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Maruti Suzuki

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PROJECT REPORT

ON

MARUTI SUZUKI SEGMENTATION AND


SALES TREND
A project report submitted in the partial fulfillment of the requirements
For the award of the degree of
BACHELOR OF BUSINESS ADMINISTRATION
TO
GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY
By
ANIRUDH SHARMA
Enroll no.: 06490201812
Under the guidance of
Ms. Manpreet Kaur

SRI GURU TEGH BAHADUR INSTITUTE OF MANAGEMENT


AND INFORMATION TECHNOLOGY
(Affiliated to Guru Gobind Singh Indraprastha University, Delhi)
(2012-2015)

DECLARATION
I hereby declare that the project work entitled MARUTI SUZUKI
SEGMENTATION AND SALES TREND is submitted to the Indraprastha

University, is a record of original work done by me under the guidance of


Ms. Manpreet Kaur.

___________________
Place- Delhi

Signature of the Scholar


Name- ANIRUDH SHARMA
Enrolment No- 06490201812

CERTIFICATE
This is to certify that I ANIRUDH SHARMA, Enrolment No.06490201812,
BBA(B&I) student of Sri Guru Tegh Bahadur Institute Of Management
And Information Technology has done project work on MARUTI SUZUKI
SEGMENTATION AND SALES TREND under the guidance of Ms. Manpreet

Kaur.
________________
Signature of Director
Dr. P.L. SETHI
________________
Signature of Incharge
Ms. BIPASHA CHAUDHARY
________________
Signature of the Guide
Ms. Manpreet Kaur
_______________
Place: Delhi

Signature of the Scholar

Date:

Name- ANIRUDH SHARMA


Enrollment No.: 06490201812

ACKNOWLEDGEMENT
With performed sense of gratitude and regard, I express my sincere thanks to
my guide and trainer Ms. Manpreet Kaur for her valuable guidance and the
confidence she inculcated in me, that helped me in the successful completion
of this project report. Without her help, this project report would have been a
distinct affair. Her thorough understanding of the subject and the
professional guidance provided me immense help. I am also thankful of our
teachers who cooperate with me and gave me their valuable time.

Place- Delhi

_______________
Signature of the Scholar
Name- ANIRUDH SHARMA
Enrolment No.: 06490201812

S.NO

TABLE OF CONTENT
TOPIC

PAGE NO.

1.

Introduction

1-11

2.

Objectives

12

3.

Research Methodology

13-19

4.

Company Profile

20-46

5.

Data Analysis

47-59

6.

Conclusion

60-62

7.

Recommendation

63-65

8.

Bibliography

66

9.

Annexure

67-68

Questionnaire

CHAPTER 1
INTRODUCTION

INTRODUCTION
The Indian Automobile Market is expected to grow at a CAGR of 9.5
percent amounting to Rs. 13,008 million by 2012. The Commercial Vehicle
Segment has been contributing to the automobile market to a great extent.
Many foreign companies have been investing in the Indian Automobile
Market in various ways such as technology transfers, joint ventures, strategic
alliances, exports, and financial collaborations. The auto market in India can
boast of attractive finance schemes, increasing purchasing power, and launch
of the latest products.
Total sales of major car manufacturers in India registered a figure of 0.674
million units at the end of March, 2011. The number of car exports in India
was 39,295 units. General Motors, Maruti, and Honda accounted for 60
percent of the market sales at the end of April, 2011. There has been an
increase in the purchase of motorcycles and cars both, in the rural as well as
urban areas.
Maruti Suzuki is Indias No. 1 customer satisfaction car company. Its sale is
more than 50% of care of Indian car market. But now it is getting a good
competition with other new car company and foreign companies and its

sales is going down because other car companies are trying to present
different types of new car in different segment. So in my study I tried to
study Maruti Suzuki segmentation of cars and its sales trend and its effect on
customer. This project is all about segmentation and sales trend study of
Maruti Suzuki. Through my study I am trying to analyze the customer
demand in different segments and advancement required in Marutis
segmentation. I am also analyzing Maruti Suzuki sales trend. I had visited
different dealers of Maruti Suzuki in delhi and asked some question and
based on that I am trying to analyze the data and sales trend of Maruti
Suzuki. I had also collected some secondary data of different study done on
Maruti Suzuki and based on that I am trying to present the sales trend
analysis of Maruti Suzuki.
The automobile as we know it was not invented in a single day by a single
inventor. The history of the automobile reflects an evolution that took place
worldwide. It is estimated that over 100,000 patents created the modern
automobile.
However, we can point to the many first that occurred along the way.
Starting with the first theoretical plans for a motor vehicle that had been
drawn up by both Leonardo da Vinci and Isaac Newton.
In 1769, the very first self-propelled road vehicle was a military tractor
invented by French engineer and mechanic, Nicolas joseph Cugnot (1725
1804). Cugnot used a steam engine to power his instructions at the paris
Arsenal by mechanic Brezin. It was used by the French Army to haul
artillery at a whopping speed of 2 mph on only three wheels. The vehicle
has to stop every ten to fifteen minutes to build up steam power. The steam
engine and boiler were separate form the rest of the vehicle and placed in the
front. The following year (1770), Cugnot built a steam-powered tricycle
carried four passengers.

In 1771, Cugnot drove one of his road vehicles into a stone wall, making
Cugnot the first person to get into a motor vehicle accident. This was the
beginning of bad luck for the inventor. After one of Cugnots patrons died
and the other was exiled, the money for Cugnots road vehicle experiments
ended
Steam engines powered cars by burning fuel that heated water in a boiler,
creating steam that expanded and pushed pistons that turned the crankshaft,
which then turned the wheels. During the early history of self-propelled
vehicles-both road and railroad vehicles were being developed with steam
engines. (Cugnot also designed two steam locomotives that they proved a
poor design road vehicles; however, steam engines were very successfully
used in locomotives. Historians, who accept that early steam-powered road
vehicles were automobiles, feel that Nicolas Cugnot was the inventor of
the first automobile.

After Cugnot Several Other Inventors Designed SteamPowered Road Vehicles


Cugnots vehicle was imporved by Frenchman, Onesiphore Pecqueur,
who also invented the first differential gear, improved Cugnots
vehicle.
In 1789, the first U.S. patent for a steam-powered land vehicle was
granted to Oliver Evans.
In 1801, Richard Trevithick built a road carriage powered by steamthe first in Great Britain.

In Britain, form 1820 to 1840, steam-powered stagecoaches were in


regular service. These were later banned from public roads and
Britains railroad system.
Steam-driven road tractors (built by Charles Deitz) pulled passenger
carriages around Paris and Bordeaux up to 1850.
In the United States, numerous steam coaches were built from 1860 to
1880. Inventors included. Harrison Dyer, Joseph Dixon, Rufus Porter,
and William T.James.
Amedee Bollee Sr. built advanced steam cars form 1873 to 1883. The
La Mnacelle built in 1878, had a front-mounted engine, shaft drive
to he differential, chain drive to the rear wheels, steering wheel on a
vertical shaft and drivers seat behind the engine. The boiler was
carried behind the passenger compartment.
In1871, Dr.J.W. Carhart, professor of physics at Wisconsin State
University, and the J.I. Case Company built a working steam car that
won a 200-mile race.

