<SUMMER INTERNSHIP TRAINING REPORT ON>

< TITLE>

INTERNSHIP TRAINING REPORT

Submitted in partial fulfillment of requirements for the award of the degree of

Master of Business Administration

SUBMITTED BY

< R.SURENDAR>

(ROLL NO: 18557)

Under the guidance of

MR. S.SEKAR B.COM,M.B.A,PMP, Ph.d

Associate professor
(Faculty Guide)

RL INSTITUTE OF MANAGEMENT STUDIES

Madurai-625 022

MARCH<YEAR>
 R L INSTITUTE OF MANAGEMENT STUDIES
(A Unit of SubbalakshmiLakshmipathi College of Science)

TVR Nagar, Aruppukottai Road, MADURAI 625 022

An Autonomous Institution and approved by AICTE, New Delhi

BONAFIDE CERTIFICATE
This is to certify that the training report entitled “ INTERNSHIP TRAINING
REPORT ON <TITLE>” is a bonafide record of the project work done by <
STUDENT NAME > (ROLL NO: ____) in partial fulfillment of requirements for the
award of Degree of M.B.A (Master Business Administration)

I certify that the project work carried out by him is an independent work under my
supervision and guidance and this project has not formed the basis for the award of
any Degree / Diploma / Associate ship / Fellowship or similar nature to any Candidate
in any University / Institution earlier.

Submitted for the viva-voce to be held on _____________.

Internal Guide External Examiner

DIRECTOR PRINCIPAL

Place:
Date:
 DECLARATION

I hereby declare that the project work entitled “INTERNSHIP

TRAING REPORT ON < TITLE >” submitted to R.L. Institute of

Management Studies,Madurai-22 is a record of original work done by me in

Madurai and this project has not formed the basis for the award of any

Degree/Diploma/Associate ship/Fellowship or similar nature to any candidate

in any University/Institution earlier.

Signature of candidate
Course/Year:
MBA-2018-2020
 ACKNOWLEDGEMENT

At the very outset, I dedicate my deepest sense of gratitude to my Parents

for showering on me that blessing and love which have induced me to make this
subject as success.

I would like to express my grateful thanks to our Respected President

Dr. R. Lakshmipathy and our beloved Principal Dr.PSaravanan for
permitting me to do this project and for their encouragement in my academic
career.

I take this opportunity to acknowledge my thanks to Dy. Director Dr. S.

Pugalanthi for all the help to complete the project successfully.

I express my deepest sense of gratitude to Mr.S.SEKAR B.com.,

MBA.,PMP.,Ph.dFaculty guide for her guidance and moral support during the
project period, because their keen interest and valuable suggestions have helped
me throughout the project. I express my sincere thanks to Mercury
Manufacturing Co. Ltd. providing me all facilities to carry out my project work
in this Organization.

I am thankful to My Friends who are the real supporters of my academic

career.

(STUDENT NAME)
Reg.No.
 Table of Content:

1. Introduction

2. Objectives of Training

3. Scope of Training

4. Training Methodology

5. Industry Profile

6. Observation in Training

7. Learning & Suggestions

8. Conclusion

9. Bibliography
Internship Synopsis / Abstract details :
INTRODUCTION:
Meaning of sales:
A contract involving transfer of possession and ownership of goods or
property, or the entitlement to a service, in exchange for money or value
is termed as sales.
A sale is the pinnacle activity involved in selling products or services in
return for money or other compensation. It is an act of completion of a
commercial activity.

Selling involves sales which are the pinnacle act of completed of a purchasing
activity. Selling also involves salespeople who are the primary agents of
facilitating sales.
Many believe that the focus of selling is on the human agents involved in the
exchange between buyer and seller. Effective selling also requires a systems
approach, at minimum involving roles that sell, enable selling, and develop
sales capabilities. Selling also involves salespeople who possess specific set of
sales skills and knowledge is required to facilitate the exchange of
value between buyers and sellers that is unique from marketing, advertising etc.
From the company point of view, there are three main objectives of
sales management: sales volume, contribution to profit, and
continuing growth. Top management has the final responsibility,
because it is accountable for success or failure of the entire enterprise. In
the process, objectives are translated into more specific goals – they are broken
down and restarted as definite goals that a company has a reasonable chance
of reaching. Once these goals are finalized, it is up to sales force that
play critical role in implementing the selling plans.
Essential elements in a valid sale:
(1) Competence of both the buyer and seller to enter into a contract
(2) Mutual agreement on the terms of exchange
(3) A thing capable of being transferred
(4) A consideration in money (or its equivalent) paid or promised.
When both the seller and the buyer perform their respective duties byabiding the
above 4 elements of a valid sale, one can say that sale is executed

Who is a seller?
One who sells or initiates contracts to sell goods; the one who transfers property
as a result of a sales contract.

Who is a buyer?
One who buys or agrees to make a purchase or one who has the capacity to
finance his demand and receives property in exchange for money or valuable
consideration.

Meaning of service:
Customer service also known as Client Service,
It is a provision of service to customers before, during and after a purchase.
Customer service is an organization's ability to supply their customer’s wants
and needs. Excellent customer service is the ability of an organization to
constantly and consistently exceed the customer's expectations.
The service provided should be up to the customer’s satisfaction as this would
lead to a better image of the company in the market, thus enhancing the sales.
There are five characteristics to a service which are discussed below:
1. Lack of ownership:
One cannot own and store a service like you can a product. Services are
used or hired for a specific period of time.
2. Intangibility:
One cannot hold or touch a service unlike a product. IN
saying that although services are intangible, the satisfaction consumer s obtain have a direct
impact on the sales of the company.

3. Inseparability:
Services cannot be separated from the person who is rendering a service.

4. Perish ability:
Services last for a specific period of time and cannot be stored like a product for
later use.

5. Heterogeneity:
It is very difficult to make each service experience identical.

Service Marketing:
MixMarketing is an organizational function and a set of process for
creating,communicating and delivering value to customers and for
managing customer relationship in a way that benefits the organization
and its stakeholders.
It is a social process wherein individuals and groups obtain. What they need
and want through creating, offering and exchanging goods and values with
others. But customers do not consume whatever the industry produce;
hence the producer must find the needs and preferences of the customer
and then satisfy their needs. A producer can deliver better service to its
customers by striking a proper balance by using the concept of
service marketing mix.

The service marketing mix comprises off the 7’p’s. These include:
 Product
 Price
 Place
 Promotion
 People
 Process
 Physical evidence
Product
A tangible object or an intangible service that is mass produced or manufactured
on a large scale for the purpose of sale. A producer should provide better
product quality, design, features, packing and service to its customers in order
to have a niche in the market.

Price
The price is the amount a customer pays for the product. It is determined by a
number of factors including market share, competition, material costs, product
identity and the customer's perceived value of the product. The business may
increase or decrease the price of product if other stores have the same product.

Place
Place represents the location where a product can be purchased. It is often
referred to as the distribution channel.
It can include any physical store as well as virtual stores on the Internet.

Promotion
Promotion represents all the communications that a marketer may use
ino r d e r t o p r o m o t e a p r o d u c t . P r o m o t i o n h a s f o u r d i s t i n c t e l e
m e n t s v i z . advertising, public relations,word of mouthand point of
sale.A d v e r t i s i n g c o v e r s a n y c o m m u n i c a t i o n t h a t i s p a i d f o r ,
f r o m t e l e v i s i o n commercials, radio, Internet adverts , through print
media and billboards.
One of the most notable means of promotion today is the Public
relationsw h e r e t h e c o m m u n i c a t i o n i s n o t d i r e c t l y p a i d f o r
a n d i n c l u d e s p r e s s releases, sponsorship deals, exhibitions, conferences,
seminars or trade fairsand events. Word of mouth is an apparently informal
communication
aboutt h e product by ordinary individuals, satisfied customers or peoplespecifi
cally engaged to create word of mouth momentum. Sales staff often plays an
important role in word of mouth and point of sale.

