UNIVERSITY OF MYSORE

COMPARATIVE STUDY BETWEEN MARUTI SWIFT AND HYUNDAI I-20

SUBMITTED BY
KARTHIK K J
Reg. No: 13MB0237
UNDER THE GUIDENCE OF:
Mr. AJAY M. JADHAV
Assistant Professor - DoS in Business Administration,
Pooja Bhagavat Memorial Mahajana Post Graduate Centre
Mysore 570016
Project Report submitted to the University of Mysore in partial
Fulfilment of the requirements of III Semester MBA Degree
Examinations JUNE 2015

DEPARTMENT OF STUDIES IN BUSINESS ADMINISTRATION

POOJA BHAGAVAT MEMORIAL MAHAJANA POST GRADUATE CENTRE
K. R. S. ROAD, METAGALLI, MYSORE

CERTIFICATE

DEPARTMENT OF STUDIES IN BUSINESS ADMINISTRATION

2014- 2015

This is to certify that Mr. KARTHIK K J., Reg. No. 13MB0237, our student of 4th semester MBA
has carried out the project under my guidance, project COMPARATIVE STUDY BETWEEN
MARUTI SWIFT AND HYUNDAI I-20 as part of his curriculum activity as per the norms for
obtaining a Post-Graduation Degree in Master of Business Administration from UNIVERSITY OF
MYSORE during the year 2014- 2015

Mr. AJAY M. JADHAV

Assistant Professor - DoS in Business Administration
Pooja Bhagavat Memorial Mahajana Post Graduate Centre
Mysore

CERTIFICATE
POOJA BHAGAVAT MEMORIAL MAHAJANA POST GRADUATE
CENTRE, K R S ROAD, METAGALLI, MYSORE.

DEPARTMENT OF STUDIES IN BUSINESS ADMINISTRATION

2014- 2015
This is to certify that Mr. KARTHIK K J. student of 4th semester MBA, bearing the register number
13MB0237 has successfully completed the Project Work titled COMPARATIVE STUDY
BETWEEN MARUTI SWIFT AND HYUNDAI I-20 in partial fulfillment of the requirements for
the award of Post-Graduation Degree in Master of Business Administration of the University of
Mysore, during the academic year 2014- 2015

Dr. C K Renukarya

Prof. S R S Khadri

Director
PBMM P. G. Centre
Mysore

Director, Dept. of Studies

in Business Administration
PBMMPGC, Mysore

DECLARATION
I, hereby declare that the report title COMPARATIVE STUDY BETWEEN MARUTI
SWIFT AND HYUNDAI I-20 is a record of independent research carried out by me
under the guidance of Mr. AJAY M. JADHAV Assistant Professor - DoS in
Business Administration, Pooja Bhagavat Memorial Mahajana Post Graduate
Centre, Mysore, and I further declare that the findings in the Internship Project
Report are independent study done by me.

Place: Mysore
Date:

KARTHIK K J

ACKNOWLEDGEMENT

I place my Sincere thanks to Director Dr. C K Renukarya, honorable Director

P.B.M.M.P.G. Centre, Prof. S R S Khadri. Director of Department of Studies in
Business Administration.
Mr. AJAY M. JADHAV my project guide and faculty Department of Studies in
Business Administration, Pooja Bhagawat Memorial Post Graduate Centre for
having provided necessary facilities to undergo my project work.

Mr.

Guruprasad Rao S R faculty, Department of Studies in Business

Administration Pooja Bhagawat Memorial Mahajana Post Graduate Centre for
having provided necessary statistical help for completing my project work.

I thank my family and friends for their support and encouragement throughout,
without which, it would not be possible to complete this project.
Lastly, I express my thanks to those who have directly and indirectly help me in
my completion of the project

Date:

KARTHIK K J

Place: Mysore

Reg. No.13MB0237

INDEX

Sr no.

Particulars

Page no.

Acknowledgement

Executive summary

Introduction

07

Automobile Company Profiles

13

History and Marketing strategy

17

Analysis and Interpritation

45

Conclusion and Recommendations

Bibliography

Annexure

58

61

62

-Table of Contents6

CHAPTER NO.

CHAPTER NAME

Chapter No. 1
Introduction
1.1
Objectives
1.2
Research Methodology
1.3
Limitations

Chapter No. 2
Corporate Overview
1.1
- History and Statistics
1.2
- Marketing Strategies
1.3
- Cars Profile
1.4
- Producers Profile
1.5
- Timeline of Generations
1.6
- SWOT Analysis

Chapter No. 3

Analysis and Interpretation

Chapter No.4

Conclusions and Suggestions

Bibliography

Questionnaire

Chapter No. 1

INTRODUCTION

-INTRODUCTION-

This project is an attempt to give a comparison between Maruti Suzuki Swift and
Hyundai i20. It aims to know the marketing strategies, performance analysis and
consumer perception regarding these cars along with factors which influence their
choice.
It focuses on the following:1. In 1st Chapter you will find the Objectives, Research Metrology and Limitations of
the study.
2. In 2nd Chapter you will find an overview of the History, Profile of Cars, Producers
Profile, Key Persons, Timeline of Generations, Marketing Strategies and SWOT
Analysis of all the 3 companies.
3. In 3rd Chapter you will find Analysis and Interpretations on the Project Report.
4. In 4th Chapter you will find Conclusion and Recommendations on the Project.
5. In the end, you will find the various sources I referred for gathering information.

-OUR OBJECTIVES-

1.
2.
3.
4.
5.

To know the market share of Maruti Suzuki and Hyundai.

To know the performance of Swift and i20 respectively.
To know the perception of customers regarding these cars.
To determine customers satisfaction regarding cars.
To determine the factors the choice of customers regarding cars.

