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In Scooter Segment and Nostalgic Comeback of Bajaj With Journal of Management Engineering and Information Technology (JMEIT) Volume 6 Issue 6, Dec 2019, Online ISSN: 2394 - 8124 Impact Factor: SJIF - 6.265 (2016) | 4.564 (2015) Website: www.jmeit.com | E-mail: [email protected] | [email protected] An Empirical Study of “Golden Era” in Scooter Segment and Nostalgic Comeback of Bajaj with Electrifying Flavor “Chetak” in Two Wheeler Electric Vehicle Segment with Special Reference to Customer Preferences Pawan Kalyani [email protected] Abstract: “Golden Era” of scooter in India was with the The golden era of scooter which was led by Bajaj in India is Bajaj and gone with the Bajaj when Bajaj stopped over due to change in customer demand, now at the year end making the largest selling and most popular scooter in of 2019 the new era of electrical vehicles in the two wheeler India. The phase of “Hamara Bajaj” was gone and taken segment is going to raise and Bajaj is back in the business over by the powerful and mighty bikes like pulsar and of scooter with its electrical flavor and with old brand other brands. Bajaj is making its comeback in the scooter name of “Chetak” that was premium bestselling product at segment with the brand name of “Chetak” in electrical that time this research paper is an effort to find out the vehicle segment. customer preferences about the new product from Bajaj will this met up to the expectation of the customer and mark its This paper is an effort to find out the vires and reviews presence in the market and will it bring back the good olden of the market and customers about two wheeler electrical days of glory and market leadership of Bajaj in new year vehicle segment and with special reference to the Bajaj 2020. “Chetak” old well-known brand of Bajaj in electrical flavor up to what extent it will be have the success in This time there is a full support from government to push the capturing the market and what are general mindset of electrical vehicles in the market by providing incentives and the customers about the electrical vehicle subsidies to the customer who shish to purchase the electrical two wheeler not only incentives but also the Keywords: “Golden Era” in Scooter Segment, Nostalgic support in the infrastructure for charging the electrical Comeback of Bajaj with Electrifying Flavor “Chetak”, vehicles. Bajaj is going to market the new “Chetak” from its Two Wheeler Electric Vehicle Segment, Customer KTM bike stores to push as premium product in the market Predilections, FAME-I, FAME – II, in India, II. BAJAJ ERA I. INTRODUCTION The scooter was still the go-to vehicle for most families in the country, even though getting one was no easy task. There was inevitably a long waiting list, and sometimes people had to wait for years to get a scooter – getting your two-wheeler was a major cause for celebration. The leading brand in the scooter market at that time was Bajaj. There were other brands too, but Bajaj was notable in being not just the most popular in terms of sheer volumes but perhaps the only “truly” Indian brand out there – the others had collaborations with the likes of Vespa and Lambretta (even Honda had taken baby steps into the scooter segment with a tie-up with Kinetic). 1 All rights reserved © www.jmeit.com Journal of Management Engineering and Information Technology (JMEIT) Volume 6 Issue 6, Dec 2019, Online ISSN: 2394 - 8124 Impact Factor: SJIF - 6.265 (2016) | 4.564 (2015) Website: www.jmeit.com | E-mail: [email protected] | [email protected] All rights reserved © www.jmeit.com 2 Journal of Management Engineering and Information Technology (JMEIT) Volume 6 Issue 6, Dec 2019, Online ISSN: 2394 - 8124 Impact Factor: SJIF - 6.265 (2016) | 4.564 (2015) Website: www.jmeit.com | E-mail: [email protected] | [email protected] All rights reserved © www.jmeit.com 3 Journal of Management Engineering and Information Technology (JMEIT) Volume 6 Issue 6, Dec 2019, Online ISSN: 2394 - 8124 Impact Factor: SJIF - 6.265 (2016) | 4.564 (2015) Website: www.jmeit.com | E-mail: [email protected] | [email protected] 1995-98 was a golden period for India's scooter market. In 1998, scooters contributed 75 percent of the two-wheeler industry's annual volumes. Bajaj Auto enjoyed a market share of close to 60 percent. The gradual decline of the scooter market began around that time. With the liberalization in 1991 began the emergence of modern design/technology in one gearless scooter but mainly in motorcycles from a few Japanese OEMs. A rise in petrol price and the growing acceptance of motorcycles in rural areas also led the demand for bikes. Along with that changed Bajaj Auto's business strategy, leading to the birth of its first independently developed motorcycle, Pulsar. Its motorcycle had already started through a