised, outline of that project is prepared,

this goes to the costing department of the two companies. They evaluate

the cost of the product, quantity they want. On the basis of this the price

is negotiated between the two and is final format is prepared.

Now the planning is final and a deal between the two is fianlised

mentioning the above key issues. The automobile manufacturer releases

the design of the Carburettor to the company. These designs are analysed

in EACL by highly qualified engineers. The changes in the design are

done if required. EACL then manufactures a sample Carburettor

according to the design given this sample is dispatch to the automobile

43
company for test. The performance of the Carburettor is tested and is

passed by the company.

The performance and problem of the product is timely check by the

service department.

Concept of Replacement Market:

It is practically seen that Carburettor of vehicle has certain life

expectancy. Constant wear and tear of Carburettor occurs with usage of

vehicle. Therefore in order the maintain optimum level of fuel mileage

and efficient running conditions of the vehicle, it become essential to

replace worn out Carburettor. For purchasing new Carburettor the owner

of the vehicle go to authorised workshop of the dealer of vehicle where he

by genuine Carburettor or go to local workshop to get sub

standard/duplicate carburettor. So replacement market is a market which

consists of genuine Carburettor and substandard/duplicate Carburettor

produced by local manufacturer.

44
 MARKETING STRATEGY

PRODUCT

Under Replacement Marketing

Company manufacture carburettors of those vehicles, which has high

sales and also has a high population in the market. Higher the

sales/population more the number of users, more the number of

Carburettors, demanded by the user because of wear and tear of the

product.

At the same time company also wants to manufacturer Carburettor of

those vehicle models in which the competitors are lesser. (For e.g.

company manufactures Carburettors for Enfield motors in which only two

competitors are there).

Under OE Marketing
Products are manufactured according to the automobile manufacturers.

They give the design to the carburettor manufacturer and accordingly

product is manufactured.

45
PRODUCT LINE

Pressures Die Castines:

EACL is geared to deliver a wide rang of Die cast components to zero

draft angle, with the Back up of a precision tool room. EACL

manufactures a side range of components for the Rajdoot 175 cc, Yamaha

RX-100 and Yamaha 350 cc vehicles to catering to it own needs.

Clutch Assemblies:

Made with technical assistance from M/S Fuji of Japan, their high-

powered clutch assemblies are fitted in Rajdoot 175 cc and Yamaha 350

cc and Yamaha 350-cc range of motorcycles. Major components for the

Yamaha RX-100 are also manufactured at EACL.

Spokes and Nipples:

With technical know-how from M/S Hoshi of Japan, EACL is one of the

leading manufactures of swaged spokes and nipples. The Rajdoot 175 cc,

Yamaha 350 cc, and the Yamaha RX-100cc are equipped with spokes and

nipples frame EEAL.

Mangnetos:

The latest addition to the EEAL range of products is the high powered

flywheel Magneto, to be Manufactured under technical collaboration with

leading Japanese collaborators.

Carburettors:

46
'MIKCARB' fine Carburettors are manufactured with technical-how from

M/S Mikuni of Japan. Designed for law commission, these carburetor

ensure high efficiency and better fuel Economy in addition to festurs

such as law attrition, longer life and better pick up. The present range

includes carburetors for the Rajdoot 175 cc, Bullet 350 cc, Yezdi 250-cc

Vijay Super Bajaj Z-80, Kinetic Spark, Hero Puch, Silver plus, Explorer,

Yamaha RX-100 cc.

Product Profile:

There is no such thing as "suction" in engines. Don't suck air and fuel into

the cylinders, infect, Air and fuel flaw into an engine because the pressure

in the cylinders is lower than atmospheric Pressure. As a result,

atmospheric pressure forces the air/fuel mixture into the engine like a

giant Hand pushing on the corroborator. Our study is concerned here with

pressure differential. It's a Simple case of finding the path of latest

resistance. The carburetor intake stroke (caused by downward Motion of

piston) creates the flow. .

Function Of Carburettor:

Carburettor performance the following three function:

a) The function of Carburettor is to produce combustible air fuel mixture

by breaking fuel into tiny Particles in the form of vapour a process

known as atomisation.

b) It mixture by the fuel with air in a proper ratio and to deliver into the

engine.

47
c) To control the engine output by regulating the amount. An ideal

mixture burns without leaving any excess air or fuel and is the key

efficient engine performance. The ratio of fuel and air is called the

mixture ratio and is generally expressed by the weight proportion. The

erratically, the amount of air required for complete combustion of 1

gram of fuel under normal condition is 15 grams.

Mixture Ratio = 15 grams of air 1 grams of fuel

The ideal air-fuel ratio is 15:1 i.e. 15 grams of air for 1 grams of fuel.