People
Recruiting the right staff and training them appropriately in the delivery
of t h e i r s e r v i c e i s e s s e n t i a l i f t h e o r g a n i z a t i o n w a n t s t o
o b t a i n a f o r m o f competitive advantage. Consumers make judgments and
deliver perceptionsof the service based on the employees they interact
with. Staff should
havethe appropriate interpersonal skills, aptititude, and service knowl
edge to provide the service those consumersis paying for.
Process
Refers to the systems used to assist the customers in delivering the servicea n d
the time spent for the delivery of the product and
i t i s a p r o c e d u r e , mechanism and flow of activities which lead to an
exchange of value.
Physical Evidence
Physical Evidence is the element of the service marketing mix which allowsthe
consumer to make judgments on the organization based on the
servicereceived.Physical evidence is an essential ingredient of the service mix,
consumerswill make perceptions based on their sight of the service provided
which willhave a direct impact on the organizations perceptual plan of
theservice.To ascertain extent managing services are more
c o m p l i c a t e d t h a n m a n a g i n g products, products can be standardized, and
to standardize a service is far more difficult.

A Successful CRM Implementation Project in aService Company

Customer relationship management: CRM implementations rapidly

increasingfor last few years, following the trends elsewhere. Studies reporting
how the implementation project goes on before, between and after the
implementation are scarce.
Case study demonstrates that CRM implementation is a holistic and complex
concept, which means that it is not merely an integration of new information
technology, but everything that happens around the business processes changes.
Study showed the need
for efficient leadership, acquirement of resources and CRM strategyimplementa
tion control; trust to the software solution shouldn’t be self-understood.
Through implemented analytical CRM company can improve the relationship
with customers, achieve larger information sharing
betweenemployees and accept better strategic decisions.
Key words: customer relationship management implementation, customer
focus, process
approach,quality, customer information, communication, marketing, ServiceCo
mpany.Organizations nowadays compete on a global market. It is impossible to
avoid free transfer of goods with the help of protection laws and different
obstacles in modern times; customers have a wide choice, that’s why
they became more sensitive, demanding, and they are looking for new and
better products. In saturated markets organizations cannot freely decide, withwh
ich customers they would like to establish a business relationship.
The effectiveness of business is very dependent of the culture (interests, values,
and motives), organizational health (team work, loyalty, learning, knowledge
management) and way of dealing with customers. Establishinghealthy culture
and achieving values is connected with the degree of order and with the ways
how organization treats the customer. As a consequence, CRM has risen to the
agenda of many organizational
strategies.Fundamentally however; CRM systems can be viewed as information
systems aimed at enabling organizations to realize a customer focus.

Organizations have to deal with this kind of problems for years now.
Experiences confirm that it is very difficult to enter the area of relationship
management without well-organized data base,

In which all data

concerning businesses of organization with its consumers are contained.

Data baseserves as a lever for integration of applications and data, from whichin
formation are summarized for different types of CRM solutions. Solutions for
analytical CRM draw information from data base for the use of
analyzingthe demographic information about customers, history, profitability an
d behavior of singular customer.

Solutions for the operational CRM

benefitthe relationship with customers through every possible communicationch
annel.

Basic question of the paper is concerning the strategies of CRMimplementation

that have to be decided before, between, and after the
CRMimplementation. Secondly, does the CRM implementation represent the ba
sis for improvement of relationship with customers, better
informationdeployment of employees and better strategic decisions making.
Objectives of Training:

 To study the effectiveness of sales and services of Royal Enfield.

 To know the reason why people prefer (Royal Enfield) brand.
 To comprehensively understand the company’s business, analyses
its performance by systematically studying its market shares.
 `To find out the present Performance of Royal Enfield BIKES.
 To increase the revenue which has been set by the sales manager.
 Andto maintain an overall profit margins on sales and services.

Scope of Training:

 The scope of the study is confronted to the sales and services delivered by
Royal Enfield.
 The source of information for this study is based on the
information provided by the Regional Managers of Royal Enfield for both
Sales& service.
Industry Profile:

Former type Public Listed Company

Industry Motorcycles, bicycles, lawnmowers, cars

Fate Defunct

Founded 1901

Founder Albert Eadie and Robert Walker Smith

Defunct 1971

Headquarters Redditch, Worcestershire

  Albert Eadie
Key people
 Robert Walker Smith
 Frank Walker Smith

Products Royal Enfield Clipper, Crusader, Bullet, Interceptor, WD/RE, Super

Meteor

Website https://www.royalenfield.com/

HISTORY

George Townsend set up a business in 1851 in Redditch making sewing

needles. In 1882 his son, also named George, started making components for
cycle manufacturers including saddles and forks. By 1886 complete bicycles
were being sold under the names Townsend and Ecossais. This business
suffered a financial collapse in 1891. Albert Eadie, sales manager of
Birmingham's Perry & Co Ltd, pen makers who had begun to supply
components for cycles, and Robert Walker Smith, an engineer from D. Rudge &
Co, were chosen by Townsend's bankers to run the business. Then, in 1892, the
firm was re-incorporated and named Eadie Manufacturing Company Limited; it
was based in Snow Hill, Birmingham. Later, in 1907, after serious losses from
their newly floated Enfield Autocar business, Eadie Manufacturing and its
pedal-cycle component business was absorbed by Birmingham Small Arms
Company (BSA). Years later, the BSA chairman was to tell shareholders that
the acquisition had "done wonders for the cycle department" Eadie still retained
a separate identity when Raleigh bought BSA's cycle interests in 1957.

ENFIELD

Eadie had won contracts to supply precision parts for fire arms to the
government's long-established Royal Small Arms Factory at Enfield,
Middlesex, now the London Borough of Enfield with its offshoot
in Sparkbrook and had assumed the brand name Royal Enfield. In 1896 they
also incorporated a new subsidiary company, The New Enfield Cycle Company
Limited, to handle much of the cycle work and in 1897 Enfield making
complete cycles as well parts for other assemblers took all the cycle assembly
work from Eadie.

Enfield diversified into motor cycles, 1901 and motor cars, 1902. The motor
department was put into a separate subsidiary, Enfield Autocar Company
Limited incorporated in 1906 and established in new works at Hunt
End, Redditch.However Enfield Autocar after just 19 months reported a
substantial loss and, aside from Eadie himself, shareholders were unwilling to
provide more capital so in early 1907 Eadie sold his control of Eadie
Manufacturing to BSA. Albert Eadie and Robert Walker Smith had been
appointed directors of BSA before the proposed sale ha been put to
shareholders.

In 1955, Enfield Cycle Company partnered with Madras Motors in India in

forming Enfield of India, based in Chennai, and started assembling the 350cc
Royal Enfield Bullet motorcycle in Madras. The first machines were assembled
from components imported from England. Starting in 1957, Enfield of India
acquired the machines necessary to build components in India, and by 1962 all
components were made in India.

Frank Walker Smith (1888-1962), eldest son of Robert Walker Smith, joined
Enfield Cycle Company in 1909. Appointed joint (with his father) managing
director in 1914 he took over the full responsibility when his father died in
1933.[14] After his death Enfield was bought by investors E & H P Smith who
sold Enfield for £82,500 to Norton Villiers in 1967. While Norton Villiers
acquired 33 per cent of Enfield India the assets of Enfield's diesel engine
division and pedal cycle and spares divisions were not picked up.

Royal Enfield produced bicycles at its Redditch factory until it closed in early
1967. The company's last new bicycle was the 'Revelation' small wheeler,
released in 1965. Production of motorcycles ceased in 1970 and the original
Redditch, Worcestershire-based company was dissolved in 1971.

Enfield of India continued producing the 'Bullet', and began branding its
motorcycles 'Royal Enfield' in 1999. A lawsuit over the use of 'Royal', brought
by trademark owner David Holder, was judged in favour of Enfield of India,
who now produce motorcycles under the Royal Enfield name.

PRODUCT:

By 1899, Royal Enfield were producing a quadricycle – a bicycle

modified by adding a wrap-around four-wheeled frame, retaining a rear rider-
saddle with handlebars – having a front-mounted passenger seat, driven by a
rear-mounted De Dion engine.

