RESEARCH PROJECT

ON

A STUDY OF MARKETING MIX OF

MARUTI SUZUKI
AMAR SHAHEED BABA AJIT SINGH JUJHAR SINGH MEMORIAL
COLLEGE
Affiliated To
PUNJABI UNIVERSITY PATIALA

In the partial fulfillment of requirement for the award of

Degree of Bachelor of Business Administration (BBA )

Submitted To:

Submitted

By:
Punjabi University Patiala
Bhupinder Singh
Roll.No. 2170
B.B.A- 6th Sem.

DECLARATION

I am a student of BBA 6th Semester of AMAR SHAHHED BABA AJIT SINGH

JUJHAR SINGH MEMORIAL COLLEGE, BELA declare that the Project Report
entitled A STUDY OF MARKETING MIX OF MARUTI SUZUKI is the outcome of
my own work and the same has not been submitted to any university/institute
for the award of any degree or any Professional Degree.

Date:

Bhupinder Singh

ACKNOWLEGEMENT

Success is not a description, but a journey. While I reach towards the end of this journey, I
realized I may not have come this far without the guidance, help and support of the people
who acted as guides, friends and torch bearers along the way.
I take this opportunity to thank Prof. Gurlal Singh without their cooperation I would not
have been able to complete this project.
I express my deepest and most sincere thanks to my organization guide, Mr.Harjit Singh
(Manager) from who I had the opportunity to learn a lot, I would like to thank him for

giving me valuable suggestion and guidance with which, my project would have been
complete.

INDEX

Student Declaration

Acknowledgement

Chapter 1 About the Company

5-33

Chapter 2 Research Methodology

34-37

Chapter 3 Marketing Strategies

38-80

Chapter 4 Findings and analysis

81-85

Chapter 5 Conclusion

86--87

Chapter 6 Recommendations

88-89

Chapter 6 Bibliography

90

Chapter: - 1
ABOUT THE COMPANY

1.1 Introduction

Maruti Suzuki is Indias 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
Motors 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 Indias
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 800s 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,
Hindus 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 Suzukis 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,

Swift Dzire , 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.

1.2 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 Gandhis cabinet passed a
uninamous resolution for the devlopment and production of peoples car. Sanjay Gandhis
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 Motors 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 of 30,000 to 40,000 cars for the decade ending 1983.
Sanjay Gandhi

was awarded the exclusive contract and licence to design, devlop and

manufacture the Peoples 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 1970s 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.
9

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 SUVs.

10

1.3 Companys 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 Gandhis cabinet passed an
uninamous resolution for the development and production of Peoples car. Sanjay Gandhis
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 1980s to till day today Marutis have dominated the Indian Automobile industry as
well as automobile market.

1.3.1 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.

11

1.3.2 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 Suzukis participation ensures not only need
of profit, but the need of maximum profit. The only way of Noras dilemma of selecting
principles for the companys 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
shareholders 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,
shareholders 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 companys brand line : COUNT ON US!

Mission:Mission is the statement of any organisations 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.
2.
3.
4.

Modernisation of Indian Automobile Industry.

Developing cars faster and selling for less.
Production of fuel- efficient vehicles to conserve scarce resources.
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 Values : Customer Obsession

Fast, Flexible and First Mover

12

Innovation and Creativity

Networking and Partnership
Openness and Learning

13

1.3.3 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

14

1.3.4 MILESTONES
2005

2004

The fiftieth lakh car rolls out in April, 2005

Growth in overall sales by 15.8%

New (non A/C) variant of Alto

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

2003

New Suzuki Grand Vitara XL-7

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

2002

WagonR Pride

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, Indias first colour-coordinated car

Maruti True value in Mumbai

Maruti Finance in Mumbai with 10 finance companies

15

Suzuki Motor Corporation (SMC) increases its stake in Maruti to

54.2 percent

2001

Zen LXi

Maruti True Value launched in Bangalore and Delhi

Maruti Versa, Indias first luxury MPV

Alto Spin LXi, with electronic power steering

Alto VXi

Customer information centers launched in Hyderabad, Bangalore

and Chennai

2000

Launch of versa

First car company in India to launch a Call 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

