STUDYNAMA.

COM

BBA Internship/Project Report

Topic: STUDY OF MARKETING MIX OF

MARUTI SUZUKI

Scroll below to access your study material ▼▼

Disclaimer

Please note none of the content or study material in this document or content in
this file is prepared or owned by Studynama.com. This content is shared by our
student partners and we do not hold any copyright on this content.
Please let us know if the content in this file infringes any of your copyright by
writing to us at: info@studynama.com and we will take appropriate action.

1
Download Free Notes, Projects, Solved Papers for your course below:
Classes 6-8
⋅ Class 6 Notes & Guide
⋅ Class 7 Notes & Guide
⋅ Class 8 Notes & Guide
⋅ Projects & Practical
Engineering
⋅ CSE Notes & Projects
⋅ ECE Notes & Projects
⋅ EE Notes & Projects
⋅ ME Notes & Projects
⋅ Civil Notes & Projects
Entrance Exam Preparation – Solved Papers, Notes, Cutoffs
Engineering Exams
⋅ IIT-JEE Mains
⋅ IITJEE Advanced
⋅ BITSAT 2019
⋅ VITEEE/SRMEEE
⋅ MH-CET 2019
Classes 9-10 Classes 11-12 Study Abroad
⋅ Class 11/12 PCMB
⋅ Class 9 & 10 Notes ⋅ IELTS Online Free
Notes, eBook, Projects
⋅ Class 9 & 10 Projects Preparation
⋅ Class 11/12 Commerce
⋅ Class 9 & 10 Solved Notes, Projects, Papers ⋅ English Training for SAT,
Previous/Sample Board GMAT, GRE, TOEFL,
⋅ Class 11/12 Arts Notes, IELTS, PTE
Papers
Projects, Papers
Medical Law – LLB/LLM BBA/MBA
⋅ BBA Notes & Projects
⋅ MBBS Notes & Cases ⋅ LLB/LLM Notes, eBooks MBA Notes & Projects:
FREE PDF Download
⋅ BDS Notes & Cases ⋅ MBA Marketing
⋅ LLB/LLM Projects,
⋅ BHMS Notes & Cases ⋅ MBA Finance
Training Reports &
⋅ BPharma Notes & Cases Solved Cases ⋅ MBA HR
⋅ MBA Operations
MBA Entrance Exams Medical Entrance Law Entrance Prep
⋅ CAT ⋅ AIIMS Medical
⋅ CLAT 2019
⋅ XAT ⋅ NEET (AIPMT)
⋅ LSAT 2019
⋅ IIFT ⋅ AIPVT Medical
⋅ SSLC, ILSAT, ILICAT,
⋅ SNAP MBA ⋅ AFMC Medical
GNDU CET, AILET
⋅ MAT, CMAT, MH-CET ⋅ BHU-PMT, CMC Vellore
 RESEARCH PROJECT

ON

“A STUDY OF MARKETING MIX OF

MARUTI SUZUKI”

m
c o
.
a
m
a
yn
d
u
t fulfillment of requirement for the award of
In the partial
S
Degree of Bachelor of Business Administration (BBA )

B.B.A- 6th Sem.

1
 m
c o
.
a
m
a
yn
d
tu
S
 ACKNOWLEGEMENT

“Success is not a description, but a journey.” While I reach towards the end of this journey, I
realized I may not have come this far without the guidance, help and support of the people
who acted as guides, friends and torch bearers along the way.

I take this opportunity to thank Prof. Gurlal Singh without their cooperation I would not
have been able to complete this project.

I express my deepest and most sincere thanks to my organization guide, Mr.Harjit Singh
(Manager) from who I had the opportunity to learn a lot, I would like to thank him for
giving me valuable suggestion and guidance with which, my project would have been
complete.

m
c o
.
a
m
a
yn
d
tu
S

3
 INDEX

Student Declaration 2

Acknowledgement 3

Chapter 1 About the Company 5-33

Chapter 2 Research Methodology 34-37

Chapter 3 Marketing Strategies 38-80

Chapter 4 Findings and analysis 81-85

m
c o
Chapter 5 Conclusion
. 86--87
a
Chapter 6 Recommendations
m 88-89
a
Chapter 6 Bibliography yn 90
d
tu
S

4
 m
c o
.
a
m
a
y n
Chapter: -1
d
t u
ABOUT THE COMPANY
S

5
 1.1 Introduction

Maruti Suzuki is India’s number one leading automobile manufacturer and the market leader
in the car segment both in terms of volume of vehicle and revenue earned. Until recently
18.28% of the company was owned by the Indian government and 54.2% by the Suzuki of
Japan. The Indian Govt. held an initial public offering of 25% of the company in June 2003.

m
As of 10 May 2007 government of India sold its complete share to Indian financial

o
Institution. With this govt. Of India has no longer stake in Maruti Udyog.
c
. 1981, though the actual
a
Maruti Udyog Limited (MUL) was established in February

m
production was started in 1983 with the Maruti 800 based on the Suzuki Alto Kei Car which

a in India. Its only competitor was Hindustan

at that time was the only modern car available

y
Motor’s Ambassador and the Premier nPadmini were both around 25 years out of date at that
dSuzuki had produced over 5 Million vehicles. Maruti Suzuki
point.Through 2004 , Maruti

tu
are sold in India and various several other countries depending upon export orders. Models
SSuzuki ( but not manufactured by Maruti udyog) are sold by Suzuki Motors
similar to Maruti
corporation and manufactured in Pakistan and other south Asian countries.

The company anually exports more than 50,000 cars and has an extremely large domestic
market in India selling over 7,30,000 cars anually. Maruti 800 till 2004 was the India’s
largest selling compact car ever since it was launched in 1983. More than a Million unit of
this car have been sold worldwide so far. Currently Maruti Suzuki Alto tops the sales chart
and Maruti Suzuki Swift is the largest selling car in A2 segment.Due to large number of
Maruti 800’s sold in the Indian market the term “Maruti” is commonly used to refer to this
compact car model. Till recently the term “ Maruti” in popular Indian culture in India,
Hindu’s lord Hanuman is known as “Maruti” was associated with Maruti 800 model.

6
 m
c o
.
a
m
a
yn
d
tu
S

7
Manufacturing Facilities

Its manufacturing facilities are located at two facilities, “Gurgoan” and “Manesar” south of
Delhi. Maruti Suzuki’s Gurgoan facility has an installed capacity of 3,50,000 units per
annum. The Manesar facility launched in February 2007 comprises a vehicle assembly plant
with a capacity of 1,00,000 units per year and a Diesel Engine plant with an annual capacity
of 1,00,000 engines and transimission. Manesar and Gurgoan facility have a combined
capacity to produce over 7,00,000 units annually.More than a half of the cars sold in India are
Maruti Suzuki cars. The company is a subsidiary of Suzuki Motors Corporation of Japan
which owns 54.2 percent of Maruti Suzuki. The rest is owned by the Public and Finance
Institution.It was listed on the Bombay ( now Mumbai) stock exchange in India.

During 2007-08 Maruti Suzuki sold 7,64,842 cars of which 53,024 are exported in all. Over
Six Million Maruti Suzuki cars on Indian roads since the first car was rolled out on 14
December 1983.
m
Products Offered
c o
.
a
Maruti Suzuki offers 15 models and they are, Maruti 800, Alto, Wagon R,

m
Zen Estilo, A Star, Ritz, Swift, Swift Dzire, SX4, Omni, Eeco, Gypsy and
a
ynSwift, Swift Dzire , A Star and SX4 are
Grand Vitara.Out of these models Grand Vitara is imported from Japan a
completely built unit (CBU).
d and the remaining models such as Maruti 800,
u
manufactured in Manesar
Alto, Wagon R,tZen Estilo, Ritz, Omni , Eecoetc are manufactured at
S
Gurgoan Plant.

Human Resources

Nearly 75,000 people are employed directly by the Maruti Suzuki and its Partner. It has been
rated first in customer satisfaction among all car makers in India from 1999 to 2009 by J.D.
Power Asia Pacific.

8
 1.2 History

Around 1970, Sanjay Gandhi, Political advisor and younger son to then Prime minister of
India, Indira Gandhi , envisioned the manufacture of an indigenous , cost – effective , low
maintenance compact car for the Indian middle class. Indira Gandhi’s cabinet passed a
uninamous resolution for the devlopment and production of “people’s car”. Sanjay Gandhi’s
company was christened Maruti Limited. The name of the car was choosen as “Maruti”, after
the name of a hindu deity named Marut.

At that time Hindustan Motor’s Ambassador was the cheif car and the company had came
out with a new enterant , the Premium Padmini which was slowly gaining a part of the market
share dominated by the Ambassador. For the next ten years the Indian car market had
stagnated at a volume of of 30,000 to 40,000 cars for the decade ending 1983.

Sanjay Gandhi
m
was awarded the exclusive contract and licence to design, devlop and

o
manufacture the “People’s car.This exclusive right of production generated some criticism in
c
. . Over the next few years the
certain quaters, which was directly targeted at Indira Gandhi
awar and the emergency.
company was sidelined due to the Bangladesh Liberation
m
a of Sanjay Gandhi, the company was provided
In the early days under the powerful patronage

y nTill the end of 1970’s the company had not started the
with free land , tax breaks , and funds.
production and a prototyped test model was met with criticism and skepticism.The company
tuin 1977. The media perceived it to be another area of growing
went into liquidation
S Maruti started to fly only after the death of Sanjay Gandhi, when
corruption. Unfortunately
Suzuki joined the Govt. Of India as a joint venture parteners with 50% share.

After the death of Sanjay Gandhi, Indira Gandhi decided that the project should not be
allowed to die. Maruti entered into collaboration with Suzuki Motors . The collaboration
heralded a resolution in the Indian car industry by the production of “Maruti 800”.

The car went into sale on December 14,1983. It created record by taking 13 months to go
from design to rolling out car from a production line. By the year 1994 the company had sold
upto 1,96,820 cars, mostly by selling its cheif product the “Maruti 800”. By March 1994, it
produced one million vehicle , becoming the first Indian company to cross this milestone. It
reaches the 2 million mark in October 1997, and rolled out its 4th million vehicle an ALTO
(LX) on April 19, 2003.
9
Maruti Udyog Ltd. is the premium car company in India. Maruti Udyog Limited (MUL) was
established in February 1981 through an act of parliament. The Company entered into
collaboration with Suzuki Motors of Japan to manufacture cars.The main objectives behind
formation of Maruti Udyog Limited was to meet the growing demand of a personal mode of
transport caused by the lack of an efficient Public Transport System.