After experimenting with a heavy bicycle frame fitted with a Minerva engine
clamped to the front downtube, Enfield built their first motorcyclein 1901 with
a 239 cc engine.
1907 Enfield 15

A light car was introduced in 1903 powered by either a French Ader V-twin or
De Dion single cylinder engine. In 1906 car production was transferred to a new
company, the Enfield Autocar Co Ltd with premises in Hunt End, Redditch.
The independent company only lasted until 1908 when it was purchased
by Alldays & Onions.

In 1907, Enfield merged with the Alldays & Onions Pneumatic Engineering
Co. of Birmingham, and began manufacturing the Enfield-Allday automobile.

By 1910, Royal Enfield was using 344 cc Swiss Motosacoche V-Twin engines,
or large-displacement JAP and Vickers-Wolseley engines.
 1913 Enfield 425cc

In 1912, the Royal Enfield Model 180 sidecar combination was introduced with
a 770 cc V-twin JAP engine which was raced successfully in the Isle of Man
TT and at Brooklands.

First World War (1911–1921)

In 1914 Enfield supplied large numbers of motorcycles to the British War

Department and also won a motorcycle contract for the Imperial Russian
Government. Enfield used its own 225 cc two-stroke single and 425 cc V-
twin engines. They also produced an 8 hp motorcycle sidecar model fitted with
a Vickers machine gun.

Inter-war years (1921–1939)

In 1921, Enfield developed a new 976 cc twin, and in 1924 launched the first
Enfield four-stroke 350 cc single using a Prestwich Industries engine. In 1928,
Royal Enfield began using the bulbous 'saddle' tanks and centre-spring girder
front forks, one of the first companies to do so. Even though it was trading at a
loss in the depression years of the 1930s, the company was able to rely on
reserves to keep going. In 1931, Albert Eddie, one of the founders of the
company, died and his partner R.W. Smith died soon afterwards in 1933.
1923 Royal Enfield 225cc

Second World War (1939–1945)

During World War II, The Enfield Cycle Company was called upon
by the British authorities to develop and manufacture military motorcycles. The
models produced for the military were the WD/C 350 cc sidevalve, WD/CO
350 cc OHV, WD/D 250 cc SV, WD/G 350 cc OHV and WD/L 570 cc SV. One
of the most well-known Enfields was the [ designed to be dropped by parachute
with airborne troops.

In order to establish a facility not vulnerable to the wartime bombing of the

Midlands, an underground factory was set up, starting in 1942, in a disused
"Bath Stone" quarry at Westwood, near Bradford-on-Avon, Wiltshire. Many
staff were transferred from Redditch and an estate of "prefabs" was built in
Westwood to house them.
As well as motorcycle manufacture, it built other equipment for the war effort
such as mechanical "predictors" for anti-aircraft gunnery: the manufacture of
such high precision equipment was helped by the constant temperature
underground. After the war the factory continued, concentrating on engine
manufacture and high precision machining. After production of Royal Enfield
motorcycles ceased, the precision engineering activities continued until the final
demise of the company.

Royal Enfield 250 cc, type 11F

POSTWAR MODEL G AND MODEL J AND EX-MILITARY CAND X

CO(1946-54)

Postwar, Royal Enfield resumed production of the single cylinder ohv 350cc
model G and 500cc Model J, with rigid rear frame and telescopic front forks.
These were ride-to-work basic models, in a world hungry for transport. A large
number of factory reconditioned ex-military sv Model C and ohv Model CO
singles were also offered for sale, as they were sold off as surplus by various
military services.

In 1948, a groundbreaking development in the form of rear suspension

springing was developed, initially for competition model "trials" models
(modern enduro type machines), but this was soon offered on the roadgoing
Model Bullet 350cc, a single cylinder OHV. This was a very popular seller,
offering a comfortable ride. A 500cc version appeared shortly after. A mid
1950s version of the Bullet manufacturing rights and jigs, dies and tools was
sold to India for manufacture there, and where developed versions continue to
this day.

500 TWINS, METEORS, SUPER METEORS AND CONSTELLATIONS

1949-1963

In 1949, Royal Enfields version of the now popular selling parallel twins
appeared. This 500cc version was the forerunner of a range of Royal Enfield
Meteors, 700cc Super Meteors and 700cc Constellations. Offering good
performance at modest cost, these sold widely, if somewhat quietly in
reputation. The 700cc Royal Enfield Constellation Twin has been described as
the first Superbike.

250CC MODEL:

The 250cc class was important in the UK as it was the largest engine which a
'learner' could ride without passing a test. In the late 1950s and early 1960s,
Royal Enfield produced a number of 250 cc machines, including a racer, the
'GP' and a Scrambler, the 'Moto-X', which used a modified Crusader frame,
leading link forks and a Villiers Starmaker engine. The Clipper was a base-
model tourer with the biggest-seller being the Crusader, a 248 cc pushrod OHV
single producing 18 bhp (13 kW).

RE GT with flyscreen

RE GT with Avon Speedflow nosecone fairing

In 1965, a 21 bhp (16 kW) variant called the Continental GT, with
red GRP tank, five-speed gearbox (which was also an option on the Crusader),
clip-on handlebars, rearset footrests, swept pipe and hump-backed seat was
launched. It sold well with its race-styling including a fly-screen resembling a
race number plate which doubled as a front number plate mount.
RE Turbo Twin

The Avon 'Speedflow' full sports fairing was available as an extra in

complementary factory colours of red and white.

Other variants were the Olympic and 250 Super 5, notable for use of leading-
link front suspension (all the other 250 road models had conventional telescopic
forks) and the 250 'Turbo Twin', fitted with the Villiers 247 cc twin cylinder
two-stroke engine.

The Royal Enfield GP production-volume racer was first raced in the Manx
Grand Prix in September, 1964. Developed in conjunction with Royal Enfield
Racing Manager Geoff Duke the first public appearance was at Earls Court
Show in November, 1964. Using a duplex-tube frame, leading link forks and
one-piece tank and seat unit, the 250cc two-stroke single engine was similar to
other small capacity race machines offered from
rivals Greeves, Cotton, DMW and particularly Villiers, which provided the
engines for these marques and many other manufacturers and bike-builders
including the 'Starmaker' competition engine used for the Scorpion racer
and Sprite scrambler.

ROYAL ENFIELD INTERSEPTOR

Royal Enfield Interceptor motorcycle

During the onslaught of the Japanese motorcycle manufacturers in the late

sixties and early seventies, the English factories made a final attempt with the
692cc Interceptorin 1960–1961followed in 1962–1968 by the 736cc Series I and
Series II Interceptors. Made largely for the US market, it sported lots of chrome
and strong performance, completing the quarter mile in less than 13 seconds at
speeds well above 175 km/h (105 mph).It became very popular in the US, but
the classic mistake of not being able to supply this demand added to the demise
of this last English-made Royal Enfield.

The Redditch factory ceased production in 1967 and the Bradford-on-Avon

factory closed in 1970, which meant the end of the British Royal Enfield. After
the factory closed a little over two hundred Series II Interceptor engines were
stranded at the dock in 1970. These engines had been on their way to Floyd
Clymer in the US; but Clymer had just died and his export agents, Mitchell's of
Birmingham, were left to dispose of the engines. They approached the Rickman
brothers for a frame. The main problem of the Rickman brothers had always
been engine supplies, so a limited run of Rickman Interceptors were promptly
built.

As far as the motorcycle brand goes, though, it would appear that Royal Enfield
is the only motorcycle brand to span three centuries, and still going, with
continuous production. A few of the original Redditch factory buildings remain
(2009) and are part of the Enfield Industrial Estate.

ORGANIZATIONAL PRACTICES – A DISCUSSION:

STRUCTURE:

Over the years, Royal Enfield has undergone considerable changes in its organization
structure. IN 1955, when there was a requirement for 800 of these motorcycles for the Indian
army and police force, the Red ditch plant failed to deliver them and outsource Chennai
called the Enfield India Limited. This geographical diversification was what lasts as Royal
Enfield today as the UK parent company ceased production in 1970.

