In 2010, When Honda decided to move out of the joint venture,Hero Group bought the shares held by Honda.Subsequently, in August 2011 the company was renamed Hero MotoCorp with a new corporate identity.On 4th June 2012,Hero Motocorp approved a proposal to merge the investment arm of its parent-Hero Investment Pvt. Ltd. into the automaker.The decision comes after 18 months of its split from Honda Motor.
“Hero” is the brand name used by the Munjal brothers for their flagship company Hero Cycles Ltd. A joint venture between the Hero Group and Honda Motor Company was established in 1984 as the Hero Honda Motors Limited At Dharuhera India. Munjal family and Honda group both own 26% stake in the Company. In 2010, it was reported that Honda planned to sell its stake in the venture to the Munjal family.
COMPANY PROFILE :
During the 1980s, the company introduced motorcycles that were popular in India for their fuel economy and low cost. A popular advertising campaign based on the slogan 'Fill it - Shut it - Forget it' that emphasised the motorcycle's fuel efficiency helped the company grow at a double-digit pace since inception. The technology in the bikes of Hero Honda for almost 26 years (1984–2010) has come from the Japanese counterpart HondaHero MotoCorp has three manufacturing facilities based at Dharuhera, Gurgaon in Haryana and at Haridwar in Uttarakhand. These plants together are capable of churning out 3 million bikes per year.Hero MotoCorp has a large sales and service network with over 3,000 dealerships and service points across India. Hero Honda has a customer loyalty program since 2000,called the Hero Honda Passport Program.
The company has a stated aim of achieving revenues of $10 billion and volumes of 10 million two-wheelers by 2016-17. This in conjunction with new countries where they can now market their two-wheelers following the disengagement from Honda, Hero MotoCorp hopes to achieve 10 per cent of their revenues from international markets, and they expected to launch sales in Nigeria by end-2011 or early-2012. In addition, to cope with the new demand over the coming half decade, the company was going to build their fourth factory in South India and their fifth factory in Western India. There is no confirmation where the factories would be built.
HISTORY :
Hero MotoCorp was started in 1984 as Hero Honda Motors Ltd.1956—Formation of Hero Cycles in Ludhiana(majestic auto limited)
1975—Hero Cycles becomes largest bicycle manufacturer in India.
1983—Joint Collaboration Agreement with Honda Motor Co. Ltd. Japan signed Shareholders Agreement signed
1984—Hero Honda Motors Ltd. incorporated
1985—Hero Honda motorcycle CD 100 launched.
1989—Hero Honda motorcycle Sleek launched.
1991—Hero Honda motorcycle CD 100 SS launched.
1994 -- Hero Honda motorcycle Splendor launched.
1997—Hero Honda motorcycle Street launched.
1999 -- Hero Honda motorcycle CBZ launched.
2001 -- Hero Honda motorcycle Passion and Hero Honda Joy launched.
2002—Hero Honda motorcycle Dawn and Hero Honda motorcycle Ambition launched.
2003—Hero Honda motorcycle CD Dawn, Hero Honda motorcycle Splendor, Hero Honda motorcycle Passion Plus and Hero Honda motorcycle Karizma launched.
2004—Hero Honda motorcycle Ambition 135 and Hero Honda motorcycle CBZ launched.
2005—Hero Honda motorcycle Super Splendor, Hero Honda motorcycle CD Deluxe, Hero Honda motorcycle Glamour, Hero Honda motorcycle Achiever and Hero Honda Scooter Pleasure.
2007—New Models of Hero Honda motorcycle Splendor NXG, New Models of Hero Honda motorcycle CD Deluxe, New Models of Hero Honda motorcycle Passion Plus and Hero Honda motorcycle Hunk launched.
2008—New Models of Hero Honda motorcycles Pleasure, CBZ Xtreme, Glamour, Glamour Fi and Hero Honda motorcycle Passion Pro launched.
2009—New Models of Hero Honda motorcycle Karizma:Karizma - ZMR and limited edition of Hero Honda motorcycle Hunk launched
2010—New Models of Hero Honda motorcycle Splendor Pro and New Hero Honda motorcycle Hunk and New Hero Honda Motorcycle Super Splendor launched.
2011—New Models of Hero Honda motorcycles Glamour, Glamour FI, CBZ Xtreme, Karizma launched. New licensing arrangement signed between Hero and Honda. In August Hero and Honda parted company, thus forming Hero MotoCorp and Honda moving out of the Hero Honda joint venture. In November, Hero launched its first ever Off Road Bike Named Hero "Impulse".
Termination of Honda joint venture
In December 2010, the Board of Directors of the Hero Honda Group have decided to terminate the joint venture between Hero Group of India and Honda of Japan in a phased manner. The Hero Group would buy out the 26% stake of the Honda in JV Hero Honda.Under the joint venture Hero Group could not export to international markets (except Sri Lanka) and the termination would mean that Hero Group can now export. Since the beginning, the Hero Group relied on their Japanese partner Honda for the technology in their bikes. So there are concerns that the Hero Group might not be able to sustain the performance of the Joint Venture alone.
Hero MotoCorp
The new brand identity and logo, Hero MotoCorp, was developed by the London firm Wolff Olins.The logo was revealed on 9 August 2011 in London, the day before the third test match between England and India.
Hero MotoCorp can now export to Latin America, Africa and West Asia.Hero is free to use any vendors for its components instead of just Honda-approved vendors.
Company performance
During the fiscal year 2008-09, the company sold 3.7 million bikes, a growth of 12% over last year. In the same year, the company had a market share of 57% in the Indian market.Hero Honda sells more two wheelers than the second, third and fourth placed two-wheeler companies put together.Hero Honda's bike Hero Honda Splendor sells more than one million units per year.On 1st June 2012, Hero MotoCorp reported its highest ever monthly sales at 5,56,644 units in May, registering a growth of 11.28%.
Poor write up... You could have applied your mind while putting the information.
ReplyDeleteCopy paste is NOT LEARNING. Dr Mandi