![]() Financial Daily from THE HINDU group of publications Thursday, Dec 08, 2005 |
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Corporate
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Outlook Marketing - Strategy Suzuki all set to launch 125-cc bike in January Sudha Menon
Pune , Dec. 7 INDIA'S buzzing motorcycle market will see a fresh round of action in January, with Suzuki Motorcycle India all set to kick off commercial production at its Manesar-based manufacturing facility this month. The company is planning to kick off its Indian operations with a 125-cc mass market motorcycle, top company sources told Business Line. According to information available with this newspaper, the global motorcycle major, which is a late entrant into the lucrative domestic market, will bank on an aggressive pricing strategy to gain a foothold. In addition, the company will focus strongly on second-rung cities and towns where there is a latent demand for independent, affordable means of transportation. "Over 60 dealers are already in place for the launch phase and we expect to have a 100-strong network by March 2006," company sources said. Suzuki Motorcycle India is making an initial investment of about Rs 200 crore for its India entry and is already planning to follow up the first launch with a couple of motorcycles, also targeted at the mass market, according to sources who said that the attempt will be to repeat the success of its affordable 800 cc car in India in the two-wheeler business. "Plans are to eventually be in every segment of the market," the sources said, adding that the second model in India could be a 100 cc model in early 2007. Meanwhile, commercial production is all set to kick off at the Manesar plant, which will have initial capacity of two lakh motorcycles that can be ramped up significantly at short notice as demand picks up, the sources said. Suzuki Motorcycles, a subsidiary of Suzuki Motor Corporation, is one of the leaders in the two-wheeler segment globally with over 20,00,000 riders opting for a Suzuki two-wheeler every year. The company is known for its range of high-performance road machines, lightweight super bikes, dirt bikes, street bikes, motocross, and fun bikes globally. Last year the company announced that it had picked up 51 per cent stake in the Delhi-based motorcycles company, Integra Overseas Pvt Ltd, as part of its plans to enter the Indian motorcycles market.
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