Chapter: - 1

ABOUT THE COMPANY

• Introduction
• History
• Company’s Profile
o Board of Directors
o Company’s Vision, Mission
and Corevalues
o Milestones , Awards and
Achievements of the
Company
o Company’s Financial
Structure
o Company’s Organisational
Structure
 Introduction
Maruti Suzuki is India’s number one leading automobile
manufacturer and the market leader in the car segment both in
terms of volume of vehicle and revenue earned. Until recently
18.28% of the company was owned by the Indian government
and 54.2% by the Suzuki of Japan. The Indian Govt.held an
initial public offering of 25% of the company in June 2003. As of
10 May 2007 government of India sold its complete share to
Indian financial Institution. With this govt. Of India has no
longer stake in Maruti Udyog.

Maruti Udyog Limited (MUL) was established in February 1981,

though the actual production was started in 1983 with the
Maruti 800 based on the Suzuki Alto Kei Car which at that time
was the only modern car available in India. Its only competitor
was Hindustan Motor’s Ambassador and the Premier Padmini
were both around 25 years out of date at that point.

Through 2004 , Maruti Suzuki had produced over 5 Million

vehicles. Maruti Suzuki are sold in India and various several
other countries depending upon export orders. Models similar
to Maruti Suzuki ( but not manufactured by Maruti udyog) are
sold by Suzuki Motors corporation and manufactured in
Pakistan and other south Asian countries.

The company anually exports more than 50,000 cars and has
an extremely large domestic market in India selling over
7,30,000 cars anually. Maruti 800 till 2004 was the India’s
largest selling compact car ever since it was launched in 1983.
More than a Million unit of this car have been sold worldwide so
far. Currently Maruti Suzuki Alto tops the sales chart and
Maruti Suzuki Swift is the largest selling car in A2 segment.

Due to large number of Maruti 800’s sold in the Indian market

the term “Maruti” is commonly used to refer to this compact
car model. Till recently the term “ Maruti” in popular Indian
culture in India, Hindu’s lord Hanuman is known as “Maruti”
was associated with Maruti 800 model.

Manufacturing Facilities :-
Its manufacturing facilities are located at two facilities,
“Gurgoan” and “Manesar” south of Delhi. Maruti Suzuki’s
Gurgoan facility has an installed capacity of 3,50,000 units per
annum. The Manesar facility launched in February 2007
comprises a vehicle assembly plant with a capacity of 1,00,000
units per year and a Diesel Engine plant with an annual
capacity of 1,00,000 engines and transimission. Manesar and
Gurgoan facility have a combined capacity to produce over
7,00,000 units annually.

More than a half of the cars sold in India are Maruti Suzuki cars.
The company is a subsidiary of Suzuki Motors Corporation of
Japan which owns 54.2 percent of Maruti Suzuki. The rest is
owned by the Public and Finance Institution.It was listed on the
Bombay ( now Mumbai) stock exchange in India.

During 2007-08 Maruti Suzuki sold 7,64,842 cars of which

53,024 are exported in all. Over Six Million Maruti Suzuki cars
on Indian roads since the first car was rolled out on 14
December 1983.
Products Offered :-
Maruti Suzuki offers 15 models and they are, Maruti 800, Alto,
Wagon R, Zen Estilo, A Star, Ritz, Swift, Swift Dzire, SX4,
Omni, Eeco, Gypsy and Grand Vitara.

Out of these models Grand Vitara is imported from Japan a

completely built unit (CBU). Swift, SwiftDzire , A Star and SX4
are manufactured in Manesar and the remaining models such
as Maruti 800, Alto, Wagon R, Zen Estilo, Ritz, Omni , Eecoetc
are manufactured at Gurgoan Plant.

Human Resources :-
Nearly 75,000 people are employed directly by the Maruti
Suzuki and its Partner. It has been rated first in customer
satisfaction among all car makers in India from 1999 to 2009 by
J.D. Power Asia Pacific.
 History
Around 1970, Sanjay Gandhi, Political advisor and younger son
to 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 uninamous resolution for the
devlopment and production of “people’s car”. Sanjay Gandhi’s
company was christened Maruti Limited. The name of the car
was choosen as “Maruti”, after the name of a hindu deity
named Marut.

At that time Hindustan Motor’s Ambassador was the cheif car

and the company had came out with a new enterant , the
Premium 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 of30,000
to 40,000 cars for the decade ending 1983.

Sanjay Gandhi was awarded the exclusive contract and licence

to design, devlop and manufacture the “People’s car.This
exclusive right of production generated some criticism in
certain quaters, which was directly targeted at Indira Gandhi .
Over the next few years the company was sidelined due to the
Bangladesh Liberation war and the 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 1970’s 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. Unfortunately Maruti started to fly only after the
death of Sanjay Gandhi, when Suzuki joined the Govt. Of India
as a joint venture parteners with 50% share.

After the death of Sanjay Gandhi, Indira Gandhi decided that

the project should not be allowed to die. Maruti entered into
collaboration with Suzuki Motors . The collaboration heralded a
resolution in the Indian car industry by the production of
“Maruti 800”.

The car went into sale on December 14,1983. It created record

by taking 13 months to go from design to rolling out car from a
production line. By the year 1994 the company had sold upto
1,96,820 cars, mostly by selling its cheif product the “Maruti
800”. By March 1994, it produced one million vehicle ,
becoming the first Indian company to cross this milestone. It
reaches the 2 million mark in October 1997, and rolled out its
4th million vehicle an ALTO (LX) on April 19, 2003.

Maruti Udyog Ltd. is the premium car company in India. Maruti

Udyog Limited (MUL) was established in February 1981 through
an act of parliament. The Company entered into collaboration
with Suzuki Motors of Japan to manufacture cars.The main
objectives behind formation of Maruti Udyog Limited was to
meet the growing demand of a personal mode of transport
caused by the lack of an efficient Public Transport System.

Today Maruti Udyog Limited is garneshing share of automobile

market in India. It has completely revolutionised the Indian car
market and has brought out numerous model to cater to every
section of society. These ranges from Economy cars to Luxury
cars to Super SUV’s.

Company’s Profile
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 an
uninamous resolution for the development and
production of “Peoples car”. Sanjay Gandhi’s company
was christened Maruti Limited. The name of the car was
was chosen as Maruti, after a hindu deity named Marut.
Unfortunately Sanjay Gandhi died without fulfilling his
dream. After this death , Indira Gandhi decided that the
project should not be allowed to die. Maruti entered
into collaboration with the Suzuki Motors of Japan. The
collaboration heralded a resolution in the Indian car
industry by producing Maruti 800. The car went into
sale on 14 December 1983. And from 1980’s to till day
today Maruti’s have dominated the Indian Automobile
industry as well as automobile market.

Stock Exchange on which company is listed :-

Maruti Suzuki is listed on Bombay stock exchange now
Mumbai. It is also listed on NYSE ( New York Stock
Exchange) as well as stock exchange of Japan.

Vision, Mission and Core values of

Maruti Suzuki

Vision:-
Vision of any company is those values on which company
works. As the Maruti Udyog Limited (MUL) is started by
governmental initiatives it tends to be more consumer oriented
and hence cost- effective, but on the other hand Suzuki’s
participation ensures not only need of profit, but the need of
maximum profit. The only way of Nora’s dilemma of selecting
principles for the company’s working vision was to maximize
profit and sales and hence Maruti Udyog Limited (MUL)
declared its vision as:-

“The leader in the Indian Automobile Industry, creating

Customer Delight one and shareholder’s wealth two eventually
become pride of India. Customer Delight One is making sure
that Performance, after sales service and customer are best
and beyond expectations, shareholder’s wealth two is the
prime concern for running business smoothly. Maruti Udyog
Limited (MUL) knows this and understands “Customer Is King” ,
he can change the future of any company hence goes
company’s brand line : COUNT ON US!

Mission:-
Mission is the statement of any organisation’s purpose , what is
want to accomplish in the larger environment and its goal
which are specific , realistic, and motivating. Missions are
described over Visions and Visions demand certain objectives.
The main Objectives / Mission of Maruti Udyog Limited are:-

1. Modernisation of Indian Automobile Industry.

2. Developing cars faster and selling for less.

3. Production of fuel- efficient vehicles to conserve scarce

resources.

4. Production of large number of motor vehicles which are

necessary for the Economic Growth.

5. Market penetration, Market developments, similar product

development and diversification.

