India's automobile industry is one of the largest globally, with a projected CAGR of 16% from 2013 to 2017, driven by rising incomes and finance availability. The market produced 3.23 million passenger vehicles in 2012-13, with exports anticipated to reach $30 billion by 2020-21. Key players in the sector include Tata Motors, Maruti Suzuki, and Mahindra, with significant FDI inflows contributing to its growth as a manufacturing hub for high-end vehicles.

3. PRESENTED BY
C. STEPHEN RAJ
AIM ( Alagappa Institute of Management)
KARAIKUDI

4. INTRODUCTION
 India represents one of the world’s largest automobile
industries. Easy availability of finance and rising income
levels are encouraging the middle class population to
upgrade their two wheelers to a car.
 The Automobile market is anticipated to grow at a
compound annual growth rate (CAGR) of 16 per cent
during 2013 – 2017.
 India is quietly becoming a production hub of high-end
vehicles meant for export to China.

5. DEFENITION
 Motorized vehicle consisting of four wheels and
powered by an internal engine. Automobiles are used
to transport people and items from one location to
another location. After years or
various designs, inventors were able to develop a functi
onal general design that is utilized by major
automakers as the foundation of their designs.
Automobiles generally use gasoline to fuel the internal
engine, but technological advances have led to the
design of cars that run on electricity.

6. PRESENT SCENARIO
 The passenger vehicles production in India touched
3.23 million units in 2012 – 13 and is expected to reach
10 million units by 2020 – 21.
 The industry recorded exports worth US $ 9.3 billion
in 2012 -13 and is projected to touch US $ 30 billion by
2020- 21, according to data from Automotive
Component Manufacturers’ Association (ACMA).
 The cumulative FDI inflows into the Indian
automobile industry during April 2000 to October
2013 was recorded terms of US $ 9079 million
amounting to 4 per cent of the total FDI inflows.

7. Cont…….
 The world standings for the Indian automobile sector,
as per the Confederation of Indian Industry, are as
follows:
 Largest three-wheeler market
 Second largest two-wheeler market
 Tenth largest passenger car market
 Fourth largest tractor market
 Fifth largest commercial vehicle market
 Fifth largest bus and truck segament

8. Some important locations of this industry
 Chennai
 Delhi.
 Mumbai
 Jamshedpur
 Bangalore
 Gurgaon.
 Pune
 Kolkata
 Lucknow
 Hyderabad

9. EVOLUTION OF AUTOMOBILE

10. The first car ran on India's
roads in 1897.
Until the 1930s, cars were
imported directly, but in very
small numbers.

11. * 1897 First Person to own a
car in India - Mr. Foster of
M/s Crompton Greaves Company,
Mumbai
* 1901 First Indian to own a car
in India - Jamshedji Tata
* 1905 First Woman to drive a
car in India - Mrs. Suzanne RD
Tata

12. The Growth Journey
Pre 1983 1983-1993 1993-2007
Era of globalization
and
evolution of India as a
global
manufacturing hub
Closed market
• Growth of market
limited by supply
• Outdated models
Players
• Hindustan Motors
• Premier
• Telco
• Ashok Leyland
• Mahindra & Mahindra
Japanisation - GOI- Suzuki
joint venture to form Maruti
Udyog
• Joint ventures with
companies in commercial
vehicles and components
Players
• Maruti Udyog
• Hindustan Motors
• Premier
• Telco
• Ashok Leyland
• Mahindra & Mahindra
Delicensing of sector in
1993
• Global major OEMs start
assembly in India (Toyota,
GM, Ford, Honda,
Hyundai)
• Imports allowed from
April 2001; alignment of
duty on components and
parts to ASEAN levels
• Implementation of VAT

13. About 91% of the vehicles sold are
used by households and only about 9%
for commercial purposes.
Passenger cars with a market share of
about 15.96% &Commercial vehicles and
three wheelers share about 7.55% of
the market between them.
In 2009, India emerged as the fourth
largest exporter of automobiles.

14. AUTOMOBILE SEGAMENTATION:
 SIAM or Society of Indian Automobile
Manufacturers divides the Indian passenger
vehicles in the segments A1, A2, A3, A4, A5,
A6, B1, B2 and SUV. The classification is
done solely based on the length of the
automobiles. The details of the segments are
mentioned as ……..

