Archive for April 20th, 2010
Maruti Is 21
April 20th, 2010 | 
Author: Maruti Is 21
The country’s biggest carmaker Maruti Udyog turns 21 today. It has been 21 years of a rollercoaster ride only in this case the rollercoaster has gone more up than down. The company today holds a 55percent share of the market not a monopoly but overwhelmingly dominant nevertheless.
Maruti Udyog started in 1983 with the notion of making cars for the masses. As a thumb rule the word ‘Udyog’ Udyog is the Hindi equivalent of Industry in any Indian company indicates that the company has some government involvement is generally a cooperative and is meant to produce goods aimed at the general population with a humane attitude about it all a far cry from the hardnosed corporate snobbishness that usually is the trait of multinational corporations.
The government’s idea of making the car a means of transport for the masses did not meet with complete success as the passenger car density 8 cars per 1 000 individuals of the country will tell.
At the time of its entry 198384 Maruti Udyog and the ubiquitous M800 model were faced with a tough opposition in the Indian market a Morris Oxford wannabe and a relic of the Fiat 1100 both tracing their origin to more than three decades back hardly something to bother a modern Japanese automobile. As expected the M800 made quick work out of them.
The next competitor for Maruti would come only in the late 90s giving the default market leader a decadeandahalf to consolidate build up its volumes amortize costs and make a brand name which today stands head and shoulders above all the other automotive brands in the country.
To its credit Maruti today is as good if not better than the other players in the country in any competitive area from capacity utilization to efficiency. The cars now sell on their merits rather than government support and the company is a well defined professional outfit.
About the writer:nbsp;nbsp;Deepesh Rathore
Research Editor
deepesh.rathoresupplierbusiness.com
For more details on Maruti visit at www.theautodiary.com
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