Presented BY:

Yogesh Tripathi
 Introduction
• Maruti Suzuki India Limited, formerly known as Maruti
Udyog Limited, is an automobile manufacturer in India.
• Founded- 1981
• It is a 56.21% owned subsidiary of the Japanese car and
motorcycle manufacturer Suzuki Motor Corporation.
•  Market share - 53% of the Indian passenger car market
• Headquarter- New Delhi
• Areas Served – India
• Product- Automotive
•  first manufacturing factory - Gurgaon, Haryana
• Total Production(till now)- 1,568,603 units
• No. of Employees- 40000
• Website- WWW.Marutisuzuki.com
• MD & CEO- Kenichi Ayukawa
• Chairman- R.C. Bhargava
• Net worth-417.6 billion Indian rupees
Range of Cars
Market share
Porter’s Five Forces Model
Threats of new Entrants: Increasing
• Most of the major global players are present in the Indian market; few
more are expected to enter.
• Financial Strength assumes importance as large investments are
required for building capacity and maintaining adequacy of working
capital and making a Car brand.

Competitive Rivalry: High

• There is keen competition in selected segments. (compact and mid
size segments).
• New Multinational players entering the market.
 Bargaining power of suppliers: Low

• A large number of automotive components suppliers .

• - Automotive players are rationalizing their vendor base to achieve consistency in
quality.
Bargaining Power of consumers:Moderately
High
• Increased awareness among consumers has increased expectations. Thus the
ability to innovate is critical .
• Product differentiation via new features, improved performance and after sales
support is critical - Increased competitive intensity has limited the pricing power
of manufactures
Threat from substitutes: Low

• Consumer preference is changing (Mini cars are being replaced by

compact or mid size cars)
• Setting up integrated manufacturing facilities may require higher
capital investments than establishing assembly facilities
• India also is likely to increasingly serve as the sourcing base for global
automotive companies, and automotive experts are likely to gain
increasing importance over the medium term
• Competition is likely to intensify in the SUV segment in India
following the launch of new models at competitive price

Strengths
• Maruti has a excellent market share with
53%.
• Good promotional strategy is
implemented by the company.
• Alto still beats the small car segment with
highest number of sales
Opportunities
• MUL has launched its LPG version of
Wagon R and it was a good move
simultaneously.
• MUL can start R&D on  electric cars for a
much better  substitute of the fuel.
• Export capacity of the company is giving
new hopes in American and UK Markets.
Weaknesses
• Government intervention due to having
share in MUL.
• Safety features.
• Maruti hasn’t proved itself in SUV
segment like other players.
• Younger generations started getting a
great affinity towards new foreign
brands
Threats
• Launch of Hyundai’s H800 may result in
the decline of Alto sales
• China may give a good competition as
they are also Planning to enter into
Indian car segment.
• MUL recently faced a decline in market
share from its 50.09% to 48.09 %
 Business
Environment

Internal External

Micro Macro
MAJOR COMPETITORS
Political & Legal:

• Announcement for the introduction of BS-IV Norms

• Announcement for the introduction of BS-IV Norms
• Follow the policy of government.
• Generating New Employment.
• No loss to economy because of Trade.
Economic:
• The sector suffer sales downturn because
of GST rates, Stagnant Wages and liquidity
constraints.
• Change in Oil prices.
• Change in Import and Export rates.
• Fall in the market share of 4.73 percent.
• Production shutdown for two days.
Technological:
• Hybrid/EV capability system that are suitable for
Indian driving condition.
• Make investments for Research development
process to improve infrastructure for
Manufacturing BS –IV norms.
• Government planning to push electric vehicle.
• Challenges related to e-vehicle.
Environment :
• Kerala floods.
• Sales fall by 3.4 percent due to rain floods.
• Maruti promptly reached out to customer by SMS to
inform about preventive measures.
• Maruti Suzuki fell nearly 3 per cent in BSE, after
Earthquake and Tsunami in Japan.