15. SEGAMANTATION BASED ON THE LENGTH:
Car Segment Length of the
car/Model type
Car model belonging
to the segment
A1 Up to 3400mm Nano
A2 3401 to 4000mm Alto, i10, Zen, Wagon R
A3 4001 to 4500mm Manza, Logan, Dzire, City
A4 4501 to 4700mm Corolla, Octavia, Optra
A5 4701 to 5000mm Accord, Camry, Sonata
A6 More than 5000 mm Mercedes S class
B1 Vans Versa, Omni
B2 MUV/MPV Sumo, Innova
SUV SUV Vitara, CRV

16. SEGAMENTATION BASED ON FEATURES:
Car Segment
Distinguishing feature of the
cars in this segment
Car model belonging to the
segment
A Cars priced below Rs. 3.5 Lakh Alto, Spark, Nano, Eon
A1 Hatchback priced lower than
Rs. 6 Lakh
Santro, Indica, Beat
A2 Hatchback priced between Rs.
6 to 7.5 Lakh
Ritz, i10, i20, Swift, Figo
B1 Vans Versa, Omni
B2 MUV/MPV Sumo, Innova
C1 Sedan models priced below
Rs. 8 Lakh
Indigo, Fiesta, Sunny
C2 Sedan models priced between
Rs. 8 to 9.5 Lakh
Verna, Manza, Linea
D1 Premium Sedan models priced
below Rs. 15 Lakh
Fluence, Corolla
D2 Luxury Sedan models priced
below Rs. 25 Lakh
Sonata, Camry, Kizashi
SUV SUV Vitara, CRV

17. SEGAMANTATION BASED ON BODY:
 Mini
 Compact
 hatchback
 mid size cars
 Sedan
 executive cars
 premium cars
 luxury cars
 super luxury cars
 van
 utility vehicles
 MUV/MPV
 SUV
 convertibles
 sports cars
 super cars

18. OTHER COMERCIAL VEHICLES:
TRUCKS (different verities)
TRACTORS
LORRIES
BUSES

19. Top manufacturers of automobiles in India
 Tata Motors
 Maruti
Suzuki
 Ashok Leyland
 Hindustan
Motors
 Mahindra
 Hyundai

20. Contd.
Ford
Chevrolet
Honda Motors

21. MAJOR COMPETITORS:
LUMBORGINI

22. MAJOR COMPETITORS:

23. MAJOR COMPETITORS:
INFINITE

24. COMPETITORS IN OTHER COMERSIAL VEHICHLE:
ASHOK LEYLAND
EICHER
TATA
FORCE
M & M

25. 1.TATA MOTORS
 CEO :- Mr. Carl-Peter Froster
 CHAIRMAN:- Mr. Mystry
 PUNCH LINE:- “Even More Car per Car”

26. Tata Motors Continued…
 Initially known as TELCO, largest manufacturer of
commercial vehicle in India and also the largest private
sector company.
 The most popular vehicles are Indica ,Indigo,Nano , Sumo
etc.
 The latest innovation of the Tata Motors is the Nano car
which is called the people's car.
 Tata Motors lost their market share in 2010-11 to mainly
Ford India and Volkswagen, says SIAM.
 Lost its market share during the said period, falling to 12.92
per cent with sales of 2,56,202 units.

27. PRODUCT MIX OF TATA MOTERS:
PASSENGERS
CARS
UTILITY
VEHICLES
TRUCS COMMERCIAL
PASSENGERS
CARRIERS
INDICA VISTA SAFARI DICOR TATA NOVAS BUSES
INDIGO XL SUMO
GRANDE
TL 4*4 WINGER
NANO SUMO MAGIC
FIAT CARS XENON XT

28. Passenger Cars & Utility vehicles
» Tata Sumo/Spacio
» Tata Safari
» Tata Indica
» Tata Indigo
» Tata Winger
» Tata Magic
» Tata Nano
» Tata Xenon XT
» Tata Xover (2009)
» Tata Manza (2009)
Commercial Vehicles
» Tata Ace
» Tata Starbus
» Tata Globus
» Tata Marcopolo Bus
» Tata Novus
» Tata 407 EX
Military Vehicles
» Tata LSV
» Tata 407 Troop Carrier
» Tata Winger Passenger Mini
BusTata Motors Limited 28

