What should Maruti Suzuki do in the coming months?
Brands, Business News, Opinions - Speculations March 31st, 2006
What should Maruti Suzuki do in the coming months?
Here are some views of one of the newer customers of this company, which has put India on wheels with the awesome Maruti 800 car, which was launched like 22 years ago. Maruti is currently the India’s largest automobile manufacturer and are not losing any of their midas touch as Alto is continuing the tradition of being the largest selling Maruti car in the Indian market.
The company however somewhat shocked the market when they announced their plans to stop the manufacturing of their once very popular Maruti Zen model. Maruti is expected to launch a replacement model soon. We had like the company to consider launching Suzuki Ignis as Maruti Zen in the Indian market.
Another rumor going strong in the market is that Maruti is also considering stopping making the popular Esteem model in India. This is expected to be replaced by the sedan version of the popular Swift (I own one of these now!).
This would be a good decision considering Esteem is showing its age and is no longer in the same build quality class as its competition. It might be cheap but Maruti no longer can afford to make low class cars and sell them for cheap. The awesome success of Maruti Swift has proven that the company can sell better cars at a higher price in the market.
Maruti is also due to launch their cars powered by diesel engines this year. Baleno is a prime candidate for diesel engines, which would directly take on Hyundai Accent CrDI, which is due to be replaced with Hyundai Verna. Maruti Baleno can also take on Ford Fiesta Diesel heads on with competitive pricing and more value for money.
The company would do with stopping their Wagon R model, launching Suzuki Ignis as Maruti Zen in India, and launching a sedan version of Swift, which could replace Esteem as their primary sedan model. Coupled with diesel options, Tata Motors and Hyundai would have to run for covers again.
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