Maruthi Suzuki

Introduction to maruthi Suzuki co:

The automobile industry has emerged as a pivotal force in shaping the global economy
and driving technological advancements. Among the prominent players in this industry,
Maruti Suzuki has stood out as a trailblazer, making significant contributions to the
automotive landscape. Established in 1981 as a joint venture between Japan's Suzuki
Motor Corporation and India's government, Maruti Suzuki has evolved into India's
largest and most trusted automobile manufacturer. With a rich history and a
commitment to innovation, Maruti Suzuki has played a vital role in the country's
industrial growth, employment generation, and technological progress.

Maruti Suzuki's journey began with a mission to transform India's automotive sector.
The company's partnership with Suzuki, a renowned name in the global automobile
arena, brought world-class technology and expertise to India's doorstep. This
collaboration not only infused cutting-edge engineering and manufacturing techniques
but also fostered a culture of continuous improvement and innovation. As a result,
Maruti Suzuki's influence on the Indian automotive landscape has been substantial,
shaping consumer preferences and industry practices.

One of Maruti Suzuki's key strengths has been its focus on producing vehicles that cater
to the diverse needs of the Indian market. From compact cars to sport utility vehicles
(SUVs), the company has consistently introduced models that strike a chord with Indian
consumers. This deep understanding of customer preferences has allowed Maruti
Suzuki to maintain a dominant market share and sustain its leadership position over the
years. Moreover, the company's commitment to producing fuel-efficient and
environmentally friendly vehicles aligns with global sustainability goals, reflecting its
responsible corporate citizenship.

Innovation has been a cornerstone of Maruti Suzuki's success story. The company's
state-of-the-art research and development (Research and Development) facilities have
been instrumental in driving breakthroughs in vehicle design, safety, and performance.
Maruti Suzuki's dedication to continuous Research Development has not only improved
the driving experience but has also set new industry standards for safety features,
including airbags, anti-lock braking systems (ABS), and advanced chassis designs. By

1
BIT-MBA
 Maruthi Suzuki

prioritizing safety and innovation, Maruti Suzuki has contributed to raising the bar for
vehicle quality and reliability in India.
Employment generation has been another remarkable aspect of Maruti Suzuki's impact
on the Indian economy. The company's extensive manufacturing and distribution
network has created direct and indirect employment opportunities for thousands of
individuals across the nation. This widespread employment has not only empowered
local communities but has also contributed to economic growth and social
development. Maruti Suzuki's commitment to promoting skill development and
vocational training has further enhanced its role as a driver of human capital
development.

Beyond its domestic accomplishments, Maruti Suzuki has also made strides in the
global market. The company's export initiatives have enabled it to expand its presence
to various international markets, showcasing the prowess of Indian engineering and
manufacturing on a global stage. This global outreach has not only brought foreign
exchange earnings but has also bolstered India's reputation as a hub for quality
automotive products.
Maruti Suzuki's journey from its inception to its current status as an industry leader
reflects the transformation of the Indian automotive landscape. The company's
collaboration with Suzuki, customer-centric approach, emphasis on innovation,
commitment to safety, and contribution to employment generation have all contributed
to its unparalleled success. Maruti Suzuki's story is a testament to the potential of
strategic partnerships, innovation-driven growth, and a steadfast commitment to
meeting the needs of a diverse and evolving market.

2
BIT-MBA
 Maruthi Suzuki

Company Profile-Share Price:

Maruti Suzuki India Limited, often simply referred to as Maruti Suzuki, is a renowned
automobile manufacturer headquartered in New Delhi, India. Founded in 1981, the
company has evolved into one of the most dominant players in the Indian automotive
industry, consistently showcasing its commitment to innovation, quality, and customer
satisfaction. Maruti Suzuki's success story is marked by its strategic collaborations,
technological advancements, diverse product portfolio, and extensive network, which
have collectively contributed to its position as a market leader.

Founding and Collaborative Ventures:

Maruti Suzuki's roots can be traced back to a joint venture between the Indian
government and Suzuki Motor Corporation, a Japanese automaker. This partnership
was aimed at fulfilling the growing demand for affordable and reliable vehicles in the
Indian market. This collaboration led to the birth of Maruti Udyog Limited in 1981,
which subsequently became Maruti Suzuki India Limited in 2007.
Diverse Product Portfolio:
Maruti Suzuki has consistently catered to a wide range of consumers, offering vehicles
that suit different needs and preferences. From compact cars to SUVs and sedans, the
company's product lineup boasts options that span the spectrum of vehicular
requirements. Popular models like the Maruti Suzuki Swift, Alto, Dzire, Vitara Brezza,
and Ertiga have become household names in India due to their fuel efficiency,
affordability, and practicality.