partnership with Japanese major Kawasaki, which continued till recently. From 1965 till 2005, and it was during his leadership that the OEM introduced the Chetak scooter in 1972. The Chetak was derived from the Sprint model by Vespa, with which Bajaj Auto had a technical alliance. The Chetak was phased out 33 years later. [1] III. COMPETITORS OF BAJAJ In 1948 when Bajaj Auto started importing and selling Vespa Scooters in India. Then start manufacturing the own brand later. There were many collaboration with foreign companies to manufacture and sell the two wheeler automobile in India. Indian automobile manufacturers are serving people in collaboration with foreign partners the demand was high and the supply was slow the customers have to book he two wheeler and wait for a certain period of time to get the two wheeler. It was a kind of luxury of getting a scooter in a family. Customers are having options other than Bajaj Scooter like Lambretta, Vijai, Vespa etc., but still the condition of demand and supply was not satisfied. The competition of Bajaj scooter was not with scooter brand but with mopeds and bikes too. Fig. 1 Images Showing Glorious days of Bajaj Scooter in India All rights reserved © www.jmeit.com 4 Journal of Management Engineering and Information Technology (JMEIT) Volume 6 Issue 6, Dec 2019, Online ISSN: 2394 - 8124 Impact Factor: SJIF - 6.265 (2016) | 4.564 (2015) Website: www.jmeit.com | E-mail: [email protected] | [email protected] Fig. 2 Images Showing Competitors of Bajaj Scooter in India All rights reserved © www.jmeit.com 5 Journal of Management Engineering and Information Technology (JMEIT) Volume 6 Issue 6, Dec 2019, Online ISSN: 2394 - 8124 Impact Factor: SJIF - 6.265 (2016) | 4.564 (2015) Website: www.jmeit.com | E-mail: [email protected] | [email protected] Table. 1- Showing time period, Indian Automobile Manufacturer, In that scenario, the motor bike manufacturer like Foreign collaborator and brand of the Scooter, Moped/ Motorbike Honda, TVS, Bajaj, Yamaha, Enfield, Suzuki, in India Kawasaki etc. are also in the market and gradually making their way in two wheeler segment in India. IV. BAJAJ MOVED TO BIKE SEGMENT Source: CMIE, the Evolution and Structure of the Two-wheeler Industry in India, 2000, https://www.cmie.com From the above table, from 1955 to 1999 in two wheeler automobile sector the major stake holder was scooter as it was used as family vehicle other two wheeler like mopeds and bikes was not so popular but making their place in the market slowly specially motor bikes, for their eye catching design and millage better than other products available in the market. From the data give above, on filtering out the scooter data only then we can find the Indian manufacturer and the foreign collaborator with the product manufactured – · In 1955 - 69, Automobile Products of India [API] with Innocenti Ltd., Italy for - Lambretta. · In 1955 - 69, Bajaj Auto Ltd. with Piaggio Ltd., Italy – Vespa. · In 1970 - 80, Sccoters India Ltd. - Vijai · In 1970 - 80, Maharashtra scooter ltd. - Priya · In 1981 - 90, Kinetic Engineering Ltd. with Honda, Japan - NH 100 cc · In 1981 - 90, Lohia Machinery Ltd. with Piaggio, Italy - Vespa XE · In 1991 - 99, TVS manufacturing Spectra Scooter- Vespa All rights reserved © www.jmeit.com 6 Journal of Management Engineering and Information Technology (JMEIT) Volume 6 Issue 6, Dec 2019, Online ISSN: 2394 - 8124 Impact Factor: SJIF - 6.265 (2016) | 4.564 (2015) Website: www.jmeit.com | E-mail: [email protected] | [email protected] Fig. 4. Showing Transformation of Bajaj Chetak to Chetak [electric Flavor] Source: Internet Fig. 3. Showing various models of Bajaj Bikes. Source: Internet Time had run out for 'Hamara Bajaj'. Hero Honda and TVS Suzuki made the two-wheeler market motorcycle-led. Against vehicles returning 80 kmph, Bajaj scooters returning 40 kmph stood no chance. It was not long before Rajiv took the call to stop scooter production in 2009. Scooters such as those from Kinetic Motors had become gearless by then and were no more family rides, but peppier individual modes of transport. [2] Market was changed and so as the customer preferences about the two wheelers, now stylish design and high speed motorcycles are in demand old family vehicle was a kind of obsolete in market. Looking at the changing market Bajaj also moved deeper into the motorcycle segment and stopped the production of iconic scooter brand. In today’s scenario bajaj has good market hold in the two wheeler segment with Pulsar, KTM and other popular brands. Now, Bajaj is Fig. 5. Showing Bajaj Chetak [electric Flavor] Source: Internet coming back into the scooter segment with electrical flavor with its well-known brand “Chetak” it’s a nostalgic dream for the users of Bajaj scooters earlier and for Bajaj itself too.
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