When Eicher bought this company, they proceeded to revamp the air structuring. Introducing
new models necessitated a Product Division Structure. The Jaipur plant was shut down to
achieve greater centralization and also to enable better vendor management. Siddhartha Lal
also created cross up with models that would match the customers’ aspirations while
fulfilling the requirements of efficient production. He created a feedback network whereby
the customers’ feedback was taken into consideration while they researched the new
products. This led to new developments like the AVL engine, and the Glass Wool Silencer.

While Thunderbird was launched to cater to the newer market segment who needed a cruiser
lookalike that would give them the ‘Indian retro-segment with the same look as the classic
Bullet but with more reliable electrical systems and greater fuel efficiency. After Sales
Service, a traditional sore point with Royal Enfield was structured into the organization with
incentives and rewards instituted improved the image of the company.

CULTURE:

Royal Enfield has always been the aspirational motorcycle in India. Being the only product
above250cc in the country, it has attracted motorcycle enthusiasts over the years. The
company ensures that every individual working for it takes immense pride in the fact that
they are part of a heritage. Being a manufacturing Sector Company, they follow a
mechanistic structure, which generally gives rise to tall hierarchies and therefore a more rigid
culture. At Royal Enfield, however, the managers foster a culture of participative
development and there exists a great ease of communication between shop floor supervisors
and the management.

The workers who are part of the “hand-crafting” division that makes the hand-painted fuel
tanks are treated as royalty at the plant and this respect for workmanship often serves as the
greatest socializing factor for new recruits who join the factory.
Managing the External Environment:

Amongst its external environment, three factors that impact the company most profoundly are

 Competitors
 Government
 Customers

1. Competitors – Since its foray into India, Royal Enfield has borne witness to the complete

Gamut of motorcycles that have ventured into this market. Some, like Rajdoot and Yezdi
Have vanished without a trace. Others like Hero Honda and Bajaj have made their mark.
Royal Enfield remains ahead of the competition by being the only motorcycle to cater to the
category above 250cc. Now that other companies are upgrading displacement capacities,
Enfield has taken a step forward in installing the new twins park and Unit Construction fuel
injected engines. These would enable Enfield to stay in the race with the lighter motorcycles
without compromising on its marquee value.

2. Government – The Government norms about emission dictate that any automobile
company shall constantly stay on its toes to make sure that they conform to the rules. Enfield
manages this through constant Innovation in silencer design. In fact, there are three different
varieties of silencer and ECUs that are fitted on the various models as of now.

3. Customers – Being a premium segment product, Royal Enfield needs to constant build
rapport with its customers and create greater aspiration value for the brand. Organizing
various national level events around the year.

Factors Conducive for Growth of the Organization:

India has, in recent years, seen a tremendous increase in the spending potential of its youth.
This high demographic dividend has enabled more customers to spend on lifestyle and
leisure. This enlarges the market segment for a premium product like the Royal Enfield
which are priced around the Rs. 1 lakh mark.

Also, the lack of other motorcycles in its segment gives it an almost monopolistic control
over its target customer niche. Any individual who wishes to buy a powerful motorcycle with
long distance and endurance riding capabilities without having to import one would go ford’s
products.
The spares and components that go into a Royal Enfield are almost exclusive to the company.
For example, the 230 mm disc brake manufactured by Pricol is exclusively for Enfield’s and
this gives the company an excellent opportunity to manage its suppliers. This control over
symbiotic interdependencies holds the company in good stead against its more generic
competitor

In the international markets, it is the cheapest entry and it appeals to the retro-sensibility of
the youth in these countries. This would also aid the sales of the brand in the foreign markets
where it exported

Growth of the Organization:

As seen from the Annual reports, the sales of the brand have climbed steadily from 28000
in2003-2004 to 33000 in 2006-2007. This growth has been made possible by the proactive
steps taken by Mr. Siddhartha Lal at the helm of the organization. Royal Enfield exports its
bikes to over 25 countries including developed countries such as USA, Japan, UK and several
European countries. Royal Enfield is the only motorcycle company to be certified with the
coveted ISO 9001 and ISO 14001 for quality and environmental systems.

Factors that Led to Expansion & Growth:

Since the take-over by Eicher, Royal Enfield has shown steady growth. This has been
possible because of the plethora of new products that were introduced. The high level of
innovation made sure that they increase their market share without taking the conventional
revamp route taken by most other Indian manufacturers. The passion and drive of Mr. Lal has
also played a major role in shaping the culture of the organization into a more pro-customer
model that has made it more accessible. It is today the only Indian manufacturer that invites
the general public to visit its factory.

Decline & Subsequent Expansion – Factors:

After the entry of Hero Honda into the motorcycle market in the early 1990s, the Indian
public shifted to the more fuel efficient variants while Royal Enfield failed to deliver a new
product. Its sales dwindled and it seemed like it was going to close shop like Yezdi and
Rajdoot had already done. The take-over by Eicher was perhaps the turning point that gave
this company a fresh lease of life and enabled it to expand to its present strength.
DEALER PROFILE

CLASSIC MOTORS , established in 2000, is the holding company of the

ROYAL ENFIELD automobile corporate dealer in India. The service focused
company provides employment to over 10,000 people with revenue of around
Being the trading and distribution arm of the group, the business activities
ofCLASSIC MOTORS include dealerships for Automobile vehicles, sales &
service of products for special applications like Construction & Material
handling.
The company manages Joint Ventures in Sri Lanka and Bangladesh for
automobile distribution, dealership business through its subsidiary company in
UK.
The Dealership Business focuses on sales and distribution of commercial Bikes.

ROYAL ENFIELDdistributes commercial vehicles, utility & sports multi-utility

vehicles, passenger cars and construction equipment representing various
leading automobile vehicle manufacturers.
The company has more than 150 outlets and sells over 60,000 vehicles. It
provides services for more than 6,00,000 vehicles per annum. is theROYAL
ENFIELD leading automobile distribution company in India.

ROYAL ENFIELD a dominant dealer in South India until 90s, has now become a
PAN India organisation in automobile after-market vertical over the years. All
the outlets are constantly been upgraded in order to provide the right ambience
to the customers; the company is also known for its contribution to the
customers by reducing the down time of the vehicles and improve the
profitability of customers using tools like Kaizen & LEAN.

Carrying over the success of ROYAL ENFIELD dealerships in Kerala, Classic

Motors delighted to inaugurate its dealerships in Tamil Nadu. Accordingly,
ROYAL ENFIELD will have 17 outlets for sales and service across Chennai,
Madurai, Dindigul and Theni districts.

Space Friendly:

The interiors are aimed at making you feel completely at ease, in luxury.
Because for us customer is the king, one who deserves a regal offering. The
setting is apt for times when you need to switch into a relaxed state of mind.

Technology to Stay Ahead:

We are equipped with the latest technological advancement in the industry, in

order to give the best of services when it matters. Not just to be part of, but to
build the future, is our motto.

Service with Commitment:

Our dedicated team of mechanical specialty offers expert treatment for your
vehicle. We ensure consistency in performance each time, without fail.

Attention to Details:

We provide genuine spare parts and accessories to ensure exceptional

performance. Every single aspect related to your vehicle is taken care of at our
premises.

Dealing Made Convenient:

It is a part of our commitment policy to give advantage to the customer at every
juncture. We offer assistance of every kind at our premises itself, which makes
it a one stop facility.

Expert Guidance at Every Step:

Our sales team gives utmost priority to your satisfaction. When you need help to
make the right choice, it is ensured that the result is beyond your expectations.
Thus making it a point that you get the best in both luxury and comfort always.

