Chennai sources have stated that Honda Motorcycle & Scooter India (HMSI), the second largest two-wheeler company in India behind Hero Motocorp, is working to a new strategy to close the volume gap between the two players and target the No 1 spot in the market.
Meanwhile this involves targeting the two-wheeler segment (75-110 cc motorcycles) and markets where HMSI still lags behind Hero Motocorp and take on the competition with aggressive products and network expansion.
Furthermore the new twist is that HMSI is looking to take on its biggest
rival not just with motorcycles but with scooters that can appeal to the same
demographic that is currently causing the gap between the No1 and No2 two
wheeler companies in India. Moreover Hero MotoCorp's conviction comes out of
the fact that some analysts are predicting that scooterization is running out
of steam because penetration is already close to 35%.