EXECUTIVE SUMMARY

Hero Honda ltd is the world largest manufacturer of two wheeler based in India. It is a joint venture of Hero and Honda group of Japan. Hero Honda with a mission established low cost High efficiency bikes in India. As most of its model are major success in India especially splendor. As a survey reports tell that one splendor bike sells for each 30 seconds in India they conquered the market in India .They are the leaders because of their excellent human resource and high level technology. As they have a very good innovative R&D support from Honda motors Japan they introduced the first fuel efficient bikes in India. As they concentrate on the 4 Ps in a big way such as product they produced the high performance, low fuel consumption cost effective bikes. They used to price their model with considering the middle class population of India. Where they have a big market. Then next we see about place as they have more than 10,000 dealers all over India to reach each and every corner of India with this they became a pan India organization. Last one is promotion as Hero Honda started its promotion targeting the segment of 18 years & above with a monthly income of Rs.10 ,000 . After that they concentrated on emotional quotient such as Desh ki Dhadkan and Dhak Dhak go. There major strength is brand power. The people have faith in Hero Honda and it products. This will give them a sustainable growth and market lead I future. Weakness of HH is its little bit lagging in introducing new technology compared to their competitors. Opportunities in India, there is growth in automobile sector. Threat is Honda is separating from Hero Honda and they have a huge competition from other players such as Bajaj, TVS and Honda.

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INTRODUCTION OF HERO HONDA

HISTORY
Hero is the brand started by the Munjal brothers in the year 1956 with the flagship company Hero Cycles. The company is a joint venture between India's Hero Group and Honda Motor Company, Japan that began in 1984. During the 80s, Hero Honda became the first company in India to prove that it was possible to drive a vehicle without polluting the roads. The company introduced new generation motorcycles that set industry benchmarks for fuel thrift and low emission. A legendary 'Fill it - Shut it - Forget it' campaign captured the imagination of commuters across India, and Hero Honda sold millions of bikes purely on the commitment of increased mileage. In 2001, the company achieved the coveted position of being the largest two-wheeler manufacturing company in India and the World No.1 two-wheeler company in terms of unit volume sales in a calendar year by a single company. Hero Honda has retained that coveted position till date. Today, every second motorcycle sold in the country is a Hero Honda bike. Every 30 seconds, someone in India buys Hero Honda's top-selling motorcycle Splendor.

MISSION
Hero Hondas mission is to strive for synergy between technology, systems and human resources, to produce products and services that meet the quality, performance and price aspirations of its customers. At the same time maintain the highest standards of ethics and social responsibilities.

MANDATE
Hero Honda is a world leader because of its excellent manpower, proven management, extensive dealer network, efficient supply chain and world-class products with cutting edge technology from Honda Motor Company, Japan. The teamwork and commitment are manifested in the highest level of customer satisfaction, and this goes a long way towards reinforcing its leadership status.
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BRAND
The Company has been continuously investing in brand building utilizing not only the new product launch and new campaign launch opportunities but also through innovative marketing initiatives revolving around cricket, entertainment and ground- level activation

KEY POLICIES
An environmentally and socially, aware company "We must do something for the community from whose land we generate our wealth." A famous quote from our Worthy Chairman Mr.Brijmohan Lall Munjal. ENVIRONMENTAL POLICY

Hero Honda are committed to demonstrate excellence in their environmental performance on a continual basis, as an intrinsic element of their corporate philosophy.

QUALITY POLICY

Excellence in quality is the core value of Hero Honda's philosophy.

SAFETY POLICY

Hero Honda is committed to safety and health of its employees and other persons who may be affected by its operations.

KEY PLAYER IN THE MARKET

All the manufacturers in the automobile industry can be broadly classified into the following categories: Major players are: Hero Honda Motors Ltd. Bajaj Auto Ltd. TVS Motor Company
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 Honda Motorcycle & Scooter India Ltd. Minor players are: Suzuki Motorcycles India Ltd Yamaha Royal Enfield (Niche Segment) New Entrants Mahindra & Mahindra (Acquired Kinetic Motor Co. Ltd. in 2008)

Mahabharat Motors ( started producing TVS branded 2-wheelers in Apr.09)

Market share of tw o w heeler automobile sector

Hero Honda

35.60%

27.50%

Bajaj M otors T VS M otors Yam aha M otors Honda M otors Others

9.50% 4%
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16% 7%

FACT & FIGURES

Hero Honda ltd posted a 16.5% drop in quarterly profit, its fourth consecutive quarterly fall, as rise in input cost outweighed robust sales.

