Electric Vehicle || Group 42

Member 1 – Shalini Srivastava- Hero Electric

Member 2- Harsh Mansuriya - Olectra BYD
Member 3- Rahul - Ather energy
Member 4- Paramveer Singh - MG Motors India
Member 5- Aniket Muley - Mahindra Electric
Member 6- Minakshi Garg- Hyundai Kona Electric
Part-1 || Industry Analysis
 Basic Structure of the Industry
Indian Electric Vehicle Market is Technology
expected to grow at CAGR of 30 % hybrid electric vehicle, plug-in hybrid electric vehicle, battery electric vehicle
over the forecast period.
Power Source
Indian electric vehicle market is bifurcated into stored electricity, on-board electric, generator.
Segmentation-based on
technology, by power source, by
Vehicle Type
vehicle type and by powertrain.
Two wheelers, passenger cars, commercial vehicles, others are vehicle type segments of Indian electric
Key Players analyzed in Indian vehicle market
Electric Vehicles Market:
Power Train
Indian electric vehicle market is divided into series hybrid, parallel hybrid, combined hybrid.

• Mahindra & Mahindra Ltd. Raw material suppliers of electric vehicles and components
• MARUTI SUZUKI INDIAN LIMITED
Toyota Motor Corporation
• AB Volvo India electric vehicle manufacturers, distributors and other stakeholders
• Tata Motors
• Ashok Leyland Key
• Hero Electric Vehicles Private Ltd. Components Government bodies such as regulating authorities and policy makers
• Honda Motor Co., Ltd.
• Avon Cycles Ltd Associations, organizations, forums and alliances related to electric vehicles
• Lohia Auto Industries
• Yamaha Golf-Car Company
Market research and consulting firms
• Club Car, LLC
• Speedways Electric
• Maini Material Movement Pvt. Ltd Member1_Shalini Srivastava (MBAA20030) 1
 Recent Trends in the Industry || Reasons
• With rise in energy density by 4-5% each year, EV charging speeds are also rising || Factors like changes
in battery chemistry, energy density and size of battery packs and these innovations leads to cost
reductions and increased production efficiency.
• Partnerships between companies || To increase their technical know-how, customer base and outreach
several partnerships were witnessed like Tata Technologies & GKN automotive, CredR & Gemopai Electric,
Ampere Electric & eBikeGo etc.
• Lithium-Ion battery prices fell 87% from 2010 to 2019 & the trend would continue || With introduction of new
production techniques and simplified pack designs, the prices will keep falling.
• Autonomous driving would be a major focus || big players in the EV industry like Tesla, Toyota are already
working in this direction. Big players would work with smaller companies to increase their technical know-
how like Volvo & Baidu.
• Demand of oil would increase till 2031 || EVs are displacing 1 million barrels of oil demand per day and
expected to reach at 17.6 million barrel per day in 2040. However, growth in heavy commercial vehicle will
keep the demand increasing until 2031.
• Significant slowdown in the overall growth of electric car sales in 2019 compared with previous years ||
Three underlying reason: contracting of vehicle markets, cuts in electric car subsidies and consumer
expectation of further technology advancements and new model launches.
• Commercial vehicle segment would drive the growth faster || Municipality buses and two-wheeled segment
would propel overall growth of EV segment for next 10 years in countries like China & India.
Member-2_Harsh Mansuriya (MBA20103) 2
 Industry in the Global Context (Business Drivers)
EV growth is mainly driven by four factors, in addition to global and local incentives. Prices are falling, and vehicles
are becoming better, faster, and stronger. These main drivers are a strong signal of rapid development in the
current EV market.
1.Price
Price comparability is a barrier for many consumers since EVs still cost about one third more than similar ICE
vehicles. But prices are declining.
2. Range
We all know Tesla is the boss when it comes to range. However, other car manufacturers are investing heavily in
battery technology development. Also, faster chargers and totally new ways of charging are being developed
intensively. A more comprehensive charging infrastructure will help with range anxiety as well. When the network of
fast chargers gets wider, even the current ranges of most cars are enough to enable long-distance traveling.
3. EV models
To fulfill our current needs for vehicles, EVs need to be available in all shapes and sizes. Luckily, car manufacturers
have noticed this, and car selection is getting much more diverse every year.
4.Charging infrastructure
Both governments and companies are globally investing on charging infrastructure.

References Used By: Member-3_Rahul (MBA20121)

Virta| The 4 drivers of electric vehicle market growth
(Link: https://www.virta.global/blog/electric-vehicle-market-growth)
Member-3_Rahul (MBA20121) 3
Industry in the Indian Context (Business Drivers)
The Indian automotive industry has started to experience the global emerging trends.
Electrification might significantly impact the auto component manufacturers. India
has big plans for the emerging electric vehicles and its in the country.
Due to alarming levels of pollution indices which keeps on rising year on year, India
can have high level of penetration in E-mobility by 2030.
Innovation in technology, low-cost battery, enhanced charging speed and government
support in the forms of subsidies and tax rebates to promote eco-friendly vehicles are
the key driving factors for the Electric Vehicles Industry in India
Factors in India’s Electric Vehicles Push:
Clean air quality is the primary consideration when it comes to electric vehicles, it is
not the only factor pushing Indian auto industry towards electric vehicles
• Pollution control
• Reduce oil Import
Under its EV policy, the Delhi government will give incentive
• Climate Change of up to ₹30,000 for two-wheelers, autos, e-rickshaws and
• Sustainable Energy Production goods carriers while a subsidy of ₹1.5 lakh will be provided for
purchase of electric cars, officials said.

Member-4_Paramveer Singh (MBA20344)

Key Decisions by Indian Union Government || Impacts
Clear vision of the Indian Government to make India an auto manufacturing hub.

Initiatives like Make in India, Automotive Mission Plan 2026, and NEMMP 2020 will give a huge boost to
the sector.
In February 2019, the Government approved FAME-II (Faster Adoption & Manufacturing of Electric Hybrid
Vehicles) scheme with a fund requirement of Rs 10,000 crore (US$ 1.39 billion) for FY20-22.
The Government has introduced a policy which allows organizations and researchers to buy bulk data related to
vehicle registrations on an annual basis.
To install electric vehicle supply equipment (EVSE) infrastructure for EVs, various public sector firms, ministries and
railways have come together to create infrastructure and manufacturing components.

Established auto ancillary industry giving the required support to boost growth.

Five per cent of total FDI inflows to India from April 2000 to March 2020 went into automobiles sector.

Investment flows into EV start-ups in 2019 (until the end of November) increased nearly 170 per cent to reach US$
397 million.

Member-5_Name (MBA20XXX) 5
 Porter 5 Forces Analysis of the Industry
Suppliers
•Strong demand in Asia
and thus makes it a
supplier market.
•Excellent Vertical
integration in the battery
manufacturing fall off in
the last years with the
increasing outsourcing.
•JVs of big players in the
market are giving scope
for suppliers to rule this
upcoming industry.
•Dominants are building
relationships and
networks with the most
important automakers in
the scene, supplying
advanced technologies,
chargers, batteries and
controllers.
Buyers Substitutes New Entrants Rivalry
•Highly profitable •ICEs do actually fit •The main threat may •For corporation in the
buyers are generally better consumer’s come from China and EV market, as well as
less price sensitive expectations India markets: most of those planning to
•For buyers, one of especially if fuel China consumers are first- enter, forming
the key concerns efficiency of ICEs time car buyers and seem partnerships will be
about electric cars is continues to relatively open to EVs the key to success in a
their limited range improve. •In the future, more market with major
together with their •Consumers of players may enter into the obstacles..
charge time products that have industry especially as a •The EV market now is
•The globalized network result of a contingent all about technology,
consumer is less externalities also policy action or following this means that the
willing to deviate place value on the the development of a corporation or the
from their number of other more suitable ecosystem. strategic alliance that
expectations and adopters of these Until then, new entrants can prove the value of
only a small niche of products; electric are not considered as a their technology will
today’s consumers vehicle industry real threat, also because most likely increase its
find current needs to build a the development of the positioning into the
technology whole ecosystem EV infrastructure and landscape.
acceptable. while ICEs already market requests more
have one. players and consideration.
Member-6_Aniket Muley (MBA20307) 6
 Impact of Covid-19 on the Industry
• Supply chain issues were significant as EV industry is dependent on China for imports of cells, battery,
sensors & electric components. Even Okinawa (88% localized sourcing) & Ather Energy (90% localized
sourcing) expected delays in supplies however the magnitude was lesser compared to fossil-fuel peers
• Positive effect is reassessment of globalized EV supply chains and developing local vendors for shorter lead
times and reduce carbon footprints.
• Overall 43% sales of drop of EVs is forecasted at global level. The number of unit round would be
around 1.3 millions in 2020 compared to 2.2 millions in 2019.
• There may be chances of rise in innovative ownerships models, battery subscription or leasing models
• Lowered oil prices due to coronavirus crisis may lead to reduction in the overall electric vehicle demand
• Chances of delayed penetration in India due to affordability issues and focus of Government on reviving the
existing automobile industry.
• The big players of the market would primarily focus on reviving current operations rather R&D spending on
EV vehicles.
Member-7_Name (MBA20XXX) / Member-8_Name (MBA20XXX) 7
Covid 19 response strategy-What can Businesses do to protect themselves
Create A Plan Focus on R&D and Service Delivery Consumer Behavior
Technology
• Focusing on • Delivering a high- • The EV market may
indigenization and will • Focus on new quality product and experience other
start looking at ways in technology thus are improving our shifts. For example,
which how can they partnership for sensor, internal and external there is an expectation
set up facilities within electronic and operation teams to of demand for more
the country to telematics. meet the affordable EV
manufacture as many International players requirements products. This
components as could do a tie-up with potential shift in
possible. Indian players and set • Accelerate marketing consumer preferences
up a manufacturing activities and is may affect
base in the country focusing on ATL manufacturers'
that would provide (Above The Line) investment and
better control over marketing activities production decisions.
their supply chain. and utilize the digital
space

