Download to read offline
Uploaded byHaripriya Ramesh
Presentation on maruti suzuki
Maruti Suzuki is the largest car manufacturer in India. It has three manufacturing plants with a total annual production capacity of 1.7 million vehicles. Maruti Suzuki utilizes 95% of its production capacity. It has an extensive distribution network of over 3,400 dealerships across India. Maruti Suzuki has a lower operating ratio and higher profit margin than its competitors due to its high sales volume and efficient operations. While Maruti Suzuki is dominant in the lower-cost car segment, the document suggests it could expand into the premium vehicle segment and focus more on spare parts and maintenance to maintain its market leadership over the long run.
More Related Content
Similar to Presentation on maruti suzuki
Presentation on maruti suzuki
- 1.
- 2.
- 3. Reasons Manufacturing capabilities Distribution network Costreduction-Total operating performance Low operating ratio with high profit margin, high domestic market growth rate High sales volume
- 4. Manufacturing Capacity • Marutihas 3 manufacturing plant across India • They are the first largest car manufacturer in India • All manufacturing facilities have a combined production capacity of 1,700,000 vehicles annually
- 5. Manufacturing Capacity Name of the company Production capacity Cars produced Utilization capacity Hyundai6,80,000 6,40,000 94.11% Maruti Suzuki 17,00,000 16,20,000 95.29% Honda 2,40,000 2,00,362 83.48%
- 6. Distribution Network • Ithas 3,403 outlets in 1659 cities • Maruti Suzuki and the Indian Railways have developed a stacking area of 8,000 sq mtrs on two NMG rakes. • The loading of cars takes 3 hours and 40 minutes. • This way of transporting cars besides being cost effective is also better as damage to cars during transit is much lower as against transporting them by trucks that ply across the highway..
- 7. Particulars Maruti SuzukiHyundai Tata Motors Operating Ratio(expenses/net sales) 0.825 0.961 1.01 Inventory turnover ratio (days) 15 50 90-100 Profit margin ratio 10.8% 3.93% 0.7% Lower the operating ratio higher the profit margin
- 8. High Sales Volume Company2017 2018 % increase/de crease Hyundai 44,758 46,735 4.4% Maruti Suzuki 1,44,081 1,63,434 13.4% Honda Cars 9,595 14,922 (35%)
- 9.
- 10. Suggestions Launching 20or so car models sound like a grand plan, but the point to note is that most of them are likely to be in the low-cost segment. Maruti Suzuki is already a leader in the lower-end of the small car, also known as the compact car or hatchback, segment. Though they are the market leaders, in order to maintain in their position in the long run they must focus on the premium segment or high end segment and becomes as successful as they are in the other segment Can focus on spare parts and car maintenance
- 11.