Promotional Activities:

The promotional activities adopted by CLASSIC MOTORS., are

 Test Driving
 Free Driving
 Hoarding
 Discounts
 Advertisement in Newspaper and magazines
 Gift Schemes
 Free Services
 Mileage Contents

Promotional expenses have been borne by both CLACCIS MOTORS, shares in

advertisement cost.
Service Offered:

Six Service and paid service after sale of Bikes.

 Free checkups campaigns

 Finance through bank
 Demonstration for new products

 Acceptance of warranty claims

Working Time:

Working hours in classic motors PvtLtd.are 12 hours per day starting from
08:30 am to 7:30pm with one-hour break for lunch and 15 minutes for evening
tea and coffee.

Observation in Training
During the period of training we observed the whole process like booking a bike
to delivering a bike (product) to the rightful customers in Royal Enfield
showroom.

ENQUIRY:
Enquiry is the process where customer wants to know about the basic and
special feature about the bike they like to purchase. At that time of enquiry,
salespersons is one who is responsible to attend the customer and need to clarify
their queries.
And there are different way of enquiry can be done by the customer, they are as
fellows
  Walk-in enquiry
 Tele enquiry
 Web enquiry
Walk-in enquiry:
In these kind of enquiry, the customer will visit directly to the showrooms in
order to get the details whatever they desire to collect from the salespersons
itself. Where they can get clarification about their doubts by manually handling
the bike which has been kept for display

Tele enquiry:
Here customer can enquiry through the telephone about the bikes they indent to
buy. Where all the data’s will be noted down by the salespersons for their future
reference. In case the customer wants to clarify their doubts.

Web enquiry:
It is the kind of user friendly way of enquiry done using the websites provided
by the showroom itself. Those websites will have all the details which are
essential things like contact number, prize, specification and features about the
product. And also helps to know about the rides offered by the showroom to
give a new experience to explore the world.

Booking a vehicle:

For booking a bike (product) form their willing showroom, there are
Certain process and steps need to be carried out by the customer.
TheCustomer needspay a initial amount of Rs.5000 for booking a vehicle.
Once the customer paid the initial amount, a bike will be allocated to the
customer. The allocation the done though salesperson by showing the
bikes that has been kept in the storage area. once the booking process is
done then the customer needs to pay the remaining amount before the
date of delivery.

RE MODELS:
There are various models of bikes produced by the Royal Enfield Company
According to the affordable price the customer willing to pay.

S.NO MODELS

1 Classic 350 CC

2 Bullet 350 CC

3 Classic 500 CC

4 Bullet 500 CC

5 Himalayan

6 Interceptor 650 CC

7 Thunderbird 350 CC

8 Thunderbird 350X

9 Continental GT 650 cc

Some Specifications of Royal Enfield Bikes

1. Royal Enfield Classic 350
Price Range: Rs.1.39 - 1.62 lakh Ex-showroom Price
Engine Dispel. : 346 cc Power: 20.07 PS @ 5250 rpm
Mileage: 37 Kmpl No Of Gears: 5 Speed
Fuel System: Fuel Injection ABS: Dual Channel
Head Lamp: Halogen Wheels Type: Spoke
Tyre Type: Tube Standard Warranty (Years): NA

2. Royal Enfield Classic 500

Price range: Rs.1.79 - 2.17 lakh Ex-showroom Price
Engine Displ. : 499 cc Power: 27.57 PS @ 5250 rpm
Mileage: NA No Of Gears: 5 Speed
Fuel System: Fuel Injection ABS: Dual Channel
Head Lamp: Halogen Wheels Type: Spoke
Tyre Type: Tube Standard Warranty (Years): Y

3. Royal Enfield Himalayan

Price Range: Rs.1.79 - 1.81 lakh Ex-showroom Price
Engine Displ. : 411 cc Power: 24.83 PS @ 6500 rpm
Mileage: 29.48 kmpl No Of Gears: 5 Speed
Fuel System: NA ABS: Dual Channel
Head Lamp: Halogen Wheels Type: Spoke
Tyre Type: Tube Standard Warranty (Years): Y

4. Royal Enfield Classic 500 Pegasus Edition

Price: Rs.2.17 lakh Ex-showroom Price
Engine Displ: 499 cc
Power: 27.57 PS @ 5250 rpm
No. of Gears: 5 Fuel System: Fuel Injection
ABS: Dual Channel

5. Royal Enfield Thunderbird 350X

Price: Rs.1.62 lakh Ex-showroom Price
Engine Displ. : 349 cc Power: 20.07 PS @ 5250 rpm
Mileage: NA No Of Gears: 5Speed
Fuel System: Carburetor ABS: Dual Channel
Head Lamp: LED Projector Wheels Type: Alloy
Tyre Type: Tubeless Standard Warranty (Years): NA

6. Royal Enfield Thunderbird 350

Price Range: Rs.1.50 - 1.55 lakh Ex-showroom Price
Engine Displ. : 346 cc
Power: 20.07PS @ 5250 rpm
Mileage: 40 Kmpl No Of Gears: 5 Speed
Fuel System: Fuel Injection ABS: Dual Channel
Head Lamp: Halogen Wheels Type: Spoke
Tyre Type: Tube Standard Warranty (Years): Y

7. Royal Enfield Thunderbird 500X

Price Range: Rs.1.99 - 2.13 lakh Ex-showroom Price
Engine Displ. : 499 cc Power: 27.57 PS @ 5250 rpm
No of Gears: 5Speed Fuel System: Fuel Injection
ABS: Dual Channel Head Lamp: LED Projector
Wheels Type: Alloy
TyreType: Tubeless Standard
8. Royal Enfield Thunderbird 500
Price Range: Rs.1.91 - 2.05 lakh Ex-showroom Price
Engine Displ. : 499 cc Power: 27.5 PS @ 5250 rpm
Mileage: 30 Kmpl No Of Gears: 5 Speed
Fuel System: Fuel Injection ABS: Dual Channel
Head Lamp: Halogen Wheels Type: SpokeTyre
Type: Tube Standard Warranty (Years): Y

9.Royal Enfield Bullet 350

Price Range: Rs. 1.16 - 1.33 lakh Ex-showroom Price
Engine Displ. : 346 cc
Power: 20.07 PS @ 5250 rpm
Mileage: 40 Kmpl No Of Gears: 5 Speed
Fuel System: Carburetor ABS: no
Head Lamp: Halogen Wheels Type: SpokeTyre
Type: Tube Standard Warranty (Years): Y

10.Royal Enfield Interceptor 650

Price:Rs.2.50 lakh Ex-showroom Price
Engine Displ. : 648 cc
No of Cylinders: 2Torque: 52 Nm @ 4000 rpm
Power: 47.65 PS @ 7100 rpm Top Speed: 146.96 kmpl
ABS: Dual Channel Head Lamp: Halogen
Tachometer: Analogue
FIANCE PROCESS:
Fiancéprocess is nothing but providing the financial support to the
customerThose who need of financial support, at first they need to pay a initial
Amount according to the financial executive calculation. Every calculation will
differ according to the different bike models by using the EMI calculation that
they already have.
The calculated EMI for Royal Enfield Classic 350 is Rs. 4,006 per month @
9.45% for a tenure of 36 months for a loan amount of Rs. 1, 25,135and
remaining amount need to be paid by the customer itself.
The loan will be provided to the customer to the on-Road price only, the
transaction will be made only when all the proof are verified and checked by the
fiancé executive. The documents like income proof, pan card, aadhar card and
many identification documents that are issued for the government.
Over 90% of loan will be allotted to the customer those who having the proper
income proof and 80-85% of loan will will be allotted to the customer those
who having the non- income proof.
Before all the above process, the fiancé executive need to create a new ID for
the customer with the essential documents needed to get a loan and also they
will do FI and DOC verification once the loan is granted.
Benefits of Scheme
 Finance options from Bank's & NBFC's providing instant approval*
 Best Rate of Interest*
 Minimum documentation & Maximum Funding on On Road Price
 Longest tenure up to 5 years
 Avail additional loan for GMA along with vehicle loan

TENURE
1 2 3 4 5
(YRS):

LOAN
10,000 10,000 10,000 10,000 10,000
AM OUNT:

ROI (P.A): 9.45% 9.45% 9.50% 9.70% 9.85%

EM I: 913 496 357 290 249

For 350 IRR 17% to 19%

PDI PROCESS:
P D I ( p r e - d e l i v e r y i n s p e c t i o n ) is the final check carried out by the
dealer on a bike before they hand it over to the customer. As part of the process,
you should receive a certificate to guarantee that the inspection has been carried
out and that there are no problems.Here all the bikes will be checked whether it
has all the parts from the manufacturing plant at the time of unloading the bikes.
The PDI inspecting team will also check whether the bike is in proper working
condition by inspecting the each and every individual bike. While checking if
there is any damage in bikes they need to file a complaint to the sales manager,
the manager will take it to the distributors notice by mentioning all the failures
and defects in the bike through official email.
And the damaged bike can be send back to the manufacturing plant but before
that they try to fix the damages in showroom itself, if not they will send it back
The PDI teams also have to deliver the bike to sub-dealer after the PDI is done
because it is the main showroom, where all the bikes will be unloading and
stored in the warehouse.
There are certain things need to checked during the PDI, they are

Motorcycle Chassis/VIN number stamped on the headstock:

VIN (VEHICLE IDENTIFICATION NUMBER) number on a motorcycle is
almost always found near the neck or headstock (right or left) usually it's always
on the right side. Usually a VIN number is almost always on the Chassis. Don't
confuse this with the ENGINE NUMBER which is stamped on the engine
casing. Different manufacturers have different VIN code, you can always ask
your dealer to decode the VIN number if you find you're getting an older lot or
if you find anything unduly.

Electricals:
It's a good idea to inspect the electric/electronic components of the vehicle,
visually. They Check flashers, headlamps, horns, brake lights (both front and
rear brake) Also make sure yoSpeedo console is perfect, especially the self
check, how it works, if there's anything unduly, they can always catch the issue
then and there. Make sure battery terminals are secured in the right manner.
95% of the times the battery is installed at the dealership level, and when the
demand exceeds supply they do a flimsy job, loose terminals, loose mirrors,
add-ons if any. Always make sure battery terminals are tightened, removing the
battery cover and inspect the terminals by slightly tugging them, it should be
tight and snug, if the star screw or a nut, in the terminals dances when you do
the jolting, get them tightened.

Engine:

Specs apart, It'd be great if you can crank the engine and rev it a little and see
how it actually sounds, and let it idle for a minute or two. It is a good pointer
especially, if and when you hear noises that aren't related to the engine, like
loose fairing bolts/screws or anything or any rattling this is perhaps off tangent
to the character of the engine. Four strokes do make slight timing chain noise,
even if they're new, so don't confuse them. If you hear buzzing noise, rattling,
these are all clearly discernible from the way the engine sounds.

Peripherals/Add-ons:

Like I stated above, make sure all the other add-ons, buzzers, mirrors, crash
guards are tightened properly, all these can be easily inspected by tugging them
and inspecting for any slack in bolts or unevenly torque bolts/screws/nuts. I
personally have experienced instances where my rear chain adjuster nut has
fallen due to improper tightening. Talking about chain...

Driveline/Chain:

The most neglected part of a motorcycle during its service and upon delivery is
the chain, slackness of the chain. Make sure your chain is at slack, make sure all
the components, such as Chain adjusters, nuts and the related components are
nice and tight (both sides) to the right slack measured in mm/inches mentioned
on the swing arm and make sure it's lubed you take them out. Usually they are
lubed with dry lube at the factory level, but it doesn't ask more to inspect
visually, what is one of the most important elements of a motorcycle.

Brakes:

Visually check for the brake lines/hoses, check the lever play, press the
levers/pedal both front and rear, feel how the brake lever/pedal tightens, if it's
too spongy, you have to report it to the dealership chaps immediately. Spongy
brakes are almost always a sign of air in the lines. I've never faced such issue or
never heard of such issue all these years, but brakes being vital, it doesn't hurt to
check them in the process.

Usually what most guys complain is hard rear brake, yes, motorcycle disc brake
pads do take some time to set in, though initially they're harder, once they bed
in, they become more responsive. But again there is a reason why the front
brakes are always bigger than the rear, try using front brakes, front brakes work
effectively when used in tandem with the rear brake.

Clutch lever/Accelerator Tube Play:

New bikes have clutch adjusted so that they work when they just get released at
the top most part of the lever throw. This isn't a problem, but that's how they are
adjusted at the factory level for most of the bikes, if you feel uncomfortable at
that setting, you can reduce the settings, so that you have the correct setting for
your riding style.

Accelerator tube settings are usually almost faultless, but in some cases, they do
get loosened up and the play is at the extreme end, where the tube needs to be
rolled in a good part to keep the revs. Make sure the throttle is slick so that
when you open the throttle and let go, it must return at slick speed, if you see
sticking throttle cable or a slow return or a intermittent return, get your
accelerator play checked. New bike, right you don't wanna mess with the
accelerator
FLUIDS:

This is of paramount importance, be it air cooled, water cooled. This is

especially important if your motorcycle has a liquid cooled motor. Check the
radiator fluid, fluid in the compensation fluid tank, engine oil, brake fluid
reservoirs. Usually it's at the spec 99% of the time, but since fluids are being
topped at the dealer level these days, you never know what gets missed in
between the lines, make sure all the recommended fluids are at their
recommended levels.

Tires/Tires:

Usually these are the only thing in a new bike one can go with eyes closed, or is
it? This is where tire pressure comes into play, ask your dealer to check the tire
pressure. Uneven tire pressure can cause sluggish performance and especially
on a new bike this can even worsen the first-buyer experience. Check the right
psi. Tire pressure readings are given on the left side swing arm of the bike.

INVOICE:
An invoice is a document issued by a seller to the buyer that indicates the
quantities and costs of the products or services provider by the seller.

An invoice specifies what a buyer must pay the seller according to the seller’s
payment terms. Payment terms indicate the maximum amount of time that a
buyer has to pay for the goods and/or services that they have purchased from the
seller.

An invoice indicates that a buyer owes money to a seller. Therefore, from a

seller’s point of view, an invoice for the sale of goods and/or service is called a
sales invoice. From a buyer’s point of view, an invoice for the cost of goods
and/or services rendered is called a purchase invoice.

An invoice has historically been a paper document mailed to the buyer, but
these days sellers can request payments online with electronic invoices.

What is included on an invoice?

Typically, an invoice document will contain a combination of the following
details

 The word ‘Invoice’

 A unique invoice number for both the seller’s and the buyer’s reference
 The name and contact details of the buyer
 The name and contact details of the seller
 The date the product was sent/delivered, or the date the service was
rendered
 The date the invoice was sent
 The payment terms (detailing the method of payment, when the payment
should be received, details about late payment charges, early payment
discounts, etc.)
 A description of the product/service
 The price per unit of the products (if applicable)
 The total amount charged

RTO REGISTRATION FOR CUSTOMER:

For registration custom will need to submit following documents:
 Temporary Registration
 Form 20, Form 21, Form 22
 Insurance paper
 Original invoice of the bike.
 Attested photocopies of the Address Proof, ID Proof, and of
insurance.
 Invoice

all these documents will be taken to local RTO, and then submit
the all these document to the concerned RTO personnel, if the
 documents founds ok on verification you will need to pay fee for
registration then within some days registration certificate will be
issued.
A Temporary Registration is granted to a new vehicle to transport it
from the place of purchase to the place of registration. The temporary
registration is issued for a period of 7 days. But for a chassis to which a
body has to be built, the validity will be for one month.

SERVICES APPLIED FOR CUSTOMER:

Royal Enfield provides 4 free services on its bikes on (500 km, 3000 km, 6000
km and 9000 km) or on (1.5 month, 3 month, 6 month and 9 month) whichever
is earlier

Royal Enfield will replace or repair defective part/parts at their Authorized

Dealer/Service Point, free of charge within a period of 12 months from the date
of sale (date of installation) or 10,000 km’s, whichever occurs earlier. The
warranty is applicable only to first registered owner. During the warranty
period, Royal Enfield's obligations shall be limited to repairing/replacing free of
charge such part or parts of the vehicle, which on examination are found to have
manufacturing defects.