Member-7_Name (MBA20XXX)/ Member-8_Name (MBA20XXX) 8

 References
References Used By: Shalini Srivastava (MBAA20030)
• The TechSci Research | India Electric Vehicle Market By Vehicle Type (Link:
https://www.techsciresearch.com/report/india-electric-vehicle-market/1360.html )

References Used By: Member-2_Harsh Mansuriya (MBA20103)

• VIRTA | The Global Electric Vehicle Market in 2020 (Link: https://www.virta.global/global-electric-vehicle-
market)
• EDI Weekly | Electric vehicle trends (Link: https://www.ediweekly.com/seven-electric-vehicle-trends-for-2020-
forecasts-technology-solar-and-autonomous-driving/)
• Bloomberg NEF | Electric Vehicle Outlook (Link: https://about.bnef.com/electric-vehicle-outlook )
• IEA | Global Electric Vehicle Market in 2020 (Link: http://www.avere- france.org/Uploads/Documents/159238-
5579525e5999e87f780c79b80d5eb7f996c6-Global_EV_Outlook_2020.pdf)
 References
References Used By: Member-3_Rahul (MBA20121)
• The Economic Times | Govt’s booster dose for automobile industry to lift affordable housing (Link:
https://economictimes.indiatimes.com/news/economy/indicators/govts-booster-dose-for-automobile-
industry-to-lift-affordable-housing/articleshow/70887068.cms)

References Used By: Member-4_Paramveer Singh (MBA20344)

• The Economic Times | Govt’s booster dose for automobile industry to lift affordable housing (Link:
https://economictimes.indiatimes.com/news/economy/indicators/govts-booster-dose-for-automobile-
industry-to-lift-affordable-housing/articleshow/70887068.cms
 References
References Used By: Member-5_Aniket Muley (MBA20307)
• Case Righted | Case Solutions and Case analysis experts (Link: https://caserighted.com/mahindra-electric-
mobility-limited-the-electric-vehicles-dilemma/)

References Used By: Member-6_Minakshi Garg (MBA20041)

• TOFLER| Financials of Hyundai Motor India Limited
(Link:https://www.tofler.in/hyundai-motor-india-limited/company/U29309TN1996PLC035377/financials - )
 References
References Used By: Member-7_Name (MBA20XXX)
• FROTCOM | Recession or acceleration of EVs (Link: https://www.frotcom.com/blog/2020/07/electric-vehicles-
recession-or-acceleration-due-covid-19 )
• Green Tech Media | EV Sales (Link: https://www.greentechmedia.com/articles/read/electric-vehicle-sales-set-
to-crash-in-2020-as-coronavirus-bites-and-oil-stays-cheap)
• INC42 | India EV ecosystem (Link: https://inc42.com/features/will-covid-19-accelerate-growth-of-indias-
electric-vehicle-ecosystem/)
• Hindustan Times | Penetration of EVs India (Link: https://auto.hindustantimes.com/auto/news/coronavirus-
likely-to-delay-penetration-of-electric-vehicles-in-india-41603764954321.html

References Used By: Member-8_Name (MBA20XXX)

• The Economic Times | Covid-19 impact: How EV industry is coping with the lockdown?
• (Link: https://auto.economictimes.indiatimes.com/news/industry/covid-19-impact-how-ev-industry-is-coping-
with-the-lockdown/74869368
Hero Electric Olectra Greentech Limited Mahindra Electric
$26.9M $26.6 M (2019-20)
Company 1 Company 2 Company 3

Ather Energy HYUNDAI MOTOR INDIA HYUNDAI MOTOR INDIA

LIMITED LIMITED
Company 4 Company 5 Company 6

Part-2 || Company Analysis

Company 1-Hero Electric || India's largest electric two-wheeler
company
Hero Electric is a developer of electric scooters. Its features include Li-ion batteries, telescopic suspensions, LED headlights, crash guards,
digital speedometers, magnesium alloy wheels and BLDC hub motors. Users can book test drives online and purchase them through dealers.

Founded In Number of Vision & Mission Operating Location- Founded In Manufacturing

Employees – Own manufacturing
1956 by Late Mr. 1956 by Late Mr. of Electric Bikes unit
Dayanand Munjal Providing mobility to Dayanand Munjal near Ludhiana,
175 millions in India. Gurgaon, India Punjab, India.

Basic Financial Details from P&L Statement Hero Electric Cap Table

Operating revenues range is INR 100 crore - 500 crore for the Major Shareholders (Category wise) - Apr 09, 2019 Share
financial year ending on 31 March,2019. Holder Holding

It's EBITDA has increased by 2,233.87 % over the previous year. At Vijay Munjal (Founder) 26.4%
the same time, it's book net worth has increased by 792.12 %.
Sidhartha Murarka (Angel) 0.7%
Total Funding$42.2M
Last Funding Round Undisclosed, Series A, Oct 01, 2019 RSH Global (Enterprise) 0.3%
Valuation$99M as on Apr 09, 2019
Pi Ventures (Fund) 0.1%

Member1_Shalini Srivastava (MBAA20030) 9

 Company 1-Hero Electric || Recent News & Future Plans
Hero Electric launches Optima HX, Photon-hx, NYX-hx electric scooters and will be available at 500+ Hero Electric
dealerships across 25 Indian states. These have been launched for a starting price of Rs 57,560 making them one of the
most affordable electric two-wheelers in the category

The company says that it will further invest in R&D to introduce technologically advanced products that India needs in
order to make the switch from ICE vehicles.

Hero Electric has announced that it won the EV Company of the Year-2W at the 4th edition of India Energy Storage
Alliance (IESA) Industry Excellence Awards 2020. Hero Electric won the prestigious award in the Electric Vehicle 2W
category for providing efficient and sustainable mobility solutions to the masses.

Hero Electric to supply e-scooters for Zypp Electric’s last-mile delivery

Zypp Electric aims to deploy an initial fleet of 1000 e-scooters in the next five months and intends to electrify 100% last-
mile delivery by 2025.

Hero Electric Nyx-HX Commercial Electric Scooter Launched With A Range Of 210 Km. It has been designed for
commercial applications and can be customized to suit different applications. The entry-level variants offer a range of 82
km on a single charge, which can be extended to 210 km on the higher variants of the e-scooter.

Member1_Shalini Srivastava (MBAA20030) 10

 Company-1_Name || 4P Analysis 84.
3%

• New initiatives, under their campaign, Hero Electric bikes offers with price starts at Rs. 39,990
Code Green. Under this initiative, the and goes up to Rs. 79,990 .

Price
company will hand over a special green The popular bikes of Hero Electric price-
Promotion

Price
helmet along with a personal message Optima LA (Rs. 44,990)
• Hero Electric Parks its digital marketing Price Flash (Rs. 39,990)
Promotion NYX (Rs. 63,990)
& PR mandate with Zeno Group India
• Integrated Communications across . Flash (Rs. 39,990)
Digital/Social Media Marketing and NYX (Rs. 79,990
Public Relations - covering both the B2B AE-47 E-Bike (Rs. 1 Lakh)
and B2C domains. 4 P AXLHE-20 (Rs. 55,000)
Anal A2B (Rs. 35,000)
ysis
Product
Place
• Hero MotoCorp Showrooms • Hero Electric bikes India offers 8 new models in
India.
• It sells its cars through dealership • The popular bikes of Hero Electric include Optima

Promotion
LA, Flash and NYX.
• The Company started its own • The cheapest Hero Electric bike is Flash and the
manufacturing of Electric Bikes in year
Place

most expensive one is NYX.

