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54 Chapter III An overview of car industry “Automobile industry is the industry of industries.” Peter Drucker 3.1 Introduction An automobile, autocar, motorcar or car is wheeled motor vehicle used for transporting passengers; it also carries its own engine or motor. Most definitions of the term specify that automobiles are designed to run primarily on roads, to have seating for one to eight people, to typically have four wheels, and to be constructed principally for the transport of people rather than goods. 3.2 Etymology The word automobile comes, via the French automobile, from the Ancient Greek word ατός (autós, self) and the Latin mobilis (movable); meaning a vehicle that moves itself, rather than being pulled or pushed by a separate animal or another vehicle. The alternative name car is believed to originate from the Latin word carrus or carrum (wheeled vehicle), or the Middle English word carre (cart ) (from Old North French), or from the Gaulish word karros (a Gallic Chariot). 3.3 History of automobiles The birth of the car occurred over a period of years. It was only in 1885 that the first real car rolled down on to streets. The earlier attempts, though successful, were steam powered road-vehicles. The first self-propelled car was built by Nicolas Cugnot in 1769 which could attain a speed of up to 6 kms/ hour. In 1771 he again designed another steam-driven engine which ran so fast that it rammed into a wall, recording the world‟s first accident.

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54

Chapter III

An overview of car industry

“Automobile industry is the industry of industries.”

Peter Drucker

3.1 Introduction

An automobile, autocar, motorcar or car is wheeled motor vehicle used for

transporting passengers; it also carries its own engine or motor. Most definitions of the

term specify that automobiles are designed to run primarily on roads, to have seating for

one to eight people, to typically have four wheels, and to be constructed principally for

the transport of people rather than goods.

3.2 Etymology

The word automobile comes, via the French automobile, from the Ancient Greek

word αὐτός (autós, “self”) and the Latin mobilis (“movable”); meaning a vehicle that

moves itself, rather than being pulled or pushed by a separate animal or another vehicle.

The alternative name car is believed to originate from the Latin word carrus

or carrum (“wheeled vehicle”), or the Middle English word carre (“cart”) (from Old

North French), or from the Gaulish word karros (a Gallic Chariot).

3.3 History of automobiles

The birth of the car occurred over a period of years. It was only in 1885 that the

first real car rolled down on to streets. The earlier attempts, though successful, were

steam powered road-vehicles.

The first self-propelled car was built by Nicolas Cugnot in 1769 which could

attain a speed of up to 6 kms/ hour. In 1771 he again designed another steam-driven

engine which ran so fast that it rammed into a wall, recording the world‟s first accident.

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In 1807 Francois Isaac de Rivaz designed the first internal combustion engine.

This was subsequently used by him to develop the world‟s first vehicle to run on such an

engine, one that used a mixture of hydrogen and oxygen to generate energy.

This spawned the birth of a number of designs based on the internal combustion

engine in the early nineteenth century with little or no degree of commercial success.

In 1860 thereafter, Jean Joseph Etienne Lenoir built the first successful two-stroke gas

driven engine. In 1862 he again built an experimental vehicle driven by his gas-engine,

which ran at a speed of 3 kilometers per hour. These cars became popular and by 1865

could be frequently espied on the roads.

The next major leap forward occurred in 1885 when the four stroke engine was

devised. Gottileb Damlier and Nicolas Otto worked together on the mission till they fell

apart. Daimler created his own engines which he used both for cars and for the first four

wheel horseless carriage. In the meanwhile, unknown to them, Karl Benz, was in the

process of creating his own advanced tri-cycle which proved to be the first true car.

This car first saw the light of the day in 1886.

The season of experiments continued across the seas in the United States where

Henry Ford began work on a horseless carriage in 1890. He went several steps forward

and in 1896, completed his first car, the Quadricycle in 1896. This was an automobile

powered by a two cylinder gasoline engine. The Ford Motor Company was launched in

1903 and in 1908 he catapulted his vehicle, Model T Ford to the pinnacle of fame.

Continuing with his innovations, he produced this model on a moving assembly line, thus

introducing the modern mass production techniques of the automobile industry. The modern

car therefore comes from a long list of venerated ancestors.

3.4 Automotive industry in India

The automotive industry in India is one of the largest in the world and one of the

fastest growing globally. India manufactures over 17.5 million vehicles (including

2 wheeled and 4 wheeled) and exports about 2.33 million every year. It is the world's

second largest manufacturer of motorcycles, with annual sales exceeding 8.5 million in

2009. India's passenger car and commercial vehicle manufacturing industry is the seventh

largest in the world, with an annual production of more than 3.7 million units in 2010.

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According to recent reports, India is set to overtake Brazil to become the sixth largest

passenger vehicle producer in the world, growing 16-18 per cent to sell around three

million units in the course of 2011-12. In 2009, India emerged as Asia's fourth largest

exporter of passenger cars, behind Japan, South Korea, and Thailand.

As of 2010, India is home to forty million passenger vehicles and more than

3.7 million automotive vehicles were produced in India in 2010 (an increase of 33.9%),

making the country the second fastest growing automobile market in the world. According to

the Society of Indian Automobile Manufacturers, annual car sales are projected to increase

up to five million vehicles by 2015 and more than nine million by 2020. By 2050, the

country is expected to top the world in car volumes with approximately six hundred and

eleven million vehicles on the nation's roads.

3.4.1 Overview

The Indian automobile industry is manufacturing over eleven million vehicles and

exporting about 1.5 million every year. The dominant products of the industry are two

wheelers with a market share of over 75% and passenger cars with a market share of

about 16%. Commercial vehicles and three wheelers share about 9% of the market

between them. About 91% of the vehicles sold are used by households and only about 9%

for commercial purposes. The industry has attained a turnover of more than USD thirty

five billion.

3.4.2 History

The first car ran on India's roads in 1897. Until the 1930s, cars were imported

directly, but in very small numbers. Embryonic automotive industry emerged in India in

the 1940s. Mahindra and Mahindra was established by two brothers as a trading company

in 1945, and began an assembly of Jeep CJ-3A utility vehicles under license from Willys.

The company soon branched out into the manufacture of light commercial vehicles

(LCVs) and agricultural tractors.

Following the independence in 1947, the Government of India and private sectors

made efforts to create an automotive component manufacturing industry to supply to the

automobile industry. However, the growth was relatively slow in the 1950s and 1960s

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due to nationalisation and the license raj which hampered the Indian private sector. After

1970, the automotive industry started to grow, but the growth was mainly driven by tractors,

commercial vehicles and scooters. Cars were still a major luxury. Japanese manufacturers

entered the Indian market ultimately leading to the establishment of Maruti Suzuki

Udyog. A number of foreign firms initiated joint ventures with Indian companies.

In the 1980s, a number of Japanese manufacturers launched joint-ventures for

building motorcycles and light commercial-vehicles. It was at this time that the Indian

government chose Suzuki for its joint-venture to manufacture small cars. Following the

economic liberalisation in 1991 and the gradual weakening of the license raj, a number of

Indian and multi-national car companies launched operations. Since then, automotive

component and automobile manufacturing growth has accelerated to meet domestic and

export demands.

Following economic liberalisation in India in 1991, the Indian automotive industry

demonstrated a sustained growth as a result of increased competitiveness and relaxed

restrictions. Several Indian automobile manufacturers such as Tata Motors, Maruti Suzuki

and Mahindra and Mahindra expanded their domestic and international operations. India's

robust economic growth led to the further expansion of its domestic automobile market

which attracted a significant India-specific investment by multinational automobile

manufacturers. In February 2009, monthly sales of passenger cars in India exceeded

100,000 units and grew rapidly to a record monthly high of 182,992 units in October

2009. From 2003 to 2010, car sales in India progressed at a CAGR of 13.7%, and with

only 10% of Indian households owning a car in 2009 (whereas this figure reached 80% in

Switzerland for example). This progression is unlikely to stop in the coming decade.

An attempt has been made to make trend analysis for the production, sales and

exports in the Indian automobile industry and the results are tabulated as follows:

3.5 Trend analysis under the method of least square

The method of least square is most widely used in practice to predict the future

trend. This method may be used either to fit a straight line trend or a parabolic trend.

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Yc = a + bx a= ∑y/N b= ∑xy / ∑X2

Yc = Trend Value

a= Constant

N= Number of the years

b= Rate of change

x= Unit of time

The following table shows the trend analysis by using the method of least square

for the prediction of the year 2015.

3.5.1 Analysis of trend on production, sales and export of automobiles in

India

Production is the activity of making tangible goods. In the economic sense production

means both making goods and rendering services that add value to a product even though

no physical change has taken place. Production is one of the most important areas of

performance. In business enterprises, production function will be considered to be very

effective and useful because it must operate primarily to satisfy customer's demand and it

must permit production activities to operate in an economical and efficient manner.

Production without adequate sales is not worthy. Export of production brings more

revenue and prospects to the company.

The trend analysis of a company may give an idea as to how the company has

performed in the year under review as compared to the past or how the company has

performed as compared to other companies of the same industry. The trend analysis by

the least square method for the prediction of automobile production has been done.

Subsequently trend analysis on sales and exports of the automobile industry in India has

also been worked out and is illustrated below.

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Table 3.1

Trend analysis by the least square method for the prediction of automobile production in India

for the years 2005-06 and 2014-2015

S.N. Year

Type of vehicle

Passenger

Vehicles

Trend

value

Commercial

Vehicles

Trend

value

Three

Wheelers

Trend

value

Two

Wheelers

Trend

value Total

Trend

value

1 2005-06 1209876 1206025 353703 384800 374445 405751 6529829 6949594 8467853 8942675

2 2006-07 1309300 1352039 391083 411426 434423 436232 7608697 7351059 9743503 9555495

3 2007-08 1545223 1515731 519982 439894 556126 469004 8466666 7775715 11087997 10210310

4 2008-09 1777583 1699242 549006 470332 500660 504237 8026681 8224903 10853930 10909999

5 2009-10 1838697 1904970 417126 502876 501030 542116 8418626 8700040 11175479 11657635

6 2014-15 - 3373283 - 702658 - 778723 - 11520558 - 16238250

*MAPE 3 13 7 4 18

**MAD 44139 59190 32980 30951 118192

Fitted Trend

Equation

Yt = 1075780 *

(1.12107**t)

Yt = 359897 *

(1.06919**t)

Yt = 377400 *

(1.07512**t)

Yt = 6570055 *

(1.05777**t)

Yt = 8369156 *

(1.06853**t)

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It shows that the trend movement for the automobile in passenger vehicles for the

year 2006 reads 1206025. The trend movement for the year 2015 the automobile

production in passenger vehicles by 3373283with the MAPE and MAD is

3 and 44139 respectively. Next, the trend movement for the year 2006 the automobile

production in commercial vehicles by 384800. The trend movement for the year 2015 the

automobile production in commercial vehicles by 702658with the MAPE and MAD is

13 and 59190 respectively. It is shows that the trend movement for the year 2006 the

automobile production in three wheelers by 405751. The trend movement for the year

2015 the automobile production in three wheelers by 778723with the MAPE and MAD is

7 and 32980 respectively. It is shows that the trend movement for the year 2006 the

automobile production in two wheeler by 6949594. The trend movement for the year

2015 the automobile production in two wheeler by 11520558with the MAPE and MAD is

4 and 30951 respectively. Finally, the trend movement for the year 2006 the automobile

production in all the categories by 8942675. The trend movement for the year 2015 the

automobile production in passenger vehicles by 16238250with the MAPE and MAD is

18 and 118192 respectively.