6. Parter relation management, value chain, value delivery

networks.
Core Value :-

• Customer Obsession

• Fast, Flexible and First Mover

• Innovation and Creativity

• Networking and Partnership

• Openness and Learning

Company Board Of Directors

Mr.Shinzo Nakanishi Managing Director (M.D)
and Chief Executive
Officer (C.E.O)
Mr. R.C. Bhargava Chairman

Mr.Maninder Singh Banga Director

Mr.AmalGanguli Director

Mr.D.S.Brar Director

Mr. Keiichi Asai Director

Mr. Osamu Suzuki Director

Mr.ShujiOishi Director

Ms.PallaviShroff Director

Mr. Kenichi Ayukawa Director

Mr. Tsuneo Ohashi Director and
Management Executive
Officer
MILESTONES

200  The fiftieth lakh car rolls out in April, 2005

5

 Growth in overall sales by 15.8%

200  New (non A/C) variant of Alto

4
 Alto becomes India's new best-selling car

 LPG variant of 'Omni Cargo'

 Versa 5-seater, a new variant

 Baleno LXi, a new variant

 Maruti closed the financial year 2003-04 with

an annual sale of 472122 units, the highest
ever since the company began operations 20
years ago

200  New Suzuki Grand Vitara XL-7

3
 Redesigned and all-new Zen

 New upgraded WagonR

 Enters into partnership with State Bank of

India

 Production of 4 millionth vehicles. Listed on

BSE and NSE after a public issue
oversubscribed 10 times

200  WagonR Pride

2
 Esteem Diesel. All other variants upgraded

 Maruti Insurance. Two new subsidiaries

started: Maruti Insurance Distributor Services
 and Maruti Insurance Brokers Limited

 Alto Spin LXi, with electronic power steering

 Special edition of Maruti 800, India’s first

colour-coordinated car

 Maruti True value in Mumbai

 Maruti Finance in Mumbai with 10 finance

companies

 Suzuki Motor Corporation (SMC) increases its

stake in Maruti to 54.2 percent

200  Zen LXi

1
 Maruti True Value launched in Bangalore and
Delhi

 Maruti Versa, India’s first luxury MPV

 Alto Spin LXi, with electronic power steering

 Alto VXi

 Customer information centers launched in

Hyderabad, Bangalore and Chennai

 Launch of versa

200  First car company in India to launch a Call

0 Center

 New Alto

 Altura, a luxury estate car

 IDTR (Institute of Driving Training and

 Research) launched jointly with the Delhi
government to promote safe driving habits

199  Maruti 800 EX ( 796cc, hatchback car)

9
 Zen LX (993cc, hatchback car)

 Zen VXi (993cc, hatchback car with power

steering)

 Omni XL ( 796cc, MUV, high roof)

 Baleno (1600cc, 3 Box Car)

 Wagon R

 Launch of Maruti - Suzuki innovative traffic

beat in Delhi and Chennai as social initiatives

199  Maruti launches website as part of CRM

8 initiatives

 Zen D (1527 cc diesel, hatchback car)

 Zen VX & Zen VX Automatic

 New (Omni & Omni E) (796cc, MUV)

 Launch of website as part of CRM initiatives

199  1998 Esteem (1299cc, 3 box car) LX, VX and

7 AX

 New Maruti 800 (796cc,hatchback Car)

Standard and Deluxe

 Produced the 2 millionth vehicle since the

commencement of production
199  Gypsy (E) (970cc, 4WD 8 seater)
6
 Omni (E) (796cc, MUV, 8 seater)

 Gypsy King (1298cc, 4WD, off road vehicle)

 Zen Automatic (993cc, hatchback car)

 Esteem 1.3L (1298 cc, 3 box Car)AX

 Launch of 24-hour emergency on-road vehicle

service

199  Esteem 1.3L (1298 cc, 3 box car)VX

5
 With the launch of second plant, installed
capacity reached 200,000 units

199  Esteem1.3L (1298cc, 3 box car)LX

4
 Produced the 1 millionth vehicle since the
commencement of production

199  Zen (993cc, hatchback Car), which was later

3 exported in Europe and elsewhere as the Alto

199  SMC increases its stake in Maruti to 50

2 percent

199  Reaches cumulative indigenisation of 65

1 percent for all vehicles produced

199  Maruti 1000(970cc, 3 box), India’s first

0 contemporary sedan

198  Installed capacity increased to 100,000 units

8

198  Exported first lot of 500 cars to Hungary

7

198  Maruti 800 ( New Model-796cc, hatchback

6 Car)

 Produced 100,000 vehicles (cumulative

production)

198  Launch of Maruti Gypsy (970cc, 4WD off-road

5 vehicle)

198  Omni, a 796cc MUV

4
 Installed capacity reached 40,000 units

198  Maruti 800, a 796 cc hatchback, India’s first

3 affordable car.

 Production was started under JVA

198  License and JV agreement signed between

2 Maruti Udyog Ltd. and SMC of Japan

AWARDS

2005
Number one in JD Power SSI for the second
consecutive year
Number one in JD Power CSI for the sixth time in
a row - the only car to win
 it so many times
M800, WagonR and Swift topped their segments
in the TNS Total
Customer Satisfaction Study
Leadership in the JD Power Initial Quality Study -
Alto number one in its
segment for the 2nd time in a row, Esteem
number one in its segment for
the 3rd year in a row, Swift number one in the
premium compact segment
WagonR and Esteem top their segments in the JD
Power APEAL study
TNS ranks Maruti 4th in the Corporate Reputation
Strength (CSR) study
(#1 in Auto sector)-Feb 05
Maruti bagged the "Manufacturer of the year"
award from Autocar-CNBC
( 2nd time in a row)-Feb 05
First Indian car manufacturer to reach 5 million
vehicles sales
Business World ranks Maruti among top five most
respected companies in
India-Oct 04
Maruti ranked among top ten (Rank7) greenest
companies in India by
Business Today - Sep '04

2004
Maruti Suzuki was No. 1 in Customer atisfaction,
No. 1 in Sales Satisfaction No.1 in Product Quality
 (Esteem and Alto) and No. 1 in Product Appeal
(Esteem and Wagon R)
No. 1 in Total Customer Satisfaction (Maruti 800,
Zen and Alto)
Business World ranked us among the country's
five most respected companies
Business World ranked us the country's most
respected automobile company
Voted Manufacturer of the year by CNBC
Voted one of India's Greenest Companies by
Business Today-AC Nielson ORG-MARG

2003
Maruti 800, Maruti Zen and Maruti Esteem make
it to the top 10 automotive brands in "Most
Trusted Brand survey 2003"
J D Power ranked 3 models of Maruti on top:
Wagonr, Zen and Esteem
Maruti 800 and Wagonr top in NFO Total
Customer Satisfaction Study 2003.
MUL tops in J D Power CSI (2001) for 4th time in a
row

2001
MUL tops in J D Power CSI (2001) for 2nd time in
a row: another international first

2000
Maruti bags JD Power CSI - 1st rank; unique
achievement by market leader anywhere in the
 world

1999
MSM launched as model workshop in India;
achieves highest CSI rating.
Central Board of Excise & Customs awards Maruti
with "SammanPatra", for contribution to
exchequer and being an ideal tax assessee

1998
CII's Business Excellence Award

1996
Maruti wins INSSAN award for "Excellence in
Suggestion Scheme"
Awarded the Star Trading House status by
Ministry of Commerce

1994-95
Engineering Exports Promotion Council's award
for export performance

1994
Best Canteen award among Haryana Industries
as part of employee welfare

1992-93
Engineering Exports Promotion Council's award
 for export performance

1991-92
Engineering Exports Promotion Council's award
for export
 ORGANISATION STRUCTURE

Maruti Udyog Limited has a flat organisation structure

with a maximum of three levels. The Organisation
Structure of Maruti Udyog Limited is follows:-

MANAGING DIRECTOR

Manufacturing Financial
General
Director Controller
Manager

DGMs/AGMs DGMs/AGMs
DGMs /AGMs

Managers / AM Managers /AM

Managers / AM

Engineers and Sr. Executives

Sr. Executives
Sr. Executives

Jr. Executives Jr. Executives

Jr. Executives

THE PRODUCTION PROCESS AT MARUTI

STEEL COILS

BLANKING

PRESSING

WELDING

PAINTING
FROM
FROM
ASSEMBLY VENDO
VENDO
RS
RS FROM
VEHICLE
INSPECTION VENDO
RS
TEST RUN

SUPPLY &
DISPATCH
Recruitment and Selection Process Of
Maruti Suzuki

Meaning of recruitment
It is a process of searching the potential candidate and
offers him or her the job. It is positive in nature in the
Indian context. Process of identifying and hiring best
qualified candidate for a job vacancy in a most timely
and cost effective manner.

Meaning of Selection
It is the process of searching the potential candidate. It
is negative in nature in the Indian context but positive
in U.S context.

Steps involved in the Selection Process

Selection process consists a series of steps and at each
stage facts may come into light that may lead to
rejection of the application of the applicants. It is a
series of successive hurdles or barriers which an
applicant must have to cross.

A) Preliminary Interview (Screening

Applications) :- Initial screening is done to weed
out totally undesirable or unqualified candidate at
the outset. It is essentially a sorting process in
which prospective candidate are given necessary
information about the nature of the job and the
organisation at the same time, the necessary
information is also elicited from the candidate
about their education, skills, experience, salary
expected and the like . It helps to determine
whether it is worthwhile for a candidate to fill up
the application form.

B) Application Form :- Application form is a

traditional and widely used device for collecting
information about the candidate. It should provide
all the information relevant to selection, where
refeErence for caste, religion, birth place, may be
avoided as it may be regarded an evidence of
description.

