1.

Why does Nayak say it's important to "start with the pictures not with the
numbers"?

Nayak’s assertion “start with the pictures not with the numbers” depicts analysis always starts
with qualitative analysis rather than quantitative analysis. Creativity always begins when focus
has been done to resolve the problems, have keen observation on how attract the customers,
provide comfort zone to employees to think out of the box as compare how control finance or
resources. He comprehended that quantitative analysis has not been proved effective related to
innovation. It can be created negative consequences. Nayak faced a big challenge to create new
innovation in Shaan. Top management hasn’t clarity about customers’ demands and
requirements. To bring a change it is very important to be familiar about every pros and cons.
Nayak didn’t think in a one way he had a lot of idea in his mind. He appreciated Goyle’s
innovated style that’s why he knew change can take modification in this brand. Goyle
understands the consequence of innovation in products and he knows it can bring change in the
market. Goyle added few features that improved Shaan’s image in market. Rreduce price has
also helped to promotion.These steps obligatory to attract the customers for buying and
understand the benefits of Shaan. A deep qualitative analysis helped Shaan to win the award of
the American Society of Agricultural and Biological Engineers. Quantitative analysis always
shows the actual facts and figures for making product and it will help to make wise and good
decision in management level.

2. What are the challenges with doing quantitative analysis of the value of the
Shaan project?

There is various challenges face during performing quantitative analysis of the value
of the Shaan project. Basically quantitative analysis always required a proper research with
accurate facts and figures that measure flawless outcomes. It would be considered time
taking and expensive. Cash flow methods and real option are the major parts in quantitative
analysis in the project. Discounted cash flow methods have pros and cons to measure the
accurate financial state. On the other hand DCF is not considered effective for project
because it has failed to use the strategies for significance of project. Similarly real options
implemented on stock option model to nonfinancial resource investment with research and
development. The cost of the R&D program always is high while in future to analysis the
cost R&D program is very necessary. In other models of real options we analyzed that it fall
various negative impacts and restriction on projects.

3. What are the different sources of value that Mahindra's management appears to
think will arise from developing the Shaan?

There are numerous effective opportunities that get ahead Shaan's continued success for example
it’s unique features, the small vehicle can be used in brick kiln, low price and easy to drive.
Shaan was always considered that it produces the various vehicles only for agriculture and
mostly it is popular in semi urban people who are satisfied to use it in their fields. No doubt few
tractors and jeep that can play a role in agriculture as well as transportation. Due to continually
increasing the brand turnover and good products it would help to increase the value in the
market. No doubt due Innovation in the product it will capture the attention of customers with
reasonable price that helps to generate a great revenue. A farmar who belongs to middle class
can buy Shaan’s products due to its price and quality. Farmers easily used its products in the
farms due to its quality.
Management expectations for Shaan were high and they were trying to make a good position in
the market. They tried many strategies to get market shares. After launch of Shaan with
customers need and innovation made it successful and rapid growth in the market. It helped the
company to become a pioneer and bring innovation in products. Shaan’s product took comfort in
people lives. Shaan recognized in all over the world due to its individuality and uniqueness and it
achieve innovation award too. Goyle decision about innovation considered the turning point,
who believed that innovation can have a positive impact on the market and can open paths for
the company to succeed in the market. The company's market share has risen due to the increase
in Shaan's sales and people appreciate the ideas behind Shaan and began using it in their daily
lives on a regular basis.

4. From the Internet, list at least three competitors to Mahindra. For one of those
competitors is there a tractor that competes very well with Mahinda's tractor in the
U.S.? Which is better - the Mahindra tractor or the competitor's in your opinion.

Mahindra is considered the market leader in tractors and other transport vehicles, there are many
competitors that company faces related to increasing its market share. In Japan and the United
States it has top of the competitors. There are different competitors of Mahindra such as
Volkswagen, Honda and Caterpillar Inc., amongst these opponents; Mahindra faces problems in
growth and development due to Caterpillar. Caterpillar is a huge setup in the USA. UU.that leads
in all over the world. it is considered as a distributor of one of the 100 fortune companies for
designing , developing, manufacturing in the whole world. it considered the largest manufacturer
that construct each and every type of equipment in the world.
After scrutinizing of both companies, CAT is working well as compare Mahindra especially in
view of market share, sales level and customer satisfaction. Mahindra has no wider roots in all
over the world while CAT has different franchises and expansion in worldwide. Mahindra's
innovative products are satisfied and popular in the market but customer prefer to CAT due to its
effective customer service and the cutting-edge features of the vehicles. It is expecting if CAT
sustained its quality in the market the next five years CAT will be play a leading role in the
market. CAT focus on innovation that appeals customers. CAT embraced effective market
strategies for appealing their customers for better development on the other hand Mahindra
doesn’t do working on these steps that’s why it face problem in the market. Mahindra has less
focus on market strategic market and customer services.