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Table 3.2

Trend analysis by least square method for the prediction of automobile sales in India

for the years 2005-06 and 2014-2015

S.N. Year

Type of vehicle

Passenger

Vehicles

Trend

value

Commercial

Vehicles

Trend

value

Three

Wheelers

Trend

value

Two

Wheelers

Trend

value Total

Trend

value

1 2005-06 1061572 1068077 318430 344400 307862 337294 6209765 6608653 7897629 8353842

2 2006-07 1143076 1187973 351041 369728 359920 346469 7052391 6870386 8906428 8779156

3 2007-08 1379979 1321328 467765 396918 403910 355893 7872334 7142485 10123988 9226124

4 2008-09 1549882 1469653 490494 426107 364781 365574 7249278 7425360 9654435 9695849

5 2009-10 1551880 1634628 384122 457444 349719 375517 7437670 7719439 9723391 10189488

6 2014-15 - 3094878 - 700244 - 441125 - 9745291 - 13726240

*MAPE 4 12 7 4.89855E+00 4.25935E+00

**MAD 54606 50642 23498 3.53719E+05 3.97772E+05

Fitted Trend

Equation

Yt = 960281 *

(1.11225**t)

Yt = 320808 *

(1.07354**t)

Yt = 328363 *

(1.02720**t)

Yt = 6356891 *

(1.03960**t)

Yt = 7949132 *

(1.05091**t)

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It shows that the trend movement for the year 2006 the automobile production in

passenger vehicles by 1068077. The trend movement for the year 2015 the automobile

production in passenger vehicles by 3094878with the MAPE and MAD is 4 and 54606

respectively.

Next, the trend movement for the year 2006 the automobile production in commercial

vehicles by 344400. The trend movement for the year 2015 the automobile production in

commercial vehicles by 700244with the MAPE and MAD is 12 and 50642 respectively.

It shows that the trend movement for the year 2006 the automobile production in

three wheelers by 337294. The trend movement for the year 2015 the automobile production

in three wheelers by 441125with the MAPE and MAD is 7 and 23498 respectively.

It shows that the trend movement for the year 2006 the automobile production in

two wheeler by 6608653. The trend movement for the year 2015 the automobile production

in two wheeler by 9745291with the MAPE and MAD is 4.89855E+00 and 3.53719E+05

respectively.

Finally, the trend movement for the year 2006 the automobile production in all the

categories by8353842. The trend movement for the year 2015 the automobile production

in passenger vehicles by 13726240with the MAPE and MAD is 4.25935E+0018 and

3.97772E+05 respectively.

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Table 3.3

Trend analysis by least square method for the prediction of automobile exports in India

for the years 2005-06 and 2014-2015

S.N. Year

Type of vehicle

Passenger

Vehicles

Trend

value

Commercial

Vehicles

Trend

value

Three

Wheelers

Trend

value

Two

Wheelers

Trend

value Total

Trend

value

1 2005-06 166402 152038 29940 36668 66,795 74870 366,407 385135 629,544 661989

2 2006-07 175572 179698 40600 39324 76,881 88951 513,169 489468 806,222 804516

3 2007-08 198452 212390 49537 42174 143,896 105679 619,644 622064 1,011,529 977728

4 2008-09 218401 251029 58994 45230 141,225 125554 819,713 790581 1,238,333 1188233

5 2009-10 335739 296698 42673 48507 148,074 149166 1,004,174 1004749 1,530,660 1444060

6 2014-15 - 808837 - 73806 - 419477 - 4233742 - 4652504

*MAPE 8 15 14 3 5

**MAD 18318 6866 16863 18541 58048

Fitted Trend

Equation

Yt = 128635 *

(1.18193**t)

Yt = 34190.7 *

(1.07246**t)

Yt = 63018.8 *

(1.18806**t)

Yt = 303041 *

(1.27090**t)

Yt = 544713 *

(1.21530**t)

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It shows that the trend movement for the year 2006 the automobile production in

passenger vehicles by 152038. The trend movement for the year 2015 the automobile production

in passenger vehicles by 808837 with the MAPE and MAD is 8 and 18318 respectively.

Next, the trend movement for the year 2006 the automobile production in commercial

vehicles by 36668. The trend movement for the year 2015 the automobile production in

commercial vehicles by 73806with the MAPE and MAD is 15 and 6866 respectively.

It shows that the trend movement for the year 2006 the automobile production in

three wheelers by 74870. The trend movement for the year 2015 the automobile production

in three wheelers by 419477with the MAPE and MAD is 14 and 16863 respectively.

It shows that the trend movement for the year 2006 the automobile production in

two wheeler by 385135. The trend movement for the year 2015 the automobile production in

two wheeler by 4233742 with the MAPE and MAD is 3 and 18541 respectively.

Finally, the trend movement for the year 2006 the automobile production in all the

categories by 661989. The trend movement for the year 2015 the automobile production

in passenger vehicles by 4652504 with the MAPE and MAD is 5 and 58048 respectively.

3.6 Profile of Maruti Suzuki

Maruti Suzuki India Limited, a partial subsidiary of Suzuki Motor Corporation of

Japan, is India's largest passenger car company, accounting for over 45% of the domestic car

market. It was the first company in India to mass-produce and sell more than a million cars.

It is largely credited for having brought in an automobile revolution to India. It is the market

leader in India and on 17 September 2007, Maruti Suzuki Udyog Limited was renamed

Maruti Suzuki India Limited. The company's headquarters are located in New Delhi.

Maruti Suzuki is the leading automobile manufacturer of India and Nepal, and the

market leader in the car segment, both in terms of volume of vehicles sold and revenue

earned. Until recently, 18.28% of the company was owned by the Indian government, and

54.2% by Suzuki of Japan. The BJP-led government held an initial public offering of

25% of the company in June 2003. As of 10 May 2007, the Government of India sold its

complete share to Indian financial institutions. With this, Government of India no longer

has any stake in Maruti Suzuki Udyog.

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3.6.1 History of Maruti Suzuki

Maruti Suzuki Udyog Limited (MUL) was established in February 1981, though

the actual production commenced in 1983 with Maruti Suzuki 800, based on the Suzuki

Altokei car which, at the time, was the only modern car available in India, its only

competitors- the Hindustan Ambassador and Premier Padmini, which were both around

25 years out of date at that point. Through 2004, Maruti Suzuki has produced over

5 Million vehicles. Maruti Suzuki is sold in India and in various several other countries,

depending upon export orders. Models similar to Maruti Suzuki (but not manufactured by

Maruti Suzuki Udyog) are sold by Suzuki Motor Corporation and manufactured in

Pakistan and other South Asian countries.

The company annually exports more than 50,000 cars and has an extremely large

domestic market in India selling over 730,000 cars annually. Maruti Suzuki 800, till 2004,

was the India's largest selling compact car ever since it was launched in 1983. More than

a million units of this car have been sold worldwide so far. Currently, Maruti Suzuki Alto

tops the sales charts and Maruti Suzuki Swift is the largest selling in A2 segment.

Due to the large number of Maruti Suzuki 800s sold in the Indian market, the term

“Maruti Suzuki” is commonly used to refer to this compact car model (“Maruti” is another

name of the Hindu god, Hanuman).

More than half the cars sold in India are Maruti Suzuki cars. As already mentioned,

the company is a subsidiary of Suzuki Motor Corporation, Japan, which owns 54.2 per cent

of Maruti Suzuki. The rest is owned by public and financial institutions. Nearly 75,000

people are employed directly by Maruti Suzuki and its partners. It has been rated first in

customer satisfaction among all car makers in India from 1999 to 2011 by J D Power

Asia Pacific.

Brief descriptions of the models produced and imported by Maruti Suzuki are

given below.

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3.6.2 Cars produced in India

3.6.2.1 Maruti Suzuki 800 (Launched in 1983)

Maruti Suzuki 800 is India's iconic car that had actually put India on wheels.

It was first launched in 1983 to bring the joy of motoring to millions of people across the

country.

Powertrain and Performance

Maruti Suzuki 800 is available in four variants powered by 796 cc Inline 3 engine

that generates 37 bhp. The M800 duo runs on petrol and LPG offering 37 bhp and 35 bhp

of power output respectively. It is available as petrol variant and duo variant in both

standard and air-conditioned versions.

The duo variant runs on both LPG and petrol with a convenient petrol/LPG

switching option that ensures zero power drops while changing fuel modes. It beholds a

company fitted 20-litre LPG cylinder that is absolutely safe and occupies a minimal boot

space. The duo variant works on the Gas Mixer System based on the Integrated Gas

Technology that offers optimised performance and fuel efficiency.

All the four variants are mated to a 4-speed, all synchromesh manual transmission,

MacPherson Strut front suspension, and coil spring rear suspension with gas filled shock

absorbers. Moreover, with a small turning radius of 4.4 m along with sleek and slim

dimension, the M800 is a delight to maneuver anywhere and everywhere.

Build and Styling

The New Maruti Suzuki 800 is adorned with a completely new grille accentuated

by the Suzuki trademark. Moreover, the clear lens headlamps, rear combination lamps,

and sleek dimension of the car add a touch of excitement to this otherwise sober car.

In the interior, the dual tone upholstery exudes warmth along with a host of

functional amenities available. The reclining and sliding front seats, glove compartment,

sun visors, front door pocket, floor and luggage room carpets, and cabin light add comfort

to every journey.

