Post on 10-Apr-2018
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RETROFITZ
RELAUNCH OF LML ADRENO
Schoo l Of Management S tud ie s , MNNITAl lahabad
By:- Mohd Danish Akhtar
Udita Agrawal
Vivek Tripathi
(MBA Ist year)
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Contents
Reason of Failure
Rationale behind the RelaunchSTP nalysis
arket ix
Finance
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Reason of Failure
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The common thinking of the family: The father
bought the bike and the son rode it
Its average in the segment of the prevailing 100
cc bikes as comparatively lo
The headlight did not moved along ith the
handle of the bike
L L dreno ith its sporty looks failed to
generate the decency
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Fiber elding as not in much practice
The rear heel as broad thus affecting the
normal average of the bike
The cro l as quiet fragile
Last but not the least as the lo per capita
income of the Indians hich added to theirincapability to buy such a highly priced bike
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RATIONALE BEHIND
THE RELAUNCH
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L L hich is still alive in the hearts of Indians
ost of its customer are still satisfied by the
functioning of their L L products
The trend and the thinking of the Indian
family has also changed ith time
Sporty bikes are the demand of the current
young generation
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STP ANALYSIS
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Segment
Focus on the youth segment aximum technology at affordable cost
Target
Indian youth population gro ing at fast pace
The PO and IT industry hich is penetrating
the Indian market has led to a fast life style
Introducing dreno as Personality Statementrather than just a Product
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Our main target are those ithin 18-28 years ofage (i.e. mostly unmarried males)
Mind it, it is not a bike for your wife, it is foryour girlfriend, so buy it if you have the
caliber for it
Colleges and universities ill be our prime
target
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PositioningT GLINE:Rule the Heartnot the Brain
Our product ill position itself in the heartsof Indians as a Package of Style &
Technology at an affordable price
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MARKET MIX
TAGLINE: Feel The Wind In
Your Hair
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Four KRA (Key ResultantAreas)-
Product
L LAdreno motor bike (125cc), having a
die-hard attitude and an unbreakable bond
ith the rider, in short it is Romance ontwo wheels
Price
The Price (Rs47,999.00) hich is actually
LOT ORE AL E FORYO R
ONEY
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Place
With L L
Adreno you move ithSTYLE, POWERAN PE RFORMANCE and
the bike having these attributes is not bound to
any place or boundary.
Promote
Advertisements in reality sho s, in
movies, in sports contest.We ill also shothrough advertisements ho king came back
more strongly after being defeated in the first
round, and ruled the orld.
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Special arranty scheme, free services, ide
spread availability of spare parts at reasonable
rates
Service centers can be easily found throughout
the country
Free servicing of the bikes to the existing LMLusers
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FINANCE
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Lohia Machinery Limited (LML) comes
under the business group of Lohia whichenjoys tremendous amount of goodwill andreputation
MSME (Ministry of Micro, Small and theMedium Enterprises)
Loans from the bank on our existing assets(land & machinery)
Floating shares in the share market
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S.No PARTICULARS COST (in Rs.)
1. Manufacturing Cost 18-20 Crore
2. Transportation cost Rs. 30 lacs 30,00,000
3. Maintenance cost of existing factory 2.5 Crore
3. Advertising cost [Television + Print Media +
anners ]
35,00,000
4. Wages (No. of nits = 5 & 200 employees / unit) 10 Crore
5. Endorsement cost (byArjun Rampal) 35,00,000
6. Total Cost 32.5 Crore
7. Cost of Production per bike 25,000
8. No. of ikes produced 20 crore / 25000 = 8000
9. Selling Price per ike 47,999
10. Total Revenue Generated (per month) 39.4 Crore (approx.)
11. Profit (per month) 38.4 32.5 = 4.9 Crore
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Thank You !!