Harvard Business Case Write-up # 1
Links to an external site. and answer the questions below in detail:
1) What are the challenges and opportunities for car manufacturers in the Indian Market? (perform a SWOT analysis)
2) What is a price war? How would you describe the price war in the passenger car industry in India? (Discuss the kind of market this company is facing)
3) Why have prices remained sticky for entry-level cars in the Indian market?
4) How are cross elasticity and income elasticity relevant to Maruti’s managerial decisions?
5) What role does inflation play in expanding the market base in a sticky-price model?
6) Where do economies of scale for Maruti come from?
7) How can Maruti sustain its profitability in the future?