2007 at its state-of-art manufacturing • Hero Electric bikes in India are expected to
facility near Ludhiana, Punjab, India. launch AE-47 E-Bike, AXLHE-20 (Rs. 55,000) and
The builtup area is 58,000 sq. ft. with A2B (Rs. 35,000) in the year 2020-2021 .
60,000 sq. ft. of open area.

Member1_Shalini Srivastava
Shalini Srivastava (MBAA20030)
(MBAA20030)
 Company 1-Hero Electric || SWOT Analysis
Brand Recognition: Brand and brand trust
plays a huge part when purchase decisions
are made by consumers.
Creation
Extensive Domestic Network:
Value
Hero has over 6,500 dealerships
Strengths
and service points across India.
Large Product Portfolio:Not only
does Hero MotoCorp provide a large
variety of two wheelers, it is moving
rapidly alongside current market
trends as well
Joint Ventures and Acquisitions: By Opportuniti
acquiring start-ups or going into joint es
ventures will allow the conglomerate to
obtain more valuable technology and tap
into other market segments.
Features and
Electric Two Wheelers: The e-bike market is expected
to reach about 24.3 billion U.S. dollars by 2025.
Scope
According to Prescient and Strategic Intelligence, the
electric scooter and motorcycles market in India alone will
surge past $617.7 million by 2025.
Member1_Shalini Srivastava
Shalini Srivastava
84.
3%
Poor Gender Diversification: As of late 2018, Hero Electric
had only 25 female employees out of around 200 employees.
Weakness
Declining Service Quality : In a study conducted by
the International Journal of Innovative Research in
Weakness
Science, Engineering and Technology in 2015, the
overall service quality for Hero Electric fell below
expectations of end consumers
Global Exports: In 2017, only 12% of the units
SWOT sold by all two-wheeler manufacturers in India
contributed to exports
Threats Strong Competition : It faces competition
domestically despite its strong foothold in India.
The two-wheeler market in India is very
competitive and is dominated by three other major
players, TVS Motors, Honda, and Bajaj Auto
Threats
Public Transport Infrastructure: The government of
India is striving to improve on its public transport
infrastructure. Projects such as the National Highways
Development Project (NHDP) under the ambitious
Bharatmala Pariyojana will add on more than 80,000 km
of highways in India
(MBAA20030)
(MBAA20030)
 Company 1-Hero Electric || Business Model & Strategic Focus Areas
Key Partners
• Autovert Technologies for
subscription-based
financing plans
• OTO Capital tie up for
electric two-wheeler leasing
• Hero Electric Partners With
GoWash To Redefine
Vehicle-wash Market
• Hero Electric partners with
Zypp Electric – To Deliver
1000 Nyx-HX Scooters
Key Activities and Resources
• The first stage is designing,
manufacturing and delivering
a product to the customers.
These includes research and
development, production,
inventory, marketing, sales
and customer support
services
• Key Resources-
Workshops, Human
Resources, Brand
Value Propositions Customer Customer Segments
Electric two wheelers Relationships
are high-tech solution Target Segment –
for short-distance There should be proper Age Group- 16-45
travels. The main website or a platform Working people, office
product idea is to add support for the customer goers, travelling distance
stress-free riding those may have a product of an average of 30 kms.
experience without related questions so that People who are
sacrificing on design, they can receive a personal environmental conscious
ease of use and price. assistance via the and wants to save money
Hence value proposition company’s web services. on petrol or diesel.
is great design and fair
price.

Cost Structure Revenue Streams

Its lowest version starts from a price of ₹80,587 (ex-showroom) and the top
version from a price of ₹85,221 (ex-showroom). Single cylinder engine of Hero
Electric Photon has an automatic gearbox. With front disc and rear drum brakes,
Hero Electric Photon comes up with combined braking system of both wheels.
Hero Electric bikes in India are expected to launch AE-47 E-Bike (Rs. 1 Lakh),
AXLHE-20 (Rs. 55,000) and A2B (Rs. 35,000) in the year 2020-2021 .
• Customers willing to pay for the environmentally friendly vehicle
• Low cost
• They can save cost on petrol/diesel in future
• Payment done usually through cash-based system or digital system
based on the customer segments.
• The company is planning to launch one product every year, including
new variants of those models

Member1_Shalini Srivastava (MBAA20030) 11

 Company 1-Hero Electric || VRIO Analysis 84.3
%

Insight
Key Consumer
Resources Rarity Competitive
Value Creation Imitability Organisation
Capabilities Advantage
Creation
Value

Long term
Positive Market
Yes Yes Yes Yes Competitive
Reputation
Advantage

Yes Strong Competitive

Leadership Team Yes No Yes
Advantage

Sustainable

Landscape
Competitive
Awareness of the Yes
Yes No Yes Competitive
Features and

brand
Advantage
Scope

Yes Realised sustainable

High Customer Rating Yes Yes Yes
Competitive

Shalini Srivastava (MBAA20030)

 Company 1-Hero Electric || Impact of Covid 19 on the company
• Strong government support and hike in crude oil prices drives the electric vehicle market in India which boosted the sales of the Hero Electric
Motorcycles

• Government of Indian will ban petrol and diesel cars by 2030. Government’s ban on petrol and diesel car is powerful endorsement of electric,
green technology, has helped in triggering the sales of the electric vehicles in India.

• Low maintenance and operations costs of electric vehicles coupled with drop in battery price favors the E-Vehicle adoption.

• Government initiative for electric vehicles under FAME (Faster Adoption and Manufacturing of Hybrid and Electric Vehicles) Indian and
NEMMP (National Electric Mobility Mission Plan) 2020 creates potential opportunity for electric vehicle in Indian.

• 100 per cent lost sales of Q1 (April-June)

• Leading bicycle maker Hero Cycles expects to increase its market share in India to 45-50 per cent in the current financial year, despite the
slowdown caused by the coronavirus pandemic and the nationwide lockdown.

Demand increased for the company's cycles in Europe. "In fact the demand was greater than the supply. This was not visible in India.

Hero Industrial Park that we are working on got halted because of the Covid situation. Since the lockdown is nearly lifted, things are going back to
put things back on track and complete construction by September and start production by Q4 FY 2020.

Shalini Srivastava (MBAA20030) 13

 References
References Used By: Member1_Shalini Srivastava (MBAA20030)

• The Economic Times | Covid-19 impact: How EV industry is coping with the lockdown?
• (Link: https://auto.economictimes.indiatimes.com/news/industry/covid-19-impact-how-ev-industry-is-
coping-with-the-lockdown/74869368
• Annual Report | (Link: https://heroelectric.in/)
• HERO ELECTRIC VEHICLES PRIVATE LIMITED- https://www.instafinancials.com/company/hero-
electric-vehicles-private-limited/U34200DL2010PTC206520
• The Economic Times| https://auto.economictimes.indiatimes.com/news/two-wheelers/scooters-
mopeds/hero-electric-eyes-to-touch-rs-1000-cr-revenue-in-next-four-years/61625183
• Tofler | HERO ELECTRIC VEHICLES PRIVATE LIMITED https://www.tofler.in/hero-electric-vehicles-private-
limited/company/U34200DL2010PTC206520
• Hero Electric | Tracxn | https://tracxn.com/d/companies/heroelectric.in
 Company-2_OGL || Details About The Company
• Olectra Greentech Limited (formerly Goldstone Infratech Ltd) headquartered at Hyderabad was founded in
1992.
• The company has different business verticals which includes Composite Insulators, Core distribution
transformers, IT Consulting, Data Analysis and Electric buses. Olectra Greentech Limited (OGL) is the
largest manufacturer and supplier of composite insulators in India.
• The company is listed at NSE & BSE.
• BYD, China’s largest maker of electric vehicle collaborated with OGL under the name “SSISPL-OGL-BYD-
Consortium”.
• The company has 4 models: Ebus K6, Ebus K7 & Ebus K9 & C9, first intercity bus.
• During FY 2019-20, the company has registered a sale of 155 electric buses compared to 83 electric buses
in the previous year. The company is also awarded with an order of 775 electric buses (~384% increase).
• On the consolidated basis, the net profit for FY 2019-20 was Rs. 1353.01 Lakhs in comparison to net loss
of Rs. 1581.4 Lakhs for FY 2018-19. The company is performing its E-Bus operations for public
transportations in 4 cities.
• Based on the financial reports, no amount was transferred to general reserves along with no dividends
were rolled out in FY 2019-20 considering the future growth of company in electric vehicle segment.