C) Selection Test :-Psychological test are being

increasingly used in employee selection where a
test may evolve some aspects of an individual’s
attitude , behaviour and performance. Tests are
useful when the number of applicants is large as
 at the best it reveals that the candidate who scores
above the predetermined cutoff points are likely to
be more successful than those scoring below the
cut off points.

D) Employee Interview:-Interview is an essential

element of selection and no selection procedure is
complete without one or more personal interview,
where the information collected through
application letter or application forms and test can
be crossed checked in the interview.

E) Medical Examination :-Applicants who have

crossed the above stage are sent for the physical
medical examination either to the company’s
physician or to a medical officer approved for the
purpose . Such examination serves the following
purpose :-

1)It determines whether the candidate is physically

fit to perform the job where those who are
physically unfit are rejected.
2)It prevents the employement of people suffering
from contagious diseases.
3)It identifies candidate who are are otherwise
suitable but requires specific job due to physical
handicaps and allergies.
F) Reference Checks :- The applicants are asked to
mention in his application form, the names and
address of two or more persons who knows him
very well. These may be their previous employer ,
heads of educational institution or public figures.
These people are requested to give their opinion
about the candidate without incurring any
liabilities.

G) Final Approval :-In most of the Organisations,

selection process is carried out by the Human
resource department, where the decision of the
departments are recommendatory. The candidate
shortlisted by the department are finally approved
by the executive of the concerned department or
the unit.

H) Employment :-Employment is offered in the form

of an appointment letter mentioning the post, the
rank, the salary, grade, the date by which the
candidate should join and other terms and
condition in briefs.

I) Induction :-The process of receiving employee

when they begin work introducing thm to the
company and to their colleagues and informing
them of the activities, customes and traditions of
the company is called “ induction”.
 J) Follow ups :-All selection should be validated by
follow ups, it is a stage where employee is asked
how he or she feels about progress to the date and
the worker’s immediate supervisor is asked for
comments which is compared with the notes taken
at the time of selection.

Training and Devlopment Programs of

Maruti Suzuki

TRAINING & DEVELOPMENT

• Annual Training Plan - All Levels

• Training customised to meet Organisational

Objectives

• Topics selected based on Vision, Values &

Departmental Feedback of Company-wide

Managers

• Competency Mapping to identify Individual

 Training Needs

• Technical Training on latest Technologies

abroad at SMC, Japan

• STRONG FUCUS ON TRAINING INITIATIVES

- Build a Learning Organisation

- Continuous Value Additions to Professional

Skills

- Customised Training

- Training to the personnel of Business

Partners

OVERSEAS TRAINING

Training held in co-ordination with SMC, Japan

and AOTS (Assoc. for Overseas Tech.

Scholarship)(covered 1600 employees under the

various schemes)
 • 6 months SMC Training for Technicians - OJT

in SMC, Japan (2 batches/yr of 50 each)

• 9 months Javada Training for Press, Tool &

Die Specialists - Design & Maintenance

• AOTS Managerial Training (4-10weeks) for

Manager & above - Managerial Best Practices

• AOTS Technical Training (3.5 to 6 months) for

Supervisors & above - Technological Knowhow

• R & D Training (2 yrs.) - Research on new

Technologies

APPRAISAL & REWARD

Appraisal

• New Appraisal System based on KRAs &

Targets
 • Review of Targets at regular Intervals

• People Development an important KRA

Reward

• Promotions based on Performance

• Productivity & Profit-linked Incentive

Schemes

• Training including Long-term SMC Japan Trg.

• Highest paid workforce in the Industry, if not

the Country

LEADERSHIP

• Vision, Value & Team Building Workshops for

Top Management

• CFT (Cross Functional Teams) of Managers

for Major Thrust Areas

 • Managers sent to Joint Ventures to upgrade

their practices to MUL standards

INTERNATIONAL BUSINESS
In August, 2003 Maruti crossed a milestone of exporting
300,000 vehicles since its first export in 1986. Europe is
the largest destination of Maruti’s exports and
coincidentally after the first commercial shipment of
480 units to Hungary in 1987, the 300,00 mark was
crossed by the shipment of 571 units to the same
country. The top ten destinations of the cumulative
exports have been Netherlands, Italy, Germany, Chile,
U.K., Hungary, Nepal, Greece, France and Poland in that
order.

The Alto, which meets the Euro-3 norms, has been very
popular in Europe where a landmark 200,000 vehicle
were exported till March 2003. Even in the highly
developed and competitive markets of Netherlands, UK,
Germany, France and Italy Maruti vehicles have made a
mark. Though the main market for the Maruti vehicles
is Europe, where it is selling over 70% of its exported
quantity, it is exporting in over 70 countries.

Maruti has entered some unconventional markets like

Angola, Benin, Djibouti, Ethiopia, Morocco, Uganda,
Chile, Costa Rica and El Salvador. The Middle-East
region has also opened up and is showing good
potential for growth. Some markets in this region where
Maruti is, are Saudi Arabia, Kuwait, Bahrain, Qatar and
UAE.

The markets outside of Europe that have large

quantities, in the current year, are Algeria, Saudi
Arabia, Srilanka and Bangladesh. Maruti exported more
than 51,000 vehicles in 2008-09 which was 59% higher
than last year. In the financial year 2008-09 Maruti
exports contributed to more than 10% of total Maruti
sales.
 Continent wise export of Maruti
Udyog Limited Since inception

Graph showing the Continent wise export of Maruti

Udyog Limited Since Inception.
Description :-
Asia 12%
Africa 7%
America 9%
Europe 70%
Oceania 2%
Refrence :- Official website of Maruti Suzuki
(www.marutisuzuki.com
 Financial Structure of Maruti Suzuki

Capital structure

The capital structure of Maruti Udyog limited are as

follows :-
Fro Class Paid Up Paid Up Paid
m To Of Authorize Issued Shares Face Up
Year Year Share d Capital Capital (Nos) Value Capital
Equity
2009 2010 Share 372.00 144.46 288910060 5 144.46
Equity
2008 2009 Share 372.00 144.46 288910060 5 144.46
Equity
2007 2008 Share 372.00 144.46 288910060 5 144.46
Equity
2006 2007 Share 372.00 144.46 288910060 5 144.46
Equity
2005 2006 Share 155.00 144.46 288910060 5 144.46
Equity
2004 2005 Share 155.00 144.46 288910060 5 144.46
Equity
2003 2004 Share 155.00 144.46 288910060 5 144.46
Equity
2002 2003 Share 155.00 144.46 288910060 5 144.46
Equity
2001 2002 Share 135.00 132.29 13229162 100 132.29
Equity
2000 2001 Share 135.00 132.29 13229162 100 132.29
Equity
1999 2000 Share 135.00 132.29 13229162 100 132.29
Equity
1993 1999 Share 135.00 132.29 13229162 100 132.29
BALANCE SHEET OF MARUTI UDYOG LIMITED
For the financial year 2006-10

Balance sheet
Mar ' Mar ' Mar '
Mar ' 10 Mar ' 09 08 07 06
Sources of funds (in lakhs)
Owner's fund
Equity share capital 144.50 144.50 144.50 144.50 144.50
Share application money - - - - -
 Mar ' Mar ' Mar '
Mar ' 10 Mar ' 09 08 07 06
Preference share capital - - - - -
11,690.6 8,270.9 6,709.4 5,308.1
Reserves & surplus 0 9,200.40 0 0 0
Loan funds ( in lakhs)
Secured loans 26.50 0.10 0.10 63.50 71.70
Unsecured loans 794.90 698.80 900.10 567.30 -
12,656. 10,043. 9,315. 7,484. 5,524.
Total 50 80 60 70 30
Uses of funds (in lakhs)
Fixed assets
10,406.7 7,285.3 6,146.8 4,954.6
Gross block 0 8,720.60 0 0 0
Less : revaluation reserve - - - - -
Less : accumulated 3,988.8 3,487.1 3,259.4
depreciation 5,382.00 4,649.80 0 0 0
3,296.5 2,659.7 1,695.2
Net block 5,024.70 4,070.80 0 0 0
Capital work-in-progress 387.60 861.30 736.30 238.90 92.00
5,180.7 3,409.2 2,051.2
Investments 7,176.60 3,173.30 0 0 0
Net current assets (in lakhs)
Current assets, loans & 3,190.5 3,956.0 3,870.7
advances 3,856.00 5,570.00 0 0 0
Less : current liabilities & 3,088.4 2,779.1 2,184.8
provisions 3,788.40 3,631.60 0 0 0
1,176.9 1,685.9
Total net current assets 67.60 1,938.40 102.10 0 0
Miscellaneous expenses
not written - - - - -
 Mar ' Mar ' Mar '
Mar ' 10 Mar ' 09 08 07 06
12,656. 10,043. 9,315. 7,484. 5,524.
Total 50 80 60 70 30
Notes:
Book value of unquoted 5,169.6 3,398.1 2,040.1
investments 11.10 3,162.20 0 0 0
Market value of quoted
investments 215.10 108.70 219.50 270.40 289.80
2,734.2 2,094.6 1,289.7
Contingent liabilities 3,657.20 1,901.70 0 0 0
Number of equity 2889.1 2889.1 2889.1
sharesoutstanding (Lacs) 2889.10 2889.10 0 0 0

