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Transcript of Project Report
A PROJECT REPORTON
BRAND ANALYSIS OF MARTUTI WAGON R V/S HYUNDAI SANTRO
In partial fulfillment of the degree of Bachelor of Business Administration
M.J.P.R.U, Bareilly
INVERTIS INSTITUTE OF MANAGEMENT STUDIES BAREILLY
SUBMITTED TO: SUBMITTED BY: Mr. Vaibhav Sharma Shobhit BhardwajProject Guide BBA – VI Sem.
ACKNOWLEDGEMENT
I would like to take this opportunity to express my deep gratitude to all those who,
directly or indirectly made this project possible.
I have got considerable help and support in making this project report a reality
from many people.
I would like to thank Mr. Vaibhav Sharma, IIMS, and Bareilly whose endeavor
for perfection, under fatigable zeal, innovation and dynamism contributed in a big
way in completing this project. This work is the reflection of his thought, ideas,
concept and above all his modest effort.
Shobhit Bhardwaj
PREFACE
Project work is one of the most important activities of Professional curriculum at every level irrespective of degree or diploma. This provides us an opportunity to apply our knowledge, skills and aptitude in real life. It also provides an opportunity to work in a group and share responsibilities.
The purpose of practical training for management students is to keep them understands the management of working organization in all it’s aspects especially in the area specialization. It also helps them to broaden their horizon and in efficiency grasping the intricacies in good stand when they are actually in management position in an organization . It also intends to integrate the theoretical concept with the practical working of an organization.
The project should include relative information and details of the market so that it is easy to draw inference from it about the current market situation . Proper execution of plans and projects are responsible for the economic growth of the country
INDEX
Introduction to Automobile Industry Company Profile Maruti 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 studyo Hypothesiso Collection of Datao 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 beginning 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 Deluxe 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 Automobile 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- Up to 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, Icon, 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 by Fiat 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 New Delhi in Gurgaon, has an installed
capacity of 3,50,000 units perannum, with a capability to produce about half a
million vehicles. The company has a portfolio of 11 brands, including Maruti
800 ,Omni, premium small car Zen, international brands Alto and WagonR, off-
roader Gypsy, mid size Esteem, luxury car Baleno, the MPV, Versa, Swift and
Luxury SUV Grand Vitara XL7.In recent years, Maruti has made major strides
towards its goal of becoming Suzuki Motor Corporation’s R and D hub for Asia. It
has introduced upgraded versions of WagonR, Zen and Esteem, completely
designed and styled in-house.Maruti's contribution as the engine of growth of the
Indian auto industry, indeed its impact on the lifestyle and psyche of an entire
generation of Indian middle class, is widely acknowledged. Its emotional connect
with the customer continues Maruti tops customer satisfaction again for sixth year
in a row according to the J.D. Power Asia Pacific 2005 India Customer Satisfaction
Index (CSI) Study. The company has also ranked highest in India Sales
Satisfaction Study. The company's quality systems and\practices have been rated as
a “benchmark for the automotive industry world-wide" by A Belgium, global
auditors for International Organization for\Standardization. In keeping with its
leadership position, Maruti supports safe driving and traffic management through
mass media
Messages and a state-of-the art driving training and research institute that it
manages for the Delhi Government. The company's service businesses including
sale and purchase of pre owned cars (True Value), lease and fleet management
service for corporate (N2N), Maruti Insurance and Maruti Finance are now fully
operational.. These initiatives, besides providing total mobility
When it comes to Indian auto industry, the first brand that comes to Indian
customer mind is Maruti. In our paper we are attempting to identify the future of
Maruti 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. Maruti are sold in India and various several
other countries, depending upon export orders. Cars similar to Maruti (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
Maruti.
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 license to design, develop
and manufacture the "People's Car". These 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 partners worldwide.