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The New Maruti Suzuki 800 also ensures new age security and superb safety to

drive away the car with a complete peace of mind. The specifically placed crumple zone

absorbs the impact energy in case of an accident. Furthermore, the high mount stop lamp,

collapsible steering column, rear seat belts, and side impact beams improves the safety of

the car as well as passengers. To ensure security of the car the new 800 also comes equipped

with an ICATS (Intelligent Computerised Anti-Theft System) technology. ICATS is an

electronic system that works on digitally encrypted codes to ensure that the car starts with

an original key only. This ensures car security and delivers a stress free drive.

The reasons stated by the customers of Maruti Suzuki for purchasing Maruti 800

cars are: India‟s iconic car, value for money, integrated gas technology, lower cost of

ownership, new age security.

The problems faced by its customers are: No prestige value and lack of innovation.

3.6.2.2 Maruti Suzuki Omni (Launched in 1984)

Even after two decades of its launch, the Omni still sells in the Indian market

without much face-lift or change in mechanical aspects. It is the cost and the space,

which has been selling this van. The cost per kilometer, including spares, maintenance

and the cost of the car, is what has retained the car in the market.

The Omni uses Maruti Suzuki 800's four-stroke, 796cc engine, which transfers

power to the rear wheels through 4-speed manual transmission. Initially, it was accepted

as an economic passenger van; later it was launched again in cargo version. Both the

variants run on 12-inch wheels, which are suitable mainly for city drive.

The new Omni has some better refinements; the headlamps and the bumper have

been revamped, leaving the front with a different look. The side panel also received some

sleek graphics but the interiors take the major share of improvements.

The Omni also comes equipped with a re-designed steering wheel, booster-assisted

front disc brakes, dual toned upholsteries and cushion on its inner wall. It is a lone player

in the segment and comes in five colours viz. Caribbean Blue, Icy Blue, Bright Red,

Silky Silver and Superior White. It is available in six variants - Cargo MPI, LPG Cargo,

Ambulance MPI, Std LPG 5-str, Std MPI 5-str, and Std E MPI 8-str with ample features.

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Powertrain and Performance

Power comes standard from the 800 cc MPFi engine with two valves-per-cylinder.

This MPFi engine shells out 35 bhp and transfers it to the rear wheels through the 4-speed

manual transmission. The Omni gets an LPG option too. It is value for money and is

capable enough to carry passengers or 450 kilograms of cargo. It gives a mileage of

12/17 kmpl in city/highway.

Build and Styling

The Omni interiors get all-new dashboard with add-ons like cup holders and

slightly upscale plastic than the previous one. The all-new steering is better off than its

predecessor. Seating still remains basic, with some changes like dual toned upholsteries.

The 5-seater Omni gets an optional LPG kit fitted from the factory. It delivers 27 bhp at

4,500 rpm and gets a 62.1 litre LPG cylinder plus a 5-litre reserve petrol tank.

In business section, Maruti Suzuki Omni has three variants: the ambulance, cargo

and cargo LPG. The ambulance comes with factory-fitted amenities like box-type stretcher

stand-cum-seat, rear seat with backrest that seats two persons, 12-volt plug point for

operating a suction machine, ECG machine, stand for oxygen cylinder and saline bottle,

flasher light and siren, folding stretcher and medicine box.

New dash and steering design dual tone upholstery, booster assisted front disc

brakes, affordable, roomy interiors and fuel efficient are the reasons the owners of Omni

purchase them for.

The problems stated by its customers are: being unstable at high speeds, seating to

be improved and being underpowered.

3.6.2.3 Maruti Suzuki Gypsy (Launched in 1985)

Maruti Suzuki Gypsy is India's first off-road vehicle and was launched in 1985 at

a time when India was evolving. It is a four wheel drive SUV that created waves in the

Indian automobile industry at the time of launch.

This SUV is designed on the platform of Suzuki SJ long wheelbase. It is a 4 X 4

off roader available in the three variants, Soft Top, Hard Top, and Ambulance Car. The

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excellent SUV beholds excellent off-road capabilities and is ideal for adventurous trips

and off-road driving.

Powertrain and Performance

Under the hood, Maruti Suzuki Gypsy is equipped with a 1.3-litre MPFI petrol

engine that churns out 80 bhp of power output. MPFI is a multi point fuel injection

system that ensures improved performance and fuel efficiency.

The engine is mated to a 5-speed all synchromesh manual transmission that offers

nearly seamless shifts. Furthermore, front and rear leaf spring suspension with double

action damper helps improve handling and traction.

Maruti Suzuki Gypsy is a perfect car on any terrain under any weather condition.

When driving on hills, higher ground clearance ensures better off-road capability and the

diaphragm spring clutch helps reduce wear of parts. When driving in snowy conditions

the high thermal conductivity of the engine ensures that the engine is effectively ignited

even in the midst of snow. High thermal conductivity of the engine ensures that there is

no overheating and the car drives smoothly even in the hot deserted areas.

Build and Styling

Maruti Suzuki Gypsy is designed with the simple yet powerful structure that

beholds the traditional appeal of a SUV. It is a boxy like structure that is fitted with

driver's side rear view mirror, a spare wheel cover, front footstep assembly, and a foldable

front windscreen on the exterior. The aggressive yet impressive fascia adds more expression

to the appeal.

The standard features in the car are reclining and sliding front seats, fabric

upholstery in the hard top, adjustable head restraints, a front package tray, a lockable

glove compartment, floor carpet, steering lock, and an inside rear view mirror.

Apart from the standard features there are certain distinctive characteristics in

three different variants of the Gypsy. The Hard Top version of the car features fabric

upholstery and a fiber reinforced plastic top, while the Soft Top version has a foldable

windscreen and a removable canvas top.

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The attractive features of Gypsy are: India's first petrol off-road vehicle, higher

ground clearance, light-weight SUV, greater responsiveness, excellent off-road capability,

and high cruising speeds.

One key disadvantage of Maruti Suzuki Gypsy is that it lacks important safety

features like airbags, antilock braking system, traction control, and electronic brake force

distribution.

The problems with the Gypsy are its exterior look, uncomfortable seating and low

fuel efficiency.

3.6.2.4 Maruti Suzuki Alto (Launched in 2000)

The Alto with its compact dimensions and sturdy built is just right for Indian

roads. Besides, it needs minimal maintenance and is extremely fuel efficient, making it

just the perfect car for the average Indian working class. In addition Maruti Suzuki's wide

service network and the lure of this little car are perfectly understandable.

Powertrain and performance

The Alto is equipped with a 796cc engine that serves up 46.3 bhp worth of power

and 62 Nm of torque. A 5-speed, all synchromesh, manual transmission is standard in the

Alto. The car has both petrol and CNG options. The front suspension has a McPherson

Strut with torsion type roll control device, while the rear sports coil spring gas-filled

shock absorbers with three link rigid axle and isolated trailing arms.

The ride quality is pleasant and comfortable but handling does not exactly measure

up. Steering is spongy at times. A stiff suspension soaks up bumps like a pro. Brakes are

hugely responsive too. A stiff chassis gives the Alto its fabulous driving character.

Build and Styling

The Alto is based on the Wagon R's platform but has an identity of its own. It has

a clean silhouette and a minimalist design minus any frippery. The word 'Unpretentious'

would describe it the best. A chunky front bumper, a dashing front grille and a bold 'S'

badge are among the new design cues on the front fascia.

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The Alto is equipped with ample interior comforts; a super cool A.C., electronic

power steering, and convenient cup holders among them. It also offers fabric seats, a

moulded carpet, a luggage compartment carpet, cabin lamp, an electronic tripmeter, a floor

front console with cup holders, a floor rear console, a glove box and front door pockets.

The Alto's standard safety features include side impact door beams, a child safety

lock, clear lens headlamps, rear caps, a collapsible steering column, a high rigid monocoque

frame made of high tensile steel, front and rear seat belts, booster assisted brakes and rear

seat head restraints.

The physical features that attracted most of the Alto customers included: excellent

fuel economy, tight turning radius, responsive steering, low cost of maintenance and

stylish new interiors.

The problems stated by its customers are: Substantial and sturdy quality and the

lack of legroom.

3.6.2.5 Maruti Suzuki WagonR (Launched in 2002)

Maruti Suzuki new WagonR was first launched in 1993 in Japan. The WagonR

made its Indian debut in 2002. Since its launch, Maruti Suzuki has sold 8.8 lakh units of

the car in India and exported 5.5 lakh units to various countries.

In 2006, the WagonR got a facelift and the new WagonR Duo, which could run

on LPG apart from petrol, was launched. The new WagonR, also known as “The Blue-

Eyed Boy” has got lot of improvements such as new features along with a new dynamic

look. Right from the new K-series engine to stylish new interiors, Maruti Suzuki has done

everything to impress the Indian crowd.

The new Maruti Suzuki WagonR is available in a range of attractive colours

including superior white, midnight black, baker's chocolate, breeze blue, and fire brick

red, silky silver and glistening grey.

Powertrain and Performance

The all new WagonR comes in four variants, the LX, LXi, the high-end VXi and a

CNG variant. The new car gets its power from a 998cc three-cylinder K10B engine and

this engine is coupled by a 5-speed manual transmission that provides smooth maneuvering

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of the car. The BS IV compliant engine can stir up 67 bhp at 6200 rpm and a maximum

torque of 90 Nm at 3900 rpm. The new WagonR is economical and its performance is out

of this world with a mileage of 18 kmpl.

Build and Styling

The new WagonR with a bold and aggressive stance looks more muscular when

judged against its predecessor. It has a fresher and curvier look, the V-character line

amplifying the car's athletic personality. The bigger and sweeping headlamps sparkle

with the blue tint giving the car the feel of a superstar. The sloping roof, extra-wide

bumpers broadening towards the corners and the blazing fenders only add to the agile

looks of the blue-eyed boy.

The new WagonR comes as a big-hearted package with roomy interiors. The dual-tone

interiors offer a soothing ambience with the 3-D fabric seats with 60:40 split rear seats.

Silver accentuation all around is a treat to the eye. The new tilt steering wheel, ergonomic

gear knob and the new speedometer design make driving less tiresome and keep the

driver yearning for more and longer drives. The new WagonR has the best-in-class wheel

base of 2400 mm which is over 40 mm more than the original WagonR. The legroom too

is extremely generous compared to the rest in the segment. The 240mm front seats offer a

warm welcome to even tall users. The headroom is grand.

The car is eco-friendly with a utility basket just below the co-driver's seat making

it loud and clear 'while I am here, do not throw waste out of the car'. There is a front door

map pocket and soft inserts on the floor console to safeguard the cell-phone camera unit

add a pinch of grace to the interiors.