-RESEARCH METHOLODGY-

It is a well known fact that the most important step in marketing, research process is to define the problem.
Choose for investigation, because a problem well-defined is half solved. That was the reason that at most
care was taken while defining various parameters of the problem. After giving through brain storming
session, objectives were selected and the set on the base of these objectives. A questionnaire was
designed major emphasis of which was gathering of new ideas or insight so as to determine and bind out
solution to the problems.
DATA SOURCE
Research included gathering both Primary and Secondary data. Primary data is the firsthand data, which
are selected a fresh and thus happen to be original in character. Primary Data was crucial to know various
customers and past consumer views about cars and to calculate the market share of this brand in regards
to other brands.
Secondary data are those which has been collected by some one else and which already
have been passed through statistical process. Secondary data has been taken from
internet, newspaper, magazines and companies web sites.
RESEARCH APPROACH
The research approach was used survey method which is a widely used method for data collection and
best suited for descriptive type of research survey includes research instrument like questionnaire which
can be structured and unstructured. Target population is well identified and various methods like personal
interviews and telephone interviews are employed,
SAMPLING UNIT
It gives the target population that will be sampled. This research was carried in Faridabad and New Delhi.
These were 16 respondents.
DATA COMPLETION AND ANALYSIS

10

After the data has been collected, it was tabulated and findings of the project were
presented followed by analysis and interpretation to reach certain conclusions.
SCOPE
My project was based on the Comparative Study of Swift vs. i20 and data
was taken in Faridabad and New Delhi only.

-LIMITATIONS OF RESEARCH STUDY1. Research work was carried out in Faridabad and New Delhi only the finding may not be
applicable to the other parts of the country because of social and cultural
differences.
2. The sample was collected using connivance-sampling techniques. As such result it
may not give an exact representation of the population, it is also very small which represent my research
on consumer behavior.

3. Shortage of time is also reason for incomprehensiveness.

4. The views of the people are biased therefore it doesnt reflect true picture.
5. I had only found the upper-middle class family to fill up the questionnaire, but
generally, an average middle class family was required for the study.

11

Chapter No. 2

CORPORATE OVERVIEW

Maruti Suzukis Profil

12

In early 1980s Indian Govt decided to produce a small car, which would be within buying reach of
Indian middle class. The obvious place to shop for technology was Japan, which had developed
world class capabilities in small cars by that time. It was not Toyota, or Nissan, or Honda, three
largest player in Japan, but Suzuki, a much smaller company with strong capabilities in making small
cars. Suzuki grabbed the opportunity with both hands and formed a joint venture with govt. called
Maruti Udyog.

Maruti Udyog Limited, a subsidiary of Suzuki Motor Corporation of Japan, has been the leader of the
Indian car market for about two decades. Its manufacturing plant, located some 25 km south of New
Delhi in Gurgaon, has an installed capacity of 3,50,000 units per annum, with a capability to produce
about half a million vehicles.

Maruti rolled out its 1st car, Maruti 800 with 800cc engine in December 1983. This model targeted at
masses and was launched as Peoples car. In early 2003, Maruti Udyog, a joint venture between
Suzuki and Indian Govt. dominated Indias automobile market with 54% market share and with
annual production capacity of 5lac cars. The company dominated Indian Small car market with a
share of 100% in A seg, 36% in B seg and 86% overall.

The company has a portfolio of 11 brands, including Maruti 800, Omni, premium small car Zen,
international brands Alto and WagonR, off-roader Gypsy, mid size Esteem, luxury car Baleno, the
MPV, Versa, Swift and Luxury SUV Grand Vitara XL7.

In recent years, Maruti has made major strides towards its goal of becoming Suzuki Motor
Corporation's R and D hub for Asia. It has introduced upgraded versions of WagonR, Zen and
Esteem, completely designed and styled in-house. Maruti's contribution as the engine of growth of
the Indian auto industry, indeed its impact on the lifestyle and psyche of an entire generation of
Indian middle class, is widely acknowledged. Its emotional connect with the customer continues

Maruti tops customer satisfaction again for 8 th year in a row according to the J.D. Power Asia Pacific.
India Customer Satisfaction Index Study. The company has also ranked highest in India Sales
Satisfaction Study.

13

In keeping with its leadership position, Maruti supports safe driving and traffic management through
mass media messages and a state-of-the art driving training and research institute that it manages
for the Delhi Government.
The company's service businesses including sale and purchase of pre owned cars (TrueValue),
lease and fleet management service for corporate (N2N), Maruti Insurance and Maruti Finance are
now fully operational.

Hyundai Motors Profile

14

Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor Company, South
Korea and is the second largest car manufacturer and the largest passenger car exporter from India.
HMIL presently markets 54 variants of passenger cars across segments. The Santro in the B
segment, the Eon, i10 and the Premium hatchback i20 in the B+ segment, the Accent and the Verna
in the C segment, the Sonata and Elentra in the E segment and the Santafe in the SUV segment.

Hyundai Motor India Ltd, continuing with its tradition of being the fastest growing passenger car
manufacturer, registered total sales of 489,328 vehicles in the calendar year (CY) 2012, an increase
of 49.6 percent over CY 2011. In the domestic market it clocked a growth of 22.4 percent with
245387 units in 2008, while overseas sales grew by 92.5 percent, with exports accounting for
243,931 units in 2012.

HMILs manufacturing plant is located near Chennai which has advanced production quality and
testing capabilities in the country. Inorder to provide the Indian customer with global technology,
HMIL started its second plant in February 2008 which produces an additional 300,000 units per
annum, raising HMIL's total production capacity to 600,000 units per annum. Apart from expansion of
production capacity, HMIL currently has 260 strong dealer network across India.

The production management processes at Hyundai Motor India are overlaid with an organizationwide implementation of manufacturing best practices like Just-in-time inventory management,
Kaizen, TPM and TQM, that help us in making the world's best cars, right here in India.

Hyundai Motor Company was established in 1967, Hyundai Motor Co. has grown into the HyundaiKia Automotive Group which was ranked as the worlds fifth-largest automaker in 2007 and includes
over two dozen auto-related subsidiaries and affiliates. Employing over 75,000 people worldwide,
Hyundai vehicles are sold in 193 countries through some 6,000 dealerships and showrooms.

Hyundai Motor Company, S.Korea, the parent of HMI, has been doing considerable work on
sustainable Environment Management. The company has a well defined framework in place for
developing products that reduce pollutant emissions and processes for preservation of natural
resources and energy along all the stages of the product lifecycle from production, sales, use to
disposal and has been awarded the ISO 14001 certification for all its three major plants in Ulsan,
Asian and Jeonju in S.Korea.

