A marketing analysis of Atlas Honda Limited

Atlas Honda Limited ( AHL ) is a joint venture between the Atlas Group and Honda Motor Co. Ltd. Japan. AHL came into being in 1988 by the amalgamation of Atlas Autos and Pnjdarya Limited. The fabrication and selling of Honda bikes done by AHL is through Honda Motor Company. Assorted constituents are besides manufactured in-house with the coaction of taking parts makers like Nippon Dense, Toyo Denso and Showa Atsumitech. It is said that Honda Motorcycles are the largest merchandising bikes in the state and have good repute for high quality and after gross revenues services.

Vision

“ To be a market leader in the bike industry, emerging as a globally competitory Centre of production and exports.

Mission

“ A dynamic growing oriented company through market leading, excellence in quality and service and maximising export, guaranting attractive returns to equity holders, honoring associates harmonizing to their ability and public presentation, furthering a web of applied scientists and research workers resulting alone part to the development of the industry, client satisfaction and protection of the environment by bring forthing emanation friendly green merchandises as a good corporate citizen carry throughing its societal duties in all respects.

Quality Policy

Committedness to supply high quality bikes & A ; parts

Right work in first effort and on clip

Maintain and continuously better quality

Training of work force and acquisition of latest engineering

Safe, clean and healthy environment

Market leading and prosperity for all ”[ I ]

Production Facilities

AHL has two fabrication workss in Pakistan and are located in Sheikhupura and Karachi. AHL has made a figure of ventures/technical aid understandings between local and foreign makers to heighten its production installations.

Exports:

AHL does exports but at a limited degree in limited states. The exports are made to:

Bangladesh

Afghanistan

Culture:

The civilization in Honda is based upon 3 Rs i.e.

Respect

Recognition

Wages

Marketing Department:

Selling section at Honda Atlas is divided into six parts:

Lahore

Rawalpindi

Lyallpur

Multan

Raheemyaar Khan ( Central Region )

Karachi

Departments under Selling:

Marketing section consists of 5 sub-departments i.e.

Gross saless

Dealer Development

Service and client attention.

Partss

Institutional Gross saless and Exports ( besides handles Advertisement section )

The hierarchy is a blend of horizontal and perpendicular construction. GM is the caput of all the selling subdivisions. ( Gross saless, parts, service etc ) . Every subdivision has its ain National Manager ( e.g. Each for Gross saless, Partss, and Service etc ) . Each NM has different Regional Managers stand foring different.

Concept of “ S ” :

The word “ S ” stands for ‘Service ‘ . This term is used to place the nature and type of services a trader is supplying.

3S construct:

‘3S ‘ is used for a trader who is supplying any 3 services under one roof. i.e. Gross saless, Service and Parts.

5S construct:

To do the merchandise more low-cost and attractive, Honda upgraded the 3S construct to 5S construct. In this new construct, 2 more service elements were introduced i.e. Leasing and Exchange system. This construction besides requires enhanced country for the store.

Exclusive Installment Trader:

It includes traders covering in rental merely. Such traders do non take any progress, and charge about 35 % on leasing.

Smart Point of Gross saless:

Customers who are equidistant from 2 traders can travel to either. There might be a possibility that the 2 traders are far off from him and he has no option except to purchase rival ‘s merchandise ( if available easy ) . Honda has coped it by opening a subdivision of a nearby trader in that country. The ground might besides be inaccessibility of a new investor in that peculiar country. Honda likely will non look for a 5S or any other new trader as if there is non much potency in the market but Honda wo n’t allow the untapped market travel for the rivals.

Institutional Gross saless:

Institutional gross revenues subdivision is made for looking after gross revenues for establishments ( largely Government ) . The exports are besides headed by this section.

Service Network:

Service Dealer: Process the service cards given to clients.

Antenna trader: Antenna Dealer is above service trader. He handles the claim.

4 Stroke Mechanicss: Below service traders, there are 4 stroke mechanics. These are simple mechanics, Honda picked them and set up preparation cantonments to develop them and named them ‘4 stroke mechanics ‘ .

Furthermore, Honda urges its traders to upgrade and put in their stores by giving certain inducements.

Gross saless Prediction:

Gross saless section do the prediction monthly, annually, 5 annually and 10 annually and is flexible plenty to provide any alteration. It has many factors to see ( + alpha, – alpha ) as Pakistani market is really unsure.

Customer Care and Safety:

It is a portion of service section. This section frequently takes different safety stairss to advance Honda e.g.

Get downing a nomadic service to alter visible radiations of motorcycles ( of any trade name ) free of cost.

Training of all traffic wardens is done by Honda.

Antenna Dealer:

Antenna traders are besides called warrantee traders. Warrantee claims are done through these traders. If any motorcycle is in warrantee and doing any job or have breakage, the client can claim the warrantee to the aerial traders who so process the warrantee to Honda by look intoing the portion and guarantee that claim is valid. Then replace the portion, come ining the nature of the job in the SAP and direct the defected portion to preparation and warrantee Centre that so direct it to the quality section. These traders are experienced, educated and entirely trained.

Antenna traders are of 2 types i.e. Exclusive Antenna Dealers ( Merely for warrantee claims. Where many more traders are besides present e.g. in Lahore ) and 5S warrantee traders ( those traders who are the lone trader in town )

Corporate Social Duty:

AHL has put a strong focal point on duty towards the society. AHL have a feeling that it is its responsibility to protect the environment so it ‘s all production installations and sections are environment friendly. Besides, the company is highest revenue enhancement remunerator in Pakistan.