The electrical outside rear view mirror (ORVM) offers great visibility. Keyless

entry and foldable assist-grips are added features that the new WagonR sports. A new

HVAC unit providing a temperature reduction of four degrees than the existing model

comes in the face- lifted version of the WagonR.

The new WagonR comes swarmed with safety features. The high-end variant

includes ABS & dual airbags, rear defogger, wiper & washer, driver seat belt indicator

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and the immobiliser i-CATS (intelligent Computerised Anti-Theft system) security

system take care of car, driver and passenger safety.

The reasons stated by customers of Maruti Suzuki for purchasing WagonR are:

loaded with state-of-art technology, modern and curvier looks, bigger and sweeping

headlamps with the blue tint, remote keyless entry, ergonomic gear knob, and extremely

spacious interiors.

The problems with WagonR are: that they are available only in petrol variants.

ABS and dual airbags are present only in the high-end variant.

3.6.2.6 Maruti Suzuki Swift (Launched in 2005)

With cutting edge technological features, 'Swift' was created with Japanese technology

and European styling and the result was an innovative, sporty and elegant design.

Keeping in mind Indian roads, the suspension was modified and good ground

clearance was provided. A 2005 debutante, Maruti Suzuki Swift has won many awards

including 'the car of the year,' from various motoring associations like Overdrive, CNBC

Autocar and BBC-Top Gear, for its comfort, safety features and concept car like styling.

The Swift is available in five versions in both BS III and BS IV compliant: LXi, VXi,

ZXi (petrol), and LDi and VDi (diesel). Now it has included VI BS IV the Swift One

Million Edition as a new petrol variant.

Powertrain and Performance

Peppy in traffic and smooth on the highway, the Swift with its 5-speed manual

transmission offers a comfortable ride. Powering the Swift is the 1.3L engine that

generates 87 bhp at 6,000 rpm and 113 Nm of torque at 4,500 rpm, contributing to a

smooth ride. It is really 'swift' in performance; it sprints from 0-100 kmph in just 10 seconds

and clocks a maximum speed of 160 kmph. Swift runs 11 kmpl in city conditions and 13 km

on highway.

The all-new diesel comes with the latest CRDi fuel injection system. The turbo-

charged 1.3L makes 75 bhp at 4,000 rpm and 190 Nm of torque at 2,000 rpm. The low

reviving engine needs fewer downshifts in city conditions as there is ample power at low

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rpm. There are six computers on board for engine management system, electronic power

steering, automatic climate control, anti-lock braking system, central locking and airbag

deployment.

Build and Styling

Swift comes in striking colours such as solid bright red, metallic garnet orange,

pearl metallic arctic white, metallic ozone blue, metallic silky silver, metallic iridium

gold, metallic azure grey and metallic midnight black.

As for the comfort, the Swift is fitted with front and rear electric windows.

The central door locking facility is available only for the VXi and ZXi variants. All the

three trims come equipped with 3-spoke urethane steering wheel. The high-end Swift

comes fully loaded with added safety features and accessories including automatic

climate control, driver seat height adjuster, and 12V accessory socket in the luggage area,

electromagnetic type tailgate opener, rear window wiper and de-mister, dual front

airbags, Anti-lock Braking System (ABS) with Electronic Brake-force Distribution

(EBD), keyless entry and seatbelt pre-tensioners. Standard features on the base model

include power steering, air-conditioning, brake assist, seat-belts for all seating positions,

child lock on rear doors and side impact beams.

The customers of Swift cars listed that the following are the reasons for purchasing it.

The reasons are: dynamic European styling, six on-board computers, latest diesel technology,

cute and cheeky looks, excellent driving manners, stiffened suspension for Indian roads.

The problem with the Swift is its Petrol engine demands more refinement.

3.6.2.7. Maruti Suzuki Estilo (Launched in 2009)

Maruti Suzuki Zen Estilo has been redesigned and more than a decade old brand

name Zen has been pushed into history and renamed as Maruti Suzuki Estilo. The new

Maruti Suzuki Estilo has been redesigned to suit the Indian taste.

The new Maruti Suzuki Estilo rolls out in four variants -- LXi, VXi, ZXi and

CNG variants. All the variants are powered by 1.1L K-Series 3 cylinder engine mated

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with Bharat IV compliant. The top-end model comes with optional safety features like

Anti-lock Braking System (ABS), airbags and alloy wheels.

Powertrain and Performance

The Estilo is powered by the A-Star's 1.0 L K-Series 3-cylinder engine. Power is

transferred to the front wheels by a 5-speed manual transmission. The Estilo has enough

sprinting power in the second and the third gears; in the third gear, it reaches a maximum

of 100 kmph. The fourth and the fifth gears stabilise speed. The Estilo clocks 60 kmph in

just 6 seconds and manages 100 kmph in 16 seconds, an all-time better than its stable

mate WagonR.

Build and Styling

The new Estilo is a smart, elegant and contemporary car. It is carved on the

Monoform Aerodynamic Design that allows it to cut through air current. The tall boy

stance creates some drag but that seems to be minimal.

The exterior styling combines drop-gorgeous front fascia that is stunning and has

sleek lines. The car has been designed keeping in view the latest trends. The New Estilo

boasts elegant head lamps, larger bumpers with built-in fog lamps. The tail lamp cluster

is an excellent design, making good use of curves, lines and space. The B and C-pillars

have given a black shade, and look sporty and go well with tinted glasses. Moreover, the

body-coloured door handles and the exterior rear view mirror highlight the style of the car.

The interiors are just not Maruti Suzuki type; they are quite upscale and plush.

The dual-toned dash imparts the impression of a luxurious sedan. The instrument cluster,

the AC and the music system on the console are properly placed, adding convenience.

The seats are ergonomically designed with shoulder support and adjustable head restraints

for comfort. The design offers enough headroom and legroom. The Estilo has minimal

standard features such as power windows, power steering, power controls, body-coloured

bumper, tachometer, remote keyless entry, power rear door opener, electric mirror adjuster

and rear door defogger.

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The customers of Estilo cars listed that the following are the reasons for

purchasing it: acceleration upscale, roomy interiors, colour range, drop dead gorgeous

styling, powerful engine for its class, pricing.

The problem with the Estilo is that its transmission is not satisfactory.

3.6.2.8 Maruti Suzuki SX4 (Launched in 2007)

Maruti Suzuki SX4 was launched in 2007. The SX4 is the second international

offering from Maruti Suzuki. The SX4 is being touted as the tallest, widest, and broadest

sedan in its class. It is available in nine variants the main variants are VXi, ZXi, VXi

CNG and diesel variants.

Powertrain and Performance

All the SX4 variants derive power from a contemporary and economical 1.6-litre

In-line 4 VVT petrol engine that can generate a power of 103 bhp@5600 rpm and

145 Nm of torque @4,100 rpm and CNG pumps out to 85.8 bhp@5600 rpm and torque

of 122 Nm@4000 rpm whereas 1.3-litre In-line 4 VGT diesel engine pumps out to

88.7 bhp@4000 rpm and torque of 200 Nm@1750 rpm.

The VXi, ZXi, VXi CNG and diesel variants are maneuvered by a highly

responsive electronic power steering and are mated to a smooth shifting 5-speed manual

transmission. On the other hand, the ZXi BS IV AT and ZXi BS IV Leather AT are

paired with a 4-speed automatic transmission gearbox.

Ventilated disc brakes in the front and drum brakes in the rear provide sharp

stopping power to the SX4 and minimise its stopping distance. All the versions of the

ZXi come with Anti-lock Braking System (ABS) that makes one‟s command of the car

safe on highways.

A ground clearance of 170 mm and 180 mm endows the new SX4 VXi and ZXi

versions respectively to be driven on all kinds of roads without any worry of its floor

being damaged. With a turning radius of 5.3 metres, SX4 can be driven, turned, or swerved

in narrow lanes without any hitch.

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The VXi stands on 195/65 R15 tubeless tyres while the ZXi is propped on 205/60

R16 tubeless tyres. The fuel tank of both the variants can hold a maximum of 50 litres.

Build and Styling

Influenced by the latest European design trends, the new SX4 boasts of a trapezium

form, with wide treads and large wheels. Measuring 4,490 mm in length and 1,735 mm in

width, the new SX4 looks imposing. Arched fenders further add to its athletic and

muscular stance. At the rear, the SX4 has got a large tail gate with a multi-faced tail light

cluster and rear bumper that improves its expediency. All the nine variants come with

body-coloured bumpers, rear fog lamps, electrically adjustable outside mirrors, and a

glass antenna.

With a wheelbase measuring 2,500 mm and a high roof-line, SX4 offers roomy

and comfortable interiors. The VXi comes with a manual air-conditioner while a single-

zone auto air-conditioner maintains temperature in the ZXi. The ZXi is also equipped

with a driver‟s seat height adjuster, a feature absent from the VXi.

The customers of SX4 cars state the following are the reasons for purchasing it:

The reasons are: BS IV compliant 1.6L VVT petrol, CNG and 1.3L VGT Diesel engine,

Choice of nine variants, Comes loaded with features at competitive price, Influenced by

European styling, Comfortable interiors, Low running costs.

The problems problem with SX4 is its rear styling is not very attractive and has to

be further improved.

3.6.2.9 Maruti Suzuki Swift DZire (Launched in 2008)

Maruti Suzuki has been reborn as a make with a portfolio of global models. With

the aging of Esteem, Maruti Suzuki scrapped the model from 2008 and has now

introduced the new Swift DZire sedan. Swift DZire is the sedan version of the famous

Swift hatchback and resembles its sibling in most aspects.

While designing the new sedan, Maruti Suzuki has made an effort to retain the

original overall design theme of the Swift hatchback. But the rear of the car is a complete

deviation from the Swift and resembles the recently launched Maruti Suzuki SX4 Sedan.

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Swift DZire which comes in both BS III and BS IV compliant has six variants -

LXi, VXi, and ZXi and LDi, VDi, and ZDi. The trims are packed with upscale

accessories, quality interior materials and safety features that are the first for the segment.

Powertrain and Performance

The DZire provides a choice of the same two engines available on the hatchback

version of the Swift. The petrol engine is a 1298cc 16-valve In-line 4 that delivers

83.8 bhp@6000 rpm and a maximum torque of 113 Nm@4500 rpm. The diesel variants

get a 1248cc turbocharged DDiS engine that generates 73.9 bhp@4000 rpm and a

maximum torque of 190 Nm@2000 rpm.

