Automobile|| Group 04

• Ashok Leyland - Siddhant Kumar Garg(MBA19069)

• Toyota - Rajadurai S(MBA19132)
• Hyundai - Sourav Kumar(MBA19232)
• Ford India - Sahil Sondhi(MBA19066)
• Maruti Suzuki - Ujjwal Ranjan(MBA19155)
• TATA Motors - Ujjwal Singh(MBA19238)
Part-1 || Industry
Analysis
 Basic Structure of the Industry
• The automobile industry in India is world’s fourth largest, with the country currently being the world's 4th largest
manufacturer of cars and 7th largest manufacturer of commercial vehicles in 2018.
• Two-wheelers dominate the industry and made up 81 per cent share in the domestic automobile sales in FY19.
• Overall, Domestic automobiles sales increased at 6.71 per cent CAGR between FY13-18 with 26.27 million vehicles being
sold in FY19.
• Indian automobile industry has received Foreign Direct Investment (FDI) worth US$ 21.38 billion between April 2000 and
March 2019.
• Domestic automobile production increased at 6.96 per cent CAGR between FY13-19 with 30.92 million vehicles
manufactured in the country in FY19.
• In FY19, commercial vehicles recorded the fastest pace of growth in domestic sales at 17.55 per cent year-on-year,
followed by three-wheelers at 10.27 per cent year-on-year.
• The passenger vehicle sales in India crossed the 3.37 million units in FY19 and is further expected increase to 10 million
units by FY20.
• Indian auto industry is expected to see 8-12 per cent increase in its hiring during FY19.
• The Ministry of Heavy Industries, Government of India has shortlisted 11 cities in the country for introduction of electric
vehicles (EVs) in their public transport systems under the FAME (Faster Adoption and Manufacturing of (Hybrid) and
Electric Vehicles in India) scheme.
• Automobile exports grew 14.50 per cent in FY19. It is expected to grow at a CAGR of 3.05 per cent during 2016-2026.
• Domestic two-wheeler industry is expected to grow at 8-10 per cent during FY19.
• Luxury car market in India is expected to grow at a 25 per cent CAGR till 2020. The Government of India expects
automobile sector to attract US$ 8-10 billion in local and foreign investments by 2023
Siddhant_Garg (MBA19069) 1
 Recent Trends in the Industry || Reasons
• Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles and National Electric Mobility Mission Plan (NEMMP
2020) have been initiated with an aim to support hybrid/electric vehicles market development and ecosystem.
• As per the AMP 2026, the Automobile industry has a target to triple the revenues to US$ 300 bn and increase exports
sevenfold to US$ 80 bn.
• Private players like Hyundai, Suzuki, General Motors are interested in setting up an R&D base in India.
• Foreign manufacturers are keen to set up their facilities due to the presence of a large pool of skilled and semi-skilled
workers and a strong educational system.
• India is the largest manufacturer of two-wheelers, three-wheelers and tractors in the world, and the fifth-largest vehicle
manufacturer overall.
• India is currently the fourth largest Automobile market in the world.
• India's annual production has been 29.08 mn vehicles in FY18 as against 25.33 mn in FY17, registering a healthy growth of
14.8%.11
• The Automobile industry in India has followed a robust growth path, growing at a CAGR of 6.26% in FY 2018-19.
• IoT and AI technologies will continue to revolutionize the automotive sector, driving unprecedented transformations across
vehicle and device connectivity, autonomous driving, electric powertrains, and shared mobility.
• Autonomous Driving : This is undoubtedly the emerging trend that has been ruling the automotive field. Though self-
driving technology is not prevalent on the streets, it is being experimented all over the globe. Autonomous driving will soon
rule the streets as well, thanks to the collaboration between many advanced technologies.

Rajadurai S (MBA19132) 2
 Industry in the Global Context (Business
Drivers)
• With the decline of diesel, the electrification of powertrains remains the main response to widespread tightening of
environmental regulation.
• In the absence of government policies to incentivize sales and investments in infrastructure, cost of ownership
impedes large-scale demand for battery vehicles.
• Plug-in hybrid technologies will play an important role in the transition to electric mobility and will be key to comply
with environmental standards over the next five years.
• Toyota leads the market globally with the market share of about 9.46% followed by Volkswagen and ford.
• IoT and AI technologies will continue to revolutionize the automotive sector, driving unprecedented transformations
across vehicle and device connectivity, autonomous driving, electric powertrains, and shared mobility.
• After a decade of sales growth, the Chinese automotive juggernaut finally stumbled, with the passenger vehicle
market declining in 2018.
• A connected vehicle ecosystem is closer than we imagine. From powertrains and advanced driver assistance systems
to connected services and smart interiors, cars are becoming more connected both internally and externally.
• Electric Vehicles Are Charged And Ready To Go: More than 270 ambitious start-ups are revving up the electric vehicle
(EV) industry. Stricter emissions regulations will be accompanied by a flurry of new model launches.
• Research and development to decarbonize cars, vehicles and the fuels they use is the single most important driver for
the sector. This comes as countries and governments work towards reducing their carbon footprint by using new
technologies and ever more stringent standards to reduce emissions and other environmental pollutants such as
noise.
• Compared with electrification, autonomous driving is not yet an established trend.
Sourav Kumar (MBA19XXX) 3
 Industry in the Indian Context (Business
ABOUT THE INDUSTRY :
Drivers)
• The Automobile industry in India is a significant driver of macroeconomic growth and technological development. The
Automobile industry holds a 7.5% share in India’s GDP.
• The Automobile industry manufactured 14.7 mn vehicles including passenger vehicles, commercial vehicles, three-
wheelers and two-wheelers during April – September 2017 against 13.4 mn during April-September 2016.
• As per FY 2018-19, India has manufactured 25 mn vehicles out of which 3.5 mn have been exported
• In the Automobile industry in India, the FDI equity inflows received during April 2000 – September 2018 is valued at US$
20.36 bn
• As per the AMP 2026, the Automobile industry has a target to triple the revenues to US$ 300 bn and increase exports
sevenfold to US$ 80 bn.
• India’s “Make in India” initiative has played a vital role in elevating the country’s position

