Professional Documents
Culture Documents
ASSIGNMENT
OF
STRATEGIC MANAGEMENT
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The objectives of MUL then were:
Ac Modernization of the Indian AutomobileIndustry.
Ac Production of fuel-efficient vehicles to conservescarce resources.
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Ac The leader in the Indian automobile industries
Ac Creating customer delight and shareholders wealth
Ac A pride of India
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Ac Customer obsession
Ac Fast, flexible and first mover
Ac Innovation and creative
Ac Networking and partnership
Ac Openness and learning
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1.c Grand Vitara (Launched 2007)c
2.c Kizashi (Launched 2011)c
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1.c Zen (1993±2006)c
2.c Esteem (1994±2008)c
3.c Baleno (1999±2007)
4.c Zen Estilo (2006±2009)
5.c Versa (2001±2010)c
6.c Grand Vitara XL7 (2003±2007)c
Ac Maruti was the first company in India which studied the consumer demand and
responded to it well.
Ac Market segmentation policy was adopted that targeted different type of
consumers with different type of models.
Ac Maruti800 targeted medium income group, while the deluxe model targeted rich
income group.
Ac Maruti van targeted businessmen and doctors(ambulance)
Ac The Gypsy targeted the paramilitary forces and the police.
Ac This resulted in complete control of maruti over the market.
Ac The company advertised its different products according to costumers e.g. -
maruti van was rechristened as Omni.
Ac A special cell was made to make direct dealing of Gypsy with the government
& the army.
Ac
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MUL providing its customers an opportunity to resale their car to MUL or
exchange with a new Maruti car under its ³True Value´ network has proven really
beneficial. In FY07 True Value network touched 10000 units a month and more
than 90% of that resulted in the exchange of a new car.
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Ac Maruti has launched two luxury models SX4 in 2006 and A STAR in Nov
2008; these two models are facing intense competition from already established
companies. c
Ac Maruti has launched one another luxury model KIZASHI in 2011.c
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Ê c Ò c
Oc Brand Image Oc Diseconomies to scale
Oc Reliable and cheap Oc No online presence
Oc Established brand in Indian market Oc Not diversified
Oc Experience in Indian market
Oc Very old player in Indian market and
First major player
Oc Established distribution & after sales
network Product for many segment of
market
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c V c
Oc Acquisitions c Competition
Oc Innovation c Cheaper technology
Oc Online c External changes (government, politics,
Oc Product and services expansion taxes, etc.)
Oc Takeovers c Lower cost competitors or imports
Magneti Marelli, Suzuki Motor Corporation and Maruti Suzuki India Limited
have signed an agreement for the creation of a joint venture in India, aimed at
the production of electronic control units (ECU) for diesel engines.
According to the agreement, Magneti Marelli will contribute 51% of the share
capital of the new company, Suzuki, 30% and Maruti, 19%.