PROFIT AND LOSS ACCOUNT

The Profit and Loss account of Maruti Suzuki for
the year 2006 to 2010 is as follows :-

Profit loss account

Mar Mar Mar Mar Mar
10 09 08 07 06
Income
29,317. 20,729. 18,066. 14,806. 12,197.
Operating income
70 40 80 40 90
Expenses
22,435. 16,339. 13,622. 11,063. 9,223.7
Material consumed
40 80 00 70 0
Manufacturing 1,278.2
909.70 670.60 489.80 359.60
expenses 0
Personnel expenses 545.60 471.10 356.20 288.40 228.70
Selling expenses 916.00 738.20 560.20 499.90 356.00
Adminstrative
404.60 389.20 326.30 274.50 170.60
expenses
Expenses capitalised - -22.30 -19.80 -14.30 -6.70
25,579. 18,825. 15,515. 12,602. 10,331.
Cost of sales
80 70 50 00 90
3,737.9 1,903.7 2,551.3 2,204.4 1,866.0
Operating profit
0 0 0 0 0
Other recurring
617.70 547.60 456.10 361.10 268.10
income
4,355.6 2,451.3 3,007.4 2,565.5 2,134.1
Adjusted PBDIT
0 0 0 0 0
Financial expenses 33.50 51.00 59.60 37.60 20.40
Depreciation 825.00 706.50 568.20 271.40 285.40
Other write offs - - - - -
3,497.1 1,693.8 2,379.6 2,256.5 1,828.3
Adjusted PBT
0 0 0 0 0
1,094.9
Tax charges 457.10 763.30 705.30 560.90
0
Adjusted PAT 2,402.2 1,236.7 1,616.3 1,551.2 1,267.4
 Mar Mar Mar Mar Mar
10 09 08 07 06
0 0 0 0 0
Non recurring items 44.30 -55.90 37.90 -23.00 -83.70
Other non cash
51.10 37.90 76.60 33.40 5.40
adjustments
2,497.6 1,218.7 1,730.8 1,561.6 1,189.1
Reported net profit
0 0 0 0 0
Earnigs before 10,501. 8,244.4 7,368.1 5,947.1 4,631.2
appropriation 80 0 0 0 0
Equity dividend 173.30 101.10 144.50 130.00 101.10
Preference dividend - - - - -
Dividend tax 28.80 17.20 24.80 21.90 14.20
10,299. 8,126.1 7,198.8 5,795.2 4,515.9
Retained earnings
70 0 0 0 0
 Chapter :- 2

Research Methodology
 Meaning of Research

Redman and Mory define research as a

“systemized effort to gain new knowledge.”
Some people consider research as a
movement, a movement from the known to the
unknown.

Research is an academic activity and as such

the term should be used in a technical sense.
According to Clifford Woody, research
comprises defining and redefining problems,
formulating hypothesis or suggested solutions;
collecting, organizing and evaluating data;
making deductions and reaching conclusions;
and at last carefully testing the conclusions to
determine whether they fit the formulating
hypothesis.

Objectives of Research
The purpose of research is to discover answers
to questions through the application of
scient ific procedures. The main aim of research
is to find out the truth which is hidden and
which has not been discovered as yet. Though
each research study has it’s own specific
purpose but the research objectives can be
listed into a number of broad categories, as
following:-

1. To gain familiarity with a phenomeno n

or to achieve new insights into it. Studies
with this object in view are termed as
exploratory or formulative research
studies.
2. To portray accurately the
characteristics of a particular individual,
situation or a group. Studies with this
object in view are known as descriptive
research studies.
 3. To determine the frequency with which
something occurs or with which it is
associated with something else. Studies
with this object in view are known as
diagnostic research studies.
4. To test a hypothesis of a casual
relationship between variables. Such
studies are known as hypothesis- testing
research studies.

Significance of Research

“All process is born of inquiry. Doubt is often

better than overconfidence, for it leads to
inquiry and inquiry leads to inventio n.” Is a
famous Hudson Maxim in context of which the
significanc e of research can well be
understood. Increased amounts of research
make progress possible.

Research inculcates scientific and inductive

thinking and it promotes the development of
logical habits of thinking and organization.
The role of research in several fields of applied
economics, whether related to business or to
the economy as a whole, has greatly increased
in modern times. The increasing complex
nature of business and government has
focused attention on the use of research in
solving operational problems. Researc h, as an
aid to economic policy, has gained added
importance, both for government and business.

Research Methodology

Research methodology is a way to

systematically solve the research problem. It
may be understood as a scienc e of studying
how research is done scientifica lly. In it we
study the various steps that are generally
adopted by a researcher in studying his
research problem along with the logic behind
them. It is necessary for the researcher to
know not only the research methods or
techniques but also the methodology.

Data Collection Source

Information was collected primarly through

secondary sources.

Secondary Data: Any data, which have been

gathered earlier for some other purpose, are
secondary data in the hands of researcher.
Those data collected first hand, either by the
researcher or by someone else, especia lly for
the purpose of the study is known as primary
data.

The data collected for this project has been

taken from the secondary source.

Sources of secondary data are :-

• Internet
 • Magazines
• Publicatio ns
• Newspapers
• Brouchers

LIMITATIONS

• The data is collected from secondary

source due to lack of time for preparing the
project.
• The data is not 100% accurate.

Chapter: - 3
Marketing Strategies

• Meaning of Marketing
• Brand
 • Products
• Price
• Place
• Promotion
• Market Segmentation ,
Targeting and Positioning
• Market Share
• Other strategies adopted by
Maruti
• Customer satisfaction

Marketing
It is the process of directing of directing the flow of
goods and services from the producers or the
manufacturers to the customers or consumers. It is
accountable for planning, organising, directing,
coordinating, motivating, and controlling the market
activities.
According to American Marketing Association,
“Marketing is the performance of the business activity
that directs the flow of goods and services through
producers to consumers to users”.

According to Cundiff and Still, “Marketing is the

business process by which the products are matched
with the market and through transfer of ownership are
affected”. Matching the products with the market
means determining the needs and requirements of
potential customer and supplying them the product
which meets their requirements.

According to Philip Kotler, “ Marketing is the social and

managerial process by which individuals and groups
obtain what they need and want through creating,
offering, and exchanging product of value with others”.

According to William J. Stanton, “Marketing is a total

system of interacting business activities designed to
plan, price, promote, and distribute, wants satisfying
products to target markets to achieve Organisational
objectives”.

In general we can say that Marketing includes all those

activities carried on to transfer those goods from the
manufactures or the producers to the consumers that
can satisfy the needs and the requirements of the
consumers.
 BRAND
Around 1970, Sanjay Gandhi the political advisor and
younger son to then Prime minister of India, Indira
Gandhi, envisioned the manufacture of an Indigenous,
cost effective, low maintenance and compact car for
the Indian middle class. Indira Gandhi’s cabinet
unanimously passed a resolution for the development
and production of “people’s car”. Sanjay Gandhi’s
company was christened Maruti Limited. The name was
chosen as Maruti after a Hindu deity named “Maruti”.
Unfortunately Sanjay Gandhi died
without completing his project. After the death of
Sanjay Gandhi, Indira Gandhi decided that the project
should not be allowed to die. Maruti entered into
collaboration with the Suzuki motors of Japan. The
collaboration heralded a resolution in the Indian car
industry by producing Maruti 800. The car went on sale
on December 14, 1983.

PRODUCT
Product mix involves planning, developing, and
producing the right types of products and services to
be marketed by the firm. It deals with the product
range, durability and other qualities. Apart from
producing right products, emphasis should also be laid
on their branding, packaging, colour and other features.
In short product planning and development involves
decision about : i) quality of the product, ii) size of the
product, iii) design of the product, iv) volume of the
production, v) packaging, vi) warranties and after sale
service, vii) product testing, viii) product range, etc.

Products Offered by Maruti Suzuki

Maruti Suzuki comes with a large number of products i.e cars
ranging from economy cars to luxury cars to super SUV’s. The
economy cars includes :-

A) Maruti 800

B) Alto

C) Zen Estilo

D) Wagon R

E) A - Star

F) Ritz

G) Swift

H) Swift Dzire

The Utility Cars of Maruti Suzuki include :-

A) Maruti Omni (Van)

 B) Maruti Eeco

C) Maruti Gypsy

D) Grand Vitara

The Luxury Cars of Maruti Suzuki includes :-

A) Maruti Esteem

B) Maruti SX4

PRODUCTS YEAR IN WHICH LAUNCHED IN MARKET

Maruti Suzuki 800 1983

Maruti Suzuki Omni 1984

Maruti Suzuki Gypsy 1985

Maruti Suzuki Alto 2000

Maruti Suzuki Wagon R 2002

Maruti Suzuki Swift 2005

Maruti Suzuki SX4 2007

Maruti Suzuki A Star 2008

Maruti Suzuki Swift Dzire 2008

Maruti Suzuki Zen Estilo 2009

Maruti Suzuki Eeco 2010

 Maruti 800
Maruti 800 is the most popular entry segment car in
India. With the introduction of Maruti 800 in 1980’s
Maruti Udyog Limited broke the hegemony of
Ambassador and Fiat in the Indian Car market.

