Preview

Maruti 800 - the Legacy Brand

Good Essays
Open Document
Open Document
493 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Maruti 800 - the Legacy Brand
MARUTI 800 - The legacy Brand

MARUTI 800
Born: 1983

History: Launched as a joint venture between the Indian government and leading Japanese automobile company Suzuki Motor Co. The government eventually sold its stake to Suzuki.

Now, the flagship brand is Maruti Suzuki India Ltd Status: Maruti 800 has a 4.5% share in India’s 1.5 million passenger car market and is no longer the car that sells the most in India. However, it was responsible for making its company India’s largest car maker Brand story: Much before Ratan Tata unveiled the Nano in January this year, India had its own unique people’s car—the Maruti 800. Introduced in 1983, it still zips across Indian roads, making it one of the longest surviving automobile brands here.
Maruti 800 captured the imagination of a nation that had gotten used to expensive, fuel guzzling vehicles of World War II vintage. A small car that was within the reach of middleclass households, the Maruti 800, or “car” as it is still known within the company, introduced a whole generation of customers to four-wheelers. Within a couple of years of its launch, it became India’s largest selling car, a position it held for almost a decade-and-a-half before being overtaken by Alto, a larger, more spacious small car from the same company. Till date, around 2.5 million units of the car have been sold in India and 180,000 units exported.

For any brand to survive so long, “expectation and product promise should match”, says Mayank Pareek, executive officer, marketing and sales, Maruti Suzuki. “This car came as a breath of fresh air and almost immediately be came the first choice of its target consumers. It has evolved from an aspirational product to a common man’s car,” he adds. While Maruti Suzuki India Ltd has tweaked the positioning several times, the underlying theme remains unchanged—an affordable, fuel-efficient vehicle, easy to run and maintain.

It was, and remains, a car for the first-time buyer though rising disposable

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Position Paper

    • 401 Words
    • 2 Pages

    Indian car market was a monopolistic market ruled by Hindustan Motors and Premier Automobiles in 1980’s. Studying this market , Maruti Udyog Ltd came up with Maruti 800 which was the first ever fuel efficient car in India which had international technology. This car became a huge success as it had all the advantages being the first mover in an untapped market. It captured around 75% of the market share and ruled the market for almost 15 years. But gradually this blue ocean market became Red Ocean as many other…

    • 401 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Tata Motors, the General Electric of India is a conglomerate with a commanding presence in a vast industries across India and globally. In January 2008, Tata introduced to the Indian public it’s ultra cheap car “Nano”. The expected retail price for the Nano was expected to be as little as USD2,500 and would cater for the fast growing middle class segment of the Indian population. Tata Motors was set to change the face of the automobile industry in India. This was however met with some challenges, given the economic environment of India and thereby causing a delay of the launch by six months. The introduction of the “People’s car” created a new category/ trend of ultra cheap cars which then led to other auto makers following in hot pursuit to roll out their own brand of vehicles in this category.…

    • 1884 Words
    • 8 Pages
    Good Essays
  • Better Essays

    The Indian passenger car industry had a sheltered existence till the early 80’s. Until 1981, there were two dominant players in the Indian scene – Hindustan Motors and Premier Automobiles. In 1982, Maruti Udyog, a 50:50 joint venture between Suzuki Motors and the Indian Government introduced a hatch back car at an affordable price. Gradually, Maruti introduced different new models creating different segments and overtook HM and PAL with attractive prices and fresh designs. Within a short span of time, MUL occupied number one position in the car market. In the mean time, the opening up of the economy in 1991 attracted several multi-national companies. Besides this, some domestic majors also entered into the passenger car market. As a result, India has become one of the fastest growing car markets in the world. In fact, it holds a promising ninth position in the entire world and growing with a cumulative annual growth rate (CAGR) of about 14 percent, ready to surpass many developed markets. Today, almost every major car maker of the world is present in India where Maruti Suzuki is the market leader with over 50 percent market share. It is to be noted that in the car market, there are three major segments, out of which small car segment constitutes almost 81 percent of the Indian passenger car industry. It shows that there is immense growth potential to small cars and the future growth looks very promising due to various factors and forces. Some of them are low penetration, good economic growth, buoyant rural markets, growing middle class, poor public transport system and fuel efficiency of small cars.…

    • 953 Words
    • 4 Pages
    Better Essays
  • Good Essays

    Analysis of Purchase Perc

    • 11812 Words
    • 48 Pages

    Having completing the project, “A Study of the Consumer Behavior” in the Small Cars Segment in India; which was the first of its kind that we have done, we feel a great sense of achievement. Each junction of this endeavor has been a learning experience for us and has enriched our knowledge in the field of market research.…

