Subject category:
Strategy and General Management
Published by:
Amity Research Centers
Length: 10 pages
Data source: Published sources
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Abstract
In 2012, the world's largest truck manufacturer Daimler AG (Daimler) of Germany entered India to manufacture commercial vehicles under the brand name BharatBenz. Despite the knowledge of unsuccessful forays of some of its global competitors in the Indian market, Daimler India Commercial Vehicle Pvt Ltd (DICV), a wholly owned subsidiary of Daimler, set up a strong foundation for expansion. However, the company was still bleeding (in 2023) even after a decade of operating in India. In this regard, experts claimed that a lion's share of the market share was dominated by local giants Tata Motors and Ashok Leyland, while DICV's capacity remained underutilised. Demonetisation, the COVID-19 pandemic, and the weakening of the medium and heavy commercial vehicle market had further exacerbated the challenge for DICV. Experts observed that Daimler would find it difficult to establish a foothold in India due to the higher prices of its trucks and contemplated whether it would be able to replicate its global success here or turn into another tombstone alongside the Indian trucking highway?
Teaching and learning
This item is suitable for undergraduate, postgraduate and executive education courses.Time period
The events covered by this case took place in 2023.Geographical setting
Region:
Asia
Country:
India
Subject category:
Strategy and General Management
Published by:
Amity Research Centers
Length: 5 pages
Data source: Published sources
About
Abstract
In 2012, the world's largest truck manufacturer Daimler AG (Daimler) of Germany entered India to manufacture commercial vehicles under the brand name BharatBenz. Despite the knowledge of unsuccessful forays of some of its global competitors in the Indian market, Daimler India Commercial Vehicle Pvt Ltd (DICV), a wholly owned subsidiary of Daimler, set up a strong foundation for expansion. However, the company was still bleeding (in 2023) even after a decade of operating in India. In this regard, experts claimed that a lion's share of the market share was dominated by local giants Tata Motors and Ashok Leyland, while DICV's capacity remained underutilised. Demonetisation, the COVID-19 pandemic, and the weakening of the medium and heavy commercial vehicle market had further exacerbated the challenge for DICV. Experts observed that Daimler would find it difficult to establish a foothold in India due to the higher prices of its trucks and contemplated whether it would be able to replicate its global success here or turn into another tombstone alongside the Indian trucking highway?
Teaching and learning
This item is suitable for undergraduate, postgraduate and executive education courses.Settings
Time period
The events covered by this case took place in 2023.Geographical setting
Region:
Asia
Country:
India
Related
Subject category:
Strategy and General Management
Published by:
Amity Research Centers
Length: 5 pages
Data source: Published sources