Technical Specifications:-

Dimensions
Length 3335 mm
Width 1440 mm
Height 1405 mm
Unladen Weight 655 Kgs (AC Euro I) , 640 Kgs (AC
Euro I) , 665 Kgs ( AC Euro II),
650 Kgs (AC Euro II)
Ground Clearance 170 m
Wheel Base 2175 mm

POWER
Engine Type 4 Stroke, Water cooled SOHC
Piston Displacement 796 cc
Max. Power 39.5 bhp @ 5500 rpm
Max. Torque 5.7 N m @ 2500 rpm
Fuel System Carburettor
Transmission and Manual, 4 Forward
(Synchromesh), 1
gear box reverse

Suspension
Front McPhersonstrut and coil
spring
Rear Leaf Spring

Steering
Type Manual Rack and Pinion
Turning radius 4.4 mts

Brakes
Type Dual Circuit
Front Disc
Rear Drum
Tyres 5.65 – 12 – 4 PR

Capacities
Seating 4 Persons
Fuel Tank 30 Litres

Maruti Alto
Maruti Alto is one of the hottest selling compact cars in
Indian market. Alto uses Maruti 800’s proven and highly
fuel efficient , 3 pot motor with a four valve head and
its electronic tachometer results in unmatched fuel
efficiency . It is the most fuel efficient car in A2
Segment.

TECHNICAL SPECIFICATIONS :-

Dimensions
Length 3495 mm
Width 1495 mm
Height 1460 mm
Wheel base 2360 mm
Tread 1290 mm
Min. turning radius 4.6 m
Ground clearance 160 mm

Weight
Alto 725 kgs
Alto LX, LXi 740 Kgs
Gross vehicle weight 1165 Kgs

Engine
Swept volume 796 cc
Engine type FC Engine, 4 valve per cylinder MPFI
No. of cylinder 3
Engine control 32 bit computer
Max. Power 47 bhp @ 6200 rpm
Max. Torque 62 Nm @ 3000 rpm
Transmisson 5 Speed all synchromesh, Manual

Suspension System
Front McPherson strut with Torsion type coil
anti roll bar
Rear Coil sprint with double action
telescopic shock absorbers

Seating Capacity 4 persons

Tyres 145/80 R12

 Maruti Omni ( Van)
Maruti Omni is popularly known as Maruti Van. Maruti
Omni comes in three variants and they are :- Omni 5-
Seater , Omni 8- seater and Omni LPG. Maruti Omni is a
perfect family car. It has enough space for our life style
needs whether we are going on a picnic, weekend
outing or for a game of golf. We can pick our entire
luggage without thinking twice. Omni provides ample
headroom and legroom to ensure a comfortable and
enjoyable journey.

TECHNICAL SPECIFICATIONS :-
Dimensions
Length 3370 mm
Width 1410 mm
Height 1640 mm
Wheelbase 1840 mm
Ground clearance 165 mm
Min turning radius 4.1 m

Weight
Omni 785 Kgs
Omni E 800 Kgs
Engine
Type 4 Stroke cycle, water cooled
No. of cylinders 3
No. of cylinder valves 6
Piston displacement 796 cc
Max. Power 35.0 bhp @ 5000 rpm
Max. Torque 601 NM @ 3000 rpm

Power Transmisson
Type Manual, 4 forward all
synchromesh

Brakes
Front Booster assisted disc
Rear Drum
Fuel tank capacity 36 Litres
 Maruti Eeco
EECO was introduced in India by Maruti Suzuki during
2010. This car is essentially an updated Versa, this is
an urgent refresh in lines with Maruti Suzuki not being
able to come up with a new minivan. EECO comes with
5 seater and 7 seater options. EECO is equipped with
advanced Engine Management System for optimizing
fuel efficiency and performance. It is branded by the
manufacturer as a perfect car for every occasion-a
business trip or a picnic with the loved ones[1]. A new
minivan from Maruti Suzuki is expected in 2011 to
replace the Eeco/Versa and (possibly) the ageing Omni.

Maruti EECO is available in following variants :-

5 seater, standard
5 seater, AC
7 seater, Standard

EECO is powered by BharathStage IV compliant engine.

TECHNICAL SPECIFICATIONS :-
Fuel: Petrol
Engine type: Aluminium
Fuel distribution: Multipoint Injection
Power: 73 bhp (54 kW; 74 PS) @ 6000 rpm
Displacement: 1196 cc
Layout: 4 cylinder in-line
Max. Torque: 101 N·m (74 ft·lbf) @ 3000 rpm
Valve train: 16 valves / 4 per cylinder
Transmission: Manual-5 speed
Suspension
Front Suspension: McPherson strut
Rear Suspension: 3 Link Rigid
Brakes
Front Brakes : Ventilated disc
Rear Breakes : Drum
Tyres: 155 R-13 LT
Tyre type: Tubeless
Boot space: 540 L [5-seater]
 ZEN ESTILO
Maruti Zen is a clear leader in the premium compact
car segment in India. It has several technology that
makes it stand out from other cars in its segment.
Maruti Zen comes equipped with 16 x 4 all aluminium
hyper tech engines, with its power to weight ratio of
78.4 bhp per tonnes , the highest in its class, the
engine also offers optimum fuel economy , excellent
pick up and acceleration.
The 16- bit Micro processor in Zen delivers ideal combo
of speed, power and fuel efficiency. Its electronic power
steering ensures effortless maneuverability, more
control and a better grip.

TECHNICAL SPECIFICATIONS :-

CAPACITIES
Seating Persons 5
Fuel in litres 35
Engine in CC 993
Unladen weight in 765
kgs
Laden weight in kgs 1190
Tyres 145 / 80
R 12
(Front &
rear)
PETROL Bharat
Stage II
LX LXi VXi
All aluminium engine ° ° °
16 valve, 4 cylinder ° ° °
inline engine
16 bit ECM ° ° °
Multipoint fuel ° ° °
injection
Maximum engine 60@600
output in bhp/rpm 0
Maximum engine 8@4500
torque in kgm/rpm
Compression ratio 9.4:1

PETROL Bharat Stage

III
LX LXi VXi
All aluminum engine ° ° °
16 valve, 4 cylinder ° ° °
inline engine
32 bit ECM ° ° °
Multipoint fuel ° ° °
injection
Maximum engine 60@620
output in bhp/rpm 0
Maximum engine 8@4500
torque in kgm/rpm
Compression ratio 9.4:1

DIMENSIONS
Overall length 3535m
m
Overall width 1495m
m
Overall height 1405m
m
Wheelbase 2335m
m
Ground clearance 165m
 WAGON R
Wagon R is a hugely successful car which comes in four
variants- Maruti Wagon R LX, Maruti Wagon R LXi,
Maruti Wagon R VXi and Maruti Wagon R AX.
Wagon R comes with 1064 cc MPFI low friction engine
that delivers an awesome 64 bhp @6200 rpm for
smoother pick up and faster acceleration.
Dual Distributor less Digital Ignition (DDLI) ensures an
instant hassle free start every time and a more efficient
power distribution. Wagon R’s tall body , high seats and
wide opening doors make it easier to get in and out.

TECHNICAL SPECIFICATIONS :-
Dimension in MM
Length 3495
Width 1495
Height 1660
Wheelbase 2360
Front track 1295
Rear track 1290
Min. ground clearance 165 m

Weight in Kg
Kerb weight 825 (LX,LXi,VXi)
840( AX)
Gross Weight 1225 (LX,LXi, VXi)
1240(AX)

Engine
Swept volume 1061 cc
Type FC Engine , 4 Valve per cylinder ,
MPFI
Fuel distribution Multipoint injection
Engine control 16 – Bit Electronic Control Module
(ECM)
No. of cylinders 04
Max. Power 64 bhp @6200 rpm
Max. Torque 84 NM @ 3500 rpm

Power Steering
Type Electronic Power Steering (EPS)
Transmission Manual ()- 5 speed , All synchromesh
Suspension
Front McPherson strut with torsion type roll
control device
Rear Coil spring, gas filled shock absorber
with 3 link rigid axle isolated trialing
arms.

A-STAR
Indian car market leader Maruti Suzuki has launched A-
Star in the hatchback car segment in which the
company holds ruling position with 55% market share.
Maruti has unveiled A Star as a next generation model
of its model Alto which is already selling greatly in the
segment. Scroll down to know more about the sporty
and striking features of all new A Star Car.