1999

Maruti 800 EX ( 796cc, hatchback car)

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

1998

Maruti launches website as part of CRM initiatives

Zen D (1527 cc diesel, hatchback car)

16

1997

Zen VX & Zen VX Automatic

New (Omni & Omni E) (796cc, MUV)

Launch of website as part of CRM initiatives

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

New Maruti 800 (796cc,hatchback Car) Standard and Deluxe

Produced the 2 millionth vehicle since the commencement of

production

1996

1995

Gypsy (E) (970cc, 4WD 8 seater)

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

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

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

units

1994

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

Produced the 1 millionth vehicle since the commencement of

production

1993

Zen (993cc, hatchback Car), which was later exported in Europe

and elsewhere as the Alto

1992

SMC increases its stake in Maruti to 50 percent

1991

Reaches cumulative indigenisation of 65 percent for all vehicles

produced

1990

Maruti 1000(970cc, 3 box), Indias first contemporary sedan

1988

Installed capacity increased to 100,000 units

17

1987

Exported first lot of 500 cars to Hungary

1986

Maruti 800 ( New Model-796cc, hatchback Car)

Produced 100,000 vehicles (cumulative production)

1985

Launch of Maruti Gypsy (970cc, 4WD off-road vehicle)

1984

Omni, a 796cc MUV

Installed capacity reached 40,000 units

Maruti 800, a 796 cc hatchback, Indias first affordable car.

Production was started under JVA

License and JV agreement signed between Maruti Udyog Ltd. and

1983

1982

SMC of Japan

1.3.5 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

18

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 AutocarCNBC
( 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
19

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

20

welfare

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

21

1.4 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

Jr. Executives

Sr. Executives

Jr. Executives

22

Sr. Executives

Jr. Executives

1.4.2 THE PRODUCTION PROCESS AT MARUTI

STEEL COILS
BLANKING
PRESSING
WELDING
PAINTING
FROM VENDOR
VENDORS

FROM VENDOR
VENDORS

ASSEMBLY

VEHICLE INSPECTION
FROM VENDORS
VENDORS
TEST RUN
SUPPLY & DISPATCH

1.4.3 Recruitment and Selection Process Of Maruti Suzuki

23

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.

24

C) Selection Test :- Psychological test are being increasingly used in employee selection
where a test may evolve some aspects of an individuals 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 companys 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.
25

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 workers
immediate supervisor is asked for comments which is compared with the notes taken
at the time of selection.

26

1.4.4 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

wide Managers

Feedback of Company-

Competency Mapping to identify Individual Training Needs

Technical Training on latest Technologies abroad at SMC, Japan

STRONG FOCUS 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

27

1.4.5 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

28

1.4.6 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 Marutis 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 200809 which was 59% higher than last year. In the financial year 2008-09 Maruti exports
contributed to more than 10% of total Maruti sales.

29

Continent wise export of Maruti

Udyog Limited Since inception

Sales

Asia
Africa
America
Europe
Oceania

Graph 1.1

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)

30

1.5 Financial Structure of Maruti Suzuki

1.5.1 Capital structure

The capital structure of Maruti Udyog limited are as follows :From
Year

To
Year

Class Of
Share

Authorized
Capital

Issued
Capital

2009

Paid Up
Paid Up
Shares (Nos) Face Value

2010

Equity
Share

372.00

144.46

288910060

144.46

2008

2009

Equity
Share

372.00

144.46

288910060

144.46

2007

2008

Equity
Share

372.00

144.46

288910060

144.46

2006

2007

Equity
Share

372.00

144.46

288910060

144.46

2005

2006

Equity
Share

155.00

144.46

288910060

144.46

2004

2005

Equity
Share

155.00

144.46

288910060

144.46

2003

2004

Equity
Share

155.00

144.46

288910060

144.46

2002

2003

Equity
Share

155.00

144.46

288910060

144.46

2001

2002

Equity
Share

135.00

132.29

13229162

100

132.29

2000

2001

Equity
Share

135.00

132.29

13229162

100

132.29

1999

2000

Equity
Share

135.00

132.29

13229162

100

132.29

1993

1999

Equity
Share

135.00

132.29

13229162

100

132.29

Table 1.1 Showing the capital Structure of Maruti Suzuki From 2006 to 2010
Refrence :- Official website of Maruti Suzuki ( www.marutisuzuki.com)
31

