Targets of Next Five years Determined by Hero MotoCorp

After termination of joint venture between Hero group of India and Honda Motors of Japan, Hero group has emerged with an independent identity as Hero MotoCorp. As part of its expansion plans Hero MotoCorp is speculating to export 10 lakh units of Hero MotorCorp two wheelers during coming next 5 to 6 years. Hero MotoCorp has recently launched 150 cc bike Hero MotoCorp Impulse as its first independent launch during festive season of Diwali.

Sharing the expansion strategy of company Mr. Anil Dua, Senior Vice President, Marketing and Sales, Hero MotoCorp said, that Hero MotoCorp plans to invest Rs 1000 crores for setting one manufacturing plant along with already existing three plants  to boost the production, in India. Mr. Dua also added that company speculates to increase exports of its two wheelers targeting the sale of 10 lakh bikes during next five to six years in international markets.

At present Hero MotoCorp generates only 2% of its  income from exports out of total sales and to increase the percentage of increase in income from exports company is looking of partnership with other channels to distribution and assembling of raw material to enhance exports in countries mainly Latin America, Africa and South East Asian nation. Sharing company’s financial status Mr. Ravi Sud, Chief Financial Officer said that finances are being provided for improving and expanding manufacturing plants and therefore at present company shall not be making any kind of financial support to its channel partners for some period.

With an objective of taking an advantage of festive  season Hero MotoCorp has launched its first 150cc bike Hero MotoCorp Impulse in Indian market. Hero MotoCorp churns the power of 13.8 bhp and develops torque of 13.6 Nm and 150cc engine is expected to result in good pick up.  Let us hope that launch of Impulse will reach the expectations of Hero MotoCorp and company succeeds in its targets decided for next 5 years.