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Case Analysis: Suzuki Samurai

Case Analysis: Suzuki Samurai

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Published by mahtaabk
Indian Institute of Management Kozhikode

Marketing Management
Case Analysis: Suzuki Samurai

Submitted to: Prof. Rahul Kumar Sett

Submitted By: PGP/14/258 PGP/14/280 PGP/14/303 Alok Kumar Mahtaab Kajla Shruti Kabdal PGP/14/279 PGP/14/283 PGP/14/304 Lokesh Singh Naveen Vyas Sneha Ramtake

Situation Analysis      Suzuki SJ413 was an upgraded model of the SJ410. It was designed with the US market specifically in mind. Suzuki planned to market the product under the name Samurai with two vers
Indian Institute of Management Kozhikode

Marketing Management
Case Analysis: Suzuki Samurai

Submitted to: Prof. Rahul Kumar Sett

Submitted By: PGP/14/258 PGP/14/280 PGP/14/303 Alok Kumar Mahtaab Kajla Shruti Kabdal PGP/14/279 PGP/14/283 PGP/14/304 Lokesh Singh Naveen Vyas Sneha Ramtake

Situation Analysis      Suzuki SJ413 was an upgraded model of the SJ410. It was designed with the US market specifically in mind. Suzuki planned to market the product under the name Samurai with two vers

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Published by: mahtaabk on Mar 19, 2011
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12/29/2012

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Marketing Management
Case Analysis:
 
Suzuki Samurai
 
Indian Institute of ManagementKozhikodeSubmitted By:PGP/14/258 Alok Kumar PGP/14/279 Lokesh SinghPGP/14/280 Mahtaab Kajla PGP/14/283 Naveen VyasPGP/14/303 Shruti Kabdal PGP/14/304 Sneha Ramtake
Submitted to: Prof. Rahul Kumar Sett
 
 
1
Marketing Management| 21/07/2010
Situation Analysis
 
Suzuki SJ413 was an upgraded model of the SJ410. It was designed with the US market specifically in mind.
 
Suzuki planned to market the product under the name Samurai with two versions namely, convertible andhardtop.
 
They had three segment options to enter market: SUV, compact pickup truck and subcompact car.
 
Planned retail price for Basic Samurai was $5995.
 
Douglas Mazza, VP and GM of ASMC had decided to limit the initial dealer network to a maximum of 47dealers and had chosen California, Florida and Georgia to introduce the Samurai.
Problem Identification
 
Which segment should the Samurai be positioned in so as to maximum utilize the brand equity which Suzukialready has?
 
How should the Advertising budget be allocated among various media?
Qualitative analysisPoints of Parity and Points of Difference:
 
SUV
 
FeatureSuzukiSamurai4Runner TrooperChevy S10blazerWagoneerEverydayDriving
Medium Medium Low Medium High
Comfort
Medium High High High Medium
Quality
High High Medium Low Low
Styling
High Medium Low High Medium
Off-Road
High Medium High Low High
Gas mileage
High Medium High medium Low
 
Pickup TrucksFeature SuzukiSamuraiNissan(2) Toyota(2) Fordranger(2)Chevy-GMCs15(2)Nissan(4)Toyota(4)Fordranger(4)Chevy-GMCS10(4)EverydayDriving
Medium High High Medium Low Medium Medium High Low
Comfort
Medium Low Low Low Low Medium Low Low Low
Quality
High High High High Medium Medium High Medium High
 
 
2
Marketing Management| 21/07/2010
Styling
High High Low Low Low High Low Medium Low
Off-Road
High Low Low Low Low High High High Low
Gasmileage
High High High Medium Medium Low Medium Low LowIt is stated in the case that the subcompact car segment offers the largest market. Also, from the above two tables, it isevident that Suzuki Samurai has either medium or high value in all attributes of the SUV segment or pick-up trucksegment. So that justifies that Suzuki Samurai can be placed in any of the segment.
So, adopting an “unpositioning” strategy appears to be the best option, as it would ens
ure the product will not appealto one specific segment and will attract a larger and diverse customer base.
 Quantitative analysis
Refer to Annexure
 – 
A for details of Budget Allocation. The calculations have been done by evaluating each attributeas providing an advantage (+1), a disadvantage (-1), or holding no influence (0), against every segment.
Arguments in favor of unpositioning strategy
 
 
It has the ability to go to places where larger vehicles could not, making it suitable for the SUV segment
 
Can be pitched to the consumers who were looking for an economy car, indicating positioning in thesubcompact car segment
 
Can be positioned with the emphasis on looks and style of a car
 
Priced comparably with Japanese import compact pickup trucks, thereby making it suitable to position it in thepickup trucks segment
It is clear from the above arguments that positioning “Samurai” in each of the three segments offers its own strong
advantages. Consequently, restricting it to only one segment would imply losing out on the potential market in theother two segments.
Inference
 
Based on the various surveys which the company has conducted, they have found out that there is a possiblemarket in every segment for Samurai
 
Each buyer perceives the Samurai according to his/her own needs.
Recommendations
 
 
Gray market statistics in US can be treated as results of a pilot run for Samurai. Young and fun elementseeking people will constitute a major chunk of potential Samurai customers.
 
From the above qualitative analysis, we can conclude that there is a high possibility of Suzuki Samurai tosucceed in either of three segments of the market; so instead of focusing it on a particular market segment

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