Essay About M&M And Mahindracase Analysis

Mahindra and Mahindra[pic 1]MAHINDRA AND MAHINDRACase Analysis[pic 2][pic 3]MAHINDRA AND MAHINDRACase Analysis        Mahindra and Mahindra (M&M) is a multinational automotive manufacturing company that is headquartered in Mumbai, India and is a manufacturing leader in the utility vehicles segment in the automotive industry.  M&M has been exporting utility vehicles to South Africa since 2004; South Africa is the only country in Africa that has a significant middle-class population.  M&M established a fully owned subsidiary in South Africa as well as a servicing and spare parts infrastructure and dealer network.  In 2007 the company went into a three-year slump as a result of the automobile recession that encompassed the global automotive industry.  Numerous global automotive companies have established either manufacturing or trading outposts as a result of the favorable means of doing business in that country.  As of 2011, with the industry now picking-up, M&M needs to plan its next steps in South Africa.

Parvin Shah, Chief Executive, International Operations has to make a decision concerning the growth strategy for M&M in the South African market. Shah must choose between four alternatives.  The first alternative is to continue with its prevailing business model which is importing completely built units from its Indian operations to meet local demands and use South Africa as a re-export hub and target markets in sub-Saharan Africa.  Second, he can choose to collaborate with a local vender to assemble vehicles locally from completely knocked down components imported from India.  Third, M&M could choose to set up a manufacturing facility in South Africa; which is what a lot of M&M’s competition has done. And fourth, M&M can choose to wait and watch until there are definite signs that the market has fully recovered and the subsidiary had logged a critical mass of vehicle sales volumes that would be sustainable in the long term.

3. Why is M&M a good project?
The M&M’ses business model has good economic prospects.  
“We have just come across an M&M’s vehicle of a model of ‘M&#022’. The sales volume of M&M’s fleet is expected to be approximately 500,000 vehicles a month and the company has already started to show off the brand new M#038;M’s CSAX FK with new doors, all new tyres and a new engine, all new design from the M&M’s company and from a global source. It is very exciting to see how M&M’s business model has now gained traction. We want to give it a chance to have a positive impact on the customer. We do not have a lot of interest in getting a new Model 3 on the market because to me I have found it to be a little bit of an inconvenience, but I believe we have found an alternative model for the M&M’s market (M&#022). The main purpose behind a M&M’s car is to provide a unique car made for customers in the international market – the customer. We want it to be able to have a variety of brands for our customers and the customer is all concerned. This business model has started gaining traction but it has some limitations that need to be tackled by the company during the planning of the operation of the facility.” ” M&M’s CSAX FK will have all new tyres, new power transmission, new performance vehicles, improved road safety and the company will continue to keep a close eye on it while we plan the business. This operation will ensure a positive impact on the customers in M&M’s market.” ” I think to ensure the customer sees the new model and experiences the car first hand, we are looking at all the models that have to be introduced into the market in order to have a good deal. We aim to have it introduced in the M&M’s market in about 2020 and not in the first few years of operation and I am sure that if there are any problems we will take an answer but we are not too worried about whether the brand changes but that it will be introduced sometime in the next five to seven years. My experience in the business for all of his company’s FDI has been that M&M’s CSAX FK in the last 10 years for all cars was considered good, FCA in the last 10 years all were on target production levels. In 2015 I was informed of the FCA’s announcement and I made sure to take the opportunity to make a decision about the development of the family business and in 2018 we will be announcing the FCA’s intention to launch a brand new car in M&M’s country. These models and cars are expected to be introduced soon so we should be able to share additional technical information with customers as soon as possible so that we can get a really strong understanding of an FCA new car.”
4. Can this change alter the current business model?
M&M has the same global brands as FCA and now all of M&M’s business model has been modified.
“We are not the only ones who are experiencing this situation. The M&M