This paper therefore attempts to describe and analyse the nature of the Automobile industry of India in the light of its future trends globally and its local requirements. Latter two large companies of India’s auto industry, Maruti Suzuki and Tata Motors remain highly active and aggressive in their strategies. Correspondingly, this blog post discusses new developments from these Indian car makers which includes their new products, social responsibility, and operations strategies.
Maruti Suzuki: This is a continuation of the strategy to stay ahead and make new strategic moves.
Currently, one can hardly find a single person who has not heard about Maruti Suzuki, which is still one of the leaders in the Indian market in terms of cars’ demand. Here’s what they have been up to lately: Here’s what they have been up to lately:
New Product Launches
- Swift Facelift: Late in the past month, Maruti revealed a new look of the much-acclaimed Swift. It has redesigned the outward appearance, added new colours and added the new options of the digital cluster and safety measures.
- Fronx CNG: Consumer satisfaction was Maruti’s next big step as they took into account the society’s urgent need for environmentally friendly vehicles with the CNG variant of the Fronx, a compact SUV. This move compliments the company’s goals of moving to a green portfolio.
- Maruti Invicto: To serve the clientele of the premium segment, Maruti introduced the Invicto MPV that would provide the extended features of comfort, state of the art technology and luxury of driving.
Increase of production capabilities
- New Plant in Kharkhoda: It is the company’s new plant that is being established in Kharkhoda in the State of Haryana with an initial output of 2. 5 lakh units annually. This plant is anticipated to increase Maruti’s production capacity with an aim of satisfying the increasing market demands of their products.
Target on the Hybrid and Electric vehicles
- Partnership with Toyota: Maruti Suzuki has benefited from it’s alliance with Toyota especially in the hybrids segment. These upcoming models will have hybrid powertrains which are noteworthy considering the company’s attempts to cut on its emissions.
- EV Development: Maruti has been somewhat more sparing in its foray on the electric vehicle (EV) segment. Nevertheless, recent statements indicate a change in the strategy, according to which a first electric car is to appear in their portfolio by 2025. This is a positive progression in the over arching sustainability issue for the company.
Market Performance
- Self-record Sales in 2023: Maruti Suzuki posted good sales figures in terms of automobile sales especially compact cars and SUVs with a total of million. Such growth patterns coupled with ability to stay afloat despite stiff market competition is a good indication of the company’s strong market structure.
Tata Motors: Shaping the future of access and Highly Automated Driving
Tata motors is new generation automotive industry player from India and has been a global icon with its ambitious project and attractive models. Here’s a closer look at their recent announcements: Here’s a closer look at their recent announcements:
The major business development can be categorically captured as follows:
Launch of New Models
- Tata Curvv: Tata Motors revealed a design concept of Tata Curvv which is a coupe-styled SUV at Auto Expo 2023. As a fashion and technology company whose focus is to appeal to a younger population, Curvv is strategically placed to reap big among this population.
- Nexon EV Facelift: The Nexon EV, the country’s top-selling electric car has received cosmetic surgery along with a better battery which provides longer juice and a quicker charge time.
Pressure Towards the Proliferation of Electric Motors
- New EV Platform: Recently Tata Motors came forward and declared its planned development of a dedicated EV skateboard architecture which clearly shows constant innovative and dedicated efforts by leading automotive giants to introduce EVs in India. It will form the basis of a further series of future EVs with regard to efficiency, safety and with driving enjoyment.
- Partnership with MG Motor: Tata is working with MG Motor to enter into a partnership in terms of EV technology as well as the platforms. Hoping, this partnership will further speed up the introduction of new electric vehicle types in the Indian market.
Increase in Tier II suppliers’ manufacturing competence
- Sanand Plant Expansion: Sanand plant where they currently manufacture their EV’s is to be expanded with additional production lines. This expansion will enable organization to produce and launch more models which will greatly enhance output.
- Investments in Battery Technology: Tata is also doping big on battery technology with the knowledge that development and improvements on battery technology play a great role in the realization of EVs. Some of the strategies that have to be adopted under this area include, entering into collaborations with battery manufacturers across the globe and establishment of an in-house battery manufacturing plant.
Strategic Business Moves
- Acquisition of Ford India’s Sanand Plant: Another major trend is an acquisition of Ford India Sanand plant by Tata Motors for the purpose of attaining greater production capacity. This acquisition will enable Tata to provide for the increasing demand for its vehicles especially in the EV sector.
- Introduction of CNG Models: In view of the increasing costs of fuel and environmental impacts, Tata has introduced the CNG models of some of the best-selling cars such as Tiago and Tigor that can be availed to the customers.
The Market Strategy and Performance
- Rise in Market Share: Newly it has a high market share as, its has strong network of SUVs and EVs. Due to maintaining the company’s policy of innovation, superior quality, and customer satisfaction, it has become one of the prominent automobile brands in India with a very high growth rate.
- Global Expansion: Tata is also planning on the export categories, with aims of exporting electric cars into Europe and other continents. This strategy of global expansion is inline with the overall vision of Tata Corporation in the context of automotive market where it is emerging as a powerful player at the international level.
Comparative Analysis: One of the most popular competitions is the vertical one: Maruti vs Tata.
This paper seeks to compare and contrast Maruti Suzuki and Tata Motors as players in the Indian automotive market while noting the different focus areas of these two players.
Product Portfolio
- Maruti: Maruti remains the market leader in LCA segment commanding more than 50% market share as it diversifies into hybrid and CNG options.
- Tata: Tata, however, is majorly concentrating on the SUV and EV segments to meet the forthcoming trend in the electric and premium cars.
Innovation and Technology
- Maruti: In its current portfolio, Maruti has not been very assertive in terms of EV plans but being associated with Toyota to introduce hybrid technology it is well positioned for the future.
- Tata: Tata Motors has established itself in the Indian auto market as a strong Evangel and has a very healthy portfolio of EVs and a clear direction of calibrated investments in the same.
Market Strategy
- Maruti: Maruti’s value proposition has always been a volume model here its vehicles are inexpensive with right fuel efficiency in kilometres and easy sourcing of service stations.
- Tata: The two segments that they are aiming at are the segment of premium as well as electric vehicles hence making Tata to be at the forefront in terms of innovation and green mobility.
Looking Ahead: Future Prospects
The existing positioning of Maruti Suzuki is appropriate for it to avail the shifting dynamics of automotive industry similar to what Tata Motors has experienced.
Maruti Suzuki
- EV Entry: But as a newentrant into the EVmarketshare MarutiSuw can pose threat to others since it has a large brand following which covers almost every age group.
- Expansion Plans: These plans to invest on new manufacturing facilities and the commitment towards developing hybrid technology should be expected enhance Maruti’s competitive position over the years to come.
Tata Motors
- EV Leadership: Tata began the journey with the investment in EVs early and in a big way thereby establishing a head start over others and more investment should help to sustain such a position.
- Global Ambitions: This maybe why Tata’s plans to export electric vehicles to other countries may be strategic stances for the creation of new growth prospects and enhanced overseas popularity.
Conclusion
Large-scale policies of Maruti Suzuki and Tata Motors disclose the policies which are entirely different from each other but complementary to one another in the automobile industry of India. Maruti Suzuki has a tendency towards mass selling and is eyeing small cars emphasizing on mileage whereas Tata Motors is not only presenting innovative products and solutions but is also focusing on electrification of automobile vertical. Both companies are expected to evolutionally participate in construction of mobility, while the industry further develops in the nation and across the world.
References
“Maruti Suzuki Fronx CNG Launched in India”