Innovation and Technology:

A cornerstone of Maruti Suzuki's success is its focus on innovation and the integration
of advanced technologies. The company has embraced modern automotive trends,
including the development of hybrid and electric vehicles. Maruti Suzuki's research and
development teams work tirelessly to enhance vehicle safety, fuel efficiency, and
overall performance. This commitment to technological advancement has not only
improved the driving experience for customers but has also contributed to the
company's sustainable growth.

3
BIT-MBA
 Maruthi Suzuki

Quality and Manufacturing Excellence:

Quality control and manufacturing excellence are integral to Maruti Suzuki's
operations. The company's manufacturing facilities are equipped with state-of-the-art
technology, adhering to global standards of production. Stringent quality checks are
conducted at every stage of the manufacturing process to ensure that vehicles leaving
the factory meet the highest standards of safety and reliability.

Customer-Centric Approach:
Maruti Suzuki has built its reputation on understanding and meeting the needs of its
diverse customer base. The company's customer-centric approach is evident in its after-
sales services, widespread dealership network, and initiatives to enhance customer
experience. Maruti Suzuki has been recognized for its responsive customer support and
comprehensive maintenance programs, fostering long-lasting relationships with its
clientele.
Sustainability and Social Responsibility:
In recent years, Maruti Suzuki has taken significant strides towards sustainability and
social responsibility. The company is committed to reducing its environmental footprint
by investing in greener technologies and promoting eco-friendly practices. Maruti
Suzuki's initiatives also extend to community development, focusing on education,
healthcare, and skill enhancement programs to contribute positively to society.

Market Leadership and Global Expansion:

Maruti Suzuki's dominance in the Indian automotive market is evident from its
consistently high market share. The company has successfully maintained its position
as the largest automobile manufacturer in India, a testament to its product quality,
consumer trust, and brand loyalty. While primarily focused on the Indian market,
Maruti Suzuki has also explored opportunities for global expansion, exporting vehicles
to various countries and regions.

4
BIT-MBA
 Maruthi Suzuki

Challenges and Future Outlook:

Despite its impressive track record, Maruti Suzuki faces challenges common to the
automotive industry, including evolving consumer preferences, regulatory changes, and
global economic fluctuations. However, the company's resilience, adaptability, and
continuous pursuit of excellence equip it to navigate these challenges successfully.
Maruti Suzuki's future appears promising as it continues to innovate, diversify its
product range, and embrace sustainability in the ever-changing automotive landscape.

5
BIT-MBA
 Maruthi Suzuki

SHARE PRICE:

6
BIT-MBA
 Maruthi Suzuki

Vision, Mission and Strategies:

Vision of Maruti Suzuki:
Maruti Suzuki's vision revolves around being "The Leader in the Indian Automobile
Industry, Creating Customer Delight and Shareholder's Wealth; A Pride of India." This
vision encapsulates the company's commitment to achieving leadership in the Indian
automotive market while simultaneously prioritizing customer satisfaction and
delivering value to its shareholders. Maruti Suzuki aims to be a source of national pride
by contributing significantly to India's industrial and economic growth.

Mission of Maruti Suzuki:

Maruti Suzuki's mission is articulated as follows: "To Provide Value-Added Services to
Customers by Offering Economical Products and Services to Suit Their Requirements;
To Innovate, Lead, and Excel in Manufacturing of Vehicles, Components, and Related
Services, and To Progress in a Manner That Ensures Growth in Shareholders' Value."
This mission statement outlines the company's core objectives:

Strategies:
Maruti Suzuki employs a range of strategies to maintain its leadership in the Indian
automotive industry, enhance customer satisfaction, drive innovation, and ensure
sustainable growth. These strategies encompass various aspects of the business,
including product development, manufacturing, marketing, customer engagement, and
corporate social responsibility. Some key strategies of Maruti Suzuki include:

1. Customer-Centric Approach:Maruti Suzuki places a strong emphasis on

understanding customer preferences and needs. The company conducts extensive
market research and gathers customer feedback to design and develop vehicles that
align with consumer expectations. This customer-centric approach ensures that the
company's product offerings resonate with the target audience and contribute to high
levels of customer satisfaction.

7
BIT-MBA
 Maruthi Suzuki

2. Diverse Product Portfolio:Maruti Suzuki maintains a diverse product portfolio that

caters to different market segments and customer preferences. The company offers a
wide range of vehicles, including compact cars, hatchbacks, sedans, SUVs, and utility
vehicles. This strategy allows Maruti Suzuki to capture a significant share of the Indian
automotive market and serve a broad spectrum of consumers.