Member-2_Harsh Mansuriya (MBA20103) 14

 Company-2_OGL || Recent News & Future Plans
• The company bagged the contract of 300 buses from BMTC under the FAME-II scheme. The buses will be
on trial run on 8 Bengaluru routes.
• The company had more than 50% market share in electric bus segment commercially operating in India as
per the reports in 2019.
• By the end of year 2020, the company would have 735 new buses deployed across various regions in
India.
• Olectra-BYD launched first electric inter-city coach, with running cost even lower than the counterparts in
IC engines.
• As mentioned in the report, the company’s plans are to improve on existing procedures and continue with
the value engineering.
• The company has manufacturing unit located near to Hyderabad. Company is actively scouting for land in
North India to start its greenfield electric bus plant which would by operation by 2021. This would help them
achieve their aim of supplying buses at least possible rates.
• During phase II of FAME, the government is intended to support 7,000 E-Buses with a total outlay of about
3500 Cr which would be an opportunity for the company to tap the huge markets and leverage its current
reputation in the market.

Member-2_Harsh Mansuriya (MBA20103) 15

 Company-2_OGL || Business Model & Strategic Focus Areas
BUSINESS MODEL
• The company leverages the superior technology of BYD.
target the E-Bus segment here. The company has
localized 40% of its required raw material. They are
planning to increase the same to 55-60%.(Company &
Sourcing)
• The company has tried their products on diverse Indian
terrains and fast charging, long range on charge & BYD
battery technology are their value proposition.
• Olectra BYD deals with the B2B & B2G segment and
especially with the state transport undertaking i.e. STUs
as they form its significant customer base. (Customer
segment)
• The company has four model of Electric Bus: Ebus K6,
Ebus K7 & Ebus K9 & C9. Company has introduced new
Energy Efficient Coach Bus, i.e. C9, for Intercity
application that is getting market traction. (Products)
• The company have Gross Cost Contracts (GCC) model
which is a leasing model. The price is 2.5 crores for C9
and more than 1.5 crores for others. (Revenue model).
Member-2_Harsh Mansuriya (MBA20103)
STRATEGIC FOCUS AREAS
• Government is a key stakeholder here and change in
subsidy regulations, availability of funds by STUs,
state EV policies etc. would influence the strategy of
the company
• Company is strategically focusing on Research &
Development which has allowed them to meet
customer requirements and comply with regulations
during the changing times.
• They are working on product standardization,
improving quality (thus giving an edge above
competitors), developing a larger product portfolio etc.
• The company has also focused on localization of EV
components to reduce costs and to develop vendors
locally.
• This would help company in the long run as sourcing
locally would reduce logistics time and would
ultimately reduce cost and the value created can be
passed on to customers.
16
 Company-2_OGL || 4P, SWOT & VRIO Analysis
SWOT ANALYSIS
STRENGTHS WEAKNESSES
• Recognized player in E-Bus
segment breaking its own
records in order bookings Y-O-Y
• Technology support from BYD,
China’s largest EV maker
OPPORTUNITIES
• Target regarding electrification
put forward by NITI Aayog by
2030
• India is expected to have a
robust growth in E-Bus market
in private segment as well.
Battery technology forms an
ANALYSIS
important part for Electric
VALUE
VRIO
Vehicles. Having consortium
with BYD would help
company leverage and
invest in latest technology.
• Restricting itself to E-Bus
segment (niche category) may
not be a sustainable competitive
advantage due to emergence of
multiple players in this sector
THREATS
• Changes in the Government
regulations & policies, subsidy
schemes.
• Timelines of receival, realization
of payments for the orders
delivered pre-Covid times.
IMITABILITY
The technology in EV space
RARITY
is progressing at a very fast
pace and replicable as well.
R&D, product improvement
& constant innovation would
be the key drivers.
Member-2_Harsh Mansuriya (MBA20103)
4P ANALYSIS
PRODUCT PROMOTION
• Being pioneer in E-Bus
category the company has
three model of Electric Bus:
Ebus K6, Ebus K7 & Ebus
K9 & C9 Fast charging, long
range on single charge are
the value proposition.
PRICE
• The electric bus doesn’t
come cheap and most are
priced above 1.5 crore. The
bus costs Rs. 2 crore (with
amenities) with their newest
model C9 costing around 2.5
crore.
ORGANIZATION
The technology is imitable
given the required money &
time, the competitors can
easily match the efficiency
and performance given by
Olectra-BYD E-buses.
• They have their presence at
various Auto Expo. Different
reviews with online channels
like Express drive, Motorcane,
CV Magazine etc. help them
increase their presence and
outreach.
PLACE
• The company has E-Bus
manufacturing facility near
Hyderabad with further
expansion plans. Most of
their E-Bus orders comes
from Government segment.
The organization’s vision and
structure aligns with their
strategy of utilizing the
available resources. Their
strategic investments also
portrays the same picture.
17
 Company-2_OGL || Impact of Covid 19 on the company
• Although there were a lot of uncertainties due to the pandemic, there were no material impact on the
operations of company during the financial year 2019-20. The company registered net sales growth of
36.25% in FY 2019-20, which was due to higher sales volume of electric buses.
• The focus of the company immediately shifted to ensuring the health and well-being of all employees and
has paused the operations of the company in the entire period of lockdown.
• As per the latest quarterly report, the Company has performed a detailed assessment of its liquidity
position and the recoverability of the assets as at the balance sheet date and has concluded that based on
current indicators of future economic conditions, the carrying value of the assets will be recovered.
• For E-Bus segment, revenue generated was Rs. 24.71 Lakhs in quarter ended on 30/06/2020 compared to
Rs. 3960.76 Lakhs in quarter ended on 31/03/2020. Overall the revenue decreased from Rs. 6661 Lakhs
to Rs. 2214.4 Lakhs in the period.
• Olectra-BYD launched its first electric intercity coach on 6th Feb’20 and planning to deploy 300 units by
2020
• The company had a healthy orderbook of around 792 buses as on June 30, 2020.
• The revenues on Gross Cost Contract (GCC) halted on the buses supplied to TSRTC & PMPML owing to
the restrictions imposed during the pandemic.
• Sizeable subsidy receivable pending for the buses supplied under FAME phase I, Smart City scheme and
future supply of buses under FAME phase II from the Department of Heavy Industries (DHI).

Member-2_Harsh Mansuriya (MBA20103) 18

 References
References Used By: Member-2_Harsh Mansuriya (MBA20103)
• Outlook India | Olectra-BYD to deploy over 700 electric busses (Link:
https://www.outlookindia.com/newsscroll/olectra-to-deploy-over-700-electric-buses-across-cities-this-
year/1727831)
• Auto.com | First electric inter-city coach (Link: https://auto.economictimes.indiatimes.com/news/commercial-
vehicle/mhcv/olectra-byd-launches-first-electric-inter-city-coach-plans-to-deploy-300-units-by-
2020/73991537)
• Financial Express | Cost of E-Bus Olectra-BYD (Link: https://www.financialexpress.com/auto/electric-
vehicles/olectra-bags-order-for-765-chinese-byd-electric-buses-in-india-ev-price-range-charging-time-
c9/1935414/)
• Olectra website | Annual & Quarterly reports (Link: https://olectra.com/annual-reports/)
• ICRA | Financial Report (Link: https://www.icra.in/Rationale/ShowRationaleReport/?Id=97397)
• T&D India | Executive Director Interview (Link: http://www.tndindia.com/electric-vehicles-going-future-olectra-
greentech/)
• Financial Express | Cost information (Link: https://www.financialexpress.com/auto/electric-vehicles/olectra-
bags-order-for-765-chinese-byd-electric-buses-in-india-ev-price-range-charging-time-c9/1935414/)
• The Ken | Joint venture of Olectra-BYD(Link: https://the-ken.com/story/olectra/)
• CV Magazine | Olectra at Auto Expo 2020 (Link:
https://www.youtube.com/watch?v=3tkzHAusyNg&feature=emb_rel_end)
 Company-3_Ather Energy || Details About The Company
Ather Energy was co-founded in 2013. Its two co-founders were Tarun Mehta, a graduate from the IIT Madras with a degree in Engineering
Design, and his former classmate Swapnil Jain, who became AE’s chief technical officer.
Vision & Mission: AE’s objective was to develop India’s first smart electric scooter (e-scooter), which would revolutionize the concept of two-
wheeler driving in India. Although e-scooters were already available in India, smart e-scooters, which had a touch-screen and interactive
dashboard, responded to applications (apps), and could be controlled with a smart phone, represented a completely new market offering.