    • 11812 Words
    • 48 Pages
    Good Essays
  • Powerful Essays

    Mahindra and Mahindra’s Scorpio was started in 1997 with a vision to continue the domination of Utility Vehicle (UV) market in India and also to be a global niche player. Their aim was to make M&M known worldwide for the quality, durability and reliability of its products and services. M&M’s share of business was largely from the semi urban and rural markets of India. Even though M&M had a wide variety of products, it was lacking with products that can cater the modern urban customer needs. The market of M&M was strong but stagnating. These reasons led to the thought of Sports Utility Vehicle (SUV) catering the urban customers. They succeeded in retaining their domestic market leadership with over 50% market share of the Indian utility vehicle segment and create their name in the global market.…

    • 2196 Words
    • 9 Pages
    Powerful Essays
  • Good Essays

    The MSIL has a market share of about 55% in the Indian passenger car segment and is the largest manufacturer of small cars in India. The company have been voted as first by Indian customers for level of customer service and customer satisfaction. The company manufactures affordable small cars which serve the needs of an average Indian customer faithfully and hence have a strong brand image as the common man’s car in India, which an average Indian customer identifies with. Such a strong brand image and huge customer base can sustain the position of the company as the market leader in the Indian small car segment.…

    • 536 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Fundamental Analysis of Msil

    • 4585 Words
    • 19 Pages

    Suzuki through rights issue. The GOI subsequently sold 25.6% of its stake to investors in an IPO.…

    • 4585 Words
    • 19 Pages
    Powerful Essays
  • Powerful Essays

    Maruti Suzuki India Limited, the leading passenger cars producer, currently holds a market share of about 45% in the passenger vehicles segment. The dominant share of the current 45% has primarily come from passenger cars that belong to the Mini/Compact hatchback or midsize sedan. As Maruti Suzuki started its operations in 1981 the needs of the country’s automotive industries were affordable/entry level cars which Maruti very successfully catered to. But very…

    • 2565 Words
    • 11 Pages
    Powerful Essays
  • Powerful Essays

    Ambassador Car

    • 2727 Words
    • 12 Pages

    For almost 40 years after its inception, the company was the market leader in the Indian automobile…

    • 2727 Words
    • 12 Pages
    Powerful Essays
  • Good Essays

    Maruti Suzuki India Limited has a high brand visibility. It is leading in terms of Market share. However, after the economic downturn the growth is slightly sluggish in Automobile industry, Maruti being no exception. Also the entry of new companies in the market as also the new products from existing competitors like Honda, Hyundai, Chevorlet are slowly eating into Maruti’s marketshare.…

    • 1665 Words
    • 7 Pages
    Good Essays
  • Powerful Essays

    Suzuki Motor Corp was one of the first foreign joint venture companies in Association with the Indian Government to set factory in India under the name of Maruti Udyog Limited. Their first car was produced in the Manesar plant in Gargaon in 1983. The company was renamed as Maruti Suzuki India Limited (MSIL) in September 2007which reflected the total disengagement of Indian Government by the selling of its share to Indian investment companies. Suzuki Motor Corp has a holding of 54.2% of the capital. In 2010 Maruti’s production was 7,800,00 vehicles while the total production of vehicles in India were 2,600,000. They had a market share of 44.90% in the Indian car market.…

    • 1668 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    Crm in Maruti

    • 3095 Words
    • 13 Pages

    While Maruti 800 and Omni powered sales for almost two decades, the Alto has been India 's…

    • 3095 Words
    • 13 Pages
    Powerful Essays
  • Powerful Essays

    Maruti Case

    • 1937 Words
    • 8 Pages

    It was the first company in India to mass-produce and sell more than a million cars. It is largely credited for having brought in an automobile revolution to India. It is the market leader in India, and on 17 September 2007, Maruti Udyog Limited was renamed as Maruti Suzuki India Limited. The company's headquarters are on Nelson Mandela Road, New Delhi.…

    • 1937 Words
    • 8 Pages
    Powerful Essays
  • Good Essays

    Maruti 800 Car

    • 1350 Words
    • 6 Pages

    There are many cars on the market that are exciting with respect to power(Accord), interior design(Octavia, Benz), overall execution(again Accord) & the vitality in the segment they play in (New City)…

    • 1350 Words
    • 6 Pages
    Good Essays
  • Satisfactory Essays

    Fedex

    • 327 Words
    • 2 Pages

    Because of the fact that Indian automobile industry market is the faster growing in the world, Maruti Suzuki has to cope with a growing demand, an extent of the company which is the leader on the Indian automobile market. Indeed, Maruti Suzuki needed an efficient technological tool which inter-connects the different sectors of the company, and permit the different actors (manufacturers, vendors) to work efficiently together.…

    • 327 Words
    • 2 Pages
    Satisfactory Essays