The ratio however, varies from as 1:1 during cold starting to 8:1 during

idling and 14-16: I during cruising. For any Vehicle where fuel

consumption as lowest, which is normally 40-50 kms Per hour.

48
PRICE

Under Replacement Marketing

The price of the products is defined on the basis of competitors. Under

this concept the price for competitors is offering is considered. The

company always keeps the price slightly lower than, what competitors are

offering. A pre study is done in which all the costing part of the product

is done. Price is also text on the basis of BEP (Brake Even Point)

analysis, company always wants to keep higher profit margin, but also

considers the profit margin with which they can compansate with . Price

with also fixed up on the basis of decision of volume sales.

Under OE Marketing

Price factor is negotiated between the two companies. There is no pre

define format for asserting the price. The cost /accounts departments of

the both the companies negotiate on the price factors. The collective

bargaining between the two takes place. They also consider the volume of

quantity the company wants.

49
 PRICE MOVEMENT - MIKCARB CARBURETTORS
RAJDOOT WEF 01.4.1986 01.4.87 1.10.87 1.1.88 1.5.88 1.8.88 01.6.89 9.4.90 01.7.90 1.10.90 1.1.91 16.9.91
RS 202.00 202.99 209.99 215.99 227.54 234.97 242.63 246.48 251.33 256.63 265.10 280.30
WEF 1.6.92 1.11.92 1.4.94 3.10.94 1.1.95 2.4.96 1.7.96 1.2.2000
RS 292.00 296.20 286.20 297.95 319.00 329.00 334.00 350.00
RAJ(SP.D) WEF 31.3.98 1.2.2000
RS 431.00 438.00
RX-100 WEF 24.9.91 1.4.93 1.6.95 5.4.96 1.7.96
RS` 336.00 667.00 660.00 670.00 680.00
RX-100 WEF 1.4.98
(SP.D) RS 782.00
M-80 WEF 22.1.98 1.7.88 1.8.88 1.10.88 1.4.89 1.4.90 1.7.90 2.11.91 1.9.94 1.4.95 1.5.96 1.8.97
RS 128.00 135.00 140.00 160.00 165.00 170.00 182.00 195.00 207.00 2.13.00 225.00 240.00
WEF 1.7.99 1.10.99 1.1.2000
RS 225.00 226.16 228.48
M-80 WEF 24.11.97
(SP.D) RS 256.80
KB-4S WEF 30.1.95 26.5.96
RS 425.00 470.00
S.ZIP WEF 22.4.96 1.8.97
RS 234.00 246.00
Explorer WEF 11.2.96 1.8.97
RS 207.00 240.00

50
 Price List
MIKCARB CARBURETTOR
WITH EFFECT FROM 15.04.99
S.No. Model Transfer Dealers Nett Ass. Value BED 16%
Price
1 Rajdoot 421.00 575.00 495.69 79.31
2 Bullet 421.00 580.00 500.00 80.00
3 Yezdi 390.00 570.00 491.38 78.62
4 Vijai Super 390.00 570.00 491.38 78.62
5 Silver Plus 260.00 365.00 314.66 50.34
6 Explorer 260.00 365.00 314.66 50.34
7 Baja M-80 260.00 338.00 291.38 46.62
8 Hero Puch 260.00 331.00 285.34 45.66
9 TVS Astra 260.00 345.00 297.41 47.59
10 Scooty 260.00 345.00 297.41 47.59
11 RX - 100 755.00 1050.00 905.17 144.83
12 KB - 100 523.00 690.00 594.83 95.17
13 Bullet - 515.00 690.00 594.83 95.17
500
14 Sunny Zip 260.00 345.00 297.41 47.59
15 H. Scooter 415.00 570.00 491.38 78.62
16 K. Pride 260.00 345.00 297.41 47.59
17 H. Gizmo 260.00 345.00 297.41 47.59
18 KB-125 523.00 690.00 594.83 95.17
19 KB-4S 563.00 810.00 698.28 111.72
20 Bajaj 210.00 275.00 237.07 37.93
Chetak

We will give a discount of 5% on Dealers Network of Rs. 275.00

51
 MARKET SEGMENTATION AND
DISTRIBUTION
CHANNEL
EEAL'S marketing division concentrates on following activities:

1. Supply to original equipment manufacturer (OEM)

2. Supply to replacement market.

a) Supply to welfare shop (major dealer).

b) Supply to spare part division.