29. The current Tata vehicles include :
The Tata Pr1ma concept carThe Tata Pr1ma concept car
Tata entered the commercial vehicle sector in 1954 after forming a joint venture with
Daimler-Benz of Germany. After years of dominating the commercial vehicle market in
India, Tata Motors entered the passenger vehicle market in 1991 by launching the Tata
Sierra, a multi utility vehicle.
Tata Pr1ma
Tata Sumo Grande Tata Sumo Tata Safari
Tata Indica Tata Manza Tata Winger
Tata Venture Tata Magic Tata Nano
Tata Aria Tata Xenon XT

30. Tata Motors Limited 30

31.  CEO:- Mr. Shinzo Nakanishi
 CHAIRMAN:- Mr. R.C Bhargava
 PUNCH LINE:- “Lighter,Faster,Better”

32. Maruti Suzuki Continued…
 The Company is the result of the alliance of Japan's Suzuki
and Maruti. Maruti Suzuki car is for the average Indian.
 The company produces Zen ,Maruti 800, Maruti Esteem,
Maruti Omni, Swift etc.
 It is the first Indian company which manufactured about
one million vehicles.
 Motto of the largest Automobile Company of India:-
 offer low cost
 fuel efficient vehicles.
 Market share in the passenger car segment fell to 48.74 per
cent in the last fiscal from 50.09 per cent in 2009-10.

33. PRODUCTS
Maruti 800
Maruti Alto
Maruti Grand Vitara XL-7
Maruti Gypsy King
Maruti Omni
Maruti Suzuki SX4
Maruti Swift
Maruti Versa
Maruti Vitara
Maruti Wagon-R
Maruti Zen

35. The price of the Maruti car is between
Rs. 210000 to Rs. 1500000. Maruti – 800 is the
lowest price car of this company. Alto, Omni,
Wagonr, are also the low price car of the company,
Zen & Esteem are the mid price car of the company.
But Grand Vitara is the high price model of the
company . The price of car are decided according to
its product Varity, quality, design etc.

36.  CEO:- Mr. John Krafick
 Chairman:-Mr. Mong Koo Chung
 PUNCH LINE:- “Drive Your Way”

37. Company was founded in the year 1998 and it is
second largest car manufacturing company in India
Was established as a subsidiary of auto giant of
Korea, Hyundai Motor Company.
The company captured the hearts of Indian car
lovers with the introduction of its Santro car
model.
Market Share: Passenger Vehicles 14.15%


38. Products

40. 4.MAHINDRA MOTORS
 CEO:- Mr. Anand Mahindra
 Chairman:-Mr. Keshub Mahindra
 PUNCH LINE:-”Nothing Else Will Do”

41. Mahindra Motors Continued…
 The company specializes in vehicles for the general purpose
utility.
 It ranks tenth among the largest private sector companies
in India.
 It has about 33 sales offices and the network support is
about 500 dealers across India.
 Increasing its market share to 57.2% over the previous
year’s market share of 51.3%.
 Formed a new joint venture Mahindra Automotive
Australia Pty. Limited, to focus on the Australian Market

42. PRODUCTS & SERVICES
4/3 Wheelers
Pik – Ups
LCVs
SUVs
CARS
 UVs

43. PRODUCTS & SERVICES
FarmProducts..
Agro inputs and services
Engines
Farm Implements
Tractors.

44. PRODUCTS

45. Thar Pick-Up Bolero
Renoult Verito
Quanto
e2o
Xuv 500 Scorpio Xylo

47. Introduction On
Toyota Motors
 Toyota is 7th largest automotive manufacturer
 Toyota Motor Corporation is headquartered in Toyota City, Aichi
 Toyota has annual sales of 397.05 billion yen
 Produces ~5.5 million vehicles per year
 From 56 manufacturing plants across
6 continents
 Employs 317,716 people
 Toyota has become the largest vehicle manufacturer in Japan with
over 40% market share

48. Product Line

50. Introduction Volkswagen
🚗 "Volkswagen” the word means "people's car.”
🚗 Headquarters in Wolfsburg.
🚗 The Volkswagen Group's models are sold in
more than 150 countries

