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 the Radial technology because it is just an amelioration of it. Clients: OEM Replacement We do not include export because we are studying only the Indian market and export includes other markets. Products: 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 important in 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 segment combining 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 Long lasting/ Re-treated Resistant/ Solidity Price Segment 2 Long lasting/ Re-treated Resistant/ Solidity Specific expectations (trucks) Segment 3 Price Availability Segment 4 Road-holding Quality No possible flat tyre Brand image/value Impact on fuel consumption Segment 5 Road-holding Quality No possible flat tyre Question 3- Competitive Matrix System Nb of KSF Large Few/price Segment 3: The main success factor is price (another is availability 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