Merchandise Information:

AHL is engaged in fabricating two types of merchandises, which are

Motorcycle

Spare Partss

AHL has introduced elegant and lasting 4 theoretical accounts with 4 shots. Currently AHL produces:

Honda CD70

Honda CD100

Honda CG125

Honda CG125 Deluxe

Undertaking description:

We have selected this undertaking with the consent of Honda Management. This is a research based undertaking. First stage of this undertaking is a Thorough Market research. Honda CD-70 is good known trade name in market and lending major portion to the company. Honda CD-100 and CG-125 Deluxe are the theoretical accounts, which are non executing at desired degree. Through this market research, we measured the perceptual experience and consciousness of clients about Honda CD-100, CG-125 and CG-125 Deluxe. And after acquiring penetrations from this research, we have developed an incorporate selling communicating program for the company to advance these theoretical accounts in order to increase the gross revenues and market portion in their several classs.

1. Problem definition and Research Aims:

Problem Statement:

Atlas Honda ‘s more than 50 % gross revenues come from Honda CD-70. The other three theoretical accounts are soundless subscriber boulder clay day of the month ; even most of the mark market can non distinguish between CG-125 and CG-125 Deluxe theoretical accounts. We want to happen the basic ground behind that, every bit good as to suggest a elaborate communicating program.

Aims of the Survey:

Market Research through client study to analyze the consciousness degree of clients sing CD-100, CG-125 and CG-125 Deluxe.

Integrated selling communicating program for making and heightening consciousness about these theoretical accounts.

Significance of the Survey:

It will assist the readers to cognize the consumer consciousness degree and perceptual experience about different trade names of Atlas Honda.

The study will besides foreground the positive every bit good as negative points of Honda motorcycles every bit good as of some other trade names and rivals and will demo the grounds behind preferring a peculiar motorcycle.

Company has assigned a part of their budgets for advertisement but they are non acquiring the response of the same magnitude. Hence this survey will assist the company to find their failings in capturing the heads of clients.

Communication program which we are traveling to suggest will assist the company to make awareness about different theoretical accounts of Atlas Honda bikes among their mark clients.

2. Research Plan:

Datas Beginnings:

Primary beginnings: Questionnaire study and Focus Group

Secondary beginnings: Company informations and interviews from the traders

Research Approachs:

We are taking to mensurate the consciousness degree and perceptual experience about Atlas Honda motorcycles hence this survey is qualitative in nature and we have undertaken studies and concentrate groups every bit good.

Qualitative method helped to garner sentiments of respondents about their consciousness and perceptual experience about Honda bikes and some other trade names besides ; it has besides generated thoughts sing the betterments that should be made in order to do their motorcycles better in the heads of mark audience.

Research Instrument:

The research instrument for the study is

Questionnaire ( included open-ended every bit good as close-ended inquiries )

Focus groups.

Questionnaire is interviewer filled. The respondents are segregated on the footing of urban/rural and user/non-user. Through first inquiry, respondents are asked about the trade name and theoretical account they are presently utilizing. In 2nd inquiry, interviewer lists down the names of theoretical accounts of Honda bike about which respondent have knowledge. The 3rd inquiry tells whether respondent is a light, normal or heavy user. In the 4th inquiry, interviewer asks about assorted properties to rank among theoretical accounts for which respondents have the cognition. The 5th inquiry tells the of import properties that are considered for bike purchase. The 6th inquiry cheque which groups/factors influence the purchasing determination of respondent. And eventually the questionnaire checks the media ingestion wonts of the respondents.

The focal point group is included to acquire insight about different theoretical accounts of Honda bikes, that how people perceive about these theoretical accounts, what footings they on a regular basis use for different properties of bikes and what jobs are they confronting from assorted theoretical accounts of bikes.

For focal point group, we invited some bike users to be the portion of our focal point group. One focal point group is conducted in Faisal town, Lahore, and the other 1 is at Honda service trader, Sheikhupura.

Sampling Plan:

The non Probability multistage sampling has been adopted for the research intents. First with Convenient Sampling method we handily selected Lahore metropolis and its environing rural countries. Then we put a quota of 50 per centum for urban bikes and 50 per centum for rural users.

Sampling Unit of measurement:

The sample is divided on the undermentioned footing:

Urban/Rural

User/Non User

Sample Size:

We have selected a sample size of 200 for this study.

Sampling Procedure:

Implimentation:

The research is conducted in the part of Lahore, and environing parts of Gujranwala, Sheikhupura and Kasur. The inside informations are as follows:

Lahore: Garhi Shahu, Shalimar Town, Faisal Town, Punjab University, Islampura, Cantt, Samanabad, Maragzar, Iqbal Town, GT Road, Gulberg 2.

Gujranwala milieus: Hafizabad Road, Joiyyan Wala Morr, Laddhiyan wala, Noshera Virkha Road, Qila Miyan Singh, Phatomand Pind, Mureedke.

Sheikhupura milieus: Fransisabad, Sheikhupura beltway, Sheikhupura Lahore Road ) .

Kasur milieus: Kahna nu, Kasur Road, Mustafa Abad.

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