MARUTI SUZUKI Vs HONDA INDIA

A Perspective Management Presentation

Group Members

P 27 RITA GUJAR P 33 SAMRUDDHI PRABHULKAR

P 42 SWAPNIL JADE
P 50 RAKESH CHAVAN P 54 AMEYA HALBE P 59 SAGAR KAPSE

Page 2

CONTENTS
Introduction to The Automobile Industry Company Profile
Vision/ Mission/ Objective/ Goal

Organizational Structure

Present Situation
Current Scenario of the Overall Industry Current Scenario of the Two Companies Products Turnover Product Development

Strengths & Weaknesses Strategies Adopted Innovative Practices

Page 3

Future Challenges

Introduction to The Automobile Industry

Page 4

Company Profile Maruti Suzuki

VISION: To Become The Leader in the Indian Automobile Industry, Creating Customer Delight and Shareholders Wealth; A Pride of India

CORE VALUES: Customer Obsession Fast, Flexible & First Mover Innovation & Creativity Networking & Partnership Openness & Learning

Page 5

Company Overview Maruti Suzuki

Maruti Udyog Limited established in February 1981 First product Maruti 800 in 1983 India and Nepal's Number One Leading Automobile Manufacturer and The Market Leader in the Car Segment Maruti Udyog has a Joint Venture with Suzuki Motor Corporation, Japan

Page 6

Company Profile Honda Siel Cars India

VISION: Respect for the individual. The Three joys (Buying, Selling, Creating)

COMPANY PRINCIPAL: Maintaining a global viewpoint, we are dedicated to supplying products of the highest quality, yet at a reasonable price for worldwide customer satisfaction.

Page 7

Company Overview Honda Siel Cars India

Honda Motor Company Ltd is a Japanese Public Multinational Corporation Honda has Headquarter in Minato Tokyo Japan

Page 8

Organizational Structure Maruti Suzuki

Page 9

Organizational Structure Honda

Page 10

Current Scenario of Automobile Industry

Page 11

Current Scenario of Maruti Suzuki

Page 12

Current Scenario of Honda

Page 13

PRODUCTS BY MARUTI SUZUKI

Current Sales of Automobiles: 800 (Launched 1983) Omni (Launched 1984) Gypsy (launched 1985) WagonR (Launched 1999) Alto (Launched 2000) Discontinued Models: 1000 (19901994)

Zen (19932006)
Esteem (19942008) Baleno (19992007) Zen Estilo (20062009) Versa (20012010) Grand Vitara XL7 (20032007) Imported Models: Grand Vitara (Launched 2007) Kizashi (Launched 2011)

Swift (Launched 2005)

Estilo (Launched 2009) SX4 (Launched 2007) Swift DZire (Launched 2008) A-star (Launched 2008) Ritz (Launched 2009) Eeco (Launched 2010)
Page 14

PRODUCTS BY HONDA
Current Sales of Automobiles: City (Launched 1998) Accord (Launched 2001) Civic (Launched 2006) Jazz (Launched 2009) Brio (Launched 2011)

Page 15

Comparison Based on Pricing Maruti Suzuki & Honda

Car prices ranges for Maruti from 3 lakhs to 18 lakhs

Car prices for Honda ranges from 4lakhs to 20 lakhs

More no of cars for Middle Class Population

Less no of cars for Middle Class population

Page 16

Turnover of Maruti Suzuki

The gross revenue of the Company was Rs. 375,224 million as against Rs. 301,232 million in the previous year showing a growth of 24.6% Sale of vehicles in the domestic market increased to 1,132,739 units as compared to 870,790 units in the previous year showing a growth of 30.1% Total number of vehicles exported was 138,266 as compared to 147,575 last year

Page 17

Turnover of Honda

Second quarter in fiscal 2011, Honda sold 898,000 automobiles

An increase of 7%. Honda's revenue increased 13.5% in North America and 16% in Japan Total revenue was up 9.5% overall, to $26.85 billion, up from $24.5 billion a year ago

Page 18

Product Development for Maruti Suzuki

Small Segment

Luxury Segment

Page 19

Product Development for Maruti Suzuki

Medium Segment

Small Segment

Page 20

Strengths & Weaknesses of Maruti Suzuki

Strengths
Expertise in small car

Weaknesses
Low interior quality in

Technology Extensive product portfolio. Quality products Extensive sales and service network Brand strength Integrated manufacturing facility Strong vendor base and higher rates of localization Skilled labour and experienced management

side the cars

Government

intervention due to having share in MUL.

Labour Laws and

Labour Unions are not in a good form in India.

Page 21

Strengths & Weaknesses of Honda

Strengths
Diversified

Weaknesses
Cost structure of Honda

Operations
Leading market

position & brand strength

Engineering

Capability
Strong distribution

network
Page 22

is high focus more on international deposits Civic models could cause abashing for the customer Prices for non-luxury vehicles are far high as compare to other manufacturers

Strategies Adopted by Maruti Suzuki

Pricing Strategy-Catering to all segment Promotion Strategy Customer Centric Approach Provides Best after Sale Service No Celebrity Brand Ambassador Place Strategy

Relates to Common Man

Page 23

Strategies Adopted by Honda

Innovative and Aggressive Marketing

Enterprise Strategy
Localization Strategic Corporate Strategy Operational Strategy

Page 24

Innovation Practices
TECHNICAL INNOVATION Maruti Suzuki K- Series Engine i- GPI Technology 'EECO Charge'

Honda
Iv-TEC Series Engine G-CON

Vehicle Stability Assist

Page 25

Innovation Practices
MARKETING INNOVATION Maruti Suzuki Catchy Slogans

Honda

Good dealer relations

Efficient Realtionship Marketing

Maruti Driving School

Page 26

Innovation Practices
GO GREEN INNOVATION Maruti Suzuki Energy efficient plants Eco Friendly Investment 3 Rs-Reduce, Recycle & Reuse
Page 27

Honda
Green purchasing Guide Eco Friendly Cars

Eletric Scooters

Page 28