Swift DZire variants have lower kerb weight in their class with petrol variants

ranging from 1010-1035 kg and diesel variants ranging from 1090-1115 kg. The lower

kerb weight advantage translates to a good performance of the car. The gearbox is slick

and the clutch is smooth. This makes driving the car a pleasure.

Build and Styling

Swift DZire retains the cheeky appeal of its hatchback sibling with a more premium

look. Though the front fascia looks almost the same as the hatchback, it has got a flashy

chrome grille and slightly sharper design headlamps.

The DZire's back is entirely different from the hatchback. The trunk lid is raised

and has a lip that merges with the shoulder line of the car. A thick chrome garnish on the

top of the rear number plate attempts to offset the heaviness of the oversized trunk lid.

The car's interior has a luxurious look and feel with the use of good materials. The steering

wheel is the same unit that is offered with the Swift and SX4.

Compared to the hatchback, the most notable changes in the sedan are in the top-

end variants that now come with standard steering mounted controls for the music

system, and the new music system has been well integrated into the dashboard to add a

lot of charm. The DZire also has a comfortable seating position for rear occupants

compared to the Swift hatchback.

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The VXi, ZXi, VDi, and ZDi come with quality fittings like integrated audio

system, tachometer, and convenience features such as audible headlights-on reminder,

centre and front cabin lights, vanity mirror, rear seat centre armrest, and front electric

power windows. The top-end ZXi and ZDi variants are equipped with more upscale

features like front airbags, ABS with EBD brake assist, rear window defogger, adjustable

tilt steering, and automatic climate control.

The reasons the customers of Swift DZire cars list for purchasing them are: striking

chrome grille, climate control, generous trunk, handling, interior materials, and price.

The problems with Swift DZire are its rear legroom, difficult reverse driving,

substandard music player which has not even a pen drive provision for playback.

3.6.2.10 Maruti Suzuki A-Star (Launched in 2008)

The scintillating A-star is made in India for the global market to meet European

standards. It shines above all with its brilliant styling, superior engineering, excellent

performance, and unmatched fuel efficiency. It is designed to meet the 'end of life vehicle'

(ELV) specifications according to which the car components are up to 85% recyclable.

Powertrain and Performance

Maruti Suzuki A-star is the first car from Maruti Suzuki fitted with the latest

invention in engine technology, the new generation KB Series engine. Powered with the

K10B engine, the car is cautiously designed to meet the present as well as future emission

norms in India as well as overseas. In the present scenario, the car's engine is in compliance

with the BS-III emission norms. In India, the car is available in three variants, LXi, VXi,

and the top-end version ZXi.

The innovative and powerful KB engine in the A-star churns out 66 bhp @ 6200 rpm

and a torque of 90 Nm @ 3500 rpm. The engine is mated with a 5-speed manual and

automatic transmission.

This new A-Star is designed keeping in mind Indian road conditions and

aspirations of Indian consumers. With a turning radius of 4.5 metres and a ground clearance

of 170 mm, the A-star boasts of an improved performance and high acceleration.

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The McPherson strut and coil spring front suspension and an independent trailing link at

the rear helps in precise road handling and enhances riding comfort.

Build and Styling

Artistically crafted with detail, precision and wild imagination, Maruti Suzuki A-

star delivers impressive aesthetics. The brilliant aerodynamic design along with a host of

appealing features like sweeping expressive lamps, comet shaped tail lamps, striking

bumper, and a wide sporty grille with good engine ventilation adds to the exciting

impression of the car exterior.

Coming to A-star's interior, it is a blend of modernity and ethnicity. A peep into the

car will make one to rejoice in the world of technology, advancement, and innovations.

The interior holds a well-carved aero-dashboard with an integrated car audio system with

AUX-in facility. An impressive instrumentation with a smart tacho pod, digital trip

meter, odometer, fuel gauge, and clock adds to the engaging ambience of the car.

Some of the best safety features in the car include the high rigid body structure,

crushable structure energy dispersing frame, airbags, and anti-lock brakes. The crushable

structure of the car is attributed to a new concept known as Total Effective Control

Technology (TECT) concept. According to this concept, the structure of the car absorbs

impact energy away from the car passengers in case of collisions.

The features of A-Star that attracted its customers are: KB series engine, Penta

drive, ELV specifications, aerodynamic design, good engine ventilation and excellent

fuel efficiency.

As per the opinion of its customers the problems with A-Star car are: that there is

no diesel variant and that LPG cannot be used as fuel for K series engine.

3.6.2.11 Maruti Suzuki Ritz (Launched in 2009)

Maruti Suzuki Ritz is the fifth global car of the company after the launch of the

Swift, Grand Vitara, SX4, and the A-Star. The car is based on an all-new platform and marks

a new benchmark in the small car industry. The highlight of the car is the revolutionary

K12M that is BS-IV compliant engine. The introduction of this new K-series engine in

the Ritz makes the car India's first BS-IV compliant passenger car.

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Powertrain and Performance

Maruti Suzuki Ritz is available in 9 variants: five in petrol and four in diesel

including Limited Edition Genus BS IV variants. The petrol variants of the car are

powered by a responsive 1.2-litre K12M engine that generates 83.8 bhp and the diesel

variants of the car are powered by 1.3-litre common rail multi-jet diesel engine that

churns out a maximum power of 73.9 bhp.

The new K12M engine uses plastic parts, shortened piston skirts, and raisin

coatings on the piston to keep the weight of the engine low and also maintain low noise,

vibration and harshness (NVH). Moreover, the engine also carries a very high grade

engine oil, high-tech spark plugs, plastic intake manifold, and DOHC camshaft. Lightweight

petrol engine along with the advanced Smart Distributor Less Ignition System ensures

impressive fuel efficiency. Smart Distributor Less Ignition is an innovation that ensures

superior atomization to offer uniform and optimised combustion. This further helps to

improve the engine's performance. The diesel engine with 1.3-litre capacity is sourced

from Fiat and modified to comply with the forthcoming emission norms. It also offers

better drivability and diesel performance.

Build and Styling

Smartly designed Maruti Suzuki Ritz showcases a clean, bold, and stylish structure

that is completely different from the traditional Maruti Suzuki's design. The new designing

concept with the smartly shaped headlights, gently rising nose, sloping roofline, and

Suzuki brand emblem placed in the centre of the trapezoidal grille give the car glamorous

looks. Short overhangs and vertical tailgate create a compact appearance.

The interior of the car is spacious and packed with a host of functional features.

The car's seating is ergonomically designed with the rear seats higher than the front seats

so that all passengers can enjoy a good view. The stylish dashboard with coloured

surface, well-designed instrumentation, metallic silver border on the centre console, and a

stylish cockpit reflect a fresh ambience. Moreover, a digital liquid crystal display is

positioned in the lower half of the speedometer to provide better and clear information to

the driver.

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The customers of Alto Ritz cars purchasing them for the following: India's First

BS-IV compliant passenger car, revolutionary k12m engine, Maruti Suzuki‟s fifth global car,

smart distributor less ignition, digital liquid crystal display and impressive fuel efficiency.

The problem with Ritz is that automatic transmission is not available.

3.6.2.12 Maruti Suzuki Alto K10 (Launched in 2010)

Maruti Suzuki Alto K10 is equipped with the latest offering from the company,

the K-Series engine. The new Alto K10, which is BS-IV, E-10 and ELV compliant, is

available in four variants-the LXi and the VXi including metallic.

The new Alto K10, with its potent engine and sturdy built, is just right for the

Indian roads. The low maintenance and highly fuel efficient car will be just perfect for

the average Indian working class. The new Alto K10 will be available in six colours i.e.

sunlight copper, fire brick red, ecru beige, midnight black, superior white and silky silver.

Powertrain and Performance

The new engine embedded in the A-star, Wagon-R, and Estilo has already been

well accepted by Indian consumers. The 998 cc K-Series engine now finally makes it into

the Alto K10 as well.

The K10's advanced fuel efficient three-cylinder engine spews out 67 bhp at 6200 rpm

and delivers a peak torque of 90 Nm at 3500 rpm. The car can leap from a standstill to

100 kmph in merely 13.3 seconds. Unlike the earlier Alto's Lever Shift Mechanism, the

998 cc K-Series engine has been coupled with a 5-Speed Manual Transmission with

Cable Gear Shift.

The stiff suspension soaks up bumps like a pro and brakes are highly responsive

too. The front suspension has a McPherson Strut with torsion type roll control device,

while the rear sports coil spring gas-filled shock absorbers with three link rigid axle and

isolated trailing arms. A taut chassis gives the Alto K10 its fabulous driving character.

The Alto K10 is BS-IV, E-10 and ELV compliant.

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Build and Styling

Alto K10 has been upgraded inside and out with new headlamps, a fresh radiator

grille and enhanced interiors. Ritzy fog lamps are something extra one gets to behold in

the new Alto model. However, though the car has been stretched in length to incorporate

the new engine, the wheelbase remains the same. Tinted glasses make a special

appearance in the car. Alto K10 has ample ground clearance of 160 mm and it finds no

difficulty in quick turns and maneuvers. It has a turning radius of 4.6 metre.

The interiors show off a dual-tone finish and a new racy instrument cluster with

tachometer, an amber-illuminated speedometer, an electronic trip meter and a remote fuel

lid opener. Maruti Suzuki has enhanced features in this new Alto K10. The K10 comes

with a stylish 3-spoke collapsible steering column further making the driver's life easy.

Power steering, internally adjustable ORVM, power windows for front passengers,

stylish gear knob, remote boot opener and accessory socket come standard in the Alto K10.

The car also finally gets its Central Locking System. Build quality has been enhanced and

there's decent storage space with convenient cup holders, twin glove boxes and door

pockets. Cargo space is plentiful too.

The reasons the customers of Alto K10 cars list for purchasing them include

phenomenal fuel economy, tight turning radius, responsive steering, stylish collapsible 3-

spoke steering Colum, attractive cost of ownership and modish new interiors.

The problems with Alto K10 are that its exterior look is not very attractive and

has to be further enhanced, and that LPG cannot be used as fuel for K series engine.

3.6.2.13 Maruti Suzuki Eeco (Launched in 2010)

Maruti Suzuki introduced the Versa in October 2001. Maruti Suzuki replaced the

Versa with the Eeco which was rolled out at the 2010 Auto Expo. Maruti Suzuki Eeco

comes loaded with plenty of features to give a tough competition to the other cars in its

segment. The Eeco is specifically designed for Indian families and Indian roads.

