Maruti Suzuki India Limited (MSIL, formerly known as Maruti Udyog
Limited) is a subsidiary of Suzuki Motor Corporation, Japan. MSIL has been the leader of
the Indian car market for over two and a half decades. The company has two
manufacturing facilities located at Gurgaon and Manesar, south of New Delhi, India. Both
the facilities have a combined capability to produce over a 1.2 million (1,200,000) vehicles
Maruti Udyog Limited (MUL),INDIA’s finest and Asia’s largest automobile industry was
established in 1981 by an act of parliament.MUL, the first automobile company in the
world to be honored with an ISO 9000:2000 certificate, is a subsidiary of Suzuki Motor
Corp (holds a 54% equity stake). The Government of India remains a significant equity
stakeholder (10%).With its early mover advantage in Indian market; Maruti retains a
dominant Market share despite increasing competition.
The company offers a wide range of cars across different segments. It offers 15 brands
and over 150 variants - Maruti 800, people movers, Omni and Eeco, international brands
Alto, Alto-K10, A-star, WagonR, Swift, Ritz and Estilo, off-roader Gypsy, SUV Grand
Vitara, sedans SX4, Swift DZire and Kizashi. In an environment friendly initiative, in
August 2010 Maruti Suzuki introduced factory fitted CNG option on 5 models across
vehicle segments. These include Eeco, Alto, Estilo, Wagon R and Sx4.
The company plans to expand its manufacturing capacity to 1.75 million by 2013.
Mr. Shinzo Nakanishi is the current CEO of Maruti Suzuki.
6. YEAR NET SALES YEAR NET SALES
2005-2006 1,20,034 2006-2007 1,45,922
2007-2008 1,78,603 2008-2009 2,03,583
2009-2010 3,01,198 2010-2011 3,61,282
7. VISSION STATEMENT
“The Leader in the Indian Automobile Industry,
Creating Customer Delight1 and Shareholder's
Wealth2; eventually become a pride of India”
- Modernization of the Indian Automobile Industry.
- Developing cars faster and selling them for less.
- Production of fuel-efficient vehicles to conserve scarce resources.
- Production of large number of motor vehicles which was necessary for
- Market Penetration, Market Development Similarly Product
Development and Diversification.
- Partner relationship management, Value chain, Value delivery
10. EFE MATRIX
The total weighted score of 2.98 shows that company is responding above average to its external factors.
They are trying to grab maximum opportunities available there and avoiding the threats to their best
12. Strategy Formulation
• SWOT ANALYSIS: Consists of analysis of internal environment (Strength and
weakness) and external environments
STERNGHTHS: Contemporary technology. Japanese Management practices (that
had captured Japan over USA to the status of top Auto manufacturing country in
the world)Early mover advantages. Recruitment is done in very tedious manner
ensuring talent and best professionals, Working culture, after sale services
, distribution, diversification, R&D
WEAKNESS: Still depends upon SUZUKI COPORATION, Japan For tech.
support, 10% components are manufactured outside India. Though MUL has
launched luxury cars as well it’s still considered as poor man’s brand.
Diversification is not supported with all India presence of Manufacturing Units.
Bureaucracy, Technological disadvantages, Decades of isolation, inertia and
subservience to the whims of government bureaucrats have made MUL
unaccustomed to international standards or keen competition.
OPPURTUNITY: first company to roll out suitably designed cars before 2008 as
per Govt.’s Proposal of new ethanol (renewable)mixed fuel. Other companies lacks
economy of scale, so market is still open. Importing new technology is controlled
by Govt. so there is plenty of untapped market and with increase in Income
scale, Demand is rising.
THREAT: Numbers of new Technology driven players and manufactures are in
market. Government .reducing support and cutting down the Gas supply quota.
19. Maruti Suzuki financial results Q3 FY
• Q3: Oct-Dec (2011-12 Vs 2010-11)
The Company registered Net Sales (net of excise) of Rs. 76,636
Million, a decline of 17.4 per cent over same period in the previous
Net Profit during the quarter stood at Rs 2,056 Million, a fall of 63.6
• 9 Months: Apr-Dec (2011-12 Vs 2010-11)
The Company registered Net Sales (net of excise) of Rs. 235, 210
Million, a decline of 10.4 per cent over same period in the previous
Net Profit during the period stood at Rs 9,953 Million, a fall of 38.9
During this period, the company sold 684,892 units in the domestic
market as compared to 820,350 units during same period in last
year. In exports, the Company sold 88, 469 units.
20. •Future direction for the company
MAJOR FUTURE STRATEGIES
PHASING OUT Ertigo MARUTI
PLANS FOR A BIG DIESEL FORAY
MARUTI PLANS FOR A NEW ENGINE
AND TRANSMISSION PLANT
21. FUTURE CHALLENGES
To meet Future challenges of growing car market, India's biggest
carmaker Maruti Suzuki India Ltd. (MSIL) is focussing on two key
areas — capacity expansion and research and design (R&D)
capabilities. With more global auto majors like Honda, Toyota,
Volkswagen, Ford, Skoda, and General Motors besides Hyundai and
Tata Motors eyeing a major pie of the small car segment, MSIL is
gearing up to maintain its leadership position.
•Maruti Suzuki Sets the Pace for Future Green Cars
Maruti Suzuki develops products for the new generation and
changeable lifestyles, constantly creating new technologies
and applying them to products with affluent imagination. The
team covers a wide range of latest advances in
energy, environment, electronics, communication, information
and control applications.
22. Maruti Suzuki has a strategy for the
• The company's annual report also emphasized its growing
focus on the export market. Maruti Suzuki is looking to make
India an exclusive base to manufacture small cars for
Europe. "We want to export 2 lakh units annually by 2012-
• Maruti Suzuki which controls slightly over half of the
domestic car market in the country has said that it would
design small cars suitable for the Indian conditions as a
strategy to beat the stiff competition with the entry of global
• It would be launching compact cars with more features to
meet the needs of the customers locally.
24. NEW RELEASE
Maruti Suzuki Grand Vitara
Maruti Suzuki ERTIGO
Maruti Suzuki XA Alpha
Maruti Suzuki CERVO