Early Electric Cars


Steam engines were not the only engines used in early automobiles. Vehicles
with electrical engines were also invented. Between 1832 and 1839 (the
exact year is uncertain), Robert Anderson of Scotland invented the first
electric motor. The vehicles were heavy, slow, expensive, and needed to stop
for recharging frequently. Electricity found greater success in tramways and
streetcars, where a constant supply of electricity was possible.

Around 1900, electric land vehicles in America outsold all other type of cars.
Then in the several years following 1900, sales of electric vehicles took a
nosedive as new type of vehicle came to dominate the consumer market.

History of the Internal Combustion Engine The Heart of the


Automobile
An internal combustion engine is any that uses the explosive combustion of
fuel to push a piston within a cylinder the pistons movement turns
crankshaft that then turns the car wheels via a chain or a drive shaft. The
different types of fuel commonly used for car combustion engines are
gasoline (or petrol), diesel, and kerosene.
A brief outline of the history of the internal combustion engine includes the
following highlights.
1680 - Dutch physicist, Christian Huygeness designed (but never
built) an internal combustion engine that was be fueled with
gunpowder.
1807 - Francois Isaac de Rivaz of Swizerland invented an internal
combustion engine that used a mixture of hydrogen and oxygen for
fuel. Rivaz designed a car for his engine the first internal
combustion powered automobile. However, this was a very
unsuccessful vehicle.
1824 - English engineer, Sumuel Brown adapted an old Newcomen
steam engine to burn gas, and he used it to briefly power a vehicle up
Shooters Hill in London.

1858 - Belgian born engineer, jean joseph Etienne Lenoir invented


and patented (1860) a double-acting, electric spark-ignition internal
combustion engine fueled by coal gas. In 1863, Lenoir attached an
improved engine (using petroleum and a primitive carburetor) to a
three-wheeled wagon that managed to complete an historic fifty-mile
road trip. (See image at top)
1862 - Alphonse Beau de Rochas, a French civil engineer, patentee
but did not build a foru-stroke engine (French patent #52, 593,
January 16, 1862).
1864 Austrian engineer Siegfried Marcus*, built a one-cylinder
engine with a crude carburetor, and attached his engine to a cart for a
rocky 500-foot drive. It was the worlds first gasoline-powered
vehicle. Several year later, Marcus was able to design a vehicle that
briefly ran at 10 mph that some historians consider was the forerunner
of the modern automobile.
1873 George Brayton, an American engineer, developed an
unsuccessful two-stroke kerosene engine (it used two external
pumping cylinders). However, it was considered that first safe and
practical oil engine.
1866 German engineers, Eugen Langen and Nikolaus August Otto
improved on Lenoirs and de Rochas designs and invented a more
efficient gas engine.
1876 Nikolaus August Otto invented and later patented a successful
four stroke engine, known as the Otto Cycle.

1876 The first successful two-stroke engine was invented by Sir


Dougald Clerk.
1883 French engineer, Edouard Delamare Debouteville, built a
single-cylinder four-stroke engine that ran on stove gas. It is not
certain if he did indeed build a car, however, Delamare-Deboutevilles
designs were very advances for the time ahead of both Daimler and
Benz in some ways at least on paper.
1885 Gottlieb Daimler invented what is often recognized as the
prototype of the modern gas engine with a vertical cylinder, and
with gasoline injected through a carburetor (patented in 1887).
Daimler first built a two-wheeled vehicle the Reitwagen (Riding
Carriage) with this engine and a year later built the worlds first fourwheeled motor vehicle.
1886 On January 29, Karl Benz received the first patent (DRP No.
37435) for a gas-fueled car.
1889 Daimler built an improved four-stroke engine with mushroomshaped valves and two V-slant cylinders.
1890 Wilhelm Maybach built the first four cylinder, four stroke
engine.
Engine design and car design were integral activities, almost all of the
engine designers mentioned above also designed cars, and a few went on to
become major manufactures of automobiles.

Hailed as the industry of industries by Peter Drucker, the founding father of


the study of management, in 1946, the automobile industry had evolved
continuously with changing times from craft production in 1890s to mass
production in 1910s to lean production techniques in the 1970s.
The automotive industry in India grew at a computed annual growth rate
(CAGR) of 11.5 percent over the past five years, the Economic Survey
2008-09 tabled in parliament on 2nd July09 said.
The industry has a strong multiplier effect on the economy due to its deep
forward and backward linkages with several key segments of the economy, a
finance ministry statement said.
The automobile industry, which was plagued by the economic downturn
amidst a credit crisis, managed a growth of 0.7 percent in 2008-09 with
passenger car sales registering 1.31 percent growth while the commercial
vehicles segment slumped 21.7 percent.
Indian automobile industry has come a long way to from the era of the
Ambassador car to Maruti 800 to latest M&M Xylo. The industry is highly
competitive with a number of global and Indian companies present today. It
is projected to be the third largest auto industry by 2030 and just behind to
US & China, according to a report. The industry is estimated to be a US$ 34
billion industry.
Indian Automobile industry can be divided into three segments i.e. two
wheeler, three wheeler & four wheeler segment. The domestic two-wheeler
market is dominated by Indian as well as foreign players such as Hero
Honda, Bajaj Auto, Honda Motors, TVS Motors, and Suzuki etc. Maruti

Udyog and Tata Motors are the leading passenger car manufacturers in the
country. And
India is considered as strategic market by Suzuki, Yamaha, etc. Commercial
Vehicle market is catered by players like Tata Motors, Ashok Leyland,
Volvo, Force Motors, Eicher Motors etc. The major players have not left any
stone unturned to be global. Major of the players have got into the merger
activities with their foreign counterparts. Like Maruti with Suzuki, Hero
with Honda, Tata with Fiat, Mahindra with Renault, Force Motors with
Mann.
Some of the early events and milestones in the car industry in India.
1928 The first imported car on the Indian roads.
1942 Hindustan Motors incorporated.
1944 Premier Automobiles started.
1948 First car manufactured in India.
1953 The Govt. of India decreed that only those firms which have a
manufacturing program should be allowed to operate.
1955 Only 7 firms HM, API, SMPL, PAL, M & M, and TELCO
received approval.
Key Facts about Indias automobile industry:

India ranks 12th in the list of the worlds top 15 automakers.

Entry of more international players.

Contributes 5% to the GDP.

Production of four wheelers in India has increased from 9.3 lakh units in
2002-03 to 23 lakh units in 2007-08.

Targeted to be of $ 145 Billion by 2016.

Exports increased from 84,000 units in 2002-03 to 280,000 units in 2007-08


The Liberalization in 1990 in India opened the doors for the entry of foreign
products into the market. This made the market a consumer market with a lot
of choices for the consumers. The future of the products depends on the
consumers satisfaction. The products, which are able to attract the
consumers, are having a bright future and the others are lost in the
competition. So it is very important to know the pulse of the customers. The
business people should always have correct information regarding the
satisfaction level in the customers. Different ways are to be implemented to
increase the satisfaction level in the customers.

