INDEX

Introduction to Automobile Industry

Company Profile Maruri Udhyog Ltd.

Product of Maruti Udhyog Ltd.

Company Profile Hyundai Motors Ltd.

Products of Hyundai Motors Ltd.

Comparative study of Hyundai and Maruti Products

Research Methodology

o Objective of the study

o Hypothesis

o Collection of Data

o Questionnaire

Data Analysis and Interpretation

Conclusion

Bibliography

OVERVIEW OF INDIAN AUTOMOTIVE INDUSTRY

The automobile industry has changed the way people live and work. The

earliest of modern cars was manufactured in the year 1895. Shortly the first

appearance of the car followed in India. As the century truned, three cars

were imported in Mumbai (India). Within decade there were total of 1025

cars in the city.

The dawn of automobile actually goes back to 4000 years when the first

wheel was used for transportation in India. In the begining of 15th century

Portuguese arrived in China and the interaction of the two cultures led to a

variety of new technologies, including the creation of a wheel that turned

under its own power. By 1600s small steam-powered engine models was

developed, but it took another century before a full-sized engine-powered

vehicle was created.

The actual horseless carriage was introduced in the year 1893 by brothers

Charles and Frank Duryea. It was the first internal-combustion motor car of

America, and it was followed by Henry Ford's first experimental car that

same year.

One of the highest-rated early luxury automobiles was the 1909 Rolls-Royce

Silver Ghost that featured a quiet 6-cylinder engine, leather interior, folding

windscreens and hood, and an aluminum body. It was usually driven by

chauffeurs and emphasis was on comfort and style rather than speed.

During the 1920s, the cars exhibited design refinements such as balloon

tires, pressed-steel wheels, and four-wheel brakes. Graham Paige DC

Phaeton of 1929 featured an 8-cylinder engine and an aluminum body.

The 1937 Pontiac De Luxe sedan had roomy interior and rear-hinged back

door that suited more to the needs of families. In 1930s, vehicles were less

boxy and more streamlined than their predecessors. The 1940s saw features

like automatic transmission, sealed-beam headlights, and tubeless tires.

The year 1957 brought powerful high-performance cars such as Mercedes-

Benz 300SL. This was the Indian automobile history, and today modern cars

are generally light, aerodynamically shaped, and compact.

CAR MANUFACTURERS IN INDIA

The reason behind the immense growth of the India Car Industry can be

attributed to the availability of car loans, affordable rates of interest, smooth

repayment facilities and the deductions offered to the customers by the

retailers.

The constant changes in the existing car models with regard to design,

innovation, technology, and colors, have led to a fiercely competitive

market. Now that technology and innovation are not alien concepts for

Indian car makers, Indian cars are becoming increasingly sleek, stylish, and

luxurious.

Major players in the Indian Car Industry:

Fierce competition among the major car players can be witnessed in the

Indian Car industry. The India car industry is being dominated by the

following major players:

HINDUSTAN MOTORS

MARUTI UDYOG

REVA ELECTRIC CAR CO

DAIMLER CHRYSLER INDIA PRIVATE LTD

FIAT INDIA PRIVATE LTD

FORD INDIA LTD

GENERAL MOTORS INDIA

HONDA SIEL CARS INDIA LTD

HYUNDAI MOTORS INDIA LTD

TOYOTA KIRLOSKAR MOTOR LTD

SKODA AUTO INDIA PRIVATE LTD

AUDI AG

BMW

CHEVROLET

FORCE MOTORS

NISSAN MOTOR CO. LTD

PORSCHE

ROLLS-ROYCE MOTOR

CAR COMPANIES IN INDIA

TATA MOTORS

CAR SEGMENTATION

With the expansion of Indian Automotive market over a period of time the

segmentation of car models came in to existence based on cars defining

characteristics namely:

Size

Performance

Price

However with continuing growth of market SIAM ( Society of Indian

Automotive Manufacturers) implemented the segmentation of cars on the

basis of length of the cars.

CAR SEGMENTATION AS PER SIAM

MINI (A1) SEGMENT

A1 ( Mini- Upto 3400mm): Maruti 800

The segment grew very fast in the initial years of expansion of

automotive industry in India

The segment started shrinking when new segments came into

existence and is continuously on decline.

COMPACT (A2) SEGMENT

A2 (compact- 3401 to 4000 mm): Santro, i10, Getz Prime, WagonR,

Alto, Palio Stile, Indica, Zen Estilo, Aveo U-VA, Spark, Ford Fusion

Diesel, Swift

The A2 segment is growing continuously and accounts for 67.8% of

the total car market today

There are more than 50 lakhs of A1 segments users who can be

upgraded to A2 segment.

THE MID-SIZE (A3) SEGMENT

A3 ( Mid- Size- 4001 to 4500mm): Esteem,SX4,Accent, Siena,

Indigo, Ikon, City, Lancer, Cedia, Fiesta, Aveo, Verna, Logan and

Ambassdor.

A3 segment has started growing now and is expected to spend rapidly

in future.

Within A3 segment upper A3 segment has started growing now.

EXECUTIVE (A4) SEGMENT

A4 (Executive-4501 to 4700mm): Elantra, Octavia, Laura, Mercedes

C-class, Corolla, Civic, Optra Magnum.

PREMIUM (A5) SEGMENT

A5 (Premium-4701 to 5000mm): Sonata, Teana, Accord, Camry, E-

class.

LUXURY (A6) SEGMENT

A6 (Luxury-5001mm and above): S-class

C (VAN TYPE): Omni, Versa.

B2 (Passenger Carrier): Tavera, Sumo, Innova.

SUV’s: Tucson, CRV, Endeavour, Grand Vitara, X-Trail, Montero, Safari,

Pajero.

CHANGES IN CAR INDUSTRY IN INDIA

The latest developments in the car market in India:

In Nashik, a car manufacture plant has been established as a result of a joint

venture of Renault and Mahindra & Mahindra to manufacture a

comparatively cheap cars (at US$ 9,700), mainly targeting the Indian middle

classes, the youth, and the affluent classes in rural India. Tata Motors has

plans to launch a luxury car with an engine of 33 horsepower. The recent

reduction in the excise duty of the small cars from 24% to 16% will

definitely prove to be a boon for the India car industry.

Technical advancements in the Indian Car Industry:

The latest technical advancements in the car market in India include the

following features

Power Steering

Radial Tires

Anti-lock Breaking Systems

Tip-tronic Transmission

The varied car markets in India:

The market for small cars now occupies a substantial share of 70% out of the

annual production of 1 million cars in India. Maruti Udyog, with its

legendary Maruti -800 is the leader in the small car market. A number of

manufacturing plants are coming up for advancements in the field of small

cars. The recent launches in the small car market in India are:

Getz Prime by Hyundai Motor Co.

Tata Magic by Tata Motors Tata Magic

Palio Stile byFiat India Pvt. Ltd

Mid-sized cars are normally cars ranging from Rs. 3-8 lakh and generally

meant to be 4 seaters. The mid-sized car section has recently moved beyond

the 1 lakh target. The recent launches in the mid-size car market in India are:

1.4 SXI Duratorq by Ford Motor Co.

Indigo XL by Tata Motors

Luxury cars and premium cars are quite expensive and they are purchased

for their design, innovation, and technology. They are usually priced over

Rs. 20 lakh and have many takers in India. The recent launches in the

premium car market in India and the luxury car market in India are:

Sonata Embera H-Matic by Hyundai Motor Co.

Nissan Teana by Nissan Motor Co. Ltd

Sports Utility Vehicles (SUVs) have also become very popular in India as

they are considered advantageous due to their ability to accommodate more

passengers. They are ideal for trips with the whole family. The Sport Utility

Vehicle market in India is the most booming market in India presently and

SUVs have become the fastest selling cars of India.

