HONDAAMAZE

MANAGEMENT DILEMMA

INTRODUCTION:

• Type : Public Company

• Industry : Auto Mobile, Aviation

• Founded on : 24th sept. 1948

• Founders : Soichigo Honda , Takeo Fusisaha

• Head quarters : Tokyo , Japan

Continue.... Body & Chassis• Class : Subcompact• Body Style : 4-Door sedan• Layout : Front Engine , Front wheel drive• Related : Honda Brio

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Power-Train• Engine : 1.2 L L1213 i-VTEC 14 Petra 1.5 i-DTEC Diesel • Transmission : 5 Speed manual 5 Speed Automate

Research Problem SWOT Analysis

Strength• High & Powerful Research & Development• Innovation• Best Market Share Leadership • Strong & Powerful Brand Equity• Different & Unique Products• Popularity is termed as one of the best strength

which results in betterment of the company.

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WeaknessCost structure of Honda is high as

compare to other automobile manufactureApart from Nissan & Toyota ; Honda

requires privileged purchase deposit Civic model is consider as one of the

major weakness for Honda Company

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OpportunitiesHonda has the best opportunity to R&D in

producing cars according to the needs and demands of their customers

Various models are there which caters the lower segment

Emerging market is one of the best opportunity for this company

Honda can increase its production by focusing on sales & research

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Threats One of the major threat is the Economic

slowdownAnother is the lower cost competitors Price war is also consider as an important

threat for this companyOil prices are contributing a lot towards the

loss Honda companySecond movers are the major threat for the

company

Comparison

Specifications Amaze Swift dezire

Boot space 400ltrs 316ltrs

Power 86.8bhp 85.8bhp

Turning Radius 4.5m 4.8m

Adjustable headlights Yes No

Steering mounted stereo control

Yes No

Rear Armrest with cup holders

Yes No

Electrically flodable OR/MS

Yes No

Growth In Segments

The compact sedan segment is the fastest growing segment in the market now.

They are usually based on the platform of an existing compact car which substantially reduces the R&D and production cost due to synergy of operations.

Market strategyAmaze was like a knight in shining armor

for HondaOver 30000 bookings & a sale of 6023

units two months into its launch has brought it back to its profitable ways.

This has been Honda’s most successful launch in India so far and has the potential to take it all the way to the help.

Questionnaires What elements do you think are most important when you are

buying cars?  Product Quality After sale service Safety & reliability Maintenance cost What do you think of the performance of Honda in its quality

according to your experience? Excellent Very good Good Average Bad Do you feel satisfy with the price of Honda products? Satisfy Price is low Price is high

Continue... Which economic car brand will you buy ? Honda Maruti Hyundai What are the defects of Honda according to your point of

view? Bad looking Bad quality Maintenance High oil consumption What is your income? Below 3 lacs 3 lac to 5 lacs 5 lacs to 7 lacs 7 lacs to 9 lacs

Continue... Your occupation is Office staff Self-employed entrepreneurs Student Others  Which colour do you prefer? White Black Blue Which type of model you prefer? Petrol car Diesel car How do you evaluate overall quality? Excellent Very good Good Average Bad

Review

The Honda Amaze sedan is the new sub-four meter entrant for the Indian market.

More importantly it is the first diesel vehicle from Honda.

The Amaze competes directly with the Maruti Suzuki Dzire on pricing andmight seriously dent latter’s market share.

Conclusion• Honda had a steady presence in India, mostly in

the premium segments.• This has meant the development of enviable brand

equity, which could never translate into healthy volumes leading to a miniscule market shares.

• With the launch of Amaze a lot has changed, it seems that Honda has finally cracked the code for the Indian market.

• Only time will tell if will be able to carry this modus operandi forward in a market which is extremely volaite, rapidly changing and without much policy stabilization.