SUPPLY TO ORIGINAL EQUIPMENT MANUFACTURER (OEM's)

The automobile industry depend to large extend on the ancillary industries for

the supply of numerous parts and components needed for assembly of vehicle,

therefore EEAL'S major emphasis is laid on one of its product line consisting of

carburettors manufacturing. The company makes Carburettor for its own group

and other Bi-Wheelers manufacturers as per their specifications and design

requirement. For example Carburettor is manufactured for Bajaj Auto Ltd.

Enfield India Ltd. Majestic Auto Ltd., EYML, etc.

SUPPLY TO REPLACEMENT MARKET

EEAL also supply Carburetor and no of components and spare parts for the

replacement of worn out Carburetors or parts to keep vehicle roadworthy.

DISTRIBUTION CHANNEL :

52
For the distribution and selling of Carburettor and its spare parts. There is a

wide networking of dealers spreaded all over the country. There are 65 dealers

in all over the country.

53
PROMOTION

Under OE Marketing
Company takes up promotion into ways.

1. Company to company promotion

2. National and International exhibition

Company to company promotion: In the first method companies higher

officials market the product. The higher officials (including plant head,

marketing head and manufacturing head) approaches the various companies and

demonstrate them their products and what all they can manufacture according to

their requirements. At the same time these officials convenience them about the

quality and price of the products and assure them for quality of service.

A special Service Cell is there in the company to look after the product, which

is been used, in the automobile company. They duly check the performance of

the product and check if any problem arises.

National and International exhibitions: company promote their products in

the exhibitions held in India and abroad. Recently company had participated in

and exhibition held in China named GUANGHZO which was on auto

component products this was held in November last year. Participation in this

exhibition was done to cater international customers. Company has also

recently received an order from a Japanese automobile company.

Under Replacement Marketing

54
The product is promoted by the joint effort put in by the company and their

dealers.

By the company
Company has presently taken up a promotion camp in Patiala (Punjab,India).

Where they launched the Bajaj Scooter carburettor. Patiala was chosen as the

region of launch because of the simple fact that there is the largest population

of Bajaj Scooter. So larger the number of Bajaj Scooter large the number of

repair/ maintenance required. In this camp company organised the workshop

camp for mechanic were the entire major mechanic invited and the product was

demonstrated to them. A trial test was also given on Bajaj Scooter to show them

the actual performance of the product.

Free sample was given to all the mechanics to get satisfaction in terms of

quality of the product.

As major dealer of the company Welfare Shop in Faridabad is taking up various

promotional camps to promote the product.

Company gives extra benefit to the dealer to markets this product like.

Company was offering dealers a Target based commission on every sale of 30

Carburettors Company was giving 2 Carburettor free.

All the years company introduces one are the other promotional schemes for

dealers like discounts pricing These are given on the basis market conditions

(sales).

55
 MARKET SURVEY

Market survey is very important to decide method to estimate the demand of

'MIKCARB' Carburettor in the replacement market. Market survey is very

necessary to have practical approach to get more practical results. For my

project I did market survey with specific questionnaire and personal meetings

with mechanics and supervisors and workshops of authorised dealer of Bi-

wheller manufacturing company to who 'MIKCARB' is supplied.

For market I took size 0.5

METHODOLOGY OF DEMANDS ESTIMATION

On the basic of market survey and data of Bi-wheeler sales from ACMA report

(Automobile components manufacturer association of India) the methodology

for demand.

Estimation of MIKCARB Carburettor in replacement market is explained

further. First there are some assumptions which I have considered.

ASSUMPTIONS:

1. I have considers the age of Carburettor 10 years and after 10 year it is

replaced.

56
2. I have assumed that only 25% owner of the vehicle go to the authorised

dealer where they get original MIKCARB carburettor at the time of

replacement.

3. I have assumed that age of a vehicle is not more than 20 year so replacement

of a carburettor is done at one time only.

57
ESTIMATION OF DEMAND

To estimate the demand of the "MIKCARB" for the further i.e. for 2001, 2002,

2003,2004, we will consider the sales data for the year 1991, 19921993,1994

respectively of the bi-wheeler in which MIKCARB is used originally because

carburettor of these vehicles will be replaced after 10 years.

Before going any further we will keep in mind following points:

1. 50% vehicle of the Hero Puch and Bajaj Z-80 are fitted with MIKCARB

carburettor and 50% are fitted with SPACCO carburettor.

2. There are 18 bi-wheelers in which MIKCARB carburettor is used but we

will consider only those whose sales were considerably good in 1991, 1992,

1993, 1994, and mostly which are still popular in the market.

