Scorpio

SCORPIO Analysis

                                                                               

Executive Summary:

                  This case study deals with the brand re-positioning of Scorpio. This case gives the fact that there is a decision making process involved in it. To explain it clearly, we can say that a decision needs to be taken at a context where it has to confront losing the market share as well as enter a lucrative SUV market which is growing at a healthy rate. One of most important point which this case reveals is that at a certain point of time, there was confusion about the distinction between that of Car and Jeep and therefore it is imperative that the company positions itself so that it can make maximum benefit.

Situation Analyses:

                  Mahindra & Mahindra, once a dominant player in the area of utility vehicles was rapidly losing market share. It had a good presence in the rural markets but minimal in the urban markets. M&M is losing market share to financially strong Indian as well as global brands and plans to realign their product and brand portfolio. Although the company’s products have primarily had an image of being rural with jeep looks and were not perceived as modern or technically advanced yet they are considered economical, rugged easy to maintain and dependable. The competition it faced was from Tata Sumo and Safari on one hand and Toyota Qualis on the other. Mahindra had Bolero as an offering in this segment. The flagship company has two operating divisions: the automotive sector and the farm equipment sector that also manufactures tractors. M&M also manufactures three wheelers and utility vehicles and also caters to the police and the army.   The four wheeler market in 2003 is 0.73 million. The SUV segment was evolving in India and the company decided to focus on the utility vehicle segment in India. They planned to manufacture 45,000 vehicles a year. A positioning strategy different from the... [continues]

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