OBJECTIVES

The main objective of the study is to recognize the sales trend and
segmentation of Maruti Suzuki .
Special challenges that must be identified and addressed:
To know the segmentation and sales trend of Maruti Suzuki.

Along with this I am trying to assess companys performance compared


with that of the competition.
To know the way Maruti has segmented its cars
To know the areas in which the dealers satisfy their customer and
the areas that they do not satisfy.
To come out with the conclusion and recommendations based on
the analysis and interpretation.

RESEARCH METHODOLOGY
This chapter describes the methodology of the study. This project is based on
information collected from primary sources. After the detailed study, an
attempt has been made to comprehensive analysis on MARUTI cars use by
the people. The data has been used to cover various aspects like usage,
consumer preference, satisfaction of customer regarding MARUTI. In
collecting requisite data and information regarding the topic elected we
went to the residents of people and collected the data.

RELEVANCE OF THE STUDY


This research is been conducted to the product performance and buying
behavior of consumer in selection of cars. The relevance of the study is the
survey the product performance of famous brands of MARUTI CARS,
which are consumed by people of all age group. During this research is
known which particular brand of car is most preferred by people of different
age groups.

RESEARCH DESIGN
For any researcher the research methodology is most important criteria to
decide before the actual research process starts.
There are many methods for conducting the research; some of them are as
under.
a) Descriptive and analytical
b) Applied and fundamental
c) Quantitative and qualitative
The design of a research is plan or a model that helps researcher to conduct a
formal investigation and survey. It is an application of methods and
procedures for acquiring the information needs for getting a desired
outcome.
It decides the source of data and methods for gathering data. A good design
ensures that the information obtained is relevant to the research question and
it was conducted by objectives since research design is simply the frame
work or plan for a study.
Out of these all research methods the research method, which was most
suitable for our report was DESCRIPTIVE RESEARCH METHOD because
it provides us all the aspects that we require to conduct the research and get
an appropriate outcome.

DESCRIPTIVE RESEARCH METHOD


Descriptive research Include surveys and facts finding enquires of different
kinds. The major purpose of descriptive research is description of state of
affairs as it exists at present.

DATA COLLECTION
The data has been collected from the two sources.
Primary sources
Secondary sources
Primary data: the data which are collected for the first time, directly from
the residents to the base of knowledge and believe of the research, are called
the primary data.
The normal procedure is to interview some people individually or in group
to get a sense how people feel about the topic. So far as this research is
considered, primary data is the main source of information by the
respondents.
Secondary data: when the data is collected and compiled in the published
nature is called secondary data.
So far as this research is concerned internet, many brochures and
magazines have been referred too.

SAMPLE DESIGN
It is true that it is very difficult to do research with whole universe. So far
this purpose sample size is decided well in advanced and selection of the
sample also has to be specific so that it represents the whole universe.
Sample element: The members selected from the population for doing
the survey constitute the sampling element.
Sample Size: A sample of 100 customers was taken as a sample
element.

Sample area: Sample was taken only in North-Delhi to determine the


attitude of customers towards importance of branding in modern
marketing.
Sample Technique: Convenience Sampling because of time and cost
constraints.

INSTRUMENTS
Taking into consideration research instruments is selected by us is
questionnaire because it gives more flexibility in terms of the data and has
been asked to the respondents personally and has an idea of getting an
important unknown data that can be collected through their behavior.
Mode of collection data: data collection mode is personal visit and fulfilling
up the questionnaire.

Schedule:
Questionnaire preparation

2 days

Data collection

7 days

Data analysis

3 days

Total time require

12 day

DATA COLLECTION
The first and foremost step in the research process consists of problem
identification. One the problem is defined, the next is the research design
becomes easier. The research design is the basic framework, which provides
guideline for the rest of the research process. The research design specifies
the methods of data collection and analysis.
I.

Collection of Primary Data:

Communication and observation are the two basic means used by me for
collecting

primary

data.

Communication

involves

questioning

the

respondents to secure the desired information by using data collection


instrument called Questionnaire. The questionnaire used in my study is
consisting of closed-end questions and one open ended question.
Closed-end questions:
Fixed alternative questions are used in the questionnaire. This consists of
A. Dichotomous Questions: The respondent is given a choice between
only two alternatives.

B. Multiple-choice Questions: The respondents are given a set of


alternatives to answer.

Open-ended question:
The customers are asked to give suggestions to improve the service in
the form of open-ended question at the end of the questionnaire.
Collection of Secondary Data:
Internal and external secondary data is collected for the purpose of study.
Internal secondary data is collected within the company. This data includes
company records, previous research reports and other relevant information.
External secondary data is generated from outside. This data includes
publications, government records and Internet etc.
Sampling Procedure:
Sample Size

Sampling Procedure

100
Simple random sampling approach has been
adopted.

Mode of communication:
There are three different methods of communications used by me.
1.

Personal interview

2.

Telephone interview

3.

Mail interview

Among the three personal interview is the most versatile and flexible mode
of communication. So the personal interview was more frequently for the
study.
Statistical analysis:
Data analysis and interpretation are necessary ingredients to make the
primary data obtained useful for tacking effective strategic moves. The
primary data, which has been collected by survey using a structural
questionnaire, has been systematically organized, tabulated and edited, so as
to properly analyze and achieve the objectives.

CHAPTER 2
COMAPANY PROFILE

COMPANY PROFILE

NAME :

Maruti Suzuki India Ltd

LOGO :
Type
Founded
Headquarters
Industry
Products
Employees
Website

Public (BSE MARUTI, NSE MARUTI)


1981
DELHI, India
Automotive
Cars
6,903
www.http/:marutisuzuki.com/

Maruti Suzuki India Limited is a publicly listed automaker in India. It is a


leading four-wheeler automobile manufacturer in South Asia. Suzuki Motor
Corporation of Japan holds a majority stake in the company. It was the first
company in India to mass-produce and sell more than a million cars. It is
largely credited for having brought in an automobile revolution to India. It is
the market leader in India. On 17 September 2011, Maruti Udyog was

renamed to Maruti Suzuki India Limited. The company's headquarters


remain in Gurgaon, near Delhi.
Profile
Maruti Suzuki is one of India's leading automobile manufacturers and the
market leader in the car segment, both in terms of volume of vehicles sold
and revenue earned. Until recently, 18.28% of the company was owned by
the Indian government, and 54.2% by Suzuki of Japan. The Indian
government held an initial public offering of 25% of the company in June
2003. As of May 10, 2011, Govt. of India sold its complete share to Indian
financial institutions. With this, Govt. of India no longer has stake in Maruti
Udyog.
Maruti Udyog Limited (MUL) was established in February 1981, though the
actual production commenced in 1983. Maruti has produced over 5 Million
vehicles. Marutis are sold in India and various several other countries,
depending upon export orders. Cars similar to Marutis (but not manufactured
by Maruti Udyog) are sold by Suzuki in Pakistan and other South Asian
countries.
The company annually exports more than 30,000 cars and has an extremely
large domestic market in India selling over 500,000 cars annually. Maruti
800, till 2004, was the India's largest selling compact car ever since it was
launched in 1983. More than a million units of this car have been sold
worldwide so far. Currently, Maruti Alto tops the sales charts.
Due to the large number of Maruti 800s sold in the Indian market, the term
"Maruti" is commonly used to refer to this compact car model. Till recently

