PESTLE and SWOT analysis of Maruti Suzuki 2017

By: Jonathan Kush

Maruti Suzuki is the biggest vehicle manufacturer in India with a market share of over 50% meaning, one out of every two cars purchased in India is a Maruti Suzuki. In fact, such is the dominance of Maruti Suzuki that seven of its passenger vehicles were featured in a list of India’s best selling cars of 2017. Few companies in the world have such dominance of an industry but rivals are catching up. India’s car market is currently the 5th biggest in the world and poised to become the 3rd largest in the world by 2020. And with sales slowing in China and demand stagnant in the US, many of the world’s biggest auto companies are seeing opportunities in the Indian market. This may also explain why parent company Suzuki Japan is not only financing new capacity expansion in Gujarat, India but also purchasing land out rightly to lease to new potential dealer outlets and expand its network. Using Pestle and Swot, this report will examine the current macro environment in the Indian automobile industry to understand the key trends driving growth and competition.

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