This was due not only to their undisputed leadership in small cars but also to their
commitment to actively bring to MUL contemporary technology and Japanese
management practices (which had catapulted Japan over USA to the status of the
top auto manufacturing country in the world).A license and a Joint Venture
agreement was signed between Govt of India and Suzuki Motor Company (now
Suzuki Motor Corporation of Japan) in Oct 1982. MUL launched its first car
Maruti800 on December 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
Government
Suzuki
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 City 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 partners 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 True Value
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 corporate. Their impressive lists 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
includes 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
cities of India as well. These schools are modeled 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. Now
situations 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.
• 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 NAMEYEAR
INTRODUCEDSLOGAN
City Car
Maruti 800 1983Change your life
Maruti Alto 2000Let's go
Maruti Zen Estilo 2005Shape your world
Suzuki Alto (A-star) 2008Stop @ nothing
Suzuki SplashUpcoming model in
2009
Super mini
Car
Maruti Wagon-R 1999 For the smarter race
Maruti Suzuki Swift 2005 You're the fuel
Compact Car Maruti Suzuki SX4 2007 Men are back
Maruti DZiRE 2008 The heart car
Sports Utility
Vehicle
Suzuki Grand Vitara 2007Play 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 subsidiary 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
Hyundai
Tata
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 neighboring 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
COMFORT AND CONVENIENCE
AC:AC
without Climate Control
Power Windows:
Central Locking: Remote
Remote Boot:
Remote Fuel Filler:
Rear Wiper:
Rear Defogger:
Rear Armrest:
Streeing Adjustment
(Rake/Reach):/
Driver Seat Adjustment: Manual
Music System: No
Leather Seats:
Door Mirror: Both Side Manual
Tinted Glass:
Rear AC Vent:
Folding Rear Seats:
Sun Roof:
Buttons/Controls
on Steering:
Auto Viper:
Auto Headlamp:
Maruti WagonR
VEHICLE SUMMARY
Name: WagonR
Model: LXi
Car Body Type: Hatchback
Segment: B Segment
Fuel Consumption:
Highway19.00 kmpl.
Fuel Consumption:
City15.00 kmpl.
Warranty: NA
VERDICT
FOR
Spacious Interiors
Reasonable Price
Feature Rich
AGAINSTNo Alloy Wheels even in top model
Panel Gaps - Fit & Finish not up to the mark
Comfort:
ENGINE SPECIFICATIONS
Displacement: 998cc , KB-Series, Aluminum
Engine Type: Petrol
Maximum Power: 67 Bhp @ 6200 rpm
Maximum Torque: 90 Nm @ 3500 rpm
DIMENSIONS
Length: 3595 mm
Width: 1475 mm
Height: 1700 mm
OTHER SPECIFICATIONS
Seating Capacity: 5
Tyre Size: 145/80 R13
Suspension: McPherson Strut, Isolated Trailing Link
Turning Circle: 4.60 mtrs.
Steering: Power
Brakes: Front Disk, Rear Drum
Gears: 5 Manual
Ground Clearance: 165.00 mm
Kerb Weight: 870.00 kgs.
Fuel Tank: 35.00
Body Color Bumpers:
Tachometer:
Alloys:
ORVM Indicator:
Xenon Headlamps:
Trip Meter: 2
Headlamp Washer:
ACTIVE AND PASSIVE SAFETY
Airbag: yes
Parking Sensors: yes
Fog Lamp: yes
Traction Control: yes
EBD:
ABS:
ESP:
+ FIND CARS SIMILAR TO MARUTI WAGONR LXI
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 colored 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 up market 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 chocolate, 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 get 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 culling 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 column
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
along with 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 come 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.