15

Cars of Hyundai

Hyundai deals in wide variety of cars which includes Santro, i10, eon, i20, Accent, Verna, Sonata,
Elentra, Santafe, etc.

-HISTORY OF MARUTI SUZUKI SWIFT-

In India, Suzuki has launched Swift as a joint venture with Maruti and the car is known as Maruti
Swift. In the Indian auto market Swift is available with seven variants four with petrol and three with

16

diesel engine option. The petrol version of Maruti Swift is powered by 1.2L K-series engine. The
1.2L, K-series petrol engine present in Maruti Swift is highly fuel efficient with the availability of 16
Valve light weight DOHC engine that reduces friction and improves durability and fuel economy to
the best in town. Maruti Swift is endowed with 5 Speed Manual Transmission Gearbox. This gearbox
is cable type gearshift which is of great help at the time of shifting of gear. Maruti Swifts powerful
engine with the emission of BS IV and is very fuel efficient and a very good performer that offers an
impressive mileage of 14.4 kmpl in the city roads and 18.1 kmpl on the highways.
However, the diesel version of Maruti Swift is packed with 1.3L, DDiS engine with a displacement of
1248cc. The 1.3L diesel engine is packed with turbocharger and intercooler combination that offers
efficient combustion and clear emissions. The diesel engine is endowed with 5 step multi injection
common rail system that offers better fuel combustion and hereby gives good performance and
makes the car economical to run. This compact diesel engine is incredibly fuel efficient and offers a
mileage of 16.9 kmpl in the city roads and 19.6 kmpl on the highways.

Statistics:
BODY TYPE
Body Type

Hatchback

Number of Doors

ENGINE
Capacity

1197cc

Number of Cylinders

Number of Valves

16

Bore x Stroke

73.0mm x 71.5mm

Compression Ratio

10.1:1

Maximum Power

85ps @ 6,000rpm

Maximum Torque

113Nm @ 4,500rpm

Fuel Distribution

Multipoint injection

Emissions

BS IV

17

TRANSMISSION
Five-speed manual, with synchromesh in all
gears, one reverse

Type

Gear Ratios

1st

3.545

4th

0.914

2nd

1.904

5th

0.757

3rd

1.280

Reverse

3.272

DIMENSIONS
Overall Length

3,760mm

Overall Width

1,690mm

Overall Height

1,530mm

Wheelbase

2,390mm

Track

1,470mm
1,480mm

Front
Rear

Ground Clearance

170mm

Minimum Turning radius

4.7 metres

Luggage Capacity

232 litres (with seatback raised)

368 litres (with seatback folded)

CHASSIS
Steering

Rack and pinion, power assisted

Brakes

Front
Rear

Ventilated discs
Drums

Suspension

Front
Rear

MacPherson strut and coil spring

Torsion beam and coil spring

TYRES

165/80 R14 / 185/70 R14 (tubeless)

WEIGHTS
Kerb Weight

980 kgs [LXi] / 1,000 kgs [VXi] / 1,010 kgs

[ZXi]

Gross Vehicle Weight

1,415 kgs

FUEL TANK CAPACITY

43 litres

The Generation V Swift debuted at the Paris Auto Salon in September 2004. This generation of the
Swift marked a significant departure with the previous Cultus-based models, with Suzuki redesigning the vehicle as less of a "low price alternative" subcompact and more of a "sporty"
subcompact. The Swift's design and driving characteristics focused on the European market with its
chassis refined through a road-testing program across Europe.

18

2009 Indian Suzuki Swift

Indian Engineers were called to Japan to help Suzuki design this generation of Swift.
Available with 1.3 (92 PS (68 kW; 91 hp)) and 1.5 (102 PS (75 kW; 101 hp)) L petrol engines, the
new Swift is Suzuki's new "global car", produced in Hungary, India, Japan, Pakistan and by
Chang'an in China.
In Japan, only the 5-door body is available and four-wheel drive is an option for the 1.3 L or 1.5 L
petrol engine. 1.2 L CVT transmission version also available in only front wheel drive version. The
design of the new Swift was previewed on the Concept S and Concept S2 concept cars at auto
shows, in the years leading up to its launch.
In Europe, the Swift was launched in 3- or 5-door hatchback form, with 1.3 and 1.5 L petrol engines,
and a 1.3 L DDiS engine supplied by Fiat. The 1.3 L petrol is also available with an automated
manual gearbox or with four-wheel drive.
The British Autocar magazine gave the new Swift a favourable 4/5 stars in road test, judging it a
"thoroughly impressive all-rounder". The Generation IV Swift has received a four stars out of five
rating in the EuroNCAP crash tests.

-MARKETING STRATEGIESObjectives
The main objective of Maruti Suzuki Swift is to conquer the market of hatchback car segments.
Launched in 2005, Maruti Suzuki aimed to make Swift the leader of top quality hatchback cars, and

19

since then no car of its competitors has been able to tackle Swifts sales. The MS Swifts share is
more than 15% in the market, and is currently the best selling Car of its segment in India.

Target Markets
Swift targets the domestic market first and it will not face any capacity constraint here. A sizeable
number of cars have been manufactured at Maruti plant in Gurgaon and deliveries will commenced
by the first week of June 2005," Arvind Saxena, chief general manager, sales, MSL said. "Over 85
per cent of the car has been indigenized. Swift is based on the latest European design and styling,
built with Japanese quality and precision, utilizing Indian engineering capability. The car has an
universal appeal," he added. At present, MSL has an installed capacity of 3,50,000 units per annum
and the company manufacturers around 6,00,000 vehicles per annum on a two-shift basis. However,
the company officials did not divulge the exact number of Swift cars to be manufactured in India.
According to industry estimates, around 50,000 Swifts are expected to be sold in India in the first
year. Currently, being launched across the globe, Swift has received rave reviews internationally for
its path breaking looks and styling and superior safety features. It has become one of the top 20
best-selling models in Japan since its launch there in November 2004.