Today Maruti Udyog Limited is garneshing share of automobile market in India. It has
completely revolutionised the Indian car market and has brought out numerous model to cater
to every section of society. These ranges from Economy cars to Luxury cars to Super SUV’s.

m
c o
.
a
m
a
yn
d
tu
S

10
 1.3 Company’s Profile

Around 1970, Sanjay Gandhi, political advisor and younger son to the then Prime minister of
India, Indira Gandhi, envisioned the manufacture of an indigenous, cost effective, low
maintenance compact car for the Indian middle class. Indira Gandhi’s cabinet passed an
uninamous resolution for the development and production of “Peoples car”. Sanjay Gandhi’s
company was christened Maruti Limited. The name of the car was was chosen as Maruti,
after a hindu deity named Marut.

Unfortunately Sanjay Gandhi died without fulfilling his dream. After this death , Indira
Gandhi decided that the project should not be allowed to die. Maruti entered into
collaboration with the Suzuki Motors of Japan. The collaboration heralded a resolution in the
Indian car industry by producing Maruti 800. The car went into sale on 14 December 1983.
And from 1980’s to till day today Maruti’s have dominated the Indian Automobile industry as
m
well as automobile market.

c o
1.3.1 Stock Exchange on which company . is listed
a
m
Maruti Suzuki is listed on Bombay stock exchange now Mumbai. It is also listed on NYSE

a exchange of Japan.
( New York Stock Exchange) as well as stock

yn
d
t u
S

11
 1.3.2 Vision, Mission and Core values of Maruti Suzuki

Vision:-
Vision of any company is those values on which company works. As the Maruti Udyog
Limited (MUL) is started by governmental initiatives it tends to be more consumer oriented
and hence cost- effective, but on the other hand Suzuki’s participation ensures not only need
of profit, but the need of maximum profit. The only way of Nora’s dilemma of selecting
principles for the company’s working vision was to maximize profit and sales and hence
Maruti Udyog Limited (MUL) declared its vision as:-

“The leader in the Indian Automobile Industry, creating Customer Delight one and
shareholder’s wealth two eventually become pride of India. Customer Delight One is making
sure that Performance, after sales service and customer are best and beyond expectations,

m
shareholder’s wealth two is the prime concern for running business smoothly. Maruti Udyog

c o
Limited (MUL) knows this and understands “Customer Is King” , he can change the future of
any company hence goes company’s brand line : COUNT .
aON US!
Mission:- m
a
n
larger environment and its goaly
Mission is the statement of any organisation’s purpose , what is want to accomplish in the

described over Visionsu

d which are specific , realistic, and motivating. Missions are

t and Visions demand certain objectives. The main Objectives / Mission

SLimited are:-
of Maruti Udyog

1. Modernisation of Indian Automobile Industry.

2. Developing cars faster and selling for less.
3. Production of fuel- efficient vehicles to conserve scarce resources.
4. Production of large number of motor vehicles which are necessary for the Economic
Growth.
5. Market penetration, Market developments, similar product development and
diversification.
6. Parter relation management, value chain, value delivery networks.

Core Values :-
 Customer Obsession
 Fast, Flexible and First Mover

12
 Innovation and Creativity
 Networking and Partnership
 Openness and Learning

m
c o
.
a
m
a
yn
d
tu
S

13
 1.3.3 Company Board Of Directors

Mr.Shinzo Nakanishi Managing Director (M.D) and Chief

Executive Officer (C.E.O)

Mr. R.C. Bhargava Chairman

Mr.Maninder Singh Banga Director

Mr.AmalGanguli Director

Mr.D.S.Brar Director

Mr. Keiichi Asai Director

m
Mr. Osamu Suzuki
o
Director
c
.
Mr.ShujiOishi
a
Director

Ms.PallaviShroff mDirector
a
yn
Mr. Kenichi Ayukawa Director

d
tu
Mr. Tsuneo Ohashi Director and Management Executive
Officer
S

14
 1.3.4 MILESTONES

2005  The fiftieth lakh car rolls out in April, 2005

 Growth in overall sales by 15.8%

2004  New (non A/C) variant of Alto

 Alto becomes India's new best-selling car

 LPG variant of 'Omni Cargo'

 Versa 5-seater, a new variant

 Baleno LXi, a new variant

 Maruti closed the financial year 2003-04 with an annual sale of

472122 units, the highest ever since the company began operations
20 years ago
m
2003  New Suzuki Grand Vitara XL-7
c o
.
 Redesigned and all-new Zen
a
 New upgraded WagonR m
a
y n
 Enters into partnership with State Bank of India

 Productiond of 4 millionth vehicles. Listed on BSE and NSE after a

tu
public issue oversubscribed 10 times

2002 SWagonR Pride

 Esteem Diesel. All other variants upgraded

 Maruti Insurance. Two new subsidiaries started: Maruti Insurance

Distributor Services and Maruti Insurance Brokers Limited

 Alto Spin LXi, with electronic power steering

 Special edition of Maruti 800, India’s first colour-coordinated car

 Maruti True value in Mumbai

 Maruti Finance in Mumbai with 10 finance companies

15
  Suzuki Motor Corporation (SMC) increases its stake in Maruti to
54.2 percent

2001  Zen LXi

 Maruti True Value launched in Bangalore and Delhi

 Maruti Versa, India’s first luxury MPV

 Alto Spin LXi, with electronic power steering

 Alto VXi

 Customer information centers launched in Hyderabad, Bangalore

and Chennai

 Launch of versa

2000  First car company in India to launch a Call Center

m
 New Alto
c o
.
 Altura, a luxury estate car
a
 m
IDTR (Institute of Driving Training and Research) launched jointly
a
n
with the Delhi government to promote safe driving habits

 Maruti 800 EXy

1999
d ( 796cc, hatchback car)

t u
 Zen LX (993cc, hatchback car)

SZen VXi (993cc, hatchback car with power steering)

 Omni XL ( 796cc, MUV, high roof)

 Baleno (1600cc, 3 Box Car)

 Wagon R

 Launch of Maruti - Suzuki innovative traffic beat in Delhi and

Chennai as social initiatives

1998  Maruti launches website as part of CRM initiatives

 Zen D (1527 cc diesel, hatchback car)

16
  Zen VX & Zen VX Automatic

 New (Omni & Omni E) (796cc, MUV)

 Launch of website as part of CRM initiatives

1997  1998 Esteem (1299cc, 3 box car) LX, VX and AX

 New Maruti 800 (796cc,hatchback Car) Standard and Deluxe

 Produced the 2 millionth vehicle since the commencement of

production

1996  Gypsy (E) (970cc, 4WD 8 seater)

 Omni (E) (796cc, MUV, 8 seater)

 Gypsy King (1298cc, 4WD, off road vehicle)

 Zen Automatic (993cc, hatchback car)

m
 Esteem 1.3L (1298 cc, 3 box Car)AX
c o
.
 a
Launch of 24-hour emergency on-road vehicle service

m
1995 
a
Esteem 1.3L (1298 cc, 3 box car)VX


yn
With the launch of second plant, installed capacity reached 200,000
units d
1994
u
t (1298cc, 3 box car)LX
 Esteem1.3L
S
 Produced the 1 millionth vehicle since the commencement of
production

1993  Zen (993cc, hatchback Car), which was later exported in Europe
and elsewhere as the Alto

1992  SMC increases its stake in Maruti to 50 percent

1991  Reaches cumulative indigenisation of 65 percent for all vehicles

produced

1990  Maruti 1000(970cc, 3 box), India’s first contemporary sedan

1988  Installed capacity increased to 100,000 units

17
1987  Exported first lot of 500 cars to Hungary

1986  Maruti 800 ( New Model-796cc, hatchback Car)

 Produced 100,000 vehicles (cumulative production)

1985  Launch of Maruti Gypsy (970cc, 4WD off-road vehicle)

1984  Omni, a 796cc MUV

 Installed capacity reached 40,000 units

1983  Maruti 800, a 796 cc hatchback, India’s first affordable car.

 Production was started under JVA

1982  License and JV agreement signed between Maruti Udyog Ltd. and
SMC of Japan

m
c o
.
1.3.5 AWARDS a
m
a
2005
y n
d
Number one in JD Power SSI for the second consecutive year
u
t one in JD Power CSI for the sixth time in a row - the only car to
Number
S
win
it so many times
M800, WagonR and Swift topped their segments in the TNS Total
Customer Satisfaction Study
Leadership in the JD Power Initial Quality Study - Alto number one in
its
segment for the 2nd time in a row, Esteem number one in its segment for
the 3rd year in a row, Swift number one in the premium compact
segment
WagonR and Esteem top their segments in the JD Power APEAL study

18
 TNS ranks Maruti 4th in the Corporate Reputation Strength (CSR) study
(#1 in Auto sector)-Feb 05
Maruti bagged the "Manufacturer of the year" award from Autocar-
CNBC
( 2nd time in a row)-Feb 05
First Indian car manufacturer to reach 5 million vehicles sales
Business World ranks Maruti among top five most respected companies
in
India-Oct 04
Maruti ranked among top ten (Rank7) greenest companies in India by
Business Today - Sep '04

2004
m
c o
Maruti Suzuki was No. 1 in Customer atisfaction, No. 1 in Sales
. and Alto) and No. 1 in
Satisfaction No.1 in Product Quality (Esteem
Product Appeal (Esteem and Wagon R)a
m
a
No. 1 in Total Customer Satisfaction (Maruti 800, Zen and Alto)

y
Business World rankednus among the country's five most respected
companies d

tuWorld ranked us the country's most respected automobile

Business
S
company
Voted Manufacturer of the year by CNBC
Voted one of India's Greenest Companies by Business Today-AC
Nielson ORG-MARG

2003
Maruti 800, Maruti Zen and Maruti Esteem make it to the top 10
automotive brands in "Most Trusted Brand survey 2003"
J D Power ranked 3 models of Maruti on top: Wagonr, Zen and Esteem
Maruti 800 and Wagonr top in NFO Total Customer Satisfaction Study

19
 2003.
MUL tops in J D Power CSI (2001) for 4th time in a row

2001
MUL tops in J D Power CSI (2001) for 2nd time in a row: another
international first

2000
Maruti bags JD Power CSI - 1st rank; unique achievement by market
leader anywhere in the world

1999

m
MSM launched as model workshop in India; achieves highest CSI rating.

co
Central Board of Excise & Customs awards
Maruti with
.
"SammanPatra", for contribution to exchequer and being an ideal tax
assessee a
m
a
1998
y n
dExcellence Award
tu
CII's Business

1996
S
Maruti wins INSSAN award for "Excellence in Suggestion Scheme"
Awarded the Star Trading House status by Ministry of Commerce

1994-95
Engineering Exports Promotion Council's award for export performance

1994
Best Canteen award among Haryana Industries as part of employee

20
 welfare

1992-93
Engineering Exports Promotion Council's award for export performance.

m
c o
.
a
m
a
yn
d
tu
S

21
 1.4 ORGANISATION STRUCTURE

Maruti Udyog Limited has a flat organisation structure with a maximum of three levels. The
Organisation Structure of Maruti Udyog Limited is follows:-

MANAGING DIRECTOR

Manufacturing Financial General

Director Controller
mManager
c o
.
a
m
a
DGMs/AGMs DGMs/AGMs DGMs /AGMs

yn
Managers / AM d Managers /AM Managers / AM

tu
Engineers and
S
Sr. Executives Sr. Executives Sr. Executives

Jr. Executives Jr. Executives Jr. Executives

22
 1.4.2 THE PRODUCTION PROCESS AT MARUTI

STEEL COILS

BLANKING

PRESSING

WELDING m
c o
.
PAINTING a
m
a
yn
FROM VENDOR
FROM VENDOR ASSEMBLY VENDORS
VENDORS d
t u
SVEHICLE INSPECTIONFROM VENDORS
VENDORS

TEST RUN

SUPPLY & DISPATCH

1.4.3 Recruitment and Selection Process Of Maruti Suzuki

23
Meaning of recruitment

It is a process of searching the potential candidate and offers him or her the job. It is positive
in nature in the Indian context. Process of identifying and hiring best qualified candidate for a
job vacancy in a most timely and cost effective manner.

