maruti marketing strategy pushker

8/12/2019 Maruti Marketing Strategy Pushker

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Summer Training Research Project ReportOn

MARKETING STRATEGIES OF MARUTI SUZUKI

INDIA PVT LTD.

For the partial fulfillment of the requirement ofMASTER OF BUSINESS ADMINISTRATION

Affiliated to Mahamaya Technical University !oida "U#P#$"%&''(%&')$

Under The Guidance o! Su"#i$$ed "%Mr. Pan&a' Ku#ar Mr. Pu(h&ar )ada*

Ro++ No.,-/01102

*!+T Management School,(- .no/ledge Par0(++ *reater !oida " *# 1# !agar$

SUMMER TRAINING PRO3E4T REPORT

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A4KNO5LEDGEMENT

The present /or0 is an effort to thro/ some light on 6MARKETING STRATEGIES

OF MARUTI SUZUKI INDIA PVT LTD.7. The /or0 /ould not have 2een

possi2le to come to the present shape /ithout the a2le guidance supervision and help

to me 2y num2er of people#

3ith deep sense of gratitude + ac0no/ledge the encouragement and guidancereceived 2y my organi4ational guide Mr# OM S5ARMA "Mar0eting Manager$ and

other staff mem2ers#

+ convey my heartful affection to all those people /ho helped and supported me

during the course for completion of my Project Report#

Mr. Pu(h&ar )ada*

Ro++ No.,-/01102

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DE4LARATION

+ here2y declare that the Summer +nternship Report conducted at 6MARKETING

STRATEGIES OF MARUTI SUZUKI INDIA PVT LTD.7 su2mitted in partial

fulfillment of the requirement of Ma($er o Bu(ine(( Ad#ini($ra$ion "M1A$ at

GNIT Management School Greater Noida.# +t is my original /or0 and the same

has not 2een su2mitted for the a/ard of any other 6egree7diploma 7 fello/ship or

other similar titles or pri4es#

Mr. Pu(h&ar )ada*

)


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PREFA4E

Passenger cars mar0et is a highly competitive mar0et in the automo2ile sector and one

of the oldest company operating in the same is Maruti Udyog 8td# From 2eing the

undisputed leader in the A' segment after its inception to 2eing the mar0et leader

/ith a share of 9)#': in ';; years had 2een a strategic@ 2lunder#

Maruti reali4ed the need to ma0e up for lost time# +n ';;; it launched t/o ne/

models 1aleno and 3agon R# 1aleno /as targeted at the premium segment /hile

3agon R priced a little a2ove the en /as positioned as a multi utility vehicle# 1y

the early %&&&s Maruti had finali4ed plans for a more complete product range# The

company announced it /ould launch one ne/ model every ,('% months /ith price

gaps of a2out Rs# %>&& +n %&&& Maruti introduced BAltoB "premium small car$

especially for eCport mar0et# Maruti also launched Dersa the first Multi Purpose

Dehicle in Octo2er %&&'# +n the follo/ing years the company got involved in R E 6

and thus launched its revised models of steem Maruti 9&& en etc# in spite of these

launches and increase in sales volume the company?s leader position is under threat#

+n the light of the facts stated a2ove the company should rethin0 its mar0eting

strategies so as to maintain its position and tac0le competition else it should 2e readyto eCit#

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On the 2asis of secondary data analysis /e have tried to 2ring out some concerns for

the company the 0ey issues that is should focus upon the 0ind of mar0et situation

that the company should eCpect in the mar0et in the coming year and the possi2le

steps it can ta0e so as to cur2 the threat posed 2y the rival companies#

An attempt has also 2een made to 2ring out the core competencies and strengths of

the company so that it can use the same to cover its /ea0nesses face the threats and

grasp the opportunities# The macro(environment factors that act as influencers in the

automo2ile sector have also 2een 2rought out in the report#

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TABLE OF 4ONTENTS

TOPI4 PAGE NO.

48APTER 9 , INTRODU4TION ,92-

'#'# Overvie/ of +ndustry as a /hole '

'#%# Profile of the Organi4ation 9

'#)# Pro2lems of the Organi4ation )=

'#=# -ompetition +nformation )>

'#># S#3#O#T Analysis of the Organi4ation )'

48APTER 9 - OB3E4TIVE : MET8ODOLOG) 2292

%#'# Significance ))

%#%# Managerial usefulness of the study ))

%#)# O2jectives )=

%#=# Scope of the study )=

%#># Methodology ))

48APTER 9 2 4ON4EPTUAL DIS4USSION 209;/

48APTER 9 < DATA ANAL)SIS ;=900

48APTER > ; FINDINGS : RE4OMMENDATIONS 0/9=,

ANNE?URES

BIBLIOGRAP8)

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48APTER9,

INTRODU4TION


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,.,. O*er*ie@ o Indu($r% a( a @ho+e

Indu($r% Proi+e

The 2irth of the car as /e 0no/ it today occurred over a period of years# +t /as only

in '99> that the first real car rolled do/n on to the streets# The earlier attempts

though successful /ere steam po/ered road(vehicles#

The first self(propelled car /as 2uilt 2y !icolas -ugnot in '

could 2e frequently espied on the roads#

The neCt major leap for/ard occurred in '99> /hen the four stro0e engine /as

devised# *ottile2 6amlier and !icolas Otto /or0ed together on the mission till they

fell apart# 6aimler created his o/n engines /hich he used 2oth for cars and for the

first four /heel horseless carriage# +n the mean/hile un0no/n to them .arl 1en4

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/as in the process of creating his o/n advanced tri(cycle /hich proved to 2e the first

true car# This car first sa/ the light of the day in '99,#

The season of eCperiments continued across the seas in the United States /here 5enry

ford 2egan /or0 on a horseless carriage in '9; 5e /ent several steps for/ard and in

'9;, completed his first car the quadricycle in '9;,# This /as an automo2ile

po/ered 2y a t/o cylinder gasoline engine# The ford motor company /as launched in

';&) and in ';&9 he catapulted his vehicle model t ford to the pinnacle of fame#

-ontinuing /ith his innovations he produced this model on a moving assem2ly line

thus introducing the modern mass production techniques of the automo2ile industry#

The modern car therefore comes from a long list of venerated ancestors and its

lineage /ill hopefully gro/ longer as /e progressI

/ith the invention of the /heel in =&&& 1#-# man?s journey on the road of

mechani4ed transport had 2egun# Since then he continually sought to devise an

automated la2our saving machine to replace the horse# +nnumera2le attempts reached

conclusion in the early '


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practical and safe proposition# The cars in this period /ere more li0e the cars on our

roads today#

3ith cars came the era of speed The first ever land(speed record /as esta2lished

a2out a '&& years 2ac0 in '9;9# -ount *aston de -hasseloup(8au2at of France drove

an electric car "in Acheres near Paris$ at a speed of );#%= miles per hour# This flagged

off the era of J/heels racing? /hich lasted till ';,= after /hich jet and roc0et

(propelled vehicles /ere allo/ed# Then on/ards it has 2een one 2ig journey###on the

roads#

5yundai?s mar0et share has increased from '>: in %&&% to ',:# Telco "Tata Motors$ has also gained

mar0et# 1ut to gain second position in the mar0et in just > years is really

commenda2le# 5yundai has 2een gro/ing ever since its inception unli0e other

multinationals /ho have 2een losing ground /ith each passing day#

An O*er*ie@! Au$o#o"i+e Indu($r% in India

The automo2ile industry is one of the largest in terms of employment and value

addition# As a leader in product and process technologies for the manufacturingsector it has 2een accepted as one of the important drivers of economic gro/th#

*lo2al trends indicated that the auto mar0et has moved from the gro/th and

development phase to the consolidation phase# The Hapanese automo2ile majors

2esides technological innovations implemented some modern management

philosophies /hich /ere gradually adopted 2y the automo2ile industry of the United

States and other uropean countries# -urrently almost fifty percent of the glo2al

passenger car production comes from three countries vi4# the US "%&:$ Hapan

"';:$ and *ermany "'%:$# +n the commercial vehicle category the share of the US is

=, per cent follo/ed 2y Hapan "'':$ and -hina ";:$#+n 2oth these categories of

vehicles +ndiaBs share in the total /orld production is ' per cent#

The first motorcar on the streets of +ndia /as seen in '9;9# Then for the neCt fifty

years cars /ere imported to satisfy domestic demand# 1et/een ';'& and %&Bs the

automo2ile industry made a hum2le 2eginning 2y setting up assem2ly plants inMum2ai -alcutta and -hennai# The import7assem2ly of vehicles gre/ consistently

'&


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+n the early 9&Bs The *O+ entered the car 2usiness /ith a &&& in FL9= to =&;;>' cars 2y FL%&&& cornering around units as against =&;;>' units in ';;; thus

crossing the half million mar0 for the first time# Therefore at present the -A*R

2et/een FL;, and FL%&&& stands at ',#, per cent# "Former finance minister

Manmohan SinghBs li2erali4ation policy /as major driver /hich led to industry

undergoing this complete transformation#$ Over/helmed 2y ne/er models from ne/

and eCisting players had to an impressive shift from a constrained supply situation to a

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surplus one# 3ithin the past decade a2out )& models have entered the +ndian mar0et

/ith a num2er of models still a/aiting launch# The de(licensing of auto industry in

';;) opened the gates to a virtual flood of international automa0ers into the country

/ith an idea to tap the large population 2ase of ;>&mn people# Also the lifting of

quantitative restrictions on imports 2y the recent policy is eCpected to add up to the

flurry of foreign cars in to the country#

Many companies have entered the car manufacturing sector to tap the middle and

premium end of car industry# The ne/ entrants are 6ae/oo "Mati4$ Telco "+ndica$

and MARUT+ "Santro$ in upper end of economy car mar0et# *M Ford Peugeot

Mitsu2ishi 5onda and Fiat have entered the mid(si4ed car segment and Mercedes(

1en4 is in the premium end of mar0et# -ar manufacturers li0e Malyasia 2ased Proton

are also in line to hit the +ndian ramp#

The +ndian passenger car industry is relatively recent in origins# Ccept the u2iquitous

