Mahindra to enter US market?

sajo · 7th August 2006, 17:11

It is reported in Autoweek that the Indian manufacturer is quietly setting up a network of 200 dealerships to sell an "unspecified" utility vehicle.
Now thats news for me.. How does Mahindra expect to sell the Scorpio in such a competitive market? Or is it going to be something on the lines of the CJ? Any idea of the engine options it may have?

Read the article here.

jango · 7th August 2006, 17:51

Well that's going to be intresting.....

satish_appasani · 7th August 2006, 17:57

I think Mahindra already sells it's tractors in US.

sajo · 7th August 2006, 20:02

Quote:

Originally Posted by satish_appasani

I think Mahindra already sells it's tractors in US.

Ohh yes.. MUSA is one of the best selling (small) tractor brand in the US. There was a story about it a while ago in the TOI.
The "unspecified" UV might be the Scorpio with a better, more modern overhead cam CRDi unit, and could possibly be one of the lowest priced vehicles on sale there.
This might also pave the way for Tata to gain entry there..me thinks.

condor · 7th August 2006, 20:28

IMO, unless there is a quantum leap in their products, they wouldnt be able to get even a toe-hold in the competitive US market. While they are doing pretty good with their tractors there, a UV / passenger vehicle is an altogether different ball game.

Come to think of it, the Scorpio is selling here for 9L approx = 20K USD, in India and about 11L for the South African version.
Current options in US, in the 17K - 23K segment are Honda Element, Hyundai Santa Fe & Tuscon, the Jeeps, Sorento and Sportage from Kia, Mitsubishi Outlander, and lot more. Check this link:
http://www.edmunds.com/apps/vdpconta...ribute2=15k25k

It could be the new MUV they are planning, but then again, the quality of the product will have to be much much better than what they have given us so far.

But then, if they still achieve even an entry, it will be something to be proud of. Here's wishing M&M the best ..

ritik123 · 7th August 2006, 21:17

Not only are the mahindra's selling tractors in the US, their tractors are also prefferred by many over big American Brands like John Deere. Source: A recent article on Businessweek about foreign brands in USA.

With regards to selling a car /suv, lets not forget there is a huge immigrant population in the US (mexicans/indians/chinese) who cannot afford a brand new vehicle, even if it be a 8,000$ Kia. So if priced right, the Mahindra's could make a mark here.

condor · 8th August 2006, 08:25

Mahindra's tractors are still in the lower HP range. A line like that from a BW report is generalising things a little too much.

I dont see why should the immigrant population look to a M&M SUV - un-proven, un-tested. A used Honda CR-V with a real-time AWD at 8-10K would still be a pretty good bet. If a Kia is available for 8K, then a new SUV from some one like M&M wouldnt stand a chance at twice the price.

It's going to be intresting to see how this SUV shapes up.

sajo · 8th August 2006, 08:37

I agree with Condor here. The only real chance Mahindra have is to have a killer price tag. The max size for the dollar thing might work in their favour though. Or they might create a Wrangler lookalike (or say..character alike) and position it several notches below.

devarshi84 · 8th August 2006, 08:41

I dont see a reason why mahindra would try to compete with Honda CR-V.

we are getting the Scorpio for 7-8 here and CRV for 14. so based on this mahindra will be more priced like 10-12K.

Money conversion doesnt always work out same.

"What this means to you: If the Indians want to sell low-priced vehicles to the Americans, they'll have to get in line behind the Koreans, the Chinese and the Russians."

http://www.edmunds.com/insideline/do...ticleId=116391

I would take this statement with a pinch of salt. If hyundai is giving toyota sleepless nights. Why cant mahindra do the same in within the next decade?

tsk1979 · 15th February 2007, 16:43

More news on this front, After tractors Mahindra is seriously looking at the scorpio going to the US. The USP? Mileage of 35mpg.
Indian automaker indeed targeting U.S. - Autoblog
Wah wah vroom Mahindra! : HindustanTimes.com
Mahindra plans to ride in on NRI wave. Price pegged is at 25K by HT, but most probably they will sell it for around 15K.
Considering the number of Indians in atlanta, they can easily sell around 1000 units a month, which is actually a very small number in the US market.

