After Rahul Bajaj, Chairman, Bajaj Auto stated that their company was thinking over re-launching scooter in the Indian market, came a statement from Rajiv Bajaj, MD, Bajaj Auto, “At the moment, we have a clear and sharp focus, the global motorcycle market.”
Rajiv’s statement came out as a reaction to what senior Bajaj had earlier stated. According to Rahul Bajaj,, “It made sense for the company to manufacture scooters which can give the firm a market share of 20 per cent and a reasonably good EBIDTA.”
When the media asked Rahul about their future plans on manufacturing scooters, he replied saying, “maybe.” This clearly indicates two things, that there is a difference of opinion in the Bajaj family and Rajiv has the final say.
After revolutionizing the scooter scene in India, Bajaj Auto finally stopped the production of scooters in 2010 and brought an end to the illustrious career of ‘Hamara Bajaj’ brand. “The company didn't see much sense in making scooters as the segment didn't sell according to its expectations. If we are to be a motorcycle specialist, we cannot make scooters,” Rajiv stated back then in 2010.
But it seems that Bajaj Auto’s decision to quit the scooter market served as a boon to other two wheeler manufacturers. After Bajaj stopped making scooters, there has been a rise of 46.57% in the scooter market, and Honda Motorcycle and Scooter India (HMSI), the current market leader in the segment is making the most of it.