Am2assador and the Premier PadminiBs there /as not much moving around /ith an

+ndian tag# The restrictive policies of the +ndian government did not allo/ foreign

players to set shop in +ndia and in the a2sence of adequate technology and purchasing

po/er it resulted in the slo/ gro/th of the industry even after a long time since

independence# The demand for cars increased from '> units as against =&;;>' units in the

previous year# Thus the -A*R for the period FL;, ( FL%&&& stands at ',#,:#

On the 2asis of price the +ndian car industry can 2e classified into economy or the

BsmallB car "up to Rs)mn$ mid(si4e "Rs)(>mn$ luCury car "Rs>('mn$ and

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super luCury car segments "a2ove Rs'mn$# conomy segment dominates /ith a

mar0et share of a2out 9&: of total car sales in FL%&&

Ta0ing into consideration the rise in eCpenda2le income levels and necessity of

personal transportation as a result of inefficient or deficient pu2lic transportation

means the demand for cars is eCpected to increase# FL%&&& /as an indicator of the

gro/th phase to follo/ registering a %&(year high gro/th rate of >,:# The second

highest gro/th /as recorded in ';9> at =%: /hen Maruti had entered the mar0et#

Riding on the popularity of the small car segment coupled /ith the 2oost in sales of

the mid si4e segment total sales gre/ 2y >,:# 5o/ever such high level of gro/th is

highly unsustaina2le in the long run given the fact that there is an as yet unutili4ed

capacity in the industry# This /ould ma0e the question of survival important and

carma0ers /ould have to play their cards /ell to remain in contention# Moreover

sales gro/th in FL%&&& /as calculated on a lo/er 2ase of FL;;#

Cports are eCpected to increase as a result of over capacity in the domestic car

industry and the governmentBs policy to 2ring in a more li2eral regime on the foreign

eCchange front# The flood of ne/ entrants into the car industry as a result of

li2erali4ation has led to a complete transformation of the sector# The car segment is

flooded /ith ne/ models from ne/ and eCisting players a visi2le shift from a

constrained supply situation to a surplus# +n the last decade or so as many as )&

models have invaded the mar0et ma0ing it a case of em2arrassment of

riches# Moreover a lot many models are /aiting to hit the ramp 2y the end of the year#

The capacity of car production has increased su2stantially in the last three years and is

eCpected to gro/ manifold in the coming years# The lo/ capacity utili4ation /ill

force a mar0eting /ar 2et/een the car manufacturers# The US ,#9 2illion +ndian carindustry has registered a -A*R of ':

-A*R till fiscal %&'%# The car 2uyer /ill 2e the major 2eneficiary of the mar0eting

/ar in the segment as they /ill 2e a2le to get technologically 2etter products at good

terms and conditions# 1ut /ith an eCpected sha0e out the threat of discontinuation of

a model is also high

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,.-. PROFILE OF T8E ORGANIZATION AT MARUTI UD)OG

LTD.

4o#an% Proi+e

The company /as incorporated in ';9' to ta0e over the assets of the erst/hile Maruti

8td# Maruti 8td set up in Hune ';


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/ith the +ndian consumers# Su4u0i Motor -orporation increased its sta0e on t/o

occasions "%,NN =& NN >& NN controlling sta0e and 2rought it to >& per cent in the

mid ';;&s "and to >=: /ith privati4ation in %&&%company manufactures passenger

cars at its factory in *urgaon 5aryana# +ts installed capacity of )>&&&& vehicles is

eCpected to rise to =>&&&& in the year ';;;# The companyBs models include the 9&&cc

small car steem en and *ypsy#

+n the car segment it had a mar0et share of 9): in FL;9 /ith sales of )=>)&) cars#

For the period April B;9 to Hanuary B;; MU8 car sales have dropped 2y ,#=: to

%,),9' compared to %9',;< cars for the corresponding period for FL;9#

The company is a significant eCporter /ith eCports to over >& countries# 6uring

FL;9 eCports also /itnessed a drop of %,#9=

cars for the corresponding period in FL;9#

+n August B;9 the company launched the diesel version of the en that is po/ered 2y

a '>%< cc engine supplied 2y Peugeot -itreon Motors France# The company also

intends to launch a diesel version of the *ypsy and a ne/ model in the 9&& cc

segments#

The issue resulted in a major dispute /ith SM- dragging the *O+ to the +nternational

-ourt of Ar2itration# At that time the *O+ /as led 2y the United Front government#

The industry minister at that time Mr# Murasoli Maran even started scouting for a

ne/ partner to replace SM-# The issue /as finally resolved in Hune ';;9 /hen 1HP

led government too0 over at the center# A compromise /as /or0ed out 2et/een the

t/o partners /herein it /as decided that 1has0arudu /ould retire on )'st 6ecem2er

';;; instead of the earlier scheduled time of %&&%# Hagdish .hattar eCecutive director

/as made the Hoint Managing 6irector and /as scheduled to ta0e over as managing

director from 1has0arudu in Hanuary %&&

+n 6ecem2er B;9 MU8 slashed the prices of its 9&&cc and en cars 2y a2out Rs%=

&&& and Rs>' &&& respectively# This has helped MU8 to restrict the slide in its

mar0et share due to entry of ne/ car manufacturers# As a process of its

disinvestments in PSU the *O+ is seriously considering disinvesting its holding

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MU8 in the domestic mar0et# 1ut there have 2een no announcements regarding this

from the company#

Hagdish .hattar /ould have made an eCcellent po0er player (( the managing director

of Maruti Udyog rarely lets any emotion sho/ on his countenance# These days

though aggression is clearly /ritten on his face# 5e needs that aggression# .hattar got

an unenvia2le tas0 on his hands#

3hen .hattar had ta0en charge at Maruti in August last year he had pinpointed the

reason 2ehind MarutiBs rapidly dropping mar0et share# Maruti depended just too

heavily on a single product (( the Maruti 9&& "/ith the Omni /hich /as 2uilt on the

same 9&& platform$ /hich accounted for : of the unit sales of the carma0er as late

as ';;


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move up fast its mar0et value /ill drop even more# +f it cuts prices to shore up mar0et

share it /ill 2e at the eCpense of profits (( and that /ill again push do/n the

carma0erBs valuation# The Rs %&&&& price cut in the Maruti 9&& alone could mean

almost Rs )


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Produc$( o $he 4o#an%

A9STAR

Maruti Su4u0iBs compact A(Star /hich /ill 2e launched in Octo2er is eCpected to

surpass the earlier strict emission norms announced 2y the company#

mission from the A(Star not only complies /ith the uro ) "1harat()$ norms that areoperational in ') +ndian cities including 6elhi 2ut also geared to meet stringent

emission norms that /ill 2e implemented across urope in the coming years#

The A(Stars -O% emission /ill 2e even lo/er than '&; gm70m /hich /e had

envisaged earlier# This is much lo/er than the uropean emission norms that require

cars to emit '%& gm70m in the future said Shin4o !a0anishi M6 Maruti Su4u0i#

+ndiaBs uro ) norms is > years 2ehind those currently enforced in urope /hile uro

= norms that are enforced outside the ') +ndian cities are '& years 2ehind uropean

2enchmar0s# 3hile gaseous and particulate matter comprise uro = gradation in +ndia

uropeBs emission reports estimate the -O% discharge levels only# 8o/er -O% levels

in cars means the car has superior fuel efficiency said Anomita -ho/dhury Associate

6irector -entre for Science and nvironment#

Maruti Su4u0iBs decision to manufacture the A(Star car in +ndia is part of parent

Su4u0iBs overall strategy to ma0e +ndia the manufacturing hu2 for the production ofsmall cars li0e the Alto S/ift and Maruti 9& 3e may consider manufacturing the A

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Star later in -hina /hich /ill cater to the -hinese mar0et only# +n that case /e may

have to eCport auto components from +ndia to -hina said !a0anishi# The firm hopes

to eCport a2out one la0h units of the A(Star to urope# +n a2out %() years from the

launch /e may eCport to S America and the S Asian region he said# As part of its

strategy to consolidate its position in the A% segment /hich /ill /itness ne/er

players li0e !issan Toyota and 5onda this year on/ards Maruti Su4u0i has

indicated it /ill launch the compact Splash neCt year#

S5IFT DZIRE

Peror#ance

The steem?s replacement is a S/ift /ith a 2oot# +t?s availa2le /ith the same engines

as its hatch2ac0 cousin /hich is the '#) litre petrol unit from the steem and the

fa2ulous 66+S multijet diesel motor from the S/ift 6iesel# 3eight penalty over the

S/ift is only around )&0gs so performance levels are similar to the hatch2ac0# Thepetrol has all the action to/ards the top(end of the po/er2and and may feel a little

lethargic /hen fully loaded# The diesel ho/ever is the one that ma0es the most of the

torque availa2le# A slight hint of lag 2elo/ %&&&rpm 2ut after that the motor comes

into its o/n and pic0s up the pace considera2ly# The gear2oC is again carried over

from the S/ift so it comes /ith a s/eet shifting action /ith short and direct thro/s#

%&


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Ride : 8and+in

The rear suspension has 2een stiffened due to the added /eight of the 2oot and the

S/ift already had a slightly 2umpy rear seat ride this remains in the 64ire as /ell#

This means on rough patches you /ill have to slo/ do/n unli0e in the 8ogan /hich

you can drive /ithout a care over 2ad roads# 1ut the stiff settings pay dividends in

handling# Lou can push the car through corners there is minimal 2ody roll and the

