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Moderators: Found a news article where bajaj management shared their views on lots of topics. If this doesnt necessiate a new thread please merge with an appropriate one. The news article is 6-7 months old but i think it has lots of insights.
Link to news article where entire interview can be read:
The management shared their views on thethriving Indian two-wheeler industry, whatffice
ffice" />
Question:
Yamaha has gained significant market share inthe 150cc segment in recent months? What are they doingright and how do we plan to take them on?
Answer
In our view, they are not being veryastute since it is actually diluting brand Yamaha. Infact, it almost endorses the Pulsar because Yamahaselling a similar bike much cheaper only means thatthe Pulsar is worth that much more.
Question:
Bajaj has high operating margins and astronomical return on capital. What happens when these Japanese playerscome in with nearly zero cost of capital and not as much pressure
Answer
:
some terrible things in my life, some of which
Let a Japanese player come with a better product, with superiortechnology and at a lower price. Secondly we try and focus onpricing equal to or at a premium to our main competitors.
Peoplebought the Pulsar 150 when it was first launched becausethere were mostly 100cc motorcycles available in the market atthe time.
Thenatural proof of that in the past has been most ofus competing with the Splendor by offering productsat a 20% discount. The end result of that is how youfeel after you have coffee or a cigarette - you feelgood for a few hours and then you feel moredepressed than when you started
Link to news article where entire interview can be read:
The management shared their views on thethriving Indian two-wheeler industry, whatffice
ffice" />Question:
Yamaha has gained significant market share inthe 150cc segment in recent months? What are they doingright and how do we plan to take them on?
Answer
In our view, they are not being veryastute since it is actually diluting brand Yamaha. Infact, it almost endorses the Pulsar because Yamahaselling a similar bike much cheaper only means thatthe Pulsar is worth that much more.
Question:
Bajaj has high operating margins and astronomical return on capital. What happens when these Japanese playerscome in with nearly zero cost of capital and not as much pressure
Answer
:
some terrible things in my life, some of which
Let a Japanese player come with a better product, with superiortechnology and at a lower price. Secondly we try and focus onpricing equal to or at a premium to our main competitors.
Peoplebought the Pulsar 150 when it was first launched becausethere were mostly 100cc motorcycles available in the market atthe time.
Thenatural proof of that in the past has been most ofus competing with the Splendor by offering productsat a 20% discount. The end result of that is how youfeel after you have coffee or a cigarette - you feelgood for a few hours and then you feel moredepressed than when you started
) with 5 spark plugs each could be the Rage all over the world.. 
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