1

Assignment Number 01

“INTERNATIONAL BUSINESS”

Submitted to : Sir Shahzad

Submitted by : Saba Sadiq

Haiqa Malik

Javeria Asif

Department : Business Administration

Semester : VI-A
 2
Assignment Number 01

TABLE OF CONTENTS

I. Introduction……………………………………………………………..………………….03

i.0. Brief History…………………………………………………..03

i.i. Products Of Pak Suzuki Motors………………………………..03

i.ii. Vision of Pak Suzuki Motors……………………………... …..03

i.iii. Mission of Pak Suzuki Company……………………………...03

i.iv. Functioning of Pak Suzuki Motors……………………………03

i.v. Karachi Plant of Pak Suzuki Motors…………………………..04

i.vi. Major Competitors of Pak Suzuki Motors……………………04

i.vii. Supply Chain Management of Pak Suzuki Motors…………..04

i.viii. Operations of Pak Suzuki Motors

II. Pak Suzuki Product portfolio……………………………………………………………...05

III. Product Life Cycle of Pak Suzuki………………………………………………….......…06

iii.i. Product Life Cycle Curve……………………………………………………………08

IV. Repositioning…………………………………………………….……………………..…09

iv.i. In terms of vehicles………………….………………………………………………09

iv.ii. In terms of motorcycles…..…...…………………………………………………….11

V. Conclusion…………………………………………………………………………………11
 3
Assignment Number 01

“PAK SUZUKI MOTORS”

 INTRODUCTION

i.0. BRIEF HISTORY

Pak Suzuki Company Limited was formed as a result of Joint Venture between Semi
Government Pakistani Automobile Company and Japanese company named as Suzuki Motors
Corporation. The company was incorporated as a public Limited company in August 1983 and
after that it started its operations in 1984. Pak Suzuki is a market leader in Pakistan Automobile
Industry with having more than 60% of market share (2011).

i.i. PRODUCTS OF PAK SUZUKI MOTORS:

Pak Suzuki motors design and manufacture passenger cars, commercial vehicles, motor cycles
and all-terrain vehicles. The basically operates through two segments which are automobiles and
motor cycles. The company automobile includes the sales of its own manufactured vehicles and
spare parts and trading vehicles and spare parts.

i.ii. VISION OF PAK SUZUKI MOTORS:

“To be recognized as a leading organization that values customer needs and provides motoring
solution with strong customer care”.

i.iii. MISSION OF PAK SUZUKI COMPANY:

“Develop a product of superior value by focusing on the demands of customers”

“Establishing a refreshing and innovative company through teamwork.

i.iv. FUNCTIONING OF PAK SUZUKI MOTORS:

Planning Sub system: Pak Suzuki motors follow a scalar chain system, i.e. the head used to pass
its order to managers and they used to give orders to their subordinates.
 4
Assignment Number 01

Target Market: Target Market of Pak Suzuki motors are different from their competitors as they
use to target cares who are 1.3 cc or below while other companies target big cars.

i.v. KARACHI PLANT OF PAK SUZUKI MOTORS:

Suzuki motors Corporation started production and sales of its all new Alto mini car in Pakistan in
June 2019 to boost its sales in South Asian Region. That was very first time for Suzuki to
manufacture vehicles with engine displacement up to 660 cc in Pakistan, using same body and
engine as the Alto currently sold in Japan. The model launch in Pakistan was being assembled at
Suzuki’s Karachi Plant.

i.vi. MAJOR COMPETITORS OF PAK SUZUKI MOTORS:

Major Competitors of Pak Suzuki Motors Includes:

 Toyota
 Mitsubishi
 Honda

i.vii. SUPPLY CHAIN MANAGEMENT OF PAK SUZUKI MOTORS:

Pak Suzuki motors procures most of its material from Japan but some items are brought from
Korea and Thailand as well. The mode of payment is through letter of credit and the estimated
lead time require is around 4 months. The spare parts of automobiles are shipped by Air of port
Qasim deals with cargo arriving from Japan, Korea and Thailand. The annual demand of material
is calculated by considering the inputs of all the departments.

i.viii. OPERATIONS OF PAK SUZUKI MOTORS:

 Pak Suzuki motors conduct all its operations in compliance with appliucable environment
and safty lawas and regulations. In simple Pak Suzuki motors are environmental friendly
corporation.
 The sales grew in past few years the plant at Port Qasim but still did not function at
full throttle.
 PAK SUZUKI PRODUCT PORTFOLIO:
 5
Assignment Number 01

Pak Suzuki has a vast portfolio of products which include about 15 car models, 7 motorcycles
and heavy bike models and 2 models of outboard motor. Its product range expands from entry
level small cars like Mehran 800 to luxury Sedan Ciaz (it got discontinued in Pakistan due to
unsatisfactory sales). Listed below are the different current Vehicles and motorcycles launched
by Pak Suzuki.