Paid Up
Capital

1.5.2 BALANCE SHEET OF MARUTI UDYOG LIMITED

For the financial year 2006-10

Balance sheet
Mar ' 10

Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 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

Preference share capital

11,690.60

9,200.40

8,270.90

6,709.40

5,308.10

26.50

0.10

0.10

63.50

71.70

794.90

698.80

900.10

567.30

12,656.50 10,043.80

9,315.60

7,484.70

5,524.30

10,406.70

8,720.60

7,285.30

6,146.80

4,954.60

Less : accumulated depreciation

5,382.00

4,649.80

3,988.80

3,487.10

3,259.40

Net block

5,024.70

4,070.80

3,296.50

2,659.70

1,695.20

387.60

861.30

736.30

238.90

92.00

7,176.60

3,173.30

5,180.70

3,409.20

2,051.20

Current assets, loans & advances

3,856.00

5,570.00

3,190.50

3,956.00

3,870.70

Less : current liabilities & provisions

3,788.40

3,631.60

3,088.40

2,779.10

2,184.80

67.60

1,938.40

102.10

1,176.90

1,685.90

Reserves & surplus

Loan funds ( in lakhs)
Secured loans
Unsecured loans
Total
Uses of funds (in lakhs)
Fixed assets
Gross block
Less : revaluation reserve

Capital work-in-progress
Investments
Net current assets (in lakhs)

Total net current assets

Miscellaneous expenses not written
32

Mar ' 10
Total

Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06

12,656.50 10,043.80

9,315.60

7,484.70

5,524.30

Notes:
Book value of unquoted investments

11.10

3,162.20

5,169.60

3,398.10

2,040.10

Market value of quoted investments

215.10

108.70

219.50

270.40

289.80

Contingent liabilities

3,657.20

1,901.70

2,734.20

2,094.60

1,289.70

Number of equity sharesoutstanding (Lacs)

2889.10

2889.10

2889.10

2889.10

2889.10

Table :- 1.2 showing Balance Sheet of Maruti Suzuki for the year 2006 to 2010
Refrence :- Official wesite of Maruti Suzuki (www.marutisuzuki.com)

33

1.5.3 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 10

Mar 09

Mar 08

Mar 07

Mar 06

Income
Operating income

29,317.70 20,729.40 18,066.80 14,806.40 12,197.90

Expenses
Material consumed
Manufacturing expenses
Personnel expenses
Selling expenses
Adminstrative expenses
Expenses capitalised
Cost of sales
Operating profit
Other recurring income
Adjusted PBDIT
Financial expenses
Depreciation
Other write offs
Adjusted PBT
Tax charges
Adjusted PAT
Non recurring items
Other non cash adjustments
Reported net profit
Earnigs before appropriation
Equity dividend
Preference dividend
Dividend tax
Retained earnings

22,435.40
1,278.20
545.60
916.00
404.60
25,579.80
3,737.90
617.70
4,355.60
33.50
825.00
3,497.10
1,094.90
2,402.20
44.30
51.10
2,497.60
10,501.80
173.30
28.80
10,299.70

16,339.80
909.70
471.10
738.20
389.20
-22.30
18,825.70
1,903.70
547.60
2,451.30
51.00
706.50
1,693.80
457.10
1,236.70
-55.90
37.90
1,218.70
8,244.40
101.10
17.20
8,126.10

