Bajaj Auto Limited (BAL), the country’s second largest two-wheeler manufacturer is targeting sales volumes of 70 % from its overseas operations in the years ahead. The company plans to take the fight to Honda Motor Company in the markets of Asia, Africa and Latin America.

The company which had only a 30 % contribution from sales in overseas markets last year, aims to reach the set target of 70 % over the coming years. The company will be focusing mainly on its motorcycles in order to achieve its target.

Rajiv Bajaj, Managing Director, Bajaj Auto -

It will take us several years, but it only shows how much headroom there is for Bajaj even if we only focus on motorcycles

Bajaj also plans on tripling its current global market share of 10 % to 30 % in the coming years by leveraging its current partnerships with KTM and Kawasaki. The company is also looking to venture into new partnerships and Joint Venture (JV) agreements, in order to gain a leg up on market share currently held by rivals such as Honda Motor Company and Chinese two-wheeler manufacturers.

Bajaj has also set its eyes on achieving an annual sales figure of 5 million units by the year 2012. The company had sold 2.8 million vehicles during the financial year 2009-2010. Bajaj’s rival Honda had an annual sales figure of 9.63 million units, which also includes the sales figures of Hero Honda Motors Limited, the country’s largest two-wheeler manufacturer and Honda’s sister concern in which Honda owns a 26 % stake.

Bajaj can definitely achieve the targets which it has set, considering that it has already started snapping at market leader Hero Honda’s heels with its 100 cc Discover now having become the second largest selling bike in India in a span of just 11-months since its launch. The Discover has also enabled the company to eat into some of Hero Honda’s market share and re-affirm its position as a strong contender for Hero Honda’s position as the country’s and world’s largest two-wheeler manufacturer.

Source – Business Week