Royal Enfield Executive Summary

Executive Summary

The project does the Automobile Industry analysis with focus on Two wheeler segment with emphasis on the current trends, industry potential and road ahead. The objective is to identify a company and do its strategic analysis in terms of its past present and future plans.

The project evaluates Royal Enfield a Division of Eicher Motors, and discusses how the company develop strategic intent following analysis of internal and external environment and core competencies. Royal Enfield is leader in mid size motorcycle (250 cc to 650 cc) and has emerged winner from financial loss a decade ago.

The project will bring out the history of company, the changes it faced in late nineties and early twenties and access the various strategic initiatives taken by the management to achieve strategic competiveness and create share holders wealth. It will cover business level strategy and corporate level strategy as well.

It also aims to identify market place opportunities and threats in external environment and to decide how to use their resources, capabilities and competencies to create opportunities. The strategic analysis includes PESTLE, Porter’s 5 force model, value chain analysis and SWOT.

The report will mention future strategies of the company, as well as recommendations in order to be a global player with cutting edge technology and innovative products.

Industry Scenario and its Analysis

The automotive industry in India is one of the largest in the world and it accounts for 7.1 per cent of the country's gross domestic product (GDP). The Two Wheelers segment, with 81 per cent market share, is the leader of the Indian Automobile market, owing to a growing middle class and a young population. With several initiatives by the Government of India and the major automobile players in the Indian market are expected to make India a leader in the Two Wheeler (2W) and Four Wheeler (4W) market in the world by 2020.