Discuss the Business-Level Strategy pursued by Volvo in the Indian Bus Market and the resources and...

Discuss the Business-Level Strategy pursued by Volvo in the Indian Bus Market and the resources and competences on which it is based.

Expert Solution

VOLVO ( INDIAN BUS MARKET)

BUSINESS LEVEL STRATEGY

Since Volvo enter the Indian market in late 1980 it follows a niche market strategy and starts its engagement in only high-performance trucks and buses, but in 2006 acquired a stake in land rover Leyland international holding, this allows Volvo to enter in medium commercial vehicle segment.

used of formalized decision models(porters five forces)
cost leadership strategy- by analyzing the value chain( where driver identified) it will help in maintaining quality with security.
analyze product through innovative design perspective and be itself, good competitor, in the market.
the joint venture strategy also helps VOLVO to make its place in the Indian market.
value chain analysis - help in identifying those areas which added its value in the market.
invest in hybrid technology- this will help in maintaining an environment free from the manufacturing effect.
focus- to provide economical transportation facility in consonance with safety, quality, and environmental care.
by aiming to emerge as a market leader, Volvo introduces a range of construction equipment.
choosing India as a market for its expansion due to cheap labor and because of this Volvo shift its SAARC region headquarters from Singapore to India.
VOLVO provides an option in front of traveler technology-driven vehicles that are missing in the Indian market.

RESOURCES & COMPETENCES on which strategy based

resources-

cheap labor
competitors
technology

competitors-

Tata Motors- enter in the Indian market in 1945 till now has its presence in every vehicle and manufacturing vehicles.
Ashok Leyland- setup Ashok motors in 1948 and in 1955 it becomes Ashok Leyland, it has a major presence in India's commercial vehicle industry. in 1994 it launches cargo range of world-class trucks. in 2006 it becomes 2nd largest commercial vehicle producer in India.
Eicher motors- enter in 1982, to manufacture fuel-efficient commercial vehicles of contemporary technology. in 1986 it enters into the collaboration with the Mitsubishi motor corporation of japan to manufacture center range vehicles.

and many more competitors

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