Renault,India Globalisation

Renault,India Globalisation

1. Car manufactures are a mass market

   • Hugely competitive
   • Very expensive to start up

2. Competitors such as Volkswagen are talking over the market

   • In 2009, Volkswagen sold 150,000 per month in China
   • On the same year Renault sold 3,000 in the whole year

3. Renault and Logan

   • Low-cost model into India in 2007
     • Target to sell 30,000 car but only sell 80 % in a Year.
       • In 2009 only sold 401 sold and drop a 68%

4. Price problems

   • Logan was not price competitive enough with small family cars
     • £7,000 it was expensive for average income family to save up.

5. Competitor Tata

   • Tata lunched the world's cheapest new car for £1,300
   • This made Renault think about his production to make a cheaper car
     • Renault announced a cheaper can in India and exports from India will be possible
       • This is for the long-term