CASE STUDY

LEADERSHIP IN AUTO INDUSTRY

Group B
1. Vivek Singh
2. Tanumoy Dhar
3. Barsha Tewari
4. Debasmita Lahiri
5. Abhishek Gupta
6. Prasun Dey
7. Chandra Nath
Chatterjee
8. Sheikh Rounak
Mandal
WHAT IS AUTO INDUSTRY?

 Industry that is mainly based on

manufacturing of automobiles and its
spares are known as auto Industry.
 Automobile Industry includes both the
manufacturers of big transport
vehicles like trucks, buses etc. as well
as manufacturers of small and mid-
sized family car like Santro. Maruti
800, Zen etc.
MEANING OF THE TERM
LEADERSHIP:
 Leadership has been described as the
“process of social influence in which one
person can enlist the aid and support of others
in the accomplishment of a common task”.A
definition more inclusive of followers comes
from Alan Keith of Genentech who said
"Leadership is ultimately about creating a way
for people to contribute to making something
extraordinary happen."
 ROLE OF LEADERSHIP IN
AUTO INDUSTRY
 HAVING A VISION
 INTEGRITY
 DEDICATION
 OPENNESS
 CREATIVITY
 FAIRNESS
 ASSERTIVENESS
 GOOD AND EFFECTIVE SENSE OF
HUMOUR
 In Indian Economy Auto Industry plays a remarkable role, as
Indian Economy is developing so a huge demand for family car
is being generated among the Indians.
 Today owning a personal car is a necessity rather than luxury.
 So lots of automobile manufacturers are manufacturing cars
keeping in view the middle class and upper middle class
population, to increase their sales.
 The cost of a car is also within the reach of normal Indian
population, because to exist within the market and also within
the competitors the manufacturers must provide a car at the
best and cheapest price as possible.
 Day by day the demand for owning a personal vehicle is
increasing within the Indian Families because the price is within
their reach.
 WINGS
THE COUNTRY’S LEADINGPASSENGER CARMAKER.
 Started out in 1981.
 Acting as a trend setter on the twin planks of fuel
economy and low maintenance cost and made
fossils of all the stodgy, fuel-guzzling models
prevalent at that time.
 The company got a resounding response from the
burgeoning Indian middle class – at which Wings
was targeted – at parameters like price, design,
comfort, mileage and of course the aspirations.
 ‘Market Share in 3
Decades’
90
80
70
60
50
40 Wings

30
20
10
0
1980 1990 1999 2000
STRENGTH
 In the past it was the market
leader in the Indian Automobile
Industry.
 Had set the trends on the twin
planks of fuel economy and low
maintenance cost.
 Captured new Markets with its VFM
policy.
 Pioneered vendor development
programmes.
 Created a High brand equity.
WEAKNESS
 No product research
 Highly overconfident Employees
 Limited Variants & Models
 Lack Of Training & development
Of Employee
 Sticked to traditional business
Operating Model
 Applying simple, age old
strategies
 OPPORTUNITIE
S 
 Increasing the market area
of business.
 Target new section of
customers.
 Large revenue earning
capacity.
 Trusted Brand
 Innovative techniques.
 Sincere & dedicated Staffs
& employees
 THREATS
Out of the Market
Segment.
 Shift In Price Segment
 Increase in the competitors
in the market.
 Due to globalization many
foreign automobile
companies are coming to
India with latest
technology,
 SOLUTIONS OF THE QUESTIONS
GIVEN IN THE CASE STUDY
 What are the areas of concern for the
company?
 1. Increasing the Market as well as Sales.
 2. Targeting new class of customers.
 3. Innovative new designs for the cars.
Eg. – Sleek & Trendy designs.
 4. Being customer oriented.
 5. Proper training and development to its
employees.
 What actions should the
company take to regain the
lost ground?
 1. Doing a Market Survey.
 2. Taking an initiative to start a separate
Research & Development Programme.
 3. Providing latest technologies at an affordable
price to its customers.
 4. Training and development of its employees.
 5. Collaboration with any renowned foreign auto
company.
 6. Tie – ups with any finance institution.
SHOULD THE COMPANY CONTINUE
WITH ITS VFM APPEAL? JUSTIFY.
 Yes, the company should continue with
its VFM appeal.
 Its an old and effective proposition of the
company.
 It will help the company in retaining its
goodwill.
 They should not change its longtime
motto because it will still provide Value
for Money (VFM) Car.
WHAT OTHER OPTIONS ARE AVAILABLE
FOR WINGS TO GENERATE REVENUE?

 Own workshop around the country.

 Open its own financing organization
for easy and hazel free loans to its
customers.
 Initiative to increase its market area
geographically.
 Diversification from manufacturing
four wheelers to two wheelers