BUSINESS DRIVERS :
• BS-VI Standards (2020) : The upcoming emission standards will narrow down the gap between petrol and diesel
emissions. The share of diesel cars has fallen to half of what it was in 2012-13. Companies have started rolling out petrol
variants of SUVs. This trend will continue and will make petrol the fuel of choice for customers
• Economic conditions : With a slowdown in the Indian economy, the Sales of passenger vehicles to car dealers fell 30.9% to
200,790 in July and that for Commercial vehicles sales fell 25.7% to 56,866 units
• Globalization : With globalization being on a major scale in India, certain mergers are formed between companies like
M&M and Ford. Further, it has led to new automobile companies like MG Motors, Tesla and KIA Motors to come to India
Sahil Sondhi (MBA19066) 4
Key Decisions by Indian Union Government ||
Impacts
• The Union government of India, in 2013, unveiled the National Electric Mobility Mission Plan
2020 (NEMMP) with a vision to put 6-7 million new full range electric vehicles on the road
including an estimated 4-5 million two-wheelers. This was done with an aim to achieve national
energy security, mitigation of environmental impact and encourage domestic Manufacturing.
• In September 2016, The Union Ministry of Road Transport and Highways had notified that BS VI
emission standards will apply to all vehicles manufactured on or after April 1, 2020. Vehicles
conforming to BS IV standards manufactured before April 2020 will not be registered after 30th
June 202013, thereby notifying auto manufacturers to plan their production and inventories
accordingly.
• The government aims to develop India as a global manufacturing centre and an R&D hub.
• Under NATRiP, the Government of India is planning to set up R&D centres at a total cost of US$
388.5 million to enable the industry to be on par with global standards
• The Ministry of Heavy Industries, Government of India has shortlisted 11 cities in the country for
introduction of electric vehicles (EVs) in their public transport systems under the FAME (Faster
Adoption and Manufacturing of (Hybrid) and Electric Vehicles in India) scheme. The government
will also set up incubation centre for start-ups working in electric vehicles space.
• In February 2019, the Government of India approved the FAME-II scheme with a fund
requirement of Rs 10,000 crore (US$ 1.39 billion) for FY20-22.

Ujjwal Ranjan (MBA19155) 5

 Porter 5 Forces Analysis of the Industry
Threat Of New Entrant : Low
• The investment required is high
•The new entrant must establish a supply chain as well as compete with more than 40 established car brands
•The current slowdown of the economy as well as low liquidity also makes it difficult for new players to enter
The Bargaining Power Of Buyers/Customers: Moderately High
•The consumer base can choose from more that 40 brands so they quickly switch if they do not like the present company
•Customers like OLA Uber and government agencies which give bulk order have huge bargaining power
•Brands focus on building customer by providing better design quality as well as competitive price
Bargaining Power of Suppliers: low-Moderate
•Many a times the suppliers have to play by the rules set by the Brands
•But the suppliers also can switch to different brands and they have a large set of options to choose from.
The Threat Of Substitute Products: Moderate
•India has a huge market for 2 wheelers and 3 wheelers which can act as substitute
•The rise of cab aggregators like OLA UBER as well as other public transport will also threaten the traditional players
Competitive Rivalry in the industry: Very strong
•With over 40 brands to compete with the rivalry is really high
•The customer base can switch very easily so all the companies are trying to keep hold of the customer by offering additional
features and spending more and more on R&D
•Some companies look to capture niche customer base to avoid competition and also get customer loyalty but it is very difficult
to avoid overlap as almost all the big players are making the play for all the segments
Ujjwal Singh (MBA19238) 6
 References
References Used By: Siddhant_Garg (MBA19069)
• Indian Automobile Industry Analysis | (
https://www.ibef.org/archives/industry/automobiles-reports/indian-automobiles-industry-analysis-august-2019)

References Used By: Rajadurai S (MBA19XXX)

• Forbes | Top Automotive Trends In 2019: A Year Of Wows And Woes (Link:
https://www.forbes.com/sites/sarwantsingh/2019/02/11/top-automotive-trends-in-2019-a-year-of-wows-and
-woes/#66e6c3651be8
)
• Makeinindia | Automotive sector (Link: http://www.makeinindia.com/fi/sector/automobiles)
 References
References Used By: Sourav Kumar(MBA19232)
• Hyundai Motors Group | Financial Statements of Hyundai Motors for FY 2018 (Link:
https://www.hyundai.com/content/dam/hyundai/ww/en/images/company/ir/financial-statements/hyundai-
motor-company-fy-2018-consolidated-final.pdf
)
• IHS Markit | Future plans and Business Models ( link :
https://ihsmarkit.com/research-analysis/hyundai-motor-group-outlines-future-powertrain-development-strat
egy.html
)

References Used By: Sahil Sondhi (MBA19066)

• Business Today | Slowdown blues India Passenger vehicles sales drop 31 percent in July (Link:
https://www.businesstoday.in/sectors/auto/slowdown-blues-india-passenger-vehicles-sales-drop-31-per-cent/stor
y/372218.html
)
• Business World | What will drive the Indian Auto Market in 2019 ( Link :
http://www.businessworld.in/article/What-Will-Drive-The-Indian-Auto-Market-In-2019/28-12-2018-165662/ )
• Makeinindia | Automotive sector (Link: http://www.makeinindia.com/fi/sector/automobiles)
• quest-global | Top Five Emerging Trends Transforming the Automotive Industry (Link:
https://www.quest-global.com/top-five-emerging-trends-transforming-automotive-industry/ )
 References
References Used By: Ujjwal Ranjan (MBA19155)
• National Electric Mobility Mission Plan 2020 | The Union Ministry of Road Transport and Highways (Link: https://
economictimes.indiatimes.com/news/economy/indicators/govts-booster-dose-for-automobile-industry-to-lift-affordable-h
ousing/articleshow/70887068.cms
)
• Automobile Industry in India(Link: https://www.ibef.org/industry/india-automobiles.aspx/)

References Used By: Ujjwal Singh (MBA19238)

• Notesmatic| Porter’s five force Analysis(Link:
https://notesmatic.com/automotive-industry-five-forces-analysis/)
Ashok Leyland(Total Revenue Tata Motors (Total
Ford India (Total
$ 4Billion) Revenue- $43.7 billion)
Revenue $ 3.4 Billion)

Toyota (FY18 Total Maruti Suzuki (Total Hyundai (Total

Revenue $253.2 billion) Revenue $ 13 Billion) Revenue- $4.31 billion)