The two-wheeler maker reported net profit of 598.81 crore a year earlier. The net sales climbed 30.8% to RS 5,390,93 crore during the quarter compared with net sales of Rs 4,122,32 crore in the same quarter of the previous year.

The company sold 1.45 million units during the quarter.

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SWOT ANALYSIS
# Strengths Ability to understand customers needs and wants Recognized and established brand name
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 Effective advertising capability # Weaknesses R&D is not close to the Hero manufacturing plant Hero is separating from Honda so the technical support is less Import >31 % of its spare part requirement. # Opportunities Global expansion into the Caribbean and Central America Expansion of target market (include women) Become Indias leader in the scooter market # Threats Honda Motorcycles and Scooters India can take away market share and cause joint venture to go sour Bajaj Motors is a strong competitor

STP(SEGMENTATION, TARGETING & POSITIONING) ANALYSIS

SEGMENTATION
DEMOGRAPHIC Income Age Occupation GEOGRAPHIC SEGMENTATION The potential customers are basically from every regions of India. PSYCHOLOGICAL SEGMENTATION People purchasing bikes are very stylish, brand conscious. BEHAVIORIAL SEGMENTATION SEGMENTATION

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 This done considering user status, benefit wise.

TARGETING
The proposed targeting people in the age group of 18 years and above with a monthly income of Rs. 10,000 and above, who are adventurous, enthusiasts and socializing and who are either students or retired individuals or may be employed as professionals, government servants or having their own business, but mostly male.

POSITIONING
The image that Hero Honda creates in the mind of t The advertisement shown by it says of the Indian family. It represents the Indian culture and society. he customers is the faith. Desh ki Dhadkan . That means its a member

4PS

OF

MARKETING

OF HERO HONDA

Product
Hero Honda's product range includes variety of motorcycles that have set the industry standards across all the market segments. The company also started manufacturing scooter in 2006. Hero Honda offers large no. of products and caters to wide variety of requirements across all the segments.

PRICE
Pricing is an important component of marketing mix of firm. Determining the prices of different products of a firm is a very difficult task of the marketing manager. Price factor has very well been touched by the manufactures. The pricing strategies adopted by Hero Honda Ltd .

They price their product according to the cost of production and also by keeping an eye on the price of the competitors of that segment & demand of the product in the market. The management of a firm decide to fix the price at the competitive level.
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PLACE
Includes various activities the company undertakes to make the product accessible and available to a large number of target customers.

There are more than 10,000 dealers

through out the country.

The company distributes its products through authorized dealers.

PROMOTION
Advertisement, local events sponsorship and promotions and inviting a prominent personality for the inaugural or first like delivery function would contribute effectively in generating a wider local interest and attention. The company has 100crore rupees for its promotional activities out of which 75% is sponsored by the company and 25% from the dealers.

These are some of the Slogan for every product (Bike) and these are following:CD-100 CD100SS Splendor Street Smart Passion CBZ Hero Honda : : : : : factory. : : Motorcycling Unplugged. Leading the way. Fill it, shut it, Forget it. Tough and Rugged. Designed to Excel. License to enjoy. When style matters, Bike born in studio not in

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CORPORATE SOCIAL RESPONSIBILITY (CSR)

An Integrated Rural Development Centre has been set up on 40 acres of land along the Delhi-Jaipur Highway. The Centre-complete with wide approach roads, clean water, and education facilities for both adults and children-now nurtures a vibrant, educated and healthy community.

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The Foundation has adopted various villages located within vicinity of the Hero Honda factory at Dharuhera for integrated rural development. Other key projects taken up by the Foundation include:

Raman Munjal Vidya Mandir Raman Munjal Memorial Hospital Raman Munjal Sports Complex

Vocational Training Centre Adult Literacy Mission Marriages of underprivileged girls Rural Health Care

CONCLUSION After the study we found Hero Honda is the Leading the two wheeler segment in India .As with clear prospects of the various factors they are the toppers in there segment. They have a strong brand image in the mind of Indian consumers. With their vision they will show the same performance in term of growth in next few decades.

REFERENCES

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MAGAZINES, JOURNALS AND NEWSPAPERS: JOURNALS PUBLISHED BY HERO HONDA, ANNUAL REPORT AUTO INDIA, BUSINESS WORLD

INTERNET: www.herohonda.com www.wikipedia.org

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