PS steering also feels precise that /eighs up /ith speed#

Reine#en$

The engines 2oth diesel and petrol are refined po/erplants and you /ill not find any

reason to complain# The interiors loo0 good and are made of good materials 2ut as in

the S/ift they may start to rattle fairly early in the car?s life# The suspension doesn?t

ma0e its presence 0no/n even on rough patches#

S =

+t is eCpected to 2e launched in +ndian mar0et in three months#The ne/ Maruti S=

sedan is eCpected to 2e 2uilt at MarutiBs ne/ manufacturing facility at Manesar#+t /ill

2e offered in the A) segment /hich currently accounts for '> : of the +ndian

passenger car mar0et# Cepcted preice range is , lacs to < lacs #

Su4u0i a /orld leader in the compact cars achieved an image ma0eover /ith the

launch of S/ift#Apart from +ndia S/ift received the -ar of the year a/ard across the

/orld# The unveiling of the S= sedan at *eneva is Su4u0iBs effort to ma0e its

presence felt in the premium sedan segment in front of a glo2al audience#

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ZEN ESTILO

en stilo has the same engine "'&,'cc ,=#9ps 9=!m =(cylinder ',(valve MPF+

F'&6 Petrol$ under the hood that is found in Maruti 3agon R# A2solutely nothing has

2een changed eCcept for the fact that this engine is much refined and is slightly 2etter

at responsiveness and fuel economy# This simply translate into Ben stilo is a 2it

faster and more fuel economic than 3agon RB# 6ue to highly good driva2ility driving

in city /ould 2e more fun /ith en stilo# lectronic Po/er Steering "not availa2le in

8 version$ really helps in cro/ded traffic# O/ning and maintaining en stilo /onBt

2e a pro2lem engine is proven relia2le and virtually maintenance(proof#

VITARO

*rand Ditara is /ell equipped /ith its various safety and comfort features# 3ith its

%#< litre 6O5- D, engine capacity and /ith the lo/(end torque of '%< 0/ ,&&&rpm it can effortlessly run from muddy dusty terrain to any normal high/ay# +ts

%%


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safety features include rear door child safety loc0s standard four(/heel A1S po/er

assisted rac0 pinion steering system high(tensile steel in a A 1 and - pillars high

impact door 2eams front and rear crumple 4ones etc#

+ts comfort features include 2etter space and three ro/s of seating arrangement#

+t comes in different colorsQ

-ool 1eige Metallic

1luish 1lac0 Metallic

*rove *reen Pearl Metallic

Pearl 3hite

-assis Red Pearl

MARUTI /11

6imensions

8ength )))> mm 3idth '==& mm

5eigth '=&> mm

3heel2ase %' mm

*round clearance '


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Type = stro0e cycle /ater cooled

SO5- ' -% D7i-=D

!um2er of cylinders )

Tyres

Std# >#,>('%(= PR E 6 Radials '=>7 7 9 seater options availa2le

ZEN

%=


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6imensions

8ength )=;> mm

3idth '=;> mm

5eight '=&> mm

3heel2ase %))> mm

*round clearance ',> mm

Min# turning radius =#; m

ngine

Type Aluminum 3ater -ooled

SO5-7TU6> +6+

!o# of cylinders = in(line

6iesel 7 !on(MPF+ % valves per cylinder

Fuel delivery 6iesel Rotary distri2utor type

Transmission

Manual type > for/ard ' reverse

Automatic type ) speed /ith planetary geat

Transmission

Manual type > for/ard ' reverse Automatic type ) speed /ith planetary gear

Suspension

Front McPherson Strut

1ra0es(2ooster assisted

Front 6isc

Rear 6rum

A8TO

%>


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Specification

8ength )=;> mm

3idth '=;> mm

5eight '=,& mm

3heel 2ase %),& mm

Min# turning radius =#, m

ngine

Type F- = valves per cylinder

MPF+ -ontrol ',( 2it -omputer

!um2er of cylinders )7 =

Piston displacement 8ts

5aon R

%,


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Specification

8ength )=;> mm

3idth '=;> mm

5eight ',,& mm 3heel 2ase %),& mm

*round clearance ',> mm

Min# turning radius =#, m

.er2 /eight 9%> .g7 9=& .g

*ross /eight '%%> .g for 8 8Ci DCi

'%=& .g of AC

Transmission

Manual type > for/ard all syncromesh

' reverse gear Automatic type ) speed /ith planetary gear

ngine

!um2er of cylinders = in(line F- engine7

= valves per cylinder#

S/ept volume '&,' cc

MaCimum po/er ,% 2hp ,&&& rpm

MaCimum torque 9#= .gm )>&& rpm

Suspension

Front McPherson Strut /ith torsion type roll

control device Rear -oil spring and gas filled shoc0 a2sor2ers

%


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/ith three lin0 rigid aCle and isolated

trailing arms

1ra0es ( 2ooster assisted

Front 6isc

Rear 6rumTyres '=>7


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Front Dentilated disc

Rear 6rum leading 7 trailing

Tyres ',>79&R(')

Fuel tan0 >' 8ts#

SALES FIGURES

Maruti Su4u0i sales in Septem2er %&') !e/ 6elhi Octo2er &' %&') The company

had sold a total of 9>, %9'& %)#': >'');,

A) S= 6B4ire ,


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,.2. PROBLEMS OF T8E ORGANIZATION

The automo2ile industry occupies a prominent place of the +ndian economy the

automotive industry has a strong multiplier effect and is capa2le of 2eing the driver of

economic gro/th# +ndia?s 2iggest car ma0er Maruti Udyog 8imited enjoyed a nearmonopoly status until the government li2erali4ed the economy in ';;' this led to the

entry of foreign players li0e 5yundai Fiat Mitsu2ishi and Toyota# The research area

product related strategies eCamines the mar0et related strategies adopted 2y Maruti

Udyog 8imited in response to the intensive competition for instance the company

introduced the hatch2ac0 JS3+FT? to shed its image of 2eing a manufacturer of lo/(

cost staid cars#

)&


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,.& units of Santro and ='& of Accent$ to Algeria# 5yundai has also announced

plans to eCport engine and transmission sets to the parent company in .orea and to

Tur0ey#

)'


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TATA Mo$or(

sta2lishedQ ';>=

-olla2oratorsQ

Tata *roup +ndia

+nternational Automotive 6esign U.

Ro2ert 1osch *m15 *ermany

+#6#A +taly

8e Moteur ModerneFrance

Product rangeQ Tata Sierra state Sumo +ndica +ndigo#

Founded in ';=> the Tata ngineering and 8ocomotive -ompany "Telco$ is one of

the leading players in the +ndian automo2ile industry# +n its early years Telco

manufactured only commercial vehicles through a technical colla2oration /ith

Mercedes 1en4 of *ermany# Starting /ith the ';9&s Telco has moved into light

commercial vehicles pic0(up truc0s multi(utility vehicles large cars and finally

small cars# The Tata Mo2ile pic0(up truc0 launched in ';99 /as pro2a2ly a turning

point in Telco?s history# The model failed to 2uild volumes 2ut gave Telco engineers

confidence in their design capa2ilities# Telco then launched its 2ig cars Tata Sierra

"';;'$ and Tata state "';;%$# 1oth these cars have 2een more or less phased out as

Telco decided to ta0e a plunge into the mass mar0et small car segment#

)%
http://www.le-moteur-moderne.fr/http://www.le-moteur-moderne.fr/


33/100

6ae/oo

sta2lishedQ ';;>

-olla2oratorsQ 6ae/oo -orporation ( South .orea

6-M *roup +ndia

Product range Q -ielo !eCia Mati4

6ae/oo entered +ndia in ';;> through a joint venture /ith the local 6-M group#

Hapanese car major Toyota also had a small sta0e in the project# 6ae/oo later hi0ed

up its equity sta0e to ta0e complete control of the venture#

6ae/ooBs first model for the +ndian mar0et /as the -ielo# +nitially -ielo seemed to

2e doing /ell selling a2out '&&& units per month# 8ater as competing models

arrived -ieloBs sales dropped sharply# 6ae/oo reacted 2y offering major discounts#

This only hurt the carBs image and did little to 2oost sales# 6ae/oo attempted to learn

from its eCperience 2y launching its small car the Mati4 in late ';;9# Although the

Mati4 /as initially priced high 6ae/oo quic0ly cut the price to gra2 mar0et share#

6ae/oo has pinned its hopes on the Mati4 to ma0e a come2ac0 and catch up /ith

arch rival 5yundai#

6ae/oo /as lac0ing in commitment# +t has invested over ' 2illion in a fully

integrated plant to produce '%&&&& vehicles per annum# 6ae/ooBs models across the

2oard meet the uro ++ environment norms# This has helped the company to project

its cars as the ones /ith the 2est technology#

Unfortunately for 6ae/oo it had /ound up it?s operation in +ndia

))


34/100

FIAT

sta2lishedQ ';;


35/100

As of no/ it loo0s unli0ely that Ford /ill enter into a head to head clash /ith other

players in the small car segment# Ford Motor +ndia feels /ith the /ay it has 2uilt the

2rand in +ndia and created a ne/ segment through +0on Ford does not need to go into

the lo/er end of the mar0et#

To%o$a

sta2lishedQ ';) '9&&& Toyota has set only modest sales targets to

start /ith# +t plans to sell %%&&& vehicles in the first year of operations# 1y the fourth

year volumes are eCpected to gro/ to >&&&

Toyota officials eCplain that it ma0es sense to gain eCperience and understand the

+ndian mar0et 2efore launching a conventional passenger car# Toyota also argues that

a sha0eout is li0ely in the +ndian mar0et and that it /ould prefer to /ait for the

process to 2e completed 2efore ma0ing heavy investments# Toyota eCecutives point

out that in 2oth +ndonesia and Thailand it had made strategic late entries 2ut 2y ';;9

