Developing comprehensive framework to assess export opportunities for Cummins in India and establishing value of India manufactured products

Abstract

When a business deals with exports, the potential countries always consider so many parameters before initiating or changing the source of business hence, for manufacturer it is important to be competitive enough in the market especially for a country like India where the cost of production is significantly low compared to countries like US, China, UK and Brazil. The competition is high so it is necessary to position the country as a brand which can convince customer countries to source form a particular country in this case India. The initial research focuses mainly on understanding the current/past trends of export from India as it should be clear before exploring the export opportunities so it is important to understand what has been the trend and where it is moving towards in near future. The number shows huge potential in automotive business for India in regions like America, Europe, Asia and Africa. India faces major competition from China, USA, UK and Brazil in terms of cost, tax rates, trade tariff and logistics. India’ performance is commendable in terms of cost, trade tariff and government policies related to export. However, India is less competitive in parameters like infrastructure, logistics and local tax rate. One major pitching point for India is the emission standard alignment as per the global standard which is important for automotive sector. Segmentation, Target market and Positioning clear the picture for India for increasing the export business and put focus where it is required. Points of parity and points of difference with competitor countries make India stand out and perceptual map is an outcome to compare the countries. India can take over the market and capture the potential business based on the low-cost parameter. It just requires development in some areas like infrastructure.