3. Continuous Innovation:Innovation is at the core of Maruti Suzuki's strategies. The

company consistently invests in research and development to introduce new
technologies, features, and design elements in its vehicles. This focus on innovation not
only enhances the driving experience for customers but also positions Maruti Suzuki as
a pioneer in the industry.

4. Manufacturing Excellence:Maruti Suzuki's manufacturing facilities are equipped

with advanced technologies and processes that enable efficient and high-quality
production. The company follows lean manufacturing principles to optimize operations
and minimize waste. This commitment to manufacturing excellence ensures consistent
quality and timely delivery of vehicles to customers.
5. Strong Dealer Network:Maruti Suzuki has established an extensive network of
dealerships and service centers across India. This network provides customers with easy
access to sales and after-sales services, contributing to a seamless ownership
experience. The widespread presence of dealerships also enhances the brand's visibility
and accessibility.

6. Marketing and Branding:Maruti Suzuki employs strategic marketing and branding

campaigns to create a strong brand identity and maintain customer loyalty. The
company's advertising and promotional activities focus on highlighting the features,
benefits, and value propositions of its vehicles. Effective marketing helps Maruti
Suzuki maintain its position as a preferred choice among consumers.

7. Digital Initiatives:In line with changing consumer behavior and technology trends,
Maruti Suzuki has embraced digital initiatives to enhance customer engagement and
convenience. The company offers online platforms for booking vehicles, scheduling
service appointments, and exploring vehicle specifications. These digital channels
enable customers to interact with the brand seamlessly.
8
BIT-MBA
 Maruthi Suzuki

8. Sustainability and CSR:Maruti Suzuki is committed to sustainability and corporate

social responsibility (CSR). The company integrates eco-friendly technologies in its
vehicles and manufacturing processes to reduce environmental impact. Additionally,
Maruti Suzuki engages in various community development and social welfare
initiatives, focusing on education, healthcare, and skill development.

9. Global Expansion:While primarily focused on the Indian market, Maruti Suzuki

also explores opportunities for global expansion. The company exports vehicles to
international markets, contributing to its revenue diversification and extending its
presence beyond India's borders.

9
BIT-MBA
 Maruthi Suzuki

Product Profile:
Product Portfolio of Maruti Suzuki India Ltd
Here is the List of Cars and Product Portfolio of Maruti Suzuki India Limited

Baleno: The popular hatchback and one of the best-selling cars in India. Baleno has
more than 9 lakh happy customers, and is the fastest-selling car in India to reach this
coveted milestone. It has also consistently featured in the top 5 best-selling cars in India
for the last 4 years.
XL6:The Multipurpose Utility Vehicle is known for its style and comfort and one of
the most-liked cars in its segment. XL6 by using Smart Hybrid technology is committed
in providing sustainable mobility solutions.
S-Cross:The vehicle that heralded the entry of Maruti Suzuki in the Mid-SUV segment.
Aptly positioned as the ‘Refined SUV’, S-Cross not only enthuses customers with
itssophistication and power but also is committed in providing sustainable mobility
solutions using Smart Hybrid technology.
Ignis:The hatchback with Urban design and SUV like styling, designed for the tough
Urban Roads with an imposing design and superior driving capabilities.

10
BIT-MBA
 Maruthi Suzuki

Ciaz:The sedan admired for its elegance was the fastest to reach the landmark sales
figure of 100,000 in its segment. Ciaz, by using Smart Hybrid technology, is committed
in providing sustainable mobility solutions.
Vitara Brezza:India’s highest selling compact SUV, the Vitara Brezza, took the
segment by storm ever since its launch. Admired for its bold design and imposing
presence, Vitara Brezza has captured the hearts of auto experts and customers alike.
Brezza features in top 10 best-selling cars in India
Ertiga:Introduced in 2012, Ertiga created a unique segment and became India’s highest
selling multi-purpose Utility Vehicle in no time. The 2nd generation Ertiga, positioned
as ‘Technology meets Style’, was introduced with Smart Hybrid technology. Ertiga
continues to remain the market leader in its segment.
Wagon-R:Introduced in 1999 as a tall boy hatchback, Wagon-R is one of the most
popular cars in the country. It has been ranked in the top 5 best-selling cars in India
consecutively for last 15 years. The 3rd generation Wagon-R is also the highest selling
CNG car in India.
Dzire:Introduced in 2008, Dzire is the most admired and the highest selling sedan in
the country. The 3rd generation Dzire continues to excite the customers and is also
among the the top 5 best-selling cars in the country.
Swift:Introduced in 2005, Swift is one of the most loved hatchbacks in the country and
has created a glorious legacy with unmatched driving experience, great customer fan
following, acceptance and delight. Swift is the highest selling car in its segment. The
3rd generation Swift became India’s highest selling car in FY 2020-21.
Alto:Introduced in 2000, Alto is one of the most iconic hatchbacks in the country.
Within a few years of launch, Alto became the highest selling car in the country. The
2nd generation Alto, aptly positioned as ‘Desh ki Shaan’, (pride of the nation) is the car
of choice for over 4 million customers in India.
Eeco Cargo:The nice slick van that is suitable for many urban applications. The variant
is a part of the iconic versatile Van Eeco, which is among the top 10 best selling cars in
the country. Eeco Cargo has proven to be perfect partner of growth for smart,
hardworking and business segment customers.
Eeco:The versatile Van, has celebrated an iconic decade of its legacy in India. Eeco
enjoys an undisputed leadership in the van segment and is also among the Top 10 selling
cars in the country.