INTRODUCTION

MARUTI UDYOG LIMITED

Maruti Udyog Limited, a subsidiary of Suzuki Motor Corporation of

Japan, has been the leader of the Indian car market for about two decades.

Its manufacturing plant, located some 25 km south of NewDelhi in Gurgaon,

has an installed capacity of 3,50,000 units perannum, with a capability to

produce about half a millionvehicles.The company has a portfolio of 11

brands, includingMaruti 800 ,Omni, premium small car Zen, international

brands Alto andWagonR, off-roader Gypsy, mid size Esteem, luxury car

Baleno, theMPV, Versa, Swift and Luxury SUV Grand Vitara XL7.In recent

years, Maruti has made major strides towards its goal ofbecoming Suzuki

MotorCorporation's R and D hub for Asia. It hasintroduced upgraded

versions of WagonR, Zen and Esteem,completely designed and styled in-

house.Maruti's contribution as the engine of growthofthe Indian

autoindustry, indeed its impact on the lifestyle and psyche of an

entiregeneration of Indian middle class, is widely acknowledged.

Itsemotional connect with the customer continuesMaruti tops customer

satisfaction again for sixth year in a rowaccording to the J.D. Power Asia

Pacific 2005 India CustomerSatisfaction Index (CSI) Study.The company

has also ranked highest in India Sales SatisfactionStudy.The company's

quality systems and\practices have been rated as a"benchmark for the

automotive industry world-wide" by A VBelgium, global auditors for

International Organisation for\Standardisation. In keeping with its leadership

position, Marutisupports safe driving and traffic management through mass

media

messages and a state-of-the art driving training and researchinstitute that it

manages for the Delhi Government.The company's service businesses

including sale and purchase of preowned cars (TrueValue), lease and fleet

management service forcorporates (N2N), Maruti Insurance and Maruti

Finance are nowfully operational.. These initiatives, besides providing total

mobility

When it comes to Indian auto industry, the first brand that comes to Indian

customer mind is Maruthi. In our paper we are attempting to identify the

future of Maruthi Udyog Ltd which is currently the market leader. The main

questions we will be addressing are,

• Can it sustain its market share

• Will their be a decline in profits

• What can it do to keep its growth rate?

• How can it compete in the highly competitive small car segment

• What are its strategic alternatives

We will analyze the competitors briefly concentrating more on TATA

motors, one of the fast growing Indian auto manufacturer.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 2007, Maruti Udyog was renamed to

Maruti Suzuki India Limited. The company's headquarters remain in

Gurgaon, near Delhi.

.

HISTORY OF THE COMPANY

Maruti Udyog Limited (MUL) was established in February

1981, though the actual production commenced in 1983. Through 2004,

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.

Around 1970, Sanjay Gandhi, political advisor and younger son to the then

Prime Minister of India, Indira Gandhi, envisioned the manufacture of an

indigenous, cost-effective, low maintenance compact car for the Indian

middle-class. Indira Gandhi's cabinet passed a unanimous resolution for the

development and production of a "People's Car". Sanjay Gandhi's company

was christened Maruti Limited. The name of the car was chosen as "Maruti",

after a Hindu deity named Marut.

At that time Hindustan Motors' Ambassador was the chief car, and the

company had come out with a new entrant, the Premier Padmini which was

slowly gaining a part of the market share dominated by the Ambassador. For

the next ten years, the Indian car market had stagnated at a volume of 30,000

to 40,000 cars for the decade ending 1983.

Sanjay Gandhi was awarded the exclusive contract and licence to design,

develop and manufacture the "People's Car". This exclusive rights of

production generated some criticism in certain quarters, which was directly

targeted at Indira Gandhi. Over the next few years, the company was

sidelined due to the Bangladesh Liberation War and emergency. In the early

days under the powerful patronage of Sanjay Gandhi, the company was

provided with free land, tax breaks and funds. Till the end of 1970s, the

company had not started the production and a prototype test model was met

with criticism and skepticism. The company went into liquidation in 1977.

The media perceived it to be another area of growing corruption. [4]

Unfortunately, Maruti started to fly only after the death of Sanjay Gandhi,

when Suzuki Motors joined the Government of India as a joint venture

partner with 50% share.[5] .

After his death, Indira Gandhi decided that the project should not be allowed

to die. Maruti entered into this collaboration with Suzuki Motors, The

collaboration heralded a revolution in the Indian car industry by producing

the Maruti 800. The car went on sale on December 14, 1983. It created a

record by taking 13 months time to go from design to rolling out cars from a

production line. By the year 1993 the company had sold up to 1,96,820 cars,

mostly by selling its chief product the Maruti 800s. By March 1994, it

produced one million vehicles, becoming the first Indian company to cross

this milestone. It reached the two million mark in October, 1997 and rolled

out its 4 millionth vehicle, an Alto-LX, on April 19, 2003.

Suzuki Motor Company was chosen from seven prospective

partnersworldwide. This was due not only to their undisputed leadership

insmall cars but also to their commitment to actively bring to

MULcontemporary technology and Japanese management practices(which

had catapulted Japan over USA to the status of the top automanufacturing

country in the world).A licence and a Joint Venture agreement was signed

between Govt ofIndia and Suzuki Motor Company (now Suzuki Motor

Corporationof Japan) in Oct 1982. MUL launched its first car Maruti800

ondecember 14,1983 at initial price of Rs.47,500.

Structure

Ownership

MUL India's leading automobile manufacturers and the market leader in the

car segment, both in terms of volume of vehicles sold and revenue earned is

a public sector initiative. 18.28% of the company is 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 of 2003.

Ownership

Government

Suzuki

IPOothers

GovernmentSuzuki

IPO

others

Main divisions(brand equity)

The major services offered are,

Sales of Automobiles

Authorized Service Stations

Maruti is one of the companies in India which has unparalleled

service network. To ensure the vehicles sold by them are serviced

properly Maruti had 1545 listed Authorized service stations and 30

Express Service Stations on 30 highways across India. Service is a

major revenue generator of the company. Most of the service stations

are managed on franchise basis, where Maruti trains the local staff.

Other automobile companies have not been able to match this

benchmark set by Maruti. The Express Service stations help many

stranded vehicles on the highways by sending across their repair man

to the vehicle.

Maruti Insurance

Launched in 2002 Maruti provides vehicle insurance to its customers

with the help of the National Insurance Company, Bajaj Allianz, New

India Assurance and Royal Sundaram. The service was set up the

company with the inception of two subsidiaries Maruti Insurance

Distributors Services Pvt. Ltd and Maruti Insurance Brokers Pvt.

Limited. This service started as a benefit or value addition to

customers and was able to ramp up easily. By December 2005 they

were able to sell more than two million insurance policies since its

inception.

Maruti Finance

To promote its bottom line growth, Maruti launched Maruti Finance

in January 2002. Prior to the start of this service Maruti had started

two joint ventures Citicorp Maruti and Maruti Countrywide with Citi

Group and GE Countrywide respectively to assist its client in securing

loan. Maruti tied up with ABN Amro Bank, HDFC Bank, ICICI

Limited, Kotak Mahindra, Standard Chartered Bank, and Sundaram to

start this venture including its strategic parnters in car finance. Again

the company entered into a strategic partnership with SBI in March

2003. Since March 2003, Maruti has sold over 12,000 vehicles

through SBI-Maruti Finance. SBI-Maruti Finance is currently

available in 166 cities across

Maruti TrueValue

Maruti True Value is a service offered by Maruti Udyog to its

customers. It is a market place for used Maruti Vehicles. one can Buy,

Sell or Exchange used Maruti Vehicles with the help of this service in

India.