;; had emerged as the mar0et leader#

Genera+ Mo$or(

sta2lishedQ ';;,

-olla2oratorsQ *eneral Motors -orp# USA 5industan Motors "-#.# 1irla *roup$

+ndia

Product rangeQ Opel Astra -orsa -orsa S/ing and Optra

The /orldBs largest car ma0er entered +ndia through a >&Q>& joint venture /ith the

local -. 1irla group of companies# This group manages 5industan Motors one of

+ndiaBs oldest car companies# Set up in ';;= /ith a total investment of a2out '&&

million *M?s operations are 2ased in the /estern +ndian state of *ujarat#

*M?s entry model /as the Astra designed 2y its *erman su2sidiary Opel# The Astra

has 2een positioned as a luCurious elegant safe premium offering /hich reflects the

eCcellence of *erman engineering# O/ing to its high price range of Rs# < ( '& la0hs

)>


36/100

the Astra has not surprisingly failed to 2uild volumes# 6uring ';;;(%&&& *M could

sell only )&=< cars# *M has recently launched another model the -orsa priced

2et/een Rs# > and < la0hs# *M has positioned it as a vehicle for the

Buncompromising 2uyersB /ho are prepared to pay more#

O$her MN4S

5O!6A S+8 sta2lishedQ ';;< -olla2oratorsQ

5onda Motor -ompany Hapan S+8 *roup +ndia

Product rangeQ 5onda -ity Accord#

5onda /hich has a tremendous reputation for quality and customer satisfaction

entered +ndia /ith its -ity model positioned as a lo/ cost car for Asia# The -ity has

po/erful engines and delivers good performance# 5onda sources 0its from Thailand

for assem2ly in +ndia# Though it has cut costs 2y providing a functional no frills

interior the car remains priced 2eyond the reach of most +ndian customers# +t sells

only a2out '&&& units per month and is unli0ely to sell in large num2ers given its

current price structure of Rs# , ( ; la0hs# Mean/hile 5onda has announced plans to

launch one of its most popular models in the /orld the Accord#

S&oda Au$o India Pri*a$e Li#i$ed

sta2lishedQ ';9; -olla2oratorsQ D3 Audi and SAT Product rangeQ Octavia

Another cautious entrant into the +ndian car mar0et is Dol0s/agen through its

su2sidiary S0oda /hich has invested in a plant /ith a capacity of '&&&& cars# The

company has indicated that it /ill not increase this capacity for the neCt five years# +n

its first full year of operations S0oda eCpects to sell ,&&& vehicles# This is projected

to increase to '&&&& 2y the third year# S0oda /ill also depend heavily on imports of

0ey components# S0oda officials eCplain that the project /ill 2e implemented in a

slo/ start fast gro/thV fashion#

Let another player Mitsu2ishi has confined itself to the upper end of the mar0et# +ts

products li0e the 8ancer and Pajero are premium vehicles /hich are unli0ely to sell in

large num2ers in the near future#

),


37/100

,.;. S.5.O.T Ana+%(i( o $he Orania$ion

S5OT Ana+%(i(

S$ren$h(!

3ell sta2lished -o# since ';9)#

Hoint venture of Su4u0i Motor -orporation Hapan#

Trusted 2rand in +ndia#

Only producer of the A' segment car in +ndia currently#

Strong distri2ution net/or0 all over +ndia#

+t has the maCimum num2er of service stations all over the country /ith services

availa2le in the remote areas too#

asy availa2ility of spare parts at lo/ cost#

-ars 0no/n for there efficiency efficiency in term of maintenance cost and running

cost#

Tie up /ith S1+ to provide financial services in the rural areas too#

Other services li0e True Dalue Maruti +nsurance and Maruti Finance /hich help to

provide the turn 0ey services to the customers#

8arge share in total car eCports to urope#

5ea&ne((!

The company does not offer diesel version of there 2rands#

The num2ers of models offered in A) and - segment are very less#

The models offered 2y the company are very old and loo0s outdated in comparison to

the ne/ cars availa2le in the segment#

The company has lo/ 2rand recognition in A) and - segment#

!ot perceived as a luCury car manufacturer 2ut as a small car manufacturer#

Oor$uni$%!

Opportunity eCists in the A) segment /hich has recorded a dou2le digit gro/th of

'>: in +ndian mar0et#

The company can sign in contracts /ith M!-?s for providing them /ith the cars for

purpose of pic0 and drop# This /ay the sales of Dersa can 2e improved#

The company can come out /ith a -!* fitted 0it model for cars for taCi purpose#

-oming out /ith diesel variants of the different 1rands#

)


38/100

Threa$(!

The Rs# '#> la0h car to 2e launched 2y Tata and TDS +ndia#

8aunch of ne/ cars li0e *et4 Fusion in the upper A% segment#

Price reduction and heavy discounts 2y other car manufacturer li0e 5yundai Ford inthe A) segment#

+ntroduction of ne/ models of international players in the - segment# g# +!!ODA#

8aunch of 2ase model Santro for %#9 lacs closer to Maruti?s Alto?s price and a threat

for Maruti?s A'segment

)9


39/100

48APTER9-

OB3E4TIVE AND MET8EDOLOG)

);


40/100

-.,. SIGNIFI4AN4E

Automo2ile industry 2eing such an important sector of the +ndian economy and due to

heavy competition it is important to 0no/ a2out the strategies depending upon the

opportunities in this industry#

-.-. MANAGERIAL USEFULNESS OF T8E STUD)

As the +ndian car industry is gro/ing in dou2le(digit figures in the last couple of

years /hich is due to the rising income levels continuing poor pu2lic transport

system and declining interest rates /ider availa2ility of finance decreasing product

life cycles and increasing percentage of young population#

The last fe/ years have seen a fundamental shift in preference from t/o /heelers to

cars especially small cars# Aoto car sales have gro/n at a compounded annual

gro/th rate "-A*R$ of %


41/100

-.2. OB3E4TIVES

O"'ec$i*e o $he Re(earch

A mar0et analysis of the MARUT+ car /ith the respect to its -OMPTTOR li0e

MU8 TATA etc#

Su"9o"'ec$i*e(

To identify the critical factors considered 2y the prospective customers /hile

purchasing the MARUT+ car#

To identify the perception of the eCisting users of the MARUT+ motors#

To find the mar0et share "distri2ution$ of the MARUT+ motors#

To find the mar0et analysis trough S3OT Analysis Product Specification and

Mar0et Segmentation#

-.


42/100

-.;. MET8ODOLOG)

Research Methodology defines the purpose of the research ho/ it proceeds ho/ to

measure progress and /hat constitute success /ith respect to the o2jectives

determined for carrying out the research study# The appropriate research design

formulated is detailed 2elo/#

EH+ora$or% re(earch! This 0ind of research has the primary o2jective of

development of insights into the pro2lem# +t studies the main area /here the pro2lem

lies and also tries to evaluate some appropriate courses of action# The research

methodology for the present study has 2een adopted to reflect these realties and help

reach the logical conclusion in an o2jective and scientific manner# The present study

contemplated an eCploratory research

Re(earch De(in

The research design is the 2asic frame/or0 /hich provides guidelines for the rest of

the research process# The present research can 2e said to 2e eCploratory# The research

design determines the direction of the study throughout and the procedures to 2e

follo/ed# +t determines the data collection method sampling method the field/or0

and so on#

Na$ure o Da$a

Pri#ar% Da$a! Primary data is 2asically fresh data collected directly from the

target respondents it could 2e collected through Wuestionnaire

Surveys +ntervie/s Focus *roup 6iscussions tc#

Secondar% Da$a! Secondary data that is already availa2le and pu2lished #it could

2e internal and eCternal source of data# +nternal sourceQ /hich

originates from the specific field or area /here research is

carried out e#g# pu2lish 2roachers official reports etc#

EH$erna+ Source!This originates outside the field of study li0e 2oo0s periodicals

journals ne/spapers and the +nternet#

=%


43/100

Da$a 4o++ec$ion

Pri#ar% da$a! Primary data /ill 2e collected from the sample 2y a self(

administrated questionnaire in presence of the intervie/er#

Sa#+e (ie!

The survey is conducted among ,11 re(onden$(

Sample AreaQ N4R De+hi

Sample unitQ Officials of MU8 and the general pu2lic /ho o/n a car7/ho plan to

o/n a car in future in regard to the current research study#

Secondar% Da$a! Secondary data /ill 2e collected through

Articles

Reports

Hournals

Maga4ines

!e/spapers and

+nternet

Sa#+in Techniue

Random sampling technique has 2een employed to eCtract the fruitful results# This

includes the overall design the sampling procedure the data collection methods the

field methods and the analysis procedures

Sa#+in Procedure Ac$ua++% E#+o%ed!

The process employed to select the sample /as simple random sampling# Simple

random sampling refers to that sampling technique in /hich each and every unit ofthe population has an equal and same opportunity of 2eing on the sample# +n simple

random sampling /hich item gets selected is just a matter of chance#

Ana+%$ica+ $oo+(!