Funding Received by Ather Energy

Year Funding Source Amount (in • No. of Employees: 500-1000

US$) • Manufacturing Plant:
One manufacturing center with an installed capacity of 20,000–25,000 units, located in
2014 Sachin and Binny Bansal, co- 1 million Bengaluru.
founders of Indian e- • Operating Location:
commerce giant Flipkart Bengaluru and Chennai are the only cities in which AE sold its smart e-scooters
• Financial Analysis:
2015 Tiger Global 11 million Ather Energy which has reported INR 48.8 Cr revenue in FY20, representing over 4x
2016 Hero MotoCorp 32 million growth from INR 11.7 Cr in the previous fiscal year.
• Product line:
2019 Hero MotoCorp 19 million AE manufacture two scooter models at present 340 and 450 And also established an
2019 Sachin Bansal 32 million electric vehicle charging network called AtherGrid.
AE products were displayed at the company’s own thoughtfully designed experience
2020 Sachin Bansal 19 million center, called AtherSpace
2020 Hero MotoCorp 12 million Member-3_Rahul (MBA20121) 19
 Company-3_Name || Recent News & Future Plans
Recent News:
• Ather Energy raises Rs 260 crore in fresh funding led by Sachin
Bansal and Hero MotoCorp
• Ather Energy to set up 135+ EV chargers by December and also
Ather 450X deliveries to begin in November
• Ather Energy has tied up with three dealers in Mumbai, Pune and
Ahmedabad to set up experience centres ahead of the deliveries
of Ather 450X electric scooter. Deliveries in these cities will be
made by Q1/2021 in a phased manner. The company currently
runs two experience centres called Ather Space, in Bengaluru and
Chennai.
• Ather Energy has announced that it has begun setting up its fast-
charging public network- The Ather Grid, across Hyderabad
• In terms of sales, Bengaluru remains the most popular market for
Ather, accounting for over 70% of the 3007 units sold in FY20
Member-3_Rahul (MBA20121)
Future Plan;
• To attract more customers, AE will be start offering leasing options on its
premium battery-powered scooter, the Ather 450, wherein the customer made
a down payment of ₹75,000 and was levied a monthly rental fee of ₹2,500.
Under this option, the company would refund the entire down payment of
₹75,000 at the end of three years, in case the customer wanted to return the
initially leased smart e-scooter.
• To address consumer concerns about recharging EVs, AE had also earmarked
₹1.3 billion to set up 6,500 charging stations across India by 2023.
• To enhance consumers’ post-sales experiences, AE offered a subscription plan,
named Ather One, that provided doorstep pickup and servicing options, 24/7
roadside assistance, and free charging at home and at all public AtherGrid
stations, among other benefits
• Ather Energy has signed up an MoU with the Tamil Nadu government to build a
4,00,000 sq. ft. factory.
• In FY21, the company is looking to set up another manufacturing unit in Hosur,
Tamil Nadu and expand its Ather Grid EV charging network beyond Bengaluru
and Chennai
• Over the next five years, AE planned to set up a new manufacturing facility and
additional charging infrastructure in several more cities, with the goal of selling
1 million smart e-scooters annually. The company also planned to begin
accepting pre-orders in other Indian cities, such as Chennai, Pune, Hyderabad,
and Delhi, with a mid-term plan to further extend its reach to 30 cities.
20
 Company-3_Rahul || Business Model & Strategic Focus Areas
Business Model:
• The firm sold two models: the Ather 340 and the Ather 450. These products, which were priced upward of ₹110,000, had been designed from scratch, were made in
India, and had been customized to Indian conditions and riding sensibilities.
• AE did not follow a typical dealership format to distribute its products. Instead, AE products were displayed at the company’s own thoughtfully designed
experience centre, called AtherSpace, where AE product specialists interacted directly with consumers to explain every detail of the vehicles to interested
customers and to arrange test rides. Purchases were made online via AE’s website, and charging stations were set up at each new customer’s residence to provide
overnight charging.
• To attract more customers, AE had started offering leasing options on its premium battery-powered scooter, the Ather 450, wherein the customer made a down
payment of ₹75,000 and was levied a monthly rental fee of ₹2,500. Under this option, the company would refund the entire down payment of ₹75,000 at the end
of three years, in case the customer wanted to return the initially leased smart e-scooter. If the vehicle was returned before the end of the term, the leaser had to
pay a certain amount to the company, depending on the time remaining for the lease to end. The customer also had the option of purchasing the leased vehicle
• To enhance consumers’ post-sales experiences, AE offered a subscription plan, named Ather One, that provided doorstep pickup and servicing options, 24/7
roadside assistance, and free charging at home and at all public AtherGrid stations, among other benefits.

Strategic Focus Area

• Age Group: • Clean, Smart and ‘Connected Generation’
18-35 years • Eco Friendly but better than Petrol
• Short Distance Travelers; 60-100 KM/Day,
Commuters to:
Office
Institutions like Schools, Colleges etc
• Techno & Environment Lovers
• First Android Sync ability
• First Personalized Scooter
• First Navigation & Theft Security Enabled Scooter
• The Ather 450 also came with a parking assist function-
-that allowed riders to reverse into tight parking spots
Member-3_Name (MBA20XXX) 21
 Company-3_Ather Energy || SWOT & 4P Analysis
SWOT Analysis
4P Analysis:
Strength
Product:
• Leveraging Existing Sales and Distribution network of Flipkart
• Significant cost Reduction due to Digital marketing since offering targeted for Metros • AE manufacture two scooter models at present 450 and
and young generation 450X, India’s first smart electric scooter (e-scooter).
• Lightest Two-wheeler in Indian Market with contemporary styling • And also established an electric vehicle charging network
• Government subsidy of up to Rs 28,000 (FAME) bringing in reduced price to called AtherGrid.
customers Price
• Vehicle specification improving usability: 100 km mileage & 70km/hr VS 50 km • Comparatively lesser price as compared to other smart
mileage & 40 Km/hr offered by current competition electric scooter players
Weakness • Lease and exchange programs are available
• Startup with zero presence in Indian Giant Two-Wheeler Segment Place
• Hindrance in replacing the existing After Service model • Bengaluru and Chennai are the only cities in which AE
• High Vehicle cost for new entrant; twice the price of competition sold its smart e-scooters
• Customer mindset negative due to slew of failed EV’s • Manufacturing plant is located at Bengaluru.
• Strong Competition from established OEM’s Promotion
• Potential Acquisition by OEM due to Financial Muscle Power • By own experience centers, called AtherSpace.
• Non availability of Test Drive experience for new customer • Social Media websites
Opportunity • Ads on television
• India had a larger market for e-scooters than for e-bikes & AE made India’s first smart • Printing press
electric scooter (e-scooter) • Word of mouth
• The government mandate that all new two-wheelers with an engine capacity of less than
150 cc would need to be electric-powered by 2025 was a big opportunity for AE.
Threats
• Intense competition
• Changing consumer preferences
• Lack of awareness about e-two-wheelers was another major hurdle for Indian
manufacturers Member-3_Rahul (MBA20121) 22
 Company-3_Ather Energy || VRIO Analysis

Resources Competitive
Value Rare Imitation Organisation
Capabilities Advantage

Long term
Positive Market
Yes Yes Yes Yes Competitive
Reputation
Advantage
Strong
Yes
Leadership Team Yes No Yes Competitive
Advantage
Sustainable
Awareness of No
Yes No No Competitive
the brand
Advantage
Realised
High Customer Yes
Yes Yes Yes sustainable
Rating
Competitive

Member-3_Rahul (MBA20121) 22
Company-3_Ather Energy || Impact of Covid 19 on the company
• Ather Energy has suspended the test rides for its 450X electric scooter. Moreover, the Bengaluru-based startup has also halted the
enquiries for the electric scooter at its Experience centers across India as a precautionary measure.
• The production remains unaffected and the plant is functioning in the usual manner. Ather Energy is currently accepting orders only
for the 450X electric scooter through its official website
• While the auto industry has seen plenty of losses and layoffs in the past year and half, the electric vehicle (EV) market is
on the rise in India and recorded a 20% uptake in sales in FY20. Benefiting from this demand was Bengaluru-based
electric scooter startup Ather Energy which has reported INR 48.8 Cr revenue in FY20, representing over 4x growth from
INR 11.7 Cr in the previous fiscal year

Member-3_Rahul (MBA20121) 23
 References
References Used By: Member-3_Rahul (MBA20121)
• Drive Spark| Ather Energy Expansion Plans
Read more at: https://www.drivespark.com/two-wheelers/2020/ather-energy-expansion-plans-new-scooter-launch-finance-
model-details-031278.html

