Industry Overview
One of the major industrial sectors in India is the automobile sector. Subsequent to the liberalization, the automobile sector has been aptly described as the sunrise sector of the Indian economy as this sector has witnessed tremendous growth.
The Indian auto industry is showing signs of slowdown. Utility vehicles are growing strong, clocking 53% growth over last year. The cumulative production data for April-July 2012 shows production growth of 7.10% over same period last year.
The industry produced 1,746,840 vehicles in July 2012 as against 1,656,014 in July 2011. The overall growth in domestic sales during the period was 9.34% over same period last year. Passenger Vehicles segment grew 10.20% during April-July 2012 over same period last year. Passenger cars grew 5.5% while utility vehicles grew 53.66% during April-July 2012 as compared to same period last year.
During April-July 2012 overall automobile exports registered negative growth at (-4.03) percent. While passenger vehicles and commercial vehicles both grew by 9.14 percent. Two & three wheelers declined by (-1.00) and (39.23) percent respectively in April–July 2012 compared to the same period last year.
Porter’s Five Forces of Indian Auto Sector (Passenger car Segment)
General Environmental Analysis - PESTLE
Porter’s Five Forces
Maruti Suzuki India Ltd
Maruti Suzuki India Limited is a subsidiary company of Japanese automaker Suzuki Motor Corporation. It has a market share of 42.1% of the Indian passenger car market as of March 2012. Maruti Suzuki offers a complete range of cars from entry level Maruti 800 and Alto, to hatchback Ritz, A-Star, Swift, Wagon-R, Estillo and sedans Dzire, SX4, in the 'C' segment Maruti Eeco, Multi-Purpose vehicle Ertiga and Sports Utility vehicle Grand Vitara. It was the first company in India to mass-produce and sell more than a million cars. It is largely