2. CASE SUMMARY
This case study is based on a video of market strategies followed by Automobile giant KIA
Motors. KIA has made their entry into the Indian market in the year 2019 .
Coming up with the biggest New Cars Launch of 2019 in India, this brand is showing lots of
promise with the biggest announcements, biggest moves, and the biggest ambitions to
take on this market of the masses.
KIA has very successfully launched KIA Seltos in the Red Ocean market of automobiles in
India.
3. COMPANY PROFILE
Kia India Private Limited is a subsidiary of Kia for its operations in India. The
company was founded on 19 May 2017 following an announcement of the
construction of a new 536-acre manufacturing facility in Anantapur
District, Andhra Pradesh. The plant started its trial production in January 2019
and the mass production of its first product, the KIA Seltos started on 31 July
2019.The US$2 billion manufacturing plant is capable of producing 300,000
vehicles annually.
Kia Corporation was founded in May 1944 and is Korea’s oldest manufacturer
of motor vehicles.
Kia came to India with a vision to win the hearts of the young car buyers with
our futuristic products and dynamic designs which are inspired by India
From humble origins making bicycles and motorcycles, Kia has grown – as part
of the dynamic, global Hyundai-Kia Automotive Group – to become the
world’s fifth largest vehicle manufacturer
4. PRODUCT PROFILE
Kia India is producing several models that was developed specifically for
the Indian market, namely the SP2i version of the Seltos and the sub-4
metre SUV Sonet.[6] The plant also manufactures the Kia
Carnival exclusively for the domestic market. Within nine months of
operations, in July 2020 the company announced that it has achieved a
milestone of 100,000 vehicle sales
Current models
Kia seltos
5. KIA SELTOS
KIA has chosen to move forward to choose the design as
their main highlight. Leading the story by telling what
inspires their designs and whatnot. The first launch to the
Indian market is the KIA Seltos
6. CASE ANALYSIS BY USING APPROPRIATE THEORETICAL
PERSPECTIVES
Macro Environment Analysis -PESTEL
Economic factors
Economic elements such as foreign exchange/interest rate, labour market conditions, inflation, and saving
rates, among others, are critical for Kia Motors to understand since they influence the country's entire
economic climate. Kia Motors can predict the growth trajectory of the industry and organization by having a
thorough grasp of the economic environment.
Social factors
The cultural norms, values, and trends have a significant impact on organizational culture. Through
educated PESTEL analysis, Kia Motors can develop successful marketing messages and achieve business
objectives by understanding demographic trends, power structures, consumer purchasing habits, and
common values. The information collected from such can be used by Kia Motors' marketing department.
7. Technological factors
The relevance of comprehending technical aspects throughout the strategic decision-making process has
grown as a result of fast technology progress and dissemination around the world. Kia Motors can benefit
from a thorough examination of the technical environment. capture technology trends in order to get specific
economic advantages, such as increased profitability, increased innovation, and reduced costs. As a result
of which the operations are also enhanced.
Environmental factors
A lot of environmental factors affect the development of the company and the company adheres to the laws
related to environment so that further harm is not caused. Distinct markets have different environmental
norms, rules, and regulations. Kia Motors' foreign presence necessitates careful consideration of these
variations in order to prevent unfavorable situations. Before opting to enter a new market or launch a new
product line, a thorough environmental investigation is required.
8. Legal factors
It is very important for Kia to study in detail about the legal market of the country before entering in order to
ensure that they do not do anything that is against the countries law. It is very important for the company to
know about the regulatory structure of the country they want to do business. If Kia do not have proper
knowledge it might lead to problem. For example, a loss of economic advantage as a consequence of
intellectual property rights violations, as well as a tarnished corporate image as a result of violations of
consumer, employee, and environmental protection regulations.
9. LEARNINGS FROM THE CASE
• KIA has reached all their target audience and have definitely raised a lot of curiosity.
• The Sales and Marketing team at KIA have done a really good job over covering all the aspects of market specify story
telling and outreach.
• The Task has been achieved in various layers of Digital + Offline + Television Marketing.
• THE LARGEST DISTRIBUTION NETWORK-KIA has developed a large dealership network spanning through
different cities.
• ADVERTISING COMMERCIALS-The Ad Commercials and the company have come with are truly amazing. The
magical Inspirations ad have already become the most-watched Indian Ad commercial on YouTube already with 232
Million Views till now.
• KIA’S DIGITAL MARKETING-KIA has amazing marketing assets they curated have definitely got them an outrageous
online presence on YouTube and Facebook, but they have really left a lot of holes in the overall impact.
10. FUTURE OF THIS COMPANY
• Kia India confirmed the launch of a few special edition variants subsequently in the year.
Additionally, the Korean carmaker also plans to enter in the new SUV segment in 2022.
• While the company didn’t release any more details about their upcoming offer, it could
possibly be the new Sorento.
• Speaking of 7-seater offerings in the mid-sized space, Hardeep Singh Brar, Vice President &
Head of Sales and Marketing, Kia India, said, “I think it is an interesting segment and lately
there has been a lot of discussion around it. There have been a lot of new entrants and new
players coming in too. With the kind of flexibility that these cars offer customers, it is surely
a new and emerging segment, and we are also evaluating it.”
11. CONCLUSION
KIA motors India is now testing the Indian waters and about to stride in knee deep with its own
unique style. Theoretically it seems that its previous experience supported with expertise, may hold
in the Indian market if the company closely continue with its values and ideals. is interesting to
analyze the entry of the company in Indian soil as a success or failure in the coming year
Kia Motors India (Kia) had tasted success in India within a year of the launch of its product Seltos. Kia's
managing director and chief executive officer was quite happy with the sales figures for Seltos, the mid-sized
sport utility vehicle (SUV) launched in August 2019.
Kia's positioning strategies had worked very well thus far, and the company had been able to cultivate a brand
image of a premium automaker whose products were considered aspirational.