11
BIT-MBA
 Maruthi Suzuki

SWOT Analysis:
Strengths of Maruti Suzuki:
The strengths of a company are the unique qualities that provide it with an advantage
in acquiring more market share, attracting more customers, and maximizing
profitability. Maruti Suzuki’s strengths are as follows:
Market Share: Maruti Suzuki has a large market share with a share value of 45 percent
which is comparatively more if compared to its competitors and this is one of the
biggest strengths of Maruti Suzuki.
Number of Sales: Maruti Suzuki registered the highest number of domestic sales in the
previous fiscal year, with 9,66,447 units. This has recently surpassed the national sales
mark of 10 million.
Brand Value: Maruti Suzuki has high brand recognition and a large consumer base.
Also earned a good reputation for selling second-hand vehicles of good quality through
its true value chain.
Strong Advertising & Reliable Suppliers: Effective approaches of advertising, good
product range, and largest dealers’ network to attract people. It has a strong base of
reliable suppliers of raw material thus enabling the company to overcome any supply
chain bottlenecks.
Product Quality: Maruti Suzuki engine capacity is supreme which provides more
mileage as compared to its competitors, their cars require less maintenance and service
cost is the lowest in the market. These advantages give Maruti Suzuki a complete edge
over its competitors in terms of capturing the market of the lower and middle class
whose percentage is more as compared to the rich class.
Cost Optimization: Maruti’s cost optimization strategies have benefitted the company
in the long run, for example during Covid-19 the brand localized its imports and re-
structured its way of functioning.
Weaknesses of Maruti Suzuki:
Weaknesses are elements of a company or brand that can be strengthened. The
following are Maruti Suzuki’s flaws:
Weak Interior Quality: Maruti Suzuki’s interior quality is weak in comparison with
the high-quality interior of Hyundai, Maruti Suzuki, Volkswagen etc. Also, the build
quality of Maruti Suzuki cars is a little bit low compared to these competitors.

12
BIT-MBA
 Maruthi Suzuki

Government Intervention: Government intervenes because of having a share in

Maruti Suzuki as it’s owned by the government and a public company. Strategic
decisions are dependent upon government approvals.
Penetration Inability: Maruti Suzuki’s one of biggest inabilities is not being able to
penetrate the world market. The company is only popular in India and some of the Asian
regions other than this Maruti Suzuki’s presence in Europe and the North American
market is not that fascinating.
Weak Managerial & labour Relationship: The relationship between management and
labour unions is not good. Employee strikes, worker’s wages strikes have declined the
reputation of Maruti Suzuki in terms of being the best working place.
Diversification in the Workforce: The workforce at Maruti Suzuki Motors is analyzed
with mostly local workers, and low amounts of workers from other ethnical
backgrounds. Lack of diversification makes it difficult for employees from different
ethnical backgrounds to adapt at the workplace, leading to loss of talent.
Opportunities for Maruti Suzuki:
Potential areas of attention for a corporation to enhance results, expand sales, and,
ultimately, profit is known as opportunities. Maruti Suzuki’s opportunities are:
LPG Version of Cost-Effective Hatchbacks: Maruti Suzuki is popular in the taxi
sector and most of the taxis are connected with LPG. A recently positive move by
Maruti Suzuki is that it introduced its LPG version of Wagon R which is a smart move
taken by the company.
Collaborations: Maruti Suzuki can jointly work with big car manufacturers to bring
innovations to the market by improving relations. Just like recently, Maruti Suzuki is
working with Toyota on a project to launch small electric SUVs in the market.
Technological Developments: Technology succeeds with numerous advantages
among many departments. Operations can be automated to diminish costs. Technology
enables better data to be obtained from customers and improves trading
accomplishments.
Immense Production Potential: Maruti Suzuki has immense potential in foreign
markets and it is a rapidly growing market for automobiles. It can tap into European
and other untouched markets where growth potential is even more.

