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    Abhi Jain
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    Mahindra & Mahindra faced increasing competition in the Indian jeep market and looked to expand internationally. The company researched potential foreign markets, starting with trade shows in Germany and France, where it began selling jeeps. It also started producing diesel engines in collaboration with Peugeot of France. Mahindra identified Australia, Denmark, Italy, and Norway as other possible markets and estimated exporting 2500 jeeps annually to Australia, although it would face competition from Japanese automakers there and need to meet stringent design standards. The company's export policy would need to account for various environmental factors in foreign markets, including technological, economic, social, and political influences, that could present opportunities or threats.

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    Case 1

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    Mahindra & Mahindra faced increasing competition in the Indian jeep market and looked to expand internationally. The company researched potential foreign markets, starting with trade shows in Germany and France, where it began selling jeeps. It also started producing diesel engines in collaboration with Peugeot of France. Mahindra identified Australia, Denmark, Italy, and Norway as other possible markets and estimated exporting 2500 jeeps annually to Australia, although it would face competition from Japanese automakers there and need to meet stringent design standards. The company's export policy would need to account for various environmental factors in foreign markets, including technological, economic, social, and political influences, that could present opportunities or threats.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
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    129 views2 pages

    Case 1

    Uploaded by

    Abhi Jain
    Mahindra & Mahindra faced increasing competition in the Indian jeep market and looked to expand internationally. The company researched potential foreign markets, starting with trade shows in Germany and France, where it began selling jeeps. It also started producing diesel engines in collaboration with Peugeot of France. Mahindra identified Australia, Denmark, Italy, and Norway as other possible markets and estimated exporting 2500 jeeps annually to Australia, although it would face competition from Japanese automakers there and need to meet stringent design standards. The company's export policy would need to account for various environmental factors in foreign markets, including technological, economic, social, and political influences, that could present opportunities or threats.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 2

    Case 1

    Mahindra & Mahindra Jeeps Mahindra and Mahindra manufacture and markets jeeps and had a hold over a considerable portion of the jeep market in India in the past. It was ranked sixth in the automobile sector of India in 2004,up from the tenth rank in 2003. The following are the prominent jeeps that operate in the Indian market currently: 1. Mahindra-Voyager 2. Mahindra-Armada 3. Mahindra-Commander Mahindra and Mahindra is now facing problems like cut throat competition, price rise and sluggish market for jeeps. In terms of price competition, Mahindra and Mahindra has an upper hand when compared to Tata jeeps. Realizing the need to grow fast, the company formulated an expert policy. It paid off well. they formulated plans to develop and grow in a foreign market. The first step was participation of trade fairs abroad, particularly in Germany and France. This has helped to popularize its vehicles in those countries. Mahindra jeeps started selling in France and jeep export became an important marketing activity of the company. The company started manufacturing diesel engines in collaboration with Peugeot of France.

    As soon as the company came to know that Australia, Denmark, Italy and Norway could be potential markets, plans began to make accordingly. The company estimated that it would be able to export about 2500 Jeeps annually to Australia. In order to cater to the lower segment of the market , the Mahindra jeeps in Australia faced competition from Japanese Cos. Stringent design rules and requirements also needed to be met in Australia. The co. is confident of meeting all such requirements. The govts. Liberalization policy will also be helpful. The companys new policy has to take into account the environmental factors. The export policy, with a special reference to export market, also deserves a considerable evaluation and analysis because environmental factors, such as technological, economical, social and political influences, relevant to strategic decisions, operate in an industry. Question: In the case discussed above which are the different environmental factors that lead to opportunities and threats to Mahindra and Mahindra?

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