Simple statistical tools have 2een used in the present study to analy4e and interpret the

data collected from the field# The study has used percentiles method and the data are

presented in the form of ta2les and diagrams#

=)


44/100

48APTER 92

4ON4EPTUAL DIS4USSION

==


45/100

2., 4once$ua+ Di(cu((ion

Mar&e$ Si$ua$ion

Se#en$ A,!After almost '9 years the 9&& is on its last legs# The dies that have

2een stamping out the 2ody panels /ill not 2e a2le to do so much longer# 1ut the A'segment in /hich the 9&& is the only product and sell % la0h units a year# This car

accounted for company?s )&: domestic sales volume#

The current dies imported from Hapan /ere good for stamping out the 2ody

panels of a million 9&&s# !o/ t/o overhauls later they are eCpected to 2e around

for another %() years# The dies can 2e replaced 2ut it is a costly affair#

The competition from the larger JA% segment? cars and Maruti?s strategy of

positioning its other model JA8TO? as an alternative to Maruti 9&& has affected

the sales of Maruti 9&

asier finance schemes have shifted -ustomer preferences to/ards other

segments#

The second hand cars have eaten into the mar0et for A' segment cars# +f a

customer can get a good SA!TRO or 3A*O!R at a price of a ne/ Maruti 9&&

they may opt for the same#

The competitor companies li0e JTATA? is planning to come /ith their Rs# ' 8a0h

car in coming time /hich could directly affect Maruti?s A' segment sales#

Se#en$ A-!

The competition from the larger JA% segment? cars has affected the mar0et share

of Maruti /here it has major share in the mar0et#

asier finance schemes have shifted -ustomer preferences to/ards larger cars#

Se#en$ A2!

+n Segment A) steem sales are on a continuous decline even though price have

2een reduced considera2ly#

1aleno sales have not pic0ed up despite several attempts at sales promotions#

=>


46/100

Se#en$ 4!

The sale of versa has increased after major price reductions 2ut still /ay 2ehind

sale of competitors li0e Wualis Sumo etc#

Rura+ Mar&e$!

Rural +ndia /ith its poor and at times non(eCistent roads has 2een dominated 2y

rugged multi(utility vehicles from Mahindra E Mahindra and the Tatas for a long

time#

According to a %&&' study conducted 2y the !ational -ouncil for Applied conomic

Research "!-AR$ there are as many Jmiddle(income and a2ove? households in the

rural areas as there are in the ur2an areas and a2out t/ice as many Jlo/er middle(

income? households#At the highest income level there are %#) million ur2an

households as against '#, million households in rural +ndia# The study also says the

num2er of middle( and high(income households in rural +ndia is eCpected to gro/

from 9& million in %&&' to ''' million 2y %&&


47/100

As the +ndian mar0et matured customers 2egan to change cars faster# So the question

is if a car is going to see three users in say a life span of '& years ho/ can + ma0e

sure that it comes 2ac0 to me each time it changes handsX

S$ra$e% For#u+a$ion

A, Se#en$!To ha(e ou$ $he Maru$i /11 @i$h $he A+$o a( $he a+$erna$i*e.

1ut the pro2lem is the price differential 2et/een the air(conditioned 9&& and the Alto

8# A- 9&& comes for Rs %#%, la0h /hile the Alto 8 costs Rs %#,> la0h "after the

price reductions in the recent past$# So there is still a Rs =&&&& difference#

Ateam of engineers of Maruti Udyog "MU8$ should 2e formed the team /ould have

to meet a fe/ of the companyBs %,9 vendors# The team?s jo2 /ould 2e to 2ringdo/n

the price of the 9&& cc Alto 8 model 2y Rs =&&&& to the price of the Maruti 9&

PUSH/11 in (#a++er cen$er( and rura+ area(.

Maruti 9&& is sho/ing a dec+ineafter 2eing largest selling car for several years# The

firm is not in a position to 2ring do/n its cost so they are loo0ing for other means to

it more afforda2le# 5ence they are also trying to push the cars in smaller centers and

rural mar0ets#

A2 Segment: In$roduc$ion o ne@ ea$ure( in all the models of Segment A% at no

eCtra price li0e completely redesigned headlamps tail lamps and a ne/ flo/ing

chrome grille /ith provision for front fog lamps# Offering special up gradation

pac0age for the 8Ci# Dariants of the different 1rands in this segment# These pac0ages

/ould 2e /orth Rs#'=&&& /hich /ould include 1ody colored 2umpers 3ooden

finish interiors Alloy /heel caps 1ody colored 6oor vision set#

For enhancing sales in the A%(segment every time any of his )#% million o/ners of

9&& or the Omni decide to trade in their car and upgrade# 5is dealers /ill give them

loyalty discounts to get them to upgrade to a Maruti A% segment car# 3ith support

from parent company Su4u0i Motors Maruti Udyog 8td "MU8$ may /or0 on

developing a ne/ compact car in the A% segment for 2oth the domestic and the eCport

mar0et#

=


48/100

Se#en$ A2!

After having lost mar0et share to Tata MotorBs +ndica and 5yundaiBs Santro in the

compact segment Maruti can decide to protect its share of the profita2le mid(si4e

segment

E($ee# To Be Priced Lo@er

The 2ase model of steem 6iesel "/ithout po/er steering$ comes for Rs =#9) la0h

"all prices are eC(sho/room 6elhi$ against Rs >#%% la0h earlier /hile the loaded

version /ill come for Rs >#&; la0h do/n from Rs >#=9 la0h# At its prevailing price

the steem diesel is just a little more eCpensive than the Tata +ndigo diesel "Rs >#&%

la0h$ 5ence the price reduction of loaded version can 2e reduced to Rs# > la0hs to 2e

less than competitor?s price#

Ba+eno $o Be Fur$her Di(coun$ed

1aleno DCi to 2e offered at a compara2le price than the other Segment A) cars li0e

5yundai Accent *DS +0on Ci "Rs ,#&, la0h$ # 1aleno DCi presently priced at Rs

,#%; 8a0h should 2e discounted to price of Rs# , la0hs this can 2e done at the cost of

po/er /indo/s po/er mirrors rear defoggers#

Hence on the basis of this the pricing strategy is given as:

PRI4E

PRODU4T

JUALIT)

5+*5 M6+UM 8O3

5+*5 PREMIUM 8IG8 VALUE

Ditara

SUPER VALUE

M6+UM OVER48ARGING

steem 1aleno

MEDIUM VALUE

en 3agon R Dersa

GOOD > VALUE

Alto

LO5

RIP OFF FALSE E4ONOM) E4ONOM)

Maruti 9&& Omni

=9


49/100

For $he (econd hand car #ar&e$!

Maruti has created a system /here dealers pic0 up used cars recondition them give

them a fresh /arranty and sell them again#

This /ay MU8 /ill create a num2er of ne/ revenue streams /ithout ma0ing large

investments# 6ealers ma0e all investments for True Dalue# MU8 should aim at

convincing '9) authori4ed dealers selling Maruti cars through %=' outlets to open at

least one True Dalue outlet each /ithin t/o years#

Taxis & Government Vehicles: Maruti should plan to displace the good old

Am2assador from the taCis and government vehicles segment# This is one area /here

sales can increase tremendously# MU8 has -!*(po/ered environmentally fit

vehicles /hich are 2est suited as taCis and government cars#

MU8 can offer discounts in the form of re2ate to taCi o/ners to 2uy Maruti cars# +f

this strategy is a2le to convert old cars into ne/ green Maruti MU8?s sales /ill

leapfrog 2y at least '& per cent#K

TaCi customers can get re2ate of 9: on the assessa2le value of the vehicle# +n

a2solute value this ranges from approCimately Rs# '&&&& on Omni to Rs# %9&&& on

1aleno# This re2ate /ould 2e availa2le on all the vehicles having seating capacity upto seven including the driver#

Vehicles for orporate:

Offering -!* fitted Dersa as a vehicle to 2e used for Pic0 up E drop service for their

employees# A >: discount "Rs %%&&& on Dersa 6C%$ /ould 2e offered to these

corporates on a 2ul0 purchase of more than ten Dersas# This /ould help increase the

sales of Maruti Dersa# 2y '>: " )>&& units$

!"ral #ar$et:

To counter that apprehension discussed in the mar0et situation the company should

/or0 on a novel idea#

For EMI!Maruti has tied up /ith State 1an0 of +ndia "S1+$# Today organi4ed

finance is availa2le in just >&(,& to/ns in +ndia 2ut MU8 has dealerships in '9&

cities# The S1+ deal gives MU8 access to a2out ;&&& S1+ 2ranches and another >&&&

2ranches of its affiliate 2an0s A typical t/o(/heeler loan lasts %() years charges ahigh rate of interest and has a monthly payment of around Rs %&& !o/ S1+ and its

=;


50/100

affiliate 2an0s are offering >(< year loans for the 9&& # They /ill charge a far lo/er

rate of interest ( around ;#>: ( and the monthly installment /ill 2e just Rs %9&

Fue+ 5o/ much you spend on fuel is in your hands#

Main$enanceQ As far as the maintenance cost is concerned company /ill charge a

little eCtra in the M+ and offer free maintenance#

EH$ra Benei$Q 3ith the State 1an0 of +ndia MU8 can come out /ith a scheme

/here installments can 2e paid every siC months ( after the ra2i and 0harif harvests#

This ma0es the total cost per month to 0eep a car to 2e around )>&& as compared to

the notional &


51/100

Se#en$( Ari+ Ma% 3une 3u+% Au Se Oc$ No* Dec 3an Fe"

Marc

h

To$a+

Annua+

Sa+e(

Se#en$

A, '%'9 '%) '&;9< '&&%& ''';& ')))

9 ')%==;

Se#en$

A- %%';& %=)&9 %'>9) %,%>9 %=&;) %>'9, %,9)= %,)'& '99< ,';< ,=9,

=='&,

) >=9)>&

>'


52/100

Mar&e$in S$ra$e% o Maru$i Suu&i PVT Li#i$ed

The mar0eting strategy of the Maruti Su4u0i Pvt# 8td# can 2e measured from the

follo/ing storyQ

Eicien$ Produc$ion and Di($ri"u$ion 4aa"i+i$ie(

Hust three months after it launched S/ift Maruti Udyog 8imited has already sold over