13
BIT-MBA
 Maruthi Suzuki

Transport Industry: The transportation industry has been thriving in recent years and
has significant growth potential in the future. This has reduced transportation costs,
which benefits Maruti Suzuki by loweringits overall costs.

Threats to Maruti Suzuki:

Environmental variables that can damage a company’s growth are known as threats.
Maruti Suzuki’s threats include the following:
Fall in Market Share: Maruti Suzuki has experienced a great fall in its market share
because of the higher increment in market share of other brands, such as Figo, Ford,
and Volkswagen. Also, Maruti Suzuki registered a sales drop in January 2022.
Intense Competition: China intends to join the Indian car market which can create
immense competition. Also, Maruti Suzuki has other competitors from global
automotive brands.
Controversies: Maruti Suzuki is facing certain controversies such as its cars failing
accident tests and safety benchmarks which is one of the most important aspects
customers look into before purchasing any car.
Costs and Expenses: Higher fuel costs including demonetization expenses and
economic recession has caused decreasing purchases by customers

14
BIT-MBA
 Maruthi Suzuki

Competitors Information:
1. Hyundai
2. Tata
3. Toyota

1.Honda:

Honda Motor Co., Ltd. Honda Giken Kōgyō Kabushiki gaisha, lit. 'Honda Institute
of Technology and Industry Company', IPA: [honda] is a
Japanese public multinational conglomerate manufacturer of automobiles,
motorcycles, and power equipment, headquartered in Minato, Tokyo, Japan.
Honda has been the world's largest Motorcycle manufacturer since 1959, reaching a
production of 400 million by the end of 2019. It is also the world's largest manufacturer
of internal combustion engines measured by volume, producing more than 14 million
internal combustion engines each year. Honda became the second-largest Japanese
automobile manufacturer in 2001. In 2015, Honda was the eighth largest automobile
manufacturer in the world.
Honda was the first Japanese automobile manufacturer to release a dedicated luxury
brand, Acura, in 1986. Aside from their core automobile and motorcycle businesses,
Honda also manufactures garden equipment, marine engines, personal watercraft,
power generators, and other products. Since 1986, Honda has been involved with
artificial intelligence/robotics research and released their ASIMO robot in 2000. They
have also ventured into aerospace with the establishment of GE Honda Aero Engines in
2004 and the Honda HA-420 HondaJet, which began production in 2012. Honda has
two joint-ventures in China: Dongfeng Honda and Guangqi Honda.
In 2013, Honda invested about 5.7% (US$6.8 billion) of its revenues into research and
development.Also in 2013, Honda became the first Japanese automaker to be a net

15
BIT-MBA
 Maruthi Suzuki

exporter from the United States, exporting 108,705 Honda and Acura models, while
importing only 88,357.

2.Hyundai:

Hyundai Motor Company has served as the trailblazer of Korea’s automobile industry since
rolling out its Pony, developed with its own exclusive technology. Hyundai Motor Company
has risen as a globally recognized automobile manufacturer that exports its branded vehicles
to over 200 countries. It is equipped with production bases all around the world. It is
expanding the automobile market through its success in mass-producing hydrogen-powered
vehicles for the first time in the world and launching GENESIS, a high-end brand, while
propelling the future mobility industry forward based on its leadership in autonomous
driving and connectivity technologies. It seeks to find better solutions for humanity by
achieving technological innovation under the aim of "Progress for Humanity".

3.Tata:

Tata Group, privately owned conglomerate of nearly 100

companies encompassing several primary business sectors: chemicals, consumer
products, energy, engineering, information systems, materials, and services.
Headquarters are in Mumbai.
The Tata Group was founded as a private trading firm in 1868 by entrepreneur and
philanthropist Jamsetji Nusserwanji Tata. In 1902 the group incorporated the Indian

16
BIT-MBA
 Maruthi Suzuki

Hotels Company to commission the Taj Mahal Palace & Tower, the first luxury hotel
in India, which opened the following year. After Jamsetji’s death in 1904, his son Sir
Dorab Tata took over as chair of the Tata Group. Under Dorab’s leadership the group
quickly diversified, venturing into a vast array of new industries, including steel (1907),
electricity (1910), education (1911), consumer goods (1917), and aviation (1932).

