Bajaj Auto Ltd.: Overtaken in the Indian Scooter Market
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Abstract:
Bajaj Auto Limited (BAL) is one of the leading players in the Indian two-wheeler
market, the second largest two-wheeler market in the world.
The case traces the company's rise to dominance in the scooter segment of the
market, and its eventual fall, against a backdrop of changes in customer tastes
and preferences.
It describes the reasons for the shift in demand and discusses the initiatives
that the company undertook to regain lost ground. The case also discusses the
competition in the Indian scooter market, and ends with a brief discussion on
recent developments in the two-wheeler market.
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Issues:
» Examine the evolution of an industry -- specifically, the Indian two-wheeler
industry -- over time, and the challenges faced by the dominant players with the
industry being liberalized and opened up to competition.
» Appreciate the impact of the economic, social, and cultural changes on the
fortunes of an industry.
» Analyze the strategies adopted by a company to stay relevant in a changing
environment.
» Understand the importance of keeping track of changing customer changing needs
and preferences and adopting a customer-oriented product strategy.
» Gain insights into competition in the Indian two-wheeler market.
Contents:
Keywords:
Bajaj Auto, Bajaj scooters, Indian scooter market, Trends in
the scooter market, Coping with changing trends, Demand shifts, Changing tastes
Bajaj Auto Ltd.: Overtaken in the Indian Scooter Market
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