1 November, 2007
Suzuki Motor
Corp is, reportedly, rethinking its
India plans in line with market
dynamics. Suzuki plans to rework its
investment, product, marketing, and
engineering strategies for India.
As a first step, the car major
effected a major organizational revamp
and is all set to pump in an
additional Rs 7,200 crore for
upgrading Maruti Suzuki's marketing
and research facilities in the
country.
The Rs 7,200-crore investment will add
to the already earmarked Rs 9,000
crore, expected to spruce up
manufacturing facilities in India.
Suzuki plans to up capacity to one
million units by year 2010. The Indian
operations of the company are not
anywhere near Suzuki Motor Corp’s
output numbers. Suzuki Motor Corp
still produces 1.2 million vehicles,
while Maruti Suzuki is yet to reach
even the million-unit mark.
Aimed at establishing spare parts
depots, vehicle stockyards, and
display showrooms for the million
units that will be produced in India,
the revamp would also include the
company’s research and development and
engineering functions being upgraded.
The company plans to set up a new
research and development centre in the
northern state of Haryana.
Meanwhile, Maruti Suzuki has said that
it has reported a 26.95 per cent
increase in net profit for the quarter
ended September 30, aided by a
double-digit growth in its domestic
market sales. The company posted a net
profit of Rs 466.5 crore. While
domestic sales went up 17.8 per cent
to 1,79,154 units, exports almost
doubled to 15,171 units.
