SWOT Analysis of Bajaj & KTM

S.W.O.T Analysis

Strength –

Ø  Bajaj is one of the most trusted names in two wheeler industries and has a strong goodwill from its legacy of “Humara Bajaj” and Pulsar bikes

Ø  KTM is a well known brand known for its Style and Performance

Ø  KTM Duke 125 is a complete package in terms of style and fuel economy

Ø  Has a Strong distribution and service channel with its 1,100 service centre and 600 dealers all across India

Ø  Experienced management having years of experience in bike launch

Ø  Increase in purchasing power of youth and young professional

Ø  125 cc bike market showing a consistent growth as compared to other segment bikes in India

Ø  One of the kind Duke 125 cc bike having 6 speed gear system for optimal performance and speed.

Ø  Only performance bike in 125 cc segment that gives high fuel economy

Ø  Bajaj has won several awards for its reliability, innovation, consumer`s preference and performance segment in past years.

Opportunity

Ø  To become a leader in 125 cc bike market by launch of Duke

Ø  To increase market share through increased sales

Ø  To make a trust of KTM in Indian market ,so other KTM bikes can be launched under Bajaj brand

Ø   Opportunity for Bajaj to become a global brand in world through tie up with KTM Motorcycles.

Ø  Create a shift in consumer preferences from higher end bike to small cc bikes which offers more style and fuel economy as compared to traditional bikes available.

Weakness –

Ø  Highly competitive market

Ø  Increase in fuel price which restrict middle income group from buying modern bikes.

Ø  Price tag is $ 2,100 and many heavy cc bikes are available in that price

Threat –

Ø  Pilot launch of KTM Duke 125 cc under Bajaj brand, it may tamper Bajaj image if the product does not meets consumer expectation.

Ø  New modern design bike may not appeal to Indian consumer, irrespective of high sales at Global platform.

Ø  Rumors that other competitors are also coming up in new and stylish 125 cc bikes in near future.