Speed Breakers Galore - Maruti |
ICMR HOME | Case Studies Collection Please note: 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. |
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ExcerptsThe Stumbling BlocksTill October 1998, MUL enjoyed a market share of 83.6%. Reacting to the increasing number of players, Khattar commented, "Obviously, our market share will decline with the entry of new manufacturers and models in percentage terms, but not in actual volumes."...
About Price ReductionThe fact that 82% of the Indian market was accounted for by cars priced below Rs 4.30 lakh, proved how strongly price influenced volumes. Moreover, with domestic car sales dropping by 15.01% in November 1998 over November 1997, manufacturers had to turn towards price to resuscitate demand...
By the late 1990s, things changed radically with over 12 car manufacturers having a presence in the country, with a total capacity of about 1,250,000 cars, of which MUL produced about 400,000 (33%)... |
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