13,622.00
670.60
356.20
560.20
326.30
-19.80
15,515.50
2,551.30
456.10
3,007.40
59.60
568.20
2,379.60
763.30
1,616.30
37.90
76.60
1,730.80
7,368.10
144.50
24.80
7,198.80

11,063.70
489.80
288.40
499.90
274.50
-14.30
12,602.00
2,204.40
361.10
2,565.50
37.60
271.40
2,256.50
705.30
1,551.20
-23.00
33.40
1,561.60
5,947.10
130.00
21.90
5,795.20

9,223.70
359.60
228.70
356.00
170.60
-6.70
10,331.90
1,866.00
268.10
2,134.10
20.40
285.40
1,828.30
560.90
1,267.40
-83.70
5.40
1,189.10
4,631.20
101.10
14.20
4,515.90

Table :- 1.3 Showing Profit and loss account of Maruti Suzuki

Refrence :- Official website of Maruti Suzuki (www.marutisuzuki.com)

34

Chapter :- 2
Research Methodology

2 . 1 M e a n i n g o f R e s e a rch

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.

35

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.

2 . 2 O b j e c t i v e s o f R e s e a rch
The purpose of research is to discover answers to questions through the application of
scientific 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 its own specific
purpose.
The main objectives of this research was to :1. To study about Maruti Suzuki i.e. when it was established , why it was established and
by whom it was established, financial structure, Organisational structure etc.
2. To study about the marketing mix and the strategies adopted by Maruti Suzuki in
order to cater the needs of the people and also to face tough competition in the market
since after the Globalisation of the Indian economy many competitors have grown and
tries to undermine the monopoly created by Maruti Suzuki.
3. To study the strategies adopted by Maruti Suzuki due to which they are able to
dominate the Indian Automobile Sector since last three decades.

2 . 3 S i gn i f i c a n c e o f R e s e a rch

All process is born of inquiry. Doubt is often better than overconfidence, for it leads to
inquiry and inquiry leads to invention. Is a famous Hudson Maxim in context of which the

36

significance 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. Research, as an aid to economic policy, has gained added importance,
both for government and business

2 . 4 R e s e a rch M e t h od o l o g y
Research methodology is a way to systematically solve the research problem. It may be
understood as a science of studying how research is done scientifically. 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.

2 . 5 D a t a C o l l e c t i o n So u rce
Information for this project was collected primarly through secondary sources.The data
collected from the secondary sources are called as Secondary data.
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, especially 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

Publications

37

Newspapers

Brouchers

2 . 6 L I M I TATI O N S

The biggest limitation of this project was time , due to lack of time the necessary data
were collected from the secondary sources..

Due to tough competition in the market the companies are not willing to disclose their
strategies adopted to face the competition so sufficient information were not collected
and the information collected are not 100% accurate.

Chapter: - 3
Marketing Strategies
38

3.1 Meaning of Marketing

3.2 Brand
3.3 Products
3.4 Price
3.5 Place
3.6 Promotion
3.7 Market Segmentation , Targeting and Positioning
3.8Market Share
3.9Other strategies adopted by Maruti
3.10Customer satisfaction

39

3.1 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.

3.2 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 Gandhis cabinet
unanimously passed a resolution for the development and production of peoples car.
Sanjay Gandhis company was christened Maruti Limited. The name was chosen as Maruti
after a Hindu deity named Maruti.

40

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.

3.3 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.

41

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 SUVs. The economy cars includes :A)
B)
C)
D)
E)
F)
G)
H)

Maruti 800
Alto
Zen Estilo
Wagon R
A - Star
Ritz
Swift
Swift Dzire

The Utility Cars of Maruti Suzuki includes :A)

B)
C)
D)

Maruti Omni (Van)

Maruti Eeco
Maruti Gypsy
Grand Vitara

The Luxury Cars of Maruti Suzuki includes :A) Maruti Esteem

B) Maruti SX4

PRODUCTYEAR IN WHICH LAUNCHED

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

42

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 1980s 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
43

