Path breaking Beat

Chevrolet Cruze was well received- powerful engine coupled with compact design, highly suitable for Indian congested roads. Chevrolet Spark successful but not significant for GM overall. Japanese and Korean automobiles got better understanding. GMIs successes not significant-high priced sedans and no understanding of indian customers. With income rise of middle class and changing needs, Spark was not sufficient.

 Beat Features-Design powerful(engine 1,200cc) , stylish, yet compact car- suitable for Indian urban customers. -Fuel efficient and reasonably priced starting Rs.3,25,000. -cheaper by 45,000 from cars in same segment Beat launched January, 2010. Launched successfully, it gave a boost of 49% in sales in 2010 from July 2009. Warm reception yet could not compete effectively.

Factors Affecting the poor reception overall and sluggish sales

Poor image of GM in market. Radical and unconventional design of Beat in the market. Increase in fuel prices after deregulation of petrol prices in 2011.

Understanding Indian market High demand of diesel models, hence Beat introduced with diesel engine. New version of Beat- highly fuel efficient with a mileage of 24kmpl and engineered to suit the driving conditions in India. Sales jumped from 1,614 units/month to 5240 units/ month. It was a grand success and finally GM started to understand Indian markets and its needs.