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Strategy

Ideas for today and tomorrow


Group AO2, Section -8
T. A. Pai Management Institute
Overview: PV Industry

37% 38%
Updates: Indian PV Industry
• 5th Largest PV market in World
• Penetration Level : 20 vehicles per 1000 people.
• Automotive Mission Plan: 2016-26
• Mission 2030 – All Electric Vehicle
• Growing Luxury cars segment
• Make in India
• New Players Entries – Kia, MG, Daihatsu & Beiqi Foton
About Maruti Suzuki

17 Lakh 3 17 250
Cars/year Plants Models Suppliers

• Insurance
• Finance
2000 250 3200
• True Value
Dealerships Nexa Outlet Workshops • Driving
School
Porter’s Five Forces

Moderate

High

Low High

Low
Internal Analysis

Strengths Weaknesses
Strong Brand Value Dip in product Quality
Diverse Product Portfolio Inferior Design and Style
Market Leader Low International Presence
Extensive Distribution Network Limited SUV Model
Fuel Efficient Engine Technology No Electric Vehicle till now
State of Art R & D Centre Mismanagement of Labor
High Resale Value
Diverse Revenue Stream – Finance,
Insurance, True Value
External Analysis

Opportunities Threats
Increasing Personal Disposable Income Uncertain Government Regulations
Growing Electric Vehicles Market New Entrants
Growing SUV Market Volatile Fuel Pricing
Creating Digital Experience for New Technologies – Driverless Car,
Customers at Showroom Alternate fuel, Digital Features
International Market - Exports Environment Related Policies
Financials

Gross Profit Margin Net Profit Margin


2013: 5.43% 2013: 5.48%
2014: 6.89% 2014: 6.36%
2015: 8.49% 2015: 7.42% Debt Free
2016: 10.65% 2016: 7.91%
2017: 11.39% 2017: 10.78%
Challenges & Future

Quality Capacity New


Issues Expansion Entrants

Electric
Technology
vehicles
Thanks for your attention.

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