“Many multinational brands have failed upon coming to India”, said Pawan Goenka, managing director at Mahindra.
Mahindra, in a recent statement said that they do not plan to introduce SsangYong vehicles into the Indian passenger vehicle market. Pawan Goenka, Managing Director at Mahindra said the company will not be making such a move in a short to medium term. He further went on to say that establishing a new brand in India is a tough process as the market is already filled with strong players who already have a presence.
In the meantime, Mahindra will still re-engineer and re-badge products from SsangYong and introduce them in India under Mahindra’s brand.
With the latest launch of the Alturas G4, the company had mentioned how the premium utility vehicle is a rebadged model of the SsangYong’s Rexton G4. Mahindra also plans to introduce into India a compact SUV codenamed S201, which will derive from the SsangYong Tivoli.
Praising the Korean supplier ecosystem, Pawan Goenka further went on to say how the credibility and quality for Korean engineering is very high in India. He mentioned how the Alturas G4 exemplifies this as it offers something different from what is available locally in India.
Mahindra currently owns 72 percent stake in SsangYong, which it acquired in 2011. The company has set high hopes on the Alturas G4 to help the company achieve a premium brand image in India.
Pawan Goenka further went on to say, “The primary benefit with the launch of Alturas G4 is what it does to the overall brand. Our 50 percent of the sales come from Urban area but still, there is a rural feel to the brand. Alturas is an urban product. I think it will get noticed and create a better brand for us.”
The company is targeting 10-12 percent of the premium car market with the Alturas G4. With a target to sell 4500 units a month, the Alturas G4 faces stiff competition in the market from Toyota Fortuner, Ford Endeavour, Santa Fe, Skoda Superb and Toyota Camry. The Alturas is available in two variants – the Alturas G4 2WD priced at Rs. 26.95 lakhs and the Alturas G4 4WD priced at Rs. 29.95 lakhs (ex-showroom).
SsangYong Badged Cars
– Mahindra will continue re-engineering and rebadging of SsangYong products
– Hopeful about Alturas G4 capturing premium car segment
– Targeting 10-12 percent of market share