Meaning of Selection

It is the process of searching the potential candidate. It is negative in nature in the Indian
context but positive in U.S context.

Steps involved in the Selection Process

m
c o
may lead to rejection of the application of the applicants..
Selection process consists a series of steps and at each stage facts may come into light that

a It is a series of successive hurdles

m
or barriers which an applicant must have to cross.

a
y n
A) Preliminary Interviewd (Screening Applications) :- Initial screening is done to weed
tu or unqualified candidate at the outset. It is essentially a sorting
out totally undesirable
S
process in which prospective candidate are given necessary information about the
nature of the job and the organisation at the same time, the necessary information is
also elicited from the candidate about their education, skills, experience, salary
expected and the like . It helps to determine whether it is worthwhile for a candidate
to fill up the application form.

B) Application Form :- Application form is a traditional and widely used device for
collecting information about the candidate. It should provide all the information
relevant to selection, where refeErence for caste, religion, birth place, may be avoided
as it may be regarded an evidence of description.

24
C) Selection Test :- Psychological test are being increasingly used in employee selection
where a test may evolve some aspects of an individual’s attitude , behaviour and
performance. Tests are useful when the number of applicants is large as at the best it
reveals that the candidate who scores above the predetermined cutoff points are likely
to be more successful than those scoring below the cut off points.

D) Employee Interview:- Interview is an essential element of selection and no selection

procedure is complete without one or more personal interview, where the information
collected through application letter or application forms and test can be crossed
checked in the interview.

E) Medical Examination :- Applicants who have crossed the above stage are sent for
the physical medical examination either to the company’s physician or to a medical
officer approved for the purpose . Such examination serves the following purpose :-

1) It determines whether the candidate is physically fit to perform the job where
those who are physically unfit are rejected. m
c o
2) It prevents the employement of people suffering from contagious diseases.
.
3) It identifies candidate who are are otherwise suitable but requires specific job due
to physical handicaps and allergies. a
m
a
yn
F) Reference Checks :- The applicants are asked to mention in his application form, the
d
u
names and address of two or more persons who knows him very well. These may be
t employer , heads of educational institution or public figures. These
peopleS
their previous
are requested to give their opinion about the candidate without incurring any
liabilities.

G) Final Approval :-In most of the Organisations, selection process is carried out by the
Human resource department, where the decision of the departments are
recommendatory. The candidate shortlisted by the department are finally approved by
the executive of the concerned department or the unit.

H) Employment :- Employment is offered in the form of an appointment letter

mentioning the post, the rank, the salary, grade, the date by which the candidate
should join and other terms and condition in briefs.

25
I) Induction :-The process of receiving employee when they begin work introducing
thm to the company and to their colleagues and informing them of the activities,
customes and traditions of the company is called “ induction”.

J) Follow ups :- All selection should be validated by follow ups, it is a stage where
employee is asked how he or she feels about progress to the date and the worker’s
immediate supervisor is asked for comments which is compared with the notes taken
at the time of selection.

m
c o
.
a
m
a
yn
d
tu
S

26
 1.4.4 Training and Devlopment Programs of Maruti Suzuki

TRAINING & DEVELOPMENT

 Annual Training Plan - All Levels
 Training customised to meet Organisational Objectives

 Topics selected based on Vision, Values & Departmental Feedback of Company-

wide Managers
 Competency Mapping to identify Individual Training Needs

 Technical Training on latest Technologies abroad at SMC, Japan

 STRONG FOCUS ON TRAINING INITIATIVES
- Build a Learning Organisation
- Continuous Value Additions to Professional Skills
- Customised Training
m
- Training to the personnel of Business Partners
c o
.
Overseas training
a
m
Training held in co-ordination with SMC, Japan and AOTS (Assoc. for Overseas Tech.

a
Scholarship)(covered 1600 employees under the various schemes)
6 months SMC Training forn

y Technicians - OJT in SMC, Japan (2 batches/yr of 50
each)
d

t u
9 months Javada Training for Press, Tool & Die Specialists - Design & Maintenance

 AOTSS Managerial Training (4-10weeks) for Manager & above - Managerial Best
Practices
 AOTS Technical Training (3.5 to 6 months) for Supervisors & above - Technological
Knowhow
 R & D Training (2 yrs.) - Research on new Technologies

27
 1.4.5 APPRAISAL & REWARD

Appraisal
 New Appraisal System based on KRAs & Targets
 Review of Targets at regular Intervals

 People Development an important KRA

Reward
 Promotions based on Performance

 Productivity & Profit-linked Incentive Schemes

 Training including Long-term SMC Japan Trg.

 Highest paid workforce in the Industry, if not the Country

m
LEADERSHIP
c o
.

a
Vision, Value & Team Building Workshops for Top Management

 m
CFT (Cross Functional Teams) of Managers for Major Thrust Areas
a
yn
 Managers sent to Joint Ventures to upgrade their practices to MUL standards

d
t u
S

28
 1.4.6 INTERNATIONAL BUSINESS

In August, 2003 Maruti crossed a milestone of exporting 300,000 vehicles since its first
export in 1986. Europe is the largest destination of Maruti’s exports and coincidentally after
the first commercial shipment of 480 units to Hungary in 1987, the 300,00 mark was crossed
by the shipment of 571 units to the same country. The top ten destinations of the cumulative
exports have been Netherlands, Italy, Germany, Chile, U.K., Hungary, Nepal, Greece, France
and Poland in that order.

The Alto, which meets the Euro-3 norms, has been very popular in Europe where a landmark
200,000 vehicle were exported till March 2003. Even in the highly developed and
competitive markets of Netherlands, UK, Germany, France and Italy Maruti vehicles have

m
made a mark. Though the main market for the Maruti vehicles is Europe, where it is selling

c o
over 70% of its exported quantity, it is exporting in over 70 countries.
.
a
Maruti has entered some unconventional markets like Angola, Benin, Djibouti, Ethiopia,
m
a
Morocco, Uganda, Chile, Costa Rica and El Salvador. The Middle-East region has also

yn
opened up and is showing good potential for growth. Some markets in this region where

d
Maruti is, are Saudi Arabia, Kuwait, Bahrain, Qatar and UAE.

The markets outside u

t of Europe that have large quantities, in the current year, are Algeria,
Saudi Arabia,S Srilanka and Bangladesh. Maruti exported more than 51,000 vehicles in 2008-
09 which was 59% higher than last year. In the financial year 2008-09 Maruti exports
contributed to more than 10% of total Maruti sales.

29
 Continent wise export of Maruti
Sales
Udyog Limited Since inception

Asia
Africa
America
Europe
Oceania

Graph 1.1
m
c o
.
a
Graph showing the Continent wise export of Maruti Udyog Limited Since Inception.

m
a
Description :-

Asia
y n
12%

Africa d7%
tu
America 9%
S
Europe 70%

Oceania 2%

Refrence :- Official website of Maruti Suzuki

(www.marutisuzuki.com)

30
 1.5 Financial Structure of Maruti Suzuki

1.5.1 Capital structure

The capital structure of Maruti Udyog limited are as follows :-

From To Class Of Authorized Issued Paid Up Paid Up Paid Up

Year Year Share Capital Capital Shares (Nos) Face Value Capital
Equity
2009 2010 Share 372.00 144.46 288910060 5 144.46
Equity
2008 2009 Share 372.00 144.46 288910060 5 144.46
Equity
2007 2008 Share 372.00 144.46 288910060 5 144.46
Equity
m
co
2006 2007 Share 372.00 144.46 288910060 5 144.46
Equity
.
2005 2006 Share 155.00
a
144.46 288910060 5 144.46
Equity
m144.46
2004 2005 Share
a
155.00 288910060 5 144.46
Equity
yn155.00
2003 2004 Share
d 144.46 288910060 5 144.46

u
tShare
Equity
2002
SEquity
2003 155.00 144.46 288910060 5 144.46

2001 2002 Share 135.00 132.29 13229162 100 132.29

Equity
2000 2001 Share 135.00 132.29 13229162 100 132.29
Equity
1999 2000 Share 135.00 132.29 13229162 100 132.29
Equity
1993 1999 Share 135.00 132.29 13229162 100 132.29

Table 1.1 Showing the capital Structure of Maruti Suzuki From 2006 to 2010

Refrence :- Official website of Maruti Suzuki ( www.marutisuzuki.com)

31
 1.5.2 BALANCE SHEET OF MARUTI UDYOG LIMITED

For the financial year 2006-10

Balance sheet
Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06
Sources of funds (in lakhs)
Owner's fund
Equity share capital 144.50 144.50 144.50 144.50 144.50
Share application money - - - - -
Preference share capital - - - - -
Reserves & surplus 11,690.60 9,200.40 8,270.90 6,709.40 5,308.10

m
o
Loan funds ( in lakhs)
Secured loans 26.50
. c0.10 0.10 63.50 71.70
Unsecured loans a
794.90 698.80 900.10 567.30 -

m
a
Total 12,656.50 10,043.80 9,315.60 7,484.70 5,524.30

yn
Uses of funds (in lakhs)
Fixed assets
d
Gross block
tu 10,406.70 8,720.60 7,285.30 6,146.80 4,954.60