Part-2 || Company
Analysis
Ashok Leyland || Details About The Company
Founded: 1948 Operating Location:
Employees: 11,835 The Ennore 'Mother Plant', Tamilnadu - Est. 1948
Hosur Plant 1, Tamil Nadu - Est. 1980
Vision: To be among global Top 10 in commercial vehicles Bhandara Plant, Maharashtra – Est. 1982
Mission: Through authentic relationships, we are building better, Alwar Plant, Rajasthan – Est. 1982
stronger and more sustainable communities. People, Planet and Hosur Plant 2, Tamil Nadu, Est. 1994
Profit for all stakeholders  CPPS Plant, Tamilnadu, Est. 2001
Ras Al Khaimah Plant, UAE, Est. 2009
Basic Financial Details from P&L Statement: Optare Plant, United Kingdom –Acq. 2010
Total Revenue $ 4Billion Pantnagar Plant, Uttarakhand, Est. 2010
Total Cost $ 3.7 Billion
Profit for year 2018-2019 $ 270 Million Product Line: Trucks, Buses, Defense &
Special Vehicles and Engines
Company’s Operation: Second largest truck manufacturers in Top Products: Sunshine, Titan, Viking,
India is also into the manufacturing of industrial engines, Cheetah, Eagle, Electric Bus, Freedom,
generator sets, marine engines, buses and special vehicles such Hawk, etc.
as defense vehicles and fire engines.
Competitors: Tata Motors, Eicher, Mahindra, Bharat Benz Ashok Leyland meets BS-VI emission norm
s for all its heavy-duty vehicles
Siddhant_Garg (MBA19069) 7
 Ashok Leyland || Recent News & Future
Recent New:
Plans
• Ashok Leyland becomes the first Indian CV maker to get BS-VI certification for its Full Range of Heavy-Duty
Trucks
• Ashok Leyland scouts for strategic ties in EV era
• Ashok Leyland launches the ‘Dost+’ with 2.75 ton GVW to address the upper end of the SCV segment.
• CSR: Ashok Leyland Launches ‘Breakfast Programme’ at Shoolagiri, Hosur
Future Plan:
• As you are aware FY20 is a period for all players to get ready for BS VI launch by April 1, 2020. Unlike global
majors, Indian players are required to leapfrog from BS IV to BS VI in just 3 years. This is a steep challenge
for both OEMs and the ancillary sector.
• Ashok Leyland plans on rolling out our Modular Vehicle Program, that enhances flexibility to meet customer
needs in a cost-efficient way.
• Building on the success of the current Light Commercial Vehicle range, a suite of products in a new platform is
being readied for launch from April 2020.
• Electric Vehicle strategy and roll out plan is in shape. A competent team has been put in place to pursue this
thrust area vigorously.
• This industry, like all others, is likely to see disruptions in the new Digital Age. Company is taking steps to
ensure that it stays ahead of the game, whether it is in our products, technology, or service, always keeping
the central focus on its customers.

Siddhant_Garg (MBA19069) 8
 Ashok Leyland || Business Model & Strategic Focus
Areas
Cost Structure: The biggest cost Revenue Streams: The commercial
associated is the cost of aw material vehicles are the main source of income and
and employees. The pricing of the Value the transport corporation are the major
product is based on the resources and Proposition: The customer of buses.
activities. customer finds a
durable and Channels: The
Key Resources: Key Partners: service centres and
niche vehicle for
Human Capital Hino Motors Customer showrooms are the
commercial
and machinery to Japan purpose and Segments: The point of access
form the vehicles Rosoboronexper public industries are
t And ELCOM the target who Customer
Key Activities: transportation. Relationship:
Manufacturing of Russia works on goods
IIT Madaras transportation. Satisfied with
buses and distinguished
commercial Sun Mobility
Iveco Patnership service.
vehicles

Strategic focus areas: Focus on the three levers of people framework - Culture, Capability and Capacity with
focus towards building a high performing, innovative and caring organization where it is fun to work for the
workforce.
Focus on Research and Development activities with specific reference to emission conformance, fuel efficiency,
vehicular performance and enhancement of safety, aesthetics and ride comfort.

Siddhant_Garg (MBA19069) 9
Ashok Leyland || 4P, SWOT & VRIO Analysis
• Strength: Leader in domestic market, Strong • Product: Buses, Trucks, Commercial vehicles,
product Portfolio, Robust manufacturing Defence, Power solutions
capabilities.
• Place: Present in India, Ghana, Bangladesh,
• Weakness: Heavy dependence on domestic Sri Lanka and joint venture with many.
market, Termination of Joint venture with
• Price: Lower in comparison to Volvo for the
Nissan
similar trucks. Also, in comparison the
• Opportunities: Growing global automotive maintenance cost is lower making it feasible in
industry, Expanding product portfolio, Exports. long run.
• Threats: Intense competition, Environmental • Promotion: Marketing is done by MS
Regulations, Volatility in supply. Dhoni(Brand Ambassador). Values truly reflect
they are son of the soil.
Y Y Y
Value Rarity Imitability Organization

The customers are Ashok Leyland provide cost Ashok Leyland’s Ashok Leyland has
provided with advantage not only at the advantages can be organized management
functional value i.e. time of buying but also for imitated but yet are systems, processes,
more value per unit the maintenance which is costly and Tata Motors structures, and culture to
cost of money by rare in the commercial is an big competitor for capitalize on resources
Ashok Leyland. vehicle segment. the same. and capabilities.
Siddhant_ Garg(MBA19069) 10
 References
References Used By: Siddhant_Garg (MBA19069)
• Ashok Leyalnd Website |(https://www.ashokleyland.com/en/manufacturing-facilities)
• Ashok Leyland annual report |(
https://www.ashokleyland.com/documents/1305159/1556339/Annual+Report+for+the+year+2018-19.pdf/f03bf97d-7478
-5639-bad7-a0b96d678bb6
)
• Ashok Leyland Mission |(https://economictimes.indiatimes.com/ashok-leyland/csrcompendiumlist/56098525.cms)
• Basic information |(https://www.owler.com/company/ashokleyland)
• SWOT |(https://www.marketing91.com/swot-analysis-ashok-leyland/)
• 4P |(https://www.marketing91.com/marketing-mix-ashok-leyland/)
• News |(https://www.equitybulls.com/admin/news2006/news_det.asp?id=256203)
• News |(https://www.autocarpro.in/feature/ashok-leyland-scouts-for-strategic-ties-in-ev-era-43964)
• News |(
https://www.forpressrelease.com/forpressrelease-371057-ashok-leyland-launches-the-dost-with-2-75-ton-gvw-to-address
-the-upper-end-of-the-scv-segment.html
)
• News |(https://www.1888pressrelease.com/ashok-leyland-launches-breakfast-programme-at-shoolagiri-pr-650464.html)
• VRIO Framework |(https://www.clearpointstrategy.com/vrio-framework/)
 Toyota || Details About The Company
Founded In : 28 August 1937 Five Main Principles of Founder Sakichi Toyoda:
Number of Employees : 3,70,870
 Always be faithful to your duties, thereby contributing to the
Company’s Operation : Headquartered at company and to the overall good.
Toyota City, Japan.  Always be studious and creative, striving to stay ahead of the
times.
Product Line : 98 Products in total  Always be practical and avoid frivolousness.
 Always strive to build a homelike atmosphere at work that is
warm and friendly.
 Always have respect for spiritual matters and remember to be
Basic Financial Details from P&L
grateful.
Statement : -
Gross Profit (EBITDA) : $49,184,000
Net Income : $17,011,000 President and Representative Director: Akio
Equity Earnings : $3,253,000 Toyoda

Address: 1-4-18 Koraku, Bunkyo-ku, Tokyo

Toyota to bolster its electric vehicle division by
112-8701, Japan
investing $2 billion to develop electric vehicles
Phone: (03) 3817-7111
(EVs) in Indonesia over the next four years

Toyota Global Vision:

Toyota will lead the future mobility society, enriching lives around the world with the safest and most responsible ways of moving people.
Through our commitment to quality, ceaseless innovation, and respect for the planet, we strive to exceed expectations and be rewarded with a
smile.
We will meet challenging goals by engaging the talent and passion of people who believe there is always a better way.
Rajadurai S (MBA19132) 11
 Toyota || Recent News & Future Plans
Toyota from a car making company into a mobility company. This means that
Toyota will provide all kinds of services related to transportation to people Toyota Motor Corp aims to have half of its global sales from
around the world. electrified vehicles by 2025, five years ahead of schedule, and
said it will tie up with Chinese battery makers to accommodate
an accelerated shift to electric power
Using Connected Technologies to Expand the Freedom, Safety, and Excitement
of a Smart Mobility Society
Toyota Kirloskar Motor has launched the updated Yaris for a
starting price of Rs 8.65 lakh (ex-showroom, India). Loaded
Accelerating Cross-industry Collaboration as a Mobility Service Platform with several fresh features, the new Toyota Yaris comes in
Provider ten colour options (six monotone and four dual tone) and is
now available for bookings at all authorized Toyota
dealerships across the country.
Pilot Testing of AI-based Taxi Dispatch Support System Aiming to Accelerate
Service Development for Taxi Industry Transformation Powering Toyota Yaris is a four-cylinder petrol engine that
makes 107 PS and 140 Nm of peak torque. It is offered with a
6-speed manual transmission and 7-speed CVT
While Japan’s biggest automaker Toyota will acquire a 4.94% (Continuously Variable Transmission). The company claims
stake in Suzuki for about 96 billion yen ($907 million), the latter will mileage figures of 17.1 kmpl for the manual variant and 17.8
buy 48-billion-yen worth of shares in Toyota, the companies said in kmpl for the CVT.
a joint statement on Wednesday. The equity cross-holdings are
aimed at expanding their collaboration that began more than two
years ago and will help the companies pool their resources to
adapt to a world where on-demand rides, electric vehicles and Toyota expects prices of its diesel models to go up by 20 pc
autonomous cars are changing the industry landscape in ways that after BSVI upgrade
few could have anticipated even a couple of years ago.

Rajadurai S (MBA19132) 12
Toyota || Business Model & Strategic Focus Areas
Business Model: Strategic focus areas:

 Toyota believes that efficiency alone cannot guarantee  According to Toyota, they have undertaken a manufacturing revolution
success. No company practices Taylorism better than Toyota that has fundamentally changed established practices; all the way
does. What’s different is that the company views employees back to the product development and design. They have done this by
not just as pairs of hands but as knowledge workers who integrating four areas: design, production engineering, procurement,
accumulate the wisdom of experience standing on the and component supply. They have achieved higher quality at lower
company’s front lines. Toyota therefore invests heavily in costs by creating standardized, multipurpose components.
people and organizational capabilities, and it garners ideas
from everyone and everywhere: the shop floor, the office, the  Another factor of their Integrated Low-Cost strategy is that Toyota
field. steadily feeds cost improvements back into the product to raise their
value along with the fact that four Toyota’s seven corporate auditors
 Toyota has determined that their business model is an are outside corporate auditors.
Integrated Low Cost – Differentiated Strategy. It involves
finding the lowest operational cost along with a unique niche  Toyota’s Integrated Differentiated Strategy is unique to the automotive
or strategy that separates them from the competition. industry. Its focus, according to the president of Toyota, is that Toyota
Toyota’s new statement “Moving Forward”, reflects their is not trying to rival other automakers; Toyota is trying to conquer
plans and expectations for the future. customers with great products and service to obtain high customer
satisfaction.
 “Variety is the only constant” such is the saying of Heraclitus.
What was true a century back holds true even today. A  Toyota’s main intensive growth strategy is market penetration. Toyota
gradual change is the undercurrent of time. Change is in the ensures that it offers products for every market segment. For
air and retail business cannot lag. Owing to this Toyota has example, the company has sedans, trucks, SUVs, luxury vehicles,
been constantly maintaining quality at its epitome. As fore and other product lines for every type of customer. This intensive
runners in Implementing concepts like Six Sigma, Lean and growth strategy supports the cost leadership component of Toyota’s
Kaizen Toyota’s pinnacle of business is Its focused quality generic strategy.
product.
Rajadurai S (MBA19132) 13
 Toyota || 4P, SWOT & VRIO Analysis
VRIO Analysis : SWOT Analysis :

• Fuel efficient vehicles Strengths:

V-Valuable • Cost leaders products Economies of scale Weakness:
Economies of Scope Lack of penetration
into emerging markets
Lean Manufacturing
• Unique usage of JIT to reduce opportunity cost of principle with a very Higher Recalls
waiting short Lead time
R-Rare • Epitome of Quality process especially Six sigma,
Kaizen Cost leaders

• Complex engineering process have proven almost Opportunity:

I-Imitable impossible for competitors to copy the product Threat:
nor the process Investing in green
New entries
vehicles
Highly Volatile
A very clear roadmap
Government norms
• High Sustainability, operating for 82 years in total to future
and 75+ years on global scale Impact of Natural
O-Organisation Positive growth in
• High maturity quality process has made Toyota disasters
Quality leaders in automobiles sector
Hybrid vehicles

Rajadurai S (MBA19132) 14
 References
References Used By: Rajadurai S (MBA19132)

• The live mint | Toyota, Suzuki forge deeper ties by buying stakes in each other (Link:
https://www.livemint.com/auto-news/toyota-and-suzuki-announce-capital-alliance-1566982470668.html)
• Toyota Corporate website | Vision & Philosophy (Link: https://global.toyota/en/ )
• The live mint | Toyota, Suzuki forge deeper ties by buying stakes in each other (Link:
https://www.vccircle.com/toyota-affiliate-paying-premium-to-buy-stake-in-vardhman-special-steels/ )
• vccircle | Toyota affiliate paying premium to buy stake in Vardhman Special Steels (Link:
https://www.vccircle.com/toyota-affiliate-paying-premium-to-buy-stake-in-vardhman-special-steels/ )
• study-aids | Marketing Management SWOT Analysis Toyota (Link:
http://study-aids.co.uk/dissertation-blog/swot-analysis-toyota/ )
• business-to-you| VRIO: From Firm Resources to Competitive Advantage (Link:
https://www.business-to-you.com/vrio-from-firm-resources-to-competitive-advantage/ )
• Slideshare| Strategic Management Case Study - Toyota (Link:
https://www.slideshare.net/IoannisMikedisMBA/strategic-management-case-study-toyota-the-accelerator-cri
sis-final
)
 Hyundai Motors || Details About The
Company
Date of Establishment : December 29, 1967
Date of Listing: June 28, 1974
Corporate Vision: Hyundai Motor’s corporate vision is
to be the lifetime automobile partner of its millions of
customers around the globe
Number of Employees: 78,000
Competitors: Ford Motors, Toyota, Volkswagen,
CEO: Mong Koo Chung / Euisun Chung / Won Hee Lee / Eon Tae Ha Suzuki Motors, General motors
Vision: Together for a better future
Tagline: “New Thinking, New Possibilities.”
Divisions: Genesis , Kia
Company’s Operation: It operates in United States Of America,
Canada, Mexico, Panama and Dominican Republic, Brazil, China,
India, japan, Philippines, Turkey, Germany, Czech Republic, Russia,
South Africa, Libya, Egypt, Australia, New Zealand
Product Line: Cars, SUVs, Eco, Commercial, Trucks & Buses