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

McPherson strut 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
Fuel Tank

4 Persons
30 Litres

Maruti Alto

44

Maruti Alto is one of the hottest selling compact cars in Indian market. Alto uses Maruti
800s 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

Engine control

32 bit computer

Max. Power

47 bhp @ 6200 rpm

45

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
46

Min turning radius

4.1 m

Weight
Omni

785 Kgs

Omni E

800 Kgs

Engine
Type

4 Stroke cycle, water cooled

No. of cylinders

No. of cylinder valves

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

Front

Booster assisted disc

Rear

Drum

Brakes

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
47

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 Bharath Stage 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 Nm (74 ftlbf) @ 3000 rpm

Valve train:

16 valves / 4 per cylinder

Transmission:

Manual-5 speed

Suspension
Front Suspension:

McPherson strut
48

Rear Suspension:

3 Link Rigid

Brakes
Front Brakes :

Ventilated disc

Rear Breakes :
Tyres:
Tyre type:

Drum
155 R-13 LT
Tubeless

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.

49

TECHNICAL SPECIFICATIONS :Capacities

Seating Persons

Fuel in litres

35

Engine in CC

993

Unladen weight in kgs

765

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

output

in

60@ 6000

engine

torque

in

8@4500

bhp/rpm
Maximum
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

output

in

60 @ 6200

bhp/rpm
50

Maximum

engine

torque

in

8 @ 4500

kgm/rpm
Compression ratio

9.4:1

DIMENSIONS
Overall length

3535mm

Overall width

1495mm

Overall height

1405mm

Wheelbase

2335mm

Ground clearance

165m

51

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 Rs 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

52

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.

53

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 In Kgs
Kerb weight

870

Gross Vehicle weight

Capacity
Seating capacity

5 persons

Fuel tank capacity

35 litres

Engine
Swept volume

1061 cc
54

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

McPherson strut and coil spring

Rear

Isolated trailing link and coil spring

55

SWIFT
Maruti Swift brings a feeling of freshness to the compact car segment . Its 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 :-

Seating Capacity :-

Engine
Capacity :-

1298 cc

No. of cylinders :-

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

56

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

57

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

58

Type G13BB MPFI 16 Valve Gasoline

Cylinders 4

Displacement 1298 cc

Maximum Power 80 bhp (60 kW; 81 PS) @6000 rpm

Maximum Torque 103 Nm (76 lbft) @ 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)

59

60

MARUTI SUZUKI SX4

Designed by GiorgettoGiugiaro'sItaldesign studio, the SX4 (an abbreviation of "Sports Xover 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)
Transmission
Top Speed (kmph)

1586
5 Manual
175

Suspension

61

Front

Independent
strut

Rear

suspension

gas-filled

McPherson

& anti-roll bar

Semi-independent torsion beam with gas filled shock absorbers

Brakes
Type

with

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

62

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
Fuel tank

7 persons
66 litres

Engine
63

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

64

3.4 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

65

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 %.

3.5 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 sometimes 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 market and market to the customers. Many showrooms of MUL are there in
our India.

3.6 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.

66

3.7 SEGMENTATION

3.7.1 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.

3.7.2 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

3.7.3 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
67

A Star
Swift

Mid size segment or A3 segment :Maruti Esteem

SX4

Utility Vehicle or MUV :Maruti Eeco

Maruti Gypsy
Grand Vitara

3.8 Market Positioning

3.8.1 Meaning :Market positioning means placing the potential product in the market that can satisfy the
needs and requirements of the target customers.

3.8.2 Positioning of products by Maruti :Management of Marutis 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.

68

3.9 Other Strategies adopted by Maruti Suzuki

3.9.1 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.

3.9.2 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.

3.9.3 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
69

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 dealers 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.

3.9.4 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
youll 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.
Thats 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 Suzukitoensurethat the dream car is within everyones reach. Similarly Maruti
Finance brings together some of the biggest names in the car insurance industryto provide
insurance solution to every type of the car consumer.
70

3.9.5 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.

