Bajaj-Triumph motorcycle making collaboration is yet to happen considering the delay in finalising a formal partnership. However, this delay has left the product development untouched. Triumph has already done its part and has been testing early prototype models and Bajaj Auto chief, Rajiv Bajaj personally visited Triumph headquarters in the United Kingdom to check on the product line.
Both the brands are aiming at making this as a long-term collaboration. Furthermore, the officials added that for two well-established brands, it’s a very complicated process to join forces. But it won’t be too long before the deal gets closed. The final line up of motorcycles manufactured under Bajaj-Triumph collaboration will be out in the market by 2022 and the agreement will be royalty-based. There will be no cross-shareholding, both the companies will retain their intellectual property rights.
Bajaj-Triumph motorcycles will consist of middle-weight bikes with brand new engines. Bajaj will look after the manufacturing and Triumph will handle the marketing for India. The new bikes will likely rival against the Royal Enfield and enter the 300-500 cc motorcycle segment. Triumph will sell these Indian manufactured bikes in countries within its sales network and Bajaj will market them in countries under its sales operation network.
Before this collaboration, Triumph did make a move to enter the 250 cc segment but couldn’t get a hold of the economics. With Bajaj’s supplier-base and economy backup, Triumph anticipates at doing things right this time. More than seeking for development cost support, Triumph aims at benefitting from Bajaj’s economies and in turn, Bajaj gets additional revenue and technological advancement added to its arsenal.
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