Following Dorab’s death in 1932, Sir Now roji Saklatwala became the group’s chair.
Six years later Jehangir Ratanji Dadabhoy Tata (J.R.D.) took over the position. His
continued expansion of the company into new sectors-such as chemicals (1939),
technology (1945), cosmetics (1952), marketing, engineering, and manufacturing
(1954), tea (1962), and software services (1968)-earned Tata Group international
recognition. In 1945 Tata Group established the Tata Engineering and Locomotive
Company (TELCO) to manufacture engineering and locomotive products; it was
renamed Tata Motors in 2003. In 1991 J.R.D.’s nephew, Indian business mogul Ratan
Tata, succeeded him as chairman of the Tata Group.
Upon assuming leadership of the conglomerate, Ratan aggressively sought to expand
it, and increasingly he focused on globalizing its businesses. In 2000 the group acquired
London-based Tetley Tea, and in 2004 it purchased the truck-manufacturing operations
of South Korea’s Daewoo Motors. In 2001 Tata Group partnered with American
International Group, Inc. (AIG) to create the insurance company Tata-AIG.

In 2007 Tata Steel completed the biggest corporate takeover by an Indian company
when it acquired the giant Anglo-Dutch steel manufacturer Corus Group. The following
year the company made headlines worldwide when it ventured into the automotive
industry.
On January 10, 2008, Tata Motors officially launched the Nano, a tiny, rear-engine,
pod-shaped vehicle that eventually sold at a base price (excluding options, tax, and
transportation fees) equivalent to $1,500 to $3,000. Although only slightly more than 3
metres (10 feet) long and about 1.5 metres (5 feet) wide, the highly touted “People’s
Car” could seat up to five adults and, in Tata’s words, would provide a “safe, affordable,
all-weather form of transport” for millions of middle- and lower-income consumers
both in India and abroad. The first Nano hit the road in India in July 2009.
Tata Motors purchased the elite British brands Jaguar and Land Rover from the Ford
Motor Company in 2008. Four years later Ratan Tata retired and was succeeded by
17
BIT-MBA
 Maruthi Suzuki

Cyrus Mistry. Mistry was abruptly dismissed as chairman in October 2016-reportedly

over disagreements with members of the Tata family regarding business strategy-and
Ratan returned to the position on an interim basis. Ratan’s second stint as chairman
ended in January 2017 when Natarajan Chandrasekaran was appointed to the position.

4.Toyota:

Toyota Motor Corporation, Japanese Toyota Jidosha KK, Japanese parent company of
the Toyota Group. It became the largest automobile brand and manufacturer in the
world for the first time in 2008, surpassing General Motors. Many of its about 1,000
subsidiary companies and affiliates are involved in the production of automobiles,
automobile parts, and commercial and industrial vehicles. Headquarters are in Toyota
City, an industrial city east of Nagoya, Japan.

In 1933 Toyoda Kiichiro founded what later became the Toyota Motor Corporation as
a division of the Toyoda Automatic Loom Works, Ltd. (later Toyota Industries
Corporation, now a subsidiary), a Japanese manufacturer founded by his father, Toyoda
Sakichi. Its first production car, the Model AA sedan, was released in 1936. The
following year the division was incorporated as the Toyota Motor Company, Ltd.,
headed by Kiichiro. (The company’s name was changed to Toyota, which has a more
pleasing sound in Japanese.)
Toyota subsequently established several related companies, including Toyoda Machine
Works, Ltd. (1941), and Toyota Auto Body, Ltd. (1945). During World War II the
company suspended production of passenger cars and concentrated on trucks. Faced
with wrecked facilities and a chaotic economy in the aftermath of World War II, the
company did not resume making passenger cars until 1947 with the introduction
of the Model SA.
In the 1960s, Toyota took advantage of the rapidly growing Japanese economy to sell
cars to a growing middle-class, leading to the development of the Toyota Corolla,
which became the world's all-time best-selling automobile. The booming economy also

18
BIT-MBA
 Maruthi Suzuki

funded an international expansion that allowed Toyota to grow into one of the largest
automakers in the world, the largest company in Japan and the ninth-largest company
in the world by revenue, as of December 2020. Toyota was the world's first automobile
manufacturer to produce more than 10 million vehicles per year, a record set in 2012,
when it also reported the production of its 200 millionth vehicle.
Toyota was praised for being a leader in the development and sales of more fuel-
efficient hybrid electric vehicles, starting with the introduction of the Toyota Prius in
1997. The company now sells more than 40 hybrid vehicle models around the world.
More recently, the company has also been criticized for being slow to adopt all-electric
vehicles and focusing on the development of hydrogen fuel cell vehicles, like
the Toyota Mirai, a technology that is costlier and has fallen far behind electric
batteries.

19
BIT-MBA
 Maruthi Suzuki

Financial Statement :( in cr.)

