Spotting the Areas of Improvement for Yamaha India - Case Study

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Ram Chakravarthy
Syed Abudhahir

The case is about the current situation of Yamaha Motors India Pvt. Ltd in the two-wheeler market in India. The below discussed marketing strategies and product strategies that the company has to take to increase profitability are discussed below. The analysis is done along the line that the products of Yamaha have to be still considered as a lifestyle product. In our case analysis, we discuss first about the Indian demographics in terms of urban population and their income patterns, their implications for the auto market and the future of the same. We have then presented the current scenario of the two-wheeler market. A competitive analysis has been done wherein we have taken the market leaders in the two-wheelers segment, namely Hero Honda and Bajaj and compared them to Yamaha India with their strategies in terms of Product Space, Internet Space and Distribution Network. We have identified the difficulties that are barriers to Yamaha’s new strategic initiatives. Finally the case analysis suggests marketing strategies in different possible dimensions and lists few possible product strategies as the way forward for Yamaha. INDIAN DEMOGRAPHICS

Urban Population and Income:
India with a population of more than a billion has its urban population of around 29%. It has been reported that India’s urban population was 318 million in 2005 and around 5161 urban cities. Average household disposable-income is projected to rise from 4.6% to 5.8% (523 million in 2025). The table show the classification of population as per their income. Globals (>1000000 INR)

Strivers (500000 – 1000000 INR)
Seekers (200000 – 500000 INR)
Aspirers ( 90000 – 200000 INR)
Deprived (
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