On-site Minor Repairs:

For all minor faults and an immediate repair thereof, a technician will be
dispatched to the breakdown location to attend to the motorcycle. While Royal
Enfield shall bear labor and conveyance, extra Parts & materials will be charged
on actual

Roadside Assistance (RSA):

Royal Enfield Road Side Assistance Program is a 24x7 emergency support
provided in the event of any mechanical or electrical breakdown and or traffic
accident of the user’s motorcycle, anywhere on National highways, State
highways or rural roads within mainland India and at user’s Home and/or
Office (Limited to 2 interventions per agreement year).
Roadside Assistance is offered through our partner, Europ Assistance India Pvt.
Ltd.

Vehicle Accident
In case of accidents or when the motorcycle can’t be repaired on the spot, Royal
Enfield shall assist in transporting the motorcycle to the nearest Royal Enfield
service center for repairs.

Fuel Delivery
In case you run out of fuel while on a ride, a Royal Enfield technician will bring
upto 5 litres of fuel to your location. The cost of the fuel shall be charged on
actuals

TEST DRIVING:
Customer can use the bikes that kept for test driving to examine (something,
such as a computer program) in order to evaluate performance of the bike in on
road and to get the real experiences.
Before taking a bike to test driving there are certain things need to fellow by the
according the company roles and regulations.
At the customer must have the driving license that provided by the government
up to date, after getting all the data to be filled in the test driving form.
The customer can take the bike that he wants to test drive, along with the
customer one salesperson should go for his safety and for security reasons, the
customer are allowed to ride a bike for a particular distance only.
For test driving no charges will be applied.
SUPPLY CHAIN MANAGEMENT:
As Royal Enfield, the motorcycles division of Eicher Motors, scales up
production by more than doubling its capacity to 150,000, the management sees
managing supply chain as “the challenge.”
Royal Enfield's plant in Chennai has been tweaked to produce 70,000
motorcycles a year, the most it can, but a customer who wants an Enfield today
will have to wait at least for 7 months.
“Of course, we did,” says Dr Venki Padmanabhan, Chief Executive Officer,
Royal Enfield, when asked if the company failed to read the market correctly.
But the company is now eyeing expansion, it recently announced a Greenfield
project which will raise capacity to 150,000.
The challenge is to get the vendors also to raise supplies commensurately. Even
at 150,000 vehicles a year, Royal Enfield volumes are still low from a vendor's
perspective, and therefore the issue is to ensure that the vendors do not slip up
on delivery even if they are under pressure to first satisfy the needs of his
customers.
Dr Padmanabhan said Royal Enfield is working on creating a “supplier park”
inside the 50-acre site allotted to it by the Government.
No more a blue ocean
With foreign motorcycle biggies such as Harley Davidson, Triumph and Ducati
also eyeing the Indian market, the premium-bike market is no more a blue ocean
and Royal Enfield knows this well.
Today, there are no players in the 350cc-500cc segment. Below this segment is
the large volume segment going more and more ‘mass' with the decrease in
engine capacity.
However, the companies in this segment also nurture ambition to enter the 350-
500 cc segment. Similarly, the ‘above 500cc' segment, too, would like to come
down to the niche now occupied by Royal Enfield.
But Dr Padmanabhan believes that Royal Enfield, being an incumbent in this
segment has an advantage, with the new capacity coming up.
As economy of scale kick-in, resulting in cost reduction, Enfield will pack more
value into the vehicles, perhaps more than the competition.
On its part, Royal Enfield does have ambitions to go up the ladder and produce
bikes of 650 cc and above, (although it will not get into the mass market.)
Key to doing this will be getting an appropriate engine. Would Royal Enfield
develop one on its own, or seek technical collaboration? Dr Padmanabhan says
the company is looking at both options.
MARKET SHARE OF RE:
Royal Enfield, the premium bike brand from Eicher Motors, is expecting to
close 2018-19 with a sales figure of about 9,25,000 units, posting a growth of
12.7 per cent over 2017-18 when it sold 8,20,121 units.
The growth trajectory for the “oldest motorcycle brand in continuous
production” has been somewhat tempered by floods in Kerala, its key market, a
workers' strike and suppressed demands due to ABS and BS VI regulations
kicking in.
Rolling out the Interceptor INT 650 and Continental GT 650 motorcycles in
Calcutta on Thursday, Rudratej Singh, president of Royal Enfield, said: “We
will be growing faster than the market which is at a high single-digit growth.
We had a 35 to 40 per cent growth over a three-year period.”
“At present, we have a market share of 6.5 per cent with a 91 per cent market
share in the middle-weight category where we operate. But more than the
physical market share we are building on the brand share, where we track how
people find the brand and how the brand recognition is among buyers. There we
have a 25-to-30-per- cent share,” Singh added.
Royal Enfield has products in the category ranging from 250cc to 750 cc with
the 650 cc twins being the largest displacements in the Enfield portfolio.
“The multi-cylinder 650 cc is the largest displacement bike that is engineered in
India,”
India's market for premium motorcycles — those priced above Rs.1 lakh —
crossed the 1-million-unit annual sales milestone in fiscal 2018, growing at a
much quicker pace than the overall bike segment.

India is the world's biggest two-wheeler market and premium bikes make up for
just 5% of the overall sales. But that share is set to increase, say industry
experts, as more and more buyers are looking at larger and more powerful bikes
than just the mass-market commuter options. In the year ended March 31, 2018,
the premium segment of bikes displacing 150cc to 2 liters grew 20% to 1.02
million units, compared with a 14% expansion in overall market.
This outperformance is a clear sign of a maturing market, say experts. Not only
people are upgrading to big bikes, but the youth of today is willing to move
straight to premium and high-performance bikes due to easy access of finance.

Rishad Cooper, a two-wheeler expert and former editor for bikes at Auto car
India, said the market was expected to see exponential growth in the years to
come. “The high growth is not surprising, as all fundamental factors of rising
disposable income, easy access to finance, growing awareness, mushrooming
biking clubs, road infrastructure all have played a part in this growth and
vehicle makers have ensured the right products are made available frequently,”
Cooper said.

And, there are many sub-segments getting created right from cruiser bike, sports
bike, adventure bikes to street bikes.

