1. Presentation on Hero MotoCorp ltd
Submitted by
Prathima H.N

2. Hero MotoCorp Ltd. Formerly Hero Honda, is an Indian
motorcycle and scooter manufacturer based in New Delhi, India.
Hero Honda started in 1984 as a joint venture between Hero Cycles
of India and Honda of Japan. The company is the largest two
wheeler manufacturer in India. The 2006 Forbes 200 Most
Respected companies list has Hero Honda Motors ranked at #108.
In 2010, when Honda decided to move out of the
joint venture, Hero Group bought the shares held by Honda.
Subsequently, in August 2011 the company was renamed Hero
MotoCorp with a new corporate identity. On June 4, 2012,Hero
MotoCorp approved a proposal to merge the investment arm of its
parent Hero Investment Pvt. Ltd. into the automaker. The decision
comes after 18 months of its split from Honda Motors.

3. “Hero” is the brand name used by the Munjal brothers for their
flagship company, Hero Cycles Ltd. A joint venture between the
Hero Group and Honda Motor Company was established in 1984
as the Hero Honda Motors Limited at Dharuhera, India. Munjal
family and Honda group both owned 26% stake in the Company.
In 2010, it was reported that Honda planned to sell its stake in the
venture to the Munjal family.
During the 1980s, the company introduced motorcycles that
were popular in India for their fuel economy and low cost. A
popular advertising campaign based on the slogan 'Fill it - Shut it
- Forget it' that emphasized the motorcycle's fuel efficiency
helped the company grow at a double-digit pace since inception.
The technology in the bikes of Hero Honda for almost 26 years
(1984–2010) has come from the Japanese counterpart Honda.

4. Hero MotoCorp has three manufacturing facilities based at Dharuhera,
Gurgaon in Haryana and at Haridwar in Uttarakhand. These plants together
are capable of churning out 3 million bikes per year. Hero MotoCorp has a
large sales and service network with over 3,000 dealerships and service
points across India. Hero Honda has a customer loyalty program since 2000,
called the Hero Honda Passport Program.
The company has a stated aim of achieving revenues of $10 billion and
volumes of 10 million two-wheelers by 2016–17. This in conjunction with
new countries where they can now market their two-wheelers following the
disengagement from Honda. Hero MotoCorp hopes to achieve 10 per cent
of their revenues from international markets, and they expected to launch
sales in Nigeria by end-2011 or early-2012. In addition, to cope with the
new demand over the coming half decade, the company was going to build
their fourth factory in South India and their fifth factory in Western India.
There is no confirmation where the factories would be built.

5. Vision
The story of Hero Honda began with a simple vision -
the vision of a mobile and an empowered India, powered by its
bikes. Hero MotoCorp Ltd., company's new identity, reflects
its commitment towards providing world class mobility
solutions with renewed focus on expanding company's
footprint in the global arena.
Mission
Hero Monocarp's mission is to become a global enterprise
fulfilling its customers' needs and aspirations for mobility,
setting benchmarks in technology, styling and quality so that it
converts its customers into its brand advocates. The company
will provide an engaging environment for its people to perform
to their true potential. It will continue its focus on value
creation and enduring relationships with its partners.

6. Strategy
Hero Monocarp's key strategies are to build a robust
product portfolio across categories, explore growth
opportunities globally, continuously improve its operational
efficiency, aggressively expand its reach to customers,
continue to invest in brand building activities and ensure
customer and shareholder delight.

7. Hero MotoCorp two wheelers are manufactured across
three globally benchmarked manufacturing facilities.
Two of these are based at Gurgaon and Dharuhera
which are located in the state of Haryana in northern
India. The third and the latest manufacturing plant is
based at Haridwar, in the hill state of Uttrakhand.

8. In the 1980's the Company pioneered the
introduction of fuel-efficient, environment friendly four-
stroke motorcycles in the country. It became the first
company to launch the Fuel Injection (FI) technology in
Indian motorcycles, with the launch of the Glamour FI
in June 2006.
Its plants use world class equipment and processes and
have become a benchmark in leanness and productivity.
Hero MotoCorp, in its endeavor to remain a pioneer in
technology, will continue to innovate and develop
cutting edge products and processes

9. Products
Hero MotoCorp offers wide range of two wheeler products that
include motorcycles and scooters, and has set the industry
standards across all the market segments.