N2N Fleet Management

N2N is the short form of End to End Fleet Management and provides

lease and fleet management solution to corporates. Its impressive list

of clients who have signed up of this service include Gas Authority of

India Ltd, DuPont, Reckitt Benckiser, Sona Steering, Doordarshan,

Singer India, National Stock Exchange and Transworld. This fleet

management service include end-to-end solutions across the vehicle's

life, which includes Leasing, Maintenance, Convenience services and

Remarketing.

Maruti Driving School

As part of its corporate social responsibility Maruti Udyog launched

the Maruti Driving School in Delhi. Later the services were extended

to other citites of India as well. These schools are modelled on

international standards, where learners go through classroom and

practical sessions. Many international practices like road behaviour

and attitudes are also taught in these schools. Before driving actual

vehicles participants are trained on simulators.

Key personnel

Initially R.C.Bhargava, was the managing director of the company since the

inception of the joint venture. Till today he is regarded as instrumental for

the success of Maruti Udyog. Joining in 1982 he held several key positions

in the company before heading the company as Managing Director.

Currently he is on the Board of Directors. After completing his five year

tenure, Mr. Bhargava later assumed the office of Part-Time Chairman. The

Government nominated Mr. S.S.L.N. Bhaskarudu as the Manging Director

on August 27, 1997. Mr. Bhaskarudu had joined Maruti in 1983 after

spending 21 years in the Public sector undertaking Bharat Heavy Electricals

Limited as General Manager. Later in 1987 he was promoted as Chief

General Manager, 1998 as Director, Productions and Projects, 1989

Director, Materials and in 1993 as Joint Managing Director.

Production Milestones

➢ 1st vehicle produced, December 1983

➢ 1,00,000 vehicles produced by August, 1986

➢ 5,00,000 vehicles produced by June, 1990

➢ 10,00,000 vehicles produced by March, 1994

➢ 15,00,000 vehicles produced by April, 1996

➢ 20,00,000 vehicles produced by October, 1997

➢ 25,00,000 vehicles produced by March, 1999

➢ 30,00,000 vehicles produced by June, 2000

➢ 35,00,000 vehicles produced by December 2001

➢ 40,00,000 vehicles produced by April, 2003

➢ 45,00,000 vehicles produced by April, 2009-10

OTHER PRODUCTS OF MARUTI SUZUKI

Maruti

Maruti 800 STD BS III

Maruti 800 AC BS III

Omni

5 seater Maruti Omni

8 seater Maruti Omni

LPG Maruti Omni

Maruti Alto

Alto

Alto Lx

Alto Lxi

Maruti Zen

Maruti Zen Lx

Maruti Zen Lxi

Maruti Zen Vxi

Wagon R

WagonR Lx

WagonR Lxi

WagonR Vxi

WagonR Ax

Versa

5 seater

8 seater ( DX & DX2)

Maruti Esteem

Maruti Esteem Lx

Maruti Esteem Lxi

Maruti Esteem Vxi

Baleno

Baleno Sedan VXi

Baleno Sedan Lxi

Brands and models

Till recently whenever we think of Maruti we think of it as 800 due to the

huge sales it achieved. It was like a symbol of luxury for the middle class.

Nowsituations are changing and people are looking at Maruti stable for the

wide range of products they are offering. The various models and brands that

are sold by Maruti in the order of their launch are,

• Maruti 800: Launched 1983. India’s largest selling car till 2004.

• Maruti Omni: Launched 1984.

• Maruti Gypsy: Launched 1985.

• Maruti 1000: Launched 1990

• Maruti Zen: Launched 1993.Modified 2003.Production to be halted

2006New generation Zen (First generation MR Wagon in Japan) to be

introduced 2006

• Maruti Esteem: Launched 1994

• Maruti Wagon- R: Launched 1999 Modified 2006

• Maruti Baleno : Launched 1999

• Maruti Alto: Launched 2000. Currently the largest selling car in India

• Maruti Grand Vitara: Launched 2003

• Maruti Grand Vitara XL-7

• Maruti Versa: Launched 2004

• Maruti Swift: Launched 2005

BRAND PORTFOLIO OF THE COMPANY

CLASS BRAND NAME

YEAR

INTRODUCE

D

SLOGAN

City Car

Maruti 800 1983Change your life

Maruti Alto 2000Let's go

Maruti Zen Estilo 2005Shape your world

Suzuki Alto (A-

star)2008

Stop @ nothing

Suzuki SplashUpcoming

model in 2009

Super

mini Car

Maruti Wagon-R 1999 For the smarter race

Maruti Suzuki

Swift2005 You're the fuel

Compact

Car

Maruti Suzuki

SX42007 Men are back

Maruti DZiRE 2008 The heart car

Sports

Utility

Vehicle

Suzuki Grand

Vitara2007

Play it your way

Maruti Gypsy 1985King

Microvan

Maruti Omni 1984 Fits all

Maruti Versa 2003The joy of travelling

together

BRAND HIERARCHY OF THE COMPANY

BUNDLE OF COMPETENCIES

Technology

Maruti always introduces the best technology into its product line, in

addition to all its features which are almost standard in most cars. They

introduced 16* 4 Hypertech engines across the entire Maruti Suzuki range.

These are 4 valve engines powered by 16 bit chip. This gives an ideal

combination of power and performance. They also introduced electronic

power steering system (EPS) which gives better maneuverability. Their

latest introduction Swift has all the technology like surround protection

(SSP). This includes ABS, dual front airbags, collapsible steering column,

crashworthy structure etc. They also has additional features like brake force

distribution, key less entry system. The six microprocessors are connected in

a high speed canbus. This controls engine, EBS, EPS, Auto AC, Security

and dead lock and air bag. Automatic climate control, rally based suspension

system and above all the dynamic design is what the latest entrant offers its

customers. Maruti also uses latest in IT for its operations. It uses the oracle

based packages for CRM and employee feed back. Maruti also uses oracles

ERP packages for its operations. ATFCAN and Maruti are collaborating on

Canadian CNG conversion technology.

Design and development

Maruti Suzuki is outsourcing its design and development activities to India.

They are looking towards India as their design hub. Among the company's

product development challenges, the need for shorter cycle times is always

at the top. Management wants to be able to launch new models faster and

reduce the time required for minor changes and development of product

variants. Another challenge is co-development. Maruti's goal is to

collaborate closely with its global teams and suppliers on the development

of new platforms and product freshening. Other challenges include

streamlining the process of vehicle localization and enhancing quality and

reliability.

These challenges pointed directly to a product lifecycle management (PLM)

solution with capabilities for information management, process

management, knowledge capture and support for global collaboration; a

PLM solution directly addressing Maruti's business challenges. For example,

PLM's information management capabilities address the issue of the many

platforms, local variants and export destinations. Process management

permits concurrent development and faster change management and

provides a platform for other process improvements - for faster vehicle

development. Knowledge capture increases innovation and also reduces

costs by increasing part re-use. PLM's collaboration capabilities permit

global development by ensuring fast and accurate dissemination of product

information. For this Maruti uses one of the leading PLM software package

by UGS.

At Maruti, styling is a cross-discipline function that requires designers,

engineers and model makers to pool their resources in a multitude of

activities that have to be performed in order to transform creative ideas into

finished products. These styling-related activities include storyboarding,

conceptualizing, rendering, tape drawing, model making, feasibility analysis,

CAD data generation and Class-A surfacing. In addition, Maruti designs

new accessories and adds value to its products’ interiors and exteriors

by designing/developing fabrics, colors and graphics. Some of the most

recent examples of Maruti styling are seen in change programs for the Zen,

Wagon R and Esteem product lines. Other Maruti styling efforts are in

various stages of development. Maruti used to employ a variety of software

for its styling programs, including SCAD (Suzuki CAD), Alias, Unigraphics

and Catia. However, today Maruti’s styling and engineering functions are

doing almost all their work in UGS’ NX solutions.