This growth has been singlehandedly driven by Royal Enfield, which sold more
than 8 lakh units in the last fiscal year, creating a massive mid-size motorcycle
segment in India. In the process, the company also broke into the top five two-
wheeler makers in the country, overtaking Yamaha which sells a majority of its
bikes at almost half the price of an Enfield motorcycle.
Speaking on the sidelines of an event to launch the Classic 500 Pegasus Limited
Edition, Royal Enfield president Rudratej Singh told ET that the company’s
order book continued to outpace supply as demand was very strong in the
market. “The competition will go up which is great as eventually both consumer
and the market will win,” said Singh.
Royal Enfield's sales tumbled for the third straight month, with the company
reporting a 17 per cent decline in total motorcycles sold to 62,371 units in May
2019.
In comparison, Royal Enfield had sold 74,697 units in May 2018. The
motorcycle brand had witnessed a sales decline of 20 per cent in March
2019 and 17 per cent in April 2019.
On the domestic front, the company registered a fall of 17 per cent to 60,211
units in May 2019. The two-wheeler maker had sold 72,510 units during May
2018.
A total of 2,160 units were sold by Royal Enfield in the international markets
during the month under consideration. This is 1 per cent lower than 2,187 units
sold by the company in the year-ago period.
STOCK CHECKING:
Stock-taking or "inventory checking" is the physical verification of the
quantities and condition of items held in an inventory or warehouse. This may
be done to provide an audit of existing stock. It is also the source of stock
discrepancy information.
Stock-taking may be performed as an intensive annual, end of fiscal year,
procedure or may be done continuously by means of a cycle count. An annual
end of fiscal year stock-taking is typically undertaken for use in a
company's financial statements. It is often done in the presence of the external
auditors who are auditing the financial statements.
Periodic counting is usually undertaken for regular, inexpensive items. The term
"periodic" may refer to annual stock count. However, "periodic" may also refer
to half yearly, seasonal, quarterly, monthly, bi-monthly or daily.
Moreover the salespersons are try to sale the old stocks that has been stored in
the warehouse to archive their target, sales manager needs check the stocks
leftover in the warehouse to maintain a proper record.
The stock checking is done by verifying the engine number and the chases
number in bike with the records from the manufacturing plant, so that they can
identify the old stock with the unique serial number provided to each bike.
DELIVERY PROCESS:
In cities like Mumbai, Pune, Ahmedabad and Kochi, the waiting period for the
Classic 350 stands at one month, whereas in Bengaluru, Hyderabad and
Chennai, it is only 15 days. The good news for customers in Delhi, Chandigarh,
Kolkata, Jaipur, Lucknow and Patna is that there is no waiting period for the
Classic 350.
The Royal Enfield Bullet 350 on the other hand takes 20 days to be delivered in
Mumbai and Pune, and 25 days in Kochi. Delhi and Bengaluru customers will
have to wait for 15 days before taking their delivery. The motorcycle has no
waiting period in Hyderabad, Chennai, Ahmedabad, Chandigarh, Kolkata,
Jaipur, Luckow and Patna.
Usually the delivery will be delayed if the customer want any custom that needs
to done other than the basic manufacturing design, the custom design will cost
more than the basic price from the plant.
During the delivery time the customer will be treated as a king and the bike will
be handed over to the customer by praying to the god, only if the customer like
to do so.
As a compliment for owning a Royal Enfield bike, a helmet will be provided to
the customer for safety of the customer for free of cost.
 25
No waiting Period 15 days 20 days 1 month
days
Hyderabad, Chennai,
Bullet Ahmedabad, Chandigarh, Delhi, Mumbai,
Kochi -
350 Kolkata, Jaipur, Lucknow Bengaluru Pune
and Patna.
Delhi, Chandigarh, Bengaluru, Mumbai, Pune,
Classic
Kolkata, Jaipur, Lucknow Hyderabad and - - Ahmedabad and
350
and Patna Chennai Kochi

The above table should give you a fair idea about when to book your dream RE.
At places with zero waiting period, the motorcycle is usually delivered after the
full payment is confirmed.
PRICE LIST OF ROYAL ENFIELD:

S.NO MODELS PRICE

1
Royal Enfield Classic 350 Rs.1.47 - 1.64 lakh Ex-showroom
Price
2
Royal Enfield Bullet 350 Rs.1.18 lakh Onwards

3
Royal Enfield Bullet 500 Rs.1.74 lakh Onwards

4
Royal Enfield Himalayan Rs.1.79 lakh Onwards

5
Royal Enfield Thunderbird 350X Rs.1.64 lakh Onwards

6
Royal Enfield Interceptor 650 Rs.2.51 lakh Onwards

7
Royal Enfield Continental GT 650 Rs.2.66 lakh Onwards

8
Royal Enfield Thunderbird 500X Rs.1.99 lakh Onwards

9
Royal Enfield Thunderbird 500 Rs.1.91 lakh Onwards

10
Royal Enfield Classic 500 Rs.1.79 lakh Onwards
TURN OVER AND EMPLOYEES:
LEARNING AND SUGGESTION:
Findings:
Royal Enfield had an okay month by its standards, selling 69,377 units,
registering a 2 percent growth over sales of August 2017 of 67,977 units.
Royal Enfield sold a total of 69,377 units in August 2018 as compared to 67,977
units in August 2017, recording year-on-year growth of just 2 per cent.
Domestically, the company sold 68,014 units which is again a 2 per cent
increase from 66,872 units sold in August 2017. The company's exports grew by
23 per cent with 1,363 units exported in August 2018 as compared to 1,105
units exported in August 2017. Till now, Royal Enfield has sold 354,740 units
in India as opposed to 308,911 units sold during the sometime last year,
It indicates a growth of 15 per cent. Similarly, the exports too grew by
20 percent with 9,061 units exported in the year till date in comparison to 7,523
unitsexported during the same time last year. Coming to overall sales (Domestic
Exports) Royal Enfield sold a total of 363,801 units in the financial year so far
and it is again growth of 15 per cent when compared to 316,434 units sold
during the same time last year. Royal Enfield sold 225,286 motorcycles in the
Q1 2019, registering a growth of 23 per cent over 183,731 motorcycles sold in
the same period last year.
Royal Enfield is one of the most profitable motorcycle companies in India and it
post edits best ever performance in the quarter ended in June 2018. The
Revenue from operations rose 27 per cent to a record Rs.2, 548 crores (net of
excise duty) in the quarter, compared to the same period last year.
The Profit after Tax grew by 25 per cent to Rs.576 crores from 460 crores in
the same period last year. The EBITDA percentage recorded rose to 31.8 per
cent this quarter from31 per cent in the same period last year last year.

Royal Enfield faced yet another tough month of sales in April 2019. During the
past month, sales dipped 17 percent to total sales of 62,879 units as compared to
76,187 units sold in April 2018. Royal Enfield sold 59,137 motorcycles in India
in the past month as against 74,627 motorcycles sold in the country in April
2018. Domestic sales declined 21 percent.
Royal Enfield sales have now declined for 6 consecutive months. They last
posted positive growth back in October 2018. It was also noted that motorcycles
in the sub 350cc segment suffered losses to the tune of 21 percent, while
motorcycles above 350cc grew 21 percent, thanks to the Interceptor 650 and
Continental GT 650.
Sales of motorcycles in the sub 350cc segment stood at 55,522 units while
7,357 bikes above 350cc were sold in the month under review. Exports on the
other hand surged 140 percent to 3,742 motorcycles in April 2019 as compared
to 1,560 motorcycles exported in April 2018

SAELES REPORT OF ROYAL ENFIELD:

The above table shows that the Royal Enfield sales has been in a declining state
because of poor sales strategies handled by the salespersons which results in a
low profit and reduces the market share of the royal Enfield.
This is because the customer were expecting something new and modernized
with a affordable price they could offer.
SUGGESTIONS:
Initially needs little bit more marketing and advertisement.
Marketing Communication should focus on satisfying the needs for Respect,
Power and Comfort. A non-flamboyant well-built brand ambassador may be
chosen to represent the Brand.
The respondents found difficulty in Royal Enfield when they go for short travel.
The respondents not have good impression about mileage and resale value
of the vehicle. Hence the Company may consider to improving its technical
aspects.
All the respondents have bought their vehicle by ready cash only because of the
interest rate they have to pay for. Therefore the company may arrange some low
interest installment scheme.
Interest in this vehicle because of its weight. Hence the company may try to
reduce the weight of this vehicle.
Eicher Motors faced a tough choice. They had been given one final chance to
revive the loss making Royal Enfield - their motorcycle division. For that they
wanted to modernize the bikes to appeal to a wider customer base.
The company can undertake R&D to improve the existing feature which helps
to increase the customer satisfaction.
The company should promote about the entire features offered by it.
After sales, the services is very worst so they want to improve their service &
also ensure the on time delivery to the customer.
As majority of the respondents are satisfied with the safety and comfort feature
of Royal Enfield CLASSIC 350, the company should maintain the same
standard and it is suggested to come up with suitable measure to reduce the
negative opinion among the consumer who are of the opinion that the fuel
consumption is a dissatisfying factor.

CONCLUSION:
This study reveals the royal Enfield customers preferences and their satisfaction
level towards various aspects. The customer preference on Royal Enfield
motorcycle revealed that in order to capture the market, the manufacturers have
togive the best combination of looks, quality, cost efficiency good features,
safety, luxury and performance. The findings of this study would help the
companyand aswell as the dealers to understand their customers and improve
sales and services level in future.