sajo · 15th February 2007, 16:58

The Scorpio's competition would not be the new C-RV, but used CR-Vs, RAV4s, Colorados, Blazers,Rangers etc. I think a pickup version (as sold in SA) would make better sense there.

rahul_intlad · 16th February 2007, 18:01

Quote:

Detractors have valid arguments. Buying a car is not a simple cost driven decision. Although the fledging saga of Ford motors in public perception has only been endorsed by the influx and flourishing of cars from Toyota, Honda, Hyundai, Nissan among others; the customer of the US automotive industry remains a tough nut to crack. He wants it all; a big, flashy, fuel-frugal, six-wheel, 4 by 4 dream machine.Preliminarily, it looks like Mahindra has it in place. However for the real conversions to happen, substance will have to be where promise already is.That is to say, Mahindra and believers in the brand among Indian-Americans will need to convert this possible pit-stop into vociferous victory.

Mahindra has not been selling vehicles to only Indians in the other global markets,For mahindra to do well the locals too need to accept brand Mahindra.

Mahindra however should be prepared for legal battles in the US if they plan to give them vehicles like our first generation Scorpio's.

Source:
Wah wah vroom Mahindra!: Indians Abroad - HindustanTimes.com

sbasak · 16th February 2007, 19:21

Simply entering into US auto market = one small step for Mahindra, one giant leap for Indian manufacturers.....

kkr2k2 · 16th February 2007, 20:06

Quote:

Originally Posted by condor

IMO, unless there is a quantum leap in their products, they wouldnt be able to get even a toe-hold in the competitive US market.

I heard not all american vehicles are compitetive enough as the japs are. so mahindra does have a decent chance. Also in SA i think the scorpio is also available as a pickup....hmmmm that should sound to americans ears and there is a good number of indians in US. and yeah 35mpg would be a good buy. Just add ABS and airbags and some similar goodies what cars have in US, lo you have the car suitable for US .... lol

theMAG · 16th February 2007, 20:59

I'd hate to say this but they'll come back mauled.

7th August 2006, 17:11	#1
sajo Senior - BHPian Join Date: Apr 2005 Location: Pune Posts: 2,625 Thanked: 1,153 Times	Mahindra to enter US market? It is reported in Autoweek that the Indian manufacturer is quietly setting up a network of 200 dealerships to sell an "unspecified" utility vehicle. Now thats news for me.. How does Mahindra expect to sell the Scorpio in such a competitive market? Or is it going to be something on the lines of the CJ? Any idea of the engine options it may have? Read the article here.
	() Thanks

7th August 2006, 17:51	#2
jango BHPian Join Date: Mar 2006 Location: New York & kotayam Posts: 800 Thanked: 23 Times View My Garage	Well that's going to be intresting.....
	() Thanks

7th August 2006, 17:57	#3
satish_appasani Senior - BHPian Join Date: Jun 2004 Location: Hyderabad Posts: 1,112 Thanked: 104 Times View My Garage	I think Mahindra already sells it's tractors in US.
	() Thanks

7th August 2006, 20:28	#5
condor Distinguished - BHPian Join Date: Jun 2006 Location: Speed-brkr City Posts: 15,864 Thanked: 16,014 Times View My Garage	IMO, unless there is a quantum leap in their products, they wouldnt be able to get even a toe-hold in the competitive US market. While they are doing pretty good with their tractors there, a UV / passenger vehicle is an altogether different ball game. Come to think of it, the Scorpio is selling here for 9L approx = 20K USD, in India and about 11L for the South African version. Current options in US, in the 17K - 23K segment are Honda Element, Hyundai Santa Fe & Tuscon, the Jeeps, Sorento and Sportage from Kia, Mitsubishi Outlander, and lot more. Check this link: http://www.edmunds.com/apps/vdpconta...ribute2=15k25k It could be the new MUV they are planning, but then again, the quality of the product will have to be much much better than what they have given us so far. But then, if they still achieve even an entry, it will be something to be proud of. Here's wishing M&M the best ..
	() Thanks

