The Launch of Scorpio - A Sports Utility Vehicle

Details

Case Code : CLMM027
Publication date : 2005
Subject : Marketing Management
Industry : Automobile
Length : 05 Pages
Price : Rs. 100

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Key words:

Mahindra & Mahindra, Mahindra Group, Telco, Toyota, Project Scorpio, Market Surveys, Customer Needs, Utility Vehicle (UV) Market, Indigenous Vehicle, Marketing Strategy, Mid-Size Car Segment, Multi-Media Advertising Campaign, Non-Traditional Media, Outdoor Promotions, Online Brochures, Toyota Qualis, Tata Safari, 'Designed to Cost' Strategy, Bolero, Aggressive Pricing, Reality Radio Advertising, Business Standard Motoring, BBC World Wheels, CNBC Autocar

Note

1: This caselet is intended for use only in class discussions.
2: More comprehensive case studies are priced at Rs.200 to Rs.700 (US $5 to US $16) per copy.

 

Abstract:

Mahindra & Mahindra Ltd. (M&M) was the flagship company of the Mahindra Group, a diversified business group with interests in key sectors of the Indian economy. The urge to develop a world class vehicle resulted in the launch of 'Project Scorpio' by M&M in 1996. This resulted in India's first indigenous sports utility vehicle, Scorpio, in 2002. The caselet discusses the advertising and promotion strategy followed by the company in marketing Scorpio. The caselet also explains the company's 'designed to cost' strategy that helped in pricing the vehicle competitively.

Issues:    » Pricing decisions in Indian automobile industry    » Promotion and positioning a new product in automobile industry    » Event marketing as a marketing communication tool Introduction Mahindra & Mahindra Ltd. (M&M) is the flagship company of the Mahindra Group, a diversified business group with interests in key sectors of the Indian economy. The business of M&M is divided into two major operating divisions - Farm Equipment and Automotives. The Farm Equipment Division makes tractors and other farm implements, while the automotive division is focused on the utility vehicle (UV) market.

Till the 1990's, the company was the market leader with a market share of 50% in the UV segment as there was little competition. But by the late 1990's, competition in this segment increased with the entry of big players like Telco and Toyota.

This propelled the company to develop a UV that would meet international standards in design and technology...

Questions for Discussion:

1. What kind of promotional strategy did M&M adopt in marketing Scorpio?

2. Analyze the pricing strategy M&M adopted to launch Scorpio.