3.9.6 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 Amro Bank , 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

71

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.

3.9.7 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.

3.9.8 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.

72

3.10 MARKET SHARE

Graph 3.1
Showing Market Share of Maruti Suzuki
Refrence :- Official website of Maruti Suzuki
(www.marutisuzuki.com)

73

2008- 2009 Market Share

Segment A2

Sales

Maruti
Tata
Hyundai

Chart 3.1
Showing Market Share in A2 Segment
Description
Maruti

59%

Tata

20%

Hyundai

21%

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

74

2008 2009 Market share

Segment A3

Sales

Tata
Ford
GM
Honda
Maruti
Hyundai
Others

Chart 3.2
Showing Market Share in A3 Segment
Description
Tata

20%

Ford

14%

GM

6%

Honda

20%

Maruti

17%

Hyundai

16%

Others

7%

Refrence :- Auto India (Automobile Magzine), March2010

75

2008 -2009 Market Share

Passenger Car

Sales

Hyundai
Maruti
Tata
Honda
Ford
GM
Toyota
Others

Chart 3.3
Showing Market Share of passenger cars
Description
Hyundai

17%

Maruti

55%

Tata

16%

Honda

4%

GM

3%

Toyota

10%

Others

3%

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

76

MARUTI ALL INDIA SALES 3 YEARS TREND

Segment

2006-07

A1 (Mini - Hatchback)

167,561

17% 116,262

A2 (Compact - Hatchback)

176,132

47% 271,280

A3 (Mid Size)
A4/A5/A6
(Exec./Prem./Luxury)
C (Van Type)

Growth 2007-08 Growth 2008-09 Growth

-31%

89,223

-23%

54% 335,136

24%

14,173

28%

29,637

109%

31,939

8%

NA

NA

NA

NA

NA

NA

59,526

15%

65,019

9%

66,366

2%

Passenger Cars - MUL

417,392

28% 482,198

16% 522,664

8%

Passenger Cars - Total

Industry

758,123

26% 885,029

17% 948,669

7%

MUV (Utility Vehicles)

3,555

12%

46%

5,204

4,374

-16%

Passenger Vehicles - MUL

420,947

28% 487,402

16% 527,038

8%

Passenger Vehicles - Total

Industry

901,150

24% 1,050,24
6

17% 1,129,31
6

8%

Table 3.1
Showing Sales of Maruti cars in the year 2006 to 2009
Reference : Autocar ( Automobile Magzine) , March 2010

77

COMPETITION MODELS

Segment

Maruti

Competition

A1 (Mini - Hatchback)

M800

A2 (Compact - Hatchback)

Zen, WagonR,
Alto, Swift

Hyundai - Santro& Getz; Tata Indica&Palio; GM - Spark & Beat

A3 (Mid Size)

Esteem, SX4

Hyundai - Accent; Tata - Indigo & Petra;

Honda - City; GM - Corsa, Optra,
&Aveo; Ford - Ikon, Fusion, & Fiesta

A4/A5/A6
(Exec./Prem./Luxury)

Hyundai - Elantra& Sonata; Honda Accord; GM - Vectra; Ford - Mondeo;

Skoda - Octavia & Superb; Toyota Corolla & Camry; Daimler Chrysler C,E, & S Class;

C (Van Type)

Omni, Versa

MUV (Utility Vehicles)

Gypsy, Grand
Vitara

78

Mitsubishi - Pajero; Hyundai - Terracan&

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.

3.11 Customer Satisfaction By Maruti Suzuki

Now a days 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.
3.11.1 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).
79

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.

3.11.2 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.
80

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.

81

Tata
Ford
Mahindra Renault
Chervolet
Toyota
Honda
Skoda
Mahindra
Hyundai
Mitsubishi
Maruti
660

680

700

720

740

760

780

800

820

Graph 3.2
Showing Customer Satisfaction Index Ranking
Refrence :- Autodrive ( Automobile Magzine), June
2010

82

840

Chapter :-4
Findings And Analysis

83

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..

