A decade ago, KTM decided to go beyond its off-roading niche and become a more volumes-driven automaker with on-road bikes. The only way to that was to partner with a maker of bikes with lowerdisplacement engines - KTM bikes typically are in the engine range of 690 cc to 1190 cc. EnterBajaj Auto in November 2007.
Pierer says, "We have found a good base and a good relationship in Bajaj . We have developed common engine platforms that both brands can use. This has allowed us to enter new market segments of smaller displacement bikes. With Honda coming in strongly in India, Bajaj Auto can use all our high-end technology to take on the Japanese,".
The smaller-displacement engines sit on two platforms - one for bikes in the 125 to 200 cc range; and the other for engines between 270 and 390 cc.The 125 cc and 200 cc models have been launched; by the middle of next year, the others will follow. All these bikes are branded Duke. After these bikes,KTM will launch the Enduro based on components common to the two partners; the Enduro starts at 125 cc and goes up to 690 cc.To be sure, Bajaj is key to KTM's growth plans. In five years, Pierer wants to double volumes to 200,000 units, half of them coming out of the JV with Bajaj. Bajaj explains that the need was to find a partner with the same imagery and the best technology.
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