Yes, Agarwal and his team are justified in their concerns over the ‘world’s cheapest car tag’.

The concern of the team is their negative thinking towards the product, which is in a way good
because negative thinking has the power to create opportunities, to give ideas and to motivate.

As mentioned in the case, in a country like India image of a brand is not what the marketer
attempts to establish, but it is what customers perceive it to be. So the ‘world’s cheapest car tag’
can create a negative impression in the minds of customers, especially in India where owning a
car is directly related to the customers status and success.

In India owning a car is a dream for many. So Vega Motors can position Mino as the ‘Dream
Car’.

The first solution proposed in the case is that of using TV as the medium of advertisement, which
can be prove to be a better impact for the consumers, as they can try to connect the ad with the
emotions of the consumers. Vega Motors should go for a simple, small and low-cost ad using
minimum production in order to keep the costs down. The ad should be creative and distinctive
and it should not be extravagant like using a brand ambassador.

The ad must be short and crisp and must erase all the myths related to its safety and quality, as
Mino has successfully cleared all the safety and quality standards. It must create a feeling that
the customers are ‘paying less’ and ‘getting more’.

As Air Deccan changed the face of Indian Aviation, Vega Mino can change the face of Indian
Automobiles. Air Deccan gave nightmares to the leading aviation companies in India; it forced
them to slash their ticket prices out of fear. Vega Mino has all the ingredients to shine in the
automobile sector; it just needs to convey their message in a true and innovative manner.

The second solution proposed in the case is to create a premium version for Mino. It says that
they can enter into a Joint Venture with various car designers in order to create a premium
limited version for Mino to capture the niche market for high-end new entrepreneurs, which may
help in erasing the image of cheapness from Mino.

According to me it is a good idea for the future and not a very wise idea to launch it
simultaneously with the low priced Mino. Moreover they must also think of generating revenue
for this business idea, but that should be in the later part in order to enhance the brand image.

As Vega is already a major player and a big name in the automobile sector, a name which is
associated with trust and loyalty.

According to me the communication of Vega motors in the case of Mino must be honest and
true. They should clearly convey what they are actually offering to the customers, and what
change it can bring for an Indian family.