Posted at 11.01.2018
This task helps us in understanding the business enterprise environment of an company and what factors identify or design the working environment of an organisation. Within this project, we have been aiming to measure the various challenges confronted by Suzuki Motors over the last 5 years and how those difficulties were tackled by the company. In our review, we had followed different solutions to find and analyse the issues the company has been facing. To attain the objective of the research, SWOT analysis has been performed on Suzuki Motors. Predicated on our finding about the business through the examination and the challenges experienced, this research research will provide tips for the business.
Business Environment їЅ Introduction
Business can be explained as an company which is involved with activities that are commercial in aspect and these activities are targeted at making profit for the organisation. Like the environment in virtually any environment, business environment consists of the factors and elements that encompass a business. Since the business environment of any company includes many factors, it is important for an organization to review and screen its environment to be able to ensure simple working of its current and future tasks and ideas (Gopal 2009).
Therefore, the full total of all things whether they are internal or external to the company, which results and brings changes in the programs of an organisation constitute the business environment of an company. The factors which may have a major and frequently impact the planning process of company are exterior in mother nature and are beyond the control of organisation or the management of the organisation.
Types of Business Environment
Every business organisation operates in two conditions which have a direct or indirect impact on the working and planning of the organisation. These surroundings are:-
їЅ Micro Business Environment їЅ They are the pushes that are closer or inner to the business and affect the ability of the organisation to serve its customers or bring changes in the organisational programs. The micro environment of organisation comprises of employees, owners and the panel customers, suppliers, consumers, companies, rivals, etc (Gopal 2009).
o Consumer їЅ The primary motive of most business organisations are to provide to the needs of its customers. Business organisations need to indentify its focus on group of customers, their tastes and demands. After the company understand the preferences and demands of these aim for consumer goods, they need to source those goods that best suit the targeted customer foundation (Gopal 2009).
o Competitors їЅ To be able to organisations to be successful, they need to understand the strategies being produced by its competitor and must also work on modifying its insurance policies and procedures to cope with the increasing competition (Gopal 2009).
їЅ Macro Business Environment їЅ The macro environment of business includes all those factors that are exterior to the organisation and the business or the management has no control over them and these factors affect the performance and planning of your company. The factors of the macro environment comprises of Political, Economic, Friendly or Technological elements that have a primary or indirect have an impact on on the company. FOR INSTANCE їЅ Changes in political framework such as changes in legislation, regulations and federal government policies of the country of operation of the company can hamper the performance of the company and may pressure the company to bring changes in its likely to achieve the long term goals of the company. Also, the economical conditions such as inflation, deflation, downturn, etc also pushes and bring changes in the organisations working environment. Along with the changes in the technology and advantages of new technology to enhance companyїЅs performance and also to stay updated likewise have a great have an effect on on the business enterprise environment of any organisation (www. marketing-plan-success. com utilized on 01/08/2010).
In order to comprehend and examine the business enterprise environment of organisation, research workers usually carry out PEST examination which comprises of the macro environmental factors of Political, Economic, Friendly and Technological factors that impacts the performance and planning of company in an optimistic or a poor way. You will find other examination techniques also being implemented like the SWOT evaluation which highlights the various talents and weaknesses of an organisation and at the same time enlightens the opportunities open to business businesses and the hazards surrounding a company.
Case Analysis їЅ SUZUKI Motors
About the Company
Suzuki Motor Businesses is a Japanese company headquartered in Hamamatsu, Japan. The company was founded in 1909 by Michio Suzuki and the main business of the business was to build weaving looms for the giant silk industry in Japan. The business was highly successful in loom business however Suzuki realised that he desires to diversify and grow the procedures of the business, therefore started looking at different options. Realising the consumer demand, the business made a decision to build small cars for which the project started in 1937. The company officially altered its name to Suzuki Motor Corporation in the entire year 1954 (Suzuki Electric motor Organization Website and Wikipedia).
Today, Suzuki Engine Corporation specialises in manufacturing of cars, motorcycles, all ground vehicles, outboard sea motors, wheelchairs and small interior combustion engines. It is the 12th largest company in the world motor vehicle industry and has production facilities in 35 main creation facilities in 23 countries around the globe. Suzuki Motor Organization operates in 193 countries and areas worldwide and is ranked at number 1 1 position in the world of compact automobiles (Suzuki Motor Firm Website and Wikipedia).