 CURRENT VEHICLES
1) Suzuki Alto (New)
The new alto is powered by three-cylinder 660cc engine capable of producing up to 39
horsepower and 56 pound-feet of torque. They include Suzuki alto VX, VXR and VXL.
2) Suzuki Bolan
A Suzuki bolan is a hi-roof minivan car produced by Suzuki motors. Its variants include
Bolan VX, Bolan VXL with AC and Bolan Cargo Van. It is equipped with a 796 cc engine
producing up to 36 horsepower. It is only offered in manual transmission.
3) Suzuki Cultus ( Celerio )
It replaced the Suzuki Khyber. It is a second generation Cultus which was launched in
2017. They include Suzuki Cultus VXR and Suzuki Cultus VXL.
4) Suzuki Ravi
The Ravi has a standard 800cc engine installed with EURO 2 emission standards. It is a
Pick up version of Bolan and is expected to give 13-15km/l however mileage may differ
due to weight of load. It is offered in manual transmission.
5) Suzuki Wagon R
It has an engine capacity of 1.0 liters having piston displacement 998 cc capable of
producing 67 hp horsepower at 6200 rpm and 90 Nm torque at 3500 rpm. It offers manual
transmission along with automatic transmission in its AGS variant. Its three variants include
Suzuki Wagon R VXR, VXL and AGS in 6 body colors.
6) Suzuki Swift
3rd generation launched in 2022. The GLX-CVT version is equipped with a push-start,
cruise-control, and LED headlamps embedded DRLs, 16-inch alloy wheels, six airbags, rear
parking sensor and a rear-view camera.
 MOTORCYCLES
 6
Assignment Number 01

1) Suzuki GD-110S
It comes with a single-cylinder, 4-stokr, sir-cooled, SOHC engine that has a displacement
of 113cc with an electric start system.
2) Suzuki GS-150/150SE
Performance of 150cc 4-stroke air cooled SOHC engine electric start system and holds an
electric start system along with kick start system as well.
3) Suzuki GR-150
It comes with a EURO 2 compliant 4-stroke, air cooled, OHC engine that has a single valve
and a displacement of 150 cc. the maximum output of this engine is 8.2 kW/8000rom at a
maximum torque of 11.5 Nm/500 rpm.
4) Suzuki Gixxer
It is powered by a single cylinder, 4-stroke, air-cooled engine that has a displacement of
155 cc. the maximum torque is 13.8 Nm @ 6000 rpm.
 Imports
1) Suzuki APV
2) Suzuki Jimny
3) Suzuki Vitara
 PRODUCT LIFE CYCLE OF PAK SUZUKI:
Now, the position of various products of Pak Suzuki will be discussed with respect to product
life cycle curve:
 Current Models:
For Automobiles:
1. Suzuki Alto (New):

Suzuki Alto is breaking records and is having increasing number of sales with the passage of
time, making it the best-selling car in Pakistan in 2022. It is in growing stage and a surge in its
sales and customer base is getting observed.

2. Suzuki Swift (3rd generation):

It got launched in 2022 and is in introduction stage. Consumers are getting to know about this
new model and sales are rising.
 7
Assignment Number 01

3. Suzuki Wagon R:
Wagon R got launched in 2014 in its three variants: VX, VXR, VXL. However, after
experiencing years of different product life cycle stages, it has declined. However, Pak Suzuki is
replacing its manual system with automatic gear system in order to boost its sales. In this way,
the company can make it a growing/ mature product again.
4. Suzuki Bolan

The modified version of Suzuki Bolan launched in 2022, having the features of an air
conditioning system, is in introduction stage as its cognizance is getting spread in the
customers.

