Hero MotoCorp's future plans to enter four wheeler and commercial vehicle market

We all know that the Hero MotoCorp is consistently working on the global expansion in developing markets. Currently, the company is world's largest two-wheeler manufacturer in terms of volume and growing constantly. But what next, after making the existance in most of the international market, what will be the next step of the company? Managing director and CEO, Hero MotoCorp Limited, Mr Pawan Munjal has revealed the future plans of the company in an interview with Financial Express. After setting its foot in international markets, the company can enter in four-wheeler and commercial vehicle markets.

When asked about their plans beyond the two-wheeler segment, Mr. Munjal said, “Yes, that is the long-term vision. We would like to enter cars and CVs, but this will take time as such products are complicated to develop and the market is very competitive. Right now, we are focused on improving local product development.” Currently, Hero is also investing high in R&D. These R&D centers might be fueling its future plans as well. The company has already announced R&D centre worth Rs. 450 crore in Kukas, near Jaipur, Rajasthan. Now, reports are comming that Hero is also planning a new facility in south India.

Right now, Hero has decided to keep its focus on the developing markets like Latin America and Africa, while it will enter the more competitive developed markets like North America later. For these developed markets, the company will use its partner Erik Buell Racing (EBR) as a base. Hero already selling its motorcycles in Peru and Ecuador, while the first overseas manufacturing plant at Columbia will start next year. No doubt, Hero MotoCorp is an unbeatable brand in the terms of sales volume. However, we are exited to see that when this Indian Auto mogul will enter in the four-wheeler space. Will Hero succeed to give a competition to the rulers of four-wheeler industry?

Source: FE