Markets

Maruti has a strong domestic market presence in India. It has a market share

of 47% in the domestic market. The current market share of Indian car

industry is given below, Maruti Exports Limited is the subsidary of Maruti

Udyog Limited with its major focus on exports and it does not operate in the

domestic Indian market. The first commercial consignments of 480 cars

were sent to Hungary. By sending a consignment of 571 cars to the same

country Maruti crossed the benchmark of 3, 00,000 cars. Since its inception

export was one of the aspects government was keen to encourage. Angola,

Benin, Djibouti, Ethiopia, Europe, Kenya, Morocco, Sri Lanka, Uganda,

Chile, Costa Rica and El Salvador are some of the markets served by Maruti

Exports.

46%

14%

17%

23%MUL

HyundaiTata

Others

Maruti also has markets in other countries depending on export demand.

Suzuki is selling cars similar to Maruti in Pakistan and South Asian

countries. They have a major non European market which grew 78% in 05-

06. Loss of sales in Europe is due to stoppage of Alto which accounted for

80% of their exports and introduction of Swift. Algeria has emerged as

Maruti's largest overseas market with sales growing from a few hundred in

FY02 to over 6,500 (FY06). The company says it may cross 9,800 this year.

Maruti is quite bullish on markets like, Chile, Morocco, Egypt and Sudan

apart from the neighbouring countries. The auto major expects its exports to

Chile and Morocco to go above 5,900 and 2,300, respectively, this year. Its

volumes from there have moved from under 700 in FY02 to 3,115 (FY06)

and exports to Sudan was nil two years back. "In Egypt, our numbers are

estimated to grow to over 2,000 and 2,700 this year," according to Mr

Khattar. In FY07 it was under 200 few years back.

Meanwhile, Maruti is also reporting a high on current year exports to the

neighboring countries is on a high too. The company expects to export 9,200

units to Sri Lanka this year, a growth of over 50%, 1,200 units to Nepal,

over 1,175 to Bhutan and 700 to Bangladesh. Maruti, which saw exports dip

by 29% last fiscal, also plans to launch a new export model during '08-09 ,

which will target the European market. The company targets to export 1,

00,000 units of the model annually.

Overall passenger car market registered 24.86% growth

Sales of compact cars jumped by 31.2%

Mid-size car segment grew slower at 14.7%.

The Government's small car policy seems to be yielding results, with the

share of compact cars increasing to 68.25 per cent in the April-July 2006

period compared with 64.9 per cent in the same period last year.

Not surprisingly, compact cars emerged as the main driver of passenger car

growth in the period. While the overall passenger car market increased by

24.86 per cent to 3,24,671 units, sales of compact cars jumped by 31.2 per

cent to 2,21,598 units in the April-July 2006 period. In fact, all the three

major carmakers (Maruti Udyog, Hyundai Motor, and Tata Motors) saw a

sizeable jump in their compact car sales in the period.

Customer segmentation and value proposition

Segmentation

Under Rs. 3

Lakhs

Maruti 800, Alto, Omni

Reva

Rs. 3-5 Lakhs

Ambassador

Fiat Palio

Hyundai Santro, Getz

Chevrolet Opel Corsa

Maruti Zen, Wagon R, Versa, Esteem, Gypsy

Ford Icon & Fiesta

Tata Indica, Indigo

Mahindra Bolero

INTRODUCTION TO MARUTI WAGON R

Maruti WagonR

Prices and Review

  

Maruti WagonR LXi

+ More WagonR Images

+ More Cars by Maruti

+ Maruti Dealers

ON ROAD PRICE

Rs. 4,19,000

* Mumbai. May vary.

WAGONR VARIANTS

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A-Star

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Overview of New Maruti WagonR

Maruti Suzuki India has launched the all new WagonR in India. The new

model features a big smile shaped front grille with all new clear lens head

lamps and new round shaped fog lamps. The makeover is almost same like

we have seen recently in the New Estilo. New WagonR also gets new

headlamps,  new tail lamps, new front/rear bumpers, new design for

alloys/wheel covers and all new interiors.

Variants of New Maruti WagonR

- New WagonR Lx

- New WagonR Lxi

- New WagonR Vxi

Price of New Maruti WagonR

Maruti Suzuki India has launched the New WagonR between Rs. 3.28 lakhs

to Rs. 3.81 lakhs. These prices are ex-showroom New Delhi.

- New WagonR Lx - Rs. 3,28,000.00

- New WagonR Lxi - Rs. 3,57,000.00

- New WagonR Vxi - Rs. 3,81,000.00

- New WagonR Vxi ABS - Rs. 4,12,000.00

Design of New Maruti WagonR

The new model of WagonR looks much better than the current generation

WagonR. New WagonR is based on the very Japanese way of creating cars,

gone are the boxy looks, the shape of New WagonR is more rounded. Maruti

Suzuki India has christened the New WagonR as ‘The Blue-Eyed-Boy’ as it

features smart looking blue tinge in the big headlamps. This time the facelift

is quite major as Maruti engineers has used all new chassis which is wider

that the last generation one and hence the new WagonR looks wide and more

proportionate than the old WagonR.

The grille of new WagonR looks very sleek with a chrome strip on top with

big Suzuki logo in centre. The front and rear bumpers are also new with a

big air dam in front bumpers which also features integrated round fog lamps.

The side of new WagonR is more or less same like the old model with side

strips on the doors. The top model of new WagonR features body coloured

bumpers, door handles and outside rear view mirrors. At the rear new

WagonR gets all new tail lamps which are slightly bigger in size and

resembles the tail lamps of 2010 Suzuki WagonR model recently launched

in Japan. New WagonR also features a horizontal chrome strip which gives

it a upmarket look. The third stop lamp is well integrated in the hatch and

the top model of new WagonR also comes with roof rails. All in all new

WagonR looks better in terms of design and styling than the 2009 model of

WagonR.

Shades Available in New Maruti WagonR

- Superior white, Midnight black, Silky silver, Firebrick red

- Breeze blue, Baker’s choclate, Blistering grey

Changes in the New Maruti WagonR:

All New 1000cc K-series engine to meet the emission norms

All New Front Grille With Chrome Inserts.

New Bigger & Stylish Headlamps, New Tail Lamps.

New Front & Rear Bumpers, New Wheel Covers Design.

New Interiors including new door trims and new upholstery.

All New Centre Console With Dash Integrated Music System.

Improved Rear Visibility, All New Steering Wheel.

New Instrument Cluster, All New Design For Gear Knob.

Electrically Adjustable Outside Rear View Mirror (ORVM)

Interiors of New Maruti WagonR

The interiors of new WagonR also gets new combination for door trims and

new upholstery for the seats. The interiors have been improved and now

sport dual tone combination with aluminum touches all around. The steering

wheel has been borrowed from the Swift and the centre console is

rectangular in shape and the top variants are going to feature dash integrated

music system with factory fitted speakers.

The overall length of the car is now increased to 3,595 mm with a wheelbase

of 2,400 mm - the longest in its class. The width and height of the new

WagonR has also gone up 1,495 mm and 1,700 mm, respectively. The new

WagonR is thus roomier with a larger cabin space and increased leg-room

for all passengers. The steering wheel comes with a new design and can be

tilted, while the ergonomically designed gear shift knob snugly fits into the

palm to ensure driving comfort. Other features include electrical outside rear

view mirror and superior colling due to the new HVAC design. New

WagonR has:

- Best in class wheel base, 2400mm, +40 mm more than previous wagonR.