• Indian Express | Coronavirus Effect! Ather Energy halts test rides

Read more at: https://www.financialexpress.com/auto/bike-news/coronavirus-effect-ather-energy-halts-test-rides-enquiries-
how-you-can-still-ride-away-the-450x-price-plus-pro-bookings-450x-electric-scooter/1902995/

• Ivey Business School Foundation | ATHER ENERGY: MOTIVATING INDIA FOR SMART ELECTRIC SCOOTERS
Read more at: https://services.hbsp.harvard.edu/api/courses/740390/items/W20095-PDF-
ENG/sclinks/f58fa154f90975234b166f332896e025

• Inc42.com | Ather Energy Losses Grow 2X In FY20 As It Gears Up To Meet EV Demand

Read more at: https://inc42.com/buzz/what-the-financials-ather-energy-losses-grow-2x-in-fy20-as-it-gears-up-to-
meet-ev-demand/
 Company-4_MG Motor || Details About The Company
Brand Ambassador: Benedict Cumberbatch TAGLINE: “It’s a human thing” USP : Smart Electric Vehicles Employees: 1,500
Sales: 15,930 units Annual Revenue: $161.7M per year

MG Motors is a British automotive company, established in 1924 by Cecil Kimber.

In 2007 it was bought by SAIC motors ltd. which is a Chinese automotive
company.
MG Motors came to India in 2017 under the subsidiary of SAIC Motors and
started its sales & manufacturing operations in 2019, with its plant in Halol,
Gujarat.
The Gujarat based MG plant has the capacity of producing 80,000 units per year.
MG Motors currently has a network of over 65 showrooms across 50 major cities
in India.
Currently in Indian market MG Motors is offering 4 vehicles:
• MG Hector
• MG Hector Plus
• MG Gloster
• MG ZS EV

Member-4_Paramveer Singh (MBA20344)

Company-4_MG Motor || Recent News & Future Plans
Recent News
• MG Motor India post 41.2% increase in retail sales in August.
• MG Motor India, Tata Power join hands to deploy superfast chargers for
EVs at select locations.
• MG Motor India ties up with Medklinn for vehicle cabin sterilization.
• MG Motor launches program to produce ventilators at its Gujarat plant.
• MG Motor India's SUV Hector bookings cross 50,000 units.
• MG Motor India eyes increasing production of SUV Hector by up to 30%.
• MG Motor India sells 3,021 units of Hector in December.
Future Plans
• MG Motor to increase investment in EVs from 2022
• MG Motor will launch an affordable electric vehicle in the range of ₹12-15
lakh which will qualify for the subsidy under the government's FAME scheme.
• The company will also launch a new variant of ZS electric vehicle that will
come with a 500-kilometre range.
• The brand is planning to make its full-size SUV MG Gloster available in the
market by Diwali 2020. The vehicle is likely to be in the Rs 40-50 lakh proce
bracket.
Member-4_Paramveer Singh (MBA20344)
Company-4_MG Motor Business Model & Strategic Focus Areas

• According to the director of MG Motors India, Rajeev Chaba, MG Motor’s

current focus is on building its brand in India, rather than selling volumes.
• MG is supported by the deep pockets of its parent company SAIC Motors
which is high on technology product, it is adopting top-down strategy in India
with 5 product launch plans in next 1 years.
• MG Motors is targeting upper middle class and upper-class families in Indian
market.
• MG Motor India has partnered with Zoomcar, one of India's largest personal
mobility platforms, for vehicle subscription. Through this tie-up, MG Motor
will leverage Zoomcar's end-to-end technology solution for its vehicle
subscription platform.
• MG Motor India announced a strategic tie-up with Myles, the car sharing and
car subscription company from Carzonrent. The aim of the partnership is to
provide next-generation mobility solutions to customers

Member-4_Paramveer Singh (MBA20344)

 Company-4_MG Motor || 4P Analysis
4P Analysis of MG Motors
Price Market-oriented pricing strategy
MG includes cars from all segments like mid segment ranges from
12.5L to 20L. Premium segment range from 23.5L to 35.5L. It is Premium pricing strategy
also planning to launch cars for economies segment.
Product Automobiles
MG no doubt builds the great SUV’s. Its cars comes in 3 variants Automobile parts
petrol, diesel and hybrid. Start of the art smart cars with all Commercial vehicles
Financial services
modern features.
Place Official websites
The sale of the MG cars is done through its showrooms. MG Dealerships
Automotive shows and exhibits
Motors has over 65 showrooms across 50 major cities in India.
Promotion Advertising (primary)
MG has hired Benedict Cumberbatch as its brand ambassador. Direct marketing
Promotion of it’s products is done on all the platforms, like digital Personal selling
Sales promotion
platform, Social media, television, radio, print media etc.
Public relations
Member-4_Paramveer Singh (MBA20344)
 Company-4_MG Motor || SWOT Analysis
Strength Weakness
• Big pockets of parent company • Costly products
• Eco friendly product • Low market penetration
• Sustainability and environmental • Chinese product not liked by Indians
policies • Brand awareness
• Safe and eco-friendly vehicles • Reliance on pickup trucks and SUVs for
• Strong brand portfolio sales growth
• OnStar all-in-one assistant
• Rare product recalls
S W

Opportunities
• Government subsidies and tax rebates
towards EV manufacturing
• Increased liking of consumers towards
electric vehicles.
• Low fuel prices are increasing the
demand for pickup trucks and SUVs
• Timing and frequency of the new
model releases
• Demand for autonomous vehicles
Member-4_Paramveer Singh (MBA20344)
Threats
O T • Threat from competitors like Kia
motors.
• Limited choices with MG Motors
• Limited range as compared to diesel
and petrol vehicles
• Increased competition
• Increasing government regulations may
raise the costs
• Indian automotive market is poised to
slow down or even decline
 Company-4_MG Motor || VRIO Analysis
Resources Competitive
Value Rare Imitation Organisation
Capabilities Advantage

Long term
Positive Market
Yes Yes Yes Yes Competitive
Reputation
Advantage
Strong
Yes
Leadership Team Yes No Yes Competitive
Advantage
Sustainable
Awareness of No
Yes No Yes Competitive
the brand
Advantage
Realised
High Customer Yes
Yes Yes Yes sustainable
Rating
Competitive

Member-4_Paramveer Singh (MBA20344)

Company-4_MG Motor Impact of Covid 19 on the company

• For the first time in history of country’s automobile sector, companies like Maruti
Suzuki India, Mahindra & Mahindra (M&M) and Morris Garages (MG) Motor India
reported zero sales in the month of April.
• This was because in compliance with the Government orders all production
facilities were closed
• The company has resumed production at its Halol manufacturing plant with
approximately 30 percent capacity utilization.
• MG Motor India on Monday reported retail sales of 710 units in May amidst
supply chain constraints of coronavirus-induced lockdown.

Member-4_Paramveer Singh (MBA20344)

 References
References Used By: Member-4_Paramveer Singh (MBA20344)

• Basic details about MG Motors

https://www.mgmotor.co.in/
• Basic Details about MG Motors
https://en.wikipedia.org/wiki/MG_Motor
• Past and current news about MG Motors
https://www.moneycontrol.com/news/tags/mg-motor-india.html
• Past and current news about MG Motors
https://www.thestatesman.com/business/covid-19-impact-for-the-first-time-indias-automaker-report-zero-sales-in-april-
1502882752.html
• Past and current news about MG Motors
https://timesofindia.indiatimes.com/covid-19-impact-mg-motor-india-sees-retail-sales-of-710-units-in-
may/articleshow/76130448.cms
• Future plans of MG Motors
https://www.livemint.com/companies/news/mg-motor-to-increase-investment-in-evs-from-2022-11591094427796.html
 HYUNDAI MOTOR INDIA LIMITED
Wholly owned subsidiary of the Hyundai Motor Company
the second largest automobile manufacturer with 16.2% market share as of February 2019
Founded: 6 May 1996
MD & CEO: Mr. Seon Seob Kim since Dec 1, 2018
Nine car models across segments –
SANTRO, GRAND i10, GRAND i10 NIOS, ELITE i20, AURA, XCENT, VERNA, ELANTRA, VENUE,
CRETA, TUCSON and KONA Electric
R&D facility: Hyderabad

