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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 !!