51. Pricing
Strategies P R I C E
High Medium Low
Q
U
A
L
I
T
Y
High Premium
Phaeton
High Value
Touareg
Penetration
Passat
Medium Over Charging
Yeti
Medium Value
Jetta
Good Value
Vento
Low Rip Off
Beetle
False Economy
Fabia
Economy
Polo
Pricing
Strategies P R I C E
High Medium Low
Q
U
A
L
I
T
Y
High Premium
Phaeton
High Value
Touareg
Penetration
Passat
Medium Over Charging
Yeti
Medium Value
Jetta
Good Value
Vento
Low Rip Off
Beetle
False Economy
Fabia
Economy
Polo

53. Ford: The Company
 Vision: “To become the worlds leading consumer company for automotive
products and services.”
 Mission Statement: “To provide safe, reliable, and personal
transportation around the world.”
 Market Share: 16% of the US market and 10% of the European market.
 Brands: Ford, Mercury, Mazda, Jaguar, Volvo, Lincoln, Land Rover, Aston
Martin.

54. Product Line
Luxury Cars
Small Cars
Wagons
Midsize Cars
Sports Cars
SUVs
Vans &
Minivans
Trucks
Convertibles

55. Small Cars
Wagons
Niches within SUV Market Segment
Luxury Cars
Midsize Cars
Sports Cars
Vans &
Minivans
Trucks
Convertibles
Ford Excursion
Ford
Explorer
Lincoln
Navigator
Mercury Mountaineer Ford Expedition

58.  Audo is defined as Vorsprung Durch Technik, which means
PROGRESS TO TECHNOLOGY.
 Founded by August Horsh on the 16th day of July, 1909 in
Zwickay, Germany.
 Its headquarters is situated in Ingolstadt, Bavaria, Germany.
 It is currently a subsidiary of Volkswagen AG which holds
99.55% of the total stakes of Audi since 1966 after its
purchase from its former owner Daimler-Benz.
 Audi is represented in 110 countries worldwide and since 2004,
Audi has been selling its products in the Indian market.

59. The Categories
Audi manufactures automobiles in 3 categories, which are-
 The Executive Class
1. Audi A4
2. Audi A5
3. Audi A6
4. Audi A7
5. Audi A8 (Full-size Luxury Car)

60. Audi ‘s Sports class-
1. Audi TT
2. Audi R8
3. Audi TTS
4. Audi TTRS

61. Audi‘s Sport Utility Vehicle (SUV) Range
1. Audi Q3
2. Audi Q5
3. Audi Q7

63. BMW = Bavarian Motor Works
Founded in 1916
Originally an aircraft engine manufacturer
Produced first automobile in 1929
By the 1980s, established itself in the luxury/
performance segment of the global automotive
market
63
Company Background

64. 3 Series
 Entry Level Sedan
 $25K to $40K
5 Series
 Mid-range Sedan
 $37K to $44K
7 Series
 Flagship Sedan
 $54K to $70K
64
Product Line

65. PRODUCT BMW
• Wide selection of models
• Different styles to meet
the customers needs
• BMW Universal
Bluetooth
• iPod with BMW
• BMW accessories

66. Average BMW Customer Profile:
 Approx. 46 years old
 Median income = $150K
 Well-educated
 Married and no children
 2/3 were male
 Technology is important
 Very loyal to the BMW brand
 Driving is a form of personal expression
 Work hard and play hard!
66
The BMW Customer

68. History, Vision & Mission
 India Market Entry – 1994
 100%-owned subsidiary of Daimler AG.
 Pioneer of automotive engineering
 Proud tradition with groundbreaking technologies and
high-quality products
 Philosophy : we give of our best for customers who
expect the best - and we live a culture of excellence
that is based on shared values
 Corporate history is full of innovations and pioneering
achievements; they are the foundation and ongoing
stimulus for our claim to leadership in the automotive
industry

69. RANGEModels:
 A-Class
 B-Class
 C-Class
 CL-Class
 CLA-Class
 CLS-Class
 E-Class
 G-Class
 GL-Class
 GLA-Class
 GLK-Class
 M-Class
 R-Class
 S-Class
 SL-Class
 SLK-Class
 SLS AMG
 Viano
 Citan

