Maruti Suzuki has been implementing an aggressive export diversification plan which has enabled it to reduce risk and impact of slowdown in European markets. The company has gradually increased its exports to non-European automobile markets from 65 percent in 2009 to 25 percent in 2011 resulting in reduction of the share of exports to European market. Currently, the company exports cars to five markets apart from Europe.
According to Mr. Mayank Pareek Managing Executive Officer (Marketing and Sales) Maruti Suzuki India, the company took measures to minimize the impact of the looming slowdown in the European market in 2009 and actively developed alternative markets such as Sri Lanka, Indonesia, Peru, Algeria and Chile. When the exports to European markets declined by 30 percent the non-European exports which account for 65 percent of the total exports of the company rose by 3 percent, thus offsetting the impact of the slowdown.
Moreover, the alternative export markets being catered to by Maruti Suzuki are potentially growng markets and the company plans on increasing its exports to these areas. The car models being exported include the Maruti 800, the Alto, the Zen Estillo, the Ritz, the A-Star and the Swift. The company also plans to export the new Swift DZire once it captures ground in the Indian market.