Hyundai founder, Ju-Yung Chung
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 400,000 th
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.The Hyundai logo, a slanted, stylized µH¶, symbolizes the company shaking hands with its customer.Hyundai translates from the word ³modernity´, and is pronounced
as ³Hyon-dae´ in Korean.Chung Ju-Yung founded the Hyundai Engineering and Construction Company in 1947. Hyundai MotorCompany was later established in 1967. The company¶s first model, the Cortina, was released incooperation with Ford Motor Company in 1968. In 1975, Pony, the first Korean car, was released, withstyling by Giorgio Giugiaro of ItalDesign and powertrain technology provided by Japan¶s Mitsubishi Motors.Exports began in the following year to Ecuador and soon thereafter to the Benelux countries. In 1991, the company succeeded in developing its first proprietary gasoline engine, the four-cylinder Alpha, and transmission, thus paving the way for technological independence. In 1983, Hyundai exported the Pony to Canada, but not to the United States because the Pony didn’t¶t passemissions standards there. Canadian sales greatly exceeded expectations, and it was at one point the top-selling car on the Canadian market. The Pony afforded a much higher degree of quality and refinement in the lowest price auto segment than the Eastern-bloc imports of the period then available. In 1986, Hyundai began to sell cars in the United States, and the Excel was nominated as ³Best Product#10 by Fortune magazine, largely because of its affordability. The company began to produce models with its own technology in 1988, beginning with the midsize Sonata. In 1996, Hyundai Motors India Limited was established with a production plant in Irrungattu kotai near Chennai, India. In 1998, and Hyundai began to overhaul its image in an attempt to establish itself as a world-class brand. Chung Ju Yung transferred leadership of Hyundai Motor to his son, Chung Mong Koo, in 1999. Hyundai’ s parent company, Hyundai Motor Group, invested heavily in the quality, design, manufacturing, and long-term research of its vehicles. It added a 10-year or 100,000-mile (160,000 km) warranty to cars sold in the United States and launched an aggressive marketing campaign.South Korea's leading carmaker, Hyundai Motor produces compact and luxury cars, SUVs, and mini vans, as well as trucks, buses, and other commercial vehicles. The company re-established itself as South Korea's leading carmaker in 1998 by acquiring a 51% stake in Kia Motors (since reduced to about 34%). Selling cars in the US since 1986, Hyundai started selling its heavy trucks stateside in1998. Hyundai's models for the North American market include the Accent and Sonata; models sold elsewhere include the GRD and Equips. Through its Hyundai WIA subsidiary, it also manufactures machine tools for metalworking applications, such as horizontal machining, turning, and vertical machining. In 2004, Hyundai was ranked second in ³initial quality´ in a survey/study by J.D. Power and Associates. Hyundai is now one of the top 100 most valuable brands worldwide. Since 2002, Hyundai has also been one of the worldwide official sponsors of the FIFA World Cup. Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor Company (HMC), South Korea and is the largest passenger car exporter and the second largest car manufacturer in India.
HMIL presently markets 6 models of passenger cars across segments. The A2 segment includes theSantro,i10 and the i20, the A3 segment includes the Accent and the Verna, the A5 segment includes Sonata
Products of Hyundai motors
1. Hyundai Accent (Launched 1999)2. Hyundai Santro Xing (Launched 2003)3. Hyundai i10 (Launched 2007)4. Hyundai i20 (Launched 2008)5. Hyundai Sonata Transform (Launched 2009)6. Hyundai Verna Transform (Launched 2010)7. Hyundai Santa Fe (Launched 2010)