7th August 2006, 21:17	#6
ritik123 BHPian Join Date: Jul 2005 Location: United States Posts: 123 Thanked: 4 Times	Not only are the mahindra's selling tractors in the US, their tractors are also prefferred by many over big American Brands like John Deere. Source: A recent article on Businessweek about foreign brands in USA. With regards to selling a car /suv, lets not forget there is a huge immigrant population in the US (mexicans/indians/chinese) who cannot afford a brand new vehicle, even if it be a 8,000$ Kia. So if priced right, the Mahindra's could make a mark here.
	() Thanks

8th August 2006, 08:25	#7
condor Distinguished - BHPian Join Date: Jun 2006 Location: Speed-brkr City Posts: 15,864 Thanked: 16,014 Times View My Garage	Mahindra's tractors are still in the lower HP range. A line like that from a BW report is generalising things a little too much. I dont see why should the immigrant population look to a M&M SUV - un-proven, un-tested. A used Honda CR-V with a real-time AWD at 8-10K would still be a pretty good bet. If a Kia is available for 8K, then a new SUV from some one like M&M wouldnt stand a chance at twice the price. It's going to be intresting to see how this SUV shapes up. Last edited by condor : 8th August 2006 at 08:27.
	() Thanks

8th August 2006, 08:37	#8
sajo Senior - BHPian Join Date: Apr 2005 Location: Pune Posts: 2,625 Thanked: 1,153 Times	I agree with Condor here. The only real chance Mahindra have is to have a killer price tag. The max size for the dollar thing might work in their favour though. Or they might create a Wrangler lookalike (or say..character alike) and position it several notches below.
	() Thanks

8th August 2006, 08:41	#9
devarshi84 Senior - BHPian Join Date: Jun 2005 Location: Ahmedabad - Tor Posts: 4,024 Thanked: 211 Times View My Garage	I dont see a reason why mahindra would try to compete with Honda CR-V. we are getting the Scorpio for 7-8 here and CRV for 14. so based on this mahindra will be more priced like 10-12K. Money conversion doesnt always work out same. "What this means to you: If the Indians want to sell low-priced vehicles to the Americans, they'll have to get in line behind the Koreans, the Chinese and the Russians." http://www.edmunds.com/insideline/do...ticleId=116391 I would take this statement with a pinch of salt. If hyundai is giving toyota sleepless nights. Why cant mahindra do the same in within the next decade? Last edited by devarshi84 : 8th August 2006 at 08:45.
	() Thanks

15th February 2007, 16:43	#10
tsk1979 Team-BHP Support Join Date: Feb 2005 Location: San Jose, CA Posts: 23,717 Thanked: 22,825 Times View My Garage	More news on this front, After tractors Mahindra is seriously looking at the scorpio going to the US. The USP? Mileage of 35mpg. Indian automaker indeed targeting U.S. - Autoblog Wah wah vroom Mahindra! : HindustanTimes.com Mahindra plans to ride in on NRI wave. Price pegged is at 25K by HT, but most probably they will sell it for around 15K. Considering the number of Indians in atlanta, they can easily sell around 1000 units a month, which is actually a very small number in the US market.
	() Thanks

15th February 2007, 16:58	#11
sajo Senior - BHPian Join Date: Apr 2005 Location: Pune Posts: 2,625 Thanked: 1,153 Times	The Scorpio's competition would not be the new C-RV, but used CR-Vs, RAV4s, Colorados, Blazers,Rangers etc. I think a pickup version (as sold in SA) would make better sense there.
	() Thanks

16th February 2007, 19:21	#13
sbasak BHPian Join Date: Nov 2005 Location: CCU-LTN Posts: 608 Thanked: 14 Times	Simply entering into US auto market = one small step for Mahindra, one giant leap for Indian manufacturers.....
	() Thanks

16th February 2007, 20:59	#15
theMAG Distinguished - BHPian Join Date: May 2006 Location: Avon, CT Posts: 7,217 Thanked: 1,807 Times View My Garage	I'd hate to say this but they'll come back mauled.
	() Thanks