The Eeco is a five-door, C segment vehicle which is a perfect blend of style and

substance. With an option for 5 and 7 seats, the Eeco comes in three variants in metallic

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and non-metallic. Moreover, these three variants come in an exciting selection of six

colours, namely, superior white, bright red, silky silver, blue blaze, midnight black and

glistening grey.

Powertrain & Performance

The four variants of the Eeco are 5STR STD, 5STR A/C, 7STR STD and 5-STR

A/C CNG. The 5STR STD and the 5STR A/C and 5-STR A/C CNG are 5-seaters, while

7STR STD has three rows of seats to accommodate seven persons. All the three variants

are strapped with a new, powerful and highly fuel efficient 1196 cc engine. The engine

can deliver 73 bhp of power @6000rpm and a torque of 101Nm@3000rpm. Moreover,

the 1.2-litre engine is mated to rear drive 5-speed manual gearbox with Diagonal Shift

Assistance (DSA) technology for smoother gear changing. The Eeco gives an average

fuel efficiency of 15.1 km/l while meeting BS-IV emission norms.

Build and Styling

Having been specially designed for India, the Eeco has a superior suspension

which allows for a smooth and comfortable ride on rough Indian roads. Equipped with

fully-tuned McPherson-strut suspension on the front and 3-link rigid suspension on the

rear, the Eeco offers the best driving comfort. The system eases diagonal motion and

allows for a gear change without any break in the continuity of the action, thereby

improving the gear shift feeling.

The exterior body of the Eeco continues the long standing Maruti Suzuki tradition

of combining functional design with spacious volume. Trendy and contemporary body

graphics adorn the sides of the MPV giving it an appealing look.

The dual tone interiors in the shades of beige and grey provide a rich and spacious

feeling. The Eeco come with an outstanding ergonomic layout with ample legroom and

headroom at the front and rear for passengers, apart from providing a comfortable driving

position. The presence of sliding doors eases entry and exit for passengers even in

congested road conditions. The Eeco 5STR A/C comes with an air-conditioning option to

combat the extreme climatic condition in the country. These features make the Eeco the

most suitable vehicle for large Indian families that want a car for both - work and family

outings and fun together.

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The customers of the Eeco purchasing it for the following reasons: fuel-efficient, value

for money, BS-IV compliant, sliding driver seat, dual tone styling, clear lens headlamps.

The problem with the Eeco is that its exterior is not very attractive and has a boxy look.

3.6.3 Imported cars

Maruti Suzuki imports the following cars from Japan.

3.6.3.1 Gran Vitara (Launched in 2007)

Grand Vitara known by many different names in different countries was introduced

in other countries way back in 1989, but it arrived in India 18 years later after its initial

launch in the world market. However, it is not being manufactured in India; instead it is

imported from the Suzuki's plant in Japan.

Powertrain and Performance

Grand Vitara is available in an all-time four-mode 4-wheel drive (4WD) configuration:

4 High for normal driving, 4 High Lock for medium off-roading, 4 Low Lock, for when

the vehicle is stuck in mud, sand, or snow, and Neutral for the vehicle being towed.

Grand Vitara is powered by a 163.5 bhp 2.4-liter VVT petrol engine, which

replaces the 119 bhp 2.0-litre, I-4 cylinder engine in the older version. It may be linked to

either a 5-speed manual transmission or 4-speed automatic transmission, depending upon

the variant.

The hard, prompt responses are provided by power-assisted hydraulic rack and pinion

steering. It rides on McPherson strut front suspension and multi-link rear suspension, which

soak up the impact of bumps and road irregularities, thereby giving a smooth ride.

Build and Styling

For the new Grand Vitara, the front fascia is marked by a big body-coloured

bumper, a wide grille with the company's insignia in the middle and distinct multi-reflector,

halogen projector headlamps. The car rides royally on a 17-inch alloy against 16-inch for

the older model.

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The electrically-adjustable outside door mirrors and a rear window demister are

the standard features. Grand Vitara also features 2-speed, variable intermittent wiper and

washer in the front and 1-speed intermittent wiper and washer in the rear.

Grand Vitara has a spacious and stylish interior. The height of the driver's seat can

be adjusted, and it features a reclining rear seat, which can be folded in the ratio of 60:40.

All seats are fabric-trimmed and the rear seat has a centre armrest.

The comfort of passengers is given a prime importance with green tinted glass to protect

from heat and harmful ultraviolet rays. It also offers automatic climate control, and standard

features such as central door locking, power windows, and remote controlled door locks.

Grand Vitara gets all new features like Multi Information Display (MID) and

centre speaker mounted on the dash board along with a 6-CD changer. A gear position

indicator is exclusive to the automatic transmission variant. With rear seatback raised, the

Grand Vitara's maximum boot capacity is 398 litres, which can be expanded to 758 litres

by tumble-folding the rear seatback.

Grand Vitara features new rear disc brakes which add to the overall Suzuki Safety

System. Other features enhancing safety to passengers are front and rear side impact door

beams, a head impact protection structure, a Supplemental Restraint System (SRS), front

dual airbags, an anti-lock braking system (ABS) with electronic brake-force distribution

(EBD), brake assist, 3-point emergency locking retractor (ELR) seatbelts with pre-tensioners,

force limiter and height adjusters in the front and 3-point ELR seatbelts in the rear,

ISO FIX child-seat anchorages, child-proof rear door locks, and an engine immobiliser.

The attractive features of Grand Vitara are: more powerful engine, all-time four-

mode 4WD system, loaded with safety features, stylish interiors, impressive driving

dynamics, and smooth ride.

The limitation of Grand Vitara is it that is available only in petrol version.

3.6.3.2 Kizashi (Launched in 2011)

Suzuki Kizashi concept was first unveiled at the 2007 Frankfurt Motor Show. The luxury

car from the Japanese car maker is a harmonious amalgamation of cabin spaciousness,

beautiful styling, dynamic character and a very passionate handling.

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Maruti Suzuki Kizashi is available in a single petrol engine variant with two

transmission options: a 6 speed manual and a continuous variable transmission with

paddle shift system. The range of colour options available for Maruti Suzuki Kizashi is

snow white pearl, super black pearl and premium silver metallic.

Powertrain and Performance

Maruti Suzuki Kizashi is launched in India with the same engine specifications,

which are used in Japan and the US. The car is equipped with a 2.4 litres, 4 cylinder

16 valve, J-Series DOHC engine. The powerful engine is capable of generating a maximum

power of 175 bhp at 6,500 rpm and a max torque of 230/4,000 Nm/rpm. The aluminium

pistons bring enhanced power and efficiency. Suzuki Kizashi is available in a single

petrol engine variant with two transmission options: a six speed manual and a Continuous

Variable Transmission, both with six forward ratios. The CVT has a paddle shift system

with hear selector paddles behind the steering wheel.

Maruti Suzuki Kizashi, boasts of sporty handling and control along with a very

perky acceleration. The premium sedan comes with a standard front wheel drive system.

While the manual gearbox Kizashi can do the 0-100 kmph stint in a matter of 7.8 seconds,

the Kizashi with the CVT can do the same in 8.8 seconds. The top speed of the manual

and the CVT Kizashi are 215 kmph and 205 kmph respectively.

The 2.4 litre engine of the Kizashi comes with the direct ignition system (DIS) for

powerful sparks directed to the plugs; this brings about ultimate fuel efficiency and

reduces CO2 emission. Maruti Suzuki Kizashi offers an overwhelming fuel efficiency of

12.53 kmpl (CVT) and 12.45 kmpl (6-speed MT). The Kizashi has a fuel tank capacity of

63 litres.

Build and Styling

The luxury sedan has a beautifully crafted exterior design which brings forth an

enchanting combo of European style and Japanese craftsmanship. It is a car that is tailored

for a driving enthusiast. The low-slung front of the car is sporty and elegant. The honeycomb

grille is complemented by jewel like projector headlamps.

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The body coloured rear view mirrors are electronically powered. Adding grace to

the car are the door handle bars that are also painted in body shade. The rear of the

Kizashi seems wider and more upswing. Similar to the headlamps, the tail light cluster is

big and bold and also houses rear parking assist and turn indicators. The car is fitted with

attractive 17 inches alloy wheels.

Maruti Suzuki Kizashi features a futuristic looking dashboard having a matt black

centre piece lined with silver edges sitting stylishly against the beige interior of the car.

The latest audio system consists of 7 speakers and CD/MP3 player along with integrated

Bluetooth and a USB port. Its smart Pass keyless entry and start system which allows the

automatic unlocking of the door and the engine start without keys.

The seats are covered in plush beige leather that looks very inviting. Additionally,

the driver's seat is 10 way adjustable with 3 position memory. The co-driver's seat is four-

way adjustable and also features an adjustable lumbar support. There are a plenty of

storage options with overhead console with sunglasses holder, cup and bottles holder

(four each) and centre console box. The rear seat has 60/40-split folding feature with

centre pass-through. The Kizashi has a big boot.

The attractive features of the Kizashi are: push button start - keyless start, dual

zone - automatic climate control, 10 way adjustable power driver seat, multi reflector

projector headlamps, dual exhaust pipe with finisher, anti-lock braking system (ABS)

with electronic brake force distribution (EBD), stylish and luxurious instrument panel.

The problem of the Kizashi is that it is not as dynamic as expected by the customers.

Along with the sale of the above mentioned cars the following add-on services are

provided by Maruti Suzuki.

3.7 Value added services provided by Maruti Suzuki

3.7.1 Maruti Suzuki Insurance

In 2002 Maruti Suzuki launched its vehicle insurance to its customers with the

help of the National Insurance Company, Bajaj Allianz, New India Assurance and Royal

Sundaram. The service was set up by the company with the inception of two subsidiaries:

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Maruti Suzuki Insurance Distributors Services Pvt. Ltd and Maruti Suzuki Insurance

Brokers Pvt. Limited.

3.7.2 Maruti Suzuki Finance

To promote its bottom line growth, Maruti Suzuki launched Maruti Suzuki

Finance in January 2002. Prior to the start of this service Maruti Suzuki had started two

joint ventures- Citicorp Maruti Suzuki and Maruti Suzuki Countrywide-with Citi Group

and GE Countrywide respectively to assist its clients in securing loan. Maruti Suzuki tied

up with ABN Amro Bank, HDFC Bank, ICICI Limited, Kotak Mahindra, Standard

Chartered Bank, and Sundaram to start this venture including its strategic partners in car

finance. Again the company entered into a strategic partnership with SBI in March 2003.

Since March 2003, Maruti Suzuki has sold over 12,000 vehicles through SBI-Maruti

Suzuki Finance. SBI-Maruti Suzuki Finance is currently available in 166 cities across India.