Comparative study of Hyundai and Maruti Products
General Features
Hyundai Santro
Xing GLS
Maruti Suzuki
Wagon R LX
Price (Ex-
Showroom
Mumbai)
Rs. 3,68,889 Rs. 3,24,769
FeaturesHyundai Santro
Xing GLS
Maruti Suzuki Wagon
R LX
Air Conditioner
Power Windows
Power Steering
Anti-Lock
Braking System
Leather Seats
CD Player
Specs
Overall Length
(mm)3565 3520
Overall Width 1525 1475
(mm)
Overall Height
(mm)1590 1660
Kerb Weight
(kg)854 825
Mileage Overall 17.6 13
Seating Capacity
(person)5 5
No of Doors 5 5
Displacement
(cc)1086 1061
Power
(PS@rpm)63@5500 64@6200
Torque( Nm@rp
m)89@3000 84@3500
Transmission
TypeManual Manual
Gears 5 5
Minimum
Turning Radius
(meter)
4.4 4.6
Tyres 155/70 R13 155/80 R13
Wheel Base
(mm)2380 2360
Ground
Clearance (mm)165 165
Front Track
(mm)1315 1295
Rear Track(mm) 1300 1290
Front Legroom
(mm)1080 985
Rear Legroom
(mm)800 890
Boot Space
(liter)218
Gross Vehicle
Weight (kg)1250
Mileage
Highway
(km/liter)
20.1 17
Mileage City
(km/liter)16.8 12
Mileage Overall
(km/liter)17.6 13
Capacities
Seating Capacity
(person)5 5
Fuel Tank 35 35
Capacity (liter)
No of Doors 5 5
Performance
Maximum Speed
(kmph)141 145
0-100kmph
(seconds)16.9 17.4
1/4 Mile
(seconds)20.6 21.2
100kmph-0
Braking (meters)72.3
80kmph-0
Braking (meters)55.2
Engine
Engine
Type/Model
Hyundai Epsilon
EngineFC Engine
Displacement
(cc)1086 1061
Valve
MechanismSOHC DOHC
Bore (mm) 66 68.5
Stroke (mm) 77 72
Compression
Ratio8.9 9
No of Cylinders
(cylinder)4 4
Cylinder
ConfigurationInline Inline
Valves per
Cylender (valve)3 4
Ignition Type
Distributorless
Ignition System
(DLI)
Block Head
MaterialAluminium
Fuel Type Petrol Petrol
Fuel System MPFI MPFI
Transmission
Transmission
TypeManual Manual
Gears 5 5
Clutch TypeStick gear shifting
& Frequent clutch
Final Reduction
Gear Ratio
Suspensions
Front
Suspension
McPherson Sturt
with Stabilizer bar
McPherson Sturt with
torsion type roll
control device
Rear Suspension
Torsional Beam
Axle, 3 Link offset
coil spring
Coil spring, gas filled
shock absorber with 3
link rigid axle and
isolated trailing arms
Steering
Steering TypeRack & Pinion with
Power AssistNon-power steering
Power Assisted Standard N/A
Minimum
Turning Radius
(meter)
4.4 4.6
Brakes
Brake Type ABS 8” booster- assisted
Front Brakes Ventilated Disc Discs
Rear Brakes Drum brake Drum
Wheels and Tyres
Wheel Type Tubeless tyres Steel
Wheel Size 13 inch 13 inch
Tyres 155/70 R 13 155/80 R13
Comfort: A/C with Ozone-
friendly R134a gas
Heater 4 Speed Blower
Fan Remote fuel lid
opener Remote tail gate
release Clutch foot rest Power steering Internally
adjustable ORVMs
Front power windows
Low fuel warning
Exterior
Clear headlamps
Twin clear rear combination lamps
Driver & passenger ORVM
All around tinted glass
Body coloured bumper
Detachable black bumper moduling
Waistline modeling
Chrome radiator grille
New body colour
Body colour coordinated seat fabric
Comfort: Air conditioner
with heater Full flat front
seat Remote fuel lid
opener
Exterior Clear
headlamps & tail lamps
Tinted glass Outside rear
view mirror (R & L)
Wheel hub cap Front wiper (2
speed + intermittent)
Radial tyres
Interior Plush
Upholstery Front ash tray Front and rear
door pocket Cup holder Moulded roof
lining Front seat head
rests Reclining and
sliding front
Body colour radiator grille
Rear spoiler Full wheel
cover
Interior 3-spoke steering
wheel A, B & C pillar
trims Rear speaker
grill Ash tray Room lamp Floor console
(deluxe) Front door map
pocket Front door full
size arm rest Door trim with
fabric insert Anti-submarine
front seats Rear seat double
folding Rear seat head
restraints (integrated)
2 tone beige & brown interior key colour
Rear parcel tray Silver finish
centre console & AC vents
Door trim with fabric insert
Beige & brown seat Upholstery.