Annual Global Sales: 4857

Total Revenue: $ 224.10 Billion
Total Profit for the year: $ 1379.01

Sourav Kumar (MBA19232) 15

Hyundai Motors || Recent News & Future Plans
RECENT NEWS FUTURE PLANS

• Hyundai Motor developing mass market • Hyundai Motors planning to

electric car for India introduce electric vehicles (HEV)
and fuel cell electric vehicles
• Hyundai global sales down 6.2% at (FCEV)
363,045 units in August • Hyundai Motors is planning to
invest $1Billion in India by 2020
• Hyundai Motor Q1 net profit slumps 48% • Production Target of 10million
units by 2021
• Hyundai rolls out 5-millionth car with the
next-gen Verna in domestic market

Sourav Kumar (MBA19232) 16

Hyundai Motors || Business Model & Strategic
Focus Areas
Business Model Strategic Focus Area
• Company is looking to target Electric
Vehicle Segments in India.

• Company is focusing more & more

investment in India. So that they can
expand their business.

• Company is also targeting premium car

segments.

Marketing Strategy Pricing Strategy

ENCIRCLEMENT ATTACK PERCEIVED VALUE
POSITION DEFENCE PRICING
PRODUCT POSITIONING WARRANTIES
P.O.D. ( POINT OF
DIFFERENTIATION )

Sourav Kumar (MBA19232) 17

Hyundai Motors || 4P, SWOT & VRIO Analysis
SWOT Analysis 4P Analysis
Product: Sedans, sports car and hatchbacks
Strength: Opportunities: like Aslan, Accent, Genesis, Eon, Elantra, i20, I10,
• Strong brand • Digitization and eco friendly Marcia, Santa Fe, Xcent and Hyundai Sonata
• Low sales in Japan innovation  Place: United States Of America, Canada,
• Limited car designs • Growing demand in Asia Mexico, Panama and Dominican Republic, Brazil,
• Growing brand markets China, India, japan, Philippines, Turkey, Germany,
• Largest manufacturing • AI and automated driving Czech Republic, Russia, South Africa, Libya, Egypt,
facilities Australia, New Zealand
• Serving worldwide Price: Tapped emerging markets with
• Strong Revenues Threats: Competitive pricing and premium pricing with
• Strong profits • Huge Competition luxury cars
• Research and development • Legal Regulations Promotion: Hyundai recognises the
• Currency Fluctuation potential of promotional activities and hence has
Weakness: • Economic Slowdown always gone for different and varied marketing
• Product recalls strategies to create positive brand awareness.
• · Shortage of spare parts Company has been associated with different
• · Weak sales in Korea sports to create its brand visibility. 
• · Production losses

Sourav Kumar (MBA19232) 18

 References
References Used By: Sourav Kumar(MBA19232)
• Hyundai Motors Group | Financial Statements of Hyundai Motors for FY 2018 (Link:
https://www.hyundai.com/content/dam/hyundai/ww/en/images/company/ir/financial-statements/hyundai-
motor-company-fy-2018-consolidated-final.pdf
)
• IHS Markit | Future plans and Business Models ( link :
https://ihsmarkit.com/research-analysis/hyundai-motor-group-outlines-future-powertrain-development-strat
egy.html
)
 Ford Motor India || Details About The
Company
Company Details: Vision Statement: Other Product Lines:
• Established : 1995 “To become the world’s most trusted • Includes Ford Credit
• Parent : Ford Motor Company company, designing smart vehicles for a India, which started
• Tagline: “Feels like family, for a change” smart world.” wholesale dealer
• Ford India currently has an employee size of Mission Statement: inventory and retail
14000 “To make people’s lives better by making financing in 2015 as a
• It has its manufacturing facilities in Chennai, mobility accessible and affordable” non-banking financial
Tamil Nadu and Gujarat company. Operations
• The company, ever since its inception, has Major Competitors : currently span over a
invested more than $2 billion and is committed • Mahindra 100 countries
to building a sustainable and profitable business • Tata Motors
in the Indian market CSR Initiatives :
• Maruti Suzuki
• Ford exports Figo, Aspire and EcoSport to over • Ford’s CSR Initiatives are
• Hyundai Motors
70 markets around the world. a reflection of its ‘Go
• Honda Motor Company
• It has an annual manufacturing capacity of Further’ journey in India
610,000 engines and 440,000 vehicles • It has been involved
Top Products:
• Recently registered a profit for the first time with projects like
Its top products include
since 1995, with business growing from $2.8 “Operation Better
• Ford Figo
billion in 2016-17 to $3.4 billion in 2017-18 Word”, launched its
• Ford EcoSport
• Currently, it is the sixth largest car maker in flagship “Happy School”
• Ford Ikon
India program
• Ford Fiesta
Sahil Sondhi (MBA19066) 19
 Ford Motor India || Recent News & Future
Recent News :
Plans
• Amidst the slowdown in the automotive sector in India, Ford India has registered a Year-on-Year Decline of 31.4% in August
2019. Comparing it to competitor Maruti Suzuki, which saw a 36% dip in sales during the same time period. Vehicle sales
across categories registered a decline of 18.71% in this time frame
• It has sold a total of 5517 units as compared to 8042 models that were sold in the same month last year
• Recently, Ford recalled 22,690 units if its previous-generation Endeavour SUV which were manufactured at its Chennai
plant, between February 2004 and September 2014, to inspect front airbag inflators and inspection of the Battery
Monitoring System wiring harnesses installation
• Vinay Raina, Ford India Executive Director, Marketing Sales and Service recently said that Ford India will continue to offer
the power of choice to consumers and will not stop diesel models. Ford will also be fully ready with its range of BS-VI
compliant diesel powertrains ahead of April 2020 implementation
• Mahindra Group and Ford Motor Company had announced another step in their strategic alliance by introducing a SUV in
the Indian market.
Future Plans :
• Now, Ford Motor Company is nearing a deal with Mahindra & Mahindra to form a new joint-venture company in India,
thereafter Ford would cease independent operations in India
• Ford Motor Company is likely to make an additional investment of $1 billion in the Indian operations over five to seven
years as it restructures or exits key businesses around the world.
• At least $500 million will go toward two SUVs that will be developed by Ford’s India center. An additional $400-500 million
will likely be in Project Black, in partnership with Mahindra & Mahindra 
Sahil Sondhi (MBA19066) 20
 Ford Motor India || Business Model & Strategic
BUSINESS MODEL :
Focus Areas
STRATEGIC FOCUS AREAS :
• Key Activities : Under an initiative called Emerging Market
Operating Model, Ford is developing more vehicles locally and
moved away from its “One Ford” plan. Product • Providing product as per the local market
• Key Partner :Ford is also deepening its ties with M&M to build differentiatio
in countries with tough competition, like
India
passenger vehicles in India and could involve sales in other n • Provides cars with higher ground clearance
emerging markets.
• Key Activities : Manufacturing of commercial vehicles and
providing financial services
• Product Appeal : To improve product appeal and maintain • Provides variants of the same car at
product differentiation, Ford introduced new products in Varied different prices to target wide customer
various segments as well as variants for new products: Customer segment
• Launched Ford Endeavour to cater to the
• Ford launched ‘Flair’ at a price aiming to attract B plus segments SUV market
segment of car customers
• They offer a service called “Ford Assured”, a venture in
which Ford India dealers buy, recondition and sell various
• Ford has adapted friendly manufacturing
models of used cars Environment practices and is going further to make its
• Target Audience: Generally, Ford India looks to aim at the business greener from the inside out
friendly • Globally, Ford claims to have reduced the
upper middle class segment and the SUV market through its
products energy used in its manufacturing process
dealerships all over the country, which are 384 in total. by 25 percent between 2010 and 2015.

