Expanding Into The Global Market.docx

Expanding into the Global Market: This is a must do the thing for Bajaj. They can definitely start by introducing themselves to the neighboring countries of India to create themselves a bigger market. This lets them taste new things and also helps them create a reputation on an international level.

Introducing better technology: Anything Bajaj has made is always contended by-product for another company. But now they need to do something that would be totally exclusive to them. They also need to bring more technology into the lighting field to make it more eco-friendly and energy efficient. New and Innovative Products: Yes, Bajaj has lots of product in their range but they need more. They need to make sleeker products that are more easy to use. Also, luxury electrical products are also needed in the current Indian market. They can do this to have a better competition in the market. Growth in its product line could increase demand. Rapid urbanisation: Housing for all: India’s urban population as a percentage of total population was around 32.7% in 2015 and is expected to rise to 40% by 2030. Under the “Housing For All” scheme, 60 million houses are to be built which include 40 million in rural areas and 20 million in urban area by 2022. These factors bode well for the Company’s consumer products segment

Boost for infrastructure development: The Government is expected to invest highly in the infrastructure sector, mainly highways, renewable energy and urban transport. Government’s focus on smart city development and replacement of conventional systems with more energy savings options offers tremendous opportunities for the Company.

Rising demand for automation in household chores: With growing prevalence of working women and nuclear families the need for automation in household chores is on a speedy growth. With higher disposable incomes due to dual incomes, concept of modular kitchen and use of modern appliance is gaining traction. ACs, refrigerators, microwaves etc., are no longer the luxuries but have become necessity tools of survival for the modern day consumer.

Space constraints and rising percentage of nuclear families: The growing number of nuclear and double income families will positively affect the demand for consumer appliances. Moreover, constrained housing space, especially in the big cities will make the concept of modular kitchen more appealing in future thereby driving up the demand for consumer appliances. Changing lifestyle preferences and food habits would further fuel this trend.

Rising income levels: Implementation of the 7th Pay Commission, rationalisation of the basic tax slab and overall economic improvements are expected to keep prospects for consumer appliances industry intact in FY 2017-18. India’s per capita income, a gauge for measuring living standard is expected to grow to `1,11,782 in FY 2017-18, up 8% as compared to the previous year. Disposable income in rural India has increased due to the direct cash transfer scheme. Total rural income, which is currently at around US$ 572 billion, is projected to reach US$ 1.8 trillion by FY 2020-21. As income levels

rise there is an uptrend in share of domestic appliance market.

Growing demand for electronic appliances: By 2020, the electronics market in India is expected to increase to US$ 100 billion from US$ 28 billion in FY 2016-17. With all these factors working in favour of the domestic appliances market, the Company is well positioned to tap on this growth. There is also growing prevalence of premium products led by growing middle class segment

Eco-friendly and energy saving products. : Bajaj should focus on making things eco-friendly and help in innovating devices based on that. This is crucial in case of household lighting as other companies have already started to focus on that field.