11. The Company's growth in the two wheeler
market in India is the result of an intrinsic ability
to increase reach in new geographies and growth
markets. Hero Monocarp's extensive sales and
service network now spans over to 5000 customer
touch points. These comprise a mix of authorized
dealerships, service & spare parts outlets, and
dealer-appointed outlets across the country.

12. Brand
The new Hero is rising and is poised to shine on the global arena.
Company's new identity "Hero MotoCorp Ltd." is truly reflective of its
vision to strengthen focus on mobility and technology and creating
global footprint. Building and promoting new brand identity will be
central to all its initiatives, utilizing every opportunity and leveraging its
strong presence across sports, entertainment and ground- level
activation.
2010-11 Performance
Total unit sales of 54,02,444 two-wheelers, growth of 17.44 per cent
Total net operating income of INR 19401.15 Crores, growth of 22.32
per cent
Net profit after tax at INR 1927.90 Crores
Total dividend of 5250% or INR 105 per share including Interin
Dividend of INR 70 per share on face value of each share of INR 2 each
EBIDTA margin for the year 13.49 per cent
EPS of INR 96.54

13. MILESTONES
1983 Joint Collaboration Agreement with Honda Motor Co.
Ltd. Japan signed
Shareholders Agreement signed
1984 Hero Honda Motors Ltd. incorporated
1985 First motorcycle "CD 100" rolled out
1987 100,000th motorcycle produced
1989 New motorcycle model - "Sleek" introduced
1991 New motorcycle model - "CD 100 SS" introduced
500,000th motorcycle produced
1992 Raman Munjal Vidya Mandir inaugurated - A School in
the memory of founder Managing Director, Mr. Raman Kant
Munjal
1994 New motorcycle model - "Splendor" introduced
1,000,000th motorcycle produced
1997 New motorcycle model - "Street" introduced
Hero Honda's 2nd manufacturing plant at Gurgaon inaugurated

14. Con………..
 1998 2,000,000th motorcycle produced
1999 New motorcycle model - "CBZ" introduced
Environment Management System of Dharuhera Plant certified
with ISO-14001 by DNV Holland
Raman Munjal Memorial Hospital inaugurated - A Hospital in the
memory of founder Managing Director, Mr. Raman Kant Munjal
 2000 4,000,000th motorcycle produced
Environment Management System of Gurgaon Plant certified ISO-
14001 by DNV Holland
Splendor declared 'World No. 1' - largest selling single two-
wheeler model
"Hero Honda Passport Programme" - CRM Programme launched
2001 New motorcycle model - "Passion" introduced
One million production in one single year
New motorcycle model - "Joy" introduced
5,000,000th motorcycle produced

15. Con……..
 2002 New motorcycle model - "Dawn" introduced
New motorcycle model - "Ambition" introduced
Appointed Virender Sehwag, Mohammad Kaif, Yuvraj Singh,
Harbhajan Singh and Zaheer Khan as Brand Ambassadors
 2003 Becomes the first Indian Company to cross the
cumulative 7 million sales mark
Splendor has emerged as the World's largest selling model for
the third calendar year in a row (2000, 2001, 2002)
New motorcycle model - "CD Dawn" introduced
New motorcycle model - "Splendor +" introduced
New motorcycle model - "Passion Plus" introduced
New motorcycle model - "Karizma" introduced
 2004 New motorcycle model - "Ambition 135" introduced
Hero Honda became the World No. 1 Company for the third
consecutive year.
Crossed sales of over 2 million units in a single year, a global
record.

16. Con……
Splendor - World's largest selling motorcycle crossed the 5
million marks
New motorcycle model - "CBZ*" introduced
Joint Technical Agreement renewed
Total sales crossed a record of 10 million motorcycle
2005 Hero Honda is the World No. 1 for the 4th year in a
rowNew motorcycle model - "Super Splendor" introduced
New motorcycle model - "CD Deluxe" introduced
New motorcycle model - "Glamour" introduced
New motorcycle model - "Achiever" introduced
First Scooter model from Hero Honda - "Pleasure" introduced
2006 Hero Honda is the World No. 1 for the 5th year in a
row
15 million production milestone achieved
2007 Hero Honda is the World No. 1 for the 6th year in a
row.