For Motorcycles:

1) Suzuki GD-110S

The 2022 variant of Suzuki GD-110S is in introduction stage and this newly launched version
in new graphics is tailored for middle class segment of the society. However, it underwent only
a few modifications and its price is being considered unreal by the Pakistani customers. Thus, it
needs to be modified (in terms of price revision and features upgradation) to enter the growth
stage.

2) Suzuki GS-150/150SE

Suzuki GS-150 is one of the most profound bike models in Pakistan and is currently lying in
maturity stage. It is getting sold in high volumes in the middle class segment of Pakistan and
has become a common sight on the road. In order to save it from declining in the future, the
company has launched Suzuki GS-150SE in 2022 as a booster in its maturity stage.
Nonetheless, Suzuki GS-150SE is in introduction stage and it still has a long way to go.

3) Suzuki GR-150

The newly launched version of Suzuki GR-150 in 2022 is in introduction stage.

 Product Life Cycle Curve:

The PLC of above mentioned models are as follows:
 8
Assignment Number 01
 9
Assignment Number 01

 Repositioning:

Repositioning involves altering the perceptions of a target market of a product or service in

order to renew their brand image. In the case of Pak Suzuki, repositioning has been observed in
order to boost its sales volume.

In terms of Automobiles:

Pak Suzuki goes for modification and launching newer versions of its old models, like it did in
the case of replacing Suzuki Baleno by Suzuki Liana, Suzuki Khyber by Suzuki Cultus and then
Suzuki Cultus by Suzuki Celerio, and this list is by no means exhaustive. Moreover, considering
the newly launched version of Suzuki Swift in 2022, multiple approaches have been used by Pak
 10
Assignment Number 01

Suzuki to reposition. The approaches adopted by Pak Suzuki to pull the Suzuki Swift out of the
mere introduction phase is as follows:

i. It is the latest version of Suzuki Swift, and customers expect it to be better than that.
ii. It is available both in manual and automatic gear system, in order to tailor to customer’s
demands.
iii. Its features have been modified and the issue of low fuel average by Suzuki Swift (older
version) has been addressed.
iv. Interior design has been improved.
v. The new model has a sportier look, and this projects it as being efficient and easy to
drive.
vi. New model has been linked to upper class, fame and prestige. Thus, it focuses on social
image enhancement.
vii. Its keyless start repositions it as technologically advanced to its target audience.

The trend moved from positioning itself from a low-priced automobile manufacturer to the
provider of high-priced, high-quality automobiles.

Moreover, when introducing the latest version of Suzuki Cultus i.e., Celerio; the company
renamed it back to Cultus in order to win customer trust by an already successful nameplate.
This strategy was based on launching new version on the shoulders on an existing, successful
former one and linking them to provide a good base to the newer version to start with. This
repositioned the Suzuki Celerio in the mind of customers as coming up with advanced features of
Suzuki Cultus rather than dealing with them separately.

Similarly, Suzuki Bolan is getting repositioned as having advanced feature of an air conditioning
system, and thus projects its image of being technologically competent and comfortable to drive.

Pak Suzuki has added innovation to its declining products as in the case of Suzuki Wagon R.
Most of the time, the declining products get replaced by a better version but in the case of Suzuki
Wagon R, a modification in its existing model is adding the spark of innovation to it. Previously,
Suzuki Wagon R was available in manual gear only but the company has introduced the feature
of automatic gear system to reverse its declining sales.
 11
Assignment Number 01

In terms of Motorcycles:

Not only this, Pak Suzuki is suffering a backlash after launching its updated model of Suzuki
GD-110S in 2022. Changing merely its color and graphics and overpricing it has not
repositioned its older version in a fruitful way. Moreover, this repositioning has not enhanced its
image, and projects it as being the same model with a higher price. The company needs to take
crucial corrective actions to get the wheel rolling.

Now discussing the repositioning of Suzuki GS-150 by introducing its latest version (Suzuki
GS-150SE) in 2022, no apparent difference in terms of appearance (only alloy rims and front
disk brake) or features has been observed. Only the difference of price has occurred- the new
version is priced more than the former one. This strategy of repositioning might not prove as a
booster in the maturity stage.

Conclusion:

Putting in a nutshell, it can be said that Pak Suzuki is a prominent listed company in the
Pakistani automobile industry and is rolling out successful models, thus ensuring a stable
position in the unstable country.