- Huge leg-space. Best in segment tandem distance, 100 mm more than

previous WagonR.

- Best in class front seat travel, 240mm, 33% more than previous WagonR.

- Best in segment front and rear headroom.

All this clubbed with the gigantic boot space makes the New WagonR a

perfect smart-family vehicle. While the rear parcel tray improves storage and

keeps your valuables hidden from prying eyes, a smart integrated tool box in

the boot leads to the overall charm. Storage space gets special attention in

the new WagonR. As a unique feature, a handy shopping tray is fitted under

front passenger seat. To safeguard the cell-phone camera unit, a soft insert

has been introduced to the floor console. These apart, there are useful

alcoves on the front console and door sides, a utility hook on the IP, and a

60:40 split rear seat add to user convenience. Two retractable cup/can

holders on the driver's and the co-driver's side, and a bottle holder in the

centre console add convenience and lead to user delight.

Top model Vxi ABS of New WagonR comes fully loaded with following

features:

HVAC - Heating, Ventilation and Air Conditioner

Power steering, Power Windows

Rear Defogger, Rear Washer/Wiper

Dash Integrated Music System

Roof rails, High mounted stop lamp

Electronic multi trip meter

Collapsible steering colum

Remote central door locking

ABS with EBD, Dual airbags

Driver Seat Belt Indicator

Security System i-CATS

Engine & Fuel Efficiency of New Maruti WagonR

New Maruti Suzuki WagonR is powered by Bharat Stage IV compliant

998cc KB series engine which develops maximum power of 67 Bhp at 6200

rpm with maximum torque of 90 Nm at 3500 rpm. The new KB series is

exactly the same engine which powers the Maruti Suzuki A-star. It is

produced at the company's Gurgaon facility. The new WagonR is based on a

completely new platform and it has a new transmission also. According to

Automotive Research Association of India (ARAI) standards, the car will

give a mileage of 18.9 km per litre of petrol.

Transmission Technology of New Maruti WagonR

The New WagonR comes with a new 5-speed synchromesh transmission

technology that incorporates numerous innovations to enhance the power

and pleasure combination. The new transmission is equipped with precise

gear shift mechanism. This reduces the gear shifting effort due to minimal

mechanical losses. The gear ratios in the transmission in the New WagonR

are optimized to enhance drivability and improved fuel economy. A reduced

clutch-pedal peak-load helps to improve the city driving experience.

Suspension of New Maruti WagonR

The new WagonR has a new cable-type transmission, a superior suspension

technology. It is equipped with a new L-shaped front suspension frame to

improve ride comfort. This fine-tuned 3-point suspension is congruous to

Indian roads and driving conditions, providing soft relaxed rides along with

dynamic handling and NVH.

Safety Features in New Maruti WagonR 

The New WagonR is high on occupant safety. A rigid cage structure

technology alongwith increased frontal impact absorbing area, thanks to

greater distance between steering wheel and front bumper, keep the

passengers safe. The Vxi variant in the new WagonR is equipped with front

and rear fog lamps, rear wiper and washer, rear defogger, dual horn and

comes with safety features such as Airbag and ABS as options which comes

in VXi ABS model. A driver-side seat belt indicator is on the dash panel a

standard feature on Lxi and Vxi variants. The New WagonR keys are

integrated with i-CATS, 4-door central locking and anti-theft alarm system.

COMPANY PROFILE

HISTORY OF HYUNDAI

 

The beginning of Hyundai Motor Company dates to April 1946 when

founder, Ju-Yung Chung  established Hyundai Auto Service in Seoul, South

Korea at the age of 31 years.   The name Hyundai was chosen for its

meaning which in English translates to “modern.”  The Hyundai logo is

symbolic of the company's desire to expand. The oval shape represents the

company's global expansion and the stylized "H" is symbolic of two people

(the company and customer) shaking hands.

 

Hyundai Motor Company was founded by Ju-Yung Chung  and younger

brother Se-Yung Chung  in December 1967.  In 1968 the company entered

into a contract with Ford motor company to assemble the Ford Cortina and

Granada for the South Korean market and continued to produce them until

1976.  Hyundai completed construction of the Ulsan plant in six months and

achieved the shortest groundbreaking to first commercial production of any

of Ford’s 118 plants.  The eight year journey provided Hyundai with

assembly knowledge, blueprints, technical specifications, production

manuals, and trained Hyundai engineers.

The leader of the Hyundai-Kia Automotive Group was changed by founder,

Ju-Yung Chung in 1999 after the Asian financial crisis and government

mandated breakup of the Hyundai Group.  Previously the automotive group

was being managed by the founder's brother.  His son, Mong-Koo Chung

had performed well managing Hyundai's after-sale service and dealerships. 

Mong-Koo was the catalyst of an extreme turnaround for the company. 

During the 80s and 90s, his uncle focused on Hyundai Automotive's growth

and producing as many cars as possible.  Product quality and customer

satisfaction suffered.  From his experience working with dealerships and

angry Hyundai customers, Mong-Koo knew well the damage to the Hyundai

reputation and the high cost of warranty repairs.

When Mong-Koo began broadcasting his intention to turn Hyundai into a

top-five automaker, few outside the company took him seriously. Hyundai,

like many family-controlled Korean companies, was ultra-hierarchical and

slow to change.  Managers rarely cooperated with one another and division

chiefs ran their operations as personal fiefdoms.  "When a problem occurred,

each division would blame other divisions," says Lee Hyun Soon, Korean

head of R&D.

Mong-Koo's first step was to replace members of top management with

engineers.  He formulated a strategy to challenge Toyota for quality. 

Extensive work with consultants, J.D. Powers, and benchmarking of the

world's best automotive companies followed.  He also sent teams to America

to study weather, road conditions, and driver habits.  Quality control staff

increased tenfold to 1,000 and they reported directly to him.  Employees

were encouraged and rewarded to offer suggestions.  One example that is

told is that a worker reported the Sonata and XG350 sedans had differently

shaped spare tire covers.  Sharing the cover saved Hyundai about $100,000

per year.

There are reports that the Korean government requested that Mong-Koo step

down as Hyundai Automotive's chairman in 2000 so that it could be led by a

non-family member.  Mong-Koo refused, arguing that he was best qualified

to lead the company.

Mong-Koo Chung has earned a reputation for an obsession with quality. 

The new Sonata's launch in Korea was delayed for two months for 50 items

management wanted fixed.  Employees in the Asan factory worked

feverishly to correct items such as a tiny error in the size of the gap between

two pieces of sheet metal near the headlight.  The problem was not visible to

the human eye and was narrower than 0.1 millimeter.  Numerous managers

and employees worked on the problem for 25 days before it was solved.

The Hyundai Group spent most of its history operating as one of South

Korea's largest chaebols, or conglomerates. The group displayed spectacular

growth since its founding in 1947 and its rapid expansion--to a point where

its interests included car manufacturing, construction, shipbuilding,

electronics, and financial services--reflected the achievements attained

during South Korea's economic miracle. The South Korean economy took a

turn for the worse during the late 1990s, however, which prompted President

Kim Dae Jung to launch a series of reforms aimed at dismantled large, often

corrupt, chaebols. By 2001, much of the Hyundai Group had been

dismantled. Roh Moo Hyun, elected President in 2002, continues to reform

the South Korean business sector.

Hyundai's growth was linked inextricably to South Korea's reconstruction

programs following World War II and the Korean War as well as to the

state-led capitalism that resulted in a polarization of the country's corporate

structure and the domination of the economy by a number of conglomerates.

