Bajaj Auto Ltd.
The Bajaj Group is amongst the top 10 business houses in India. Its footprint stretches over a wide range of industries, spanning automobiles (two-wheelers and three-wheelers), home appliances, lighting, iron and steel, insurance, travel and finance. The group's flagship company, Bajaj Auto, is ranked as the world's fourth largest two- and three- wheeler manufacturer and the Bajaj brand is well-known across several countries in Latin America, Africa, Middle East, South and South East Asia. Founded in 1926, at the height of India's movement for independence from the British, the group has an illustrious history. The integrity, dedication, resourcefulness and determination to succeed which are characteristic of the group
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"It is all nonsense (family feud)... the work is divided and the ownership between four brothers and two sons remains the same," he said.
As per the proposal, Bajaj Group's auto business will be demerged into a new subsidiary Bajaj Holdings and Investment Ltd (BHIL) and other strategic businesses such as wind energy, insurance and financial services would be demerged into another new entity Bajaj Finserv Ltd (BFL).
Bajaj Auto shareholders would continue to hold one share of the company with face value of Rs 10 and would also be allotted one BHIL share of Rs 10 face value and one BFL share of Rs 5 face value. The demerger would be completed this year.
Rebuffing suggestions that the move was to spilt the group, he said: "I will be the chairman of all the three companies. It is not a split of Bajaj Auto. Out of Rs 8,500 crore cash and cash equivalents, Rs 1,500 cr will go to the new Bajaj Auto and Rs 800 crore will be transferred to BFL. The balance Rs 6,000 crore will remain with the BHIL," Bajaj said.
The transaction will enable the new companies to tap into the cash pool of BHIL to support future growth, while enabling BHIL to participate in the growth of the auto business and the financial services business.
Ruling out any change in management structure of the group, Rahul Bajaj said: "There is generally no change in the management structure."
Rajiv Bajaj would
Aditya Birla Financial Services Group (ABFSG) ranks among the top 5 fund managers in India (excluding LIC) with an AUM of USD 20.4 billion and having a strong presence across the life insurance, asset management, Non-Banking financial company private equity, retail broking, distribution & wealth management, and general insurance broking businesses, Aditya Birla Financial Service Group is committed to serve the end-to-end financial services needs of its retail and corporate customers. The seven companies representing Aditya Birla Financial Service Group are: Birla Sun Life Insurance Company Ltd., Birla Sun Life Asset Management Company Ltd., Aditya Birla Finance Ltd., Aditya Birla Capital Advisors Pvt. Ltd., Aditya Birla Money Ltd., Aditya Birla Money Mart Ltd. and Aditya Birla Insurance Brokers Ltd. In FY 2013-14, ABFSG reported consolidated revenue from these businesses at Rs. 6,640 Crore (USD 1.1 billion) and earnings before tax at Rs. 745 Crore. Anchored by about 13,000 employees and trusted by over 5.5 million customers, Aditya Birla Financial Service Group has a nationwide reach through 1,500 points of presence and about 130,000 agents / channel partners.
Bajaj Auto is market leader of Premium or sports motorcycle which included Pulsar and
The sales figures were falling. Bajaj analysed that it had a lot of brands which were diluting its positioning. So Bajaj tried to develop its positioning around Pulsar. It strategically made an attempt to change its identity trump card from Chetak to Pulsar. (Success)
In the year 2000 BFL was looking to exit the IT business. But BFL’s 25 percent stake was controlled by Baring India Investments, a private fund sponsored by ING Group of the Netherlands. Incidentally Barings also was one of the initial investors at Mphasis Corporation
Shiv's group was one of the largest industries in India, which is the leader in nearly all areas in which they had presence. were established at the beginning of 1900. It has diversified in the electronics, automotive, pharmaceutical etc. Shiv financial group had represented the best brand in India. With more than 37000 + employes and 20 companies. You can also export their products not only in India but also in the United States, UK and Germany.
This merger has propelled Kotak into the top ranks of India’s private lenders at number 4. The combined entity will possess assets worth $32 billion. The merger will result into a network of more than 1,250 branches and 1,900 ATMs across the country. Post the merger, Kotak which already has most of its branches in West and North India, will get a strong hold in Southern India too, particularly in the states of Karnataka and Andhra Pradesh. While Kotak’s strength lies in its corporate and retail banking, ING Vysya’s strength lies in its small and medium enterprise business (SMEs) operations, which will truly complement Kotak.
To handle the media and entertainment business, it has a subsidiary company "Reliance Big Entertainment" across content and distribution platform.
They were the producer of largest selling motor cycle of the world that is HEROSplendor it has its own importance still in the market. But from the past two or three years HEROsuffered a slight loss in its market share and Bajaj became a big competitor to Hero. The introduction of Bajaj Pulsar is one of the biggest threat to Hero.HEROis one of the leading two wheeler producer in the globe. It holds an important place in the minds of consumer by providing efficient service and better products. Product efficiency and innovations are the method they live up today. Their engineering is
Lack of central system in the Tata group shows that most of their other companies operates independently so due to which there is a lack of central focused goals in Tata group. It’s been noticed that the Tata group has no combined finical statements along with other merger companies. As a result all the other operating subsidiaries of Tata group have to adapt to the central system so that they have central vision.
The Reliance Group, founded by Dhirubhai H. Ambani (1932-2002), is India's largest private sector enterprise, with businesses in the energy and materials value chain. Group's annual revenues are in excess of US$ 66 billion. The flagship company, Reliance Industries Limited, is a Fortune Global 500 company and is the largest private sector company in India.
Tata Group that was founded by Jamsetji Tata in 1868 which is the largest and highly diversified Indian conglomerate. Tata Group has businesses in different industries such as engineering, energy, materials, services, chemicals etc.
Huge brand equity and one of the biggest players in the two wheelers Indian market
2. Is the structure clearly understood by everyone in the corporation? The structure is understood by all employees. Employees generally review structure changes and adapt accordingly.
Otherwise it would defeat the purpose and vision that Ratan Tata had originally envisioned for them. Currently, the group is bound together by the small staffs of Tata Sons and another holding company, Tata Industries. These two, chaired by Ratan Tata, provide strategic vision, control the Tata brand, and lend a hand on big deals. There is a need for more of the other smaller companies and subsidiaries to get involved and actually be a part of the growth, instead of taking a backseat and just going through the motion.
In today’s world the two wheeler segment is a very competitive industry and there is a very stiff competition among the various companies. There have been many two wheeler companies in India present in the market since a long time, some have been able to transform itself and cope with the modern market and some have faded away into the past. Companies like Hero Honda, Bajaj and TVS have transformed themselves into major giants, while companies like LML and Rajdoot have failed miserably and collapsed and had to shutdown. So in our case study we are taking into consideration two such companies like Bajaj and LML which have been there from the very beginning and trying to analyse why Bajaj was a huge