Positioning
Using product differentiation, Maruti Suzuki Swift will be placed as the most comfortable, convenient,
value added hatchback model for above target market used. The marketing strategy will be focused
on promoting the car as the best hatchback car model for the next generation.

Strategies Product
The Maruti Suzuki Swift is fully loaded and comes with a warranty of upto 3 years, it can also be
extended upto 5 years maximum. Also a higher model, Maruti Swift DZire has been introduced in
2010, as a replacement for Maruti Esteem, which has completed its run.

Price:
Maruti is expected to take Hyundai heads on with the pricing of their upcoming Maruti Suzuki Swift car.
After launching cars for the masses since so many years, Indias largest automobile manufacturer is now
targeting the premium segment with their latest model from the Suzukis stable. The analysts predict
thepricing of this premium hatchback to start from Rs. 4 lakh.
This price range would practically rip apart Hyundais offering in i20, which is priced at a much higher tag of
Rs. 4.5 lakh. Both the companies are known for their value based offerings and Maruti with their extensive
service network and brand reputation for making reliable cars should get the customers nod over their
competition. The official pricing however is still not out. However, the company is said to be studying the
prospects of launching the base model at the 4-lakh price tag. There is another advantage in doing so
considering in the capital city of Delhi NCR road tax on the sub 4 lakh priced cars is comparatively lower at
2%. Cars at a price higher than 4 lakh have to pay a 4% road tax.

20

Delhi NCR is one of the major targeted markets and it might get the benefit of this policy. And if they indeed
do take the chance of pricing Suzuki Swift at a considerable lower price than Hyundai Getz, they would
quite likely force the competition to rethink their strategy.

Distribution
The Stockist will represent 4 to 5 districts in a State.
The Dealer will represent a district or main City.
The Sub-Dealer shall represent a particular area or taluka.
The booking agents will be individuals working on freelance basis.

Marketing Communications
By integrating all messages in all media we will reinforce the brand name & main points of product
differentiation. Research about media consumption, pattern will help our advertising agency to
choose appropriate media and timing to reach prospects before & during the product introduction.
Thereafter, advertising will appeared on a pulsing basis to maintain brand awareness and
communicate various differentiation messages. The agency will also co-ordinate public relation
efforts to build Maruti Suzuki brand & support the differentiation message. To attract market attention
& encourage purchasing, we will offer a limited time, registration & insurance. To attract, retain &
motivate channel partners for a push strategy, we will use trade sales promotions and personal
selling to channel partner.

Advertisements
Good promotional strategy is adopted by Maruti Suzuki to transform its thoughts to the people about
its products by marketing through advertisement in television, radio, newspaper, etc.
Through radios they try to promote their product by organizing quiz contests and the person who
wins are offered special discounts, gift vouchers, coupons, etc.
Through television they promote their vehicle by showing the utility value, its comfort level.

After Sales Service

21

Kya yahan Maruti Service Station hai Availability of service stations even in the remotest place
in the country.

Display
If you visit any of the Maruti Dealers showroom what you will notice is one thing very similar, that is
the display. They display only 2-3 cars in the showroom. Well this is the strategy to make people
concentrate on only few choices otherwise they might get distract and get confused. Here Maruti
wins one customer.

Tie up with many banks

To promote its bottom line growth, Maruti launched Maruti Finance in Jan 02.
Prior to the start of this service Maruti had started two joint ventures Citicorp Maruti and Maruti
countrywide with Citi Group and GE Countrywide respectively to assist its client in securing loan.
Today Maruti has tie ups with ABN Amro Bank, HDFC Bank, ICICI Ltd, Kotak Mahindra Bank,
Standard Chartered Bank etc.

Exchange offers

Maruti has also placed its step and progress by marketing through exchange offers. In this it makes
possible to leave and get it replaced for a new one with barely some amount. This is one of the
greatest ways to attract more and more customers and also makes possible to increase sales.

SBI Maruti Car Loans

The countrys largest bank and the largest car maker have joined hands to make affordable car
finance available to more and more people across the country. The mega alliance makes car loans
available at lower interest rates to a wider section of people, with transparent terms and conditions.

The unbeatable advantages of SBI Maruti car loans:-

22

-Two market leaders in their respective industries with trusted brand names.
-Low interest rates
-No processing fees or hidden costs to ensure transparency.
-Car loans available for diverse categories of customers including govt. employees and agriculturist.

-CAR PROFILE-

Chairman
Year of Establishment

Mr. Shinzo Nakanishi

2000

Sector

Light Motor Vehicle (4 Wheeler)

Business Group

Maruti Suzuki India Ltd.

Presence

Produced and Distributed over several countries like Australia, Germany,

India, Pakistan and Japan etc.

Manufacturing Unit in India

Manesar, India.

Head Office in India

Maruti Suzuki Limited 1, Nelson Mandela Road, New Delhi - 110070

Vasant Kunj, Delhi
Tel. No.: 011 4678000

Joint Venture

Maruti and Suzuki Ltd.

Contact No.
Email ID:
Official Website:

1800 1800 180

contact@maruti.co.in
www.marutiswift.com

23

-PRODUCERS PROFILE-

Maruti Suzuki India Limited

Type

Public (BSE MARUTI, NSE MARUTI)

Industry

Automotive

Founded

1981 (as Maruti Udyog Limited)

Headquarters

Delhi, India

Key people

Mr. Shinzo Nakanishi, Managing Director and CEO

Products

Automobiles

Revenue

US$4.8 billion (2009)

Employees

6,903 [1]

Parent

Suzuki Motor Corporation

Website

MarutiSuzuki.com

24

Other Car Models produced by Maruti Suzuki:

1. Alto 800 (Launched 2010)
2. Omni (Launched 1984)
3. Gypsy (Launched 1985)
4. WagonR (Launched 2002)
5. Alto (Launched 2000)
6. Estilo (Launched 2009)
7. Grand Vitara (Launched 2007)
8. SX4 (Launched 2007)
9. Swift DZire (Launched 2008)
10. A-star (Launched 2008)
11. Ritz (Launched 2009)
12. Eeco (Launched 2010)
13. Ertiga (launched 2010)

25

-TIMELINE OF GENERATIONS-

First generation (20002004)

The first generation Swift was introduced in 2000 as a replacement for the Suzuki Cultus. Outside of
Japan, the Suzuki Ignis name was widely used. The Ignis was originally manufactured as a fivedoor hatchback, powered by a new generation of Suzuki straight-four gasoline engines, the M family.
Displacement ranged from 1.3 to 1.5 L, and the standard transmission was the usual five-speed
manual, with an optional four-speed automatic gearbox.
The vehicle is available with either front or four-wheel
drive, although the 4WD/auto combination was limited to
the Japanese and Australian markets.