9&&& units of the car and added another >&&& neCt month# ThereBs a four(month

/aiting period for the '%;9(cc hatch2ac0 (( the company claims more than ;&&&

2oo0ings 2efore the car /as launched# And thatBs even /hile competitors (( -orsa

Sail 5yundai *et4 and Fiat Palio (( are availa2le off the shelf# !ot surprisingly MU8

no/ has a lot riding on the carQ thereBs over Rs ==& crore "Rs =#=& 2illion$ invested in

the project "Rs %>& crore(odd is MU8Bs share$# !ot only is the company hoping that

the S/ift /ill help eCpand the mar0et for the 1(plus segment "premium hatch2ac0s$

itBs also counting on S/ift to ma0e a style statement (( that Su4u0i can deliver good(

loo0ing cars on +ndian roads# For a company that has 2een 0no/n more for its value(

for(money proposition (( from the 9&& to the steem (( thatBs important# K+tBs not as if

our cars /erenBt style statements# +tBs just that /ith S/ift /e have made a 2rea0 from

the pastK reveals a company official#

The 2u44 around S/ift 2egan in 6ecem2er %&&= (( five months 2efore its launch# All

ne/ 3agonRs and Maruti Omnis came /ith stic0ers and sunshields that proclaimed

KMy neCt car is a S/ift#K Unli0e most car launches /here the loo0 of the vehicle is

0ept under /raps until the last possi2le moment photos and specs /ere made

availa2le at sho/rooms several months earlier# Models of the car /ere placed on high

platforms at 2usy intersections in 6elhi /hile cars /ere on display in malls# K+t /or0s

/ell for those /ho donBt have the inclination to really go to a dealer and chec0 out the

carK says a company official# The launch /as staggered over three to four days in '>

cities across the country coinciding /ith the /orld/ide launch of the car# MU8 also

made good use of its Rs %& crore "Rs %&& million$ mar0eting 2udget# For the first

time it opted for an in(film placement (( S/ift appeared in the 1olly/ood hit 1unty

Aur 1a2li /hich /as released on the same day as the car launch May %


53/100

model it /as close to a2out Rs >&&&& less than its competitors# ven the top(end

version /as Rs # Su4u0iBs eCpansion plans could turn out to 2e a 2ig push in that direction#

5aving successfully completed the supply of fuel nec0 and real aCle for Maruti

Udyog 8td "MU8$ vehicles during last fiscal Hay 1harat Maruti 8td "H1M8$ the Rs

=%%(crore manufacturer of components for automotive applications is no/ /or0ing

on another eCpansion programme# The company is also planning to set up a coating

facility and additional /elding lines# Further it has also decided to eCpand its eCisting

capacity to meet the increased demand of MU8# KAt present the company is /or0ing

on a major eCpansion plan for ne/ model of Maruti L!= and /ill 2e setting upfacilities for manufacturing of the rear aCle in technical colla2oration /ith Loro4u

>)


54/100

-orporation HapanK a H1M8 official told the researcher# 5o/ever declining to

divulge the details on investments involved in the eCpansion project and the

implementation schedule he said Kthe details for the finalisation of technical

colla2oration and eCpansion project are still 2eing /or0ed out in constant

consultations /ith Maruti Udyog# 3e /ill announce them as and /hen they /ere

finalised#K The official said that Maruti Udyog has recorded first ever sales of

=


55/100

Thorouh roe((iona+ #anae#en$ hi+o(oh%

The unit sales of the company during %&&>(&, gre/ faster than the rest of the

domestic car industry and /as the highest ever in Maruti?s history# *ross Sales

Revenue gre/ 2y '' per cent over the previous year# !et Profit increased 2y ); per

cent compared to %&&=(&># The ratio of !et Profit to !et Sales /as ;#; per cent

compared to # 6uring the year /or0 on the company?s ne/

ventures proceeded as per plan#

La$e($ Facu+i$ie(

This state(of(the(art facility located in Manesar in 5aryana 2egins /ith an initial

capacity of '&&&&& units per year# This /ill 2e over and a2ove the capa2ility of over

,&&&&& units a year in our eCisting facility in *urgaon 5aryana# The ne/ car plant atManesar together /ith Su4u0i Motor -orporation?s ne/ plant in Sagara Hapan has

2een designed to meet the Su4u0i group?s glo2al aspirations in the future# As such the

Manesar plant comes equipped /ith many sophisticated systems and processes to

ensure high quality and productivity on the shop floor#

The company is also committed to upgrading facilities at the eCisting plant in

*urgaon# The total investment 2y Maruti and Su4u0i in the ne/ car plant the diesel

engine and transmission facility upgradation of the eCisting plant and in launching

>>


56/100

ne/ models /ill 2e close to Rs ,&&& crore# The other major venture the diesel

engine plant ((( is also on course to 2egin operations in this calendar year# The plant

/ill manufacture state(of(the(art '#) litre diesel engines for cars# +t /ill start /ith an

initial capacity of '&&&&& diesel engines per year# This /ill ena2le Maruti?s entry into

the significant diesel car segment of the domestic passenger car mar0et# These ne/

facilities /ill strengthen the company?s leadership position in the domestic passenger

car mar0et# At the same time they sym2oli4e Su4u0i Motor -orporation?s continued

commitment to +ndia#

I#re((i*e G+o"a+ 8o+d

The company /ill launch a ne/ eCport model during %&'%(')# This compact car

model /hile serving the +ndian mar0et /ould 2e for eCport mainly to urope# The

company /ill target to eCport '&&&&& units of this model annually# A fe/ months

ago Su4u0i Motor -orporation and !issan Motor -ompany decided to /iden the

scope of their glo2al strategic alliance# As a first step they agreed to colla2orate in

manufacturing 2y utili4ing the facilities of the company# +n the ne/ scenario +ndia

and Maruti have acquired a very important role in this alliance# The increased scale of

operations on account of the !issan contract is li0ely to further improve cost and

quality competitiveness at the Maruti facilities /hich in turn /ill 2enefit customers in

the domestic mar0et# The company shares the *overnment of +ndia?s vision of

ma0ing +ndia a glo2al hu2 for compact cars# 3ith Maruti emerging as a contract

manufacturer for !issan +ndia ta0es one step for/ard in reali4ing that vision#

Mo($ Eicien$ Re(earch and De*e+o#en$

3hile Su4u0i and Maruti remain committed to eCcellence in manufacturing 2oth

companies are also increasing colla2oration in R E 6# Su4u0i Motor -orporation sees

a major role for Maruti in the area of R E 6 for cars in Asia# 1uilding on the success

of the S/ift eCperience /here Maruti engineers trained in Hapan /or0ed closely /ith

their Su4u0i counterparts to design and develop a ne/ model the effort /ill 2e

empo/er Maruti to independently develop cars to suit preferences of +ndian

customers# The focus /ill 2e on tapping the vast talent pool availa2le in +ndia and

develop people through eCtended training at Su4u0i Motor -orporation Hapan# This

com2ined /ith augmentation of R E 6 facilities /ill help Maruti acquire a

preeminent position in Su4u0i?s glo2al R E 6 set(up#

>,


57/100

Maru$i( S$ra$e% $o 4o#e U 5i$h Ne@ Mode+( : Surri(e Mar&e$er(

The company is aiming at sales of one million cars per year in %&' +nvestment in

ne/ facilities and in R E 6 as outlined a2ove are 2oth part of the strategy to achieve

the am2itious sales goal# +n addition the company /ill launch a series of ne/ models

to 2e a2le to attain the one million sale target# +t plans to launch five ne/ models in

the neCt five years to meet the needs of +ndian customers# This /ill 2e over and a2ove

face(lifts of any eCisting models and launch of ne/ variants# To sell one million cars

in a year the company /ill have to eCpand the net/or0 of sales outlets as /ell as

service /or0shops across the country# This process /hich gathered pace in recent

years is li0ely to accelerate in the neCt fe/ years# 1esides increasing the num2er of

outlets the company /ill also revamp the quality of infrastructure and service at these

outlets#

Gra""in 4o#ac$ 4ar Oor$uni$%

The company 2elieves that the lo/ penetration rate of cars in +ndia and the relatively

lo/er percentage of first time 2uyers present a tremendous opportunity for gro/th#

Therefore the company?s optimism stems from positive macro economic factors

including significant *6P gro/th 2ias to/ards lo/er taCes a young population

focus on roads and rural infrastructure and gro/ing consumerist aspirations# 8i0e

-hina 2efore it the +ndian car mar0et may 2e on the threshold of eCplosive gro/th#

This gro/th is li0ely to 2e driven 2y the entry(level segment# Over %> million +ndians

have 2ought t/o /heelers in the past five years and /ill 2oost demand once they

upgrade to four /heels# The company /ith a range of models in the entry level and

compact segments is 2est placed to tap this opportunity# Su4u0i Motor -orporation

has 2een the leader of the minicar mar0et in Hapan for over three decades# +t has the

right technology and the right products to tap the compact car opportunity in +ndia#

>


58/100

The eCpansion of their sales and service net/or0 innovative and focused mar0eting

initiatives aggressive cost reduction and productivity improvement programmes their

tie(ups /ith regional finance companies and 2an0s to eCpand the reach of organised

finance are all efforts to reach out to entry level customers#

Sho@ed Grea$ Socia+ Re(on(i"i+i$%

The company is conscious of its responsi2ility as a corporate citi4en# 6uring the year

the company has eCpanded the num2er and reach of Maruti 6riving Schools across

the country# quipped /ith driving simulators and specially trained instructors these

schools provide a comprehensive theory(cum(practical curriculum modeled on the

2est international driving schools# They have 2een very /ell received especially

among /omen learners#

The recent decision of Su4u0i to set up a separate joint venture for the manufacture of

diesel engines and a ne/ plant had raised concerns that MU8 may not 2e a2le to

2enefit su2stantially from any future eCpansion plans# 5o/ever government

intervention 2efore the crucial 2oard meeting to decide on the joint venture assured

