Name: Amol .S.

Mane
Class: SY BMS
Div : A
R.N : 10
Sub : Strategic Management
Topic : Automobile Sector (Tata Motors and Maruti Suzuki)
SWOT ANALYSIS
 MR. KENICHI AYUKAWA
Managing Director & CEO
Founded 1945
Founder J. R. D. Tata
 HISTORY:
MARUTI SUZUKI:
• Maruti Udyog Limited which is now known as Maruti Suzuki India Limited is a
37-year-old conglomerate that has fulfilled the lives and needs of Indian citizens in
terms of their automobiles. It is a 56.21% owned subsidiary of the Japanese
automobile company Suzuki Motor Corporation.
• It is the largest car manufacturer company in India. The Company recorded the
highest ever market share of 58% as of July 2018 in the Indian automobile market
making it the most popular and revered brand in the country and around the world.
Some of its popular cars are Ciaz, Ertiga, Wagon R, Alto, Swift, Celerio, Swift
Dzire, Baleno, Alto 800, etc.
• Maruti Udyog Limited was founded by the Government of India on 24 February
1981 with Suzuki Motor Corporation as a minor partner, only to become the formal
JV partner and license holder of Suzuki in October 1982.The first manufacturing
factory of Maruti was established in Gurugram, Haryana, in the same year.
TATA MOTORS:

• Tata Motors was founded in 1945 and started its operations as a manufacturer of
locomotives. After 9 years in 1954, In collaboration with Daimler-Benz AG,
manufactures its first commercial vehicle in history; its partnership with Daimler-
Benz AG was ended in 1969.
• In 1988, Tata Motors started the manufacturing of passenger vehicles, with the
launch of the model Tata Mobile and after that Tata Sierra in 1991, and become
the first Indian automobile company to manufacture a fully indigenous
automobile.
• 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 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).
TATA MOTORS: MARUTI SUZUKI:

MISSION: MISSION:
We innovate mobility solutions with passion to • 1.Develop products of superior value by
enhance quality of life focusing on the customer
VISION • 2. Establish a refreshing and innovative
• As a high Performance Organization, we are,by company through teamwork
FY2019 • 3. Strive for individual excellence through
• Among the Top 3 Global CV and Domestic PV continuous improvement
• Achieving Sustainable Financial Performance VISION
• Delivering Exciting Innovation • THE LEADER IN INDIAN AUTOMOBILE
VALUES INDUSTRY. CREATING CUSTOMER
• Integrity DELIGHT AND SHARE HOLDERS
WEALTH.
• Teamwork
• Accountability • A PRIDE OF INDIA
• Customer Focus VALUES:
• Excellence • CUSTOMER OBESSION
• Speed • FAST, FLEXIBLE AND FAST MOVER
PRODUCTS:
SWOT ANALYSIS:
STRENGTH:
TATA MOTORS:
• Large and diversified product portfolio:
Tata’s product portfolio is broad and well-
diversified. The well-diversified
automobile portfolio helps them bring
revenue and income stabilization. This
stability develops confidence for the
investors in Tata Motors.
• Brand recognition: TATA is a well-known
brand in the country of origin and in
neighboring countries such as
Bangladesh, Pakistan, etc.
Maruti Suzuki
• Maruti Suzuki is India’s largest passenger
car manufacturer with a market share of
around 45 percent.
• 12Maruti has an employee base of more
than 12,000.
• Effective ads, a product range, products
that compete for themselves.
• Largest dealer sales network and service
centers.
WEAKNESS:
TATA MOTORS: MARUTI SUZUKI:

• Global presence: The global car market is • Weak interior quality in cars compared to
growing at a rapid pace. If it’s limited to a high-quality players such as Hyundai and
particular area, then it’s a strong barrier to other recent foreign players such as
growth as other international companies Volkswagen, Kia etc.
can enter the very same sector. In • Intervention by the Government because
achieving global market shares Tata it has a share in Maruti Suzuki.
remained silent. Until now it has not
penetrated into other foreign markets. • Younger generations began to have a big
affinity for new foreign brands.
• Ineffective Marketing strategy: a firm’s
power lies in a solid marketing strategy.
It’s the way a firm can know their
customer’s demands and produce the
products accordingly.
OPPORTUNITIES:
TATA MOTORS:
• Strategic Positioning: For creating a
positive brand identity company must
have a clear marketing strategy. It can
also allow developing a good client base
in India and around the world. For
reaching new markets and position itself
TATA Motors must follow an aggressive
marketing and promotional strategy.
• Merger and Acquisition Opportunities:
Merger and acquisition is a fairly
common tradition in the automotive
sector. Tata has a long track record as one
of India’s oldest companies. As it grew
larger, it has acquired acquisition
capabilities.  
MARUTI SUZUKI:
• Maruti Suzuki introduced their LPG
version of Wagon R and at the same time,
it as a positive move.
• Maruti’s cars have immense potential in
tapping into the middle-class segment and
serving as a big challenge to Nano.
• Maruti ‘s Latest DZire will grab the
market share and are expected to build the
same magic as Maruti Esteem (not
currently available).
THREATS:
TATA MOTORS:
• Fuel price: Fuel prices influence vehicle
sales not only in India but worldwide as
well. The fuel price and car sales are
directly related. So if the price of the
product increases, the sales volume will
decrease. This is the biggest threat for the
car manufacturing company like TATA
Motors
• Government Environmental Law: Many
countries develop carbon emissions laws.
If India introduces this kind of law, TATA
may need to produce more carbon-
efficient cars that may need additional
investment.
MARUTI SUZUKI:
• Maruti Suzuki recently experienced a fall
in market share due to the increasing
demand for cars of foreign players.
• Major players like Maruti Suzuki,
Hyundai, Tata lost their market share due
to lots of small players like Volkswagen-
polo. Because of its Figo, Ford has
demonstrated a substantial increase in
market share.
COMPARISON:
• The main advantage with the following study will be the fact that both the companies can
ultimately enhance consumer preference parameters towards their own respective brand.
In this post, we looked at two big companies with amazing products and a big brand
name. However, from our analysis, it is clear that Maruti Suzuki fulfills the criteria of a
wonderful company to invest while Tata Motors clearly not.