A special look at the small car segment:
• Telco has taken out both petrol and diesel versions of Tata Indica to gave both Maruti 800 & Maruti Zen a run for their money by pricing these cars in their respective price.
• Hyundai has also followed the same policy and apart from carrying out a very original and effective media campaign (it has successfully given the feel of a car with a tall boy image To the consumer) it is busy building up an efficient services and parts network
• Maruti had resorted to a huge price cut last year in its Maruti 800 and although it has increased the price recently, it is still planning to sell volumes at a lower price.
Apart from this the wagon r has been launched and it is expected to create a separate niche for itself in the market.
The reason for export orientation:
In the earlier project plans exports were not the main goal as far as Maruti was concerned
They were purely incidental. But now the government insists on three definite things:
• An investment of $50 million.
• Indigenisation to the extent of 50% and 70% in three and five years respectively with the dial of reducing imports.
• Dividend equalization.
• Telco has taken out both petrol and diesel versions of Tata Indica to gave both Maruti 800 & Maruti Zen a run for their money by pricing these cars in their respective price.
• Hyundai has also followed the same policy and apart from carrying out a very original and effective media campaign (it has successfully given the feel of a car with a tall boy image To the consumer) it is busy building up an efficient services and parts network
• Maruti had resorted to a huge price cut last year in its Maruti 800 and although it has increased the price recently, it is still planning to sell volumes at a lower price.
Apart from this the wagon r has been launched and it is expected to create a separate niche for itself in the market.
The reason for export orientation:
In the earlier project plans exports were not the main goal as far as Maruti was concerned
They were purely incidental. But now the government insists on three definite things:
• An investment of $50 million.
• Indigenisation to the extent of 50% and 70% in three and five years respectively with the dial of reducing imports.
• Dividend equalization.