Bajaj Auto May Unveil New 2-Wheeler Models At Agm
We have only gone slow on the car project and not shelved it, Rahul Bajaj, chairman and managing director of Bajaj Auto said. The company is still in talks with Chrysler of the US and Fuji Industries of Japan for the small car project, he said.
Bajaj, in the director's report of the company for 1995-96, had stated that the Indian market size, even in the medium term, may not be big enough to support its car project plans.
The company has taken cognizance of the number of players who have already entered the fray and those who have announced their intent to do so as also their product and capacity plans, he had stated in his report.
The company will take due care commensurate with the huge resources that this venture will call for in taking a final decision in the matter, he said. For the moment, the company will focus on consolidating its existing business and upgradation of quality, the report further said.
The company, as a part of this strategy, has substantially increased its allocation to research and development (R&D). However, though the amount spent on R&D has gone up from a meagre Rs 18.30 crore in 1994-94 to Rs 22.68 crore in 1995-96, as a percentage of turnover, it went down from 0.95 per cent to 0.55 per cent.
Bajaj's latest two-wheeler model