S
Less : revaluation reserve - - - - -
Less : accumulated depreciation 5,382.00 4,649.80 3,988.80 3,487.10 3,259.40
Net block 5,024.70 4,070.80 3,296.50 2,659.70 1,695.20
Capital work-in-progress 387.60 861.30 736.30 238.90 92.00
Investments 7,176.60 3,173.30 5,180.70 3,409.20 2,051.20
Net current assets (in lakhs)
Current assets, loans & advances 3,856.00 5,570.00 3,190.50 3,956.00 3,870.70
Less : current liabilities & provisions 3,788.40 3,631.60 3,088.40 2,779.10 2,184.80
Total net current assets 67.60 1,938.40 102.10 1,176.90 1,685.90
Miscellaneous expenses not written - - - - -

32
 Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06
Total 12,656.50 10,043.80 9,315.60 7,484.70 5,524.30
Notes:
Book value of unquoted investments 11.10 3,162.20 5,169.60 3,398.10 2,040.10
Market value of quoted investments 215.10 108.70 219.50 270.40 289.80
Contingent liabilities 3,657.20 1,901.70 2,734.20 2,094.60 1,289.70
Number of equity sharesoutstanding (Lacs) 2889.10 2889.10 2889.10 2889.10 2889.10

Table :- 1.2 showing Balance Sheet of Maruti Suzuki for the year 2006 to 2010

Refrence :- Official wesite of Maruti Suzuki (www.marutisuzuki.com)

m
c o
.
a
m
a
yn
d
tu
S

33
 1.5.3 PROFIT AND LOSS ACCOUNT
The Profit and Loss account of Maruti Suzuki for the year 2006 to 2010 is as follows :-

Profit loss account

Mar 10 Mar 09 Mar 08 Mar 07 Mar 06

Income
Operating income 29,317.70 20,729.40 18,066.80 14,806.40 12,197.90

Expenses
Material consumed 22,435.40 16,339.80 13,622.00 11,063.70 9,223.70
Manufacturing expenses 1,278.20 909.70 670.60 489.80 359.60
Personnel expenses 545.60 471.10 356.20 288.40 228.70
Selling expenses 916.00 738.20 560.20 499.90 356.00
Adminstrative expenses 404.60 389.20 326.30 274.50 170.60
Expenses capitalised - -22.30 -19.80 -14.30 -6.70
Cost of sales 25,579.80 18,825.70 15,515.50 12,602.00 10,331.90
Operating profit 3,737.90 1,903.70 2,551.30 2,204.40 1,866.00
Other recurring income 617.70 547.60 456.10 361.10 268.10
Adjusted PBDIT 4,355.60 2,451.30 3,007.40 m
2,565.50 2,134.10
Financial expenses 33.50 51.00
c
59.60o 37.60 20.40
Depreciation 825.00 706.50 .
568.20 271.40 285.40
Other write offs - - a - - -
Adjusted PBT 3,497.10
m
1,693.80 2,379.60 2,256.50 1,828.30
Tax charges
a
1,094.90 457.10 763.30 705.30 560.90

yn
Adjusted PAT 2,402.20 1,236.70 1,616.30 1,551.20 1,267.40
Non recurring items 44.30 -55.90 37.90 -23.00 -83.70
Other non cash adjustmentsd 51.10 37.90 76.60 33.40 5.40
Reported net profit
tu 2,497.60 1,218.70 1,730.80 1,561.60 1,189.10

S
Earnigs before appropriation
Equity dividend
10,501.80
173.30
8,244.40
101.10
7,368.10
144.50
5,947.10
130.00
4,631.20
101.10
Preference dividend - - - - -
Dividend tax 28.80 17.20 24.80 21.90 14.20
Retained earnings 10,299.70 8,126.10 7,198.80 5,795.20 4,515.90

Table :- 1.3 Showing Profit and loss account of Maruti Suzuki

Refrence :- Official website of Maruti Suzuki (www.marutisuzuki.com)

34
 Chapter :- 2

Research Methodology

m
c o
.
a
m
a
yn
d
tu
S

2 . 1 M e a n i n g o f R e s e a rch

Redman and Mory define research as a “systemized effort to gain new knowledge.” Some
people consider research as a movement, a movement from the known to the unknown.

35
Research is an academic activity and as such the term should be used in a technical sense.
According to Clifford Woody, research comprises defining and redefining problems,
formulating hypothesis or suggested solutions; collecting, organizing and evaluating data;
making deductions and reaching conclusions; and at last carefully testing the conclusions to
determine whether they fit the formulating hypothesis.

2 . 2 O b j e c t i v e s o f R e s e a rch

The purpose of research is to discover answers to questions through the application of

scientific procedures. The main aim of research is to find out the truth which is hidden and
which has not been discovered as yet. Though each research study has it’s own specific
purpose.

The main objectives of this research was to :-

m
o
1. To study about Maruti Suzuki i.e. when it was established , why it was established and
c
. adoptedstructure
by whom it was established, financial structure, Organisational etc.
2. a
To study about the marketing mix and the strategies by Maruti Suzuki in

m
order to cater the needs of the people and also to face tough competition in the market
since after the Globalisation of thea

y n
tries to undermine the monopoly
Indian economy many competitors have grown and
created by Maruti Suzuki.
3. d
To study the strategies adopted by Maruti Suzuki due to which they are able to
dominate the u Automobile Sector since last three decades.
tIndian
S

2 . 3 S i gn i f i c a n c e o f R e s e a rch

“All process is born of inquiry. Doubt is often better than overconfidence, for it leads to
inquiry and inquiry leads to invention.” Is a famous Hudson Maxim in context of which the

36
significance of research can well be understood. Increased amounts of research make
progress possible.

Research inculcates scientific and inductive thinking and it promotes the development of
logical habits of thinking and organization.

The role of research in several fields of applied economics, whether related to business or to
the economy as a whole, has greatly increased in modern times. The increasing complex
nature of business and government has focused attention on the use of research in solving
operational problems. Research, as an aid to economic policy, has gained added importance,
both for government and business

2 . 4 R e s e a rch M e t h od o l o g y

Research methodology is a way to systematically solve the research problem. It may be

understood as a science of studying how research is done scientifically. In it we study the
m
o
various steps that are generally adopted by a researcher in studying his research problem

c
.
along with the logic behind them. It is necessary for the researcher to know not only the

a
research methods or techniques but also the methodology.

m
a
2 . 5 D a t a C o l l e c t i o n So u rce

yn
d
Information for this project was collected primarly through secondary sources.The data

tu
collected from the secondary sources are called as Secondary data.

S
Secondary Data:Any data, which have been gathered earlier for some other purpose, are
secondary data in the hands of researcher. Those data collected first hand, either by the
researcher or by someone else, especially for the purpose of the study is known as primary
data.

The data collected for this project has been taken from the secondary source.

Sources of secondary data are :-

 Internet
 Magazines
 Publications

37
  Newspapers
 Brouchers

2 . 6 L I M I TATI O N S

 The biggest limitation of this project was time , due to lack of time the necessary data
were collected from the secondary sources..

 Due to tough competition in the market the companies are not willing to disclose their
strategies adopted to face the competition so sufficient information were not collected
and the information collected are not 100% accurate.

m
c o
.
a
m
a
yn
d
tu
S

Chapter: - 3
Marketing Strategies

38
 3.1 Meaning of Marketing
3.2 Brand
3.3 Products
3.4 Price
3.5 Place
3.6 Promotion
3.7 Market Segmentation , Targeting and Positioning
3.8Market Share
m
o
3.9Other strategies adopted by Maruti
c
3.10Customer satisfaction .
a
m
a
yn
d
t u
S

39
 3.1 Marketing
It is the process of directing of directing the flow of goods and services from the producers or
the manufacturers to the customers or consumers. It is accountable for planning, organising,
directing, coordinating, motivating, and controlling the market activities.

According to American Marketing Association, “Marketing is the performance of the

business activity that directs the flow of goods and services through producers to consumers
to users”.

According to Cundiff and Still, “Marketing is the business process by which the products are
matched with the market and through transfer of ownership are affected”. Matching the
products with the market means determining the needs and requirements of potential
customer and supplying them the product which meets their requirements.

According to Philip Kotler, “ Marketing is the social and managerial process by which

m
individuals and groups obtain what they need and want through creating, offering, and
exchanging product of value with others”.
c o
.
According to a
William J. Stanton, “Marketing is a total system of interacting business
m
activities designed to plan, price, promote, and distribute, wants satisfying products to target
a
n
markets to achieve Organisational objectives”.

y
dor the producers to the consumers that can satisfy the needs and
In general we can say that Marketing includes all those activities carried on to transfer those
u
tthe consumers.
goods from the manufactures

S
the requirements of

3.2 BRAND
Around 1970, Sanjay Gandhi the political advisor and younger son to then Prime minister of
India, Indira Gandhi, envisioned the manufacture of an Indigenous, cost effective, low
maintenance and compact car for the Indian middle class. Indira Gandhi’s cabinet
unanimously passed a resolution for the development and production of “people’s car”.
Sanjay Gandhi’s company was christened Maruti Limited. The name was chosen as Maruti
after a Hindu deity named “Maruti”.

40
Unfortunately Sanjay Gandhi died without completing his project. After the death of Sanjay
Gandhi, Indira Gandhi decided that the project should not be allowed to die. Maruti entered
into collaboration with the Suzuki motors of Japan. The collaboration heralded a resolution in
the Indian car industry by producing Maruti 800. The car went on sale on December 14,
1983.

m
c o
.
a
m
a
yn
d
tu 3.3 PRODUCT
S
Product mix involves planning, developing, and producing the right types of products and
services to be marketed by the firm. It deals with the product range, durability and other
qualities. Apart from producing right products, emphasis should also be laid on their
branding, packaging, colour and other features. In short product planning and development
involves decision about : i) quality of the product, ii) size of the product, iii) design of the
product, iv) volume of the production, v) packaging, vi) warranties and after sale service, vii)
product testing, viii) product range, etc.

