Competitive Strategies of Foreign Original Equipment Manufacturers in the Indian Passenger Car Industry

An Analysis of Competitive Advantage in the Small to Mid-Size Segment

Bachelor Thesis from the year 2012 in the subject Business economics - Business Management, Corporate Governance, grade: 1.0, Berlin School of Economics and Law, language: English, abstract: This thesis analyses the competitive strategies of foreign OEMs in the Indian small to mid-size passenger car industry and explains why some companies were able to achieve a competitive advantage while others failed to do so. It can be said that two factors were crucial for gaining a competitive advantage in this industry: the date of resource commitment and the degree of localization in the value chain. A foreign OEM holds a competitive advantage to (1) a foreign OEM that entered at the same time but had a lower degree of resource commitment and to (2) a foreign OEM with the same degree of resource commitment but a later entry date. Moreover, a foreign OEM holds a competitive advantage to a foreign OEM with a lower degree of localization in the value chain.