Technical specifications :-
Dimension in mm
Length 3500
Width 1600
Height 1490
Wheelbase 2360
Front track 1295
Rear track 1290
Min. Ground clearance 170
Min. Turning radius 4.5

Weight InKgs
Kerb weight 870
Gross Vehicle weight

Capacity
Seating capacity 5 persons
Fuel tank capacity 35 litres

Engine
Swept volume 1061 cc
Type KB series
Fuel distribution Multipoint injection
Displacement 998 cc
No. of cylinders 03
Max. power 67 bhp @6200 rpm
Max. Torque 90 NM @ 3500 rpm

Steering Rack and pinion , Power assisted

Transmission Manual () – 5 Speed , All
synchromesh
Suspension system
Front McPhersonstrut and coil
spring
Rear Isolated trailing link and coil
spring
 SWIFT
Maruti Swift brings a feeling of freshness to the compact car
segment . It’s appealing looks , spacious interiors, and a whole
a lot of user friendly features at once catch our attention. It
comes in three variants :-Maruti Suzuki Swift LXi, Swift VXi,
Swift ZXi.

Technical Specifications :-
Body Type
Body Type :- Hatch back
No. of doors :- 5
Seating Capacity :- 5

Engine
Capacity :- 1298 cc
No. of cylinders :- 4
Bore X stroke :- 74.0 X 75.5
Compression Ratio :- 9.0 :1
Max. Power :- 87 bhp @ 6000 rpm
Max. Torque:- 113 Nm @ 4500 rpm
Fuel distribution :- Multipoint injection

Transmission
Type :- 5 Speed Manualwith synchromeshin
all and 1 reverse
Gear ratios :- 1st 3.545
2nd 1.904
3rd 1.208
4th 0.966
5th 0.757
Reverse 3.0272
Power Steering
Type :- Electronic power steering (EPS)

Suspension System
Front: McPherson Strut with torsion type roll
control device
Rear :- coil spring, gas filled shock absorber
with 3 link rigid axle isolated trailing
arms
 MARUTI GYPSY
It is manufactured in India by Maruti Suzuki. It
was introduced in the Indian market in 1985 with
the 970 cc F10A Suzuki engine and was an
instant hit in the civilian market as well as with
law enforcement. It was codenamed MG410 that
stood for Maruti Gypsy 4 cylinder 1.0 litre engine.
Initially, it was only available as a soft-top; but a
bolt on hardtop was later introduced to the public
after the aftermarket hardtops became
extremely popular.
In July 1993, Maruti introduced the "widetrack
Gypsy" codenamed MG410W replacing the
MG410. Both front and rear track of the wheels
are increased by 90mm (from 1,210 mm (47.6 in)
to 1,300 mm (51.2 in) for front wheels and from
1,220 mm (48.0 in) to 1,310 mm (51.6 in) for
rear wheels) and these Gypsys are instantly
recognizable by the pronounced painted fender
flares.

TECHNICAL SPECIFICATIONS :-

Dimensions
 • Length 4,010 mm (157.9 in)
• Width 1,540 mm (60.6 in)
• Height 1875/1845 mm*
• Wheelbase 2,375 mm (93.5 in)
• Front Track 1,300 mm (51.2 in)
• Rear Track 1,310 mm (51.6 in)
• Kerb Weight 985 kg/1, 040 kg*
• Gross Vehicle Weight 1585 kg/1,620 kg*
Engine
• Type G13BB MPFI 16 Valve Gasoline
• Cylinders 4
• Displacement 1298 cc
• Maximum Power 80 bhp (60 kW; 81 PS)
@6000 rpm
• Maximum Torque 103 N·m (76 lb·ft) @ 4500
rpm
• Transmission Type Five forward (all
Synchromesh), One reverse
• Transfer gearbox Two-speed
• Type constant mesh
• Transfer gear ratio High : 1.409; Low : 2.268
• Suspension Front and Rear Rear Leaf spring
with Double action damper
Brakes With Booster
• Front Disc
• Rear Drum
• Tyres F78-15-4 PR 205/70R15
Capacities
• Fuel tank 40 L (11 US gal; 9 imp gal)
 • Engine oil 4 L (1.1 US gal; 0.9 imp gal)

MARUTI SUZUKI SX4

Designed by GiorgettoGiugiaro'sItaldesign studio,

the SX4 (an abbreviation of "Sports X-over 4 all
seasons ") replaces the Aerio (some markets
called Liana). The "SX 4" designation was used
by American Motors (AMC) for a sporty liftback
model in its all-wheel drive AMC Eagle passenger
cars.

Technical Specifications :-
Dimensions & Weight
Length (mm) 4490
Width (mm) 1735
Height (mm) 1560
Wheelbase (mm) 2500
Kerb Weight (kgs) 1170
Seating Capacity 05
Engine
Model Designation 1.6 L 16 V
No. Of Cylinders 04 Inline
Configuration DOHC
Displacement (cc) 1586
Transmission 5 Manual
Top Speed (kmph) 175
Suspension
Front Independent suspension with gas-filled
McPherson
strut & anti-roll bar
Rear Semi-independent torsion beam with gas
filled shock absorbers
Brakes
Type Disc
Front / Rear Brakes Ventilated Discs/ Drums
Tyres
Type 195/65 R15
Wheels 15" Steel
Fuel Tank 50 Litres
Performance
Max. Horsepower (ps/rpm) 103 PS @ 5500 rpm
Max. Torque (kg m/rpm) 145 Nm @ 4200 rpm

GRAND VITARA
Grand Vitara is meant for the people who want to live
life grand size. With 127 KW @ 6000 rpm on call, the
2.7 litres DOHC V6 engine can empower the Grand
Vitara to climb up steep terrains; Zip effortlessly down
the highway and with plenty of low end torque, the high
performance vehicle can take on snowy ramps and
muddy tracks with equal ease. Its four wheel drive
gives Vitara the power to go places.

Technical Specifications :-
Dimension in MM
Length 4760
Width 1780
Height 1740
Wheelbase 2800
Front track 1500
Rear track 1500
Min. Ground clearance 183 m
Weight in Kgs
Kerb Weight 1700
Gross Weight 2300

Capacity
Seating 7 persons
Fuel tank 66 litres

Engine
Type H27A V6 type
No. Of cylinders 06
No. of valves 24
Piston displacement 2736 cc
Bore X Stroke 88 X 75
Compression ratio 9.5 : 1
Max. Output 166 bhp @ 6000 rpm
Max. Torque 236 NM @ 4500 rpm
Fuel distribution Multipoint injection
Max. Speed 183 Km / Hr
Steering Rack and Pinion
Brakes
Front Disc
Rear Drum

Suspension
Front McPherson strut
Rear 5 – Link rigid with coil spring

Tyres 235 / 60 R 16 Tubeless tyres

 PRICES OF MARUTI PRODUCTS

Car market leader Maruti Udyog Limited has announced

a marginal increase in price of certain models. .The

price increase is due to rise in input costs and freight

costs, which increased following the rise in oil prices. In

this phase, the company has decided to pass on only a

part of the increase in costs to the customers. There is

no change in the prices of Swift, Zen, and WagonR

(Petrol).

Ex-Showroom Prices in Delhi (in Rs)

Models

Prices (Rs.)

Maruti Suzuki 800

1,94,620
Maruti Suzuki Omni

2,09,757

Maruti Suzuki Alto

2,28,982

Maruti Suzuki Eeco

2,84,488

Maruti Suzuki Zen Estilo

3,31,412

Maruti Suzuki Wagon R

3,39,058

Maruti Suzuki A Star

3,63,220

Maruti Suzuki Ritz

4,09,822
Maruti Suzuki Swift

4,27,635

Maruti Suzuki Swift Dzire

4,96,671

Maruti Suzuki Gypsy

5,28,818

Maruti Suzuki SX4

7,08,062

Maruti Suzuki Grand Vitara

17,19,226

In Price case

• They provide a list of different types of

models of cars

• They also gives a discount in the range

of 20 % to 25 %.
 PLACE

The Place of Maruti cars is in the whole world.

Maruti Udyog Limited decides its distribution

channel for selling cars like some time or level or

some times two levels marketing channels. They

decide area in which they deal customers. They

show the permanent location for selling the cars.

They provides many useful inventory they define

the transport facility of the company to the

marketand market to the customers. Many

showrooms of MUL in our India.

PROMOTION
Main Promotion of Maruti Suzuki cars is done by

the advertising. The advertising is mainly done in

the form of different Television channels ,

different newspapers, holdings etc. Now a days

the main promotion is done by the brand

Ambassador such as film stars, celebrities,

sportsmen etc. and in this case they decide their

actual and equired sales force for selling their

cars. They also maintain customer relation and

they do direct marketing.

 SEGMENTATION

Meaning of segmentation :-
Market segmentation is the process of dividing a
potential market into distinct sub- markets of
consumers with common needs and
characterstics. Market segmentation is the
starting steps in applying the marketing
strategies. Once the segmentation takes place ,
the marketers targets the identified customer
groups with proper marketing- mix so as to
position the products/ brands/ company as
perceived by the target customer.

