Thursday, March 3, 2011

Mahindra motorcycle Stallio's problems to be fixed by an Italian firm

The utility major Mahindra & Mahindra’s two wheeler arm, Mahindra Two Wheelers has entered the segment with much hope to able emerge as one of the major player but its launch vehicle, a commuter segment bike Stallio itself has been stuck up in problems thereby stalling the company’s sales figures
According to a report in business daily The Economic Times, now Mahindra Two Wheelers has roped in Italian design services firm Engines Engineering to rectify the defects of Stallio. The bike, which sold only 46 units in February after the company curtailed production to repair faulty clutch and gear parts, will be modified and re-launched shortly. Engines Engineering is working closely with in-house R&D experts to modify the bike which marked the Mahindra group's entry into the motorcycle market dominated by rivals Hero Honda and the Bajaj group.

The report quoted Anoop Mathur, president, Mahindra Two Wheelers as saying "While it was a small aberration, we had to be mindful of the customer. We took a holistic view of the supply chain (vendors), technology managers, front-end and came up with a remedial solution. We had to minimise the variability by modifying certain components. Rather than flood the system, we decided to cut down on production of the bike. Engines Engineering and the internal R&D team helped rectify the issue." The company plans to re-engage with the customer to boost market share. "We have done trial runs on the Stallio after rectification and are also working on different modes of communication," Mathur said.

It was reported that since its launch, M&M has sold 5,181 Stallios with sales in January falling to 509 bikes. Scooters account for more than 90 percent of the company's two-wheelers business. It was also reported that with the overhaul exercise for Stallio underway, the company has postponed the launch of its 300 cc premium bike Mojo to the next festival season. Mojo was planned to be launched in the first quarter of this financial year. "We are making sure that all aspects of the bike are appropriately tested and will launch the bike towards the festive season," said Mathur.

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