Tata Motors is an automotive company to take notice of. Representing the evolving Indian population and growing economy of one of the world’s key emerging markets, it is a market leader for commercial vehicles and third for passenger vehicles in the Indian market. It shocked the world by introducing the $2000 Nano in 2009 and also by growing its portfolio by purchasing Jaguar Land Rover, a company that at first glance embodies values and skills very different to its own. At the same time, Tata Motors has also made some very smart global moves through its purposeful joint ventures and subsidiaries and through its product adaptions to the local markets. However, Tata Motors needs to fully understand its domestic market, as well as the global automotive industry, in order to create a strategy that will ensure its future total success.…
The purchasing power of people is dynamically developing as economies of several emerging nations continue to develop and an overall global car market is currently experiencing a revolution. In coming years, there will be more individuals than ever who will desire to own a mobile and procure financial resources to do so. Tata Motors became able to increase and maintain their competitive advantage and overall market share by effectively capitalizing on its core competencies. The company is considered as competitive, active, and dynamic in every aspect related with the automobile market which is evident of the fact that number of activities is responsible for the company’s overall competitive advantage.…
Managerial Economics Case Study EMP OCT 2008 Term 1 Case Report on Hero Honda Team Members Pavitar Singh - 41 Uttam Kotdiya - 59 Bimal Luthra - 16 Kamlakar - 33 Gaurav Yadav - 27 Janmejay Gupta - 32 Introduction to Hero Honda 3 Hero Honda Mission 4 Hero Honda Mandate 5 Factors influencing growth 5 [ Just-in-Time ] 5 [ Ancillarisation ] 5 [ Dealer Network ] 6 [ Financial Planning ] 6 [ Quality ] 6 [ Diversification ] 6 Models 7 Competitor Analysis 8 Market Overview 11 Two Wheeler Market in India 11 CURRENT SCENARIO 13 Domestic Trends 13 EXPORT TRENDS 13 MOTORCYCLE SALES 16…
Majority of the customers looked at brand image and good mileage as an important factor in buying the car of Tata…
The automobile Industry in India is one of the largest in the world and one of the fastest growing industries globally. India’s passenger car and commercial vehicle manufacturing industry is the sixth largest in the world. Bajaj Auto Ltd has over six decades of presence in automobile sector and it is India’s second largest two-wheeler manufacturer. Bajaj Auto product line consists of diesel, petrol and LPG driven vehicles. Due to air pollution state government stopped giving permits to diesel vehicles for In-city public transport (Three-wheelers). TVS is one of the major competitors of Bajaj in LPG driven vehicles, TVS launched its vehicles in 2009 and since then it has been successful in capturing noticeable market share in particular categories. The study was to understand the customer perception of Bajaj and TVS products, with an…
By 2003 there were about 12 major player’s in automobile market. During the period of 1999-2003 the CAGR for passenger cars segment was about 9% and for UV segment it was 4%. M & M PRODUCT PORTFOLIO Mahindra…
The amount of research regarding the topic “Hero vs Honda” is so vast. The topic is new; it is as about the merging and formation of the organizations. The companies after walking hand-in-hand for 27years, are now standing head to head in Indian two-wheeler market. Now their marketing strategies to earn market share. This study verifies The marriage between the mega corporation from Japan Honda and the world 's leading maker of cycles Hero. It was a remarkable union. One that stood the test of time. The alliance started in the year 1984 and was intact for more than 25 years (ended in the year 2010.…
The case describes Honda’s move into the US motorcycle market in the 1960's. Honda's strategy was directed towards high volumes per model, providing high productivity, and low costs. Honda succeeded in the US by introducing a new product (small motorcycles, 50cc) that expanded the motorcycle market in the US through price generic competitive strategy. Honda was prepared with capacity, capital and technical capability to enter the US market.…
The client, a leading Indian automobile manufacturer of multi-utility vehicles and light commercial vehicles (LCVs), had plants in four locations, an extensive supplier base and a distribution and service network across India. For decades, the client dominated its market. Of late, however, it has battled substantial competition in several product categories. The client was concerned that its dominance would wane due to globalization, entry of foreign companies, import of pr-used vehicles under World Trade Organization (WTO) mandates, and more stringent emission, noise and safety norms. The client engaged Mahindra Satyam to analyze emerging scenarios and create a five-year plan.…
