Maruti Suzuki is the largest automobile company in India. [1] It was established in 1981 as a collaboration between the Indian government and Suzuki Motor Corporation of Japan. [2] Maruti 800 was Maruti's first car, launched in 1983. [3] It went through different stages of the product lifecycle - introduction from 1983-1986, growth from 1987-1996, maturity from 1997-2002, and decline from 2002 to present. [4] Facing competition from newer small cars, Maruti repositioned the 800 as the Alto 800 in 2012 to try and revive sales. [5] When analyzed using the BCG matrix, Maruti 800 shifted from a star during introduction and growth to a

2. BCG Matrix of Maruti
Presentation On
Presented by Group – 7
INFINITY

3. Name of the Members Roll
• Ahmed Istiaq Murad
• Sazia Tarannum
• Md. Faruk Hossain
• Konok Kumar Mondal
• Rawful Al Amin
• Mamun Biswas

4. CASE OF MARUTI
• MARUTI UDYOG LIMITED was established in 1981
• Largest automobile company in India located at Gurgaon,
Manesar.
• Portfolio of 13 brands and 150 variants like, MARUTI 800,
ALTO, WAGANOR, SWIFT, GRAND VITARA, SX4 AND SWIFT
DZIRE etc.,
• Listed in BSE & NSE.
• Honored with “METI” award from Govt. of Japan for
promotion of Japanese brand in India.

5. PRODUCT LIFE CYCLE (PLC)
Like human beings, products also have an
arc. From birth to death, human beings pass
through various stages e.g. birth, growth,
maturity, decline and death.
A similar life-cycle is seen in the case of
products. The product life cycle goes through
multiple phases, involves many professional
disciplines, and requires many skills, tools and
processes.

6. STAGES OF PLC
• PRODUCT DEVELOPMENT:-
It is the stage where a company finds and develop a new product
idea. Sales are zero at this stage.
• INTRODUCTION STAGE:-
Company builds product awareness and develop market for the
product and launches the product into the market.
• GROWTH STAGE:-
Company build brand preference and increase market share.
• MATURITY STAGE:-
Competitors starts. Products come up with new features and
face new competitions.
• DECLINE STAGE:-
Sales decline. Firms either reduce cost to continue or quit from
the market.

7. MARUTI 800

8. 1983-86
1987-96
1997-02
2002 – UPTO
NOW

9. INTRODUCTION STAGE
(1983-1986)
• MARUTI UDYOG LIMITED Launched first ‘MARUTI 800’, in
Indian market on December 1983.
• It’s a collaboration between INDIAN STATE
owned MARUTI and SUZUKI MOTOR JAPAN.
• Cheapest car in the Indian market.
• Also exported to countries like South Asia
and South American market.
• First car was presented to Lord Venkateswara of Tirumala
Venkateswara temple.
• First car was sold to Harpal Singh for Rs.48,000/- as a lucky
owner and received keys from Prime Minister of India INDIRA
GANDHI.

10. GROWTH STAGE
(1987-1996)
• MARUTI 800 comes up with new features like , AC version and
Music System in the car.
• Sales increased by 852 units to 20,269 units and
reached up to 31,314 units
• First export began in 1987.
• Sales soared from about 63,763 units to
about 1,89,061 units in 1996.
Strategies adopted:-
• Customer care has became a key element for Maruti,
• Increased Maruti service stations every 25 kms on a highway,
• For increasing its market share it launched new car models.

11. MATURITY STAGE
(1997-2002)
• In 1997,MARUTI introduced a new car with Jelly Bean shape .
However it was not so successful in the market.
• Launched revamped version of MARUTI 800 EX, with new
engine, shock absorber, coil spring suspension, but this model
lost their sales gradually .
• Entry of competitors like General Motors,
Ford, Tata.
• In 2002, MARUTI launched ‘ALTO’ ,
with bigger stylish version of the Maruti 800.
• Introduced LPG & CNG variables, called Maruti 800 Duo with
new face lifts like newer grille and clear lens head lamps

12. CONT…
• Strategies adopted at this stage :
• Pricing strategy:– categorizing to all segments ,car priced at Rs. 1,87,000/-
is the lowest offer on the road
• Developed different revenue streams in the form of Maruti insurance,
Maruti finance.
• Repositioning of Maruti products
• Introduced new facelifts model based on market responses or consumer
feedbacks or the competitors moves
• Customer centric approach:
call centers bring Maruti to closer to its customer.
• Committed to motorizing India
Partnership with STATE BANK OF INDIA
organized finance to small towns enable
people to buy cars in Rs.2599/- scheme

13. DECLINING STAGE
(2002 – UPTO NOW)
• Due to heavy competition from competitors like Hyundai i10 and
Chevrolet Spark, sales of Maruti 800 was drastically decreased.
• The sales went down from 1,51,976 units in the year 2000 to about
69,553 in 2007.
• Buyers were attracted to cheap small cars like NANO.
• In 2008-2009 experienced a drastic reduction in
sales.
• Major competitor Tata Motors launched Tata Nano, which was smaller
and yet offered more space than the Maruti 800
• Sales are continued in semi urban and rural areas till today .
• Now in 2012 Maruti introduces ALTO 800 in the place of Maruti 800 .

15. REPOSITIONING THE PRODUCT
• After a drastically decline in the sales of Maruti 800 , MUL had
repositioned its product Maruti 800 with ALTO 800.
• Alto 800 was introduced into the market on October 16,2012.
• ALTO 800 is designed with latest features of more space,
speed acceleration, power steering etc.,
• Now ALTO 800 is available in Indian market for the price of
2.5 lakhs(approx).

16. BCG MATRIX
• BCG Growth share matrix developed by Boston consulting group
of USA in the early 1970's and popularly known as BCG Matrix
takes a two dimensional views.
I. Industry growth rate.
II. Relative market share.

17. BCG’s analysis
17

18. Stars
• Stars are the unit with a high market share
in a fast growing industry.
• Star represent the best profits and growth
opportunities in the organizations.
• Generates high revenues and also requires
huge cash for sustaining the STAR position.
• Product is in growth stage.

19. Cash Cows
• They are the business with low growth rate
and high market share.
• Generating cash more than its requirement
which can be used by other units.
• Product in maturity Stage.

20. Question Marks
• Question Marks are the units with low market share
in a fast growing industry.
• They required large amount of cash to grow their
market share. for e.g.: Promotional expenses.
• These can be Stars or Dogs
?????

21. Dogs
• Dogs often have little future and are big cash drainer on the
company.
• Generating cash just to BREAK-EVEN. It is a self sustaining
unit.
• They do not generate any profit for the overall business and
hence can be sold off and hired off.
• Product is in decline stage, with no chance of revival.
• Product may be Repositioned or killed.

22. BCG MATRIX
(MARUTI 800)

23. INTRODUCTIONGROWTH
MATURITY DECLINE
(1983-1986)(1987-1996)
(1997-2002)
(2002 – UPTO NOW)

24. ANALYSIS

25. BIBLIOGRAPHY
• www.scribd.com
• www.gaadi.com
• www.slideshare.com
• www.authorstreme.com
• www.marutisuzuki.com