Some other findings about Maruti Suzuki

A Buying Experience Like No Other
Maruti Suzuki has a sales network of 307 state-of -the-art showrooms across 189 cities, with
a workforce of over 6000 trained sales personnel to guide our customers in finding the right
car. Our high sales and customer care standards led us to achieve the No.1 nameplate in the
J.D. Power SSI Study 2004.
Quality Service Across 1036 Cities
In the J.D. Power CSI Study 2004, Maruti Suzuki scored the highest across all 7 parameters:
least problems experienced with vehicle serviced, highest service quality, best in-service

84

experience, best service delivery, best service advisor experience, most user-friendly service
and best service initiation experience.
92% of Maruti Suzuki owners feel that work gets done right the first time during service. The
J.D. Power CSI study 2004 also reveals that 97% of Maruti Suzuki owners would probably
recommend the same make of vehicle, while 90% owners would probably repurchase the
same make of vehicle.
One Stop Shop
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.

The Low Cost Maintenance Advantage

The acquisition cost is unfortunately not only the cost we face buying a car. Although
a car may be afforded to buy , it may not necessarily be afforded to maintain as some
of its regularly used spare partsmay be priced quite steeply. Not so in the case of
Maruti Suzuki. It is in the economy segment thatb the affordability of spares is most
competitive and it is here where Maruti Suzuki shines. The recent auto car survey
conducted in August 2004 bears testimony to this fact. In the Maruti Suzuki Stable,
the Omni has the lowest aggregate cost of the spares followed by the Maruti 800. The
Maruti 800 has the cheapest spares of any Indian car. In the lower Mid Size segment
as well price consciousness is very high , Where the cars have to be not only
affordable on purchase price but alsoneed to combine quality and have comfortable
interiors. In this segment the Maruti Suzuki Versa had scored particularly well with
the lowest cost of spares in the segment. In the upper Mid Size Segment the Maruti
Suzuki Baleno had the segment lowest price on a majority of spares.

Lowest Cost of Ownership

85

To be really happy with the car one owns, it should be easy on the pocket to buy and to runwhich is why the cost of ownership is so important. And here again, a Maruti Suzuki is a
clear winner, as shown by the recent J.D.Power CSI study 2004. It is clear that a Maruti
Suzuki delights you even when you run it for years. The 6 highest satisfaction ratings with
regard to cost of ownership among all models are all Maruti Suzuki vehicles: Zen, Wagon R,
Esteem, Maruti 800, Alto and Omni. They are proud to have the lowest cost of operation / km
(among petrol vehicles) - the top 5 models are all Maruti Suzuki models: Maruti 800, Alto,
Zen, Omni and Wagon R.

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 companys 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.
2.
3.
4.
5.
6.
7.
8.

Brand Image
Reliable and cheap
Established brand in the Indian marke.
Great service and nationwide penetration
Experience in the Indian market
Very old player in the Indian market
First major player
Established distribution and after sales network

WEAKNESSES :1. Diseconomies of scale

2. No Online presence
3. Not diversified

86

OPPORTUNITIES
1.
2.
3.
4.
5.

:-

Acquisition
Innovation
Online
Product and service expansion
Takeovers

THREATS :1.
2.
3.
4.
5.

Competition
Cheaper technology
External changes ( Government policies, taxes, etc)
Lower cost competitors and cheap imports
Price war

6. Product substitution

87

Chapter :- 5
Conclusion

88

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 Marutis 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.

89

Chapter : 6
Recommendations

90

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.

91

BIBLIOGRAPHY

Books :

Kotler, Philip Principles of Marketing Management, prentice hall India, 2003

Chhabra, T.N Marketing Management,DhanpatRai and co., 2010
Kothari, C.R Research methodology, Vikas Publishing house, 1997

Magzines :

Overdrive
Autocar
Autodrive

Websites :

www.marutisuzuki.com
www.surfindia.com
www.carwale.com
www.driveinside.com
www.carindia.com

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