41
Products Offered by Maruti Suzuki

Maruti Suzuki comes with a large number of products i.e cars ranging from economy cars to
luxury cars to super SUV’s. The economy cars includes :-

A) Maruti 800
B) Alto
C) Zen Estilo
D) Wagon R
E) A - Star
F) Ritz
G) Swift
H) Swift Dzire

The Utility Cars of Maruti Suzuki includes :-

A) Maruti Omni (Van)

B) Maruti Eeco
m
C)
D)
Maruti Gypsy
Grand Vitara
c o
.
a
m
a
The Luxury Cars of Maruti Suzuki includes :-

A) Maruti Esteem yn
B) Maruti SX4 d
tu
S
PRODUCTYEAR IN WHICH LAUNCHED

Maruti Suzuki 800 1983

Maruti Suzuki Omni 1984

Maruti Suzuki Gypsy 1985

Maruti Suzuki Alto 2000

Maruti Suzuki Wagon R 2002

Maruti Suzuki Swift 2005

42
Maruti Suzuki SX4 2007

Maruti Suzuki A Star 2008

Maruti Suzuki Swift Dzire 2008

Maruti Suzuki Zen Estilo 2009

Maruti Suzuki Eeco 2010

Maruti 800
Maruti 800 is the most popular entry segment car in India. With the introduction of Maruti
800 in 1980’s Maruti Udyog Limited broke the hegemony of Ambassador and Fiat in the
Indian Car market.
m
c o
.
a
Technical Specifications:-
m
a
yn
Dimensions

Length
d 3335 mm

tu
S
Width 1440 mm

Height 1405 mm

Unladen Weight 655 Kgs (AC Euro I) , 640 Kgs (AC Euro I) , 665
Kgs ( AC Euro II), 650 Kgs (AC Euro II)

Ground Clearance 170 m

Wheel Base 2175 mm

Power

Engine Type 4 Stroke, Water cooled SOHC

Piston Displacement 796 cc

43
Max. Power 39.5 bhp @ 5500 rpm

Max. Torque 5.7 N m @ 2500 rpm

Fuel System Carburettor

Transmission and Manual, 4 Forward (Synchromesh), 1

gear box reverse

Suspension

Front McPherson strut and coil spring

Rear Leaf Spring

Steering

m
Type Manual Rack and Pinion

Turning radius 4.4 mts

c o
.
Brakes a
m
Type
a
Dual Circuit

Front yn
Disc
d
Rear
tu Drum

Tyres S 5.65 – 12 – 4 PR

Capacities

Seating 4 Persons

Fuel Tank 30 Litres

Maruti Alto

44
Maruti Alto is one of the hottest selling compact cars in Indian market. Alto uses Maruti
800’s proven and highly fuel efficient , 3 pot motor with a four valve head and its electronic
tachometer results in unmatched fuel efficiency . It is the most fuel efficient car in A2
Segment.

TECHNICAL SPECIFICATIONS :-

Dimensions

Length 3495 mm

Width 1495 mm

Height 1460 mm

Wheel base 2360 mm

m
c o
Tread 1290 mm
.
Min. turning radius 4.6 m a
m
a
yn
Ground clearance 160 mm

Weight
d
Alto tu 725 kgs

Alto LX, LXi

S 740 Kgs

Gross vehicle weight 1165 Kgs

Engine

Swept volume 796 cc

Engine type FC Engine, 4 valve per cylinder MPFI

No. of cylinder 3

Engine control 32 bit computer

Max. Power 47 bhp @ 6200 rpm

45
Max. Torque 62 Nm @ 3000 rpm

Transmisson 5 Speed all synchromesh, Manual

Suspension System

Front McPherson strut with Torsion type coil anti roll bar

Rear Coil sprint with double action telescopic shock absorbers

Seating Capacity 4 persons

Tyres 145/80 R12

Maruti Omni ( Van) m

c o
.
a
m
Maruti Omni is popularly known as Maruti Van. Maruti Omni comes in three variants and
a
they are :- Omni 5- Seater , Omni 8- seater and Omni LPG. Maruti Omni is a perfect family

y n
car. It has enough space for our life style needs whether we are going on a picnic, weekend

dWe can pick our entire luggage without thinking twice. Omni
outing or for a game of golf.

tuand legroom to ensure a comfortable and enjoyable journey.

provides ample headroom
S
TECHNICAL SPECIFICATIONS :-

Dimensions

Length 3370 mm

Width 1410 mm

Height 1640 mm

Wheelbase 1840 mm

Ground clearance 165 mm

46
Min turning radius 4.1 m

Weight

Omni 785 Kgs

Omni E 800 Kgs

Engine

Type 4 Stroke cycle, water cooled

No. of cylinders 3

No. of cylinder valves 6

Piston displacement 796 cc

m
Max. Power 35.0 bhp @ 5000 rpm

Max. Torque 601 NM @ 3000 rpm

c o
.
Power Transmisson a
m
Type
a
Manual, 4 forward all synchromesh

Brakes yn
dBooster assisted disc
Front
tu
Rear S Drum

Fuel tank capacity 36 Litres

Maruti Eeco

EECO was introduced in India by Maruti Suzuki during 2010. This car is essentially an
updated Versa, this is an urgent refresh in lines with Maruti Suzuki not being able to come up

47
with a new minivan. EECO comes with 5 seater and 7 seater options. EECO is equipped with
advanced Engine Management System for optimizing fuel efficiency and performance. It is
branded by the manufacturer as a perfect car for every occasion-a business trip or a picnic
with the loved ones[1]. A new minivan from Maruti Suzuki is expected in 2011 to replace the
Eeco/Versa and (possibly) the ageing Omni.

Maruti EECO is available in following variants :-

5 seater, standard

5 seater, AC

7 seater, Standard

EECO is powered by Bharath Stage IV compliant engine.

m
c o
.
TECHNICAL SPECIFICATIONS :-
a
Fuel: Petrol m
a
Engine type:
yn
Aluminium

dMultipoint Injection
tu
Fuel distribution:

Power: S 73 bhp (54 kW; 74 PS) @ 6000 rpm

Displacement: 1196 cc

Layout: 4 cylinder in-line

Max. Torque: 101 N·m (74 ft·lbf) @ 3000 rpm

Valve train: 16 valves / 4 per cylinder

Transmission: Manual-5 speed

Suspension

Front Suspension: McPherson strut

48
 Rear Suspension: 3 Link Rigid

Brakes

Front Brakes : Ventilated disc

Rear Breakes : Drum

Tyres: 155 R-13 LT

Tyre type: Tubeless

m
c o
ZEN ESTILO
.
a
m
a
nother cars in its segment.
Maruti Zen is a clear leader in the premium compact car segment in India. It has several
yfrom
technology that makes it stand out
dwith 16 x 4 all aluminium hyper tech engines, with its power to
u
tbhp per tonnes , the highest in its class, the engine also offers optimum
Maruti Zen comes equipped

S
weight ratio of 78.4
fuel economy , excellent pick up and acceleration.

The 16- bit Micro processor in Zen delivers ideal combo of speed, power and fuel efficiency.
Its electronic power steering ensures effortless maneuverability, more control and a better
grip.

49
TECHNICAL SPECIFICATIONS :-

Capacities
Seating Persons 5
Fuel in litres 35
Engine in CC 993
Unladen weight in kgs 765
Laden weight in kgs 1190
Tyres 145 / 80 R 12
(Front &
rear)
PETROL Bharat Stage II
LX LXi VXi
All aluminium engine   m


c o
16 valve, 4 cylinder inline engine  
.
16 bit ECM  a
 
m
Multipoint fuel injection 
a 

yn
Maximum engine output in 60@ 6000
bhp/rpm
d
Maximum engine u
t torque in 8@4500
kgm/rpm S
Compression ratio 9.4:1

PETROL Bharat Stage III

LX LXi VXi
All aluminum engine   

16 valve, 4 cylinder inline engine   

32 bit ECM   

Multipoint fuel injection   

Maximum engine output in 60 @ 6200

bhp/rpm

50
Maximum engine torque in 8 @ 4500
kgm/rpm
Compression ratio 9.4:1

DIMENSIONS
Overall length 3535mm
Overall width 1495mm
Overall height 1405mm
Wheelbase 2335mm
Ground clearance 165m

m
c o
.
a
m
a
yn
d
tu
S

51
 WAGON R

Wagon R is a hugely successful car which comes in four variants- Maruti Wagon R LX,
Maruti Wagon R LXi, Maruti Wagon R VXi and Maruti Wagon R AX.Wagon R comes with
1064 cc MPFI low friction engine that delivers an awesome 64 bhp @6200 rpm for smoother
pick up and faster acceleration. Dual Distributor less Digital Ignition (DDLI) ensures an
instant hassle free start every time and a more efficient power distribution. Wagon R’s tall
body , high seats and wide opening doors make it easier to get in and out.

TECHNICAL SPECIFICATIONS :-

Dimension in MM

Length 3495

m
o
Width 1495

Height 1660 . c
a
Wheelbase 2360
m
a
Front track
y n
1295

Rear track d1290

tu
S
Min. ground clearance 165 m

Weight in Kg

Kerb weight 825(LX,LXi,VXi)

840 (AX)

Gross Weight 1225 (LX,LXi, VXi)

1240(AX)

Engine

Swept volume 1061 cc

52
Type FC Engine , 4 Valve per cylinder , MPFI

Fuel distribution Multipoint injection

Engine control 16 – Bit Electronic Control Module (ECM)

No. of cylinders 04

Max. Power 64 bhp @6200 rpm

Max. Torque 84 NM @ 3500 rpm

Power Steering

Type Electronic Power Steering (EPS)

Transmission Manual ()- 5 speed , All synchromesh

m
Suspension

Front
c o
McPherson strut with torsion type roll control device
.
Rear a
Coil spring, gas filled shock absorber with 3 link rigid axle
m
isolated trialing arms.
a
yn
d
tu
S

53
 A-STAR

Indian car market leader Maruti Suzuki has launched A-Star in the hatchback car segment in
which the company holds ruling position with 55% market share. Maruti has unveiled A Star
as a next generation model of its model Alto which is already selling greatly in the segment.
Scroll down to know more about the sporty and striking features of all new A Star Car.

TECHNICAL SPECIFICATIONS :-

Dimension in mm

Length 3500

Width 1600

Height 1490
m
c o
.
Wheelbase 2360

Front track 1295 a

m
Rear track 1290 a
yn
d
Min. Ground clearance 170

Min. Turning radiustu 4.5

S
Weight In Kgs

Kerb weight 870

Gross Vehicle weight

Capacity

Seating capacity 5 persons

Fuel tank capacity 35 litres

Engine

Swept volume 1061 cc

54
Type KB series

Fuel distribution Multipoint injection

Displacement 998 cc

No. of cylinders 03

Max. power 67 bhp @6200 rpm

Max. Torque 90 NM @ 3500 rpm

Steering Rack and pinion , Power assisted

Transmission Manual () – 5 Speed , All synchromesh

Suspension system

m
Front McPherson strut and coil spring

Rear
c o
Isolated trailing link and coil spring
.
a
m
a
yn
d
tu
S

55
 SWIFT

Maruti Swift brings a feeling of freshness to the compact car segment . It’s appealing looks ,
spacious interiors, and a whole a lot of user friendly features at once catch our attention. It
comes in three variants :-Maruti Suzuki Swift LXi, Swift VXi, Swift ZXi.

