Speed Breakers Galore - Maruti

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Case Details:


Case Code : MKTG001 For delivery in electronic format: Rs. 200;
For delivery through courier (within India): Rs. 200 + Rs. 25 for Shipping & Handling Charges


Case Length : 7 Pages
Period : 1998 -2001
Pub Date : 2001
Teaching Note : Available
Organization : Maruti Udyog limited
Industry : Automobiles
Countries : India


When the Indian car industry opened its doors to new players, Maruti Udyog Ltd, which had, till then enjoyed an enviable position in the market was suddenly faced with severe market erosion.

This case study looks at the various strategies MUL adopted to regain its place in the market -particularly its price-reduction strategies and the widening of its product range.

The case also looks at the reactions and moves of other players in the industry, viz. Hyundai, Daewoo, Telco etc


The upheaval in the Indian small-car segment in the late 1990s and the emergence of various players.


  Page No.
Empire Under Siege 1
The Building Blocks 1
The Stumbling Blocks 2
The Industry Strikes Back 3
About Price Reduction 4
Much ado about nothing? 5


Indian car industry, new players, Maruti Udyog Ltd, market, severe, market erosion, MUL, price-reduction , strategies, product range, reactions, moves, Hyundai, Daewoo, Telco

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