Sahil Sondhi (MBA19066) 21

 Ford Motor India || 4P, SWOT & VRIO Analysis
4P Analysis: SWOT Analysis : VRIO Analysis:
• Product: Ford India provides a wide variety • Strength :
of cars in the market, which are generally •Ford India was one of the earliest entrants in Resources Valuable Rare Imitable Organisa
targeted towards small families, businessmen. the Indian market. tion
They provide customized products in markets • It provides a wide range of cars to different
Engine Yes. Has Yes. It Yes. It Yes. All
where they face tough competition. Apart from set of customers a state- is a can be cars are
cars, they also provide a financial service in the • Weakness : of-art state- benchma aligned
form of Ford Credit • Cannot cater to the lower segment of the 1.5l Ti- of-art rked by to this
VCT resourc others in engine
• Price: The company employees two different market due to pricing strategy e future
types of pricing strategies. In the first one, they • Intense competition in the market means
price their product as per the requirement of that it gets left out for brands that provide
Servicing Yes. They No. It Yes, but No. The
the market, For ex : Ford Figo is priced at “ ”. more for the same cost deliver is done might be organisati
Also, they have a premium pricing strategy. For • Opportunities : within 90 by a bit on is not
ex : Ford Endeavour is priced at “ ” • Growth through product development mins many difficult oriented
• • others as per
Promotion: Ford India is involved in multiple Improve its financial standings compared to
this
promotion methods, involving : competitors by expanding its supply chain to
• Advertisement ( TV, newspaper, online) achieve better economies of scale
• Direct Selling ( To corporate clients) • With the demand for alternative fuels Renown Yes. It is Yes. No. Yes. It is
brand one of Long- Brand centred
• Sales Promotion( Special offers, expected to reach 7.5 million units by 2020, image the term image is towards
discounts) this could be a possible venture for Ford oldest Brand unique the
• Personal Selling ( Showrooms) • Threat : brands in relevan to organisati
the ce is organisa on
• Place : Ford uses typical places or venues • With in increase in demand for cab based
country rare tion
used for its strategy of product distribution. services, people are not much in favor of
This includes product distribution at the personal cars in general
dealership, auto part store ( authorized • The global economy is facing a slowdown,
dealerships and third party stores) and websites which reduces the demand for Ford cars
Sahil Sondhi (MBA19066) 22
 References
References Used By: Sahil Sondhi (MBA19066)
• The Economic Times | Ford likely to end independent India business with new Mahindra deal (Link
https://auto.economictimes.indiatimes.com/news/passenger-vehicle/uv/ford-likely-to-end-independent-india
-business-with-new-mahindra-deal-sources/68799774
)
• Live Mint | Ford goes local in India aims for bigger slice of competition ( Link :
https://www.livemint.com/Companies/K4bjxSxCgibpK8pjtYkv3I/Ford-goes-local-in-India-aims-for-bigger-slice-
of-competiti.html
)
• Live Mint | Ford posts a profit in India 20 years after driving in ( Link :
https://www.livemint.com/Auto/OZIyEUKiu91VH2APzOspjK/Ford-posts-a-profit-in-India-20-years-after-driving
-in.html
)
• IBEF | Ford India Pvt. Ltd. ( Link : https://www.ibef.org/download/FordIndia.pdf )
• The Economic Times | Ford identifies sustainability blues to benefit both company and environment ( Link :
https://auto.economictimes.indiatimes.com/news/passenger-vehicle/cars/ford-india-identifies-sustainability-
blues-to-benefit-both-company-and-environment/59014376
)
• Ford India website | Ford Community CSR activities ( Link :
https://www.india.ford.com/about-ford/community/csr/ )
Maruti Suzuki || Details About The Company
Founded In: Incorporated as Maruti Udyog Limited in 1981 by the Government of India,
with the efforts of V. Krishnamurthy, only to merge with Japanese automobile company
Suzuki in October 1982.
Number of Employees: Maruti Suzuki currently has 40000 employees
Vision & Mission
• The leader in the Indian automobile industry
• Creating customer delight and shareholders’ wealth
• A pride of India
Operating Location
• Registered Office –New Delhi
• Three Manufacturing Plants – Gurgaon, Manesar, and Gujarat R.C. Bhargava, Chairman
Basic Financial Details from P&L Statement
Balance sheet at 31st March 2019 shows the company’s Total assets at INR 629,318 million
and Total Equity stands at INR 461,415 million.
Revenue from Operations for the year ended March 31, 2019 is INR 860,203 million.
Profit for the period 2018-19 is INR 75,006 million
Company’s Operation : The Company is engaged in the business of manufacturing and
sale of passenger vehicles in India.
Product Line: Its product line consist of Baleno, Ciaz, S-Cross, Ignis, Dzire, Vitara Brezza,
Ertiga, Swift, Wagnor, Alto 800, Alto K10, Celerio, Eeco, Gypsy, and Super Carry. Kenichi Ayukawa,
Managing Director & CEO
Ujjwal Ranjan (MBA19155) 23
Maruti Suzuki || Recent News & Future Plans
• On 25 April 2019, Maruti Suzuki announced that it would phase out production of diesel cars by 1 April 2020,
when the Bharat Stage VI emission standards come into effect. The new standards would require a significant
investment from the company to upgrade its existing diesel engines to comply with the more stringent
emission standards. Chairman R.C. Bhargava stated, "We have taken this decision so that in 2022 we
are able to meet the Corporate Average Fuel Efficiency norms and higher share of CNG vehicles will
help us comply with the norms. I hope the union government's policies will help grow the market for
CNG vehicles." Diesel cars accounted for about 23% of Maruti Suzuki's annual sales.
• Maruti Suzuki India Limited on 20 August, 2019 announced that it has received enthusiastic response, from
its customers, for the BS6 range of vehicles. The BS6 models offered by the Company currently constitute
around 70% of the total petrol vehicles sold.
• Maruti domestic dealer sales in august declined significantly by 35.9% year-on-year to 94,728 units.
• Maruti Suzuki India Ltd Chairman RC Bhargava said on 26 August,2019 the company had not renewed the
contracts of 3,000 temporary employees, as the automaker battled rising inventory amid a slowdown in
demand.
• Maruti Suzuki India Limited on 21 January, 2019 launched a program - Mobility & Automobile Innovation
Lab (MAIL) to promote innovation in India for automobile and mobility space.
• India’s largest car maker Maruti Suzuki is hopeful of bouncing back to its "usual rate of growth" in 2021,
though the environment remained challenging amid transition to new regulations during the current financial
year.

