Mahindra Case Study

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MAHINDRA & MAHINDRA

CASE STUDY

➢ WHAT ARE THE ADVANTAGES AND DISADVANTAGES OF GLOBAL SOURCING?

ANS –Advantage of global sourcing

• Facilitate in adoption of new advance technology of other countries • Helps in reducing the cost of production
• Helpful in importing and utilizing various components of the product produce by a country • Helpful in expanding the market for the product which attract more and more new customer • It helps in reducing the goods of better and competitive quality

• DISADVANTAGES OF GLOBAL SOURCING

• It lead to increase in cutthroat competition in the market because other companies also attracted towards the other countries for getting the component of its product. So that they can produce goods of better quality

• It leads to decrease in the profit margin due to increase in competition

HOW WILL THE FORIGEN MARKET EXPANSION HELPS M&M?

ANS –It leads to utilization of advance technology of foreign country

• Helpful in creating more and more new customers for its product • It leads to cover its domestic loses and there by attaining its required profit • Its leads to improve the reputation in the domestic market • As on the account of the absence of aesthetic appeal that tong yang tractors have ,M&M current tractors needs to adopt such feature in order to compete in the international market

HOW DOES THE STRATEGIC ALIANCE WITH TONG YANG BENEFIT M&M?

ANS –
• It helps in producing high horse power(mostly 25-40 hp range)earlier it is 28 to 30 hp • It helps in maintaining and increasing the goodwill of M&M company in the international market

• One of the important benefit is that it helps the M&M company in aesthetic appeal that tong yang tractors have and...
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