Objectives of Segmentation :-
The main objective of segmentation is to provide
those products to the customer they can :-
1.Satisfy their basic needs
2.Solve their problem
3. Make themselves feel good
Segmentation of Market by Maruti Suzuki:-
Maruti Udyog Limited was set up to manufacture
low price cars that can be afforded by the Indians
but after 1990 that means after the globalisation
( i.e opening of Indian economy for rest of the
world) many competitors started in enter the
Indian market .
Further with the develoment of the Indian
economy the income of the peoples of India also
increased and people started to afford luxury
cars also. They have also catogorised their cars
into different segments depending upon the
choices of different peoples depending upon their
income and other behaviours and these
segments are :-
• Mini hatch back segment or A1 segment :-
Maruti 800
 • Compact hatchback segment or A2
segment :-
Maruti Alto
Zen Estilo
Wagon R
A- Star
Swift
• Mid size segment or A3 segment :-
Maruti Esteem
SX4
• Utility Vehicle or MUV :-
Maruti Eeco
Maruti Gypsy
Grand Vitara

Market Positioning

Meaning :-
Market positioning means placing the potential
product in the market that can satisfy the needs
and requirements of the target customers.
Positioning of products by Maruti :-
Management of Maruti’s always tries that their
products should be available at the authorised
outlets in every city of India. In case of any new
product they tries to make it available at every
outlets in metropolitian cities and by getting the
response of customers they increases the
production and extends the availability in urban ,
semi urban and to the rular areas also.

Other Strategies adopted by Maruti

Suzuki

After Sale service

As on date there are 342 Maruti dealer workshops and

1,545 Maruti Authorised Service Stations, or MASSs,

covering 898 cities in India. In addition, 24-hour mobile

service is offered in 38 cities under the brand “Maruti

On-road Service”. They intend to extend this service to

an additional 25 cities over the next three years. As a

benchmark for dealers with respect to service quality

and infrastructure facilities, they have launched service

stations under the brand “Maruti Service Masters, or

MSMs, in three locations in India. They have service

stations on 30 highways in India under the brand

“Express Service Stations”.

To promote sales of their spare parts and the

availability of high quality, reliable spare parts for their

products, they sell spares under the brand name

“Maruti Genuine Parts”, or MGP. These are distributed

through their dealer network and through authorised

sellers of their spare parts, to whom they refer as

stockists.
Many of their MASSs are at remote locations where

they do not have dealers. In order to increase the

penetration, in terms of sales volumes, of their

products in these remote areas, they are exploring

opportunities to integrate some of the MASSs into the

sales process in order to increase sales of their cars

and related products and services such as spares and

accessories, insurance and financing.

Genuine Accessories

They have also entered the business of marketing car

accessories under the brand name “Maruti Genuine

Accessories”, or MGA, through their dealership network.

They seek to provide customers with the opportunity to

customize their vehicles with accessories such as music

systems, security systems, car-care products and utility

products.

Warranty and Extended Warranty Program

They offer a two-year warranty on all their vehicles at

the time of sale. Their dealers are required to address

any claim made by a customer, in accordance with

practices and procedures prescribed by them, under

the provisions of the warranty in force at that time. The

dealers subsequently claim the warranty cost from

them. They analyse warranty claims from dealers and

either claim the cost from vendors, in the case of

defective components, or bear the cost ourselves, in

the case of manufacturing defects.

They offer an extended paid-warranty program

marketed under the brand, “Forever Yours” for the

third and fourth year after purchase. They have entered

into arrangements with insurance companies to cover

the costs of warranties offered under this program. The

extended warranty program is intended to maintain the

dealer’s contact with the customer and increase the

revenue generated from sale of spares, accessories and

automobile-related services. An effort is made during

the period of the extended warranty to encourage the

customer to exchange his existing Maruti car for a new

Maruti car, or upgrade to a new Maruti car.

NEW BUSINESS INITIATIVES

As the largest manufacturer and leader in the small car

segment, they continually seek new ways to utilize
their vast car parc, range of products and extensive
sales and service network to expand the size of the
passenger car market in India. They have recently
launched new initiatives to develop the market for
automobile insurance, automobile finance, leasing and
fleet management, and pre-owned cars. They aim to
provide customers with a “one-stop shop” for
automobiles and automobile-related products and
services, and build on their wide customer base and
extensive sales and service network to make available
to their customers a wide range of Maruti-branded
services at different stages of ownership, which they
refer to as the “360 degree customer experience”.
AtithiDevoBhava: One-stop shop
Inspired by the spirit of India.AtithiDevoBhava, in
Sanskirit, means “a guest is like God”. It captures the
Indian tradition of honouring guests. It's also the
inspiration for the welcome you’ll receive at a Maruti
Suzuki dealership, and the caring relationship they
share with those who drive their cars. At Maruti Suzuki,
you will find all your car related needs met under one
roof. Whether it is easy finance, insurance, fleet
management.services, exchange Maruti Suzuki is set to
provide a single window solution for all your car related
needs.
That's why they have Maruti True Value, the best place

to buy and sell reliable used cars. Maruti Finance an

agglomeration of the biggest finance companies in

India brought together by Maruti Suzuki to ensure that

the dream car is within everyone's reach. Similarly,

Maruti Insurance brings together some of the biggest

names in the car insurance industry to provide

insurance solutions to every type of car consumer.

Then, finally, there is N2N, which offers fleet related

solutions.

Maruti Insurance :-

It was launched in 2002. Maruti Suzuki provides vehicles

insurance to its customers with the help of National Insurance
Company , Bajaj Allianz , New India Assurance and Royal
Sundaram. The service was set up by the company with the
inception of two subsidiaries Maruti Insurance Distributors Pvt.
Ltd. and Maruti Insurance Brokers Pvt. Ltd. The services
started as a benefit or value addition to the customers and was
able to ramp up easily. By December 2005 they were to sell
more than two Million Insurance policies since its inception.

Maruti Finance :-
To promote the bottom line growth Maruti Suzuki launched
Maruti Finance in January 2002. Prior to the start of this
service Maruti Suzuki had started two joint ventures
Citicorp Maruti and Maruti Country wide with City Group
and GE countrywide respectively to assist its clients in
securing loans. Maruti Suzuki tied up with ABN AmroBank ,
HDFC Bank , ICICI Limited , Kotak Mahindra , Standard
Chartered and Sundaram to start this venture including
its strategic partnership with SBI in March 2003. Since
March 2003, Maruti had sold over 12,000 vehicles through
SBI – Maruti Finance. SBI – Maruti Finance is currently
available in 166 cities across India.

“ Maruti Finance marks with coming together of the

biggest players in the car finance business. They are the
benchmark in quality and efficiency. Combined with Maruti
volumes and networked dealership , this will enable Maruti
Finance to offer superior services and competitive rates in
the Market place”.
- JagdishKhatter,
Managing Director of Maruti Udyog
Limited

Citycorp Maruti Finance Limited is a joint venture between

Citicorp Finance India and Maruti Udyog Limited. Its
primary business started by the company is “hire – purchase”
financing of Maruti Suzuki Vehicles . Citi Finance India limited
is a wholly owned subsidiary of City Bank Overseas
Investment Corporation Delaware which inturn is a 100%
wholly owned subsidiary of City Bank N.A. City Finance India
Limited holds 74% of the stake and Maruti Suzuki holds the
remaining 26%. GE Capital , HDFC and Maruti Suzuki together
came in 1995 to form Maruti Countrywide. Maruti Claims that
its finance program offers most competitive interest rates to
its customers which are lower by 0.25% to 0.5% from the
market rates.

Maruti True Value :-

Maruti True service offered by Maruti Suzuki to its customers.

It is a market place for the used Maruti Suzuki Vehicles. One
can buy ,sell or exchange used Maruti Suzuki Vehicles with the
help of this service in India. As of 2009 there are 315 Maruti
True Value Outlets.

Maruti Driving school :-

As a part of its corporate social responsibility Maruti Suzuki

launched the Maruti Driving school in Delhi. Later the service
extended to other cities of India as well. These schools are
modelled on international standards, where the learners go
through the classroom session and practical sessions. Many
standards facilities like road behaviour and attitude are taught
in these schools. Before driving actual vehicles participants are
trained on stimulators.