Ujjwal Ranjan (MBA19155) 24

 Maruti Suzuki || Business Model & Strategic
Business Model Focus Areas
Focus Areas
• Product:
1. Offering relevant product and technologies that
• Extending product portfolio by bringing in aspirational,
India needs by leveraging the unique ability of
environment-friendly and safer products with support
Suzuki Motor Corporation to design feature rich,
from Suzuki Motor Corporation
environment friendly products with world class
• Research and Development:
quality at an affordable price
• Capability enhancement for designing, developing and
2. Giving attention to details to scale localization,
testing of new models
value engineering through cost optimization
• Managing regulatory compliances with support from
3. Optimum resource utilization to increase the ability
Suzuki Motor Corporation
to offer aspirational products at an affordable price
• Marketing, Sales and Service:
4. Attracting more customers which leads to high
• Enhancing the focus on digital marketing and target
sales and volumes
marketing techniques
5. Better dealer viability for sales leads to sales and
• Use of data analytics for effective and efficient decision
service network expansion and use of multi
making
channel strategy
• Manufacturing
6. The operational excellence results in enhanced
• Pursuing Industry 4.0 to continuously improve the build
reach and customer experience
quality of products
7. Lifetime customers when all contribute to provide
• Promoting the 3R principle in manufacturing and
best ownership experience and higher lifetime
industrial waste management techniques
value
Ujjwal Ranjan (MBA19155) 25
 Maruti Suzuki || 4P & SWOT Analysis
SWOT ANALYSIS 4P ANALYSIS
Strengths: Product
• Largest passenger car company in India • Key features - products are made keeping the
• Strong brand value and strong presence common man in mind.
• Strong marketing through Nexa and high customer • Products are durable, quality after sales service and
satisfaction with all basic features.
 Weakness Place
• Inability to penetrate into the international market • Largest distribution & Service - 400 sales showrooms,
• Excessive dependence on Suzuki 600 dealer workshops, and 1900 Authorized Service
• Less market command over premium and SUV Stations
segment • For Rural India reach they opened extension counters.
• Lack of quality features and facilities in the car to Promotion
compete with foreign brands • Emphasizes on road safety and environment friendly
 Opportunities products.
• Developing hybrid cars and fuel efficient cars for the • Currently Varun Dhawan (Bollywood Actor) is the
future can be an opportunity for Maruti Suzuki brand ambassador of Maruti Suzuki.
 Threats Price
• The cost of raw materials are very high and the fuel • Prices has been set to target the lower middle class
costs are fluctuating. and middle class families
• Slowdown of economy • Penetration pricing
• Increasing competition from the foreign brands
Ujjwal Ranjan (MBA19155) 26
Maruti Suzuki || VRIO Analysis
Valuable

• Manufacturing Facility (Japanese Technology)

• Very strong distribution network

Rare

• National wide network of dealers

• Best customer service facility ( 30 Express service stations on 30
National Highways across India

Imitable

• Master in assembly line production

• Wide length and depth product range in low cost segment

Organistional Support

• Innovation, dedication, responsibility and ownership by the employees

Ujjwal Ranjan (MBA19155) 26

 References
References Used By: Ujjwal Ranjan (MBA19155)
• Company and business model and focus area | Integrated Report 2018-19 (Link:
https://www.marutisuzuki.com/corporate/investors/company-reports )
• Maruti Suzuki launches its Innovation Program(Link:
https://www.marutisuzuki.com/corporate/media/press-releases/2019/maruti-suzuki-launches-its-innovation-
program
)
• Maruti Suzuki goes greener with environment friendly BS6 compliant vehicles(Link:
https://www.marutisuzuki.com/corporate/media/press-releases/2019/maruti-suzuki-goes-greener-with-envir
onment-friendly-bs6-compliant-vehicles
)
• Auto industry is near bottom of downward cycle: Maruti Suzuki Chairman Bhargava(Link:
https://www.thehindu.com/business/Industry/auto-industry-is-near-bottom-of-downward-cycle-maruti-suzuk
i-chairman-bhargava/article29267803.ece
)
• Marketing mix of Maruti Suzuki(Link: https://www.marketing91.com/marketing-mix-of-maruti-suzuki/)
• PRODUCT STRATEGY OF MARUTI SUZUKI (Link:
https://www.academia.edu/6459104/PRODUCT_STRATEGY_OF_MARUTI_SUZUKI_7 )
• Maruti Suzuki SWOT Analysis, Competitors & USP (Link:
 TATA MOTORS|| Details About The
Founded In:1945 Company Product Line: Hatchback, Sedan, SUV
Number of Employees:82797
MD & CEO- Guenter Butschek (Zest,Harrier,Tigor)
Vision: By FY 2024, we will become the most inspirational Indian auto brand, Trucks and buses :Magic Prima Light truck
consistently winning, by delivering superior financial returns driving sustainable Defense 150,000 vehicles supplied to army
mobility solutions exceeding customer expectations, and creating a highly engaged 6x6 trucks largest land system order
work force
Mission: We innovate mobility solutions with passion to enhance the quality of life Basic Financial Details from P&L
Operating Location: Tata Motors has vehicle assembly operations in India, Great Statement (2018-19)
Britain, South Korea, Thailand, Spain, and South Africa. It plans to establish plants Total Income- Rs 71,757 cr
in Turkey, Indonesia, and Eastern Europe. Tata Motors is present in over 175 Total Expense- Rs 69,155cr
countries, with a worldwide network comprising over 6,600 touch points PBT- Rs 2398.93 cr
Company’s Operation: First Indian automobile company to be listed on NSE. Is EPS(Ordinary Share)- Rs 5.94
listed on BSE as well. Acquired Daewoo Commercial Vehicle Company of South EPS( A-Ordinary Share)- Rs 6.04
Korea. Tata motors had high domestic exposure in LCV(Light commercial vehicles)
so wanted to reduce its dependence on local market. Commercial lines in many Competitors : • Mahindra
markets such as Europe, Africa, The Middle East, Australia, Southeast Asia, and • Maruti Suzuki
South Asia. Increased their market share by series of acquisition e.g. Daewoo in • Hyundai Motors
South Korea. Joint ventures with companies such as Thonburi Automotive. Jaguar • Honda Motor
and land rover from ford. Company

