Identification of barriers of reverse logistic in backhoe loader segment at dealership level

Reverse Logistics deals with the processes associated with the reverse stream from users/owners to re-users. The carrying back of goods sold to the market has grown to be an important area of the logistics system. The aim of this paper is to propose a framework & identify the barriers of reverse logistic for backhoe loader segment in dealership for a reverse logistics system. This paper is mainly concentrated to the backhoe loader industry, which is a Separate segment within the construction equipment industry. The construction equipment market is categorized into three segments; heavy equipment, compact equipment and the backhoe loader (BHL). The BHL segment has grown rapidly during the years and is today the fourth largest in the world, with annual sales of about 4000 products. The market for BHL is predicted to continue to grow by 6-8% for the next two to three years. The market share for high technology and quality products is expected to increase as a part of total sales. The backhoe loader Market in India is the fourth largest in the world and the attention from all the major global actors has increased in recent years, mainly due to the reforms of privatization, liberalization and the huge potential in the market. There are a number of specifics typical for the Indian market, such as high price sensitivity due to the constant alternative of the low cost labor, and additionally the heavy usage of products, which are not likely to be found in other more developed markets. In order for JCB India to build long-term relationships with customers, trust and commitment are key factors. Additionally, this paper includes an in-depth analysis of operation and the barrier of reverse logistic in this segment.