automobile manufacturing indusries of pakistan

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KARAN KUMAR

BBA (Hons)

2nd YEAR 2nd Semester

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PRINCIPAL MANUFACTURING

INDUSTRIES OFPAKISTAN

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INDUSTRIES OF PAKISTAN

Engineering Industry Textile Industry Automobile Industry Sugar Industry Fertilizers Industry Cement Industry Chemical Industry Sports Goods Industry Glass Industry Oil & Gas Industry

Leather Industry Iron Industry Electric Goods Industry Medicines Industry

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AUTOMOBILE INDUSTRYAn industry that produces automobiles and

other gasoline powered vehicles, such as buses, trucks, and motorcycles.

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INTRODUCTION

• Started in Pakistan when the first automobile plant was set up in May 1949 by General Motor & Sales Co

• According to Ministry of Industries, Pakistan produced its first vehicle in 1953, at the National Motors Limited

• Manufacturers from the US collaborated with Pakistani businessmen to set up; Ali Automobiles to manufacture Ford Products in 1955

• The end of the seventies all automobile assembly in Pakistan stopped, until 1983 when Pak Suzuki started manufacturing their vehicles in Pakistan.

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MARKET STRUCTURE

• The auto industry is considered to be an oligopoly.

• Today there are 15 companies in production of which 5 are automotive producers and 10 are commercial vehicle producers.

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MAJOR ASSEMBLERS

• Toyota

• Indus Motors

• Pakistan Suzuki

• Honda Atlas

• Diwan Farooq Ltd

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Pak Suzuki Motor Company Limited (PSMCL)

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SUZUKI MOTORS INTRODUCTION

• WAY OF LIFE• Market leader with 50% market share.• The main Pak Suzuki Company is located

at DSU 13,Bin Qasim, Karachi. It has the total area of 65 acres.

• Has 65 dealers all over Pakistanmany countries such as America, Canada, UAE etc.

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VISION STATEMENT

• To be recognized as a leading organization that values Customer’s needs and provides motoring solutions with strong customer care.

MISSION STATEMENT• Strive to market value packed vehicles that meet customer’s

expectations.• Provide a platform where our stakeholders passionately

contribute, invest and excel.• Make valuable contribution to Social development of

Pakistan.

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CORPORATE STRATEGY

• Top quality products

• Safety laws and regulations

• Efficient use of energy throughout system

• Safe disposal of waste

• Minimize the discharge of waste materials

• Continuously seek opportunities to improve

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SITUATION ANALYSIS

1- General environment

2- Product market Growth rate Products and prices

3- Customer market

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GENERAL ENVIRONMENT

• Middle class families

• Limited money frame

• Time saving

• Convenience

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PRODUCT MARKET• Growth Rate• Sales increase by 3.2 percent

• 9,288 units as compared to 8,996 units in July 2012 

• Sales of Bolan and Mehran increase from 989

units to 2,299 units

• The 800cc grew by 8.2 percent year on year

• 1,000cc engine sales increase of 7.9 percent year on year

• 1300cc engine cars face decline by 1%

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PRODUCT SPECS AND PRICES

Mehran Liana

Jimmy Alto

Bolan Swift

Cultus Ravi

MEHRAN• 800cc engine• OHC 4 stroke cycle,

water cooled Fuel system • Manual • Front disc brakes• Rear drum brakes• 12ince wheel size

BOLAN• 2.5litre engine oil

capacity• 36litre fuel tank

capacity• 5 person seating

capacity

CULTUS• 40L fuel tank capacity• Heater• Air conditioner• Tachometer• CD player and tuner• Child proof rear door

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• 1000cc, 1300cc engine• Air conditioned• Manual as well as automatic• Fuel capacity 55kg• 13inch wheel size• Disc brakes

ALTO

LIANA• 1300cc engine• 12inch wheel size• 50litre fuel tank capacity• Spacious luggage space (CNG )• Keyless entry with answerback and

immobilizer

SWIFT• Superior quality seat fabric

• Halogen headlights• Matching power side

mirrors• Alloy rims• Front fog lens• Fuel consumption gauge• 43litre fuel capacity • 1300cc engine• AC• Power windows • Power steering • CD player • Central locking• Antilock breaking system• Wheel size 15inch• Ventilated disc front

brakes

SWOT ANALYSISSTRENGTH

• Highest market share

• Low price vehicles

• Easily available spare parts

• Highly innovative and deep product line

• Complete understanding between distributors

WEAKNESS

• Scarcity of raw material• Bargaining power of supplier is

low• Lack of coordination and linkage

with Government/semi government supporting bodies

• Less Technical Training Institute• Less distribution channels in sub

urban

OPPORTUNITIES

• Increasing Demand for Cars

• Efficient Efi engine

• Large Market size to operate

• Global spare part market

THREATS

• Competitors like Toyota, and Honda• Smuggling of Auto Parts• Inflation rate• Foreign Investment and setup production facilities• Heavy Taxes

MILESTONES

DEMOGRAPHIC SEGMENTATIONAge

Family sizeIncome

TARGET SEGMENT

ADVERTISING AND SELLING

WEBSITE STRATEGY

• Quickly solve customers queries

• Online chat available for any issue

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RECOMENDATIONS• Suzuki should continue to do efforts to strengthen its

management platform and raise corporate value and sales.• Suzuki should promote business and cost structure reforms

to realize a solid management platform so that it can respond quickly to the changing market circumstances.

• To support consolidated management on a global scale, Suzuki should enhance the power of the workplace and diversity in the use of human resources.

• Suzuki should maintain a streamlined structure through the reduction of fixed costs.

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