Partnering for Emerging Markets Focus on India.ppt

Partnering for Emerging Markets Focus on India Dr. Pawan Goenka President - Automotive Sector Mahindra Mahindra Ltd. India Mahindra : An Introduction Conglomerate with over 6.5 bn USD in revenues Strong presence in six business verticals Leading presence in the automotive business for over 63 years Lineage to the legendary Jeep Sales of over 1,80,000 vehicles in FY07 India’s largest SUV/UV player Alliances with Ford, Renault and International Truck The India Opportunity 12th largest economy in terms of GDP 3rd largest economy in PPP terms The Indian Automotive Market 11th largest car market 4th largest CV market 2nd largest 2W market Largest tractor market Largest 3W market Demonstrated Strong Growth Future Growth Drivers Strong GDP growth Rapidly improving infrastructure Rising disposable incomes Favorable demographics Willingness to spend Easy finance availability Replacement of ageing vehicles AMP 2016: A Vision for Automotive Industry in India Revenue 35 to 145 bn USD Exports from 4 to 35 bn USD It’s Not Volume Growth Alone … A global marketplace Very competitive market Technology upgradation Stringent emission and safety regulations Frequent launches of new models Low cost sourcing Increase in exports 8 out of top 10 global companies have India presence They contribute 60 % of global production but 25 % of India Production Global vs. Indian Top 5 GM Toyota Ford VW Group Honda Maruti Suzuki Tata Motors Hyundai Mahindra Ashok Leyland Strong Capabilities of Indian OEM’s The $ 2,500 Car (The NANO) Very Competitive Market From 20 models available in year 1995 to 93 available today (Not counting the variants) 60 new launches planned in 2008 Suppliers in India Recent Newsmakers 3Cs of Global Collaboration Strategy Benefits from Collaboration Partnership Options Licensing Scope of CollaborationMM Evolution LicensingMM Case : Peugeot Mid ’80s Technical license for engines, and transmissions Deliverables MM : Aggregates and related technology Peugeot :