TECHNICAL SPECIFICATIONS :-

Body Type

Body Type :- Hatch back

No. of doors :- 5

Seating Capacity :- 5

m
o
Engine

Capacity :- 1298 cc . c
a
No. of cylinders :- 4
m
a
Bore X stroke :-
n
74.0 X 75.5
y
Compression Ratio :- d9.0 :1
tu
Max. Power :-
S 87 bhp @ 6000 rpm

Max. Torque:- 113 Nm @ 4500 rpm

Fuel distribution :- Multipoint injection

Transmission

Type :- 5 Speed Manualwith synchromeshin all and 1 reverse

Gear ratios :- 1st 3.545

2nd 1.904

3rd 1.208

56
 4th 0.966

5th 0.757

Reverse 3.0272

Power Steering

Type :- Electronic power steering (EPS)

Suspension System

Front: McPherson Strut with torsion type roll control device

Rear :- coil spring, gas filled shock absorber with 3 link rigid axle
isolated trailing arms

m
c o
.
a
m
a
yn
d
tu
S

57
 MARUTI GYPSY

It is manufactured in India by Maruti Suzuki. It was introduced in the Indian market in 1985
with the 970 cc F10A Suzuki engine and was an instant hit in the civilian market as well as
with law enforcement. It was codenamed MG410 that stood for Maruti Gypsy 4 cylinder 1.0
litre engine. Initially, it was only available as a soft-top; but a bolt on hardtop was later
introduced to the public after the aftermarket hardtops became extremely popular.

In July 1993, Maruti introduced the "widetrack Gypsy" codenamed MG410W replacing the
MG410. Both front and rear track of the wheels are increased by 90mm (from 1,210 mm
(47.6 in) to 1,300 mm (51.2 in) for front wheels and from 1,220 mm (48.0 in) to 1,310 mm
(51.6 in) for rear wheels) and these Gypsys are instantly recognizable by the pronounced
painted fender flares.

TECHNICAL SPECIFICATIONS :- m
c o
Dimensions
.
a
 Length 4,010 mm (157.9 in)
m
a

yn
Width 1,540 mm (60.6 in)

d

tu
Height 1875/1845 mm*


S
Wheelbase 2,375 mm (93.5 in)

 Front Track 1,300 mm (51.2 in)

 Rear Track 1,310 mm (51.6 in)

 Kerb Weight 985 kg/1, 040 kg*

 Gross Vehicle Weight 1585 kg/1,620 kg*

Engine

58
  Type G13BB MPFI 16 Valve Gasoline

 Cylinders 4

 Displacement 1298 cc

 Maximum Power 80 bhp (60 kW; 81 PS) @6000 rpm

 Maximum Torque 103 N·m (76 lb·ft) @ 4500 rpm

 Transmission Type Five forward (all Synchromesh), One reverse

 Transfer gearbox Two-speed

 Type constant mesh

m
 Transfer gear ratio High : 1.409; Low : 2.268
c o
.
 a
Suspension Front and Rear Rear Leaf spring with Double action damper
m
a
yn
Brakes With Booster

 Front Disc
d
tu

S
Rear Drum

 Tyres F78-15-4 PR 205/70R15

Capacities

 Fuel tank 40 L (11 US gal; 9 imp gal)

 Engine oil 4 L (1.1 US gal; 0.9 imp gal)

59
 m
c o
.
a
m
a
yn
d
tu
S

60
 MARUTI SUZUKI SX4

Designed by GiorgettoGiugiaro'sItaldesign studio, the SX4 (an abbreviation of "Sports X-

over 4 all seasons ") replaces the Aerio (some markets called Liana). The "SX 4" designation
was used by American Motors (AMC) for a sporty liftback model in its all-wheel drive AMC
Eagle passenger cars.

Technical Specifications :-

Dimensions & Weight

Length (mm) 4490

m
Width (mm) 1735

Height (mm) 1560

c o
.
Wheelbase (mm) 2500 a
m
Kerb Weight (kgs) 1170
a
Seating Capacity 05 yn
d
Engine
tu
S
Model Designation 1.6 L 16 V

No. Of Cylinders 04 Inline

Configuration DOHC

Displacement (cc) 1586

Transmission 5 Manual

Top Speed (kmph) 175

Suspension

61
Front Independent suspension with gas-filled McPherson
strut & anti-roll bar

Rear Semi-independent torsion beam with gas filled shock absorbers

Brakes

Type Disc

Front / Rear Brakes Ventilated Discs/ Drums

Tyres

Type 195/65 R15

Wheels 15" Steel

Fuel Tank 50 Litres

m
Performance
c o
.
Max. Horsepower (ps/rpm) 103 PS @ 5500 rpm
a
Max. Torque (kg m/rpm) m
145 Nm @ 4200 rpm
a
yn
d
tu
S

62
 GRAND VITARA

Grand Vitara is meant for the people who want to live life grand size. With 127 KW @ 6000
rpm on call, the 2.7 litres DOHC V6 engine can empower the Grand Vitara to climb up steep
terrains; Zip effortlessly down the highway and with plenty of low end torque, the high
performance vehicle can take on snowy ramps and muddy tracks with equal ease. Its four
wheel drive gives Vitara the power to go places.

Technical Specifications :-

Dimension in MM

Length 4760

m
Width 1780
c o
.
Height 1740
a
Wheelbase 2800 m
a
Front track 1500
yn
d1500
tu
Rear track

S
Min. Ground clearance 183 m

Weight in Kgs

Kerb Weight 1700

Gross Weight 2300

Capacity

Seating 7 persons

Fuel tank 66 litres

Engine

63
Type H27A V6 type

No. Of cylinders 06

No. of valves 24

Piston displacement 2736 cc

Bore X Stroke 88 X 75

Compression ratio 9.5 : 1

Max. Output 166 bhp @ 6000 rpm

Max. Torque 236 NM @ 4500 rpm

Fuel distribution Multipoint injection

m
Max. Speed 183 Km / Hr

Steering Rack and Pinion

c o
.
Brakes a
m
Front Disc
a
Rear yn
Drum
d
Suspension
tu
Front S McPherson strut

Rear 5 – Link rigid with coil spring

Tyres 235 / 60 R 16 Tubeless tyres

64
 3.4 PRICES OF MARUTI PRODUCTS

Car market leader Maruti Udyog Limited has announced a marginal increase in price of
certain models. .The price increase is due to rise in input costs and freight costs, which
increased following the rise in oil prices. In this phase, the company has decided to pass on
only a part of the increase in costs to the customers. There is no change in the prices of
Swift, Zen, and WagonR (Petrol).

Ex-Showroom Prices in Delhi (in Rs) :-

Models Prices (Rs.)

Maruti Suzuki 800 1,94,620

Maruti Suzuki Omni 2,09,757

m
Maruti Suzuki Alto 2,28,982
c o
.
Maruti Suzuki Eeco a
2,84,488

m3,31,412
Maruti Suzuki Zen Estilo a
yn
Maruti Suzuki Wagon R
d 3,39,058

tu
Maruti Suzuki A Star 3,63,220
S
Maruti Suzuki Ritz 4,09,822

Maruti Suzuki Swift 4,27,635

Maruti Suzuki Swift Dzire 4,96,671

Maruti Suzuki Gypsy 5,28,818

Maruti Suzuki SX4 7,08,062

Maruti Suzuki Grand Vitara 17,19,226

65
In Price case

 They provide a list of different types of models of cars

 They also gives a discount in the range of 20 % to 25 %.

3.5 PLACE

The Place of Maruti cars is in the whole world. Maruti Udyog Limited decides its distribution
channel for selling cars like some time or level or sometimes two levels marketing channels.
They decide area in which they deal customers. They show the permanent location for selling
the cars. They provides many useful inventory they define the transport facility of the
company to the market and market to the customers. Many showrooms of MUL are there in
our India.
m
c o
3.6 PROMOTION
.
a
m
a
Main Promotion of Maruti Suzuki cars is done by the advertising. The advertising is mainly

ybynthe brand Ambassador such as film stars, celebrities,

done in the form of different Television channels , different newspapers, holdings etc. Now a

d
days the main promotion is done

u
t customer relation and they do direct marketing.
sportsmen etc. and in this case they decide their actual and equired sales force for selling their

S
cars. They also maintain

66
 3.7 SEGMENTATION

3.7.1 Meaning of segmentation :-

Market segmentation is the process of dividing a potential market into distinct sub- markets
of consumers with common needs and characterstics. Market segmentation is the starting
steps in applying the marketing strategies. Once the segmentation takes place , the marketers
targets the identified customer groups with proper marketing- mix so as to position the
products/ brands/ company as perceived by the target customer.

3.7.2 Objectives of Segmentation :-

The main objective of segmentation is to provide those products to the customer they can :-
m
1. Satisfy their basic needs
c o
2. Solve their problem
.
3. Make themselves feel good
a
m
a
yn
3.7.3 Segmentation of Market by Maruti Suzuki:-

d
u
Maruti Udyog Limited was set up to manufacture low price cars that can be afforded by the
t that means after the globalisation ( i.e opening of Indian economy for
S
Indians but after 1990
rest of the world) many competitors started in enter the Indian market .

Further with the develoment of the Indian economy the income of the peoples of India also
increased and people started to afford luxury cars also. They have also catogorised their cars
into different segments depending upon the choices of different peoples depending upon their
income and other behaviours and these segments are :-

 Mini hatch back segment or A1 segment :-

Maruti 800

 Compact hatchback segment or A2 segment :-

Maruti Alto
Zen Estilo
Wagon R

67
 A – Star
Swift

 Mid size segment or A3 segment :-

Maruti Esteem
SX4

 Utility Vehicle or MUV :-

Maruti Eeco
Maruti Gypsy
Grand Vitara

3.8 Market Positioning

m
3.8.1 Meaning :-
c o
.
Market positioning means placing the potential product in the market that can satisfy the
needs and requirements of the target customers. a
m
3.8.2 Positioning of products by Maruti :-a
yn
Management of Maruti’s always tries that their products should be available at the authorised
d
u
outlets in every city of India. In case of any new product they tries to make it available at
t cities and by getting the response of customers they increases
S
every outlets in metropolitian
the production and extends the availability in urban , semi urban and to the rular areas also.

68
3.9 Other Strategies adopted by Maruti Suzuki

3.9.1 After Sale service :-

As on date there are 342 Maruti dealer workshops and 1,545 Maruti Authorised Service
Stations, or MASSs, covering 898 cities in India. In addition, 24-hour mobile service is
offered in 38 cities under the brand “Maruti On-road Service”. They intend to extend this
service to an additional 25 cities over the next three years. As a benchmark for dealers with
respect to service quality and infrastructure facilities, they have launched service stations
under the brand “Maruti Service Masters, or MSMs, in three locations in India. They have
service stations on 30 highways in India under the brand “Express Service Stations”.

