Required Assignment 4.

2:
Understanding Disruptive Positioning
<Max Dcosta>
Suggested time: 90 minutes
Assignment Instructions
For this assignment, think of a product category where you see a gap for disruptive positioning.
It could be within the industry you work in or any other.  
Note: This is a required assignment and counts towards your programme completion.

Describe a product category and then discuss what would one good position option be? What type of
disruptive position does it follow?

The product category I have considered is the Internal Combustion Engine (ICE) SUV’s Category and
how Maruti Suzuki India wants to capture market share by bringing in a ‘Smart Hybrid’ SUV car that
stretches the boundary of traditional / conventional ICE vehicle category and thus disrupting it using
Breakaway Positioning for Disruption.
Maruti had a market share of nearly half to 67 percent in all other segments of the passenger vehicle
(PV) industry in fiscal 2022 ended March 31. In SUVs, its share was just 12 per cent with only two
models as against 47 SUV brands currently available in the Indian market comprising of competitors like
KIA, Hyundai, Skoda, Mahindra, Tata etc. 

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 Talk a little bit about why the suggested position is a good idea? How would it address the current
issues within that category?

The suggested Breakaway positioning is a good idea because Maruti has carefully studied the Indian
automotive landscape and it realizes that on the one hand the Govt has declared it will phase out
conventional ICE engines in favour of Electric Vehicles by 2030, on the other hand the country is not
yet ready with a stable and encouraging EV Infrastructure. It has also listened to the needs of the
customer who are facing range anxiety issues with the current EV offerings and hence are not very
confident of owning a fully electric vehicle, yet are environmentally responsible. So in such a case
Maruti has introduced the Smart Hybrid Technology in its SUVs as it knows for sure that Indian
customers like SUVs and would be comfortable with one that offers the benefits of both ICE
combustion engine coupled with Smart electric solutions for a more powerful, yet cleaner driving
experience and environmental emissions perspective. The country is still a decade away from building
and stabilizing electric charging infrastructure in metros, let alone the tier 2 and 3 cities. This provides
a perfect opportunity for Maruti to stretch the current category and appear disruptive with its Smart
Hybrid SUV offering to win customers mind share as a brand that is truly practical and environmentally
friendly while being affordable with the latest technology suited for Indian conditions.

Also its strategic partnership with Toyota to share Hybrid technology across their platforms and share
production facilities has helped Maruti go to market faster and be a first mover in offering reliable
mobility solutions that warm up the large customer base to a future of smart electric mobility and
addresses all their worries stemming from EV adoption like charging infrastructure unavailability and
range anxiety.

More thoughts.

For Maruti Suzuki, the model is critical in its struggle to regain lost ground in the SUV segment from
rivals Hyundai, Kia, Skoda and Tata Motors. The SUV segment is the fastest-growing portfolio in India’s
auto market.

Maruti says their smart and strong hybrid offerings like Brezza and Grand Vitara will provide an off-
roading experience while ensuring a "cleaner, greener, sustainable and carbon-neutral world" via its
electric hybrid system. Their SUVs come with all the bells and whistles of manual and automatic
transmission, with features like a panoramic sunroof and ventilated seats etc.

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