SuzukiїЅs subsidiary Maruti Suzuki India Limited based in Gurgaon, India is the major and the most effective subsidiary of the company. Suzuki Motor Company holds around 52% of the stake in Maruti Suzuki India Small and the others is owned or operated by lots of financial institutions in India. The Indian subsidiary of the business manufactures and offers 14 different models of automobiles for the Indian customers wedding caterers to people belonging to all classes of the world. The business offers among the best selling autos in India, Maruti 800 which costs significantly less than $5000 and mainly caters to the lower and middle portion of the contemporary society and the business offers luxury cars such as the brand new model of Maruti SX4 which caters to the higher parts or classes of the population. Maruti also suits need to trip caring people by offering the luxury SUV, Maruti Suzuki Grand Vitara. Maruti Suzuki Small was contained in the year 1981 and the first style of auto offered was Maruti Suzuki 800 in the entire year 1983. Since the intro of its first car, the business has offered a number of different models by means of Maruti Suzuki Zen, Alto, Wagon-R, Gypsy, Swift, Baleno, Esteem, Versa SX4, Grand Vitara and some other models as well. The stability and the trust level that the company has generated in the Indian Market has always helped the Maruti Suzuki India Limited to be the market leader among all segments of cars offered on the market (Suzuki Motor Corporation Website).
The Business Environment of Suzuki Motor Corporation
There are several factors that summarize the business enterprise environment of an company. All organisations in the world irrespective of the business industry they get excited about, they are exposed to different factors those impact the performance of companyїЅs activities and affect the look and decision making vitality of an organisation.
Like Every company, Suzuki Motor Corporations in addition has dealt with different facets which have impacted the performance of the business and has pressured the organisation to generate changes in its approaches for the even and successful performing of the company.
Challenges faced by Suzuki Engine Corporation
Below detailed are a few of the CHALLENGES the business has dealt with over the past couple of years:-
A. Suzuki Motors Firm had to recall certain types of vehicles like the Grand Vitara and XL 7 which were manufactured in the year 2005 їЅ 2006. A difficulty was found in the adjuster pulley for the drive belt which includes the outer section made up of plastic and manages the energy steering pump and air conditioning equipment compressor. Repeated warmth stress induced the outside body made up of vinyl to weaken and pieces of the pulley broke off. The company discovered that the shattered bits of pulley can get captured between the pulley and the drive belt which can cause the drive belt to come off resulting in increased effort to steer the vehicle by the driver which increased the chance of your crash or injuries. The company made an idea to resolve the problems in the vehicles with this problem and the retailers of Suzuki Motor unit Corporation replaced the power steering pump belt tension adjuster cost-free for the customers whose vehicles got the same defect (www. motorcyclistonline. com reached on 01/08/2010).
B. SuzukiїЅs subsidiary Maruti Suzuki India Limited experienced a great concern to keep its business lead in the small market section of cars in India. The company was facing severe creation issues which led to long gestation period for some of the top advertising brands such as MAruti Suzuki Swift, Maruti Suzuki Swift Desire and some other models. These creation issues may have lead to damage on the market show of Maruti Suzuki in India nevertheless the company dealt with the problem by working with their distributors to boost the way to obtain the materials and the business was able to deal with the backlogs of its normal sales on many models (www. gadgetophilia. com seen on 01/08/2010).
C. In early on 2010, Maruti Suzuki India Small announced to remember 100, 000 A-Star hatchback models as issues for gas leakage was diagnosed in the automobile. The company recalled all the models of A-Star hatchbacks and replaced the gaskets for the afflicted vehicles cost-free (Wikipedia).
D. In 2007, the company recalled its Swift models in the united kingdom over security concerns. In Suzuki Swift, a problem was detected that the car parking brake wire end could detach from the trailing brake footwear lever making the auto parking brake ineffective. This led to poor or no working of the hands brakes in Swift. The company recalled the afflicted models and replaced the wires (Suzuki Motor Corporation Website).
E. The company also recalled its Grand Vitara 1. 9 Diesel Model from the UK Market as a risk of fire was detected in the vehicle. Because of the improper design of the intercooler inlet hose pipe, there is a possibility that the mixture of air with petrol may be incorrect within the diesel particulate filet set up that could cause the diesel particulate filter to ignite. To be able to deal with this situation, the company substituted the intercooler house and installed a improved version of the same to avoid the chance of open fire that was diagnosed (Suzuki Motor Company Website).
F. The North american Suzuki Motor Company recalled the Suzuki Forenza model created in the year 2007 as on certain vehicles, leading seating belt tongue had not been latching into the buckle and in few situations, even the locked tongue used to pop out by low strectching force. These malfunctions of the buckles prevented the users to utilize the chair belt while driving which increased the chance of harm in a crash. The retailers of the business were authorised to replace the front drivers and passenger chair belt buckles with the better part without charging the client (www. motortrend. com accessed on 01/08/2010).