the term "Maruti", in popular Indian culture, was associated to the Maruti
800 model.
Maruti Suzuki India Limited, a subsidiary of Suzuki Motor Corporation of
Japan, has been the leader of the Indian car market for over two decades.
Its manufacturing facilities are located at two facilities Gurgaon and
Manesar south of New Delhi. Marutis Gurgaon facility has an installed
capacity of 350,000 units per annum. The Manesar facilities, launched in
February 2007 comprise a vehicle assembly plant with a capacity of 100,000
units per year and a Diesel Engine plant with an annual capacity of 100,000
engines and transmissions.
Manesar and Gurgaon facilities have a combined capability to produce over
700,000 units annually. More than half the cars sold in India are Maruti cars.
The company is a subsidiary of Suzuki Motor Corporation, Japan, which
owns 54.2 per cent of Maruti. The rest is owned by the public and financial
institutions. It is listed on the Bombay Stock Exchange and National Stock
Exchange in India.
During 2007-08, Maruti Suzuki sold 764,842 cars, of which 53,024 were
exported. In all, over six million Maruti cars are on Indian roads since the
first car was rolled out on December 14, 1983.
Maruti Suzuki offers 10 models, ranging from the peoples car, Maruti 800,
for less than Rs 200,000 ($ 5000) ex-showroom to the premium sedan SX 4
and luxury SUV, Grand Vitara.

Suzuki Motor Corporation, the parent company, is a global leader in mini


and compact cars for three decades. Suzukis technical superiority lies in its
ability to pack power and performance into a compact, lightweight engine
that is clean and fuel efficient.
Maruti is clearly an employer of choice for automotive engineers and
young managers from across the country. Nearly 75,000 people are
employed directly by Maruti and its partners.
The company vouches for customer satisfaction. For its sincere efforts it has
been rated (by customers)first in customer satisfaction among all car makers
in India for seven years in a row in annual survey by J D Power Asia Pacific.
Maruti Suzuki was born as a government company, with Suzuki as a minor
partner, to make a peoples car for middle class India. Over the years, the
product range has widened, ownership has changed hands and the customer
has evolved. What remains unchanged, then and now, is Marutis mission to
motorize India.

SERVICES OFFERED
The following products are offered by Maruti Suzuki:1.

Maruti 800: Launched 1983. Largest selling car in India, until 2004.
Cheapest car in India. 3 Face-Lifts.(P)

2.

Maruti Omni: Launched 1984. 2 Face-Lifts.(P)

3.

Maruti Gypsy: Launched 1985.(P)

4.

Maruti Wagon-R:Launched 1999, 2 Face-Lifts.(P)

5.

Maruti Alto: Launched 2000. Currently the largest selling car in India.
1 Face-Lift.({{Tooltip|P|Petrol

6.

Maruti Versa(2003-) (P)

7.

Maruti Zen Estilo(2005-) (P)

8.

Maruti Suzuki Swift 1 very small face-lift(2006- ) (P & D)

9.

Maruti Suzuki SX4 (May 2007- ) (P & D)

10.

Maruti Grand Vitara Sports Utility Vehicle Launched in (July 2007- ).


Imported(P)

11.

Maruti DZiRE Sedan Version of swift launched in (March 2008- ) (P)

GENERAL DISCRIPTION OF MODELS

MARUTI 800:Maruti 800 is a city car manufactured by Maruti Udyog in India .It used to
be the largest selling car in India until the Maruti Alto recently took that title.
It is also exported to a number of countries in southeastern Asia including
Bangladesh and Sri Lanka, and to some South American markets (as Chile,
sold as Suzuki Maruti), and was available in selected European markets
between 1988 and 1992, sold as the Suzuki Maruti. In Morocco it is

currently sold as Suzuki Maruti (as of March


2008). The car comes in different versions
including one with air conditioning and one
without. It was launched in December 1984
with almost 100% imported components.
MARUTI OMNI :
The Maruti Omni is a microvan manufactured by
Indian automaker Maruti Udyog Limited. The first
version of Maruti Omni had the same 796 cc engine
as the Maruti 800 city car. This was the second
vehicle to be launched by Maruti, one year after the
800, in 1984. Later version of the Omni includes the
Omni (E), released in 1996, 796 cc engine, 8 seater capacity vehicle
Omni XL - 1999, same engine, modified with a higher roof.
Omni Cargo LPG - 2004, created to answer the growing popularity
of this car being used as an inter-city cargo vehicle.
Omni LPG - 2003, same 796 cc engine, added with a factory fitted LPG Kit,
authorised by the Indian RTOs (Regional Transport Offices). This makes it
the most economic 4 wheeler in India, as far as the driving costs are
concerned

MARUTI GYPSY
The Maruti Gypsy is a four wheel drive SUV
based

on

the

Suzuki

SJ

long

wheel

base.Produced in India, it is also a common sight


in Chile and Kenya. Within Europe, it is most
often found in Malta and Hungary. In contrast to
the Suzuki, the Maruti is available with 4 seats and a sizeable trunk. The
Maruti Gypsy is available as a "soft top", "hard top " and as an "ambulance
car". In India, it is widely used by the police and defense forces. In civilian
use, the Gypsy is a popular choice as a low-cost SUV and is a common sight
at rally events.
MARUTI WAGON-R
The Maruti Wagon-R is a made for India
version of Suzuki Wagon R. The Wagon-R was
born out of Japanese kei-jido-sha restrictions
which dictated a limited length and engine size.
This boxy, tall-boy design has now completed
five years of presence on Indian roads. Now the car has found a market for
itself, especially among young Indian urban professionals who don't mind its
boxy slab-sided looks, but value its Maruti lineage. The car is currently
among India's top five best-selling cars.

MARUTI ALTO
The Maruti Alto is a city car manufactured
by Maruti Udyog in India. It is the bestselling car in India.It is India's largest selling
car and has recently crossed the 1 million
production figure.It is exported to a number
of countries including Bangladesh and Sri Lanka, and to Chile. Alto has
crossed the 150,000 export target. The popularity of the Alto has increased
over the past few years, mainly due to the reduction in prices. This reduction
in prices has mainly come in due to the reduction in excise duty over time. It
has now become the first choice of young car buyers intending to upgrade
from a 2 wheeler. Some of its appeal is from stylish looks, attractive
features, and impressive fuel economy at very affordable prices compared to
the other cars in the Indian market.
MARUTI VERSA
The Maruti Versa is a micro van produced by
Maruti Udyog Limited and sold in India since
October 2001. The Versa is a clone of the now
discontinued Suzuki Carry. It is the second van
released by Maruti Udyog since the Maruti
Omni was released in 1984. There are two basic versions of this car in
production; the two 8-seater DX/DX2 versions, and the 5-seater STD
version. The DX2 version of the Versa is equipped with twin air conditioners
for front and rear.

