Michelin in the land of the maharajahs

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Case Study 2
Michelin in the land of the Maharajahs
Question 1- Segmentation
Technologies :
Radial / tubeless
Cross-ply or diagonal
We are including the Tubeless in theRadial technology because it is just an amelioration of it.
We do not include export because we are studying only the Indian market and export includesother markets.
Commercial vehicle tyre
LCV/ car tyre
2/3 vehicles
We delete the Off-the-Road vehicle in the product segment because this is not enough importantin the industry.
According to table 1 in the case, 85% of the radial tyre in India is sold for cars and 11% for LCV; so segment 4 is a very relevant one. On another hand, we do not have a segmentcombining two and three wheels tyres ad radial because according to the same table, none of the radial tyres are used by two and three wheels vehicles.
Question 2- KSF
Segment 1
Longlasting/ Re-treated
Resistant/ Solidity
Segment 2
Long lasting/ Re-treated
Resistant/ Solidity
Specific expectations (trucks)
Segment 3
Segment 4
No possible flat tyre
Brand image/value
Impact on fuel consumption
Segment 5
No possible flat tyre
Question 3- Competitive Matrix System
Nb of KSF
Segment 3:
The main success factor is price (another isavailability at a lower degree) and this segment has a solid competitive position: for instance there are three companies which have strong market shares in the two and three wheels sector; MRF (42,5%), TVS(21%), Falcon Tyres (19,5%). That’s why we chose to place the segment 3 in the middle of the volume system.
Segment 5:
We chose to place the segment 5 in the specialized system because this is a...
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