Ujjwal Singh (MBA19238) 27

 TATA MOTORS|| Recent News & Future
Plans
Recent News Future Plans
•In a recent interview to Economic Times Tata Motors MD and CEO
• Tata plans to completely overhaul its passenger
Guenter Butschek told that maybe “Indian auto industry growth
vehicle portfolio by 2023-24. The new products
story is about to collapse” but he also mentioned that they were
would be based OMEGA (Optimal Modular
cautiously optimistic about the measures taken by the Indian
Efficient Global Advanced) and ALFA (Agile Light
government as the measures are right but they have not hit the
Advanced Architecture)
market yet
•They plan to be more aggressive in the SUV
• In August the sales of domestic passenger vehicle dipped by 58%.
segment as well . The company believes there is
The sales was only 7,316 as compared to 17,351 same month last
going to be a shift from the subcompact to
year. Similar decline was reported in commercial vehicle segment
compact and from the compact to big
with a dip of 45%. The company said that the current slump is due to
sized vehicles
slowdown in the economy as well as low liquidity in the market
•Tata Motors will add two new models Altroz EV
• Due to the implementation of BS-VI norms the expected costs is
and H2X to complement Tiago and Tigor EV and
going to go up .Tata Motors has urged its suppliers to pay attention to
further consolidate its position in the E-vehicle
quality and target zero defects.
market.
•After the announcement by  Union Road Transport and Highway
•Tata Motors will launch 7 to 8 new models by
Minister Nitin Gadkari that he would recommend the finance
2020 in different segments to cover almost 90%
ministry to reduce GST on internal combustion engine(ICE) the shares
of the Indian market
of TATA motors surged.
•Tata motors plans to add 17 more dealerships to
•Tata Motors grabs 60% of the electric Bus Contract from Ministry of
provide better after buy experience .
heavy industries. Ujjwal Singh (MBA19238) 28
Tata Motors|| Business Model & Strategic Focus
Areas
Business Model

Financial Capital Manufactured Capital R&D Investment

The funds are raised through Includes production facilities as well as Rs. 2,398 Cr. Invested in
a mix of debt and equity and equipments for designing prototyping TML. 3 R&D centre for
debt is optimized based on and manufacturing of equipments. TML
market conditions. Currently it has 9 JLR Manufacturing 2,016 million pound
unit and 6 TML units and total invested in JLR. 2 R&D
Human Capital consumption of raw materials stood at centers for JLR
Total Employees- 82797 1,73,371 Cr.
Total Salary- Rs.30,300Cr

Business Value Chain Growth Drivers Strategic Focus Area

Design New Products, Get new •Strong Industry Know how •Mitigating Cyclicality
Business, Efficient Manufacturing, •State of the Art manufacturing • Customer Focus
Deliver High Quality, Sustainable •Consistent Innovation •Expanding International Business
Growth. •Robust Risk Management •Focus On new Product Development
•Organizational Efficiency and Cost Management

Ujjwal Singh (MBA19238) 29

 Tata Motors|| 4P, SWOT & VRIO Analysis
4P ANALYSIS SWOT ANALYSIS
Product Strengths
•Involved in production of Hatchbacks Sedans and SUVs trucks •Established Brand Value
buses as well as defense equipments. •Diversified Product Portfolio
•Jaguar and Land Rover also come under Tata Motors. •Highly Sophisticated R&D Department
•The products of Tata are viewed as reliable and efficient •Qualified Workforce. Human Capital of almost 80,000
•Tiago is a product in the E-Vehicle Segment Weakness
Price • Limited International Presence as compared to other
•Diverse Portfolio of Tata motors ensures that their pricing strategy international manufacturers.
is also diverse Opportunities
•With Nano which was labeled as the cheapest car the penetration- •The growing E-Vehicle market is a great opportunity
pricing strategy was followed. This helped Tata motors gain media •.Portfolio expansion and addition of Alfa and Omega
attention as well as improve sales model
•With Jaguar and Land Rover Tata targets a Niche customers Threats
providing high quality features. •Increasing fuel costs
Place •Slowdown in economy as well as decreasing liquidity in
•Third largest service and sales network in India market
•Has Regional Offices in West Bengal, Delhi Maharashtra and • Competition from other players
Karnataka
Promotion
•Tata has a trusted brand and uses it for promotion
•Uses Celebrities like Lionel Messi for promotion Ujjwal Singh (MBA19238) 30
 Tata Motors|| 4P, SWOT & VRIO Analysis
Resources Valuable Rare Imitable Organisation

R&D Department Yes. Has greatly improved Yes. It is a state-of-art Some big companies like Yes. The Organization is able
the product quality resource Ford Toyota also have good to capitalize on this resource
R&D

Diverse Portfolio Yes. The portfolio can cover Few companies like Needs time and capital to Yes. The Organization is able
almost all customer base Maruti also have this acquire this so very difficult to capitalize on this resource
resource to imitate

Renowned brand image Yes. It is one of the oldest Yes. Long-term Brand No. Brand image is unique Yes. It is centred towards the
brands in the country relevance is rare to organisation organisation
 References
References Used By: Ujjwal Singh (MBA19238)
• Tata Motors Website | Tata Motors Annual Report(Link
https://www.tatamotors.com/investors/annual-reports/)
• Economic Times | Interview Of Tata CEO(Link
https://economictimes.indiatimes.com/markets/expert-view/hoping-for-auto-revival-starting-october-guenter
-butschek-tata-motors/articleshow/71008505.cms
)
• Money Control| Tata Motors Sales Figures(Link
https://www.moneycontrol.com/news/business/markets/tata-motors-domestic-passenger-vehicle-sales-dip-5
8-in-august-4395181.html?classic=true
• Times Of India | Future Plans Of Tata Motors(Link
https://timesofindia.indiatimes.com/auto/cars/tata-motors-plans-to-complete-new-product-portfolio-by-2023
-24-ceo/articleshow/63198388.cms
)
• The Economic Times| Tata Motors Plan For E-Vehicles(Link
https://economictimes.indiatimes.com/industry/auto/cars-uvs/tata-motors-plans-to-drive-in-more-electric-ca
rs-soon/articleshow/68898204.cms
)
• Car & Bike | Tata Motors Plans for 2020(Link