Presentation on Automobile

Industry
 Evolution of Automobile Industry
Initial Years
Early to mid 90s
Manufacturing was licensed
•Seller’s market and long
•High Customs duty on import Mid 90s – Early 2000s
waiting periods
•Steep excise duties & •Buyers market
•Delicensing in 1993
•Sales tax
•Increase in Indigenization
•Removal of capacity
•2 Major players:
restrictions
Premier Automobiles Ltd •Easy Auto finance
& Hindustan Motors
•Decrease in customs &
•Manufactures diversifying
excise
1980s into related activities:
finance lease, fleet
•Auto finance boom- more
•Entry of MUL, better product, management, insurance
players (foreign banks & non
with government support and used car market
banking companies, better
schemes.
•Seller’s Market

•Long Waiting Periods

 SEGMENTATION OF
AUTOMOBILE INDUSTRY
• Following is the segmentation that how much each sector comprises of
whole Indian Automobile Industry.
 KEY PLAYERS
 

Maruti TATA
Hyundai Honda
Ford GM
Sonalika International HM
Force Toyota Kirloskar
M&M Fiat
Skoda Audi
Mercedes Benz BMW
Volkswagon Mitshubishi
 The Key Players…

Passenger vehicle
Commercial TATA Motors, Ashok Leyland, Swaraj Mazda,Mahindra & Mahindra ,Force
vehicles motors, Eicher Motors

Passenger TATA Motors, Maruti Udyog, Honda Motors, Toyata, Skoda, Mahindra &
vehicle Mahindra, Daimler Chrysler, Hindustan Motors

Two Wheeler Hero Honda, Bajaj Auto, Honda Motors, TVS Motors, Yamaha , Kinetic Motors

Three Wheeler Bajaj Auto, Piaggio India

 MARUTI UDYOG LIMITED 

• Maruti Suzuki India Limited is a publicly listed

automaker in India.
• It was the first company in India to mass-produce
and sell more than a million cars
• It is the market leader in India
• Maruti Udyog was renamed Maruti Suzuki India
Limited.
• Established in December 1983, Maruti Suzuki India
Ltd. has ushered a revolution in the Indian car
industry
 Leader Strategies 

• Position Defense
• Flank Defense
• Preemptive Defense
• Counteroffensive Defense
• Mobile Defense
• Contraction Defense
  TATA MOTORS 

• Tata Motors Limited is a multinational corporation

headquartered in Mumbai, India. Part of the Tata
Group
• Established in 1945, when the company began
manufacturing locomotives, the company
manufactured its first commercial vehicle in 1954 in
a collaboration with Daimler-Benz AG, which ended
in 1969.
• Tata Motors has a consolidated revenue of USD 16
billion after the acquisition of British automotive
brands Jaguar and Landrover in 2008.
 Challenger strategies 

• Frontal Attack
• Flank Attack
• Encirclement Attack
• Bypass Attack
• Guerilla Warfare
 Ford Motor Company

• The Ford Motor Company is an American multinational corporation based in

Michigan a suburb of Detroit. The automaker was founded by Henry Ford and
incorporated on June 16, 1903.

• The company's venture into the Indian automobile market dates back to 1926,
but sadly it was shut down in 1954. Despite its failed attempt, the automaker once
again entered the Indian automobile business in 1995, as a 50-50 joint venture
with Mahindra & Mahindra (M&M).

• Three years thence, in 1998, Ford acquired 72% of the share in MFIL, thereby
renaming the company as Ford India. The company made a debut in India with
Escort, its first passenger car. With the advancement of technology and to adept
with the rising demand, Ford replaced its Escort with Ford Ikon in 2001.

• After the magnanimous success of Ikon, the company added some more luxurious
cars to its product line, including Fiesta, Fusion, Mondeo, Endeavour and
Endeavour Thunder+. The other models include the Ford Zetec (MIFL) and Ford
Escorts (MIFL).
 FOLLOWER STRATEGIES 

• Counterfeiter
• Cloner
• Imitator
• Adaptor
 Nicher
• Luxury car brands such as AUDI, BMW, LEXUS…

• Target small markets

• Low share of market but highly profitable.

• They achieve high margin unlike the high volume which is

done by a mass marketer.
• Verizon
• AT & T
• Sprint
• T- mobile
• U.S cellular
• Cricket
• Virgin mobile
• Boost mobile
• Tracfone
• Powernet mobile
• Bharti Airtel
• 2. Vodafone Essar
• 3. Reliance Infocom (ADAG)
• 4. BSNL (Bharat Sanchar Nigam Ltd.)
• 5. Tata Indicom
• 6. Idea Cellular
• 7. Aircel
• 8. Spice Telecom
• 9. BPL
• Major Players
• There are three types of players in telecom services:
• • -State owned companies (BSNL and MTNL)
• • -Private Indian owned companies (Reliance
Infocomm, Tata Teleservices,)
• • -Foreign invested companies (Hutchison-Essar,
Bharti Tele-Ventures,
• Escotel, Idea Cellular, BPL Mobile, Spice
Communications)
Bharti 24.7%
r.Com 17.7
Vodafone 17.6
BSNL 13.3
Idea 11
others 10
 

Business Process Management  Process Innovations and Continuous Improvement through

People Involvement Problem Investigation by "Fact Based - Root Cause Analysis“

 CUSTOMER-DEFINED BUSINESS PROCESSES  :

Based on Customer Specifications, AirTel have webbed many business processes on the
following concepts: 
 Delivery time
  Turn around time
  Lead-time
  Time to market
  Other performance indicators 
• Not easy to define market challenger in mobile
services. We can consider the vodafone,
r.com, tata indicom as market challenger
• Strategies used by them are
• Vodafone – used and introduced zoozoo’s to
increase market share
• Tata indicom is known for providing services
like caller tunes, i.e value added services
• Spice and uninor can be considered as the market
follower
• Uninor (a partnership between the Delhi-based
Unitech Wireless and Telenor from Norway)
• Our marketing strategy is not price-led. The per-
second billing (which many operators are offering) is
not for those who use the phone a lot. We have
launched two plans - the ‘Talk more' plan and a daily
rental plan – which give more value for users who use
the phone a lot.
• The more you talk, the lower the price gets.
We are looking to empower people by giving
value-for-money service and this is what we
have tried to communicate through our
promotional campaign
• As the nth entrant in the telecom market, the
brand faces a challenge to distinguish itself
from the rest. But the Uninor launch campaign
attracts eyeballs and creates for top of mind
awareness for the brand.
• Consumers find the Uninor campaign intriguing but
confusing. Ms Nandini Sundar, a 25-year-old IT
executive, says, although the campaign is different,
it's not very forthcoming in what it is trying to
convey.
• “I didn't even know it was a telecom service, till I
read the fine print right at the bottom.” She,
however, says the brand, which can be seen
literally everywhere, does raise one's curiosity to
know more.