Academic Year: 2021-22

Industrial Visit Report

Course: - B.Com (Honours)

Class: - II-Year, Section ‘B’

Topic: - Automobile Dealer- Two Wheeler

Group no: -3B

Submitted To: - CA. Niranjan Lahoti Submitted By: -

Designation: - Course Coordinator Mehak Jain

Naveen Dawani

Niket Markam

Nisha Nayak
 Declaration

We undersigned Mehak Jain, Naveen Dawani, Niket Markam, Nisha Nayak

students of B.Com (Honours) II- Year declare that we have done the project on
our assigned topic “ Automobile- Dealer Two- Wheeler” and has been personally
done by all of us under the guidance of our course coordinator CA. Niranjan
Lahoti Sir during the academic year 2021-22. All the data represented in this
project is true and correct to the best of our knowledge and belief.

We also declare that this project report is our own preparation and not copied
from anywhere else.

Date: -                                             

Signature: -

1. Mehak Jain                                     

2. Naveen Dawani                                          

3. Niket Markam                                             

4. Nisha Nayak                                                  

 Acknowledgment
We all take this opportunity to express our deep sense of gratitude, thanks and
regards towards all of those who have directly or indirectly helped us in the
successful completion of this project.

We present our sincere thanks to Mr.                                 (Branch Manager,

) who allowed us for our industrial visit at their branch

We also would like to thank Vespa Showroom staff for their wonderful support
and inspirable guiding.

We all would like to thank CA. Niranjan Lahoti Sir who has sincerely supported us
with the valuable insights into the completion of this project.

We all are grateful to our faculty members of our institution and my friends who
have helped us in the successful completion of this project.

Last but not the least we all are indebted to our parents who provided us their
time, support and inspiration needed to prepare this report.

Date: -                                             

Signature:-

1. Mehak Jain                                          

2. Naveen Dawani                                                                     

3. Niket Markam                                        

4. Nisha Nayak                                       
 Certificate

This is to certify that Mehak Jain, Naveen Dawani, Niket Markam, Nisha Nayak
the students of Prestige institute of Management and Research UG Campus,
Indore have recently performed the industrial visit on the assigned topic and
successfully created this report accordingly under the guidance of CA. Niranjan
Lahoti Sir.

Date: -                                            

Internal Examiner Signature External Examiner Signature

                                                                                                                  
Table Of Contents
 Introduction of Industry
 In 2020, India was the fifth-largest auto market, with ~3.49 million
units combined sold in the passenger and commercial vehicles
categories. It was the seventh-largest manufacturer of commercial
vehicles in 2019.

 The two wheelers segment dominate the market in terms of volume

owing to a growing middle class and a young population. Moreover,
the growing interest of the companies in exploring the rural markets
further aided the growth of the sector

 India is also a prominent auto exporter and has strong export growth
expectations for the near future. In addition, several initiatives by the
Government of India and major automobile players in the Indian
market is expected to make India a leader in the two-wheeler and
four-wheeler market in the world by 2020.

 Two wheelers and passenger vehicles dominate the domestic Indian

auto market. Passenger car sales are dominated by small and mid-
sized cars. Two wheelers and passenger cars accounted for 80.8%
and 12.9% market share, respectively, accounting for a combined
sale of over 20.1 million vehicles in FY20.
 In July-September 2021 quarter, the luxury car market registered
sales of 8,500 units
 Snapshot
Company Background industry Finance- Automobile Sector

Company sub-Category Non-govt Company

Date of Incorporation 13 December 2019

Headquarters Pontedera, Tuscany Italy

Parent Piaggio & co . spA

CEO of Vespa(Piaggio) Roberto Colannino

Roberto Colannino

CEO of Piaggio
Vespa - Marketing Strategy in a Nutshell

The marketing strategy of the Vespa scooters is a little different and significant
than the other ones. The marketing strategy includes some valuable points like:

1. Focusing and investing in Youths: It is pretty clear about the sales that
youths get interested in the Vespa scooters without any fuss. They want to stand
out from the public. They want to be significant and different from the others.
Hence, Vespa tries to focus more on what the youth is trying to get. Hopefully,
they also represent their designs and advertisements fascinating to the youths.

2. Maintaining the stability of the engine: A Vespa scooter, having a 124cc

engine, is no less than a 124cc bike and provides an amazing pick up speed. The
power of the engine is also great. It has a maximum power of 10bhp at 8250 pm.
These all make the Vespa scooters the undisputed king of the scooter market with
powerful engine stability.

3. Premium Pricing: The Vespa scooters have set a proper and premium
lifestyle of their scooters to reflect the exclusiveness of the product. It is also to
get their audience to enjoy the ride at an affordable price.

With the company’s market placement and functioning of the products, the
target audience also varies. Vespa focuses more on the younger generation i.e.,
people of 18-35 years old. The customers behave too loyal to the company. They
provide great word of mouth to increase the market value of the company within
society.

On the other way around, the company focuses on the people, who never mind
spending a little more, but enjoy having a great ride with their loved ones. These
people often try to make their face value great. They do so by having a higher face
value scooter beside them. It is why the company focuses on them. Before this
strategy, the company never really focused on the youth this way. But after
the launching of new age scooter Vespa in India, they knew this is the best way to
grow.

However, how much they focus on these elite clubbed youths, but the area of
focusing remains stagnant and low due to obvious reasons. Nonetheless, they try
to get what these prior customers need. They also provide these specific and
beneficiary changes with time.

With high-performing engines and a unified structural unit, the mechanism of the
fancy scooters also satisfies a lot along with the design. Evolving from the old age
generation of scooters, Vespa took a little while before manufacturing some new
age fascinating scooters also. And, once it came into the run, it took the market
with fire
 Vespa - SWOT Analysis

Every company has some strengths, weaknesses, opportunities, and threats for
their company. Hence, here discussing the SWOT analysis of Vespa:-

The strengths of the company include:

It has strong distribution network and holds high brand equity.

It holds the topmost position in the European market and upholds a strong
technologically advanced process.

The weakness of the company includes:-

Although it has a worldwide market, it still depends on the Indian and other Asian
Pacific markets for its success.

It needs the young generation to take hype with this. They are mainly the
targeted audience of the company.

The most possible opportunities for the company are:

As the company has a huge market base, it also creates an opportunity to develop
a potential market and a better economy.

With its fascinating design, it has created a rise in demand for the two-wheelers.

Vespa - Brand Positioning

It becomes too important to create a significant image of the company in this
cutthroat competitive market. To get a proper image, it needs to create
differentiated products apart from the competitors. It also needs to sell them to
reach the audience. The competitors of the Vespa scooter brand include
Hero, Honda, Suzuki, Alpha, and so on. It is also to keep in mind that these
competitors also have a great face value in the market.
However, this market and the face value of the Vespa scooters can be under
maintenance if they still make these beautiful and sustaining products with time.
This brand positioning of the Vespa attracts many people and those customers
who want a premium brand of the scooter with high pricing quality.