Maruti Udyod

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description

about maruti udyog and its history

Transcript of Maruti Udyod

Page 1: Maruti Udyod
Page 2: Maruti Udyod

Indian automotive industryPre 1983 1983-1993 1993-2007

•Closed market

• Growth of market limited by supply

• Outdated models

Players• Hindustan Motors• Premier• Telco• Ashok Leyland• Mahindra & Mahindra

•Suzuki, Japan and GOI jointventure to form Maruti Udyog

• Joint ventures with companies in commercial vehicles and components

Players• Maruti Udyog• Hindustan Motors• Premier• Telco• Ashok Leyland• Mahindra & Mahindra

•DE licensing of sector in 1993

• Global major OEMs start assembly in India (Toyota, GM, Ford, Honda, Hyundai)

• Imports allowed from April 2001; alignment of duty on components and parts to ASEAN levels

• Implementation of VAT

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Industry

Pre Liberalization Post Liberalization

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GROWTH DRIVERS OF INDIAN AUTO MARKET

2010

Rising industrial and agricultural output

Favorable demographic distribution with rising

working population and middle class

Urbanization

Greater affordability of vehicles

Easy finance schemes

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Maruti Udyog Ltd.Facts

Maruti Suzuki is India and Nepal’s leading automobile manufacturing company and the market leader .

It had 18.28% of the company was owned by the Indian government and 54.2% by Suzuki of Japan.

As of November 2012, it had a market share of 37% of the Indian passenger car market.

Competed to Hindustan motors by launching Maruti 800 in 1984.

On 17th September,2001 Maruti Udyog was renamed to Maruti Suzuki India Limited.

It is subsidiary of Suzuki Motor Corporation of Japan

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Maruti ModelsManufactured locally

• 800 (Launched 1983)

• Omni (Launched 1984)

• Gypsy (launched 1985),

• WagonR (Launched 2000)

• Alto (Launched 2000)

• Swift (Launched 2005)

• Estilo (Launched 2009)

• SX4 (Launched 2007)

• Swift DZire (Launched 2008)

• A-star (Launched 2008)

• Ritz (Launched 2009)

• Eeco (Launched 2010)

• Alto K10(Launched 2010)

Imported

• Suzuki Grand Vitara, Grand Vitara (Launched 2007), Kizashi (Launched 2011)

Discontinued car models

• 1000 (1990–1994), Zen (1993–2006)

• Esteem (1994–2008), Baleno (1999–2007)

• Zen Estilo (2006–2009), Versa (2001–2010)

• Grand Vitara XL7 (2003–2007)

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MAJOR COMPETITORS

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Passenger Vehicle market(India)

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Financials of the Company(2011)

Sales Turnover- 36299.74 (in crore)

Net Profit- 2288.64 (in crore)

Earning per share - 79.21

Market Share- 50% (2010)

Till March, 2011 Maruti Suzuki had 44.9% of Market share.

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Market share

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Marketing Mix

Price

Product

Promotion

Place

Marketing Mix Maruti

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SWOT Analysis of Maruti Udyog

STRENTHSContemporary technology

Japanese Management practices

After sale services

Distribution

Diversification & R&D

WEAKNESSStill depends upon SUZUKI COPORATION

10% components are manufactured outside India

Still considered as poor man’s brand

Unaccustomed to international standards or keen competition.

OPPURTUNITYfirst company to roll out suitably Designed cars before 2008 as per Govt.’s Proposal of new ethanol (renewable)

Other companies lacks economy of scale

Rising demand

Untapped rural market

THREATNumbers of new Technology driven players and manufactures are in market

Reduction in subsidies by government on petroleum products

Changing environmental and emission norms

Higher local taxes

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BCG Matrix with respect to Maruti models

STARS

Swift

QUESTION MARKS

CervoKizashi

CASH COWS

AltoWagon R

DOGS

M-800

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Decline in Market Share

• Obsolete• Industrial Relations

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Campaigns Three compact car models - Alto, WagonR, and

Zen -- competing with Hyundai Santro, Tata Indica,

and Fiat Palio.

In 2003,to attract customers Maruti launched

novel offers like "Change Your Life" campaign.

It also offered vehicle insurance for just

-‘Rupee One only‘