Operations Activity
Press Shop
Converts sheet metal to body panels with high dimensional EV Model: Hyundai Kona Electric
accuracy and consistency. Launched in June 2019
Body Shop
Hi-tech line that builds full body shells from panels. Sales from April-November 2019- 280 or
Paint Shop 21.39% of total EV Car sales in India
Modern paint shops in the country and uses the environment
friendly water-based process for superior and lasting exteriors. Hyundai Kona and Kona Electric CUV Won
Assembly Shop Prestigious Award 2019 North American
The Assembly Shop comprises the Trim Line, the Chassis Line,
the Final Line and the OK Line Utility Vehicle of the Year
Engine & Transmission Shop
 Details About The Company
Registered Office & Factory
Location : Kanchipuram
Address : Irrugattukottai, NH No.
4, Sriperumbudur Taluk, Kanchipuram
District, Tamil Nadu - 602117
Hyundai Motor India Limited
Location : New Delhi
Address : 2nd & 6th Floor, Corporate
One (Baani Building), Plot
No.5, Commercial Centre, Jasola, New
Delhi- 110025
Operating revenues range is
over INR 500 crore for the
financial year ending on 31
March, 2020. It's EBITDA has
decreased by -9.45 % over
the previous year. At the same
time, it's book net worth has
decreased by -3.43 %.
Operating revenue grew 6.5%
y-o-y in FY19, according to the
data filed with the Ministry of
Corporate Affairs.
Profits by 21.5% to Rs 2,582
crore in the previous fiscal
 Recent News & Future Plans
AWARDS AND RECOGNITION
Kona Electric has bagged a considerable
number of awards around the world
Top Gear Electric Awards named the model
the Best Small Family Car, based on its
performance during a 24-hour, 1,600 km
European road trip.
In 2019, Wards Auto included Kona Electric
on its ten best engines list.
In 2018, Auto Express named it the
Affordable Electric Car of the Year.
It also won the 2019 North American Utility
Vehicle of the Year.
NEWS HIGHLIGTHS
• Hyundai Kona Electric recall potential hurdle
to its EV plans: The Hyundai Kona Electric could
face a short-circuit due to defective cell
manufacturing. The separator between the
positive and negative plates of the battery cell
gets damaged due to the “poor quality in the
manufacturing process.
• Low-cost Hyundai electric car India launch by
2023, confirms Director
• Hyundai sells over 1 lakh Kona EV globally
With the success of Kona Electric, the automaker
now aims to sell 560,000 battery electric vehicles
in addition to FCEV models by 2025, claims the
automaker.
• Hyundai unveils enhancements for Kona and
launches all-new Kona N Line
Strength Weaknesses Opportunities Threats

Excellence in vehicle Poor brand

safety and design Improving U.S. Increased
proven by many
portfolio, leading
to fewer sales economy competition
awards

Low presence in
The 6th highest the strongest U.S.
Timing and
automotive brand vehicle market and Rising Korean Won
frequency of new exchange rates
reputation in the no presence in
model releases
world Japan’s vehicle
market
Effective research
Low fuel prices Increasing
(R&D) Declining quality of
opening new government
spending resulting company’s regulations may raise
markets for
in new innovative management the costs
Hyundai
cars

Product recalls
Low cost to drive
damaging brand
and durable cars
reputation
 HYUNDAI MOTOR INDIA || VRIO Analysis

Resources Non- Organized to Competitive

Valuable Rare
Capabilities substitutable Exploit Advantage

Sustained
Huge Global
Yes Yes Yes Yes Competitive
Presence
Advantage
Under utilised
High Safety Yes
Yes Yes No Competitive
Standards
Advantage
Realised
Yes
Brand Portfolio No No Yes Competitive
Advantage
Unused
R&D Facility Yes Yes Yes No sustainable
Competitive

Member-5_Minakshi (MBA20041) 22
 Place and Distribution Promotion &
Product PriceStrtaegy
Strategy Advertising Strategy:
• Hyundai Motor • Hyundai follows • Hyundai India sells its • Aggressive
Company offers a competitive pricing cars through promotional strategy
diversified portfolio of Strategy in its dealerships in India. in its marketing mix
cars ranging from marketing mix Hyundai India has two • Press Releases
hatchbacks to sedans especially in the manufacturing plants • Advertisements
to SUVs economy class in Sriperumbudur,
• Media Review
• Verna, Accent,Avante, segment. However, Kanchipuram district,
pricing also varies Tamil Nadu capable of • Be the better guy, a
i10, i20, i30, Veloster,
from one geography producing 6,70,000 short film
Coupe, Sonata, i40,
GRD, Aslan, Genesis. to another and the vehicles annually. • CSR Campaigns
Verna Hyundai features being offered • It also has a
Recreational Vehicle: in the car. multimillion-dollar
Tucson, Veracruz, R&D facility in
Santa-Fe Hyderabad
• Hyundai SUVs:Creta,
Santa FE.Cretais a
compact SUV whereas
Santa FE is a premium
SUV in its segment.
 Impact of Covid 19 on the company
• Coronavirus Halts Hyundai Production
• Hyundai Motor Co. has halted its production in South Korea because of a
component shortage caused by the virus
• In India, Hyundai Motor announced it had sold 6,883 units in the domestic market
in the month of May and that another 5,700 units had been exported in the same
period. After what was a tumultuous April for almost every automotive
manufacturer, sales figures from May come as some respite even if these are only a
pale shadow of pre-Covid-19-times.
• May sales have totaled 217,510 units, down 39.3% y/y
Sales in Korea were up 4.5% y/y to 70,810 units
Sales outside of Korea slid 49.6% y/y to 146,700 units
 Business Model & Strategic Focus Areas

Customer
Customer Segments Channels for Sales Strategy for 2025
Relationships
• Mass Market • Design emphasis • Showrooms • Smart Mobility
• Business fleet • Customer • Online Solution Provider
• Brand-conscious Assistance • Repairing shops - Smart Mobility
customers • Brand Awareness Device and
• Retailers
Service
• Trust
• Balanced &
• Recommendation
Steady Growth
• Campaign
• Incremental Profit
• Sponsorships from Enhanced
value customer+
Cost Innovation

Member-1_Name (MBA20XXX) 11
 References
References Used By: Member-6_Minakshi Garg (MBA20041)
• TOFLER| Financials of Hyundai Motor India Limited
(Link:https://www.tofler.in/hyundai-motor-india-limited/company/U29309TN1996PLC035377/financials - )
• Automotive E-Mobility. Industry Analysis
Link: https://www.grin.com/document/368183)
• ET Auto| Hyundai sells over 1 lakh Kona EV globally
Link: https://auto.economictimes.indiatimes.com/news/passenger-vehicle/uv/hyundai-sells-over-1-lakh-kona-
ev-globally/77018554
• IBEF | Automobile Industry
Link:https://www.ibef.org/industry/india-automobiles/infographic
• Hyundai Motor India Official Website
Link:https://www.hyundai.com/in/en/hyundai-story/hyundai-motor-india/about-us
• Hyundai Wikipedia
Link: https://en.wikipedia.org/wiki/Hyundai_Motor_India_Limited
 Company-6 Mahindra Electric
Founded In:
Mahindra & Mahindra (a part of the
$19 billion Mahindra Group) sought the
opportunity to combine their years of
car manufacturing expertise with the
country’s leading EV manufacturer-
Reva Electric Car Company (founded in
1994) and renamed it to Mahindra Reva
Electric Vehicles.
Number of Employees: 42,875
Vision statement:
Our vision is to become a leading brand
in providing customized electric mobility
experiences through cutting edge
technology.
Mission Statement:
Core values make our mission, which
include, good corporate citizenship,
professionalism, Customer First, Quality
Focus, Dignity of the Individual
Operating Location: Product Line:
PAN India, HQ: Bangalore Mahindra E20 (passenger), Mahindra E20
plus (passenger), Mahindra EVerito
Company’s Operation: (passenger), Mahindra eSupro
The company operates in Indian (passenger), Mahindra Treo (Logistic and
passenger vehicle space as well as commercial).
the logistic space. They have
developed their EVs in the above
mentioned sectors.
Basic Financial Details from P&L Statement:
Total turnover and other income for the company is Rs. 27,890 Lakhs. Profit/(loss)
before tax is Rs. (5,523) lakhs while profit and loss after tax is Rs. (5,523) lakhs
Particulars For the year ended 31st March,
2020 (lakhs)
Turnover and Other Income 27,890
Profit/(Loss) before tax as per Profit & Loss (5,523)
Account
Profit/(Loss) after Tax (5,523) (5,523)
Member-6_Aniket Muley (MBA20307) 34
 Company-6 Mahindra Electric || Recent News & Future
Mahindra Electric Has been looking for an Investor:
• The Company has been making losses since 2010 and has been actively looking for investors. The main reason for this can
be attributed to delay in their product launch of their electric SUV an ambitious project in itself.
• The group own 100% stake in the company formerly known as the Reva Electric Car Company.
• In 2019-20, Mahindra Electric clocked sales of 14,602 units (966 four-wheelers and 13,636 three-wheelers), a growth of 42
percent compared to 10,276 units (1,811 four-wheelers and 8,455 three-wheelers).