.
 MARKET SHARE

Refrence :- official website of Maruti Suzuki

(www.marutisuzuki.com)
 2008- 2009 Market Share
Segment A2

Description
Maruti 59%
Tata 20%
Hyundai 21%

Refrence :- Auto India (Automobile Magzine), March

2010
 2008 – 2009 Market share
Segment A3

Description
Tata 20%
Ford 14%
GM 6%
Honda 20%
Maruti 17%
Hyundai 16%
Others 7%

Refrence :- Auto India (Automobile Magzine), March2010

 2008 -2009 Market Share
Passenger Car

Description
Hyundai 17%
Maruti 55%
Tata 16%
Honda 4%
GM 3%
Toyota 10%
Others 3%

Refrence :- Auto India ( Automobile Magzine), March 2010

MARUTI ALL INDIA SALES – 3 YR TREND

Segment 2006- Growth 2007- Growt 2008- Growt

07 08 h 09 h
A1 (Mini - Hatchback) 167,561 17% 116,26 -31% 89,223 -23%
2
A2 (Compact - Hatchback) 176,132 47% 271,28 54% 335,13 24%
0 6
A3 (Mid Size) 14,173 28% 29,637 109% 31,939 8%
A4/A5/A6 NA NA NA NA NA NA
(Exec./Prem./Luxury)

C (Van Type) 59,526 15% 65,019 9% 66,366 2%

Passenger Cars - MUL 417,392 28% 482,19 16% 522,66 8%
8 4
Passenger Cars - Total 758,123 26% 885,02 17% 948,66 7%
Industry 9 9
MUV (Utility Vehicles) 3,555 12% 5,204 46% 4,374 -16%
Passenger Vehicles - MUL 420,947 28% 487,40 16% 527,03 8%
2 8
Passenger Vehicles - Total 901,150 24% 1,050,2 17% 1,129, 8%
Industry 46 316

COMPETITION MODELS

Maruti Competition
Segment

A1 (Mini - M800
Hatchback)
 A2 (Compact - Zen, Hyundai - Santro& Getz;
Hatchback) WagonR, Tata - Indica&Palio; GM -
Alto, Swift Spark & Beat

A3 (Mid Size) Esteem, Hyundai - Accent; Tata -

SX4 Indigo & Petra; Honda -
City; GM - Corsa, Optra,
&Aveo; Ford - Ikon,
Fusion, & Fiesta
A4/A5/A6 Hyundai - Elantra&
(Exec./Prem./Lux Sonata; Honda - Accord;
ury) GM - Vectra; Ford -
Mondeo; Skoda - Octavia
& Superb; Toyota -
Corolla & Camry;
Daimler Chrysler - C,E, &
S Class;
C (Van Type) Omni,
Versa
MUV (Utility Gypsy, Mitsubishi - Pajero;
Vehicles) Grand Hyundai - Terracan&
Vitara Tucson; Ford - Endeavor;
Toyota - Prado &Innova
and Fortuner; Nissan - X
Trail; Honda - CRV; GM -
Forrester &Tavera; Tata -
Sumo & Safari; Mahindra
- Jeeps, Bolero, Scprpio
and Xylo.
 Customer Satisfaction By Maruti Suzuki
Now a day’s Customer satisfaction is the main aim or objectives
of all the business organisations. With the Globalisation and
Liberalisation (i.e.opening of Indian market ) the competition
has increased to a great extent. All the Indian companies or the
business organisations have to match their products with the
International standard level in order to remain in the market. A
marketer can remain in the mind of the customers only if he is
able to satisfy the needs and requirements of the potential
customers (i.e. when customers get value for their money). In
such situations Maruti Suzuki took an initiative to satisfy its
customer in the following ways.

Customer Service:-
The CRM Program allows Maruti Suzuki to acquire customers,
service the customers, increase the value of customers to the
company, and retain good customers and to determine which
customer can be retained or given a higher level of service. A
good CRM program can improve customer service in several
ways.

Provides Product Information, product use, information and

technical assistance on websites that are accessible 24
hours a day and 7 days a week

Identifies how each individual customer defines quality and

then designs service strategies for each customer based on
these individual requirements and expectations.

Provides a fast mechanism for managing and scheduling

follow up sales call to assess post purchase cognitive
dissonance, repurchase, probabilities repurchase times and
repurchase times.

Provides a mechanism to track all points of contact between

customer and the company and do it in an integrated way so
that all sources and the types of contact are included and all
the user of the system see the same view of the customer
(reduces confusion).m

It also helps to identify problems quickly before they occur.

Provides a user friendly mechanism for registering

customer complaints (complaints that are not
registering with the company cannot be resolved and are
a major source of customer dissatisfaction).

Provides a fast mechanism for handling problems and

complaints (complaints that are resolved quickly increased
customer satisfaction).

Provides a fast mechanism for correcting services

deficiencies (correcting the problem before other
customer experience the same dissatisfaction).
 Uses internet cookies to track customer interest and
personalize product offerings accordingly. Use internet to
engage in collaborative customization or real time
customization.

Provides a fast mechanism for managing, scheduling,

maintenance, repair and ongoing support (improve
efficiency and effectiveness).

The CRM can be integrated into other cross functional

systems and thereby provides accounting and production
information to customers when they want it.

Improving Customer Relationships:-

CRM programs are also able to improve customer relationship.
Proponents say this is so because:-

CRM Technology can track customer interests, needs and

buying habits as they progress their life cycles and tailors
the marketing efforts accordingly. This way customers get
exactly want they want as they change.

The technology can track customer products use as the

product progresses through its life cycle and tailors the
service accordingly.

These way Customers get what they need as the product

ages.

In Industrial markets, the technology can be used to

micro- segment the buying centre and helps co – ordinate
the conflicting and changing purchase criteria of its
members.

When any of the technology driven improvement in

customer service (mentioned above) contribute to long
term satisfaction they can ensure repeat purchases,
improve customer relationship, increase customer loyalty,
decreases customer turnover, decreases marketing costs
(associated with customer acquisition and customer
training), increases sales revenue and thereby increases
profit margins.

Repeat purchase however comes from customer

satisfaction which inturn comes from deeper
understandings of each customer, their individual business
challenges rather than a “one size fits all” approach.

CRM software enables sales people to achieve this one on

one approach to selling and can automate some elements
of it via tailorable marketing communication. However all
of these elements are facilitated by or for humans to
achieve. CRM is therefore a companywide attitude as
much as software solution.

CUSTOMER SATISFACTION
 Chart :- Customer Satisfaction Index Ranking

Refrence :-Autodrive ( Automobile Magzine), June

2010

Chapter :-4
 Findings And Analysis

After the study of the project , we have got several

information and real facts about Maruti Suzuki :-
• It was the idea of Sanjay Gandhi, son of Indian
Prime Minister Indira Gandhi to provide cheap and
low maintenance cars to Indiansand for this
purpose Maruti limited was established but after
his death Maruti limited went into collaboration
with the Suzuki Motors of Japan.
• Maruti Suzuki focuses on overall segment of
market and the strategied adopted by Marutis are
very appealing and interacting for the customers.

• Initially it focused on providing cheap cars to the

customers but after Globalisation of the Indian
economy (1990s) many foreign companies started
to enter the Indian market then to stand in the
market Maruti Suzuki also started to manufacture
luxury cars also.
• Along with manufacturing of cars Maruti also
started another operations like :- Maruti finance,
Maruti Insurance, Maruti genuine parts, After sale
service, Maruti True value, Maruti Driving school
etc..
 SWOT ANALYSIS
SWOT Analysis is the analysis of a company.
SWOT analysis stands for Strengths , Weakness,
Opportunities and threats. With the help of this
analysis we can get the information about a
company’s strengths and weaknesses and also
about the opportunities and threats that a
company is going to face or facing. After getting
the knowledge about the weakpoints and threats
from the external environment the management
tries to overcome the weaknesses and the
threats.

SWOT analysis of Maruti Suzuki are as follows :-

STRENGTHS :-
1.Brand Image
2.Reliable and cheap
3.Established brand in the Indian marke.
4.Great service and nationwide penetration
5.Experience in the Indian market
 6.Very old player in the Indian market
7. First major player
8. Established distribution and after sales
network

WEAKNESSES :-
1.Dseconomies of scale
2.No Online presence
3.Not diversified

OPPORTUNITIES :-
1.Acquisition
2.Innovation
3.Online
4.Product and service expansion
5.Takeovers

THREATS :-
1.Competition
2.Cheaper technology
3.External changes ( Government policies,
taxes, etc)
4.Lower cost competitors and cheap imports
5.Price war
6.Product substitution

Chapter :- 5

Conclusion
 Conclusion

This chapter concludes the study by highlighting the

key findings of the study and some recommendations
for Maruti Suzuki for future.
The aim of the study is to critically analyse Maruti’s
marketing strategies in India and to examine the effect
on its sales . For this purpose secondary sources were
used to collect information about the Marketing
Strategies of Maruti Suzuki.
The conclusion that can be drawn are :-
1. The main driver of the sales of Maruti cars in
India are the Product features.
2. The marketing strategies though aggressive and
very customer specific are not prime force
towards the sales.
3. The prices of Maruti cars are competitive but
they are not the price leaders.
4. However much information on the distribution
network can not be gathered.

Chapter : 6

Recommendations
 Recommendations

There is need for Maruti Suzuki to differentiate itself

from past . This can be done by becoming more
customer friendly to the Indian as well as Asian market.
Due to the opening of the Indian market that means
globalisation and due to entry of many competitors in
the Indian automobile market Maruti should project
itself more aggressively to the low end, means market
with its low range ( but high quality ) products.
Maruti was established to provide low cast cars to the
Indians so it should carry on its objectives but it should
also focus on the customer satisfaction by providing
them quality products at low cost.
Maruti have developed a brand name and the customer
have a high brand preference. There is need to incash
on this by continuing to launch good quality products.

Chapter :-7

Limitations of the Study

 Limitations of the study

The biggest limitation of this study was time. Also

secondary sources were selected to collect the
necessary information. Since the project is on “
Marketing strategies of Maruti Suzuki” and due to
tough competition in the market the companies
are not disclosing their marketing strategies. So
sufficient information were not collected.