70. PRODUCT PORTFOLIO

71. Performance
BMW 3-Series 320d
Highline Sedan
Audi A4 1.8 TFSI
Mercedes-Benz C-Class 2012
C 250 CDI
Maximum Speed (kmph) 216 212 214
0-100kmph (seconds) 8.3 8 8.2
Engine
BMW 3-Series 320d
Highline Sedan
Audi A4 1.8 TFSI
Mercedes-Benz C-Class 2011
C 250 CDI
Wheel Type light-alloy Alloy Alloy Wheels
Transmission Type Automatic Automatic Automatic
Weight (kg) 1445 1450 1655
Mileage Overall (km/liter) 9.7 8.96 8.5
Ex-Showroom Price Rs. 32,45,908 Rs. 28,92,477 Rs. 34,32,325
Comparison between
Audi A4 ,
BMW 3-series and
Benz C- Class

72. Performance BMW X6 M
Price= 1,30,00,000
AUDI Q7
Price=Rs.1,25,00,000
Benz G Class
price=Rs 1,34,67,200
Displacement 4395 cc 4134cc 5439cc
Cylinders V8 V8 V8
Power 555 PS at 6000 rpm 200PS at 4000 rpm 507PS at 6100rpm
Torque 680 N·m (500 lb·ft) at
1500-5650 rpm
760Nm at 1750
-3000 rpm
700Nm@2750rpm
Max. Speed in
km/h
250 240 210
0–100 km/h in
sec
4.7 3.6 5.5
Mileage Overall
(km/liter)
7.2 8.5 9.5
Comparison
between Audi Q7,
BMW X6 and
Benz G Class

73. SALES
MANAGER
SALES
EXECUTIVES
(3)
SALES PEOPLE
(12)
RETAIL
(4)
CORPORATE
(4)
BESPOKE
(4)
Organization Structure AUDI,BMW&BENZ
ASSISTANT SALES
MANAGER
AUDI BMW
UPCOUNTRY
(8)
SHOWROOM
(4)
Corporate
(2)
Marketing
(4)
Retail
(2)
Front line
(9)
ASSISTANT SALES
MANAGER
ASSISTANT SALES
MANAGER
SALES
MANAGER
SALES EXECUTIVES
(3)
SALES PEOPLE
(12)
SALES
MANAGER
SALES PEOPLE
(17)
BENZ

75. MAJOR
COPMETITORS
ASHOK LEYLAND
EICHER
TATA
M & M

77. Genesis of Ashok Leyland
• Formed in the year 1948 by “Mr. Raghunandan Saran” as “ASHOK
MOTORS”, to assemble Austin Cars.
• Renamed & Started Mfg. Commercial Vehicles in 1955 with equity
participation by “LEYLAND MOTORS”.
• 2nd Largest Commercial vehicle company in India.
• Market Share of 28% (2007-2008) in Medium & Heavy Commercial
Vehicle.
• Market Leader in Bus Segment , and Claims to carry 60 Million
Passengers Daily.

78. PRODUCTS
 Buses
 Trucks
 Light Vehicles
 Defence Vehicles
 Power Solutions

79. Competitor Analysis
Major Competitor of Ashok Leyland : -
• TATA MOTORS
• EICHER MOTORS
Market Capital6%
88%
6%
ASHOK LEYLAND
TATA MOTORS
EICHER MOTORS

80. Sales Turnover
19%
80%
1%
ASHOK LEYLAND
TATA MOTORS
EICHER MOTORS
Net Profit
29%
64%
7%
ASHOK LEYLAND
TATA MOTORS
EICHER MOTORS

82. ABOUT
 Eicher Motors Limited (EML) incorporated in 1982, is an
Indian automaker company based in Gurgaon, India and a leading
player of the Indian automobile industry.
 The Eicher Group has diversified business interests in design and
development, manufacturing, and local and international marketing of
trucks, buses, motorcycles, automotive gears, and components
 Eicher has invested in the potential growth areas of management
consultancy services, customized engineering, and maps and travel
guides

83. ABOUT
 The Volvo Group is one of the world’s leading manufacturers of
trucks, buses, construction equipment and marine and
industrial engines
 Provides complete solutions for financing and service
 Employs about 115,000 people, has production facilities in 19
countries and sells its products in more than 190 markets.