17. Con….
2008 Hero Honda Haridwar Plant inauguration
New 'Pleasure' launched
Splendor NXG launched with power start feature
New motorcycle model 'Passion Pro' launched
New 'CBZ Extreme' launched
25 million production milestone achieved
CD Deluxe launched with power start feature
New 'Glamour' launched
New 'Glamour Fi' launched
2009 Hero Honda Good Life Program launched
Hunk' (Limited Edition) launched
Splendor completed 11 million production landmark
New motorcycle model 'Karizma - ZMR' launched
Silver jubilee celebrations

18. Con…..
2010 New model Splendor Pro launched
Launch of new Super Splendor and New Hunk
2011 New licensing arrangement signed between
Hero and Honda (Hero Honda is renamed as Hero)
Launch of new refreshed versions of Glamour, Glamour Fi,
CBZ Xtreme, Karizma
Crosses the landmark figure of 5 million cumulative sales
in a single year

19. Hero MotoCorp Ltd.
Atul Auto Ltd.
 Bajaj Auto Ltd.
Kinetic Engineering Ltd.
LML Ltd.
Maharashtra Scooters Ltd.
Majestic Auto Ltd.
Scooters India Ltd.
 Sunku Auto Ltd.
TVS Motor Company Ltd.

20. Sales
No matter how huge your order is, Hero
MotoCorp shall certainly ensure that it is
delivered efficiently.
Advantages of Corporate Sales at Hero:
 Single window processing for delivery at
multiple locations
 No running around for documentation
 Attractive finance options
 Hero MotoCorp Passport - Unique CRM Program
 Bulk Incentive Schemes

21. Our constant endeavor is to support the company's mandate of
providing highest level of customer satisfaction by taking good
care of your two-wheeler service and maintenance through our
vast network of more than 2100 committed dealers and service
outlets spread across the country.
Our state-of-the-art authorized workshops have well laid out
standards for two-wheeler servicing with fully equipped
infrastructure having quality precision instruments, pneumatic
tools and a team of highly trained service technicians. Having
your two-wheeler serviced at an authorized workshop ensures
highest standards of service quality and reliability.

22. Service Schedule
Hero MotoCorp offers free services on all its two-wheelers. You
should avail these services within the stipulated
conditions of time period or km range, whichever condition gets
satisfied earlier from the date of purchase. After the completion of
free services or its validity period you must continue availing paid
services as per the recommend.
Maintenance Schedule
Proper care and maintenance are paramount for trouble free
operation and optimum performance of your two-wheeler.

23. Strength
1. Huge brand equity and one of the biggest
players in the two wheelers Indian market
2. Excellent R&D, and wide variety of
products in every segment.
3. Excellent distribution, over 3000
dealerships and service centers
4. Good advertising and excellent rebranding
from Hero Honda to Hero Moto Corp

24. 1. Absence in the premium bike segment
2.High imports for its spare parts i.e. over 30% imports
3. Most of the products have similar features and low on
design and innovation

25. Opportunity
1.Two-wheeler segment is one of the most growing industries
2.Export of bikes is limited i.e. untapped international
markets
Threats
1. Strong competition from Indian as well as international
brands
2. Dependence on government policies and rising fuel prices
3. Better public transport will affect two-wheeler sales

26.  Most of the Flame, Apache, Pulsar, CBZ & Karizma are
purchased by young generation 18 to 30 years because they
prefer stylish looks and rest of the models of Hero Moto Corp ,
TVS and Bajaj are purchased more by daily users who needs
more average of bikes than looks.
 Hero Moto Corp is considered to be most fuel-efficient bike
on Indian roads.
Service & Spare parts are available throughout India in local
markets also.
While buying a motorcycle, economy is the main
consideration in form of maintenance cost, fuel efficiency.
Majority of the respondent had bought their motorcycle more
than 3 years.

27. Number of products is large in comparison to others
The distribution policies are more efficient then any other
company .
Hero Moto Corp make more stress on advertisement on
television and help there dealers for local advertisement.
The pricing policy of Hero Moto Corp (previously Hero
Honda) is for better than the pricing policy of the
competitors.

28. Thank you