MU8 a su2stantial


59/100

engaged to install a num2er of Oracle (1usiness Suite modules and integrate

them /ith Maruti?s eCisting systems# The eight(month project involved managing

up to >& people including Maruti staff Oracle consultants and employees of

third(party organi4ations# Oracle also assisted Maruti /ith change management a

critical part of the process to ensure quic0 user acceptance#

Grea$ Manae#en$ 4on$ro+

Prior to employing Oracle Maruti used a num2er of home(gro/n systems to manage

its various lines of 2usiness# Many of these disparate systems could not tal0 to each

other requiring staff to enter data multiple times and consolidate information to

generate management reports# The addition of four ne/ 2usiness sectors in %&&%

created further pressures requiring constant monitoring and human intervention to

0eep the system operating across the hundreds of locations Maruti serves /ithin +ndia#

To support this gro/th and improve efficiency the company decided to revamp its

information technology systems to provide end(to(end visi2ility into the organi4ation#

3e /ere loo0ing for a fleCi2le eCpanda2le system that /as easy to manageV said

Rajesh Uppal chief general manager information technology Maruti Udyog# This

/ould reduce the compleCity of the +T environment and our reliance on certain people

to maintain the systems. And 2ecause our 2usiness is undergoing a period of rapideCpansion it /as important to have a standard system that could scale easily#V

To minimi4e the impact of the system change on its 2usiness Maruti decided on a

phased migration to Oracle (1usiness Suite# As a first step the company decided to

replace its financial purchasing and human resources systems /ith Oracle

Financials Oracle Procurement and a range of Oracle 5uman Resources

applications# Oracle -onsulting /as selected to supervise the implementation

including determining Maruti?s requirements and developing a project plan designing

the system deploying the soft/are managing the various parties involved and

providing post(implementation support#

Tih$ Pro'ec$ Manae#en$

As /ith all Oracle -onsulting(led deployments consultants sat do/n /ith Maruti

managers and 0ey 2usiness users to scope out their requirements# A steering

committee /as set up to guide the implementation and ensure consultants had

>;


60/100

recourse to senior eCecutives for advice# The project plan delineated the

responsi2ilities of each party and incorporated monthly milestones and testing

deadlines# Oracle -onsulting ensured a fast pro2lem(free installation 2y employing

Oracle?s 1usiness Flo/ AcceleratorsYan implementation approach that leverages

predefined 2usiness flo/ templates to reduce the time and cost associated /ith

application deployments# A 0ey project challenge /as interfacing the Oracle modules

/ith Maruti?s legacy systems including direct item procurement dispatch systems

the time card system for attendance and the 5yperion 2usiness intelligence platform#

The integration had to 2e completed /ithout any impact on the company?s 2usiness

/hich frequently deals in large volumes# For eCample Maruti generates more than

%&&& invoices each day and any lengthy interruptions could have disastrous impacts

on cash flo/ further do/n the line#

Grea$ Fu$ure P+an(

After the success of the financials procurement and human resources deployment

Maruti is considering eCpanding its Oracle footprint# The company is evaluating

Oracle Advanced Supply -hain Management and Oracle nterprise Asset

Management# 3e /ould li0e to automate supply chain management and integrate

this process /ith the Oracle RP systemV said Uppal# 3e are also loo0ing at lin0ing

more systems /ith Oracle so /e can access real(time information across all our

2usinesses# + eCpect Oracle -onsulting to play a role in future projects#V

,&


61/100

,'


62/100

A 4ri$ica+ Ana+%(i( o Mar&e$in S$ra$e% o Maru$i Suu&i

Strategy and timing are the 5imalayas of mar0eting# verything else is the -ats0ills#

( Al RiesMaruti has 2een successful in capturing the car mar0et 2ecause of the eCcellent

product it has produced# The mar0et research conducted 2y Maruti Su4u0i sho/ed

that +ndian cars /ere overcro/ded /ith tur2ans and sarees to 2e accommodated# The

idea /as to create a voluminous compact car# The tall 2oy? model /as ta0en from the

Ato4 and it /as redesigned to meet +ndian conditions# The car also gives high

mileage# The engine delivers adequate torque i#e# the a2ility to pull loads even at very

lo/ speeds(((this proves to 2e very essential for slo/ and traffic(heavy +ndian

conditions# The most important is the seating /hich is high and gives road

commandV#

Maruti Su4u0i /as competing /ith Maruti Su4u0i in the small car segment and it

offered technology that other car ma0ers thought /as too advanced for the slo/

gro/ing +ndian mar0et# Maruti has no/ 2uilt up a reputation such that it is the first

preference of any2ody /ho has driven or ridden in it#

The mar0eting strategy employed 2y Maruti Su4u0i can 2e studied /ith insights into

their STP analysis and Mar0eting MiC#

,%


63/100

Pe($ Ana+%(i(

Z+n order to understand the conditions under /hich the Maruti products /ere launched

in the +ndian mar0et it?s necessary to analy4e the factors that influenced its

effectiveness#

Po+i$ica+ 4ondi$ion(

Maruti Su4u0i entered +ndia /hen li2erali4ation /as at its pea0# As a result

everyone /as very open to the idea of foreign companies colla2oration "Maruti

+ndia [ Su4u0i Hapan$ setting up 2ase in +ndia#

The government insisted on the -ompanies using


64/100

Techno+oica+ 4ondi$ion(

Since Maruti Su4u0i manufacturers everything from the smallest of scre/s to the

2iggest of machines in its factory it is a2le to maintain the efficiency of the

machines# Maruti Su4u0i therefore manufactures cars under 2est of conditions/ith the 2est of machinery# As a result the cars manufactured are of top quality#

STP > Se#en$a$ion Tare$in Po(i$ionin

Mar0eting is not an event 2ut a process # # # +t has a 2eginning a middle 2ut never an

end for it is a process# Lou improve it perfect it change it even pause it# 1ut you

never stop it completely#

- Jay Conrad Levinson

Se#en$a$ion

Segmentation is 2ased upon considera2le evidence that a single mar0eting approach

or formula /ill not /or0 for all mem2ers of the community to 2e served#

Georahic

The region of interest of Maruti Su4u0i is /hole +ndia /ith special focus on Type A

and fast gro/ing Type 1 cities across +ndia#

De#orahic

Age Any2ody of age 2et/een %& =& yrs#

Income Any2ody /ith an income of over = la0h p#a#

Occupation Millennials employed as professionals managers and those /ant to 2uy

their first car#

Social Class Middle class Upper middle 8o/er Upper and Upper uppers#

P(%chorahic

Personality 6reamers those /ho /ant to achieve 2ig am2itious price conscious

too0 their first step to/ards success and value driven#

,=


65/100

Beha*iora+

Benefits Wuality Style Price "economical$

User status Potential users and first time users

Buyer Readiness Stage Those /ho are a/are informed interested and intend to

2uy

Tare$in

+n evaluating the mar0et segments Maruti Su4u0i has loo0ed at t/o factors ( The

segments overall attractiveness and the companies resources# As is very clearly seen

Maruti Su4u0i has opted for a selective speciali4ation 0ind of targeting# Maruti Su4u0i

has selected a num2er of segments each o2jectively attractive and appropriate# There

is minimal synergy among the segments 2ut each is a cash co/# This multi segment

strategy has had the effect of diversifying the firm?s ris0#

5aving 1olly/ood cele2rities to endorse its cars paid off for Maruti Su4u0i#

1olly/ood cele2rities li0e Sunny 6eol as a 2rand am2assador targets t/o sections of

the society# Firstly his glamorous and sophisticated image appealed to the elite

effecting their purchase decisions# Secondly his adora2le persona appealed to the

middle class 2uyers /ho /anted a good car for the J2ig? investment they /ere ma0ing

and for people /ho /ere graduating from the second hand car#

The lo/ price tag of Maruti Su4u0i initiated a price /ar among all companies and

forced Tata +ndica to pre(pone its launch# The initial lo/ price tag and strengthened 2y

a solid mar0eting initiatives in form of print advertisements provided a solid

foundation for Maruti Su4u0i in +ndia /hich sho/ed in its sales of ' months#

Maruti Su4u0i has identified its target mar0et 2ased on its pricing strategy# S/ift aims

to 2e the price leader in 1(Segment cars# +t has al/ays priced its 2ase model lo/er

than en or +ndica giving all the features /hich they give in their higher models# 3ith

a constant change in its positioning strategy Maruti Su4u0i S/ift has succeeded in

identifying its target mar0et every time and emerging as the fastest selling car in its

o/n segment# 3ith the invent of S/ift Maruti Su4u0i is loo0ing to/ards entire ne/

segment of consumers and all set to target it to emerge as the mar0et leader in 1(

Segment cars#

,>


66/100

Po(i$ionin

Since its inception S/ift has undergone a lot of changes in terms of its positioning#

First it /as S/ift then S/ift D+ and then came finally S/ift D6+#

3hen S/ift /as initially launched it /as positioned as The -omplete Family -arV#

Since S/ift /as launched in 1(Segment it had Santro and Tata +ndica as its 2iggest

competitors in that segment# The stylish JTall 1oy? 6esign of S/ift together /ith its

slogan helped it to position itself as one of the cars to loo0 upon# 3ith a constant

change in its positioning Maruti Su4u0i al/ays tried to 0eep alive the 2u44 associated

/ith S/ift#

Maruti Su4u0i repositioned S/ift as Sunshine -ar "smart car for young people$Vfrom earlier complete family carV# This /as done 2ecause the competitors /ere

coming out /ith similar products and then Maruti Su4u0i started /hat they call as

Jmotional Positioning?# This repositioning of S/ift also helped it to target the

segment of first time car 2uyers# ven the print ads at this time /ere designed in a