Citicorp Maruti Suzuki Finance Limited is a joint venture between Citicorp

Finance India and Maruti Suzuki Udyog Limited. Its primary business stated by the

company is hire-purchase financing of Maruti Suzuki vehicles. Citi Finance India Limited is

a wholly owned subsidiary of Citibank Overseas Investment Corporation, Delaware,

which in turn is a 100% wholly owned subsidiary of Citibank N.A. Citi Finance India

Limited holds 74% of the stake and Maruti Suzuki holds the remaining 26%. GE Capital,

HDFC and Maruti Suzuki came together in 1995 to form Maruti Suzuki Countrywide.

3.7.3 Maruti Suzuki True Value

Maruti Suzuki True service is offered by Maruti Suzuki to its customers. It is a

market place for used Maruti Suzuki vehicles. One can buy, sell or exchange used Maruti

Suzuki vehicles with the help of this service in India.

3.7.4 Maruti Genuine Accessories

Many of the auto component companies other than Maruti Suzuki started to offer

components and accessories that were compatible. This caused a serious threat and loss

of revenue to Maruti Suzuki. Maruti Suzuki started a new initiative under the brand name

Maruti Suzuki Genuine Accessories to offer accessories like alloy wheels, body cover,

carpets, door visors, fog lamps, stereo systems, seat covers and other car care products. These

products are sold through dealer outlets and authorised service stations throughout India.

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3.7.5 Maruti Suzuki Driving School

As part of its corporate social responsibility Maruti Suzuki launched Maruti

Suzuki Driving School in Delhi. Later the services were extended to other cities of India

as well. These schools are modeled on international standards, where learners go through

classroom and practical sessions. Many international practices like road behaviour and

attitudes are also taught in these schools. Before driving actual vehicles participants are

trained on simulators.

3.8 Sales and service network of Maruti Suzuki

The following table shows the expansion of countrywide network of Maruti

Suzuki during the year which ended on 31st March 2011:

Table No. 3.4

Number of sales and service network of Maruti Suzuki

Number of 31 March

2011

31 March

2010 Increase

Sales Outlets 933 802 131

Cities covered by sales network 666 555 111

Service Stations 2946 2740 206

Cities covered by service network 1395 1335 60

Maruti Suzuki Driving Schools 164 83 81

3.9 Manufacturing facilities

Maruti Suzuki has two state-of-the-art manufacturing facilities in India the Gurgaon

manufacturing facility and Manesar manufacturing facility. Both manufacturing facilities

have a combined production capacity of 1,250,000 vehicles annually.

3.9.1 Gurgaon Manufacturing Facility

The Gurgaon Manufacturing Facility has three fully integrated manufacturing

plants and is spread over 300 acres (1.2 km2). All three plants have an installed capacity

of 350,000 vehicles annually but productivity improvements have enabled it to manufacture

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700,000 vehicles annually. The Gurgaon Facilities also manufacture 240,000 K-Series

engines annually. The entire facility is equipped with more than 150 robots, out of which

71 have been developed in-house. The Gurgaon Facilities manufactures 800, Alto,

WagonR, Estilo, Omni, Gypsy and Eeco vehicles.

3.9.2 Manesar Manufacturing Facility

The Manesar Manufacturing Plant was inaugurated in February 2007 and is spread

over 600 acres (2.4 km2). Initially it had a production capacity of 100,000 vehicles annually but

this was increased to 300,000 vehicles annually in October 2008. The production capacity

was further increased by 250,000 vehicles taking the total production capacity to 550,000

vehicles annually. The Manesar Plant produces A-star, Swift, Swift DZire and SX4 vehicles.

3.10 Awards and milestones of Maruti Suzuki

With the above facilities and opportunities Maruti Suzuki has reached the

following milestones:

Table No. 3.5

Awards and Milestones of Maruti Suzuki

Year Awards and Milestones

1986 All Indian Engineering Export Promotion Council (EEPC) Award

1987

All Indian Engineering Export Promotion Council (EEPC) Award

Excellent performance in Suzuki International QC circle competition

National Productivity Council (NPC) Award for best performance

Maruti Suzuki 800 and Omni accepted as taxi by Maharashtra government

1988 Indian National Suggestion Scheme Association (NSSAN) Award

All Indian Engineering Export Promotion Council (EEPC) Award

1989 First in CEI QC competition

Good housekeeping award by Haryana government

1990

All Indian Engineering Export Promotion Council (EEPC) Award

Red Cross Blood Donor award by Haryana government

Good housekeeping award

INSSAN award

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Year Awards and Milestones

1991

All Indian Engineering Export Promotion Council (EEPC) Award

Performance acknowledged by Economic Times and Howard Business School

Association of India

Corporate Performance award for best in public sector

1992 All Indian Engineering Export Promotion Council (EEPC) Award

1993

All Indian Engineering Export Promotion Council (EEPC) Award

NPC award

Runners up in Best Production Performance in Automobile industry

1994 National award for energy conservation

All Indian Engineering Export Promotion Council (EEPC) Award

1995

INSSAN award

ISO-9002 certificate

EXIM Star Trophy for outstanding export performance by JLN Port-Trust

1996 Certificate of significant Achievement under the CII Business Excellence Award

1997 National Export Award for excellence in exports in the Engineering Goods

Category (Motor vehicles, Auto spare parts and components)

1998 CII-EXIM award for Business Excellence

2000 No. 1 in Customer Satisfaction in JD Power survey

2001 No. 1 in Customer Satisfaction in JD Power survey

2002 No. 1 in Customer Satisfaction in JD Power survey

2003

No. 1 in Customer Satisfaction in JD Power survey

Mr Jagdish Khattar, MD was conferred the „Manager Entrepreneur of the year

2003‟ award by the consulting firm Ernst & Young

2004 No. 1 in Customer Satisfaction in JD Power survey

2005

JD Power IQS results for the year 2005:

Alto has retained No.1 rank in the compact segment – 2nd

time in a row

Esteem showed repeated performance and got Rank No.1 for third successive

year in Entry Midsize Segment

Swift comes at the top in the premium compact segment (new segment)

Maruti Suzuki was rated among the top three Corporate Image Monitor (CIM)

Study 2005, conducted by AC Neilson ORG-MARG

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Year Awards and Milestones

TNS Total Customer Satisfaction study declared Maruti Suzuki 800, Wagon R

and the Swift on top in their respective segments

October: No. 1 in Customer Satisfaction in JD Power survey

November: Maruti Suzuki 800 (Entry compact), Zen (1st) and Wagon R (2

nd)

(Premium compact) and Swift (Upper premium compact), Esteem (Entry midsize)

score top ranks in TNS Total Customer Satisfaction Survey 2005.

Baleno secured third position in midsize car category

2006

TNS study 2006: Bharat Petroleum and Maruti Suzuki India rank highest for

social responsibility

JD Power Asia Pacific have announced the results of the Initial Quality Study

(IQS) for the year 2006:

Compact segment: Maruti Suzuki top rank with Zen (previous model) followed

by Santro, Alto and Wagon R

Premium compact segment: Swift top rank followed by Hyundai Getz

Entry Midsize segment: Esteem at 2nd

rank

Awards and Accolades won by Swift:

BS Motoring car of the year

CNBC TV18 Auto car of the year

Overdrive car of the year

NDTV profit car India Automobile of the year

CNBC TV18 Auto car Best Design and Styling

CNBC TV18 Auto car Best Value for Money car

CNBC TV18 Auto car viewers‟ choice

NDTV profit car India Small car of the year

NDTV profit car India viewers‟ choice of the year

Apollo Tyres Top Design of the year 2006-cars

2007

January: The government of India awarded O Suzuki with the coveted Padma

Bhushan. Mr Suzuki and Suzuki Motor Corporation showed confidence in India

twenty five years ago, much before it became fashionable to invest in India.

Suzuki and Maruti Suzuki built a manufacturing base of component suppliers of dealers and service workshops across the country.

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Year Awards and Milestones

February: India‟s leading daily, the Economic Times and Avaya Global Connect

Limited has awarded Maruti Suzuki the „Avaya Global Connect-Customer

Responsiveness Awards 2006‟ in automotive category. The award is given to

those companies who not only invest in customer focus but also invent new

benchmarks.

Maruti Suzuki was conferred “Auto-monitor-car manufacturer of the year” award

March: Maruti Suzuki was ranked as India‟s most Respected Automobile

Company by the leading magazine Business World. Companies were rated on

innovativeness, quality and depth of management, finance performance, ethic and

transparency, quality of products/services, people practices and talent

management and global competitiveness.

June: Awarded the prestigious Golden Peacock Award for excellence in the field

of environment management in automobile sector.

“All India-Best Kaizen Competition” organised by CII – Maruti Suzuki gets the

first prize.

November: No. 1 in Customer Satisfaction in JD Power survey

Bagged prizes in the following categories:

India CSI award

India IQS-highest ranked model in the premium compact car segment (Swift)

India APEAL-highest ranked model in compact car segment (Zen-Estilo)

India APEAL-highest ranked model in premium compact car segment (Swift)

India APEAL-highest ranked model in mid-size car segment (SX4)

December: Corporate Social responsibility-Adopts three villages in Manesar

NDTV awards:

Won “Car Manufacturer of the year”

Mr Jagdish Khattar, for MD, received the „Next Gen Automotive Man of the year

award

The ICICI-NDTV Profit Viewer‟s Choice Awards was bagged by SX4 in the

midsize car segment

ET Avaya Global Connect Awards:

Maruti Suzuki bags the award for „Most Customer Responsive Company‟ in the

Automobile sector. The awards are instituted by Avaya Global Connect and the

Economic Times in association with EMST & Young and AC Nielson, Professor

M.Janakiraman of Indian Institute of Management, Lucknow, has designed the methodology.

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Year Awards and Milestones

CNBC Awards:

TV18 Auto Midsize car Award-SX4

TV18 Auto car value for money- SX4

TV18 Auto car Award for viewer‟s choice-SX4

TV18 Auto car Manufacturer Award-Maruti Suzuki

TV18 Auto car Man of the year Award- Mr Jagdish Khattar

2008 Auto Monitor Awards for 2007:

“Manufacturer of the year” (Passenger car category)

Young Achievers, a new category in the year 2008-Mr Rajesh Singh Gogu and

Mr Saurabh Singh were awarded for designing concept „A Star‟.

May: Excellent Partner award by Army on its Diamond Jubilee Celebration in

automobile category for the car supply under CSD scheme.

