REVA

Situational Analysis

The ElectriElectriCITYCITY CarCar

SWOT

Strengths No Competition in the

EV Segment. Environment friendly Economic to Drive (0.4

paise/KM) Sucessful in Export

Markets (no 1 in UK) Easy to Drive (gearless) Easy to park (small size)

Weaknesses Competition from

gasoline vehicles Small size High Price Low consumer

awareness Low top speed (80KM/hr) Small driving range (upto

80 KM)

Opportunities Huge untapped EV

market Growing demand of

green technologies Rising fuel costs Growing road congestion

in urban cities

Threats Government incentives

to gasoline vehicles Entry of competitors Stringent safety

requirements anticipated Availability of hybrid

vehicles

SWOT contd…

Porter’s 5 Forces

Threat of New Entrants Suzuki Global Car Tata Motors-

Nano( Priced At 1 Lac) Bajaj-Renault-Nissan

Small Car (Electric) Field Marshall (India)

and Farnow Group (Austarlia) Small Car

Ajanta Group Small Car Project

(LOW)

Bargaining Power Of Buyers

Tata Indica,Maruti-800,maruti Zen, Maruti Alto, Wagon-R Available in the close price range of Reva gives its buyers very good bargaining power

(HIGH)

Porter’s 5 Forces contd…

Bargaining Power of Suppliers

Reva Has a Strong Base of 175 suppliers and these have been supplying to Reva for its industrial material handling products.

Reva is also into Automotive Components Manufacturing for many years and manufactures many components for itself thus giving less bargaining power to its suppliers(LOW)

Current Rivalry In This Category

Tata Indica, Maruti Alto, Maruti-800 are the current rivals

(HIGH)

Porter’s 5 Forces contd…

Pressure From Substitutes Tata Indica,Maruti-800,Wagon-R,Alto & Maruti Zen are

striving for increasing their market share and this puts continuous pressure on Reva to innovate and compete with these substitutes

Future Substitutes- Tata Nano,Bajaj-Renault-Nissan Small Electric Car,field Marshall Group Small Car, Ajanta Group Small Electric Car (Proposed Price Rs. 85000) also pose a challenge to REVA

(HIGH)