Post on 18-Nov-2014
description
CASE STUDY - REVIVE THE AUTOMOTIVE BUSINESS
Presented by
DEVAJITH.G
D-13
SIMS, Pune
INTRODUCTION
• Evolution of Automobile Industry• Global scenario• Indian automobile industry• Growth shift• Opportunities and threats of Auto Industry
• Why india and china?• Market and Growth potential
Contribution of Auto Industry
GROWTH SHIFT
INDIAN AUTOMOBILE INDUSTRY India is a key pillar of global automotive market - policy,
actions and strategies
By 2015, India will exceed every major European market inc. Germany, France and UK in automotive sales
Over the next 20 years, India will be part of global automotive triumvirate
expecting the India automotive sales to exceed the US market by mid 2030
The global automotive game will be pretty much decided by twin forces for China and India
CHALLENGES FACED BY AUTO
Demographic changes and profound shifts in global economic powerConsumer expectations are changing radically.
New technologies are dramatically changing vehicle industryRising oil priceHuman resourcesEconomic meltdown
CHALLENGES FACED BY AUTO……
• Product Differentiation• Product Development• Marketing and Distribution• Competitive pressures• M&A and deals• Sustainability• Regulation
Excellent Source for IT based Engineering Solutions - for Product &
Process Integration
Scaling Costs
Optimising Resources
Benefits of investing in India
Case study – revival strategy for TATA NANO
The Marketing PlanThe Marketing StrategyThe People’s carThe BuzzAuto Exposition Across the bordersTata Motor ShowroomsOn The webThe One Form Booking
POWER OF UNITY
Improve Efficiency Collaboration Innovation Effective recruitment Emphasis on low fuel consumption Utilize the opputunities Collective effort to find root cause Technology advancement Stop negative publicity
Appendix 1 : Employee cost of TATA Nano
Title Salary Benefits*
CEO 228,000 273,600
COO 180,000 216,000
VP of Product Development 100,000 120,000
VP Marketing 80,000 96,000
VP Finance 100,000 120,000
Management Committee 40,200 - 51,200 48,240 - 61,440
Engineering Committee 40,200 - 51,200 48,240 - 61,440
Finance Committee 40,200 - 51,200 48,240 - 61,440
Sales Committee 46,000 - 56,000 55,200 - 67,200
Operation Committee 19,400 - 22,400 23,280 - 26,880
Total 874,000 - 920,000 1,048,800 - 1,104,000
Appendix 2:Revenue Model of TATA nano
Selling the cars to clientsBank ServicesMaintenance ServicesAdvertisingMarchandisingMaking franchises
Appendix 3:GDP Trends- Global
Appendix 4:GDP Growth rate