Mahindra Electric to launch e-KUV 100 soon:

• The SUV has been company’s most ambitious project so far as it aims to launch an SUV in EV sector.
• The only competition EV SUV market has, is in terms of TATA NEXON EV.
• The company is planning to take on TATA with is competitive pricing approach. The company also promises to offer 80%
charging of the vehicle in an hour.

Mahindra Electric launches Mahindra Treo Zor:

• The commercial three wheeler has been launched keeping in mind the adoption of BS VI laws coming in.
• This has made the IC engine vehicles costly however did not affect the price of EV.
• Key Highlight: The total cost of ownership of diesel cargo vehicles works out to Rs 6.95 per km, while Treo Zor’s cost would
work out to `5.1 per km.
• The Karnataka, Gujarat, Delhi and Telangana governments are supporting EV with lower GST, state level incentives along
with FLAME-II incentives make it now more commercial viability for service providers
Member-6_Aniket Muley (MBA20307) 35
Company-6_Name || Business Model & Strategic Focus Areas
• The strategy in expanding its business across countries will be mostly through Joint ventures, Partnerships and Acquiring. As
part of their Globalization strategy and also to change design as per the local foreign markets, it builds plants near to that
location. Depending upon the market size, it will decide either to produce mass or small scale for bigger market segments or
Niche market segments respectively.
• This helps Mahindra not to depend upon 3rd party manufactures for special Niche markets. For example, it built a plant in
USA to produce Greenfield off-road utility vehicles. The design is done at Mahindra’s North American Technical Centre and in
Detroit and reduced its dependency on 3rd party OEMs (Original Equipment Manufacturers).It procures raw materials from
optimal and economically feasible foreign sources. It gets it Wagon-building plates from Yawata, Tokyo.
• These are the following major strategies Mahindra & Mahindra follows:

1. Collaboration and tie-up with foreign companies

2. Procurement of raw materials from optimal and economically feasible foreign
3. Expansion of the product basket, with continued innovation
4. Entry into world market
5. Backup or contingency plan in time of crisis
6. Procurement of licenses from abroad
7. Environmental-friendly inventions
8. Product redesigning to meet consumer’s needs
9. Making market presence through advertisement and enhancement of brand image

Member-6_Aniket Muley (MBA20307) 36

 Company-6_ Mahindra Electric || 4P Analysis
Product
• Mahindra Electric has ventured its products into 2 major •
categories namely, Passenger and Commercial.
• The Electric company has Mahindra E20 (passenger), Mahindra
E20 plus (passenger), Mahindra EVerito (passenger), Mahindra
eSupro (passenger), Mahindra Treo (Logistic and commercial). •
Place
•Mahindra & Mahindra has a distribution network spanning the
length and breadth of India. Mahindra & Mahindra has 300
dealerships spread across 240 cities. Around 1300 up-country
outlets have been set up to serve the rural and semi-urban areas in
the country.
•Mahindra & Mahindra has an efficient and effective warehouse and
clearing and forwarding facility. SRP group supports Mahindra in
logistics and warehousing. Mahindra & Mahindra has dealerships
across the country which are equipped to handle sales and service
for personal and commercial vehicles both.
Member-6_Aniket Muley (MBA20307)
Price
Mahindra & Mahindra has targeted different market segments
with their different vehicles. XUV 500 is for the cosmopolitan
population with international quality car and advance
technology and style.
Bolero is more for more price conscious, middle class
consumers in smaller towns. Therefore, the pricing strategy in
the marketing mix of the automobiles is done keeping the
market segment and the competitors in mind.
Promotion
•Their advertising strategy is not confined to just television.
Mahindra & Mahindra do a lot of print, digital and media advertising
as well. They host on ground events like the Mahindra adventure
initiative. Mahindra & Mahindra has a huge fan base on social
media.
•Various events and contests like the Dubsmash & win KUV100
contest are played on the social media to create buzz and for
customer engagement. It has around 17 million fans across various
brands and over 40 million views on different videos on YouTube.
37
 Company-6_ Mahindra Electric || SWOT Analysis
Mahindra Electric SWOT Analysis
Strengths
•Strong brand In Automobile Business.
•Strong Employment giving opportunity.
•Excellent branding and advertising and low service
cost after sales.
•First company to manufacture EV cars in India.
•Great Brand value amongst customers.
•Entering into SUV segment of EVs which is one of its
kind.
Weaknesses
•Partnership with Renault Automobile did not live
up to the occasion.
•Logan (in partnership with Renault) failed.
•Company not making profits with its 3 wheeler
segment leading to economic crash.
•Strong competition from TATA in SUV segment for
EV.
Member-6_Aniket Muley (MBA20307)
Opportunities
•Building the vehicles of tomorrow according to
FAME II policies.
•Tapping in on the emerging markets.
•With M&A of Reva Electrics, tapping into the 2
wheeler segments being first of its kind.
•Use of advanced technology and clean energy.
Threats
New trading regulations imposed by SEBI
•Possible shift in customer taste due to no charging
infrastructure available.
•Higher possibility of getting substituted by public
transport.
 Company-6_Mahindra Electric || Impact of Covid 19
• There were a lot of uncertainties due to the pandemic, and the company was already going through losses which
happened to take place due to its tie-up with Renault Company which did not go well. Even though the company has
been facing problems regarding its profitability, the sales for the financial year has been on a rise for the commercial
vehicle segment.
• The focus of the company immediately shifted to ensuring the health and well-being of all employees and has paused
the operations of the company in the entire period of lockdown.
• However, even amidst this scenario, your Company recorded an increase of 8.4% in revenue from operations at Rs.
53,614 crores in the year under review as against Rs. 49,445 crores in the previous year.
• The Profit for the year before Depreciation, Finance Costs, Exceptional items and Taxation recorded an increase of
14.7% at Rs. 8,328 crores as against Rs. 7,259 crores in the previous year. Profit after tax increased by 10.1% at Rs.
4,796 crores as against Rs. 4,356 crores in the previous year.
• Your Company continues with its rigorous cost restructuring exercises and efficiency improvements which have
resulted in significant savings through continued focus on cost controls, process efficiencies and product innovations
that exceed customer expectations in all areas thereby enabling the Company to maintain profitable growth in the
current economic scenario
• No material changes and commitments have occurred after the closure of the Financial Year 2018-19 till the date of
this Report, which would affect the financial position of your Company. There has been no change in the nature of
business of your Company.

Member-6_Aniket Muley (MBA20307) 38

 References
References Used By: Member-6_Aniket Muley (MBA20307) (Introduction)
• The Financial Express | Mahindra Electric launches new cargo 3-wheeler Treo Zor: (Link:
https://www.financialexpress.com/auto/electric-vehicles/mahindra-electric-launches-new-cargo-3-wheeler-
treo-zor-price-range-warranty-and-more-details-top-speed-battery-charging/2117133/

References Used By: Member-6_Aniket Muley (MBA20307) (Recent News)

• Moneycontrol | Mahindra Electric Mobility gets offers for stake buy in company (Link:
https://www.moneycontrol.com/news/technology/auto/mahindra-electric-mobility-gets-offers-for-stake-buy-
in-company-6037561.html

Member-6_Aniket Muley (MBA20307)

 References
References Used By: Member-6_Aniket Muley (MBA20307) (SWOT ANALYSIS)
• Case Righted | Case Solutions and Case analysis experts (Link: https://caserighted.com/mahindra-electric-
mobility-limited-the-electric-vehicles-dilemma/)

References Used By: Member-6_Aniket Muley (MBA20307) (VRIO Analysis)

• Harvard Business School | Vrio Analysis of Mahindra And Mahindra: Leveraging Indias Size For Global Scale In Tractors -
A Profile Of One Of Indias Pioneering Multinationals Case Help
• (Link :https://caseturbo.com/harvard-business-school/mahindra-and-mahindra:-leveraging-indias-size-for-
global-scale-in-tractors---a-profile-of-one-of-indias-pioneering-multinationals/vrio-analysis.php)

References Used By: Member-6_Aniket Muley (MBA20307) (COVID Response)

• The Economic Times | (Link: https://economictimes.indiatimes.com/news/economy/indicators/govts-booster-
dose-for-automobile-industry-to-lift-affordable-housing/articleshow/70887068.cms)
• Follow Formatting of References Like Mentioned Above

Member-6_Aniket Muley (MBA20307)