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employs about 650 people, including contract workers. It is a manufacturer of two-wheelers with its manufacturing facility located at Gurgaon, Haryana.The facility has annual production capacity of 100,000 units in the initial stage, and the
company is ready to set to increase the production capacity as the demands grow.The company has invested around US$ 44 million in setting up its operations.
Suzuki Motorcycle India Private Limited started its manufacturing operations in Februray, 2006 and has till now launched two 125-cc motorcycles in the Indian market – Heat 125 and Zeus 125X.
These bikes have high localisation in terms of manufacturing with only some components being imported from Suzuki, Japan. Its dealer network is spread across 17 states in India.
SUZUKI MOTOR CORPORATION
Company Background
Suzuki Motor Corporation, formally known as Suzuki Loom Works, was founded in the year 1909 by Michio Suzuki.The Company is into
manufacturing of motorcycles, automobiles, outboard motors, boats, motorized wheelchairs, electro-scooters and industrial equipments. It reported net sales of US$ 22 billion in 2004-05 and has more than 13,000 employees globally.
Suzuki Motor Corporation in India
Suzuki Motor Corporation has the following operations in India:
Suzuki Motorcycle India Private Limited Suzuki Motorcycle India Private Limited is a subsidiary of Suzuki Motor Corporation and
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in developing itself as Suzuki’s Research and Development hub for Asia. Over 50 Maruti engineers have trained at Suzuki and used their capability to refresh and upgrade Maruti models.
Maruti engineers also worked with Suzuki engineers in Japan in designing Suzuki’s world car, Swift, and make it suitable for Indian conditions.
Maruti’s contribution as the engine of growth of the Indian auto industry, and its impact
on the lifestyle and psyche of an entire generation of Indian middle class, is widely acknowledged.
The Government of Japan conferred on Maruti the METI Award for promotion of Japanese brand in India last year. Maruti was one of the six companies as also one among two outside Japan to have received this prestigious award.
Customers have rated the company number one in customer satisfaction in the J D Power Survey of the Indian car industry for six years in a row.
Maruti is the only market leader in cars in the world to be ranked number one in customer satisfaction,
The company has also been ranked number one in J D Power Sales Satisfaction Survey two years in a row. It has been regularly rated as the best in quality in the JD Power’s Initial Quality studies.
Maruti Udyog Limited
Maruti Udyog Limited, a subsidiary of Suzuki Motor Corporation of Japan, has been the leader of the Indian car market for about two decades. Its manufacturing plant, located some 25 km south of New Delhi in Gurgaon, has a capability to produce 600,000 cars per year.
The company has a portfolio of 10 brands, including Maruti 800, Omni, international brands Alto,
WagonR, Zen and Swift, off-roader Gypsy, entry level sedan Esteem, premium sedan Baleno, and the MPV Versa.
At the end of 2005-06, Maruti had a market share of about 55.1 per cent of the Indian passenger car market.The company sold 5,61,822 vehicles in 2005-06. So far, it has produced and sold over 5.5 million vehicles. Maruti’s cumulative exports are over 400,000 units.
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Insurance and Maruti Finance.These initiatives, besides providing total mobility solutions to customers in a convenient and transparent manner, have helped improve economic viability of the company’s dealerships.
Maruti’s revenue has grown consistently over the years. In 2002-03, it recorded net sales of US$ 1545.9 million, in 2003-04, US$ 1969.9 million, in 2004-05, US$ 2366.8 million and in 2005-06 net sales grew to US$2603.8 million (at 14% CAGR from 2003 to 2006).
The company is listed on Bombay Stock Exchange and the National Stock Exchange.
Suzuki and Maruti will make fresh investment of over US$ 130 million over next five years in India.
The investment will be in setting up a new car assembly plant, a diesel engine and transmission plant and for the launch of 5 new models in the next five years.
Maruti is rated among India’s six most-respected companies in the prestigious survey by Business World magazine. Global rating agency AC Nielsen has rated it one among top three corporates in India in Corporate Image Monitor Study in 2005.
In keeping with its leadership position, Maruti supports safe driving and traffic management through mass media messages and a state-of-the art driving training and research institute.
Maruti is currently setting up a network of Driving Training Schools across India, in collaboration with its dealers.These state-of-the-art institutes, offering practical, theory and simulator training along international lines, are aimed at making roads safer.
Maruti's channel partners own and manage 382 sales outlets across 230 Indian cities.The service network covers 1094 towns and cities, bolstered by 2100 authorised service outlets.
The company’s service businesses include sale and purchase of pre owned cars (TrueValue), Maruti