World War II left the country devastated, and the small recovery Korea had

been able to make following this conflict was reversed during the Korean

War, which lasted from 1950 to 1953. The chaebols, which are similar to

Japan's zaibatsu, worked with the government in rebuilding the economy

and formed an integral part of Korea's economic strategy and its drive to

build up its industrial base.

One man, Chung Ju Yung, stood at the center of Hyundai's progress from

1950 until he died in 2001. Chung, considered a founding father of the

Korean chaebol structure, left school at an early age and developed what has

been described as an autocratic and unconventional management style. He

noted those areas of industry that the government had selected as crucial to

economic development and structured the group accordingly.

HYUNDAI MOTOR COMPANY

Founded in 1967

Brand value of US $ 4.45 billion- 2007 ( Business Week)

Hyundai’s brand ranking improves by 3 places in best Global Brands

Survey 2007( 75 to 72)

Sale of 3.7 million units world wide- 2005 (including the Kia brand)

6th largest auto manufacturer in the world- Hyundai- Kia Automotive

Group

Sold in 193 countries through a network of over 5000 dealership

2006 Ideal Vehicle Brand- Hyundai- Auto Pacific USA

Official sponsor and vehicle supplier- FIFA World Cup, Germany-

2006

Challenges for Hyundai Motor in the 1980s

The 1980s were to prove equally eventful for Hyundai Motor Company.

After the oil shock of 1979, the government took steps to protect the

industry, which had by then made large investments in plants and

equipment. It kept a tight grip on the development of this sector and in 1981

divided the market, restricting Hyundai to car and large commercial vehicle

manufacture. These regulations were revised in 1986 following the recovery

of the market, and Hyundai was able to resume manufacture of light

commercial vehicles.

By the middle of the decade, Hyundai had taken Canada by storm. Its Pony

subcompact vehicle became Canada's top-selling car less than two years

after entering the market. Hyundai's sales in Canada, where it was also

selling the Stellar, shot from none in December of 1983 to 57,500 units in

the first nine months of 1985, topping those of Honda and Nissan combined.

Total production in 1985 had risen to 450,000.

In 1985, the company announced plans to build a car assembly plant at

Bromont, near Montreal, and at the same time decided to enter the U.S.

market. The entry into the U.S. market, begun in 1986, proved an immediate

success. Its low-priced Excel model was well received, and of the 302,000

cars exported in that year, 168,000 were sold in the United States, where

sales were to increase to 263,000 the following year. Hyundai's initial

success in the United States, though, faded before the end of the decade

when sales began to flag. Problems in the company's key overseas market

were attributed to the lack of new models, increasing competition in the

weakened U.S. car market, and the severe strikes that hit the company in the

latter part of the 1980s and in 1990.

Hyundai decided to move up market with the introduction of the Sonata, a

four-door sedan, in late 1988; initial sales, though, proved disappointing. A

year later, this car was being manufactured at the Bromont plant, following

the opening of the factory in 1989. In the same year, Hyundai signed a deal

with Chrysler Corp. to build 30,000 midsize, four-door cars for the U.S.

company, starting in 1991. Chrysler was linked to Mitsubishi Corporation,

which in turn was affiliated with Hyundai, in which it held a 15 percent

stake.

Hyundai planned to increase production at the Canadian plant to 100,000 by

the time the Chrysler deal came into effect. Export sales, which were also hit

by the appreciation of the won and the depreciation of the yen, remained

sluggish. Increased wage costs also affected the group but had the advantage

of boosting domestic sales that, for the industry as a whole, increased 50

percent to 356,000 units in 1989.

Hyundai in the Early 1990s

The group became intent on reducing its dependence on the U.S. markets.

By 1990, the domestic market was proving increasingly important to the

essentially export-oriented group. Both the car and construction markets

were enjoying strong demand at the end of the decade. This situation helped

Hyundai Engineering & Construction, like the vehicle operations, to take up

the slack created by declining markets abroad, particularly in the Middle

East. The group had accumulated experience in a broad range of plant

construction, including Korea's first nuclear power plant. Meanwhile exports

in the shipbuilding sector were showing a marked improvement.

Following the creation in 1983 of Hyundai Electronics, Hyundai stepped up

its presence in the electronics field and produced semiconductors,

telecommunication equipment, and industrial electronic systems. The

company, which focused on industrial markets, sought to increase its

presence in consumer electronics, despite formidable competition from

domestic companies such as Samsung and Goldstar.

The group as a whole had proved itself capable of taking diverse markets by

storm and was determined to maintain and expand its markets by stepping

up research-and-development spending. However, the country's drive

towards democracy brought new uncertainties. In the changing economic

and political environment, the group faced a labor force seeking higher

wages, a less competitive currency, and increasing competition in the all-

important overseas markets.

Faced with this changing political scene and a less favorable international

rate of exchange, Hyundai shifted gears in the early 1990s. In automaking,

its largest enterprise, it worked to regain lost ground in the United States,

where demand for its low-priced Excel and somewhat higher-priced Sonata

models slumped in the wake of widespread consumer complaints and a

depressed entry-level market. Hyundai's new Elantra sedan, selling for

$9,000, was to be its lead item in the U.S. market. The group's chairman at

that time, Chung Ju Yung's younger brother, Chung Se-yung, was expecting

a new day for the group, as Korea itself matured with new labor and political

freedoms.

As Korea's second-largest conglomerate, with 1990 revenues estimated at

$35 billion, Hyundai Group was clearly to play an important role in the new

Korea. Indeed, the Hyundai founder and chairman, Chung Ju Yung, chose

personally to play a new, political role in that development, founding a new

political party early in 1992 with a view to promoting open-market policies.

Chung's Unification National Party (UNP) promptly won 10 percent of

National Assembly seats; Chung himself then retired from his Hyundai

chairmanship to set his sights on the Korean presidency. The Hyundai

conglomerate, already forced by the government to pay billions in back

taxes, came under even more severe government pressures after Chung

formed his party. Regulators charged illegal political contributions by one

Hyundai company and accused others of tax evasion. In addition, Hyundai's

ability to finance its operations was threatened by other government actions.

In return, Hyundai, at this time headed by Chung Se Yung, threatened to

withhold huge investments planned for the coming year. In 1993, having

finished third in South Korea's presidential election, Chung Ju Yung

reportedly said that he would resume chairmanship of the Hyundai Group

and would reorganize the corporation into many specialized, independently

run companies. In 1995, his second-eldest son, Chung Mong Koo, was

named chairman of the group while Chung remained honorary chairman.

In auto and personal-computer sales, Hyundai companies moved

aggressively. In mid-1992, Hyundai's new Motor America president, Dal Ok

Chung, took over in the Fountain Valley, California, headquarters. Among

other marketing devices, Hyundai offered generous rebates and free two-

year service warranties that covered even windshield wiper blades. By early

1993, Hyundai was offering the first auto engine it had designed and made

itself, as opposed to the Japanese-made Mitsubishi engines that were used in

its earlier models. More than ever committed to the smaller vehicle, Hyundai

was selling autos in more than 100 countries.

In personal computers, Hyundai in mid-1992 took a drastic step when it

moved its entire electronics operation to the United States, the world's

largest computer market. Hyundai Information Systems had already entered

the direct personal-computer market, cutting prices and offering toll-free

telephone support and sales. The new operation, based in San Jose,

California, had entirely American leadership, headed by IBM veteran and

former CompuAdd president Edward Thomas. The California advantage was

mainly proximity to the market, which meant lessened inventory

requirements. These developments showed the Hyundai Group to have the

same innovative and energetic approach that had characterized its earlier

ventures.