MARUTI SUZUKI SWIFT


The MARUTI Suzuki Swift is name
plate marketed by Suzuki carried by
vehicles of three distinct derivations:
Generations I, II, III: a super
mini that began as an export nameplate of the Japanese domestic
market of suzuki .
Generation IV: the current JDM, Europe and Oceana generation, a
significant departure from the previous models, marketed solely under
the nameplate "Swift". (this article)
Canadian Swift+: the current Canada-only generation marketed
under the Suzuki swift.
Currently this varient is hot seller in India in the mini car segment.
MARUTI SUZUKI SX4
In an attempt to strengthen its position in the of Sedan cars market, Maruti
Udyog Ltd. has launched its premium model bearing name SX4. After
Maruti Suzuki Swift, SX4 is the second international model being launched
in India. Suzuki SX4, is an A3 segment sedan car, with a perfect
combination of style, performance, safety and comfort. There are two
versions of Suzuki SX4: Vxi and Zxi that gets power from latest and
efficient 1.6-litre M-Series engine delivering impressive 102 BHP of power.
Having the price tag of between Rs. 6-6.5 Lacs, Maruti Suzuki SX4 will

provide tough competition to its rivalry


models like Ford Fiesta, Hyundai Verna,
Honda City, and Indigo XL.
MARUTI SUZUKI DZIRE
Maruti Swift Dzire is the new
entry level sedan from Indian
automaker

Maruti

Suzuki.

Launched on March 26 2008,


Maruti DZiRE is based on the
popular Maruti Swift platform.
The DZire replaces Maruti Suzukis popular entry level sedan, Maruti
Suzuki Esteem, production of which was discontinued in late 2007. Maruti
Suzuki has introduced DZire only in the Indian market. The car is pitted
against the other entry level sedans in the Indian market, such as the
Mahindra Renault Logan and the Tata Indigo.
MARUTI SUZUKI ESTEEM
Sophisticated big structured Maruti Suzuki esteem is one of the old car of
the Maruti Udyog group. To run this huge car its engine is made of
lightweight all-aluminum. This contemporary engine has capacity of 65 bhp
at 6000 rpm . According to *Mileage (Auto India , Nov 2005), Esteem holds
the topmost position on mileage among the other category of cars including
the small cars. The Esteem was introduced in the global market in 1995 as
Suzuki's first attempt in the compact segment, at the time dominated by
European cars such as the Volkswagen Bora/Jetta and Opel Astra, and
Japanese models such as the Nissan Sunny/Sentra and Toyota Corolla. As a

North American replacement for


the Suzuki Swift sedan (the 3-door
hatchback remained after it was
redesigned in 1995), it was built on
a slightly stretched Suzuki Cultus
platform for improved cabin room, but otherwise sharing most of internal
components with the smaller model and marketed as a distinct model
MARUTI SUZUKI BALENO
The Baleno has the looks and feel of a winner. This was Maruti Udyog's first
D-segment car launched in India to compete
with the Mitsubishi Lancer and the Honda
City. This is also Suzuki's biggest passenger
car and in Japan and other markets. The
Baleno is called the Cultus in Japan. Suzuki
restyled the Baleno in 1999. The car was
given a new front end, with a rounder grille and new headlights, and the
engine lineup was expanded.

MARUTI SUZUKI GRAND VITARA


The Suzuki Grand Vitara is a
compact SUV, namely a longwheelbase version of the Vitara,
produced

by

the

Japanese

automaker Suzuki since 1999. It


was face lifted in 2002 and 2004,
and redesigned in 2006. A rebadged
version was sold in North America by General Motors as the Chevrolet
Tracker. The Tracker is sold in Latin America, but Mexico, as Chevrolet
Grand Vitara. In Mexico, Grand Vitara and Tracker are different vehicles,
sold by Suzuki and Chevrolet respectively The 2006 model has had a
structural redesign with a new ladder-boxed chassis integrated into a
unibody construction. In India, it is sold as a Maruti.
MARUTI SUZUKI ZEN-ESTILO
Estilo has got Wagon R's engine and
chassis and Suzuki MR Wagon's shape.
Whatever remains is taken from Zen, well
does anything remain actually? This is the
mixture of zen and wagon -R . 'Zen Estilo'.
In essence its stylish Wagon R, Japan's
MR Wagon, combination of the two or anything but Zen. It seems Maruti
wants to exploit Zen brand-image hence named this car after Zen. With this
model MSL has given its B segment a new variant by which it may
compete with the models of other company.

ORGANISATIONAL STRUCTURE
Maruti has believed, since the very beginning that it is its employees who
could make it into an organization with a difference .Accordingly, as against
the traditional hierarchical
System of management, which causes unnecessary delays in decisionmaking, we have built up a flat organization with a family type of
atmosphere at our place of work.
The company is divided into different divisions according to the various
functional areas. A Divisional Manager heads each Division. Divisions are
further divided into Departments that are headed by Department Managers
who report to the respective Divisional Managers. Designations in the
company are based on the functional responsibility and not levels as in terms
of the companys philosophy designations and functional responsibility are
de-linked from the salary levels.
The total operations of the Company are divided into Divisions like
Marketing & Sales, Spares, Engineering, Q.A. & Services, Production,
Production Engineering, Materials, Information Services, Finance, Personnel
& Administration, etc. Each division is furthering divided into Departments
and headed by Departmental Managers who is assisted by Supervisory
Executives.

THE HIERARCHY DIAGRAM OF MSIL

DIVISIONS AND DEPARTMENTS


Corporate Services Division
Legal & Secretarial Department
Corporate Communication Cell
Protocol
Strategic Initiative Group
Recruitment & Management Compensation
Human Resource Division
Employee Relations Department
Establishment & Time Office
Factory Administration Department
Organizational Development Department
Production Division
Plant- 1
Plant- 2
Plant- 3
Plant- 6 at Manesar

Production Engineering
Production Engineering Division
Production Service Division
Engineering Directorate
QAIN Division
Service Division
Service- 1-5
MSS(D)
Parts Inspection Division
Engineering Division
Supply Chain division
Supply Chain- 1,2,3 Division
Shipping & transport Department
Imports Department
Consumables Department
Information Technology Division
Application Group1 (AG1)

Application Group2 (AG2)


Application Group3 (AG3)
Information Technology Strategies(ITS)
IT Operation and Services(ITOS)
Marketing & Sales Secretariat
Marketing Strategy & Development
Marketing
Sales
Exports
Web-IT, E-Commerce
Spare Parts Division
Spare Parts Procurement
Warehousing & Dispatch
Spare Parts Sales
Accessories
Vigilance Division
Security Wing
Vigilance Wing

Finance Division
Budget, Cost & Accounts Department Income Accounting

The total project costs, priority, completion time and personnels required
were estimated. Initial plans were drawn up as to how the project would
proceed to its final implementation, while

running the

existing

system

so that companys information needs were not affected.

