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ntroduction Contd...
MUL hoped this model would help the company shed its
low-cost and simple look. The move expressed the
company's intent to move up the value pyramid (by
upgrading Alto-WagonR-Santro customers to the new
model) while simultaneously increasing market
penetration at the bottom of the value pyramid by
making the M-800 more affordable.
Indian Automobile Industry
The Indian automobile industry has four major segments
-- commercial vehicles (CVs), passenger vehicles, three
wheelers, and two wheelers. The market share for each of
these segments of the Indian automobile industry, for the
year 2003-04, is shown in Figure I.
Excerpts
Maruti Udyog Limited
MUL's M-800 was ideally suitable for Indian customers as
it was reasonably priced, fuel efficient and was sleek and
easy to drive when compared to the models then
available. With the success of its M-800, MUL soon
replaced Hindustan Motors as the leader in the passenger
car market...
Government of India - Suzuki tussle
Promotional offers
MUL also topped the J.D. Power Asia Pacific 2005 India
Sales Satisfaction Index in terms of customer satisfaction
with the new vehicle sales process.
Vendor management
Vendor management was a critical success factor in the
automobile industry, where many parts were outsourced.
Maruti had implemented a system of Vendor Rating that
gave timely feedback to vendors...
Manufacturing
Maruti's manufacturing facility comprised three
integrated plants with flexible assembly lines at Gurgaon.
The first plant was set up in 1984 with an installed
capacity of 20,000 vehicles per annum...
Brand Building
Brand building had gained momentum at Maruti since the
late 1990s. In 2002, Maruti had a promotional budget of
Rs 230 crore. Maruti employed two ad agencies, Lintas
and Rediffusion. Lintas handled advertising for Baleno,
Esteem and Zen brands while Rediffusion took care of
Maruti 800, Omni, Gypsy and Wagon R under its fold.
With new product launches, upgradations and increasing
competition, the company decided to give Capital
Advertising the Rs 15-crore corporate advertising
account, in 2000...
Excerpts Contd...
Diversification
Maruti entered four related businesses- corporate lease
and fleet management (Mid-2001), buying and selling of
used cars (October 2001) auto finance (January 2002),
car insurance (May 2002). Maruti believed it was
important to provide customers a "one-stop shop" for
automobiles and automobile-related products and
services, in what it termed the "360 degree customer
experience"...
Future Outlook
Maruti had set a target of wresting a 60% market share of
the country's car market during the period 2003-2006.
SPECTRA MOTORS LIMITED
GANDHI PAREKH INVESTMENT CORP. LTD, CTF NO. 170,
MUMBAI AGRA ROAD , NEXT TO ASHOK SILK MILL
COMPOUND, LBS MARG, GHATKOPAR WEST, MUMBAI-
400086Ph #: 022-66440000 ,
Fax :67554560
Email :Pin Code:
SPECTRA MOTORS
LIMITED CTS NO. 17
CTS NO. 170 4081,OPP.
DAMODAR PARK, L.B.S.
MARG,GHATKOPAR (WEST)
Ph #: 022-66440000,, ,
Fax :67554560
Email
:spectratruevalue@vsnl.net
/
sales.ghatkopar@spectram
otors.in
Pin Code: 400086