A shorter three-door version, with redesigned bumpers,

was introduced in 2003, named Swift Sport in Japan and
Ignis Sport in Europe. The Ignis Sport used the same

Maruti Swift in Production

1.5 L as the regular Ignis, but with power increased. The Swift/Ignis Sport went out of production in
2005.
In 2001, General Motors introduced the Chevrolet Cruzea crossover SUV based on the Swift,
retaining the original car's basic dimensions and power plants. The Cruze was restyled, adopting a
crossover look between a tall hatchback and a sport utility vehicle, and the three-door body was
dropped. The "Chevrolet Cruze" commercial designation was used in most of south Asia, while in
Australia the car was sold by as the Holden Cruze from 2002 to 2006.

26

Suzuki in Europe introduced the Cruze as an update of the Ignis in 2003, although extended by
roughly 150 millimetres (5.9 in) in length, to improve interior room and luggage space. This version
was manufactured by Suzuki's Hungarian Magyar Suzuki plant specifically for the European market.

Also in Europe, due to an agreement with Subaru, the car was also sold as the Subaru Justy (4WD
only) from 2003, as happened previously with the previous generation Cultus-based Swift.
The Cruze-based update was never sold in Japan as a Suzuki, only as a Chevrolet. Europe was the
only market to receive the updated car as a Suzuki.

Second generation (20042010)

The second generation Swift debuted at the Paris Auto Salon in September 2004. This generation of
the Swift marked a significant departure with the previous Cultus-based models, with Suzuki redesigning the vehicle as less of a "low price alternative" subcompact and more of a "sporty"
subcompact.[2] The Swift's design and driving characteristics focused on the European market with
its chassis refined through a road-testing program across Europe. [3]
Available with 1.3 (92 PS (68 kW; 91 hp)) and 1.5 (102 PS (75 kW; 101 hp)) L petrol engines, the
new Swift is Suzuki's new "global car", produced in Hungary, India, Japan, Pakistan and
by Chang'an in China.
In Japan, only the 5-door body is available and four-wheel drive is an option for the 1.3 L or 1.5 L
petrol engine. 1.2 L CVT transmission version also available in only front wheel drive version. The
design of the new Swift was previewed on the Concept S and Concept S2 concept cars at auto
shows, in the years leading up to its launch.
In Europe, the Swift was launched in 3- or 5-door hatchback form, with 1.3 and 1.5 L petrol engines,
and a 1.3 L DDiS engine supplied by Fiat. The 1.3 L petrol is also available with an automated
manual gearbox or with four-wheel drive.

27

The British Autocar magazine gave the new Swift a favorable 4/5 stars in road test, judging it a
"thoroughly impressive all-rounder". The second generation Swift has received four stars out of five
rating in the Euro NCAP crash tests.[4] It also was awarded 2006Semperit Irish Car of the Year in
Ireland.

Since its global launch in 2005,

which was kicked off with a
marketing campaign fronted by the
footballer Cristiano Ronaldo in
many European countries, the Swift
has recorded above forecast sales
in most markets. In Japan, sales
figures have been twice the forecast
and in many European markets the
model has been a runaway
success. In Denmark, the Gen IV

Maruti's team of 25 engineers who went to Japan to co-develop the Swift

Swift has been consistently in Top 3 for more than 2 years and was the car with the highest sales
figures in 2006. In India, rapid sales of the new Swift model contributed to the 64% rise in Q1 profits
for Maruti Suzuki. The Swift will be reintroduced to the U.S. market in 2010 to replace the Suzuki
Reno

Third generation (2011-till present)

A new model for Maruti Suzuki Swift is
under development in India, and is going
through various tests, It is planned to be
launched in India by the first phase of 2011.
This model is better than the older one is
various prospects. he changes on the
exterior are quite subtle with no major
changes reflecting from the spy shots.
Interiors are under cover and customers
can keep guessing until the official pictures

A look of new Maruti Suzuki Swift awaiting its launch in 2011.

are revealed. However, an increased wheelbase promises more space in the interiors. The
new Maruti Suzuki Swift looks to be powered by the latest K12 1.2L engine that powers current
model and Maruti Ritz. The diesel variant can be sourced from Fiat which will be the 1.3L Multijet

28

diesel engine, according to disclosed details right now. The new Swift has been codenamed as YP8
which is being developed to compete in the Indian market with new entrants like Chevrolet Beat,
Ford Figo, Volkswagen Polo, Nissan Micra and the upcoming Toyota Etios Liva and Honda Brio.

-SWOT ANALYSISStrengths
Brand Image
Reliable and cheap. Established brand in Indian market. Great service and nationwide penetration.
Experience in Indian market
Very old player in Indian market. First major player.
Established distribution & after sales networks

Weaknesses
Diseconomies to scale
No online presence
Not diversified

Opportunities
Acquisitions
Innovation
Online Product and services expansion
Takeovers
Targeting Higher Middle Class requirements

Threats
Competition
Cheaper technology
External changes (government, politics, taxes, etc)

29

Lower cost competitors or imports

Price wars
Product Substitution.

-HISTORY OF HYUNDAI i20-

The Hyundai i20 was designed in a Hyundai Designing Centre in Germany by a BMW designer:
Thomas Buerkle. The Hyundai i20 is a supermini/subcompact car, made its debut at the Paris Motor
Show in October 2008 and went on sale in December 2008 in India to fit between the i10 and i30. It
is a Front wheel drive car. The car is mostly European because of its design and designer. Three
and five door versions are available (Both have different sleek window shapes). The i20 replaces
the Getz in most markets but in the UK and India, the Getz will still be available for the time being.