June:

Maruti Suzuki features among the world‟s 200 most reputed companies in the

Annual worlds‟ Most Reputed Company Survey-2008. Maruti Suzuki ranked at 17

th position in the passenger car sector. It finishes fourth globally.

In the TNS Corporate Reputation Index Maruti Suzuki stands fifth in the all India

rankings. In auto sector, it tops the ratings.

October:

No. 1 in Customer Satisfaction in JD Power survey

Maruti Suzuki 800 crosses twenty-five lakh mark

December:

Maruti Suzuki celebrates its Silver Jubilee

Maruti Suzuki launches National Road Safety Program

2009

January:

A Star bags Zigwheels Car of the year award

A Star rated best small car of the year-Autocar-UTVi

CNBC TV18 Overdrive awards:

Automotive technology of the year: newly launched K10 engine

Manufacturer of the year

Special commendation to the Indian Auto Industry: a tribute to MSILs Silver Jubilee.

MSIL adopts whistle Blower policy

MSIL signs MOU with Uttarakhand government to develop IDTR at Uttarakhand

MSIL signs MOU with Haryana government to develop two IDTRs at Haryana

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Year Awards and Milestones

February:

Swift reaches 3,00,000 milestone. It is the fastest car model to reach this

milestone. Launched in May 2005, the sporty car achieved this feat in only three

years and eight months. Online club called „Swift Life‟ for all Swift owners.

50th Maruti Suzuki Driving School unveils

May:

The Reputation Institute has completed its 2009 Global Reputation Pulse Study.

MSIL Global Reputation ranking up from 77 to 49 (all companies, all sectors). MSIL reputation ranking up from 4 to 3 (global car companies)

June:

MSIL won the Golden Peacock Award

2010

11th time in a row, the Company ranked highest in JD Power Asia Pacific 2010

India Customer Service Index (CSI) study

Ranked highest in JD Power Sales Satisfaction Index (SSI)

NASSCOM and CNBC TV 18 IT user award

CII/ITC Significant Achievement in Sustainability Award

Mobile Marketing Association (MMA) Asia Pacific and the Global Awards for its

digital campaign – „Sports Sponsorship goes mobile‟. The Company is the first advertiser from India to win this award

Ranked one in JD Power Initial Quality Study 2010 for its model - DZire

NHRDN (National HRD Network) Trailblazer Award 2010 for HRD Excellence

Car India Awards:

Best automobile manufacturer of the year 2010

“Hall of Fame” award for single handedly changing the face of Indian automobile industry

Alto ranked no. 1 in TNS four-wheeler Total Customer Satisfaction (TCS)

Study

2011

Business Standard India‟s Company of the year 2011 award

CNBC-TV18 award 2011 for Manufacturer of the year

Autocar awards 2011:

Compact car of the year 2011 –WagonR

Best variant of the year – Alto K10

JD Power Automotive Performance Execution and Layout (APEAL) study -

„DZire‟ was winner three times in a row.

Car of the year (COTY) award for „WagonR‟ at entry level mini car category.

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3.11 Problems faced by the customers of Maruti Suzuki

The problems faced by customers of Maruti Suzuki can be divided into three

categories; namely, problems with the physical features of Maruti Suzuki vehicle, problems

at the Maruti Suzuki dealer showroom and problems in service workshop of Maruti Suzuki.

The problems with the various models of vehicles of Maruti Suzuki cannot be

generalised. The twin common problems with Maruti Suzuki vehicles are that they are

not suitable for tall persons (except WagonR and Ritz) and their diesel versions are limited.

Hence the problems with the physical features of the vehicles have been taken up individually

and have been already discussed along with the description of Maruti Suzuki vehicles.

The problems faced by customers at the purchase point and service stations are

listed below:

3.11.1 Problems faced by customers during the purchase of a vehicle

1. The waiting period for Swift, Swift DZire and SX4 (Diesel version) cars was too long.

2. When the customers wanted to book for Swift and Swift DZire cars, they were

discouraged by sales person and compelled to book other vehicles.

3. Customers were indirectly discouraged by the sales person when they choose diesel

version cars.

4. Vehicles were not delivered at the promised time. Mainly customers who booked

Swift, Swift DZire and SX4 diesel cars made this complain.

5. No offer was given to Swift, Swift DZire and SX4 cars.

6. Test drive was not adequate.

7. The quantity of free fuel provided with cars at the time of delivery was inadequate.

8. The operations of the car were not clearly explained at the time of delivery.

9. Customers were not given a test drive of the purchased vehicle before delivery.

10. The cleanliness of the car at the time of delivery is not satisfactory.

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11. There were mistakes in the name or address of the customer or the financier in the RC

book. This is due to the carelessness of dealer employees in filling up forms.

12. The details of registration fee and insurance fee were not explained in detail.

13. Customers were compelled to take up the extended warranty.

14. The cost of basic accessories supplied was not explained in detail in advance.

15. The knowledge of the salesman was inadequate.

16. Time spent by the salesman before the purchase of a car was satisfactory, but the time

spent by the salesman during the delivery of the vehicle was not satisfactory.

3.11.2 Problems faced by customers during the servicing of a vehicle

1. Customers were not attended by the service personnel whenever they took their

vehicle to the service station. This was mainly due to the scarcity of the service personnel

when compared to the number of customer‟s turn-up for servicing. The position was

still worse during the week ends.

2. The space for accommodating vehicles is not sufficient in some of the workshops.

The vehicles were parked under the hot sun without necessary protection. As a result,

vehicles were prone to scratches and damages due to the vandalism of passers-by.

3. Customers have the doubt about the cleanliness of the refilling of engine oil. They said at

several occasions they found dust in the oil cane which is used for refilling. Eventhough

the oil barrel was dust-free and the oil cane with dust might damage the engine.

4. The replacement of spare parts was not transparent.

5. Customers feared that their spare parts might be stolen or replaced with old spare parts.

6. When vehicles were taken for free services (I, II and III free services) the service

persons at the receiving point ticked in the check list (Free Inspection Coupon) even

without looking at the problems of the vehicle.

7. Vehicles were not serviced properly right at the first time.

8. Customers complained that the internet facility was not available in the customer

waiting area.

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9. Customers complained have never been provided with any loaner Maruti Suzuki

vehicle if their vehicle was retained for more than 24 hours for warranty repair at a

workshop.

10. Customers were not provided with transportation for dropping and picking them from

the nearest convenient location.

11. Some service persons did not understand the nature of the problems of the vehicle.

12. Some of the customers respond that they are not satisfied with the quality of water

service when compared with the quality of water service done in the private water

service stations. The under-body cleaning is not properly done. Due to the large

number of vehicles waiting in a queue, the service persons are compelled to speed up

their washing. This leads to an inferior quality of water service.

13. Because of haste in water servicing the clothes which are used for wiping the vehicle

body are not rinsed properly. The clothes which acquire sand particles while servicing

a vehicle leads to scratches in the vehicle body of other vehicles too. It can be seen

even in new vehicles coming for the first free service, which get scratched due to this

problem.

14. The persons who operate vehicles during water service do not have a driving license

and do not have proper driving skills. In some service stations the place of water

servicing is narrow and congested. The water servicing persons who do not have

proper driving skills handle vehicles roughly and drive them through a narrow path.

This causes damages to vehicles. The customers who own a new vehicle get frustrated

seeing their fresh cars handled roughly.

15. While performing the service, customers are asked to sign in an undertaking that

services are done at the risk of them. This causes a sense of insecurity in the mind of

customers while their vehicles are being serviced. Customers also feel that they

should not be penalised at the cost of negligence and carelessness of service persons.

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3.12 Future challenges ahead of Maruti Suzuki

Maruti Suzuki has always been identified as a traditional carmaker producing

value-for-money cars, and now the biggest hurdle Maruti Suzuki is facing is to shed this

image. Maruti Suzuki wants to change it for a more aggressive image. Maruti Suzuki

Baleno has failed due to one of the major reasons being that customers could not identify

Maruti Suzuki with a car as sophisticated as Maruti Suzuki Baleno. Maruti Suzuki is

looking forward to bringing about a perception change about the company and its cars.

Maruti Suzuki started the exercise with the new-look Zen, and Suzuki's decision to pick

India as one of the first markets for this radically different-looking car gave this

endeavour a new thrust. Maruti Suzuki has also changed its logo at the front grill. It has

replaced the traditional Maruti Suzuki logo on grill „stylish „M‟ with S‟. The major thrust

in the facelift endeavour is with the launch of 1.3 litre Swift. It‟s a style statement from

Maruti Suzuki to Indian market.

The next threat Maruti Suzuki faces is the growing competition in compact cars.

Companies like Toyota, Ford, Honda and Fiat have come with small segment cars. Ford has

launched Focus and Fiesta; General Motors, Aveo in 2006; Chevrolet, Spark in 2006;

Hyundai, its new compact car in 2006; Honda, Jazz in 2006, General Motors has reduced the

prices of its Corsa, Fiat has come up with Panda and new Fiat Palio. Skoda has launched

Fabia. This competition poses a major threat to Maruti Suzuki leadership in compact cars.

New emission norms like Bharat Stage 3 which has come into effect from April

2005 have increased car prices by Rs.20000 and Bharat Stage 4 has come into force in

2007 has contributed in increasing car prices further. This could be of serious concern to

Maruti Suzuki which is a low-cost provider of passenger cars.

Rise in petrol prices and growing popularity of other substitute fuels like

Compressed Natural Gas (CNG) will be another threat to Maruti Suzuki. There is also a

threat to Suzuki from R&D investment by Toyota and Honda in Hybrid cars. Hybrid cars

could run on both petrol and gaseous fuels.

There is a threat to Maruti Suzuki models ageing. Maruti Suzuki models like

Maruti Suzuki 800 which is in market for the last twenty years and others like Zen and

Esteem which have also entered the decline phase are the other threats. Maruti Suzuki is

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planning phased out Zen in 2007 and there were rumours of phasing out Maruti Suzuki

800 also. This all makes Suzuki to replace these brands with new launches. As Swift and

WagonR are replacing the Zen market, Maruti Suzuki will have to keep on making

modifications in its present models or else its models will face extinction.

3.13 Conclusion

The background knowledge gathered from the review of literature and the

understanding from the presentation of the overview of car industry in general and the

Indian automobile industry in particular helped the researcher understand the data

collected and analyse and interpret them empirically. The presentation of the analyses

and the interpretation of the data collected from the customers of Maruti Suzuki in

Coimbatore district is made in the next chapter.