Prolonged waiting list may crumble Maruti's dominance

With the extending waiting period for Maruti cars, the consumers are reported to opt for other models. One of the customers who wish to be anonymous has apparently chosen to buy a Skoda Fabia after waiting for three months for Maruti Swift car. It is said that one has to wait for a period of over six months after booking a Maruti Swift diesel car. The wait period for the Maruti Swift Dzire is no less with over four months before the car is delivered to the owner. Maruti India is on the brink of falling into a major crisis due to its inability to supply cars to meet the demand and the increasing competition, where Maruti rivals are bound to make the most of the situation.

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Maruti Suzuki India is presently undergoing a most difficult phase with continuous labour unrest at its Manesar plant and its sister concerns. Apart from incurring a major loss, the company’s share value is reported to have fallen by over 27% in 2011. Share Market Analysts say that the investors are worried over their investments made on the company shares. They believe that the sooner the situation gets into hand, the better it is for MSI. Moreover, the strike has hit the company during the festive season, when maximum sales are recorded. The General Manager of Sales and Marketing department of MSI, Shashank Srivastava had expressed his concern over the situation.

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On a positive note, he had said that their unbeatable brand value is their life saviour, where MSI’s faithful consumers are willing to bear the long waiting periods. Nevertheless, the MSI dealers tell a different story. Apparently, many consumers are not stopping to consider a Maruti car due to its longer wait period; they are just choosing a rival car straight away. While all the other auto makers like Honda India, Hyundai India and Toyota have launched their new models to benefit from the apex sales during the festive season, other competitors like Volkswagen, General Motors and Skoda have offered lucrative discounts on their cars. Unfortunately, hands are tied for Maruti Suzuki India, which despite having the best cars in its stable is facing a helpless situation.

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