Bajaj Auto Ltd. (BAL) is one of the oldest and the largest manufacturer of automobiles in India and has been the market leader in scooters. In 1990s, the near monopolistic market structure, perhaps, lulled the company into being complacent and they gave way to the competitors like Hero Honda and TVS.…
Automobile industry in India has huge potentials thanks to the growth of the middle class along with their overall economic growth. This is the reason of attraction for international brands who are trying hard to find new market for their products due to stagnated growth of auto sector in Europe, US and Japan.…
The Indian two-wheeler (2W) industry has shown a strong volume growth over the last two-years, having grown by 25% in 2009-10 and 27% in 2010-111 to reach 13.3 million units. This strong double-digit growth has been driven by multiple factors. One reason, of course, is statistical as this period of high double-digit growth has showed up after a rather sedate previous two years, when the 2W industry volumes had shrunk by 5% in 2007-08 and had grown by a mere 5% in 2008-09. In addition to the contribution of pent-up demand, the 2W industry growth over the last two years has been supported strongly by various underlying factors including India’s rising per capita GDP, increasing rural demand, growing urbanization, swelling replacement demand, increasing proportion of cash sales and the less measurable metric of improved consumer sentiment. Going forward, ICRA expects the 2W industry to report a volume CAGR of 10-12% over the next five years to reach a size of ~21-23 million units by 2015-16 as it views the fundamental growth drivers comprising of expected steady GDP growth, moderate 2W penetration levels, favourable demographic profile, under developed public transport system and utility quotient of a 2W - to be intact. Additionally, the entry of new players in the industry, multitude of new model/ variant launches, growing distribution reach, cheaper ownership costs on a relative basis are expected to be some of the other prime movers for industry growth over the medium term. In ICRA’s view, while the trend in rising commodity prices, hardening interest rates and increasing fuel costs may lead to some moderation in industry growth over the short term, the growth over the medium to long term is expected to remain in double…
Tata Motors is today one of the most competitive & profitable Automobile Industry in India as can be clearly depicted by the analysis of its portfolio of Automobile services. Tata Motors has launched several for various categories of consumers to enhance its investments in Automobile sector. This project deals with this aspect especially with the Passenger and commercial vehicle features.…
The Indian two wheelers can be broadly classified into three major segments –scooters, motorcycles & mopeds. The domestic two wheeler sales of 3.800 mn in FY 2000 constitutes scooter sales of 33.4% (39%in FY 1999), motorcycles 47.7 %( 42% in FY 99) & mopeds 18 %( 20% in FY 99). The motorcycle segment has gradually increased its presence from 27% in the year 1992 to 48% in the year 2000, mainly at the expenses of the scooter and, to some extent, the moped segment.…
Two-Wheeler industry is one of the largest industries in the automobile sector of global market. Being the leader in product and process technologies in the manufacturing sector, it has been recognized as one of the drivers of economic growth. During the last few decades, well¬-directed efforts have been made to provide a new look to the automobile policy for realizing the sector's full potential for the economy. The liberalization policies have led to continuous increase in competition which has ultimately resulted in modernization in line with the global standards as well as in substantial cut in prices. Aggressive marketing by the auto finance companies have also played a significant role in boosting automobile demand, especially from the population in the middle income group. Presently many international brands like Honda, Suzuki, etc. are competing with Indian brands such as Bajaj, Enfield etc. to capture Indian markets. These aggressive marketing strategies have resulted in making the consumer the major key for success in the industry. Each product offering is now designed to meet and exceed the expectations of the consumer. But understanding consumer behavior and knowing consumers is never simple. And it is more difficult that to understand what a consumer perceives about the product. Customers may say one thing but do another. They may not being touch with their deeper motivations. They may respond to influences that change their minds at the last moment.…