How Volvo changed their market strategy and became successful in India

The Indian market used to dominated by two key player of their home which is Tata Motors and Ashok Leyland .The two companies made simple coaches on a design that had hardly changed for decades.Even though the two companies coaches engines were a meagre 110-120 horse power and roared heartily as they hauled their loads up the steep mountains of India , the air conditioning was a matter of open windows.Also bags were typically slang on the top of the bus , where they were easily soiled and at high risk of theft.But it was cheap.

So Volvo research the market and found the gap to fulfil.In 1997 , the company introduced the  strategy of expensive coaches , air conditioning and also safety where there will be no slang on the top of the bus.Also Volvo's buses prices were Rs 4m nearly four time as much as local products,But the Akash Passey , Volvo's first Indian employee told straight away they should not even try, It is not gonna work.At first it didn't work .So they improve their strategy by training the driver so that they can safely drive the coach.They offered post-sale maintenance service increasing life expectancy of buses from three to ten years .Volvo didn't go to bus operators to advertise their promotions and products services.Rather they went to consumers in cinemas.Because the company research the Indian market and behaviour.Indian people love Bollywood and cinema.As a result Volvo choose the cinema to promote their products and advertise to drive traffic more to them,Furthermore , Volvo trainees rode these buses alerting the company immediately when something went wrong so they could immediately send its engineers.As a result , business people and the middle classes were delighted with the new Volvo services.Speedier where Volvo's standard engines were 240-250hp  ensuring  a faster and querier ride.Also more comfortable journeys allowed people to arrive for meetings and potentially to save the costs to overnight stays.Even though Tata and Ashok Leyland both followed the same strategy of Volvo's , none the less the phrase 'Taking A Volvo' has become synonymous with choosing a luxury brand in India.And the Ashok Leyland said Volvo wont have a chance.Volvo didn't even take this into account , rather they change their strategy and research well to become successful in India.