SEGMENTATION :
CAR MARKET CLASSIFICATION
It is necessary to understand the Indian car market classification and the
segments in which MUL operates.
There are two principal systems of classification in the Indian passenger car
industry:
A. Price Based Classification
Price based classification is the widely accepted classification basis in the
Indian passenger car industry.
The different price segments used by Maruti were as follows:
1. Segment A cars priced lower than Rs. 300,000
2. Segment B cars priced between Rs. 300,000 and Rs. 500,000
3. Segment C cars priced between Rs. 500,000 and Rs. 1,000,000
4. Segment D cars priced between Rs. 1,000,000 and Rs. 2,500,000

5. Segment E cars priced above Rs. 2,500,000


B. Length & weight Based Classification:
In April 2002, SIAM introduced a new segmentation of cars on the basis of
the length of the cars, in order to establish a uniform industry standard. The
new segmentation of passenger vehicles is as follows:
1. Passenger cars
Segment A1 (Mini) cars having a length up to 3,400mm
Segment A2 (Compact) cars having a length of 3,401- 4,000mm
Segment A3 (Mid-size) cars having a length of 4,001- 4,500mm
Segment A4 (Executive) cars having a length of 4,501- 4,700mm
Segment A5 (Premium) cars having a length of 4,701- 5,000mm
Segment A6 (Luxury) cars having a length of more than 5,000mm
1. Utility vehicles
Weight up to 3.5 tonnes
a) Seating capacity not exceeding 7 (including driver)
b) Seating capacity between 7 and 9 (including driver)
Weight up to 5 tonnes
a) Seating capacity not exceeding 13 (including driver)
Multi-purpose vehicles (Weight up to 3.5 tonnes).

Marutis Offering and Competitors in Different Segments:

Manufacturer Name of the


Model

1.

2.

Segment

as Segment

per

per

length-based

price-based

classification

classification

A4: Executive

Chrysler India A6: Luxury


E 250
Pvt. Ltd.
S Class

A5: Premium
S Class

E
E

Fiat

A2: Compact

Fiat Siena
Fiat Uno
Palio

A3: Mid-size
A2: Compact
A3: Mid-size

C
B
C

Adventure
India Escort
Ikon
Mondeo

A3: Mid-size
A3: Mid-size
A5: Premium

C
C
D

Opel Astra
Opel Corsa
India
Opel Swing

A3: Mid-size
A3: Mid-size
A3: Mid-size

C
C
C

A3: Mid-size
A4: Executive
A3: Mid-size

B
C
C

A5: Premium
A3: Mid-size

D
C

A3: Mid-size
A2: Compact
A5: Premium

C
B
D

A3: Mid-size

Daimler

C Class

India Fiat Palio

Automobiles
Pvt. Ltd.

3.

Ford
Ltd.

4.

General
Motors

5.

Ltd.
Hindustan
Motors

6.
7.

as

Honda

Ambassador
Contessa
Lancer

SIEL Accord
City
Cars India Ltd.
Hyundai
Accent
Santro
Motor
Sonata
Company Ltd.
Maruti Udyog Maruti 1000

Manufacturer Name of the


Model

Ltd.

8.

Segment

as Segment

as

per

per

length-based

price-based

classification

classification

Maruti 800
Maruti Swift
Alto
Baleno
Esteem
WagonR
Zen
Versa

A1: Mini
A2 : Mid size
A2: Compact
A3: Mid-size
A3: Mid-size
A2: Compact
A2: Compact
Utility

Omni

vehicles
Utility

A
B
B

9.

PAL-Peugeot

118NE

vehicles
A3: Mid-size

10.

Ltd.
Tata

Indica

A2: Compact

B
C
C
B
B
C

Engineering &
Locomotive
Company Ltd

SECTOR OUTLOOK
Between fiscal 2002 and fiscal 2007, the entire Indian passenger car
market had a growth of approximately 9.5%, largely as a result of increasing
demand for segment B cars .

Segment A
This is the entry-level and the most price sensitive segment. Maruti is
the sole manufacturer in this segment since fiscal 2000. Models like Maruti
800 are the ruler in this segment anybody who is economic wants to buy this
model so during the period of 2000-05 this was the hot selling product from
Maruti.
Segment B
This segment is shining with a growth of approximately 57.6% of the
Indian passenger car market. Due to the present low per capita income in
India, the price and cost of ownership of cars are significant factors that
affect demand for cars in this segment. Alto, Zen , Swift, Wagon-R , Gypsy
etc are the models that anyone can find them in any corner of this country.
This segment comprise of 69% from the whole sale of Maruti Suzuki. This
segment is always focused by Maruti and it is still improving this segment.
Segment C, D, and E
There are 11 manufacturers with approximately 20 models in these
segments. These segments typically have low sales volumes; therefore, high
growth rates of 11%, 19% and 35%, respectively . But in this segment
Maruti has lesser number of product. SX4, Dzire and Grand Vitara is the few
models in this segment. New model launches, growth in per capita income
levels, high aspirations and status associated with larger cars, are the key
factors affecting demand for cars in these segments. Maruti has to improve
this segment to fight with others.
THE PRE-OWNED CAR MARKET

The size of the pre-owned car market in India has been estimated to be more
then the size of the new car market. The A and B segments account for
between 70 and 80% of the total sales volumes in the pre-owned passenger
car market in India. The proportion of pre-owned cars from segment B is
increasing and is expected to form the largest portion of the pre owned
passenger car market. Mid-size and large cars are less popular in the preowned passenger car market.

Here also Maruti Suzuki started its own

market known as TRUE VALUE. Here the company sell all kind of cars
without altering their specification,

COMPARATIVE STUDY OF MODELS OF MARUTI


AND

ITS

COMPITATORS

IN

DIFFERENT

SEGMENTS
Maruti Tata Hyundai Honda GM
A M-800 Indica ----Spark
Omni
B Gypsi
Zen

Indig Santro

Toyota Ford
-----

---

Aveo-uav ---

City

Aveo

Innova Fiesta

Somo Verna

Optra

Corolla Fusion

---

Travera
Captive

Camry Endeavour Octavia

Ikon

Skoda
-----

Getz

Wagon
Alto
Swift
C Sx4
Dzire
D Vitra
E ---

Safari Accent

---

---

Civic

Sonata

Crv
Accord ---

Tucson

Altis
Prado

---

Fabia

Laura
Superb

This table shows that the Maruti Suzuki has larger number of variety in the
segment A&B so the sales must be good in this segments. But it is lacking
behind its competitors in segment C,D & E.
SWOT ANALYSIS OF MARUTI SUZUKI
STRENGHS
Bigger name in the market
Trust of People
Maruti Udyog Ltd. is the market leader for more than two decade.
Has a great dealership chain in the market.
Better after sales service
Low maintenance cost of vehicle
WEAKNESSES
Exports are not that good.
Lesser diesel models in the market compare to others
Global image is not that big
OPPORTUNITIES
Great opportunities to go global with success of Swift and SX4All
over

Introduction of more diesel models. The diesel car segment is


growing.
Opportunity to grow bigger by entering into bigger car markets
Already a market leader so great opportunity to be the king of market
in every stage of industry
THREATS
Foreign companies entering market; so a bigger threat from MNCs.
To the market share, as many big names are coming in the industry
There is hardly any diesel models
Rs. 1 lakh Rs. 1.5 lakh car

CHAPTER 3
DATA ANALYSIS

DATA COLLECTION:
DEALERS OF MARUTI SUZUKI
NAME OF THE DEALER

ADDRESS

AAA VEHICLEADES PVT. LTD.,

B-80,

Naraina

Industrial

Estate,

Phase-II, New Delhi 110037


Aalianz Automobiles

Kamal Cinema Building, Safdarjung


Enclave, New Delhi, Delhi, 110029

Apra Auto (India) Pvt. Ltd.

