1

Report on Pak Suzuki

Presented By:

M. Hammad Babar 494-2024

M. Umer Khan 973-2024 (BBA 2 Years)

Ahmed Hassan - 688 2024

To

Miss Rida Ashraf

Principle of Management

Masters of Business Administration, Indus University, Karachi.

 2

TABLE OF CONTENTS

1. INTRODUCTION.

2. MISSION AND VISION.

3. SWOT ANALYSIS.

4. FIVE COMPETITIVE FORCES.

5. BCG MATRIX.

6. CONCLUSION.
 3

1. INTRODUCTION.

Pak Suzuki Company is a Pakistani subsidiary of Suzuki Corporation, a Japanese multinational

company specializing in manufacturing automobiles.

Pak Suzuki was founded in 1983 as a joint venture between Suzuki Motor Corporation and
Pakistani investors and produced its first car, the Suzuki FX, in the same year.

Pak Suzuki is currently one of the largest automobile manufacturers in Pakistan, offering a wide
range of products including cars, motorcycles and even commercial trucks. The company has a
reputation for quality and reliability and is committed to providing the latest and best products
that meet its customers' needs.

2. MISSION.

• To provide the best sales, service and parts in the Market.

• Focus on working with the latest computer technology, tools and equipment.
• A strict commitment to customer satisfaction.

3. VISION.

• Vision is to be the brand of choice for our customers, to be a trusted and reliable brand,
and to be innovative and curious in the technology.
 4

SWOT ANALYSIS

1. STRENGTH

BUDGET CARS.
Budget cars are a major strength for Pak Suzuki because they fit well with the needs of the
Pakistani market, offering affordability, fuel efficiency, and low maintenance costs, while
catering to a large customer base.

HIGH MARKET SHARE.

Pak Suzuki’s high market share is a major strength that ensures its leadership in the local automotive
market. It allows the company to dominate the budget car segment, benefit from economies of scale,
maintain strong customer loyalty, and access a broad consumer base.

BETTER RESALE VALUE.

The better resale value of Pak Suzuki vehicles is a major strength for the company. This advantage is due
to factors such as the strong demand for Suzuki cars in the used car market, their strength, the
availability of spare parts, and their overall cost-effectiveness.

PARTS AVAILABILITY.
The availability of spare parts is a major strength for Pak Suzuki. This not only helps to keep that
customers can easily maintain and repair their vehicles but also contributes to lower maintenance costs,
faster service times.
 5

2. WEAKNESSES

LESS DISTRIBUTION.
The limited distribution network in rural areas is a significant drawback for Pak Suzuki. Although the
company is well established in cities, the gap in rural Pakistan means that it is losing out on a large
market segment.

LOOKS AND DESIGN.

One of Suzuki Pakistan's weaknesses is its "looks and design." This means that Suzuki's car designs
sometimes fall behind other modern and stylish vehicles in the market. As a result, they fail to attract
younger customers or those with more modern design preferences.

TECHNICAL TRAINING INSTITUTES

One of Suzuki Pakistan’s weakness is the "lack of technical training institutes." This means that Suzuki
faces a shortage of proper institutions to train skilled technical staff, which can lead to a decline in the
quality of vehicle maintenance and repairs.

3. THREATS

COMPETITION IN MARKET.
One of the threats for Suzuki Pakistan is the "increasing competition in the market." As more automobile
brands enter the market, offering advanced features, better designs, and competitive pricing, Suzuki
faces challenges in maintaining its market share and attracting customers.

HIGHER INFLATION & TAXES.

Rising inflation and increased taxes can lead to higher production and operational costs, which may
result in increased prices for consumers. This can reduce demand for Suzuki vehicles, as customers may
turn to more affordable alternatives.
 6

GOVT. POLICIES.
Changes in government regulations, taxes, import duties, or subsidies can create an unstable business
environment. Such unpredictability can affect production costs, pricing strategies, and sales, making it
difficult for Suzuki to plan long-term and maintain consistent growth in the market.

4. OPPORTUNITIES

INCREASING DEMAND.
With an increasing middle-class population, there is a rising demand for affordable and fuel-
efficient vehicles. Suzuki can capitalize on this by offering more budget-friendly models that
cater to the needs of consumers who are budget-conscious.

EFFICIENT EFI ENGINES

One of the opportunities for Suzuki Pakistan is the development and use of efficient EFI (Electronic Fuel
Injection) engines. By focusing on EFI technology, Suzuki can offer vehicles that are more fuel-efficient,
environmentally friendly, and cost-effective to maintain.

ELECTRIC VEHICLE PLANT

An opportunity for Suzuki Pakistan is to set up an Electric Vehicle (EV) plant. This would help Suzuki
produce eco-friendly cars, meet the demand for green vehicles, and benefit from government support
for electric cars. It would also allow Suzuki to stay competitive in the changing car market.
 7

FIVE COMPETITIVE FORCES

1. THREAT OF NEW ENTRANTS.

2. BARGAINING POWER OF SUPPLIERS.

3. BARGAINING POWER OF BUYERS.

4. THREAT OF SUBSTITUTE.

5. INDUSTRY COMPETITION
 8

1. THREAT OF NEW ENTRANTS.

• Suzuki is facing new competitors in Pakistan. For example, Chinese companies and local
manufacturers.
• Low budget and a wider variety of vehicles are being offered vehicle by Chinese
companies and new Entrants might make it difficult for Suzuki to maintain its position in
the market.

2. BARGAINING POWER OF SUPPLIERS.

• If suppliers increase the cost of car parts, Suzuki may need to raise prices to cover its
expenses.
• In case of limited suppliers for specific and important parts, Suzuki needs to maintain its
relationships and control prices.

3. BARGAINING POWER OF BUYERS.

• Pakistani customers have different options for cars, which can be a challenge for
Suzuki. If buyers expect lower prices or better quality, it can put pressure on Suzuki
to improve its products and prices.

• Customer loyalty make pressure Suzuki to continuously improve its quality and
customer services.

4. THREAT OF SUBSTITUTE.

• Chinese cars and Motorcycle’s and local brands are coming into the market with
low prices and good features, which can affect the demand for Suzuki.

• The availability of public transportation alternatives in urban areas affects Suzuki's

sales, especially in villages or middles class income areas

5. INDUSTRY COMPETITION.
• Suzuki faces tough competition from Honda, Toyota, and other local companies like
"Kia" and "Honda," which affects its market share.

• Competitors of Suzuki launch new and modern models, which puts pressure on Suzuki
to create new and modern models that meet customer needs.
 9

BCG MATRIX

1. STARS.

2. CASH COWS.

3. QUESTION MARKS.

4. DOGS.

1. STARS.

SWIFT.
SWIFT is the star, for Pak Suzuki Motors Ltd. Because it has a high market
share and high growth rate.

2. CASH COW.
MEHRAN / CULTUS
These are cash cows, for Pak Suzuki Motors Ltd. Because these have a low growth
rate but high market share.

3. QUESTION MARK.

WAGON R
These are question mark, for Pak Suzuki Motors Ltd. Because these have high growth
rate but low market share for which the company is conscious.
 10

4. DOGS.
APV / JIMNY
These are dogs, for Pak Suzuki Motors Ltd. Because these have low market share
and low growth rate.

CONCLUSION

• In recent years, Suzuki has faced around contests, decreasing sales in some
markets and amplified rivalry from other carmakers.
• Suzuki aims to carve out a distinct market position, meet consumer needs, and
maintain competitiveness.
• Overall, Suzuki is a well-respected and established company that has a strong
track record of success, and is well-positioned to endure to succeed in the ages
to originate.