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Product cover image for Maruti Suzuki in 2022: Defending Market Leadership

Maruti Suzuki in 2022: Defending Market Leadership

Nitin Pangarkar, Rohit Prabhudesai, Kapil Desai

Product #:W33324
Supplier:Ivey/NUS
Discipline:Strategy
Setting:India, 2022
Details:Case (PDF) • 13 pages • 2023-07-17 (Rev: 2023-10-23)

Subjects:

Competitive advantageCompetitive strategyStrategy

Industries:

Fabrication and manufacturing

Geography:

AsiaIndia
Your Price:$10.54

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In December 2022, Maruti Suzuki India Limited (Maruti Suzuki), the undisputed leader in the Indian car market, was evaluating the various alternatives for its continued growth and sustained performance. In 2015, building on the company's success selling no-frills cars, Maruti Suzuki launched its New Exclusive Automotive Experience (NEXA) line to attract customers who were seeking advanced car models. However, the emergence of electric vehicles posed a key challenge for Maruti Suzuki specifically because it lacked capabilities in this arena. To achieve continued growth and performance, Maruti had to prioritize among three alternatives: building upon its success in selling used cars, further building on the NEXA line, and aggressively trying to launch new electric vehicle models.

Learning Objectives

This case can be used in undergraduate- and graduate-level courses on strategic management. The case can effectively illustrate issues relating to competitive advantage, new brand or product line extension, and the need for even a successful strategy to evolve. The dilemma at the end of the case facilitates the evaluation of strategic alternatives. After completion of this case, students will be able to
  • understand the creation of a strong market position in an emerging market;
  • understand how an initial competitive advantage can be enhanced over time;
  • develop a world view on how a new technology such as electric vehicles will push even a strong incumbent to re-evaluate its strategy; and
  • evaluate the different alternatives available to a company and recommend a course of action.
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Case Study: Maruti Suzuki in 2022: Defending Market Leadership (English version) | Ivey Publishing