K-804/2, Mahipalpur, Vasant Kunj


Road, Delhi-110037

Bagga Link Motors (P) Ltd

395, Patparganj Indl. Area, Delhi,


110092

Competent Automobiles Co Ltd

3 Gazipur, Delhi (EAST), New


Delhi, Delhi-110092

Component Automobiles Co.LTD,

A-24-25, Madhu Vihar, Raja Puri,


(Opp. Sec-5, Dwarka, New Delhi,
Delhi, 110059

D D Motors

A-100, Mayapuri Phase II, New


Delhi 110015

D.D.Motors

5,

Wazirpur

Indl.

Area,

Near

Wazirpur Bus Depot, New Delhi,


110052
Fair Deal Cars (P) Limited

485-A,

Jhilmil

Main

G.T.Road,

Shahdara, Delhi 110095


Krish Automotors Pvt Ltd.

Mam Ram Majesty Mall,Plot No.2,


Road No. 43,Guru Harkishan Marg,
Pitam Pura, Pitam Pura, Delhi
110034

Magic Auto ( A Unit of Magic DMRC, Metro Station Sector-9,


Leasing Finanace Pvt Ltd)

Dwarka, Delhi

Rana Motors Pvt Ltd

Rikhi House, A 2/7 Safdarjung


Enclave, Opp. Bhikaji Cama Place,
Delhi-110029

YEARS OF SELLING

100%
80%
More
than 2 years
60%

% RESPONSE

65%
More then 530%
years

40%

More than 10 years

5%

20%
0%
No of years

Q.1

From how many years you are selling Maruti Suzuki cars.

DATA TABLE
NO OF YEARS
More than 2 years
More than 5 years

% of Response.
65
30

More than 10 years


5
DATA ANALYSIS
From the above table it is clear that the most of dealers i.e 65% of them are
having more than 2 years experience , 30 % of them are having more than 5
years experience and only 5 % have more than 10 years of experience with
them.
DATA INTERPRETATION:
So the above query clears that all the dealers are experienced enough to
understand the trend of sales and segmentation of Maruti Suzuki . And they
can also add valuable suggestion to us for the recommendation part.
SALES IN DIFFERENT SEGMENTS

69
80
% OF SALES

60
40
20

12

13

0
SEGMENTS

Q.2

Which segments of cars you are selling more?

DATA TABLE
DIFFERENT SEGMENTS
% OF SALES
A
12
B
69
C
13
D
5
E
1
DATA ANALYSIS
From the table we can conclude that % of sale of Segment is 12, segment B
is 69, segment C is 13 , Segment D is 5 and segment E is only 1 %.
DATA INTERPRETATION
Here we see that Maruti Suzuki is market leader in B-segment car , So the
models Like Wagon R, Alto, Zen Estilo, Swift are the hot selling product of
It. However, it is lacking in the segments like D and E. Cars like Dzire , SX4

and Grand Vitara should be improved in accordance with the customers


need.
PRICE SENSITIVENESS

38%
YES

Q3

NO

62%

Is customer is price sensitive?

DATA TABLE
PRICE SENSITIVITY
% OF RESPONSE
YES
62
NO
38
DATA ANALYSIS
The above data table shows that 62% of customers are price sensitive and
rest 38% are not price sensitive.
DATA INTERPRITATION:We can conclude that most of Marutis customer is price sensitive.
They buy its cars care fully in accordance of their budget. And they also like
some discount or festive offers. But the rest people are not price
sensitive.They buy the models like SX4, Dzire and grand Vitara , they buy
according their choice and specification.

COMPITATIVE ADVENTAGE
38
40
% OF LOYALITY price

30

35
22

quality

serv ice

20

others

10

0
FEATURES

Q.4

What is competitive advantage of Maruti over other cars companies.

DATA TABLE
FEATURES
% OF LOYALITY
PRICE
38
QUALITY
22
SERVICE
35
OTHERS
05
DATA ANALYSIS
The above table shows that according to the dealers the 38 % of customers
are buying the Maruti Suzuki product for its price, 22 % buy them due to
their quality. 35% think that after sale service is beautifully provided by
Maruti . And 5% people buy them due to other reasons like style , look etc.
DATA INTERPRETATION:
We can conclude that most of the people think that Maruti Suzuki pricing are
economical so they are loyal to his brand. While other people give emphasis
to the after sale service . Quality and other features are also a trait for the
buyers.

Version which customer want


1

19
version

petrol

disel

45

LPG

36
0

10

15

20

25

30

35

40

% of demand

Q.5

Which version of the models are mostly demanded by the customer

DATA TABLES
VERSION
% OF DEMAND
PETROL
36
DISEL
45
LPG
19
DATA ANALYSIS
From the above table we can conclude that according to the dealers 45 % of
the customer ask for the diesel variants while 36 support the petrol variants
and 19 % wants the LPG variants of different models.
DATA INTERPRETATION
The demand for the diesel variant is more for most of the models but the
firm has limited number of the models having diesel variants. The customers
are also looking for the gas models which will suitable for LPG and CNG.
So the firm should think for the diesel and gas variants.

45

Sales Positions
3%
32%
going up

going dow n

remnins constant

65%

Q
6.

What is its sales position of Maruti Suzuki?

DATA TABLE
SALES POSITIONS
GOING UP
GOING DOWN
REMAINS CONSTANT

% OF RESPONSE
65
32
3

DATA ANALYSIS
The above table shows that 65% of the dealers told that Maruti Suzukis
sales position is going up while 32% of the dealers said that it is going down
and 3% of dealers said that the sales position is remaining the same.
DATA INTERPRITATIONS

Here we can conclude that the sales position of Maruti Suzuki is going up
and up . So Maruti Suzuki should always maintain this. But the reason why
it is lacking behind than its competitors should be corrected. In this way
MSL can maintain its growth rate.

SALES TREND:
SALES TREND STUDY OF MARUTI SUZUKI
Since inception, Maruti Suzuki has produced and sold over 7 million
vehicles including 500,000 units in exports markets. The company sold a
record 764,842 vehicles in 2007-08 including 53,024 units of exports.
Maruti's revenue has grown consistently over the years. In 2006-07, it
recorded turnover of INR 145,922 million which rose to INR 178,603
million in 2007-08, displaying a growth of over 20% vis--vis the previous
year. At the end of fiscal 2007-08, it had a market share of over 50% of the
Indian passenger car market.