Therefore estimation of demand of MIKCARB carburettor we will consider

following models:

a) Rajdoot 175 CC

b) Yamaha RX 100 CC

c) Bajaj KB 100 CC

d) Enfield Bullet 350 CC

e) Explorer 50 CC

f) Bajaj M 80

HENCE THE FORMULA:

58
Estimation demand of MIKCARB carburettor for 2001 in replacement market

= 25% OF SALE OF Rajdoot motorcycle 1991

+ 25% of sale of Yamaha RX 100 CC in 1991

+ 25% of sale of KB 100 CC in 1991

+ 25% of sale of Bullet 350 CC in 1991

+ 25% of sale of explorer in 1991

+ 50% of (25% of sale of Bajaj M80 in 1991)

+ 50%of (25% of sale of Hero Puch in 1991)

Similarly we can estimate demand for 2002, 2003, and 2004.

FINDINGS

Findings of markets survey are as follows:

1. The main problems, that are concerned with MIKCARB Carburettor are

overflow, access of air which result is low average over-race and starting

problems. It is seen that overflow problems is very frequent.

2. Since Carburettor performance is very good and age is very high so rate of

replacement per year is very low.

3. Average rate of MIKCARB Carburettor is 10 years.

59
4. 50% of vehicle Z-80 and Hero Puch are fitted with MIKCARB and 50% of

fitted with SPACCO. It is generally observed that MIKCARB is slightly

better than SPACCO.

5. It is also important to note that awareness about Carburettor and its function

is very low about 5%.

6. Due to lack of awareness most of the customer 40-50 go to the local

workshop where they get duplicate/substandard. Carburettor generally at the

time of replacement around 25-30% go to authorized dealer where they get

genuine Carburettor and also good number of people run their vehicle .

60
7. LIMITATIONS

- I could not get the exact Sales figure, projections and the data depend upon

the conditions prevailing today and last year. It may change with the effect of

various market forces, which are not consistent.

-The report does not suffer with personnel biases. But despite of high amount of

procurement of data and information their can be incorrect deduction and

recommendations.

-A market research on a large scale has not been possible due to limitations of

resources and constraint of time. A true picture could have emerged indicating

future trends in this sector.

-The profile of Mr. Nikhil Nanda director of this company is not mentioned.

-Industrial marketing is very different from other marketing concepts. As far as

possible is handled carefully, but some of the other points may not be covered

because there are 101 factors which effects industrial demands.

CONCLUSION & SUGGESTION

Escort Employees Ancillaries Ltd. (EEAL) was recently in August last year was

renamed as Escort Auto Component Ltd. (EACL).

EACL is one of those companies, which are operating from lost 3decades.

Earlier EACL was raised by Escort Ltd. (EL) for the season that EL had its

business in two-wheelers industry also. To reduce the cost of the bikes and to

61
cater larger market, this major auto component “Carburettor” was manufactured

indigenously. Which is manufacture by Escort Auto Component.

Escort Auto Component Ltd. had a major Customer Yamaha Motors Escort Ltd.

(which now totally taken/over by Yamaha). Today EACL had lost its customer,

and with the due fact the company is facing losses.

Today Company has realized the competition in the market. They had to market

their products to other Auto Manufacturer other their Escorts Yamaha. apart

from being a big supplier to two –Wheeler Company has ventured into Direct

Marketing for Replacement Market (Replacement Marketing). With this concept

of marketing EACL has made on attempt to cell carburetors for those vehicle,

which have higher population. Higher the number of population of vehicles

higher the much be will be for were and tear so needed for Carburetor

replacement”. Company’s higher official say/s

EACL has also recorded a highest sales figure since its stepping into this field,

for 80488 (2000-2001) Carburetors against 65959 and 5671.6 for 99-2000 and

98-99 respectively. In replacement Market Company has a cutthroat

competition with other brands like Spacco and Ukal.

In other words company is showing a good performance in the field of

Replacement Marketing.

EACL, which is manufacturing industrial product Carburettors, which is for

two-wheeler industry. Company had a ever growing sales figure for 2000-01

478234 carburettors were sold and for 1999-2000 444369 carburetors was sold.

62
Which shows that they have been aggressively taking up this field. EACL has

always believed in customer satisfaction. Company has garbed strong customers

like Hero Honda, Enfield, TVS Suzuki and Bajaj in OE Marketing. EACL

manufacturer product up to their satisfaction levels with most advanced quality

to give best performance. Bajaj Auto, which is one of the most, satisfied one

the oldest customer of EACL.

The performance of a two –wheeler depends on its carburetor, Bajaj Scooters is

the leader in market we can say that, indirectly the carburetor manufactured by

EACL which is fitted in Bajaj Scooters is also showing good performance.

63
1. BIBLIOGRAPHY

Magazines

 Business world

 Fortune

 Escort Company Journals

Newspapers

 Economic Times

Libraries

 CII

Websites

 Www.Indiainfoline.com

 Www.escortsgroup.com.

64