The Dismantling of Hyundai

The latter years of the 1990s brought with them economic turmoil for South

Korea. In order to restore the nation's financial health, President Kim Dae

Jung, who took office in 1998, launched a series of restructuring programs

designed to reform the chaebols, many of which had become heavily debt-

burdened. His reforms included changing the ownership, business, and

financial structures of the region's large conglomerates. By this time, the

Hyundai Group was responsible for approximately 20 percent of Korea's

GDP. As such, its financial health was directly related to South Korea's

overall economic condition.

As a result of government pressures, Hyundai and other South Korean

chaebols, including the Daewoo Group, set plans in motion to sell off many

of their businesses in order to pay down debt and shore up profits. Hyundai's

concentration remained on autos, electronics, heavy industry, construction,

and finance. Even as the group struggled under its debt load, it strengthened

its holdings with the purchase of Kia Motors Co. Ltd. and LG

Semiconductor.

Despite the government's involvement, Hyundai was slow to comply with

restructuring demands. Its questionable accounting practices often made it

the target of negative publicity. Rivalries between members of the founder's

family also led to bad press, leaving many investors anxious about the future

of the group and its member companies. Indeed, many Hyundai affiliates,

including Hyundai Engineering & Construction and Hyundai Electronics,

were nearing bankruptcy as debt continued to spiral out of control. By 2001,

total group debt reached W35.87 trillion ($25.59 billion).

Hyundai Motor Co., on the other hand, was prospering as Korea's largest car

maker. The auto concern officially separated from the Hyundai Group in

September 2000, signaling the start of sweeping changes that led to the

eventual dismantling of what was once South Korea's largest conglomerate.

In August 2001, nine core Hyundai companies, including Hyundai

Engineering & Construction and Hynix Semiconductor Inc. (formerly

known as Hyundai Electronics Industries), left the chaebol. The separation

cut Hyundai Group's assets to just $20.8 billion and left it in control of 18

member companies. Hyundai continued to be pared down the following

year.

South Korea had bounced back from its economic crisis of 1997 and 1998 to

become a leading global force in the technology sector. By 2003, foreign

investors owned over a third of the shares of companies listed on Seoul's

stock exchange. During 2002, Roh Moo Hyun was elected president of

South Korea. Feeling the pressure from foreign investors, he maintained that

harsh reform would continue within South Korea's chaebols. A May 2003

Business Week article supported the efforts of the new president, who stated

that "slowly and steadily, good governance has been asserting itself in

Korea." Indeed, it appeared as though the powerful, family-run Korean

chaebols were a thing of the past. While this marked an end to the Hyundai

Group's history, it pointed to a fresh start for many companies bearing the

Hyundai name.

HYUNDAI MILESTONES

1967 Hyundai Motor company founded

1968 Licensing agreement signed with Ford

1974 “Pony”- Korea’s first independently designed and manufactured

model

1976 First Pony exported to Ecuador

1985 “ Excel” launched

1986 Entered US market with “ Excel”

1988 “Sonata” launched

1991 Developed first proprietary engine 4- cylinder Alpha

1996 Cumulative exports surpass 4 million units, Cumulative

production surpass 10 million units.

1998 “Grandeur XG” launched, Grand opening of Chennai plant in

India, Acquired Kia Motors Corp.

2000 “ Santa Fe” launched

2010 Cumulative exports surpass 10 million units

HYUNDAI’s BRAND COMMUNICATION

Drive your way is corporate slogan which represents our pledge to become a

leading Global brand. Our foremost priority is to both inspire and satisfy our

customers. Therefore, the customers’ lives (“your way”) become more

confident (“Drive”) and that we will always stand by the side.

BENEFITS OF A STRONG HYUNDAI BRAND

A strong brand leads not only the improvement of corporate image, but is

also the source of long term profit.

HYUNDAI MOTORS INDIA LIMITED

The Start- 1996

HMIL (Hyundai Motor India Limited) was established in 1996

State of the art plant at Irrungattukottai near Chennai, constructed at a

total cost of $ 614 million.

Installed capacity to make 2 lakh 50 thousand cars per annum and 1

lakh 30 thousand engine transmission units per annum.

In process to increase capacity to 6 lakh units per annum by 2007

The Start- 1997

Production commences.

Localization of 70%, which is one of the highest, amongst all car

manufacturers.

New Horizon 1998

The Santro was launched.

Creates history by becoming one of the best selling compact cars.

Hyundai becomes India’s second largest car manufacturers in six

months.

New horizon 1999

The accent is launched.

Santro wins Business Standard Motoring “Car of the year award”.

New horizon 2000

100000th cars roll out.

Santro zip drive launched.

Export of santro and Accent started.

Santro and Accent bag JD Power Asia Pacific Award.

New Horizon 2001

Sonata was launched.

Santro wins Business Standard Motoring “Car of the year award”

again.

200000th cars roll out.

2001 “IQS” and “APEAL” honours from JD Power.

New Horizon2002

300000th cars rolls out.

Accent Viva launched.

New Horizon 2003

HMIL awarded “Manufacturer of the year” by CNBC Auto Car

India.

HMIL declared car maker of the year at ICICI overdrive awards.

400000th cars roll out.

The Santro Xing launched.

The Terracan was launched.

New Horizon 2004

1500 exported to Europe under model name Atos.

500000th vehicles roll out.

The Getz was launched.

The Elantra was launched.

New Horizon 2005

The Tucson was launched.

The Sonata Embera was launched.

New Horizon 2006

The all new Hyundai Verna was launched.

New Horizon 2010

The sonata Embera CRDi VGT was launched.

Santro crosses the 10 lakh mark.

Getz Prime was launched.

Automatic variant of the Sonata Embers CRDi VGT launched.

Santro CNG launched

Fastest 15 lakh cars roll out.

Hyundai i10 was launched.

Milestone-400,000 th Car Exported

Hyundai Motor India has achieved another significant milestone with the

shipment of its 400,000th Atos Prime to its overseas markets in New Delhi

on august 6, 2007.

In October 2006 it exported its 300,000th car. The milestone achievement of

exporting the next one lakh car in less than a year makes Hyundai’s

400,000th overseas sale the fastest export shipment in the industry.

Currently, Hyundai Motor India is exporting Santro, Getz and the Accent

model to around 67 countries across Europe, Africa, Latin America and

Middle East.

SANTRO

The Santro id India’s largest exported car under the name Atos.

Santro is produced exclusively in India and exported around the world

to over 65 countriesincluding advance markets like North America

and Europe.

Milestones

Santro was launched in 1998.

Euro-II version launched ahead of schedule.

Santro Zip Drive launched in May 2000.

In Jan 2001 Ventilated Disc brakes added on all variants of Santro.

In July 2001 facelift of the Santro launched.

In October 2001 the LP version was launched (Zip Value).

In March 2002 Santro Zip Plus with improved 1.1 L Engine launched.

Santro Xing launched in 2003.

eRLX engine and new variants launched in2005.

Santro crosses the 10 lakh mark in sales with over 7 lakh Indian

customers and 3 lakh units exported.

Santro CNG launched.

New variants launched in September 2007.

Variants

Santro is available in the following variants:-

XK Non-AC

GL

GLS

ACCENT

Launched in India October in 1999.

Tried and tested product.

Choice of over 1.5 lakh Indian customers.

Milestones

Awarded as number 1 in IQS by JD Power Asia Pacific in India in 2001.

Awarded as BSM Jury awarded by Business Standard Motoring in 2002.

Awarded as No.1 Mid size diesel car by TNS Automotive in 2005.

Both torque and power are functions of engine speed. At low speed,

torque increases as engine speed increases. As engine speed increases

further, torque reaches a maximum and then decreases. Torque decreases

because the engine is unable to inject a full charge of air at higher speeds.