Balance sheet of maruthi suzuki

company 31/03/2023 31/03/2022 31/03/2021 31/03/2020 31/03/2019
EQUITIES AND LIABILITIES
SHAREHOLDER'S FUNDS
Equity Share Capital 151 151 151 151 151
TOTAL SHARE CAPITAL 151 151 151 151 151
Reserves and Surplus 60,231.00 53,935.00 51,215.80 48,286.00 45,990.50
TOTAL RESERVES AND 60,231.00 53,935.00 51,215.80 48,286.00 45,990.50
SURPLUS
TOTAL SHAREHOLDERS 60,382.00 54,086.00 51,366.80 48,437.00 46,141.50
FUNDS
NON-CURRENT
LIABILITIES
Long Term Borrowings 0 0 0 0 0
Deferred Tax Liabilities [Net] 0 0 384.7 598.4 564
Other Long Term Liabilities 2,609.80 2,211.30 2,164.50 2,170.30 2,036.50
Long Term Provisions 87.6 83.3 44.7 51.6 39.5
TOTAL NON-CURRENT 2,697.40 2,294.60 2,593.90 2,820.30 2,640.00
LIABILITIES
CURRENT LIABILITIES
Short Term Borrowings 1,215.80 381.9 488.8 106.3 149.6
Trade Payables 11,780.40 9,761.00 10,161.70 7,494.10 9,633.00
Other Current Liabilities 6,140.70 6,009.50 4,714.60 3,014.80 3,743.30
Short Term Provisions 962.4 861.3 741.6 679.6 624.4
TOTAL CURRENT 20,099.30 17,013.70 16,106.70 11,294.80 14,150.30
LIABILITIES
TOTAL CAPITAL AND 83,178.70 73,394.30 70,067.40 62,552.10 62,931.80
LIABILITIES

ASSETS
NON-CURRENT ASSETS

20
BIT-MBA
 Maruthi Suzuki

Tangible Assets 17,257.00 13,367.40 14,732.80 15,374.50 14,956.70

Intangible Assets 547.9 349.9 224.2 335.8 451.1
Capital Work-In-Progress 2,808.10 2,639.10 1,192.30 1,337.40 1,600.10
Other Assets 0 0 0 0 0
FIXED ASSETS 20,701.90 16,646.70 16,446.80 17,118.60 17,007.90
Non-Current Investments 47,756.40 36,663.20 33,371.00 35,248.80 31,469.50
Deferred Tax Assets [Net] 341.1 202.7 0 0 0
Long Term Loans And Advances 0.2 0.2 0.2 0.2 0.2
Other Non-Current Assets 2,779.20 3,100.30 1,722.70 1,757.10 2,092.60
TOTAL NON-CURRENT 71,578.80 56,613.10 51,540.70 54,124.70 50,570.20
ASSETS

CURRENT ASSETS
Current Investments 0 4,100.10 8,415.70 1,218.80 5,045.50
Inventories 4,283.80 3,533.10 3,050.00 3,214.90 3,325.70
Trade Receivables 3,295.80 2,030.10 1,276.60 1,974.90 2,310.40
Cash And Cash Equivalents 37.7 3,036.20 3,036.40 21.1 178.9
Short Term Loans And Advances 29.7 30.5 23 16.9 16
OtherCurrentAssets 3,952.90 4,051.20 2,725.00 1,980.80 1,485.10
TOTAL CURRENT ASSETS 11,599.90 16,781.20 18,526.70 8,427.40 12,361.60
TOTAL ASSETS 83,178.70 73,394.30 70,067.40 62,552.10 62,931.80

21
BIT-MBA
 Maruthi Suzuki

Key financial ratio of maruthi 31-03-2023 31-03-2022 31-03-2021 31-03-2020 31-03-2019

Suzuki (in cr.)

PER SHARE RATIOS

Basic EPS (Rs.) 266.46 124.68 140.02 187.06 248.3
Diluted EPS (Rs.) 266.46 124.68 140.02 187.06 248.3
Cash EPS (Rs.) 360.02 216.98 240.44 303.85 348.33
Book Value /Share (Rs.) 1,999.40 1,790.93 1,700.89 1,603.87 1,527.86
Book Value /Share (Rs.) 1,999.40 1,790.93 1,700.89 1,603.87 1,527.86
Dividend / Share(Rs.) 90 60 45 60 80
Revenue from Operations/Share 3,891.49 2,923.70 2,328.89 2,503.66 2,848.35
(Rs.)
PBDIT/Share (Rs.) 436.06 248.17 274.56 355.08 449.02
PBIT/Share (Rs.) 342.57 155.9 174.18 238.33 349.05
PBT/Share (Rs.) 336.39 151.73 170.84 233.93 346.54
Net Profit/Share (Rs.) 266.53 124.71 140.06 187.11 248.36