To promote sales of their spare parts and the availability of high quality, reliable spare parts

m
for their products, they sell spares under the brand name “Maruti Genuine Parts”, or MGP.

o
These are distributed through their dealer network and through authorised sellers of their
c
spare parts, to whom they refer as stockists.
.
a
Many of their MASSs are at remote locations where they do not have dealers. In order to
m
they are exploring opportunities ton
a
increase the penetration, in terms of sales volumes, of their products in these remote areas,
integrate some of the MASSs into the sales process in
order to increase sales of theiry
accessories, insuranceu
d cars and related products and services such as spares and

t and financing.
3.9.2 Genuine SAccessories
They have also entered the business of marketing car accessories under the brand name
“Maruti Genuine Accessories”, or MGA, through their dealership network. They seek to
provide customers with the opportunity to customize their vehicles with accessories such as
music systems, security systems, car-care products and utility products.

3.9.3 Warranty and Extended Warranty Program

They offer a two-year warranty on all their vehicles at the time of sale. Their dealers are
required to address any claim made by a customer, in accordance with practices and
procedures prescribed by them, under the provisions of the warranty in force at that time. The
dealers subsequently claim the warranty cost from them. They analyse warranty claims from

69
dealers and either claim the cost from vendors, in the case of defective components, or bear
the cost ourselves, in the case of manufacturing defects.

They offer an extended paid-warranty program marketed under the brand, “Forever Yours”
for the third and fourth year after purchase. They have entered into arrangements with
insurance companies to cover the costs of warranties offered under this program. The
extended warranty program is intended to maintain the dealer’s contact with the customer and
increase the revenue generated from sale of spares, accessories and automobile-related
services. An effort is made during the period of the extended warranty to encourage the
customer to exchange his existing Maruti car for a new Maruti car, or upgrade to a new
Maruti car.

3.9.4 New business Initiatives

As the largest manufacturer and leader in the small car segment, they continually seek new

m
ways to utilize their vast car parc, range of products and extensive sales and service network

o
to expand the size of the passenger car market in India. They have recently launched new
c
.
initiatives to develop the market for automobile insurance, automobile finance, leasing and
a
fleet management, and pre-owned cars. They aim to provide customers with a “one-stop
m
a
shop” for automobiles and automobile-related products and services, and build on their wide

ynat different stages of ownership, which they refer to as

customer base and extensive sales and service network to make available to their customers a

d
wide range of Maruti-branded services

u
the “360 degree customer experience”.
t
S
AtithiDevoBhava: One-stop shop

Inspired by the spirit of India. AtithiDevoBhava, in Sanskirit, means “a guest is like God”. It
captures the Indian tradition of honouring guests. It's also the inspiration for the welcome
you’ll receive at a Maruti Suzuki dealership, and the caring relationship they share with those
who drive their cars. At Maruti Suzuki, you will find all your car related needs met under one
roof. Whether it is easy finance, insurance, fleet management. services, exchange Maruti
Suzuki is set to provide a single window solution for all your car related needs.
That’s why they have Maruti True Value, the best place to buy and sell reliable used cars .
Maruti finance an agglomeration of the biggest finance companies in India brought together
by Maruti Suzukitoensurethat the dream car is within everyone’s reach. Similarly Maruti
Finance brings together some of the biggest names in the car insurance industryto provide
insurance solution to every type of the car consumer.

70
3.9.5 Maruti Insurance :-
It was launched in 2002. Maruti Suzuki provides vehicles insurance to its customers with the
help of National Insurance Company , Bajaj Allianz , New India Assurance and Royal
Sundaram. The service was set up by the company with the inception of two subsidiaries
Maruti Insurance Distributors Pvt. Ltd. and Maruti Insurance Brokers Pvt. Ltd. The services
started as a benefit or value addition to the customers and was able to ramp up easily. By
December 2005 they were to sell more than two Million Insurance policies since its
inception.

3.9.6 Maruti Finance :-

To promote the bottom line growth Maruti Suzuki launched Maruti Finance in January 2002.
m
Prior to the start of this service Maruti Suzuki had started two joint ventures Citicorp Maruti

c o
and Maruti Country wide with City Group and GE countrywide respectively to assist its
clients in securing loans. Maruti Suzuki tied up with ABN.
a Amro Bank , HDFC Bank , ICICI

m
Limited , Kotak Mahindra , Standard Chartered and Sundaram to start this venture including

a2003. Since March 2003, Maruti had sold over

its strategic partnership with SBI in March

y
12,000 vehicles through SBI – MarutinFinance. SBI – Maruti Finance is currently available
in 166 cities across India. d

tu
SFinance marks with coming together of the biggest players in the car finance
“ Maruti
business. They are the benchmark in quality and efficiency. Combined with Maruti
volumes and networked dealership , this will enable Maruti Finance to offer superior
services and competitive rates in the Market place”.
- JagdishKhatter,
Managing Director of Maruti Udyog Limited

71
Citycorp Maruti Finance Limited is a joint venture between Citicorp Finance India
and Maruti Udyog Limited. Its primary business started by the company is “hire – purchase”
financing of Maruti Suzuki Vehicles . Citi Finance India limited is a wholly owned
subsidiary of City Bank Overseas Investment Corporation Delaware which inturn is a 100%
wholly owned subsidiary of City Bank N.A. City Finance India Limited holds 74% of the
stake and Maruti Suzuki holds the remaining 26%. GE Capital , HDFC and Maruti Suzuki
together came in 1995 to form Maruti Countrywide. Maruti Claims that its finance program
offers most competitive interest rates to its customers which are lower by 0.25% to 0.5%
from the market rates.

3.9.7 Maruti True Value :-

m
o
Maruti True service offered by Maruti Suzuki to its customers. It is a market place for the

. c
used Maruti Suzuki Vehicles. One can buy ,sell or exchange used Maruti Suzuki Vehicles

a
with the help of this service in India. As of 2009 there are 315 Maruti True Value Outlets.

m
a
3.9.8 Maruti Driving school :-
yn
d
u
As a part of its corporate social responsibility Maruti Suzuki launched the Maruti Driving
t the service extended to other cities of India as well. These schools are
S
school in Delhi. Later
modelled on international standards, where the learners go through the classroom session and
practical sessions. Many standards facilities like road behaviour and attitude are taught in
these schools. Before driving actual vehicles participants are trained on stimulators.

72
 3.10 MARKET SHARE

m
c o
.
a
Graph 3.1
m
a
n of Maruti Suzuki
Showing Market Share of Maruti Suzuki

ywebsite
d(www.marutisuzuki.com)
Refrence :- Official

t u
S

73
 2008- 2009 Market Share
Segment A2 Sales

Maruti
Tata
Hyundai

m
c o
Chart 3.1
.
a
Showing Market Share in A2 Segment
m
Description
a
Maruti
yn
59%

Tatad
u
t Hyundai
20%

S 21%

Refrence :- Auto India (Automobile Magzine), March 2010

74
 2008 – 2009 Market share
Segment A3 Sales

Tata
Ford
GM
Honda
Maruti
Hyundai
Others

Chart 3.2
m
Showing Market Share in A3 Segment
c o
.
Description
a
Tata 20%
m
14%a
yn
Ford

GM
d 6%

t u
Honda 20%

S Maruti 17%

Hyundai 16%

Others 7%

Refrence :- Auto India (Automobile Magzine), March2010

75
 2008 -2009 Market Share
Sales
Passenger Car

Hyundai
Maruti
Tata
Honda
Ford
GM
Toyota
Others

Chart 3.3
m
Showing Market Share of passenger cars
c o
.
a
Description

Hyundai 17%
m
55%a

yn
Maruti

d
Tata 16%

t u
Honda 4%

S GM 3%

Toyota 10%

Others 3%

Refrence :- Auto India ( Automobile Magzine), March 2010

76
MARUTI ALL INDIA SALES – 3 YEARS TREND

Segment 2006-07 Growth 2007-08 Growth 2008-09 Growth

A1 (Mini - Hatchback) 167,561 17% 116,262 -31% 89,223 -23%

A2 (Compact - Hatchback) 176,132 47% 271,280 54% 335,136 24%

A3 (Mid Size) 14,173 28% 29,637 109% 31,939 8%

A4/A5/A6 NA NA NA NA NA NA
(Exec./Prem./Luxury)

C (Van Type) 59,526 15% 65,019 9% 66,366 2%

Passenger Cars - MUL 417,392 28% 482,198 16% 522,664 8%

Passenger Cars - Total 758,123 26% 885,029 17% 948,669 7%

Industry
m
MUV (Utility Vehicles) 3,555
c o
5,204 12% 46% 4,374 -16%

28% .
Passenger Vehicles - MUL 420,947
a 487,402 16% 527,038 8%

Passenger Vehicles - Total 901,150 m24% 1,050,24 17% 1,129,31 8%

Industry a 6 6

yn
d
tu
Table 3.1

S
Showing Sales of Maruti cars in the year 2006 to 2009

Reference : Autocar ( Automobile Magzine) , March 2010

77
 COMPETITION MODELS

Maruti Competition
Segment

A1 (Mini - Hatchback) M800

A2 (Compact - Hatchback) Zen, WagonR, Hyundai - Santro& Getz; Tata -

Alto, Swift Indica&Palio; GM - Spark & Beat

A3 (Mid Size) Esteem, SX4 Hyundai - Accent; Tata - Indigo & Petra;
Honda - City; GM - Corsa, Optra,
m
o
&Aveo; Ford - Ikon, Fusion, & Fiesta

c
. - Elantra& Sonata; Honda -
A4/A5/A6
(Exec./Prem./Luxury) a
Hyundai
Accord; GM - Vectra; Ford - Mondeo;
m Corolla
Skoda - Octavia & Superb; Toyota -
a
yn
& Camry; Daimler Chrysler -
C,E, & S Class;

d
tu
C (Van Type) Omni, Versa

S
MUV (Utility Vehicles) Gypsy, Grand
Vitara
Mitsubishi - Pajero; Hyundai - Terracan&
Tucson; Ford - Endeavor; Toyota - Prado
&Innova and Fortuner; Nissan - X Trail;
Honda - CRV; GM - Forrester &Tavera;
Tata - Sumo & Safari; Mahindra - Jeeps,
Bolero, Scprpio and Xylo.

78
 3.11 Customer Satisfaction By Maruti Suzuki
Now a day’s Customer satisfaction is the main aim or objectives of all the business
organisations. With the Globalisation and Liberalisation (i.e. opening of Indian market ) the
competition has increased to a great extent. All the Indian companies or the business
organisations have to match their products with the International standard level in order to
remain in the market. A marketer can remain in the mind of the customers only if he is able to
satisfy the needs and requirements of the potential customers (i.e. when customers get value
for their money). In such situations Maruti Suzuki took an initiative to satisfy its customer in
the following ways.