(CHART SHOWING SALES AND PROFIT OF MARUTI SUZUKI)

(GRAPH SHOWING THE OVER ALL MARKET SHARE OF


MARUTI SUZUKI )
Maruti Suzuki is marinating its reputation among the customer since it
come to India. If we analyze the total market share of Maruti Suzuki then we
will come to know that it captures 51.4% of passenger segment while the
total share of this segment is 78% , it captures 89% of multi purpose vehicle
while the total share for this segment in Indian market is 6% , It also capture
1.6% of utility vehicles from the total of 16% for this segment.
Hence Maruti Suzuki is capturing a over all share of 46% of car
market in India.

SALES STRATEGY OF MARUTI SUZUKI


Marutis marketing objective is to continually offer the customer new
products and services that:

reduce the customers cost of ownership of cars; and


Anticipate and address the customers needs and preferences in all
aspects and stages of car ownership, to provide what Maruti Suzuki
refer to as the 360 degree customer experience.

Maruti Suzuki has been aggressively cutting prices of its models since the
beginning of the year. It began the year by slashing the price of Esteem's
diesel version followed by a by the reduction on the premium segment
Baleno. Then the mid sized Versa's price was slashed, Alto's price tag was
then pruned putting its base variant at par with the AC version of M800.
The rationale behind the price cuts is the focus on offering new upgraded
vehicles at a low price.

Warranty and Extended Warranty Program


Maruti Suzuki offers a two-year warranty on all the vehicles at the
time of sale. The dealers are required to address any claim made by a
customer, in accordance with practices and procedures prescribed by Maruti
Suzuki, under the provisions of the warranty in force at that time. The
dealers subsequently claim the warranty cost from Maruti Suzuki. Maruti
Suzuki analyze warranty claims from dealers and either claim the cost from
the vendors, in the case of defective components, or bear the cost ourselves,
in the case of manufacturing defects.

Maruti Suzuki also offers an extended paid-warranty program marketed


under the brand, Forever Yours for the third and fourth year after purchase.
The extended warranty program is intended to maintain the dealers contact
with the customer and increase the revenue generated from sale of spares,
accessories and automobile-related services. An effort is made during the
period of the extended warranty to encourage the customer to exchange his
existing Maruti car for a new Maruti car, or upgrade to a new Maruti car.

CHAPTER 4
CONCLUSION

CONCLUSION
The research work was successfully identifying the different segmentation of
Maruti Suzuki and also the sales trend. The conclusion can be drawn from
this study may be: Maruti Suzuki is Indias one of the leading auto mobile
manufactures and also the leader of the market both in terms of
volume and revenue generated.
MSL (Maruti Suzuki Limited) has segmented the market in to A,
B, C, D and Eon the basis of price and length and weight. Between
fiscal year 2002 and 2007 the market of automobile grew at rate of
9.5%.

57

In segment A price always plays a vital role MSL was the sole
manufacture till 2000, Maruti 800 was the hot seller till 2005.
In segment B growth of automobile was 57.6% where Maruti
captures a share of 69%. Its products like alto and Zen are two role
models with these segments.
In C,D and E segment Maruti has number of competitors and has a
less growth . In this segment also MSL lack of more models than
other company.
Taking the sale trend in to account MSL sold a record number of
vehicle 7, 14,842 in 2007-08 including 53,024 units of export. In
2007-08 it record a turnover of INR 145,922 million which rose to
178,603 million in 2007-08 showing a growth of 20%.
MSL has also captured 51.4% of passenger car segment while the
total share of this segment is 78%. It also captures 89% of multi
purpose vehicles. And 1.6 % in sports utility vehicle segments. So
in every segment Maruti Suzuki has shown its presence.
Hence Maruti Suzuki Limited has captured over all share of 46%
in the Indian car market.

58

CHAPTER 5
RECOMMENDATIONS

RECOMMENDATION

Initially Maruti was operating in the market which was a part of


closed economy but with opening of market, the scenario has changed
dramatically and at an international juncture where both challenges
and opportunity are immense.
With such immense growth Indian auto mobile sector attracts the
global players, who want to make their name a house hold name in
Indian auto mobile sectors.
Hence Maruti has a tough competition from the companies like
Hyundai, GM, Honda, Telco, ford etc.
So Maruti should improve its segments like :1. Segment B whose maximum market share is captured by
Maruti Suzuki is facing a tough competition from players like

59

Hyundai; it lunched its SANTRO Xing and I10 to give more


excitement in this segment. So Maruti should improve this
segment by lunching newer models with better facilities.
2. Almost 18 years the 800 is on its last stage. So Maruti should
think a replacement of this model or should improve this model,
otherwise it will face a tough competition from the TATA
NANO.

3. Over the years MSL brand value had begun to erode as it is


known as the market leader of small car segments but as the
market is open now and the purchase power of people is
increased MSL should look in the segments such as D and E. In
this segment players like Honda, Toyota and Ford has more
models than Maruti. So Maruti should lunch more vehicles in
this segment.
4. A industry where the models are given numbers of features
every year Maruti is still lacking of the features in its models
such as Maruti Zen did not changed o from its date of lunch .
So Maruti should renew its models.
5. Maruti is still has problems in its mid size variants as the
products like Esteem, Versa and Baleno is no more a favorite by
the customers. So MSL should think to re lunch these products
with higher features.
6. Maruti is offering the diesel variant in a less numbers of
models. As this variant is more demanded by the customer MSL

60

should look into this matter. It should also offer the CNG enable
models to take newer market share.
7. By taking these recommendations MSL should improve its
image and market share.

61

BIBLIOGRAPHY

The essence of the report, are inspired and collected by these sources, listed
in this chapter, not fully but partially as advisory notes.
BOOKS:
ESSENTIAL OF MANAGEMENT CONCEPT -KOONTZ O
DONNEL
MARKETING MANAGEMENT PHILIP KOTLAR
MARKETING

MANAGEMENT

RAMASWAMY

NAMAKUMARI
RESEARCH METHODOLOGY - C R KOTHARI

WEB SEARCH:
http://www.marutisuzuki.co.in
http://www.wikipedia.com
http://www.yahoosearch.com

ANNEXURE

QUESTIONNAIRE
NAME OF THE DEALER:
ADDRESS:
1.

From how many years you are selling Maruti Suzuki cars ?
a)

More then 2 years

b)
62

More then 5 Years

c)
2.

More than 10 Years

Which segments of cars you are selling more?


a)

b)

c)

d)

e)

b)

No

3.

What is reason behind it.

4.

Is customer is price sensitive.


a)

5.

Yes

What is competitive advantage of Maruti Suzuki over other cars


companies.

6.

a)

Price

b)

Quality

c)

After sales service

d)

Other

Which version is the customer prefer more.


a)

Petrol

c)

LPG or GAS

b)

diesel

7.

Why customer does not prefer other segments?

8.

What is its sales position of Maruti Suzuki?

63

a)

going up

c)

remains constant

b)

going down

9.

What is the reason Maruti has less models in the segment D and E.?

10.

Any suggestion or recommendations for MSL

64

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