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Mahindra & Mahindra (M&M) in South Africa

In: Business and Management

Submitted By Sisi01
Words 2714
Pages 11
Mahindra & Mahindra in South Africa

Evelyn Eugenio
AMBA 660 9044
Dr. Lorna Wallace

Executive Summary

In 1945, Mahindra & Mahindra Ltd. (M&M) functioned as a steal trading entity established by two brother located in India. During 1947, they decided to join the automobile industry and created the UV and tractor vehicle which become the core competency. Even though the strategic method was effective domestically in India, M&M had to reposition its strategic position in South Africa and they have several alternatives. However, M&M was aware that entering the Indian automobile markets would be competitive but they still proceeded. This was a successful multinational venture that has contributed to a successful global economy. However, the strategy was not effective in South Africa and therefore several alternatives were considered. First strategic alternative was to assemble vehicles in South Africa. The second alternative was to establish M&M’s own manufacturing unit in South Africa would be beneficial to the company. The third alternative was to reconstruct the current business model that in India and expanding into Africa by using them as export hub. The last alternative was the wait and watch method after the automobile recession occurred in South Africa. This case will explore several alternatives available for M&M in order to expand the multinational company strategy and enhance integration to the global market. It will analyze M&M’s the advantages and disadvantage of all four strategic measures. The goal of this analysis is to improve the multinational company’s strategic plan in South Africa.

Background

In 1945, Mahindra & Mahindra Ltd. (M&M) functioned as a steal trading entity established by two brother located in India. During 1947, they decided to join the automobile industry and created the UV...

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