The Source of Competitive Advantage of Indian Motorcycle Industry

Mots-clés:

Résumé:

Purpose
This presentation will identify the source of competitive advantage of Indian Motorcycle industry. Now the Indian motorcycle market reach world number one and also the production volume overtaking China.
And there are four types of precious study on Indian motorcycle industry. First one is industrial study(Nikaido 2005,2009;Shimane 2005). But these study has published before 2009 and we could not know the reason why Indian motorcycle could become world number one. And these study did not identified the firms competitiveness. Second one is from the view of area study (Shimane, 2006). This study explained the conduct of local firms though that of FDI remained unsolved. Third one is the study about family business(Priya Kumar,2014;Gita Piramal,1996;Suhel Seth,2015:Shyamal Majumdar,2014). But these study did not explain competitive structure and firm’s organization ability. Fourth is the study on corporate strategy and management（Sumantra Ghoshal et al.,1996;Rishikesha T）.These study revealed the local firms’ strategy and management but did not reveal Japanese firms’ one.
In accord with these previous study, we can point that the source of competitive advantage of Indian motorcycle industry remained unsolved. So this presentation identified the competitiveness source in the view of its history, competitive structure, firms conduct and global competition.

Design
We would be discussing Japanese firms, considering the manner of capturing the Indian market is today the subject of actual focus, carrying increasing importance (Mintsberg,H.,and Waters,J.A.,1985; Nooyi,U.K.,and Govindarajan,V.,2012; Burgelman,R.A.,2006).Our study was carried out from 2002 to 2016 and consisted of conducting semi-structured interviews.

Findings
We identified 7 major factors as competitive advantage sources of Indian motorcycle industry. First one is path dependency. Indian import substitution policy before 1990 gave opportunities and moratorium to local firms new entry and development. These diversity of firms made the competition more severe.
Second one is locational feature. To correspond to Indian expansive country, assemblers were forced to establish their factories dispersedly. This locational strategy gave many new suppliers to enter the transaction network and as a result the competition for accepting assembler’s order between suppliers has been boosted.
Third one is the firms’ high level of investment will and motivation for learning. In India not only FDI but also local firms built their capacity.
The fourth is existence of supporting industry and its evolutional capacity building. Also some assembler brought up their suppliers through transaction (Shimane,2006).
The fifth is the procurement environment. In India assemblers and suppliers could procure not only parts but also materials. To procure parts and material in local was attributed to cut cost and so that the motorcycle price in India is the lowest level in the world.
The sixth is the pattern of competition. In Indian motorcycle market there were many segment so firms were force to differentiation and homogenization. This conduced to raise the overall level of industry.

References
（In English）
Burgelman,R.A.,(2006) Strategy is Destiny, Free Press,New York.
Gita Piramal(1996),Business Maharajas, Penguin Books, New York.
Mintsberg,H.,and Waters,J.A.(1985) “Of Strategies, Deliberate and Emergent.” Strategic Management
Journal, Vol.6,No.3,257-272
Nooyi,U.K.,and Govindarajan,V.,(2012) Reverse Innovation; Harvard Business School Press,Boston.
Priya Kumar(2014),The Inspiring journey of a HERO Learnings from the life of O.P.Munjal,Penguin Books India, New Delhi.
Shyamal Majumdar(2014),”The Bajaj Break-Up”, Family Business Battles Family feuds that changed Indian industry, Business Standard Books,New Delhi;chapter3,pp.35-51.
Suhel Seth(2015), “The Real Hero”, Mantras for success India’s greatest CEOs tell you how to win, Rupa Pablications India, New Delhi; pp.119-130.
Sumantra Ghoshal, Gita Piramal, Sudeep Budhiraja(2001), World class in India, Penguin Books, New York.

（In Japanese）
島根良枝（2005）「インドの二輪車産業　地場企業、日系企業を両輪とした成長」『アジアの二輪車産業　基礎情報と企業一覧』アジア経済研究所、第8章、pp.131-145。
島根良枝（2006）「インドの二輪車産業　地場独資完成車企業の存在と地場部品企業の能力
形成」佐藤百合・大原盛樹編『アジアの二輪車産業』アジア経済研究所、pp.205-242。
二階堂有子（2005）「インドの二輪車産業の歴史と現状、そして今後の展望」『JAMAGAZINE』
2005年11月号（http://www.jama.or.jp/lib/jamagazine/200511/05.html；2015年6月24日閲
覧）
二階堂有子（2009）「インド二輪車産業の現状と今後の展望」『JAMAGAZINE』2009年8月
号（http://www.jama.or.jp/lib/jamagazine/200908/05.html；2015年6月24日閲覧）