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Maruti Suzuki India Limited SWOT & PESTLE Analysis

ID : 52190553| Aug 2019

COMPANY PROFILE -Maruti Suzuki India Limited

Business Sector :Automobile

Operating Geography :Asia, India, Global

About Maruti Suzuki India Limited :

Maruti Suzuki is leading automotive manufacturer in passenger vehicles category in India. It was established in 1981 as a JV between GOI and SMC. It has an installed production capacity of 1.5 million units a year. Maruti Suzuki employs close to 13200 professionals across its various products portfolio and various business units.

Maruti Suzuki India Limited Revenue :

INR 77,266.2 crore - FY ending March 2017

Competitive Analysis of Maruti Suzuki India Limited

SWOT
PESTLE
The SWOT analysis for Maruti Suzuki is presented below:
Strengths
Weaknesses
1. Improved business performance and leading market presence
2. Huge product portfolio and successful new product launches
3. Strong marketing through Nexa and high customer satisfaction level
4. Improving financial performance and rising EPS
1. Interior facility and features to improve to compete with foreign brands
2. Less market command over premium vehicles and SUV segment
Opportunities
Threats
1. Improving economic scenario in domestic market1. Slowdown of economy and expenses due to demonitisation
2. Foreign players setting manufacturing facilities in India
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Detailed SWOT Analysis of Maruti Suzuki India Limited

Weaknesses

1) Interior facility and features to improve to compete with foreign brands: Maruti Suzuki has to improve its interiors while competing with the foreign brands – Volkswagen, Hyundai, Nissan, Ford etc. The foreign players are little expensive but commands better driving ambience as well as comfortable ride for the passengers.

2) Less market command over premium vehicles and SUV segment: Maruti Suzuki is not an attractive option for the younger generation due to lack of sporty features and aesthetics of the products. Maruti Suzuki has also failed to produce superior premium range of products in the market due to inferior engine specifications as well as less improved suspensions leading to lesser comfortable rides. Maruti Suzuki has also got to improve its product positioning in the SUV market in order to compete with the traditional brands – Mahindra, Tata as well as foreign brands – Mercedes, Audi etc. These drawbacks has also limited Maruti Suzuki’s entrance into advanced markets around the globe.

Opportunities

1) Improving economic scenario in domestic market: India is going to experience a stabilised & healthy GDP growth around 7%. Due to improved infrastructure development in the country, there has been improving road connectivity which has led to improved road traffic thus driving sales of passenger car vehicles. Also, there is improvement in job market that has led to better disposable income for the common people to use cars instead of public traffic. There has been improving car rides either through taxi aggregators or purchases by the consumers. The domestic passenger car market has experienced growth of 7.64% in 2016 compared to 3.9% in 2015.

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Maruti Suzuki India Limited SWOT & PESTLE Analysis - SWOT & PESTLE.COM

SWOT & PESTLE.com (2020). Maruti Suzuki India Limited SWOT & PESTLE Analysis - SWOT & PESTLE.com. [online] Available at: https://www.swotandpestle.com/maruti-suzuki/ [Accessed 02 Apr, 2020].

In-text: (SWOT & PESTLE.com, 2020)

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Maruti Suzuki India Limited SWOT & PESTLE Analysis
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