Safety
Dual member side protection beams
Engine sub-
seats Luggage
compartment carpet
Door trim fabric
Front door arm rest
Cabin lamp (3-positions)
Lower console box
Assist grip (3 nos.)
Front seat back pocket (driver side)
Equipments Electronic
multi trip meter
Safety Side-impact
beam Collapsible
steering column
8” booster- assisted brakes
Child proof rear door locks
Halogen head lamps
Front and rear seat belts
Ability to diagnose breakdown
High mount stop lamp
Head lamp leveling device
frame Energy
absorbing steering column
Cross bar under dash panel
Child safety rear door locks
Front & rear seat belts
High mounted stop lamp (HMSL)
Dual horns Day and night
inside rear view mirror
Central door locking
RESEARCH METHODOLOGY
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.
OBJECTIVE OF THE STUDY
To get overview of sales scenario of the Indian car industry
To know how much customers are satisfied with the services provided to them by Hyundai and Maruti Bareilly.
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 objective separately.
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.
Primary data: It refers to direct communication with the people
through surveys, interviews etc
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.
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 PROMOTIONEvery 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 Leadero Challengero 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 leadershipo Product differentiationo 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 Pioneerso Close followerso 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 integrationo Vertical integrationo Diversificationo Intensification
A more detailed scheme uses the categories:
* Prospector* Analyzer* Defender* Reactor
DATA ANALYSIS
HYUNDAI SANTRO
Sales in 2010
1st Half2nd Half
MARUTI SUZUKI WAGON-R
Sales in 2010
1ST Half2nd Half
SALES ANALYSIS OF SANTRO & WAGON-R
Sales
SANTROWAGON-R
LIMITATIONS
Although both companies provide better features in small car segments but some features should be improved according to the feedbacks of current customers. Indian customers are having mindset of fuel efficiency of their vehicle; if they work on it then they can improve their sales figures. Recently Tata motors has launched Indica Ev2 having mileage of 25 Kmpl keeping in mind of their Indian market.
QUESTIONNAIRE
Please fill out the following survey, answering the questions as accurately as possible.
PERSONAL DETAILS:-
Name: ------------------------------------------------------------------------
Occupation: -------------------------------------------------------------
Contact No. : -----------------------------------------------------------
1. What age group are you in? 18-25 36-45 26-35 Above 45
2. What category of income do you fit into? Below Rs.50,000 Rs.1,00,000-Rs.2,50,000 Rs.50,000-Rs.1,00,000 Above Rs.2,50,000.
3. Which kind or segment of Car do you have? Premium / Performance Segment Utility / Medium Segment Entry / Economy Segment
4. Which company’s Car do you have? Maruti Hyundai Honda Others
5. Which brand will u prefer? Hyundai santro Maruti wagon-R
6. Which factor would you consider the most while buying a Car? Fuel Efficiency Look & Style Image & Brand Maintenance Resale Value Availability of the product
7. Loyality towards your brand? satisfied excellent
8. Which facilities would you expect while buying? Low Price After Sale’s Service
Incentives Others _______________
9. Which mode of payment would you prefer while buying a Car? Lump-sum Installment
10. Do you get the spare-parts of your Car easily from the market? Yes No
11. Are you Brand Loyal? Yes No
12. Would you like to buy more premium Car in future? Yes No
13. Does Celebrity Endorsement of a Car gives it more appeal?1 2 3 4 5
Strongly Agree Agree Don’t Know Disagree Strongly Disagree
14. Are you satisfy with the after sales service by dealer?
Yes No
Thank you for your time.
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