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Business Plan - Bicycles a Preferable, Environmentally Friendly Mode

Essay by   •  August 1, 2011  •  Business Plan  •  795 Words (4 Pages)  •  2,326 Views

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Today, the increasing emphasis on health and pollution-reduction has made bicycles a preferable, environmentally friendly mode of personal transport. Bicycles have made a comeback in recent times for a number of reasons. Bicycle racing has now developed into a hugely popular sport. There have been many innovations such as higher performance steel alloys, gear-sets with an increasing number of gears, 18-speed designs, etc. These have led to increased comfort and practicality in bicycle design. In India, bicycle brands such as Atlas, BSA, Hero, BMX etc. have been popular for decades.


1. This business objective is to manufacture bicycle of the finest quality in the market.

2. It will emphasize lightweight, comfort and a realistic safety margin for all the customers with an affordable price range.

3. To become the premier bicycle manufacturer.

4. Increase sales to make it a sustainable business.

5. Significantly increase sales by creating a new market segment of customer


Target market segment includes

1. Teenagers

2. Recreational riders

3. Mountain bikers

4. Enthusiast riders

5. Athletes


There are four main competitors and a few smaller manufacturers who are competitors

ATLAS: This Company manufactures all terrain mountain bikes, children's bikes, city urban bikes, sports/race bikes, utility bikes, roadsters and junior style bikes. Atlas products are decent but nothing special. They look cool, but are not super light and are not innovative in terms of manufacturing.

BSA: This is a Brand of TI (Tube investments India) cycles. BSA stands for Birmingham Small Arms. BSA Ladybird, BSA SLR, BSA Champ are trendsetters and icons in their respective categories.

HERO: Today Hero Cycles is one of the companies in India which can boast of the global scale of operations, not just in size or superior technology, but also its innovative marketing strategies. Elite series, maximum fun series, special kid's bike, SLR'S, MTB/ATB are some of their well-known products in the market.

BMX: This is a multinational brand of different varieties like Full sus, ATB, BMX Fox, Road fox, little fox these are very popular brand among teenagers for the bmx stunts and for bmx racing.


1. Full carbon fork is considered an upgrade that will add greatly to the competitive advantage of the bike

2. A light bicycle is a good bicycle, without any further discussion on its other merits or qualities

3. Most of bi cycles these days are little heavy so roughly 7 kg range from a full steel bike to a super-light carbon or aluminium bike will give bicycle a comfortable ride.

4. Customised bicycles according to customer requirements

5. Price level of product varieties is often associated with buyer price sensitivity


The initial investment for setting



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