84. THE JOINT VENTURE
 Joint Venture came up in June 2008 - VE COMMERICAL VEHICLES
 50:50 Joint Venture
 Eicher will transfer its commercial vehicles, components and engineering design services
business to the new joint venture
 Volvo will brought advanced manufacturing technology and set up new processes for
improving after sales services

85. • MASS MARKET PRODUCT
• FRUGAL ENGINEERING
• EXPERIENCE OF WORKING
IN EMERGING MARKET
• GLOBAL DISTRIBUTION
• ADVANCED TECHNOLOGY
• FINANCIAL MUSCLE
REASONS FOR JOINT VENTURE

86. INDUSTRIAL GROWTH

87. Table 1 vehicle production
Year 2012 - 2013 2013 - 2014 % change
Passenger vehicles 582703 522987 - 10.25
Commercial
vehicles
136795 145877 6.64
Industry 719498 668864 - 3.61

88. Table 2 domestic sales
Year 2012 - 2013 2013 - 2014 % change
Passenger vehicles 448165 409823 - 8.56
Commercial
vehicles
120289 113936 - 5.28
Industry 568454 523759 - 13.82

89. Table 3 export sales
Year 2012 - 2013 2013 - 2014 % change
Passenger vehicles 84418 90615 7.34
Commercial
vehicles
47787 60462 26.53
Industry 132205 151077 33.87

90. Commercial vehicles
M&M
Tata Motors
Eicher VE
Ashok Leyland
Passenger vehicles
Maruthi Suzuki
Hyundai
M&M
Tata Motors
Ford
Honda Cars
General Motors
12,919
25,574
2905
10,639
1,05,559
34,780
18,804
13,047
6,647
18,331
4,667
v
v
v
v
v
v
14 %
25.1%
35.6%
9.3%
4.1%
5%
19%
0.9%
17%
16%
*Including exports
Top car makers report decent sales growth
FEB 3, 2015

91. MARUTHI
HYUNDAI
HONDA
MAHINDRA
TATA MOTORS
TOYOTA
GENERAL MOTORS
FEB, 2015 FEB, 2014
CAR SALES
1,07,892
99,758
37,305
34,005
16,902
14,543
18,103
19,308
13,767
11,325
11,802
10,100
4320
5607
8.2
9.7
16
6
22
17
23
%
%
%
%
%
%
%
%

92. 40%
30%
20%
10%
0%
-10%
-20%
-30%
30%
16%
18%
18-20% 16-18%
7-9%
2011-12 2012-13 2013-14 2014-15E 2015-16p
9%
-26%
-27%
(7)-(9)%
HEADED FOR BETTER TIMES
Source: SIAM, CRISIL Research
LCV MHCV
COMMERCIAL
VEHICLES
Momentum in CV sales to continue
FEB 16, 2015

93. CAREER OPTIONS AFTER MBA
IN
AUTOMOBILE SECTOR

94. FROM THE LOCAL MANAGERS:
Mr. P. JEYAAMAN, (Manager M&M)
 Career opportunities are there in the sales department
but the freshers are not ready.
Mr. SENTHIL, (Group leader Maruthi)
 Here in local we don’t need the MBAs. We are satisfied
with the ordinary degree students. Opportunities are
there in the world bran companies such as ford, bmw,
audi, etc in selling department.
HYNDAI GROUP LEADER
 opportunities are there for the mbas only in sales.

95. CHENNAI IS CALLED AS “DETROIT”OF INDIA

96. Opportunities for All
Stream Designations Offered
HR HR Manager, Personnel Manager,
Compensation Analyst.
Marketing Sales Manager, Marketing
Manager, Product manager
Operations Production Manager, Purchase
Manager, Inventory Manager
Finance Financial Analyst, Risk Manager.

97. Conclusion
 The production is showing an increasing trend.
 Similarly the sale of vehicles is also showing an upward
trend.
 Indian automobile industry has been able to achieve
high scores on the various components and this has
positive impact.
 Automobiles led to strong demand due to signs of
revival in economy and increasing trend in hiring
especially organizations decisions will describe how
the companies are placed within the industry and how
they track new opportunities and innovations; ups and
downs in growing markets, universal economic trends,
and varying customer demand will confront
companies to react in novel ways.

98. RECENT BUDGET
10% to 20% increased…….

100. ANY QUESTION