30

The i20 is assembled in Turkey (Kozyata plant) for the European market[1] and in India for sale
in Asia and Oceania. The i20 has recently replaced the Getz in Australia.
The i20 is not sold in Korea, as the similar, Korea-built Click (Which is also known as the Hyundai
Getz in the UK) sold there.
In Indian market, Hyundai i20 comes with Hyundai i20 is powered by an 1.2L kappa engine developing
80 PS (59 kW; 79 hp) of max power at 5200 rpm and 114 Nm (84 lbft) of peak torque at 4000rpm.i20 also
gets 1.4L gamma gasoline generates 100 PS (74 kW; 99 hp) of power at 5500 rpm and 139 Nm (103 lbft)
at 4200 rpm i20 CRDi the diesel i20 comes with a powerful oil burner generating 90 PS (66 kW; 89 hp) of
peak power at 4000 rpm and 224 Nm (165 lbft) of peak torque between 17502750 rpm.

Statistics:
Overview
Model

i20

Body Type

Hatchback

Number Of Doors

Seating Capacity

Fuel Capacity

45

Dimensions:
Length

3940 mm

Width

1710 mm

Height

1505 mm

Wheelbase

2525 mm

Ground Clearance

N/A

Minimum Turning Radius

N/A

Weight:
Kerb Weight

1066 kg

Engine:
Type

1.4-L diesel 1.2L petrol

Number Of Cylinders

Displacement

N/A

Transmission

5 Speed, Manual

31

Max. Power

90 bhp Diesel 58 kW - petrol

Max. Torque

N/A

Suspension:
Front Suspension

Mc Pherson Strut with Coil Spring

Rear Suspension

Coupled Torsion Beam Axle with Coil Spring

Brake:
Front

Disc

Rear

Drum

Steering Type

Rack & Pinion, Power Assisted

Tyre Size

175/70 R14

32

-MARKETING STRATEGIES-

Advertisements
Hyundai had used Bollywood star Sharukh Khan as Brand Ambassador for promoting their car.
Through this they tried to attract the customers.

To promote their product they organized quiz contests on radio and the person who wins was offered
special discounts, gift vouchers, coupons, etc.

33

They also advertise in Newspapers. In this companies advertise about the car in various
newspapers and they give detail explanation about the feature of the cars, keeping customers
requirement. They also provide various dealers addresses and contact numbers for reference.

Free checkups

Hyundai arranges free checkups from time to time in which they check for any problem and advice to
visit the nearest service center for servicing. This helps in maintaining good relationship with
customers and tries to keep good image in market.

Exchange offers
As Hyundai deals in second hand cars also. They offer exchange offers to customers. And by paying
adjusted amount customer can get brand new car in exchange of old once. Exchange offer makes

34

customer happy as they dont have to pay full amount also, they get new car also and their old car
gets replaced also with new one.

Cold callings
In this type of strategies old customers are given a relationship call just to know some other
references. This gives a boost to sales and customers also feel a sense of involvement. Hyundai
gets maximum sale through such type of cold callings only.

Events at Corporate Office and Banks

Hyundai tries to attract customers by conducting camps, events at corporate offices and bank as
most of the customers are of middle-age group and corporate offices are good source for company
to attract such customers.

Display

Hyundai keeps attractive display so that maximum number of people gets noticed. And they even
keep their own accessories related to cars at special accessories counter. For attractive display they
decorate their showroom as well as all the cars which are displayed.

Objectives
First year Objectives: We are aiming for 5% market share of the Indian market through unit sale
volume of 100000.Second year Objectives: We are aiming for 10% market share of the Indian
market. An important objective will be to establish a well-regarded brand name linked to a
meaningful positioning. We will have to invest heavily in marketing to create a memorable and
distinctive brand image projecting innovation, quality and value. We also must measure awareness
and response so we can adjust our marketing efforts if necessary.

Target Markets
Hyundai i20's marketing strategy is differentiated marketing. Our primary consumer target is middle
to upper income professionals who need true value for their money and comfortable ride in city
conditions. Our secondary consumer target is college students who need style and speed. Our
primary business target is mid sized to large sized corporates that want to help their managers and
employees by providing them a car for ease of transport. Our secondary business target is

35

entrepreneurs and small business owners who want to provide discounts to managers buying a new
car. Each of the four marketing strategies conveys Hyundai i20's differentiation to the target
marketing segments identified above.

Positioning
Using product differentiation we are positioning the Hyundai i20 as the most versatile, convenient,
value added car model for above target market used. The marketing strategy will be focused on
promoting the car as economic car for the next generation.

Strategies Product
Hyundai i20 is fully loaded and will be sold with 3 year warranty. We will also introduce a CNG/LPG
version of Hyundai i20 in the near future. Also the high end model has an option of GPS system.

Price
Hyundai i20's base model is at ex-showroom price of 4.5 lakhs. This price reflects a strategy of
1) Attracting desirable channel partners
2) Taking market share from Maruti.

Distribution
The Stockist will represent 3 to 4 districts in a State.
The Dealer will represent a district or main City.
The Sub-Dealer shall represent a particular area or taluka.
The booking agents will be individuals working on freelance basis.

Marketing Communications
By integrating all messages in all media we will reinforce the brand name & main points of product
differentiation. Research about media consumption, pattern will help our advertising agency to
choose appropriate media and timing to reach prospects before & during the product introduction.
Thereafter, advertising will appeared on a pulsing basis to maintain brand awareness and
communicate various differentiation messages. The agencies will also co-ordinate public relation
efforts to build Hyundai brand & support the differentiation message. To attract market attention &
encourage purchasing, we will offer a limited time, registration & insurance. To attract, retain &
motivate channel partners for a push strategy, we will use trade sales promotions and personal
selling to channel partner.
Various Marketing Strategies enables a firm to expand business activities for market reputation, to
satisfy human wants , to lead to specialization and efficient performance of production function
climaxing in economic stability.