3.11.1 Customer Service:-

The CRM Program allows Maruti Suzuki to acquire customers, service the customers,

m
increase the value of customers to the company, and retain good customers and to determine

o
which customer can be retained or given a higher level of service. A good CRM program can
c
improve customer service in several ways. .
a
websites that are accessible 24 hoursa
m
Provides Product Information, product use, information and technical
a day and 7 days a week
assistance on

yncustomer defines quality and then designs service

d
Identifies how each individual

t u
strategies for each customer based on these individual requirements and expectations.

ProvidesS a fast mechanism for managing and scheduling follow up sales call to assess
post purchase cognitive dissonance, repurchase, probabilities repurchase times and
repurchase times.

Provides a mechanism to track all points of contact between customer and the company
and do it in an integrated way so that all sources and the types of contact are included
and all the user of the system see the same view of the customer (reduces confusion).m

It also helps to identify problems quickly before they occur.

Provides a user friendly mechanism for registering customer complaints (complaints

that are not registering with the company cannot be resolved and are a major source of
customer dissatisfaction).

79
 Provides a fast mechanism for handling problems and complaints (complaints that are
resolved quickly increased customer satisfaction).

Provides a fast mechanism for correcting services deficiencies (correcting the problem
before other customer experience the same dissatisfaction).

Uses internet cookies to track customer interest and personalize product offerings
accordingly. Use internet to engage in collaborative customization or real time
customization.

Provides a fast mechanism for managing, scheduling, maintenance, repair and

ongoing support (improve efficiency and effectiveness).

The CRM can be integrated into other cross functional systems and thereby provides
accounting and production information to customers when they want it.

m
3.11.2 Improving Customer Relationships :-
c o
.
a
CRM programs are also able to improve customer relationship. Proponents say this is so
because:-
m
CRM Technology can trackn
a
customer interests, needs and buying habits as they
yand tailors the marketing efforts accordingly. This way
d
progress their life cycles
customers get u
t exactly want they want as they change.

S can track customer products use as the product progresses through its
The technology
life cycle and tailors the service accordingly.

These way Customers get what they need as the product ages.

In Industrial markets, the technology can be used to micro- segment the buying centre
and helps co – ordinate the conflicting and changing purchase criteria of its members.

When any of the technology driven improvement in customer service (mentioned

above) contribute to long term satisfaction they can ensure repeat purchases, improve
customer relationship, increase customer loyalty, decreases customer turnover,
decreases marketing costs (associated with customer acquisition and customer
training), increases sales revenue and thereby increases profit margins.

80
Repeat purchase however comes from customer satisfaction which inturn comes from
deeper understandings of each customer, their individual business challenges rather
than a “one size fits all” approach.

CRM software enables sales people to achieve this one on one approach to selling and
can automate some elements of it via tailorable marketing communication. However
all of these elements are facilitated by or for humans to achieve. CRM is therefore a
companywide attitude as much as software solution.

m
c o
.
a
m
a
yn
d
tu
S

81
 Tata

Ford

Mahindra Renault

Chervolet

Toyota

Honda

Skoda

Mahindra

Hyundai

Mitsubishi

m
Maruti

c o
660 680 700 720 740 .
760 780 800 820 840
a
m
a
yn
Graph 3.2
d Customer Satisfaction Index Ranking
t u
Showing

S
Refrence :- Autodrive ( Automobile Magzine), June
2010

82
 Chapter :-4 om
.c
a
m
a
yn And Analysis
Findings
d
t u
S

83
After the study of the project , we have got several information and real facts about Maruti
Suzuki :-

 It was the idea of Sanjay Gandhi, son of Indian Prime Minister Indira Gandhi to
provide cheap and low maintenance cars to Indiansand for this purpose Maruti limited
was established but after his death Maruti limited went into collaboration with the
Suzuki Motors of Japan.
 Maruti Suzuki focuses on overall segment of market and the strategied adopted by
Marutis are very appealing and interacting for the customers.
 Initially it focused on providing cheap cars to the customers but after Globalisation of
the Indian economy (1990s) many foreign companies started to enter the Indian
market then to stand in the market Maruti Suzuki also started to manufacture luxury
m

cars also.

c o
Along with manufacturing of cars Maruti also started another operations like :- Maruti
. sale service, Maruti True value,
a
finance, Maruti Insurance, Maruti genuine parts, After
Maruti Driving school etc..
m
a
yn
d
u
t about Maruti Suzuki
Some other findings
S
A Buying Experience Like No Other

Maruti Suzuki has a sales network of 307 state-of -the-art showrooms across 189 cities, with
a workforce of over 6000 trained sales personnel to guide our customers in finding the right
car. Our high sales and customer care standards led us to achieve the No.1 nameplate in the
J.D. Power SSI Study 2004.

Quality Service Across 1036 Cities

In the J.D. Power CSI Study 2004, Maruti Suzuki scored the highest across all 7 parameters:
least problems experienced with vehicle serviced, highest service quality, best in-service

84
experience, best service delivery, best service advisor experience, most user-friendly service
and best service initiation experience.

92% of Maruti Suzuki owners feel that work gets done right the first time during service. The
J.D. Power CSI study 2004 also reveals that 97% of Maruti Suzuki owners would probably
recommend the same make of vehicle, while 90% owners would probably repurchase the
same make of vehicle.

One Stop Shop

At Maruti Suzuki, you will find all your car related needs met under one roof. Whether it is
easy finance, insurance, fleet management services, exchange- Maruti Suzuki is set to
provide a single-window solution for all your car related needs.

m
The Low Cost Maintenance Advantage
c o
.
a
The acquisition cost is unfortunately not only the cost we face buying a car. Although

of its regularly used spare partsmay a

m
a car may be afforded to buy , it may not necessarily be afforded to maintain as some
be priced quite steeply. Not so in the case of

y nsegment thatb the affordability of spares is most

Maruti Suzuki. It is in the economy
dwhere Maruti Suzuki shines. The recent auto car survey
competitive and it is here
conducted in Augusttu2004 bears testimony to this fact. In the Maruti Suzuki Stable,
the Omni hasS the lowest aggregate cost of the spares followed by the Maruti 800. The
Maruti 800 has the cheapest spares of any Indian car. In the lower Mid Size segment
as well price consciousness is very high , Where the cars have to be not only
affordable on purchase price but alsoneed to combine quality and have comfortable
interiors. In this segment the Maruti Suzuki Versa had scored particularly well with
the lowest cost of spares in the segment. In the upper Mid Size Segment the Maruti
Suzuki Baleno had the segment lowest price on a majority of spares.

Lowest Cost of Ownership

85
To be really happy with the car one owns, it should be easy on the pocket to buy and to run-
which is why the cost of ownership is so important. And here again, a Maruti Suzuki is a
clear winner, as shown by the recent J.D.Power CSI study 2004. It is clear that a Maruti
Suzuki delights you even when you run it for years. The 6 highest satisfaction ratings with
regard to cost of ownership among all models are all Maruti Suzuki vehicles: Zen, Wagon R,
Esteem, Maruti 800, Alto and Omni. They are proud to have the lowest cost of operation / km
(among petrol vehicles) - the top 5 models are all Maruti Suzuki models: Maruti 800, Alto,
Zen, Omni and Wagon R.

SWOT ANALYSIS
SWOT Analysis is the analysis of a company. SWOT analysis stands for Strengths ,
Weakness, Opportunities and threats. With the help of this analysis we can get the
information about a company’s strengths and weaknesses and also about the opportunities
and threats that a company is going to face or facing. After getting the knowledge about the

m
weakpoints and threats from the external environment the management tries to overcome the
weaknesses and the threats.
c o
.
a
m
a
SWOT analysis of Maruti Suzuki are as follows :-

yn
d
tu
STRENGTHS :-

1.
2.
S
Brand Image
Reliable and cheap
3. Established brand in the Indian marke.
4. Great service and nationwide penetration
5. Experience in the Indian market
6. Very old player in the Indian market
7. First major player
8. Established distribution and after sales network

WEAKNESSES :-

1. Diseconomies of scale
2. No Online presence
3. Not diversified

86
OPPORTUNITIES :-
1. Acquisition
2. Innovation
3. Online
4. Product and service expansion
5. Takeovers

THREATS :-

1. Competition
2. Cheaper technology
3. External changes ( Government policies, taxes, etc)
4. Lower cost competitors and cheap imports
5. Price war
6. Product substitution

m
c o
.
a
m
a
yn
d
tu
S

87
 Chapter :- 5 om
.c
a
m
a
n
yConclusion
d
tu
S

88
 Conclusion

This chapter concludes the study by highlighting the key findings of the study and some
recommendations for Maruti Suzuki for future.

The aim of the study is to critically analyse Maruti’s marketing strategies in India and to
examine the effect on its sales . For this purpose secondary sources were used to collect
information about the Marketing Strategies of Maruti Suzuki.

The conclusion that can be drawn are :-

1. The main driver of the sales of Maruti cars in India are the Product features.
2. The marketing strategies though aggressive and very customer specific are not
prime force towards the sales. m
o
3. The prices of Maruti cars are competitive but they are not the price leaders.
c
.
4. However much information on the distribution network can not be gathered.

a
m
a
yn
d
tu
S

89
 m
c o
Chapter : 6.
a
m
a
y n
Recommendations
d
t u
S

90
 Recommendations

There is need for Maruti Suzuki to differentiate itself from past . This can be done by
becoming more customer friendly to the Indian as well as Asian market.

 Due to the opening of the Indian market that means globalisation and due to entry of
many competitors in the Indian automobile market Maruti should project itself more
aggressively to the low end, means market with its low range ( but high quality )
products.
 Maruti was established to provide low cast cars to the Indians so it should carry on its
objectives but it should also focus on the customer satisfaction by providing them
quality products at low cost.
 Maruti have developed a brand name and the customer have a high brand preference.
m
o
There is need to incash on this by continuing to launch good quality products.
c
.
a
m
a
yn
d
tu
S

91
 BIBLIOGRAPHY

Books :-

 Kotler, Philip Principles of Marketing Management, prentice hall India, 2003

 Chhabra, T.N Marketing Management,DhanpatRai and co., 2010
 Kothari, C.R Research methodology, Vikas Publishing house, 1997

Magzines :-

 Overdrive
 m
o
Autocar
 Autodrive
. c
a
m
Websites :
a
 www.marutisuzuki.com yn
 d
tu
www.surfindia.com
 www.carwale.com


S
www.driveinside.com
www.carindia.com

92