strategy maruti suzuki

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Maruti Suzuki India Ltd

Group 7, Section D

Ajith S PGP/14/191 Ambica Prasad PGP/14/192 Amit Sansi PGP/14/193

Amit Singh PGP/14/194 Chaitra Jagannath PGP/14/207 Chandramohan Nayak PGP/14/209

Agenda About the company External environmental analysis Internal environment analysis Strategic groups (A4-segment) Attractiveness of industry

Recommendations

Maruti Suzuki India LtdEstablished in 1983 Subsidiary of Suzuki Motor Corporation Japan Manufacturing plant at Gurgaon and Manesar Largest market share in passenger car segment (>50%) 15 models of cars and UV s Recently launched Kizashi in A4 segment

External environment analysis

PEST analysis

Porters 5 force analysis

P

E

T

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Political

The custom duties and excise duties announced by the central government greatly affects the financial performance of the company Excise duty is levied on all the cars produced in India and Custom Duty is levied on KD parts, CKD parts and CBU units brought by MSIL

Economic

The Union budget -2011 is neutral towards automobile sector There is no reduction in excise duty and custom duties The per capita disposable income is expected to grow at a faster rate

Social

An uncomfortable and inadequate public transport system has led to the trend of many Indians opting for personal forms of transport Rising disposable income and a wide array of choice , has made India the second fastest growing auto market in the world Auto makers are investing in R & D to develop hybrid vehicles, duel fuel vehicles and electric vehicles Government of India has drafted an Auto policy which states to establish a globally competitive automotive industry in India in which technology will play a decisive role

Technological

Porters 5 force analysisThreat of new entrants Bargaining Bargaining Threat of power of power of substitutes suppliers buyers Rivalry between existing players

Threat of new entrants