But in case of Indicated power, it increases with speed. Brake power

increases to a maximum and then decreases. This is because friction power

increases with engine speed to a higher power and becomes dominant at

higher speeds. For many automobile engines, maximum brake power occurs

at about 6000 to 7000 rpm, about one and a half times the speed of

maximum torque. Greater power can be generated by increasing

displacement, mep, and/or speed. An increased displacement increase engine

mass and takes up space, both of which are contrary to automobile design

trends. For this reason, most of engines are smaller but run at higher speeds,

and are often turbocharged or supercharged to increase mep.

Theoretically, the graph of brake power vs engine speed was expected

to be a straight line with a constant slope. But the calculation shows the

inverted U-shaped curve i.e. curve of brake power gradually increased upto

5500 rpm then starts decreasing. This is due to the mechanical friction,

thermal loses and incomplete combustion of fuel and the parasitic loads of

the engine. As the engine speed increases, friction between the moving parts

increases and more power is wasted in overcoming the friction. As a result

the power decreases after a certain maximum value. Similar is the case for

the torque. Theoretical assumption of Torque profile is assumed to be

constant at all value of engine speed but due to the loss in power, the torque

production is also varies with engine speed. The curve nature of torque is

somewhat same as power curve in calculation. Here the torque increases

maximum at 3000 rpm then gradually decreases. This gradual decrease in

torque is due to the difficulty felt by the engine to intake and exhausts more

amount of the gases from the cylinder.

Same as torque, the specific fuel consumption line should also be a straight

line theoretically. But calculation shows it slightly deceases with increase in

engine speed and reaches maximum value and then starts increases gradually

upward. This graph shows the economic speed of vehicle at which minimum

fuel is consumed. In order to start and accelerate the vehicle, rich mixture is

required so sfc curve has high value at starting of engine but it decreases as

speed increases upto certain level. After reaches its min value, it starts

increasing due to fricitional loses and scavenging and knoking

Hyundai SANTOR

Pros:

1. International car made in India. Meets international safety and quality

standards and will be sold globally.

2. Fantastic interiors which is comparable to large and expensive cars.

3. Gearshift on dash which is a category first. It is smooth too. Tilt

adjustable steering.

4. Good quality and build. Best in segment. (Especially the doors give a

thud sound when shut unlike clanky noise by few other cars)

5. Supposed city mileage of around 13-15 Km/L. (On highway, close to

20 Km)

6. It’s not a Santro upgrade, this is a fresh design, though reminiscent of

the Santro.

7. Delightful to ride in the city. Best in class.

8. Good stability on highway. Good road grip.

9. AC is good.

10.Decent rear seat space. Feels comfortable.

11.Tubeless 80 profile tyres.

12.The space between driver and front passenger has a good utility area.

13.High end safety features like dual airbags, ABS and frills like sun roof

in Magna O variant (expensive though).

Cons:

1. A new version, but performance is same as Santro.

2. The boot looks deep. Will have difficulty in handling luggage.

3. Priced around 30-40 K more.

Maruti Suzuki

Wagon R

Pros:

1. Spacious.

2. Large boot space.

3. High seat positioning.

4. Factory fitted LPG in the Duo version.

5. Maruti after sales service.

6. Maintenance is less.

7. Tall boy design good for elders to enter in.

8. Large service network.

Cons:

1. Box typed design.

2. Gets nervous at high speeds.

3. Plans to phase out petrol version.

4. Not for the highway.

OBJECTIVE OF THE STUDY

To get overview of sales scenario of the automobile industry

To know how much customers are satisfied with the services provided

to them by Hyundai santro and Maruti wagon RBareilly.

To give suggestions for improvements on the points where they are

lacking on the basis of feedback from the customer.

These objectives were achieved by following a well thought out plan and

defining the problem for each objectives separately.

Literature review

‘‘A sales promotion strategy is a process or model to allow a

company or organization to focus limited resources on the

best opportunities to increase sales and thereby achieve a

sustainable competitive advantage’’.

David promotion Strategic Management

Your sales promotion strategy of reliance communication is

the way you make sure you’re getting the maximum impact

from your limited marketing budget and time.

The picture on the right is the simplest way to think about it,

starting at the bottom:

Start with your business goals: these are the highest-

level objectives of the business, or mission statement.

Next comes the sales promotion strategy: the high-level

rules that will govern what marketing efforts you focus

on.

After you’ve defined your sales promotion strategy, you

will define the marketing mix: plans for Product, Pricing,

Place (Distribution), and Promotion.

Then the final step is writing a marketing plan, which

will describe the specific, detailed marketing activities

that you plan on engaging in to achieve the sales

promotion strategies and business goals.

Your first step in developing a sales promotion strategy that

drives significant business results is to make sure you fully

understand your market by doing some research: market

size and growth, competitors, complementary, and

customers.

Sales promotion strategy is a process that can allow an organization to

concentrate its limited resources on the greatest opportunities to increase

sales and achieve a sustainable competitive advantage.

TYPES OF STRATEGIES BAKER, MICHAEL THE STRATEGIC OF

SALES PROMOTION

Every promotion strategy is unique, but can be reduced into a generic sales

promotion strategy. There are a number of ways of categorizing these

generic strategies. A brief description of the most common categorizing

schemes is presented below:

* Strategies based on market dominance - In this scheme, firms are classified

based on their market share or dominance of an industry. Typically there are

three types of market dominance strategies:

o Leader

o Challenger

o Follower

* Porter generic strategies - strategy on the dimensions of strategic scope

and strategic strength. Strategic scope refers to the market penetration while

strategic strength refers to the firm’s sustainable competitive advantage.

o Cost leadership

o Product differentiation

o Market segmentation

* Innovation strategies - This deals with the firm's rate of the new product

development and business model innovation. It asks whether the company is

on the cutting edge of technology and business innovation. There are three

types:

o Pioneers

o Close followers

o Late followers

* Growth strategies - In this scheme we ask the question, “How should the

firm grow?”. There are a number of different ways of answering that

question, but the most common gives four answers:

o Horizontal integration

o Vertical integration

o Diversification

o Intensification

A more detailed scheme uses the categories:

* Prospector

* Analyzer

* Defender

* Reactor

RESEARCH METHODOLY

Research methodology is a way to systematically solve the research

objective. It may be understood as a science of studying how research is

done scientifically.

In it we study the various steps that are generally adopted by researcher in

studying his research objective along with logic behind it. It is necessary for

the researcher to know not only the research methods/ techniques but also

the methodology. Researcher not only need to know how to apply particular

research technique, but also need to know which of these methods or

techniques are relevant and which are not and what would they mean and

indicate and why. All this means that it is necessary for the researcher to

design his methodology for his objective under study as the same may differ

objective to objective.

Thus when we talk of research methodology we not only talk of the research

method but also consider the logic behind the methods we use in the context

of a research study and explain why we are using a particular method or

techniques and so that research results are capable of being evaluated.

SOURCES OF DATA COLLECTION

Data collection methods are credible with validated surveys

and/or other methods are clearly described such as

observational strategies, the data or information is current.

The data collection is focused on a limited sample of

population and has minimal application in terms of

generalizing the findings.

Secondary Data: It refers to data which have been

collected and analyzed by someone else. It consists of

internet and books etc. Secondary data has also been

collected through the Hyundai Sales training handout.

RECOMMENDATIONS

Reception is the first point where customer will get the first

impression about Hyundai showroom and there need to be some

improvements at reception as customers are not properly attended

over there.

Maruti showroom at Bareilly should arrange more space for display

Customers are not satisfied with the after sales services so there

should be some improvements in order to engage more customers.

By improving their rest of the services they can convert their

unsatisfied customers into satisfied customers.

BIBLIOGRAPHY

Hyundai Sales Training Handout

www. Google.com

www. Indianautomobileindustry.com

www. Hyundai.co.in

www.maruti.co.in