G. Suzuki Motor Corporation determined a few types of LT-A400K6, LT-A400FK6 and LT-F400FK6 eiger ATVїЅs may have been built with lacking welds on the upper and lower leading suspension biceps and triceps mounting mounting brackets on the still left aspect of the ATVїЅs shape which could break off during driving and the drivers can lose control of the ATV. This could possibly lead to a crash creating problems for the driver. In order to deal with this problem, the traders of the company inspected for absent welds on the suspension arm mounting bracket which requires a short course of time. If the suspension system arm mounting mounting brackets were missing welds, the dealer are certain to get them re-welded by a qualified welder and this was done free of charge for the users of the types of Suzuki Cycles (www. suzukicycles. com reached on 01/08/2010).
In order to judge and study the business environment of Suzuki Engine Corporation, SWOT research has been performed on the business to comprehend and look at the strengths and weaknesses of the company. At the same time, this might also help us in examining the many opportunities that exist to Suzuki Motor unit Firm and the risks that the business is subjected to.
Suzuki Motor Company is one of the leading companies in the auto industry around the world. The business manages in more than 193 areas throughout the world rendering it a global player. The global occurrence of the business helps them to comprehend the requirements of folks of any country depending upon their demography. Once the company has assessed the requirements of the clients from a specific demography, the company can improve its strategies to produce market and sell products to customers in some other country having similar demography characteristics. This can help the organisation to be expert active and to be able to meet the demands of the clients on a timely manner, therefore providing a competitive edge to the organisation (Suzuki Motor Firm Website).
Also, the wide variety of the products being manufactured by the company helps these to conquer any financial or non financial deficits incurred in the production or sales of different products. This ensures clean functions among different models of the company. It also allows company to serve to the needs of people owned by different income levels inside a country, in doing so making Suzuki Motor as their preferred choice in vehicle (Suzuki Motor Organization Website).
Suzuki Motor Corporation is a global renowned company and offers products that focus on the needs of people belonging to different income organizations. The company makes automobiles, motorcycles, all landscape vehicles, outboard marine machines, wheelchairs and small internal combustion engines. As talked about in challenges, the company needs to have provisions to meet the demands of the clients on time. The company needs to have multiple suppliers supplying raw materials in different forms so the manufacturing of the merchandise can be completed on time as this will ensure that the needs of the customer are met on time and will also help the business to increase its market show (Suzuki Motor Company Website).
Since the recognition about environmental protection is growing worldwide, the company should redesign its manufacturing plans. Suzuki Electric motor Corporation can opt for the manufacturing of environment friendly vehicles that will have low or zero energy emission and will help in conserving the surroundings (Suzuki Motor Company Website).
The company also has the possibility to focus on the needs of the young customers in the global market by understanding their needs and creation products that best provide those needs of the young metropolitan population.
Suzuki Motor Company has performed well since its presence in the first 19th century. Over modern times, the business has experienced many challenges a few of which have been discussed in this report. The major menace to the company is that because of the various recalls that have taken place during the last few years, trustworthiness of the business can be effected which could lead to downturn in the market share of the company. The company needs to work more on detecting such problems or issues before the product has been launched for consumption by the normal people in order to be fixed. If the business continues to not being able to discover such issues, it may result in downfall in the talk about value and shareholders in the business which will significantly affect the procedures of the Suzuki Motors all together (Suzuki Motor Organization Website).
Through the medium of the above mentioned report, it is clear that Suzuki Motor has a large customer base around the world which the company assists and makes products that serve the needs of almost all people in the contemporary society. The article also helps us to understand the talents and weaknesses of Suzuki Electric motor Organization along with various opportunities that exist to the business. The report also highlights few dangers that the business is subjected to and against which company needs to take necessary actions.
The report plainly reveals that Suzuki Engine Corporation highly targets its customers. The company always works on fulfilling the needs of the customers and providing services for his or her products as and when required. This high level of commitment of Suzuki Motors towards its customer has helped the company to reach this position and also empowered the company to have the ability to expand its procedures and focus on the needs of folks worldwide.
Suzuki Motor Firm must increase its level of focus on tests their products before they are really released on the market. This would help them to identify and analyse any problems in their manufactured products which can only help company save huge costs that are involved in the recalls of the defected products and would also assist in maintaining the reputation and competency degree of the organisation. This would also help the business in spending more in their creation units so that they can manufacture and deliver quality products directly on time when itїЅs needed by its customers.