36

After liberalization automobile Industry is growing at very high rate and many new companies have
also entered into market. With offering variety of cars in all segments for everyone. So it is important
to know which company is providing us good quality cars at fair prices and providing better after
sales services. And how they are trying to reach customers. The most obvious objective marketers
have for promotional activities is to convince customers to make a decision that benefits the
marketer (of course the marketer believes the decision will also benefit the customer). For most forprofit marketers this means getting customers to buy an organizations product and, in most cases,
to remain a loyal long-term customer.

-CAR PROFILE-

Founder and Chairman

Year of Establishment

Mr. H.W. Park

2008

Sector

Light Motor Vehicle (4 Wheeler)

Business Group

Hyundai Motors India Ltd.

Presence

Produced and Distributed over several countries like Australia, Turkey,

Oceania and India etc.

Manufacturing Unit in India

Sriperumbudur, Tamil Nadu

Head Office in India

Chennai, India.

Joint Venture

None

Contact No.
Email ID:
Official Website:

1800 11 4645
cr@hmil.net
www.hyundai.com

-PRODUCERS PROFILE-

37

Hyundai Motor India Limited

Type

Subsidiary

Industry

Automotive

Founded

6th May 1996

Headquarters

Chennai, India

Key people

Mr. H.W. Park, MD

Products

Automobiles

Parent

Hyundai Motor Company

Website

www.hyundai.co.in

Other Car Models produced by Hyundai Motor India:

1. Hyundai Accent (Launched 1999)

2. Hyundai Santro Xing (Launched 2003)
3. Hyundai i10 (Launched 2007)
4. Hyundai Verna fluidic (Launched 2010)
5. Hyundai Santa Fe (Launched 2010)
6. Hyundai grand i10 (Launched 2013)

38

7.
8.
9.
10.
11.

Hyundai Eon (Launched 2010)

Hyundai Fluidic Elantra (launched 2011)
Hyundai I20 (Launched 2012)
Hyundai Sonata (launched 2012)
Hyundai xcent (Launced 2014)

-TIMELINE OF GENERATIONS-

First generation (20082011)

In Indian market, Hyundai i20 comes with
Hyundai i20 is powered by an 1.2L kappa
engine developing 80 PS (59 kW; 79 hp)

of

max power at 5200 rpm and 114 Nm (84

lbft)

of peak torque at 4000rpm.i20 also gets

1.4L

gamma gasoline generates 100 PS (74

kW;

99 hp) of power at 5500 rpm and 139 Nm

Hyundai i20 in production

(103

lbft) at 4200 rpm i20 CRDi the diesel i20 comes with a powerful oil burner generating 90 PS (66 kW; 89
hp) of peak power at 4000 rpm and 224 Nm (165 lbft) of peak torque between 17502750 rpm.

39

A picture of the 1st generation of Hyundai i20 produced in India

Second gemeration (2012-till present)

A slightly upgraded version of the i20, called the i-Gen i20, went on sale in India in March 2012 onward
with tweaked Headlamp, new Front Grill, Tail-lamp and Fog Lamps. It follows the Fluidic design philosophy
with slightly re-tuned engines

The i20 will debut in Europe with a total of seven engine options, all with four cylinders.
Three are petrol, including the recently designed 1248 cc dohc 16 valve "Kappa" engine,
while the rest are diesel engines. Two of the diesel engines are 1396 cc units, one with
75 PS (55 kW; 74 hp) and 220 Nm (160 lbft) and the other a 90 PS (66 kW; 89 hp ) and
220 Nm (160 lbft) high power unit They are joined by two 1582 cc engines having the
same dohc and 16-valve top end architecture but delivering either 115 PS (85 kW; 113 hp)
and 156 Nm (115 lbft) of torque or 128 PS (94 kW; 126 hp) and 157 Nm (116 lbft) of torque.
Hyundai claims that 115 PS (85 kW; 113 hp) diesel unit can return a class leading 115g/km
of CO2 while sipping just one litre of HSD to go 23.25 km/L (65.7 mpg-imp; 54.7 mpg-US)
(4.3L/100 km) in the European combined driving cycle. All diesel engines and 1.2 and 1.4
petrol engines come mated to five-speed manual transmission, there is an option of a fourspeed automatic for some 1.4 petrol engined models, the 1.6 is mated to a six-speed
manual transmission.

40

-SWOT ANALYSIS-

Strengths
The Quality Advantage
A Buying Experience Like No Other
Widespread

Weaknesses
Commodity Price Risks
Exchange Rate Risk
Poor Maintenance

Opportunities
Leading Growth

Threats
Risk Factors
Business Risks
Threats from Competitors
Maruti Udyog Limited
Tata Motors Limited
Chevrolet India Limited.

41

Chapter No. 3

ANALYSIS AND INTERPRETATION

42

FACTORS INFLUENCING SALES OF CARS:

FEATURES: It plays major role in sale on any cars. Today people are more attracted
towards the features of cars and are ready to spend huge amount of money on buying a
handset having huge numbers of features.
E.g. Maruti Swift ZXi, Hyundai i20 Asta (O) etc.

PRICE: Price also plays a major role. Companies need to place their products in such a
way that it can differentiate itself from others by its price. If price of car is kept low and
more features are provided to customers than company can create market for itself.

AVAILABILITY: Products need to be available easily. Customers dont like to travel

much to buy cars. They prefer to get their cars from nearest showrooms so in order to be market
leader companies should make sure that there products are easily and conveniently available to
customers.

AFTER SALES SERVICE: Companies should make sure that they provide good after
sale service to their customers and there problems are rectified as soon as possible. The turn
around time should be very less that customers dont have to wait too long for their problems so to
be solved.

QUALITY: The quality of products should be very good. Todays customers want value
for money if that is not provided than company will find it difficult to position itself in
the market.

43

-ANALYSIS-

Q1: Which Car brand do you have?

Maruti Suzuki

39

Hyundai

34

Chevrolet

15

Others

12

Q2: Which Car do you prefer out of Swift and i20 and which model?