PROFITABILITY RATIOS
PBDIT Margin (%) 11.2 8.48 11.78 14.18 15.76
PBIT Margin (%) 8.8 5.33 7.47 9.51 12.25
PBT Margin (%) 8.64 5.18 7.33 9.34 12.16
Net Profit Margin (%) 6.84 4.26 6.01 7.47 8.71
Return on Net worth / Equity 13.33 6.96 8.23 11.66 16.25
(%)
Return on Capital Employed 16.4 8.35 9.74 14.04 21.6
(%)
Return on Assets (%) 9.67 5.13 6.03 9.03 11.91
Total Debt/Equity (X) 0.02 0.01 0.01 0 0
Asset Turnover Ratio (%) 1.5 1.23 100.37 120.87 136.68

LIQUIDITY RATIOS
Current Ratio (X) 0.58 0.99 1.15 0.75 0.87
Quick Ratio (X) 0.36 0.78 0.96 0.46 0.64
Inventory Turnover Ratio (X) 11.94 12.07 23.06 23.52 25.87

22
BIT-MBA
 Maruthi Suzuki

Dividend Payout Ratio (NP) (%) 22.51 36.09 42.85 42.76 32.21
Dividend Payout Ratio (CP) (%) 16.67 20.74 24.96 26.33 22.97
Earnings Retention Ratio (%) 77.49 63.91 57.15 57.24 67.79
Cash Earnings Retention Ratio 83.33 79.26 75.04 73.67 77.03
(%)

VALUATION RATIOS
Enterprise Value (Cr.) 2,51,616.13 2,25,654.68 2,04,616.85 1,29,575.25 2,01,456.04
EV/Net Operating Revenue (X) 2.14 2.56 2.91 1.71 2.34
EV/EBITDA (X) 19.11 30.11 24.68 12.08 14.86
Market Cap/Net Operating 2.13 2.59 2.95 1.71 2.34
Revenue (X)
Retention Ratios (%) 77.48 63.9 57.14 57.23 67.78
Price/BV (X) 4.15 4.22 4.03 2.67 4.37
Price/Net Operating Revenue 2.13 2.59 2.95 1.71 2.34
Earnings Yield 0.03 0.02 0.02 0.04 0.04
Ratio Analysis :( in crores)

23
BIT-MBA
 Maruthi Suzuki

INTERPRETATION:
Maruti Suzuki is an Indian automobile manufacturer that has a significant presence in
the automotive industry. The company is a subsidiary of Suzuki Motor Corporation, a
Japanese multinational corporation known for its expertise in producing compact and
economical vehicles. Here's an interpretation of Maruti Suzuki:
Maruti Suzuki played a pivotal role in revolutionizing the Indian automobile industry.
It was the first company to introduce affordable, reliable, and fuel-efficient cars to the
Indian market, making car ownership more accessible to a wider range of people.
Maruti Suzuki has consistently held a dominant position in the Indian automotive
market. Their range of vehicles, which includes hatchbacks, sedans, SUVs, and
compact cars, cater to diverse consumer segments, contributing to their success and
market leadership.
The company has had a substantial impact on the Indian economy. It has generated
employment opportunities across various sectors, including manufacturing, sales,
services, and ancillary industries. Maruti Suzuki's success has also contributed to the
growth of associated businesses, such as dealerships and spare parts suppliers.
Over the years, Maruti Suzuki has demonstrated a commitment to incorporating
advanced technologies and features into their vehicles. This has helped them meet
evolving consumer preferences and regulatory requirements related to safety,
emissions, and efficiency.
Maruti Suzuki has established a strong brand reputation for producing vehicles that are
known for their reliability, low maintenance costs, and good resale value. This
reputation has significantly contributed to their continued popularity among Indian
consumers.
Maruti Suzuki has established a strong brand reputation for producing vehicles that are
known for their reliability, low maintenance costs, and good resale value. This
reputation has significantly contributed to their continued popularity among Indian
consumers.
As a subsidiary of Suzuki Motor Corporation, Maruti Suzuki benefits from the parent
company's global expertise, research and development capabilities, and technical
know-how. This partnership has enabled Maruti Suzuki to maintain a competitive edge
in the Indian market.

24
BIT-MBA
 Maruthi Suzuki

While Maruti Suzuki has enjoyed significant success, it also faces challenges such as
increasing competition from both domestic and international automobile
manufacturers. It needs to continuously innovate and adapt to changing market
dynamics to retain its market share.

25
BIT-MBA