Assignment On Case Study KIA MOTORS

Prepare for
Raihan Sharif, Adjunct Faculty
Bangladesh University of Professionals

Prepare By
Adib Al Wasy, ID-2023011110
BBA General, Minor SCM
 1. Use Porter’s Five Forces framework to ascertain the attractiveness of the SUV
segment in India.
An industry's competitive environment can be analysed using Porter's Five Forces as a
framework. There are five forces:
Threat of new entrants: In India's SUV market, the threat of new competitors is minimal.
This is due to the fact that a small number of dominant companies, like Tata Motors,
Mahindra & Mahindra, and Hyundai, currently control the sector.
Buyers' bargaining power: In India's SUV market, buyers' bargaining power is moderate. This
is due to the wide variety of brands and models available, which provides customers some
negotiating leverage over prices.
Bargaining power of suppliers: In India's SUV market, suppliers have limited negotiating
leverage. This is due to the fact that there are numerous distinct suppliers of components
and parts, which limits suppliers' ability to bargain over prices.
Threat of substitutes: In India, the SUV market faces a mild threat of substitutes. This is so
that SUVs can be replaced by a variety of other vehicle types, such as sedans and vans,
which are readily available.
Rivalry among current competitors: In India's SUV market, there is fierce competition
among current competitors. This is because a small number of significant firms currently
control the market, and they are all vying for portion of it.
 2. Determine the frame of reference for Kia in India, and identify the points of parity
and the points of difference within this frame of reference.
The market category that Kia is aiming for in India is the premium SUV market segment. This
market sector often consists of SUVs that are more expensive than normal versions and are
targeted at customers looking for a balance between luxury, performance, and cutting-edge
technology.

Kia's Points of Parity

Competitive Pricing: In this market, Kia offers competitive pricing. This indicates that the
prices of Kia's SUVs are comparable to those of other cars in the premium SUV segment. In
this cutthroat economy, pricing is essential for luring potential customers.
Good Quality: Kia's vehicles are made to very high standards of quality. Buyers in the
premium SUV market have high standards for craftsmanship, materials, and build quality,
and Kia seeks to live up to them.
Good After-Sales Service: In the premium market, after-sales service is essential. To
guarantee that customers enjoy a high level of support and happiness after their purchase,
Kia offers first-rate customer service, service facilities, and maintenance plans.
Kia's points of difference:
Stylish Design: Kia SUVs are renowned for having elegant and modern designs. They have
contemporary design elements, clean lines, and distinguishing features. Customers who
desire a car that not only runs well but also draws attention on the road will be catered to by
this design focus.
Advanced Features: Infotainment Systems, Driver Assistance Technologies, and Connectivity
Options Kia's luxury SUVs are outfitted with cutting-edge infotainment systems and
connectivity capabilities. These features set Kia apart from rivals and improve the entire
driving experience.
Innovative Technology: When it comes to including cutting-edge features in its cars, Kia is in
the forefront. This includes attributes like electric and hybrid drivetrains, intelligent cabin
controls, and environmentally responsible choices. Kia connects with the changing
preferences of environmentally concerned and tech-savvy consumers by embracing
innovation.
 3. Identify and apply various determinants of product differentiation that would
enable Kia to maintain its distinct position in India.
Kia might use a variety of factors to differentiate its products from competitors in India, such
as: - Design: Kia might concentrate on developing distinctive and striking designs for its cars
in order to differentiate them from rivals. - Technology: Kia may spend money on cutting-
edge tech elements like infotainment systems and driving aids to set its goods apart. -
Customer service: To build a strong brand and set itself apart from rivals, Kia should
concentrate on offering great customer service, such as by providing free maintenance or
extended warranties.
4. What relevant marketing strategies could be applied to drive Kia’s growth in India?

a) Focus on the Premium SUV Segment: you should take use of Kia's specific advantage
there. In order to keep ahead of the competition, this means not only having a strong
presence in this market but also regularly studying and analysing the changing tastes
of buyers of premium SUVs.
b) Introduce novel and ground-breaking products: The Indian automobile industry is
dynamic, and consumer preferences are ever-evolving. Kia needs to keep releasing
cutting-edge goods designed with Indian customers in mind. To meet the rising
demand for eco-friendly automobiles, this might entail creating hybrid or electric
SUVs.
c) Invest in marketing and advertising: strategies that are successful at raising brand
awareness and generating interest. To reach a larger audience and emphasise its
distinct selling propositions, Kia should invest in the creation of attractive marketing
plans, including social media and digital marketing.
d) Expand Dealership Network: For the brand to have a greater impact in India, the
dealership network must be expanded. To guarantee that potential customers have
access to Kia's goods and services, this includes opening dealerships in both
developed and growing areas.
e) Deliver Outstanding After-Sales Service: Customer loyalty is significantly influenced
by exceptional after-sales service. To guarantee that customers receive excellent
maintenance and assistance and to improve their entire ownership experience, Kia
should concentrate on educating and supporting its service centres and people.
f) Sustainable and eco-friendly initiatives: In light of the growing emphasis on
sustainability and environmental responsibility, Kia may want to invest in eco-friendly
technology to appeal to consumers who are concerned about the environment, such
as hybrid car options and infrastructure for charging electric vehicles.
g) Partnerships and Collaborations: Form partnerships with regional businesses, start-
ups, or government programmes to take advantage of new opportunities and solve
particular market problems.