Maruti Suzuki Swift

67
44

Highest Model

11

Middle Model

38

Lowest Model

18

Hyundai i20

33
Highest Model

Middle Model

16

Lowest Model

10

Q3: Which family Income level do you Fall in?

250000 350000

22

350000 450000

37
45

450000 550000

31

Above 550000

10

Q4: While purchasing a car, what features influence you ?

Price

25 %

Product Feature

20 %
46

Brand

30 %

Service

10 %

Durability

15 %

Q5: How frequently you change your car?

In 1-3 years

25 %

47

In 3-5 years

20 %

In 5-10 years

30 %

In More than 10 years

10 %

Q6: For what purpose do you use your car?

Official Purpose
Personal Purpose

Maruti Suzuki Swift

15
12

Hyundai i20
11
14

48

Joy Purpose
Others

18
6

9
3

Q7: How did you come to know about this Car?

Newspaper
Television
Magazine

Maruti Suzuki Swift

4
21
3

Hyundai i20
2
18
2

49

Friends and Relatives

19

16

Q8: Did Advertisement influence your choice, while you chose your car?
Yes
No
Cant say

85%
5%
10%

50

Q9: Did you have full knowledge before buying your car?
Yes
No

Maruti Suzuki Swift

26
19

Hyundai i20
23
15

Q10: Which Factors below influenced your decision?

Price
Mileage
Quality
Resale Value

Maruti Suzuki Swift

79%
68%
70%
41%

Hyundai i20
80%
61%
48%
29%
51

Status Symbol

16%

11%

Q11: How would you rate the following factors of Cars with respect to different
company?

Mileage
Price
Pick Up
Maintenance
Look and Shape
Brand Image

Maruti Suzuki Swift

78%
67%
81%
63%
68%
58%

Hyundai i20
71%
63%
79%
59%
71%
51%

52

Q12: If a new Car with good features comes in, then would you like to change your
existing car?

Yes
No
Cant Say

Maruti Suzuki Swift

17
16
11

Hyundai i20
20
14
4

53

Chapter No. 4

CONCLUSIONS AND RECOMMENDATIONS

54

-CONCLUSIONS-

1. Maruti Suzuki Swift is considered to be most fuel-efficient car on Indian roads,& has
better quality, higher resale as compared to Hyundai i20.
2. Maruti Suzuki Service & Spare parts are available throughout India and in local
markets also, & Swift has comparatively low maintenance cost in contrast to
Hyundai i20.
3. While buying a car, economy is the main consideration in form of price,
maintenance cost, fuel efficiency.
4. Majority of the respondents had bought changed their cars within 5 10 years of
purchase of their older cars.

55

5. Maruti Suzuki Swift has been rated better than Hyundai i20 by the people in terms
of mileage, price, pick up, maintenance and brand image, while Hyundai i20 has
only been rated better in terms of looks and shape.
6. The middle model in both Maruti Suzuki Swift and Hyundai i20 is preferred more
than the highest and lowest models respectively, by the people.
7. Maruti Suzuki Swift is more preferred than Hyundai i20 by people in terms of Office
and Joy purposes, while Hyundai i20 is more preferred for Personal Purposes.
8. Owners of Hyundai i20 are interested in changing their cars if a new model is out,
more than the owners of Maruti Suzuki Swift.

-RECOMMENDATIONS-

1. Hyundai should focus on improving the fuel efficiency of its i20 model, the quality
and reliability needs to be worked upon too, on which the resale value of car
depends.
2. Hyundai needs to tap the export market more efficiently as there is a huge potential
to make India as the world's 4-wheelers production base. For this, it needs to look
for joint ventures abroad.
3. More service centers should be opened for Hyundai Motors, so that its Service &
Spare parts are available throughout India and in local markets also.

56

4. They should also introduce some good finance/discount schemes for students, so
that more of the young generation is attracted.

-BIBLIOGRAPHY-

1. www.marutisuzukiswift.com
2. www.hyundai.com
3. www.google.com
4. www.wikipedia.org
5. www.authorstream.com
6. www.india-server.com
7. www.wiki.answers.com

57

8. www.cardekho.com
9. www.profilefacts.blogspot.com

-QUESTIONNAIRE-

Name: __________________________________
Contact No.: ______________________________

Age:

a) 15-20

b) 20-25

c) 30-40

d) Above 40

Occupation: a) Businessman
c) Student

b) Employee
d) Other

58

Q1: Which car brand do you have?

a) Maruti Suzuki

b) Hyundai

c) Chevrolet

d) Others

Q2: Which Car do you prefer out of Swift and i20 and which model?
a) Maruti Suzuki Swift

b) Hyundai i20

-Lowest
-Middle
-Highest

-Lowest
-Middle
-Highest

Q3: Which family Income level do you fall in?

a) 250000-350000

b) 350000-450000

c) 450000-550000

d) Above 550000

Q4: While purchasing a car, what features influence you ?

a) Price

b) Product Feature

c) Brand

d) Service

e) Durability

Q5: How frequently you change your car?

a) In 1-3 Years
c) In 5-10 Years

b) In 3-5 Years
d) In more than 10 years

59

Q6: For what purpose do you use your car?

a) Official Purpose

b) Personal Purpose

c) Joy Purpose

d) Others

Q7: How did you come to know about this Car?

a) Newspaper

b) Television

c) Magazine

d) Friends and Relatives

Q8: Did Advertisement influence your choice, while you chose your car?
a) Yes

b) No

c) Cant Say

Q9: Did you have full knowledge before buying your car?
a) Yes

b) No

Q10: Which Factors below influenced your decision?

a) Price

b) Mileage

c) Quality

d) Resale Value

e) Status Symbol

Q11: How would you rate the following factors of Cars with respect to different
company?
a) Mileage

b) Price

c) Pick Up

d) Maintenance
60

e) Look and Shape

f) Brand Image

Q12: If a new Car with good features comes in, then would you like to change your
existing car?
a) Yes

b) No

c) Cant Say

Q13: Any Suggestions for the company?

________________________________________________________________________
________________________________________________________________________
________________________________________________________________________

Date: __ / __ / ____

(Signature)

61