/ay to project S/ift as the first car for the fastest gro/ing consumer segment of +ndia

at that time The Loung Professionals of the service industry that com2ined /ith

various loan facilities /ere too eager to 2uy their first car# This led to a phenomenonal

gro/th in its sales and further strengthening its position as a 2rand in consumer mind#

Thus the repositioning of S/ift gave it an edge over its competitors and also to

emerge as a tough rival to Maruti 9&& as JThe First -ar?#

,,


67/100

48APTER9: of the respondents /ho are a/are a2out the mar0et 2oom feel

that it reflects the resilience of the +ndian economy and reflects a true picture of it#

This they attri2ute to the persistent increase in SenseC and continuing economic

gro/th rate /hich is someho/ near the dou2le digit mar0# %


70/100

-. 5ha$ #e$hod do %ou o++o@ or #ar&e$in o %our roduc$(

Only 6irect Sales Method %9:

Only +ndirect Sales Method '9:

1oth >=:


71/100

2. Do %ou $hin& Ad*er$i(e#en$ i( an eec$i*e #e$hod o (e++in %our au$o#o"i+e

roduc$(

Les =>:

!o '9:

-ant Say %


72/100


73/100

;. Do %ou $hin& $ha$ "randin he+( in $he #ar&e$in o %our au$o#o"i+e

roduc$(

Les )=:

!o %


74/100

. Do %ou $hin& $ha$ au$o air( are eec$i*e #e$hod( o (a+e ro#o$ion

Les >>:

!o '%:

-ant Say )):


75/100

0. Do %ou $hin& $ha$ Forein Direc$ In*e($#en$ FDI (hou+d "e a++o@ed in

$he au$o #o"i+e (ec$or in India

Les )=:

!o )%:-ant say )=:


76/100

/. Bein a +eadin au$o#o"i+e "u(ine(( rou cou+d %ou +ea(e e+a"ora$e on

roduc$ion (%($e#( *i(99*i( Vendor Manae#en$

A lean manufacturing system is the order of the day# State(of(the(art systems to

monitor and ensure 2est of 2reed processes are the 0ey /ithin their 2usiness systems#

Also important is an efficient supply chain system fully supportive to the lean

manufacturing system#

=. 5here doe( Indian au$o#o"i+e indu($r% ($and on $he +o"a+ #a o Au$o

#o"i+e indu($rie( in $he @or+d

The +ndian Auto +ndustry has just started getting a foothold on the glo2al map#

Presently the 2usiness is around US 9#< 2illion of /hich approCimately ' 2illion is

the eCport mar0et# As per the latest Mc.insey report the auto component 2usiness

has a potential to gro/ 2y )&: and touch US )> to =& 2illion 2y %&'> of /hich %& to

%> 2illions US could 2e eCport focused#

,1. Do %ou ha*e a dea+er ne$@or& Do %ou (e++ direc$+% or $hrouh dea+er(

As regards their mar0eting strategy it could 2e derived from their responses that they

have a large dealer net/or0# A customer may also contact their 2ranch office in

his7her area to get the names and addresses# They can also supply sections directly#

For smaller lots the traders7 dealers may 2e contacted#


77/100

,,. Do %ou o++o@ "randin o roduc$( a( a Mar&e$in ($ra$e%

Les :

-ant say %':


78/100

,-. Doe( "randin o roduc$( he+( $o i#ro*e $he #ar&e$in o$en$ia+ o

%our roduc$(

Les ,9:

!o '%:-ant say %&:


79/100

,2. Fu$ure o $he au$o#o"i+e indu($r% in India.

Les :

!o '%:

-ant say '):


80/100

,


81/100

,;. 8o@ do $he Forein Au$o#o"i+e 4o#anie( aec$ $he ro(ec$( o $he

do#e($ic +a%er( in $he Indian #ar&e$

Reduced the profit margin )%:

Made industry more competitive >):6o not ma0e any significant effect '>:

9'


82/100


83/100

,0. 5hich i( $he #a'or ac$or $o increa(e $he (a+e o %our roduc$(

Only 2rand ':

Only quality %):

Others %>:

9)


84/100

,/. Do %ou $hin& "rand eH$en(ion i( nece((ar% or $he co#an% I %e( @h%

Les &:

,&:


85/100

Wuality 2ased >>:

conomical )&:

1randed ,:

-ant say ;:

9>


86/100

-1. Do %ou (ee $he ro"a"i+i$% o a (eara$ion "e$@een Maru$i and Suu&i in

u$ure

Reduced the Profit margin )%:Made +ndustry More -ompetitive >):

6o not Ma0e any Significant ffect '>:

9,


87/100

+n current mar0et scenario the competition in AUTOMO1+8 sector is the highest#

So to remain in the competition all automo2ile companies have to develop in terms of

technology loo0 and other features# MU8 as a +ndian company is the mar0et leader

in +!6+A 2ut as the glo2ali4ation is coming up and the govt is encouraging the F6+

it is getting tougher for MU8 to maintain it?s mar0et share# As many M!- are coming

to +!6+A /ith improved technology E features MU8 has to improve it?s eCisting

technology E have to add ne/ features to rope do/n the eCisting as /ell as the ne/

customers# MU8 has to add ne/ products to its product miC# MU8 has to go for more

promotion to catch up the M!-s#

3ith the changing economic environment the auto industry is heading for a complete

renaissance# The margin of the company is under the lens so the companies are doing

/hat ever it can to improve its 2ottom line#

The company /e have pic0ed up is also going through same 2ecause of this the

company is continuously shuffling and re(shuffling its operation to co(up /ith the

changes# The level of has /itnessed a complete revamp in its jo2 2ecause of these

changes# The jo2 they /ere heading no/ demand more in terms ofQ

'# Mar0et focussed approach

%# Pro2lem solving a2ility)# Ta0ing initiative

These are fe/ of the changes in the role at this level /hich /as introduced 2ecause of

change in operation# And no/ in order to stay in the dog eat dog race the follo/ing

the competencies have to 2e fill developedQ

'# +ntegrated mar0eting principles

%# !e/ computer s0ills

)# .een to learn ne/ concept etc#Thus the changes /ill economic involvement /ill ma0e ne/er and ne/er concept

emerge on the scene at the same time rendering the old concepts o2solete# Thus /e

conclude that /e the company has to see the sin of tomorro/ it has to adapt quic0ly

and develop ne/ arm?s for its soldier?s in term of competition#

9


88/100

4OMPETITIVE SET

Since ma0or sale of #ar"ti is from its one pro1"ct #ar"ti ()) -e have trie1 to

i1entify its competitive set%

LEVEL OF

4OMPETITION

DEFINITI

ON

4OMPETING

4OMPAN)

NEED SATISFIED

,. Produc$ or# Small car#

"Maruti

9&&$

5yundaiTata ase in commuting

/ithin city limits fuel

efficiency lo/ priced

light/eight#-. Produc$

4a$eor%

-ars#

"-onverti2le

s 8uCury

Mid(si4ed

Multipurpos

e Sports(

Utility

Station

3agons$

5yundai 5onda

Tata Ford 6aimler(

-hrysler MEM *M

Fiat S0oda#

4on*er$i"+e(! good

po/er to /eight ratio

superior handling#

LuHur%! Status sym2ol

high level of comfort

luCury features satisfies

ego#

Mid9(ied! Reasona2ly

Spacious high on

comfort E Safety

features#

Mu+$iuro(e! Spacious

used for heavy(duty tas0s

li0e to haul heavy

luggage used for

commercial purpose#

Sor$( U$i+i$% Vehic+e!

5igh driving position

good for rough and tough

usage#

S$a$ion 5aon! 5igh

load carrying capa2ility

99


89/100

spacious comforta2le

fitted /ith useful

accessories.

2. Generic Automo2il

es "Truc0s

1uses T/o

E Three

/heelers$#

Tata Asho0

8eyland icher

Motors 1ajaj

Lamaha 5ero

5onda TDS 8M8#

Transportation Troop

carriers 3ater tan0ers

*ar2age dumping#


90/100

48APTER9;

FINDINGS AND RE4OMMENDATIONS

;&


91/100

RE4OMMENDATIONS

+n order to provide all the shots in the armoury of their employees the company

should implement these policies at levelQ

'# The company should arrange for inter corporate programmes so that the 2est

practises or concepts /ould 2e interchanged#

%# The company should provide their employee to go in for management

programmes from top management schools in gain ne/ /ay?s of doing thing#

)# The firms /ill have to set up small eCperimental shop?s /here an organisation

can house its 2est talent to pursue eCperiment innovate develop cutting edge

products dream up ne/ and 2etter /ays of running a 2usiness in order to

develop positive value addition to the organisation#

=# The company should arrange for game?s etc in order to create a forum of

informal interaction 2et/een customer and employees# These meeting /ill help

employees develop ne/ s0ills or get an idea for a ne/ product etc#

># An separate column in the appraisal form should 2e there for ne/ s0ill acquired#

Then on the 2asis of % or ) ne/ s0ill acquired he should 2e appraised and also

the compensation 2e raised# This /ill go a long /ay in motivating

employees in developing ne/ competencies#

,# The organisation environment should 2e made conducive li0e the

introduction of fleCi(time the accessi2ility of the /or0 place %= hour?s#

The training programme should 2e serviced from outside# Darious leader?s in various

fields should 2e invited as faculty or for guest lecture#

;'


92/100

ANNE?URES

;%


93/100

ANNE?URES

, Are %ou a@are a"ou$ $he re(en$ "oo# in Mar&e$

Les

!o

-. 5ha$ #e$hod do %ou o++o@ or #ar&e$in o %our roduc$(

Only 6irect Sales Method

Only +ndirect Sales Method

1oth

2. Do %ou $hin& Ad*er$i(e#en$ i( an eec$i*e #e$hod o (e++in %our au$o#o"i+e

roduc$(

Les

!o

-ant Say


94/100

. Do %ou $hin&am

maruti marketing strategy pushker

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